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Anikesh Sip Part 2 - Merged

This document is a summer training project report submitted as part fulfillment of an MBA program. It discusses a study on retailer satisfaction towards supply chain management in the Fast Moving Consumer Goods (FMCG) industry. The report includes chapters on the introduction and background of the problem, company profile, literature review, research methodology, data analysis, findings, limitations and conclusion. The objective of the research is to study retailer satisfaction with FMCG supply chain management. The methodology includes a research design, measurement techniques and data collection. Key findings and limitations of the study are also presented.

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0% found this document useful (0 votes)
174 views64 pages

Anikesh Sip Part 2 - Merged

This document is a summer training project report submitted as part fulfillment of an MBA program. It discusses a study on retailer satisfaction towards supply chain management in the Fast Moving Consumer Goods (FMCG) industry. The report includes chapters on the introduction and background of the problem, company profile, literature review, research methodology, data analysis, findings, limitations and conclusion. The objective of the research is to study retailer satisfaction with FMCG supply chain management. The methodology includes a research design, measurement techniques and data collection. Key findings and limitations of the study are also presented.

Uploaded by

rishika Singh
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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SUMMER TRAINING PROJECT REPORT

Study on retailer satisfaction towards supply chain management of FMCG

Submitted in partial fulfillment of Master of Business Administration

Session- 2022-2023

Faculty Guide Submitted By:

[Ms.Omika Bhalla] [ Anikesh Rawat ]

[Associate Professor-Master of Business Administration] [2101640700030]

PRANVEER SINGH INSTITUTE OF TECHNOLOGY

Affiliated to Dr. A.P.J. AKTU

Pranveer Singh Institute of Technology Summer Internship Project


Pranveer Singh Institute of Technology Summer Internship Project
TABLE OF CONTENTS
Page no.

Declaration i

Acknowledgement ii

Executive Summary iii

PART-1
CHAPTER 1: INTRODUCTION

1.1 Introduction about the Problem 1

1.2 Industry Profile 1

CHAPTER 2: COMPANY PROFILE

2.1 History of the organization 17

2.2 Vision, Mission and Quality Policy 18

2.3 Structure of the organization 18

2.4 Products/Services of the organization 19

2.5 Growth of the organization (Challenges faced in past) 25

2.6 Organization’s SWOT analysis 25


PART- 2

❖ CHAPTER 3: STUDY OF THE SELECTED RESEARCH PROBLEM

3.1 Statement of the research problem. 29

3.2 Review of Literature 30

3.3 Statement of the research objective. 31

Pranveer Singh Institute of Technology Summer Internship Project


3.4 Research Methodology

i) Research Design 32
ii) Measurement/ Scaling technique 34

❖ CHAPTER 4: DATA ANALYSIS

4.1 Graphical presentation/ Visualization (if applicable) 37

❖CHAPTER 5: FINDINGS OR INTERPRETATION 51

❖CHAPTER 6: LIMITATIONS OF STUDY 53

❖CHAPTER 7: CONCLUSION 54

❖ BIBILOGRAPH 55

Pranveer Singh Institute of Technology Summer Internship Project


DECLARATION

I hereby declare that this submission is my own work. It contains no material previously publishedor written

by another person, nor has this materials to a substantial extent been accepted for the award of any other

degree or diploma of the university or other institute of higher learning.

( Anikesh Rawat )

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ACKNOWLEDGEMENT

Summer Internship Project Report is the one of the important part of MBA program, which has helped me to gain

experience and will be beneficial in my succeeding career. For this, with an ineffable sense of gratitude I take

this opportunity to express my deep sense of indebtedness and gratitude to Dr. S. K. Bhalla, Director -

Pranveer Singh Institute of Technology and Dr. Harit Kumar, Head of Business Administration

Department, for their encouragement, support and guidance in carrying out the project.

I am very much thankful to, my Project Guide Ms. Omika Bhalla, Associate Professor of MBA Department

for her interest, constructive criticism, persistent encouragement and untiring guidance throughout the

development of the project. It has been my great privilege to work under his inspiring guidance.

I am also thankful to my parents and my friends for their indelible co-operation for achieving the goals of this

study.

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Executive Summary

Impact of globalization policy India has accepted, many Indian and foreign company’s started business in India

due to global manufacturing hub. Increasing demand in domestic and international markets is opening a new

world of opportunities for the Indian Industry. Indian industries to provide cost effective quality output with

stringent delivery schedules. Issues in supply of inferior quality, delayed supply, unwarranted cost escalation, etc.

would adversely impact the credibility and business potential of the Indian industry. Amongst many difficulties

faced by Indian manufacturers, supply chain disruption management is a major issue, which can result in large

tangible and non-tangible losses. The current research paper deals with Supply Chain Management is and how it

is affecting organizations, what are different challenges and it can be proved as a tool for improving overall

performance in today’s global competitive environment. Now a days, supply chain management plays an

important role in business industry. Supply chain management involves optimizing industrial operations to

increase both speed and efficiency. Both speed and efficiency are vital to increase service quality and ensure

product delivery at earliest time. Efficiency also increases the power of industry to handle their partners in a

structured manner. The FMCG Industry is on a high growth in our country. Proper supply chain management

practice is important for FMCG industries of our country because Retailers will choose the company that meets

their needs fastest. It is also important to get competitive advantages in global market. Industries of our country

increasingly find that they must rely on effective supply chains, or networks, to compete in the global .Industries

are now realizing that Retailer driven supply chain configuration helps them to participate in achieving growth.

Global markets are expanding beyond borders and re-defining the way demand and supplies are managed. Global

companies are driven by markets across continents. To keep the cost of manufacturing down, they are forced to

keep looking to set up production centers where the cost of raw materials and labor is cheap. Sourcing of raw

materials and vendors to supply the right quality, quantity and at right price calls for dynamic procurement

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strategy spanning across countries. With the above scenario you find companies procuring materials globally

from various vendors to supply raw materials to their factories situated in different Continents. The finished goods

out of these different factory locations then pass through various chains of distribution network involving

warehouses, exports to different countries or local markets, distributors, Retailers and finally to the end Retailer.

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CHAPTER 1: INTRODUCTION

1.1 Introduction about the Problem

 Study on retailer satisfaction towards supply chain management of fmcg

1.2 Industry Profile

Fast-moving consumer goods (FMCG) sector is India’s fourth-largest sector with household and personal care

accounting for 50% of FMCG sales in India. Growing awareness, easier access and changing lifestyles have

been the key growth drivers for the sector. The urban segment (accounts for a revenue share of around 55%)

is the largest contributor to the overall revenue generated by the FMCG sector in India. However, in the last

few years, the FMCG market has grown at a faster pace in rural India compared to urban India. Semi-urban

and rural segments are growing at a rapid pace and FMCG products account for 50% of the total rural

spending.

