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Supply Chain Innovation at Geddy’s Deccan Consulting (R 3098A)

Supply Chain Innovation at Geddy’s Deccan Consulting (R 3098A). Tarun Sharma Monica Ravi Vinod Varma Penmetsa Deepika Mokkarala . Agenda (Tarun). Why We Are Here (Tarun). Problem Statement .

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Supply Chain Innovation at Geddy’s Deccan Consulting (R 3098A)

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  1. Supply Chain Innovation at Geddy’sDeccan Consulting (R 3098A) Tarun Sharma Monica Ravi Vinod Varma Penmetsa Deepika Mokkarala

  2. Agenda (Tarun)

  3. Why We Are Here (Tarun) Problem Statement To manage the seasonality of the market demand in order to increase profitability and reduce stock outs Key Issues • Capacity utilization • Service level policy • Seasonality of the demand

  4. Our Recommendations (Tarun) • Eliminate target level for top margin policy • Use target service level policy for higher profits • Replenishment of flavor based on demand • Current system based on margins on decreases profits • Market expansion through In-store freezer • Helps to utilize excess capacity and increase brand equity

  5. Supply chain challenges (Tarun)

  6. Where to focus? (Monica) Cost-Efficiency Market Expansion • Improved utilization • Penetrate new markets • Enhances brand equity • Ability to mitigate risk • Ability to reach untapped customers • Additional capital expenditure • Additional Infrastructure • Improved Profit margin • Optimization of supply chain • Quality deterioration • Continued under utilization of excess capacity

  7. How to expand? (Monica)

  8. Capacity Planning-Peak Season (Vinod)

  9. Capacity Planning-off-peak Season(Vinod)

  10. Seasonality vs. Profits (Vinod) • Assumption that high margin products  high profits is proven false

  11. Average Weekly Profit/Policy (Deepika)

  12. Implementation (Deepika)

  13. Analyzing Risks (Deepika) 1 $ 1 Impact of Risk 3 2 2 3 50% 0% 100% Likelihood of Risk

  14. Overcoming the Challenges (Deepika) • Now is the time to: • Expand locally • Adopt demand based replenishment policy • Eliminate target service level policy based on margins

  15. Questions?

  16. APPENDIX

  17. SWOT • Quality • Strong supplier base • Economies of scale through alliances • Less awareness compared to market players • Adulterated market • Seasonality of the demand • Target customers are traditionally non –ice cream eating Strengths Weaknesses Threats Opportunities • Expand locations • Expand into retail market • Increase the product range • Established competitors • Increase in raw material cost owing to macro economic factors

  18. Profit calculations for Expansion

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