Fast Moving Consumer Goods (FMCG) refers to consumer non-durable goods required for daily or

frequent use. The sector covers a wide gamut of products such as detergents, toilet soaps, toothpaste,

shampoos, creams, powders, food products, confectioneries, beverages, cigarettes. Typically, a

consumer buys these goods at least once a month. Individual items are of small value but all FMCG

products put together account for a significant part of the consumer's budget. The consumer keeps

limited inventory of these products, as many of these products are perishable and prefers to purchase them
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frequently, as and when required. The consumer spends little time on the purchase decision and rarely does

he/she look for technical specifications (in contrast to industrial goods). As most of there demand are due to

requirement at their end, purchase decisions may be influenced by the availability of product in the rakes.

In FMCG sector, one of the most critical success factors is the ability to build, develop, and maintain a

robust distribution network. Availability near the consumer is vital for wider penetration as most

products are low unit value products and frequently purchased. Out of reach is out of mind is out of

consideration set. Distribution network refers to the consumer buying points where products are available

(almost always). It takes enormous time and effort to not only build a chain of stockiest, retailers,

dealer's etc. but also improving upon their efficiency and effectiveness. In a transforming economy

loyalty of the product, customer and channel partner is also concern for the organizations. This presents a very

complex situation to manage. Moreover the current slowdown is preventing dealers/retailers to allocate

resources and time. Therefore it is necessary to clearly visualize and implement an unequivocal supply chain

strategy, which addresses the concern of upstream and downstream partners and able to provide a win-win

situation for all.

It is characterized by high turnover consumer packaged goods, i.e. goods that are produced, distributed,

marketed and consumed within a short span of time. FMCG products that dominate the market today are

detergents, toiletries, tooth cleaning products, cosmetics, etc. The FMCG sector in India also includes

pharmaceuticals, consumer electronics, soft drinks packaged food products and chocolates. Since the sector

encompasses a diverse range of products, different companies dominate the market in various sub-sectors.

However, some of the top FMCG companies in India are- Dabur (60%), Colgate (54.7%), Hindustan Unilever

(54%).

➢ Rural and Urban Trends

The FMCG industry in India is divided into the demographics of rural and urban India. The urban market

contributes 60% of the consumption revenue of the FMCG market in India. In 2017, this sector recorded a

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market size of $ 29.4 bn. While urban areas have spearheaded the growth of the FMCG industry in India,

semi-urban and rural segments are growing at a rate that cannot be ignored. Semi-urban and rural segments

contribute over 40% of the overall revenues of the FMCG sector in India. FMCG companies in India have

witnessed higher growth in rural areas compared to urban ones. And with 12.2% of the world’s population

living in the villages of India, the Indian rural FMCG market cannot be ignored by investors. Dabur, one of

the top FMCG companies in India, generates over 45% of its domestic revenue through the sale of packaged

consumer goods in rural India. Hindustan Unilever, another name that has consistently dominated the list of

top FMCG companies in India, earns over 35% of its revenue from rural areas. Rural India accounts for more

than 40% of consumption in major FMCG categories such as personal care, fabric care, and hot beverages. In

urban areas, home and personal care category- including skin care, household care, and feminine hygiene-

will continue to grow at attractive rates. Within the foods segment, it is estimated that processed foods, bakery,

and dairy are long-term growth categories in both rural and urban areas.

➢ Demographic Support

An FMCG industry overview indicated that India’s demographic profile plays a major role in the growth of

this sector. Not only is India’s demographic young, but this segment is also characterized by increased

urbanization and higher expenditure. Urban development initiatives by the government, as well as the

increasing middle class of India, has led to an increase in the number of attractive markets in the country.

Ernst & Young’s research on the cities of India highlights the emergence of 30 ‘new wave’ cities such as

Jaipur and Surat. Consumption in these cities is growing at a faster rate than that of many of India’s metros.

India’s young population is also characterized by a high degree of technological awareness. Growing

penetration of Smartphone’s and better internet connectivity in India has led to a burgeoning E-Commerce

sector, which has, in turn, helped formalize large sections of the unorganized retail sector. The E-Commerce

segment is projected to contribute 11% of overall Indian FMCG companies’ sales in 2030. The online FMCG

market is projected to reach $ 45 bn in 2020.

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 FMCG Market in India

The FMCG sector is one of the largest sectors of the Indian economy. According to an FMCG industry

overview, revenues of the FMCG sector reached $ 52.75 bn in FY18, and are estimated to reach $ 103.7 bn in

2020. As consumption in India grows at an unprecedented rate, the FMCG industry remains a key sector for

investors. Acknowledging these trends in the FMCG industry profile, the Government of India has undertaken

various initiatives to promote the sector. For instance, 100% FDI is permitted in SBRT and cash-and-carry

models of retail, and the minimum capitalization for foreign FMCG companies to invest in India is $ 100 M.

Even the implementation of GST in India has had far-reaching consequences for the sector, as the highest

selling FMCG products such as soap, toothpaste and hair oil now come under the 18% tax bracket (as opposed

to the previous 24%).

➢ Investments in FMCG market in India

The high growth rate of the FMCG industry in India goes beyond growth drivers such as income growth and

urbanisation. The consumption habits of India’s new age consumers have resulted in an attitudinal shift in the

market. The India of 2030 will have 370 M generation Z consumers, with changed priorities when it comes to

purchasing goods. The new Indian consumer is characterised by high awareness, an affinity for health and

nutrition and high expendable income. This has led to the emergence of new FMCG sub-sectors, such as the

air and water purifier market and organic food staples. These trends will further lead the development of the

FMCG industry profile. Foxconn-powered SHARP has released a range of innovative air purifiers cum

humidifiers, targeted specifically at the Indian market. With the growth of the traditional FMCG sector- and

the emergence of sub-sectors that were non-existent until a few years ago- the future of this industry looks

good for investors.

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➢ Current FMCG market of India

According to Nielsen, the Indian FMCG industry grew 9.4% in the January-March quarter of 2021, supported

by consumption-led growth and value expansion from higher product prices, particularly for staples. The rural

market registered an increase of 14.6% in the same quarter and metro markets recorded positive growth after

two quarters. E-commerce is likely to contribute 5% or US$ 4 billion to FMCG sales by 2022. The rural

FMCG market is expected to expand to US$ 220 billion by 2025. The Indian processed food market is

projected to expand to US$ 470 billion by 2025, up from US$ 263 billion in 2019-20.

Indian online grocery market is estimated to exceed sales of about Rs. 22,500 crore (US$ 3.19 billion) in 2020,

a significant jump of 76% over the previous year. The gross merchandise value (GMV) of the online grocery

segment in India is expected to increase 18 times over the next five years to reach US$ 37 billion by FY25.

As of February 2021, out of 39 Mega Food Park projects, 22 are operational, 15 are under implementation and

2 are in-principle approval. Many FMCG brands partner with e-commerce platforms such as Dunzo, Flipkart,

Grofers and BigBasket to deliver products at the doorstep of consumers during the COVID-19 pandemic.

FMCG companies are looking to invest in energy efficient plants to benefit the society and lower cost in the

long term. Dabur India has grown its rural network to over 52,000 villages in March 2020, from 44,000

villages in March 2019. For 2020-21, the company aims to have up to 60,000 villages. The sector witnessed

healthy FDI of US$ 18.19 billion from April 2000 to March 2021.

In January 2021, Udaan raised US$ 280 million (~Rs. 2,048 crore) in funding from existing and new investors,

including Lightspeed Venture Partners and Tencent. With the latest infusion of capital, Udaan has earned a

total of US$ 1.15 billion to date. Although the company did not reveal the valuation information, FMCG stated

that the valuation exceeded US$ 3 billion after this deal. Growing awareness, easier access, and changing

lifestyle are the key growth drivers for the consumer market. The focus on agriculture, MSMEs, education,

healthcare, infrastructure and tax rebate under Union Budget 2019 20 was expected to directly impact the

FMCG sector. Initiatives undertaken to increase the disposable income in the hands of common man,

especially from rural areas, will be beneficial for the sector.

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Market profile of the organization

1. Marico

Marico Limited is an Indian multinational consumer goods company providing consumer products and

services in the areas of health, beauty and wellness. With its headquarters in Mumbai, Maharashtra, India,

Marico is present in over 25 countries across Asia and Africa. It touches the lives of one out of every three

Indians through its portfolio of brands such as Parachute, Saffola, hair & Care, Parachute Advanced, Nihar

Naturals, Mediker and many more. It owns brands in categories of hair care, skin care, edible oils, health

foods, male grooming, and fabric care.

As of 2019–20, the company generated a turnover of ₹7,315 crores. Marico has 8 factories in India located at

Pondicherry, Perundurai, Kanjikode, Jalgaon, Paldhi, Dehradun, Baddi and Paonta Sahib.

The organisation holds a number of household brands such as Parachute, Parachute Advansed, Saffola, Hair

& Care, Nihar, Nihar Naturals, Livon, Set Wet, Mediker and Revive. In the international market, Marico is

represented by brands like Parachute, HairCode, Fiancée, Caivil, Hercules, Black Chic, Code 10, Ingwe, X-

Men and Thuan Phat.

 Male grooming – Set Wet, Beardo, Parachute Advansed Men Aftershower Hair Cream

 Hair Care – Parachute, Parachute Advansed, Nihar Naturals, Nihar Naturals Uttam, Hair & Care Fruit

Oils, Mediker, Livon

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 Edible Oils – Saffola

 Skin Care – Parachute Advansed Body Lotion

 Fabric Care – Revive

 Healthy Foods – Saffola Masala Oats & Saffola Fittify

2. L'Oréal

L'Oréal S.A. is a French personal care company headquartered in Clichy, Hauts-de-Seine[2] with a registered

office in Paris.[3] It is the world's largest cosmetics company and has developed activities in the field

concentrating on hair colour, skin care, sun protection, make-up, perfume, and hair care.

L'Oréal has the most brands on this list, with a total of 39 beauty brands, including major staples like Lancôme,

Maybelline, Urban Decay, Garnier, Essie, and The Body Shop.

It also has expensive skin-care and hair-care brands, including Pureology, La Roche-Posay, and SkinCeutical.

In made $27.6 billion in beauty annual sales in 2016, according to Beauty Packaging.

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3. Nirma Ltd.

Nirma is a group of companies based in the city of Ahmedabad in Gujarat, India, that manufactures products

ranging from detergents, soaps, cement, cosmetics, salt, soda ash, LAB and injectables. Karsanbhai Patel, an

entrepreneur and philanthropist, started Nirma in 1969 as a one-man operation.

 Soaps

 Detergents

 Edible & industrial salt

 Glycerin

 Critical care products

 Medical disposables

 Sugar

 Cement

 Castor oil

 Bromine

Nirma has over 25,000 employees and a turnover of over ₹20500 crore.[citation needed] The company has

multi-locational manufacturing facilities, and a broad product portfolio under an umbrella brand – Nirma.

Nirma successfully countered competition from FMCG and carved a niche for itself in the lower-end of the
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detergents and toilet soap market. However, Nirma realised that it would have to launch products for the upper

end of the market to retain its middle class consumers who would graduate to the upper end. The company

launched toilet soaps for the premium segment. However, analysts felt that Nirma would not be able to repeat

its success story in the premium segment.[citation needed]

Nirma's success in the highly competitive soap and detergent market was attributed to its brand promotion

efforts[citation needed], which was complemented by its distribution reach and market penetration. Nirma's

network consisted of about 400 distributors and over 20 lakh retail outlets across the country. This huge

network enabled Nirma to make its products available to the smallest village.

4. ITC Limited

ITC Limited is an Indian company headquartered in Kolkata, West Bengal.[5] ITC has a diversified presence

across industries such as cigarettes, FMCG, hotels, packaging, paperboards and specialty papers and

agribusiness. The company has a total of 13 businesses in 5 segments. Also there are 90 countries where ITC

exports its products. Its products are available in 6 million retail outlets.

Established in 1910 as the Imperial Tobacco Company of India Limited, the company was renamed as the

India Tobacco Company Limited in 1970 and later to I.T.C. Limited in 1974. The company now stands

renamed to ITC Limited, where "ITC" today is no longer an acronym. The company completed 100 years in

2010 and as of 2019–20, had an annual turnover of US$10.74 billion and a market capitalisation of US$35

billion. It employs over 36,500 people at more than 60 locations across India and is part of the Forbes 2000

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list. Within a relatively short span of time, ITC has built 25 mother brands, many of which are market leaders

in their segments. This vibrant portfolio of brands represents an annual consumer spends of over H19,700

crore today. ITC’s world-class Indian brands anchor competitive and inclusive value chains that create, capture

and retain larger value within the country.

ITC FMCG Products List

Below is the category-wise complete list of FMCG products being offered by ITC in India. You can also

download the complete list of ITC products in PDF format using the download link below.

Foods

 Aashirvaad Atta

 Bingo! Potato Chips

 Sunfeast YiPPee! Pasta

 Aashirvaad Svasti ghee

 Sunfeast Dark Fantasy

 Aashirvaad Iodised Salt

 Sunfeast Mom’s Magic

 Sunfeast Milk Biscuit

 Bingo! Tedhe Medhe

 Sunfeast Marie Light

 Sunfeast Bounce

 Sunfeast Wonderz Milkshakes

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Personal Care

 Fiama

 Savlon

 Charmis

 Engage

 Vivel

Stationery

 Classmate

Matches & Agarbatti

 Homelites

 Mangaldeep

5. Colgate-Palmolive

Colgate-Palmolive Company is an American multinational consumer Products Company headquartered on

Park Avenue in Midtown Manhattan, New York City. It specializes in the production, distribution and

provision of household, health care, personal care and veterinary products. Colgate- Palmolive (India) Ltd.
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was incorporated in 1937 as a fully owned subsidiary of its parent company based in USA. Colgate- Palmolive

(India) Ltd. is involved in the production of various kinds of consumer products in the categories of oral care,

personal care, household care, surface care, and skin care products. The company has provided its customers

with high quality products. This is an important factor in becoming one of the topmost FMCG companies in

India.

Main products

 Thermal Spa

 Liquid Hand Washes

 Surface Care

 Toothbrushes

 Shower Gel

 Tooth powder

 Shave Preps

 Skin Care

 Toothpastes

 Whitening Products

 Mouth Ulcer Treatment

 Sensitivity Treatment

 Tooth Whitening

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7. Procter and Gamble

The Procter & Gamble Company (P&G) is an American multinational consumer goods corporation

headquartered in Cincinnati, Ohio, founded in 1837 by William Procter and James Gamble. It specializes in a

wide range of personal health/consumer health, and personal care and hygiene products; these products are

organized into several segments including Beauty; Grooming; Health Care; Fabric & Home Care; and Baby,

Feminine, & Family Care. Before the sale of Pringles to Kellogg's, its product portfolio also included food,

snacks, and beverages. P&G is incorporated in Ohio. P&G recorded $83.1 billion in sales. P&G also

announced it was streamlining the company, dropping and selling off around 100 brands from its product

portfolio in order to focus on the remaining 65 brands, which produced 95% of the company's profits. A.G.

Lafley—the company's chairman, and CEO—said the future P&G would be "a much simpler, much less

complex company of leading brands that's easier to manage and operate.

Beauty Segment

 Head & Shoulders, Olay, Pantene

Grooming Segment

 Gillette,

Health Care Segment

 OralB, Vicks, Clearasil

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Snacks & Pet Care Segment

 Pringles Potato chips (Snacks Segment)

 Food for Dog and Cats (Pet Care Segment)

Fabric Care & Home Care Segment

 Ariel, Tide, Dawn, Mr. Clean, Duracell, Ambi Pur

Baby Care & Family Home Care Segment

 Pampers

7. Dabur India

Dabur India Ltd is an Indian multinational consumer goods company, founded by S. K. Burman and

headquartered in Ghaziabad, Uttar Pradesh.[3] It manufactures Ayurvedic medicine and natural consumer

products,[4] and is one of the largest fast-moving consumer goods (FMCG) companies in India.[5] Dabur

derives around 60% of its revenue from the consumer care business, 11% from the food business and

remaining from the international business unit.

The company’s FMCG portfolio includes five flagship brands with distinct brand identities, Dabur as the

master brand for natural healthcare products, Vatika for premium personal care, Hajmola for digestives, Real

for fruit juices and beverages and Fem for fairness bleaches and skincare products.

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Health Care

 Dietary Health Supplements

 Natural Health Products

 Food Supplements

 Digestive

 Ayurveda Medicines

Hair Care

 Hair Oils:

 Amla

 Almond

 Jasmine

 Coconut

 Shampoo

 Anti-Dandruff

 Conditioner

 Hair Mask

 Hair Gel, Wax & Cream

Oral Care

 Toothpaste

 Mouthwash

 Denture Adhesive

Skin Care

 Facial Bleaches

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 Face Fresheners

 Face Pack

 Face Wash

 Face Scrub

 Moisturizer Cream & Lotion

 Body Wash

 Hair Removing cream

Home Care
 Mosquito Repellent

 Air Freshener

 Liquid Soap

 Wet Wipes

Food
 Packaged Juices

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CHAPTER 2

COMPANY PROFILE

History of the Organization

Algo8 AI is an artificial intelligence company based out of Canada and India. Algo8’s contextualized

Enterprise AI product suite uses OT data to help businesses achieve operational breakthroughs that

significantly affect their top and bottom line. Through our expertise in machine learning, deep learning,

computer vision and NLP, we are trying to accelerate the adoption of AI in asset heavy and process driven

companies. Currently, Algo8 has served over 30 clients and 6 Industrial Fortune 500 companies across various

sectors in 4 countries. We offer customized solutions in process-oriented industries such as supply chain

automation, process optimization, intelligent asset management and maintenance, and energy efficiency. Our

solutions are based on next-gen data management capabilities, computer vision technology, and IIoT

setups.Algo8 AI brings Data Science expertise and enables the digital transformation of a client into a data-

driven organization. Born in India & based in Canada, Algo8 AI was founded in 2016. In almost four years

of its operations, Algo8 AI has enabled data-driven transformation for businesses in the field of manufacturing,

oil & gas, metals & mining, energy & utilities, FMCG etc. In a nutshell, Algo8 AI develops Artificial

Intelligence (AI) / Machine Learning (ML) products for optimizing lastmile operations in large industries. We

offer customized solutions for applications in process-oriented industries. Our products are based on a holistic

understanding of industrial processes, gained from extensive research, and collaboration with industry

professionals and subject matter experts.

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IT’S VISION

Empower People and Organizations on Earth to make better decisions that actualize their potential

IT’S MISSION

Provide Compelling AI Products and Services that maximize overall productivity, availability, quality, safety,

reliability & sustainability of operations through better decisions.

HOW THEY GOT STARTED

Current use of AI in industries is limited to point-solutions for non-core operations, but there is so much more

to be gained by leveraging these technologies for larger tasks. Our vision is to unlock the full potential of AI

applications and System of Intelligence (SoI) solutions by deploying them for enterprise-level applications.

Such a transition would maximize operational and managerial efficiencies, and drive down functional costs

significantly. To that end, we make sure that our solutions are user-friendly and can be easily incorporated by

businesses today without any operational losses in transition. Our products are packaged in intuitive and easy-to-use

interfaces, which provides the end-users with the right set of controls to manage their processes seamlessly in a low-

code environment.

AI ETHICS

Algo8’s vision is to “Enable an efficient human future with artificial intelligence” For us, AI compliments

the human intelligence to make better decisions for the sake of society. Computers have been better at basic

computations and mathematical processing since the very beginning, but things like decision-making,

subjective observation, and feedback incorporation are things out of their reach. As technology continues to

grow at an incredible rate, and machines are becoming more and more capable of performing tasks that are

handled by human operators, it is Algo8’s responsibility to put in AI ethical principles into practice. Our four

pillars or AI Ethics include:

ACCOUNTABILITY

Completely synergize resource taxing relationships via premier niche markets. Professionally cultivate one-

toone customer service with robust ideas. Dynamically innovate resource-leveling customer service for state

of the art.
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DATA RIGHTS

We believe that users should always maintain control over what data is being used and in what context. They

can deny access to personal data that they may find compromising or unfit for an AI to know or use. We

provide full disclosure on how the data being shared by the user is put into use and make sure that a non-

disclosure Agreement is in place before creating an AI engine

INNOVATING RESPONSIBLY

We are putting our principles into practice by taking a people-centric approach to the research, development,

and deployment of AI. To achieve this, we embrace diverse perspectives, continuous learning, and agile

responsiveness as AI technology evolves.

HUMAN IN THE LOOP SYSTEM

Our easy-to-use UI is easy to comprehend. As AI increases in capabilities and achieves a greater range of

impact, its decision-making process should be explainable in terms people can understand. Explain ability is

key our users Interacting with AI to understand the AI’s conclusions and recommendations. Our users should always

be aware that they are interacting with an AI.

Products\service of the Organization

 AI-Services

Strengthen your organization’s capabilities with state of the art Artificial Intelligence (AI) solutions driving

your operations.

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1. Artificial Intelligence (AI) Skill Building:-

Equip your in-house technology teams with AI expertise to drive your business operations intelligently

Industries everywhere are seeing a growing proliferation of AI tools and technologies in the workplace for a

variety of operations. That is to be expected since AI has far-reaching capabilities and multi-faceted industrial

application. The presence of AI and the rate at which it is being incorporated for business uses will only

continue to surge as AI-tech becomes more sophisticated each year.

2. Digital Transformation:-

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Our veteran consultant, thought leaders and data scientist supported by our 5 Al R&D follow a stringent

framework that apprise your organization of massive business impacts linked with parameters derived from

your under-utilized data.

3. AI Custom Development:-

Do not settle for commercial off-the-shelf (COTS) AI software. Algo8, s Custom AI development provides

you with AI application tailored to the specifics on your industry and business needs Customized and

contextualized AI development in the hands of right partner can help transform you company. We deliver

Impactful custom AI software tailored to your business requirements through our experts in ML and AI,At

Algo8 AI, we prioritize a comprehensive understanding of our clients’ process. This helps us delve deeper

into their operations, and see first-hand where the speed-bumps lie and exactly how big they are. Having

intimate knowledge of the pain- points our customers want to rectify, we arm our pre-built solution

frameworks and build in the particular AI-poared functionalities required to fortify operations for the client

setup.

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 AI-Product

Artificial Intelligence (AI) solutions are pushing the frontiers of tech-sophistication in industries across the

globe.

1. IProcess:-

Algo8 AI’s flagship Process Optimization platform Improve visibility around operations and enable advanced

capabilities that minimize any inefficiencies and streamline workflows for industrial establishments.

Leveraging predictive analytics, the platform suggests design and process updates based on data-driven

analysis and monitoring.

2. IAssets:-

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Algo8 AI’s flagship Smart Asset Management platform An AI-based decision facilitating tool to improve

visibility around critical equipment minimize downtime, and maximize equipment operational efficiency and

availability. We leverage predictive analytics to make the word “unforeseen” obsolete in industrial operations’

context with data driven predictions.

3. IVision:-

Algo8 AI’s flagship Intelligent Visual Analytics product An AI-based solution to heighten site-monitoring

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capabilities via computer vision technology. Through constant surveillance, the product assists

users to

maximize the productivity of their industrial operations, ensure consistent product quality, and also maintain

on-site security of personnel and assets.

4. IConverse:-

Algo8 AI’s flagship Smart Conversational Intelligence product Augment business operations with advanced

AI-tools built on Natural Language Processing (NLP) capabilities. With intelligent computer systems that

understand how people communicate in the real-world, users can enable effective human-computer

interactions and also allow data formatting and analysis for large volumes of data to reveal key insights and

patterns.

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GROWTH OF THE ORGANISATION

 IIT-Delhi, FIIT Partnership It gives us great pleasure to announce our partnership with IIT Delhi's

Foundation for Innovation and Technology Transfer (FITT). Algo8 AI will co-develop state of the art AI

solutions for industrial and government use-cases with the FITT.

 Algo8 AI: Among Top 23 Global Startups We are glad to share with you that Algo8 AI is among the TOP

23 STARTUPS from a pool of 1300+ startups from 29 countries across the globe at Vedanta Spark! This will

provide pilot opportunities for us within the Vedanta Group of companies and rapidly accelerate growth by

displaying the business impact AI solutions can deliver.

 LOCTITE News Join Algo8 at the Pro MFG Plant Maintenance & Asset Management Summit 2021

presented by Loctite. Learn how AI can be implemented for cost-effective inspection and maintenance of

critical assets

 IMPSA News It gives us immense pleasure to announce our strategic partnership with IMPSA in Industrial

AI. Together, Algo8 and IMPSA are bringing cutting edge Industrial AI to the world.

 NLP News Algo8 is proud to announce its next collaboration with a leading Canadian Tax Consulting

Company. Coming together is a beginning. Working together is a success!

SWOT Analysis of the Organization

The strengths of artificial intelligence:-

 Increase workplace productivity. Rather than spending hours of manpower on menial, repeatable tasks,

employees can configure artificial intelligence to manage it instead. Although we’ve already used machines

on the production lines before, AI allows us to manage a multitude of tasks more efficiently than before. This

is beneficial for all companies. By having technology manage everyday tasks (rather than humans) companies

save money. It lowers operations costs and even noncompliance fees. \

 Adopted into many industries. AI is now used in a variety of industries, ranging from digital marketing to

healthcare. The type and sophistication of the AI needed depend on the task — you’ll need less power to

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automate emails than sorting through a registry of patient information, for example. It’s not just for sorting

information either; we’re also seeing AI used in facial recognition and academic research too.

 Better quality of life. AI is used outside of the workplace as well. Within the home, people who have smart

speakers and light bulbs are using AI too. These devices make managing the home easier and can reduce the

cost of electricity. You can even find AI in your car, so long as you’re buying a brand like Tesla.In some ways,

it’s strange. Only a few years ago, artificial intelligence was found only in sci-fi books, games, and movies.

Now it’s commonplace, despite not reaching even its full capabilities yet.

The weaknesses of artificial intelligence:-

 Artificial intelligence remains inhuman. You know by now that artificial intelligence is a form of technology.

It can be a machine or an algorithm. But of course, it’s not human. And this last point remains a strength and

a weakness simultaneously. As a strength, it means people working in jobs requiring a touch of “humanity”

feel safe — their job isn’t up for grabs by our technological overlords quite yet. But as a weakness, this means

AI is limited. It’s a tool but not necessarily a solution. AI can communicate, but it can’t communicate

emotionally. And so, although it can use information, it won’t be able to grasp or react to the complexities of

human emotion.

 The chance to outsmart us. Developers are always pushing to redefine the limits of AI. Right now, it’s able

to complete a task, learn, and retain information. But maybe, in the future, it’ll get to the point of improving

and redesigning without human input. It’s this potential reality that makes people remember the robotic

overthrowing in the movie I, Robot.

 Governments are slow on the uptake. Technological experts, like Elon Musk, have warned against artificial

intelligence, believing that we need to be smart about how we use it. And how do we use it? This prompts the

question of ethics. Is there a line for the ethical use of AI? Bills, regulations, and laws aren’t keeping up with

the rapid development of technology. Even Congress doesn’t fully understand how the internet works, so what

hope is there for the ethical use of AI?

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Opportunities of artificial intelligence:-

 Combing AI with newer forms of tech. Artificial intelligence is connected to other new forms of technology,

including machine learning, deep learning, and the Internet of Things (IoT). It’ll likely be adopted into

programming, enabling developers to reverse problem solve. This allows for enhanced responses to problems,

which may benefit other industries, like customer service.

 Smart cars drive progress for people with disabilities. Right at this moment, we’re seeing the adoption of AI

into the automobile market. Tesla car models use it to selfdrive on the highway and park without human

assistance. Obviously, this is something straight out of a scienc fiction novel (aka cool as heck) but it’s also

beneficial for people who have disabilities and has impacted their driving ability.

 Less strain on employees. And as I said in the strengths section of this SWOT analysis, AI allows us to

automate boring, trivial tasks. This is perfect for people who dread taking care of these tasks and would rather

focus on the “big picture”. Entrepreneurs or startups who have employees wearing a lot of hats and are

stretched thin will love AI for this.

The threats of artificial intelligence:-

 Job stealing. People believe the adoption of artificial intelligence will lead to job loss. And honestly, this is

happening at a small scale. Think about those self-checkouts at Walmart. There’s several of them and only

one or two employees stepping in whenever a customer has a problem. No more humans working the cashier

is a viable future for corporations. This is one example of AI taking over simple human tasks, but also taking

away job opportunities. To combat this, the job market will need to evolve. Rather than being replaced,

humans will need to work alongside AI. Whether this is a viable future is yet to be determined.

 Will we lose control? People wonder — will AI become so intelligent, humans can’t control it any longer?

This seems like a far off fear, but it may be closer than you think. IBM has a supercomputer named Watson,

who appeared on and won more than $5 million on the game show Jeopardy back 2011. Watson is hooked up

to the cloud and uses machine learning and analytical software. It proved to be smarter than humans (at least

in finding, using, and retaining information quickly) on the show eight years ago — and this is when artificial
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intelligence was “new”. Is it possible for Watson (or similar supercomputers) to eventually become sentient?

It’s too soon to tell, and this is the threat people feel.

 What happens when AI gets it wrong? AI is used in the diagnosis of medical conditions. In fact, it’s been

known to find diagnoses quicker than humans. But what if the computer gets it wrong? Or if the technology

is corrupted by a virus and changed? The repercussions of premature or completely wrong diagnoses could

lead to fatalities. See, the biggest threat to AI is the “what if” of it all. Since technology is constantly tested

and advanced, we don’t know the limits. And that’s both exciting and terrifying

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PART- 2

CHAPTER 3

STUDY OF THE SELECTED RESEARCH PROBLEM

Statement of the research problem

The Retailer is a person or firm engaged in commercial purchase and sale. Retailer may signify firms that buy

or resell products at retail or whole sale basis. A Producer cannot sell all his products directly to consumer, he

has to depend upon intermediaries to push, off his products. A dealer is an intermediary who helps to market

a product.. A retailer may be a wholesaler or a retailer or a distributor or any agents. The volume of sales

depends on the efficiency of a retailer who assesses the psychology of consumers and takes appropriate steps

to sell a product. It is the dealers who suggest to the manufacturers the suitable media of advertisement and

other promotional tools. Retailers are searching for new marketing strategies to attract and hold customers.

Retailer includes all activities involved in selling goods and services to those buying for resale or business

use. Retailer buys mostly producers and sells mostly to retailers or industrial consumers. Retailer wants high

marginal gain from manufactures. The main objective of dealership is earning profits. Retailer business is

different from other business. The peculiar feature of a dealer is dealing with one or more similar products.

Retailers earn commission for goods sold from the manufactures. The commission depends upon the value of

sales both cash and credit. Now a days the demand for cement increases every year. The manufactures are

notable to cover all the consumers directly. With the help of dealers only they can reach the consumers. Dealer

accepts income from business because there is some guarantee of getting more commission from his business.

Dealers demand more commission from the manufactures; they cover the entire market within their locality.

They also sell cement in credit to regular customer.

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Review of Literature

Ramanathan,V (2001)

Ramanathan,V (2001) states that the strategies adopted by the FMCG companies to satisfy the retailing

channel by using various components and policies.

Vlachos and Bourlakis (2006)

According to Vlachos and Bourlakis (2006) in today’s competitive markets, to develop joint marketing

programs and to increase their performance channel members are increasingly looking for having fewer but

stronger relationships with their partners. The strong relationship build up by the retailer satisfaction based on

the products.

Ren, Oh, & Noh (2010)

In Ren, Oh, & Noh (2010), the developing countries the manufacturers and large retailer relationship

significantly different from those of developed countries in many aspects. To assess the validity of existing

marketing theories in the context of developing countries is a real need.

O’Brain (2010)

According to O’Brain (2010) talks about relationship quality between retail relationships and loyalty. The

loyalty program quality and Page personal interaction quality are an antecedent to investigate the relationship

quality in retail relationships.

Credit policy plays an important role in relationship development between the retailer and supplier. This gap

will be filled by the dissertation.

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Piercy (2010)

According to Piercy (2010) describes that competition strategy is primarily analysed based on the cooperative

channel settings and contingently interpreted for competitive situations between channel. For a long time if

the manufacturers have cooperated with retailers contact the end-users also satisfied with this approach.

Greasley, Assi (2012)

Greasley, Assi (2012) states that among quality, pricing, packaging and manufacturerretailer relationship the

most important factor is the delivery from retailers’ view point.

This theory describes two important attribute such as delivery and logistics which directly affects the retailers.

Statement of the research objective


 The main objective of this project is to find, what are the steps Hindustan Unilever Ltd. is adapting to be

market leader and to differentiate itself from its competitors.

 To study various trends of FMCG

 To study the competitive trends in the market of ,home care products, food brands, personal care products

 To find the market share of the FMCG brands and its competitive brands.

 To determine the key areas of strength and weakness for FMCG brands to develop a promotion plan for

brand communication of the FMCG

 To study various marketing strategies of FMCG

 To know the availability of FMCG Products in the retail market.

 To collect the effectiveness and credit policy of the company.

 To find out the satisfaction level of retailers with reference to financial and

 Non- financial sales promotion incentives of FMCG.

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RESEARCH METHODOLOGY

The study is undertaken to know the effectiveness of FMCG supply chain in Kanpur with regard to retailer’s

satisfaction. Random Sampling method is used to collect the needed information to meet out the objectives of

the study. Both primary data and secondary data are collected for the purpose of research study. Primary data

consists of information collected from the 100 respondents through well framed questionnaire and interview

technique. Further secondary data was collected from various sources like published books, articles,

newspapers, research related documents etc.

Research Design

Quantitative research

Quantitative research is generally closely affiliated with ideas from 'the scientific method', which can include:

 The generation of models, theories and hypotheses

 The development of instruments and methods for measurement

 Experimental control and manipulation of variables

 Collection of empirical data

 Modeling and analysis of data

Quantitative research is a research strategy that focuses on quantifying the collection and analysis of data.[1] It

is formed from a deductive approach where emphasis is placed on the testing of theory, shaped

by empiricist and positivist philosophies Associated with the natural, applied, formal, and social sciences this

research strategy promotes the objective empirical investigation of observable phenomena to test and

understand relationships. This is done through a range of quantifying methods and techniques, reflecting on

its broad utilization as a research strategy across differing academic disciplines. The objective of quantitative

research is to develop and employ mathematical models, theories, and hypotheses pertaining to phenomena.

The process of measurement is central to quantitative research because it provides the fundamental connection

between empirical observation and mathematical expression of quantitative relationships.

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Quantitative methods are an integral component of the five angles of analysis fostered by the data percolation

methodology, which also includes qualitative methods, reviews of the literature (including scholarly),

interviews with experts and computer simulation, and which forms an extension of data triangulation.

Quantitative methods have limitations. These studies do not provide reasoning behind participants' responses,

they often do not reach underrepresented populations, and they may span long periods in order to collect the

data.

Descriptive research

Descriptive research h is used to describe characteristics of a population or phenomenon being studied. It does

not answer questions about how/when/why the characteristics occurred. Rather it addresses the "what"

question (what are the characteristics of the population or situation being studied? The characteristics used to

describe the situation or population are usually some kind of categorical scheme also known as descriptive

categories. For example, the periodic table categorizes the elements. Scientists use knowledge about the nature

of electrons, protons and neutrons to devise this categorical scheme. We now take for granted the periodic

table, yet it took descriptive research to devise it. Descriptive research generally precedes explanatory

research. For example, over time the periodic table's description of the elements allowed scientists to explain

chemical reaction and make sound prediction when elements were combined.

Hence, descriptive research cannot describe what caused a situation. Thus, descriptive research cannot be used

as the basis of a causal relationship, where one variable affects another. In other words, descriptive research

can be said to have a low requirement for internal validity.

The description is used for frequencies, averages and other statistical calculations. Often the best approach,

prior to writing descriptive research, is to conduct a survey investigation. Qualitative research often has the

aim of description and researchers may follow up with examinations of why the observations exist and what

the implications of the findings are.

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Measurements/Scaling Technique

Questionnaire

A questionnaire is a research instrument that consists of a set of questions (or other types of prompts) for the

purpose of gathering information from respondents through survey or statistical study. A research

questionnaire is typically a mix of close-ended questions and open-ended questions. Open-ended, long-term

questions offer the respondent the ability to elaborate on their thoughts. The Research questionnaire was

developed by the Statistical Society of London in 1838.

Although questionnaires are often designed for statistical analysis of the responses, this is not always the case.

Questionnaires have advantages over some other types of surveys in that they are cheap, do not require as

much effort from the questioner as verbal or telephone surveys, and often have standardized answers that

make it simple to compile data. However, such standardized answers may frustrate users as the possible

answers may not accurately represent their desired responses. Questionnaires are also sharply limited by the

fact that respondents must be able to read the questions and respond to them. Thus, for some demographic

groups conducting a survey by questionnaire may not be concretely feasible.

Hypothesis Formulation

• The alternative hypothesis (H1) – The retailer satisfaction level depends upon

The daily sales and distribution of the FMCG Products.

• The null hypothesis (H0) – the retailer satisfaction level independent upon the

Daily sales and distribution of the FMCG Products.

Scope of Study

 To improve the sales in the competitive market.

 To study the purchasing behavior of the retailer


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 To study market potential of FMCG Products.

 To improve the retailer’s satisfaction level

Research design

Research Design is Descriptive in nature. Descriptive research is undertaken to describe answers to questions

of who, what, where, when, and how. Specially used in Business and marketing research. The research will

be carried out in the form of a survey which will be done in

KANPUR.

Sampling Techniques
The type of Scaling Technique used in the questionnaire is Likert scale, ordinal scale. Where respondents

indicate their own attitudes by checking how strongly they satisfied or dissatisfied with carefully worded

statements that range from very positive to very negative towards the attitudinal object. Respondents generally

choose from five alternatives (highly satisfied, satisfied, average, dissatisfied, and highly dissatisfied)

Sample Size

The sampling unit is 100 which are divided as follow.

No. of respondents 100

Location Kanpur

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Data Collection

The validity of any research is based on the data collected for the study. The present research is based on both

primary as well as secondary data. The primary data is collected from the respondents in the study area through

personal contact. “RETAILER SATISFACTION TOWARDS SUPPLT CHAIN MANAGEMENT OF

FMCG” on the basis of simple random sampling method were taken as respondents

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CHAPTER4
DATA ANALYSIS & INTERPRITATION

 Age of respondent

Age No. of Respondents Percentage of


Respondents

Below 25 39 36.8
25-35 24 22.6
35-45 30 28.3
Above 45 13 12.3

Interpretation : In the above graph and chart it shows the age group of the people who has responded the

questionnaire And the group is divided in four categories maximum peoples belongs to the age group of Below

25 , then after belongs to the age group of 25-35 and 35-45. But less peoples belong to the category of Above

45.

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 Education Qualification

Education No. of Respondents Percentage of


Respondents
Below 12th 21 19.4
Dip/IT 20 18.5
UG 41 38
PG 26 24.1

Interpretation : The above chart and graph shows the education qualification of the respondents. The

maximum respondents belongs to UG, then after belongs to the category of PG.

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 Years of Dealing with FMCG Products

Years of dealing No. of respondents Percentage of


Respondents
Below 5yrs 29 18.7
5-10yrs 38 35.5
11-15 30 28
above 15yrs 19 17.8

Interpretation : The above chart and graph shows from how many years the respondents are using

FMCG products. Maximum time of usage is from 5-10yrs by the respondents.

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 Do you stock FMCG products now?

Interpretation:- The above shows that how many respondent are interested in buying the FMCG products
38% are not interested while 62% are interested.

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 How did you come to know about FMCG Products?

No. of Percentage of
respondents respondents

Through Distributors 29 27.1


Through Customers 29 27.1
Through Advertisements 33 30.8
Through Other Retailer 16 15

Interpretation:- In this question we ask the respondent how they come to know about FMCG 27.1% said

they learned it through Distributors 27.1% said they learned it from customers 30.8% and 15% learned it form

advertisements and other retailer.

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 Motivation factor to buying FMCG products

No. of Percentage of
respondents respondents
Fast moving brands 39 36.1
better profit Margin 34 31.5
Non-financial Incentives 20 18.5
Discount in price 15 13.9

Interpretation:- We asked them what motivated them to buy the FMCG products 18.5 said for non-

financial incentives 13.9% said for discount price 31.5 and 36.1 said for better profit margin and fast moving

brands.

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 From where do you get FMCG Products?

No. of respondents Percentage of


respondents
Distributors 23 21.3
Suppliers 29 26.9
Manufacturer 19 17.6
Wholesalers 20 18.5
Retailer 17 15.7

Interpretation:- 21.3 said they get it from Distributors, 26.9 said they get it from suppliers while 17.6

said they get it form manufacturer 18.5 form whole seller and 15.7 from retailer.

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Are you satisfied with FMCG Products distributor/Suppliers/Wholesalers
service?

No. of respondents Percentage of


respondents
Highly Satisfied 33 30.6
Satisfied 34 31.5
Average 19 17.6
Dissatisfied 15 13.9
Highly dissatisfied 7 6.9

Interpretation :- In this question we asked the satisfaction level of the customers while buying the product

30.6 where highly satisfied 31.5 where satisfied 17.6 said average and 13.9 where dissatisfied there where 0

higly dissatisfied

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 Satisfied with the services rendered by FMCG sales man

No. of respondents Percentage of


respondents
Highly Satisfied 29 26.9
Satisfied 29 26.9
Average 23 21.3
Dissatisfied 11 10.2
Highly dissatisfied 16 14.8

Interpretation :- 26.9 where highly satisfied with the services provided by the salesman of FMCG 26.9

where just satisfied 21 average while 10.2 were dissatisfied and 14.8 where highly dissatisfied.

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 Satisfied with Ordered goods received on right time and in right
quantity

No. of respondents percentage of


respondents
Highly Satisfied 24 22.2
Satisfied 32 29.6
Average 22 20.4
Dissatisfied 15 13.9
Highly dissatisfied 15 13.9

Interpretation:- 22.2 where highly satisfied with the ordered g goods of FMCG 29.6 where just satisfied

20.4 average while 13.9 were dissatisfied and 13.9 where highly dissatisfied.

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 Satisfied with the wholesale price of FMCG products?

Interpretation:- Here we asked whether they are satisfied with the wholesale price of FMCG 34.6 said

No while 65.4 said yes

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 Satisfied with the packaging of the delivered products?

No. of respondents Percentage of


respondent
Highly Satisfied 30 27.8
Satisfied 25 23.1
Average 28 25.9
Dissatisfied 14 13
Highly dissatisfied 11 10.2

Interpretation:- 27.8 where highly satisfied with the packaging services provided by the of FMCG 23.1

where just satisfied 25.9 average while 13 were dissatisfied and 10.2 where highly dissatisfied.

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Are you satisfied with the value derived by using the FMCG products?

Interpretation :- here we asked whether they are satisfied with the value they are getting form FMCG

31.5 said No while 68.5 said yes.

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Satisfied with the timely delivery of the ordered products?

No. of respondents percentage of


respondents
Highly Satisfied 31 28.7
Satisfied 26 24.1
Average 25 23.1
Dissatisfied 12 11.1
Highly dissatisfied 14 13

Interpretation: 28.7 where highly satisfied with the timely delivery provided by the of FMCG 24.1 where

just satisfied 23.1 average while 11.1 were dissatisfied and 13 where highly dissatisfied.

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CHAPTER5
SUMMARY AND CONCLUSIONS

• The Research shows the study of analysis of FMCG

• The financial analysis has been made in attempting to draw some rough conclusion on the financial

performance of FMCG sector companies name FMCG.

• In the evaluation of financial statements of companies it was found that FMCG is doing better as compared

to Britannia industries and Dabur India Ltd.

• FMCG has been maintaining healthy ROE of 81.97% and ROCE of 113.67%over the past 3 years. Also, it

has an efficient Cash Conversion Cycle of -61.60 days. Sales growth is 4.71%. for the past 5 years which is

less as compare to 3 past years which was 6.74%.

• Operating profits grew by 35 per cent y-o-y to 449.30 crore and operating margins expanded by 3,302 basis

points. Net profits grew by 4 per cent y-o-y to Rs. 394.90 crore.

• FMCG has been maintaining an effective average operating margins of 32.76% in the last 5 years. The

operating profit is also increased. Company is also virtually Debt free. It has a good cash flow management.

It has been also analyzed that a degree of operating leverage, Average Operating leverage stands at 3.50. when

checked the current assets have increased proving us right. The liabilities side is also rising from the previous

year. It has shown a poor revenue growth of 4.40% for the past 3 years. Company has been maintaining healthy

ROE of 24.45% over the past 3 years. Also, it has an efficient Cash Conversion Cycle of 3688 days.

• When we talk about the profitability ratios namely gross profit margin, net profit margin, return on net worth.

We saw that it was ITC which was performing far better than other in financial year 2019-2020. The liquidity

ratios i.e., current ratio, quick ratio, debt-equity ratio. In majority of the ratios ITC had performed well but to

say which company has a good liquidity is difficult.

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Recommendations:

The various recommendations reached at, are a result of direct questionnaires as well as informal responses

given by the respondents.

 Mostly dealers buy goods from the distributors and customers buy goods from the dealers and retailers.

 Dealer’s plays order when the stock is being less than one production inventory.

 In the supply chain decision of the FMCG company is the back end decision

 In the supply chain of FMCG Procurement, distribution and the logistics decisions are centralized.

 FMCG companies supply chain products suitable and easy.

There are the following suggestions regarding this according to my research report,

First of all I would like to suggest dealer should buy the products from the directly to the organization so that

the SCM would be better and they can get the product on the cheaper price and the management of the supply

chain could be better.

 Dealers should generally buy the product then the schemes are going on so that they can get the

maximum benefit.

 Since back end decisions affect the organization most in the inventory management so they should

take care for this.

 Dealers should take care for the inventory management so that they would be in the race as P&G,

Dabur and ITC are the competitors of the FMCG

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Pranveer Singh Institute of Technology Summer Internship Project
Limitations of Research

 The results of this study should be viewed with a small number of sample

 The method used by us in order to collect the data is very common as we have used the Questionnaire

method for this research study. Other methods could have been used for this research study like group

discussions/ discussion forum etc. •

 Time limit.

 The sample size may not adequately represent the national market.

 This study has not been conducted over an extended period of time, it do not consider any changes due to

changes in the sudden needs of the customer because of some seasonal change or any kind of festivals.

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Pranveer Singh Institute of Technology Summer Internship Project
Conclusion

It is concluded that the successful implementation and sustainable of supply chain management practices –

Agreement Continuum can be identified the variables of Coordination with supply chain partners i.e. Suppliers

and customers, Operational networking with suppliers and logistics service providers, Functional areas in joint

action with suppliers and customers, Mechanistic of SCM implementation, Sales planning and improving

customer service, and Leanness of supply chain. It is also concluded that the successful implementation and

sustainable of supply chain management practices of FMCG – Adoption Continuum can be identified the

variables of Collaborative Planning, Operational networking with suppliers and logistics service provisions,

Cross Functionality of joint action with suppliers, Strategic Partnership and outsourcing in Competitive

Environment, and Strategic Supplier Selection, Evaluation and Development are essential for the supply chain

management in FMCG. Hence, the present study investigated the Supply Chain Management in FMCG

followed a detailed picture of how supply chain management takes place.

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Pranveer Singh Institute of Technology Summer Internship Project
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WEBSITE

 www.FMCG.com

 IndianRetailer.com

 Economictimes.com

 https://www.statista.com/statistics/763888/india-hindustan-unilever-limited-gross-sales-value/

 https://www.unilever.com/news/news-and-features/Feature-article/2021/winning-in-many-indias-

lessons-in-growth-from-hindustan-unilever.html

 https://www.indiainfoline.com/company/hindustan-unilever-ltd-key-ratios/financials/255

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Pranveer Singh Institute of Technology Summer Internship Project

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