effective use of distribution automation system for development of b

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“Effective use of DAS for the development of Business ” In Hindustan Coca-Cola Beverages Pvt. Ltd., Patna By VIKASH NISHAD PGDM (2010-12) Reg. No-ASBM/HYD/PGDM/2010-12/12

HISTORY:

HISTORY The history of world’s largest beverage company begins more than a century ago. On May 8, 1886 was a particular day when the world’s largest favorite soft drink was made by the pharmacist Dr. John Stith Pemberton. The trademark Coca Cola first registered in the United States patents office on January 31, 1893. In 1984 the company opened its first syrup manufacturing plant in DALLAS, TAXAS.

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In 1977 Coca Cola began packaging Coke and other drinks in two liter plastic bottles. In 1982 the company introduced Diet Coke, which soon becomes the best selling diet soft drink in the world.

THE COCA COLA COMPANY IN INDIA :

THE COCA COLA COMPANY IN INDIA The Coca Cola Company entered India in early 1950s. It set up four bottling plants at Bombay, Calcutta, Kanpur and Delhi. By the end of 1977 Coca Cola had captured more than 45% of market share in India. Cola (the world most favorite soft drink) returned to India after a16 year absence on October 26 th 1993 with its launch in Hathars near Agra home of the famous TAJ MAHAL.

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An agreement in March 1993 with the Parle group gave the company instant ownership of the nation’s top soft drinks, with access to Parle, s 53 plant bottling network and base for the rapid introduction of the company’s international brands.

HINDUSTAN COCA COLA BEVERAGE PVT. LTD :

HINDUSTAN COCA COLA BEVERAGE PVT. LTD In the network of the Coca Cola system, Coca Cola has either of two bottling operations for the company. 1. COBO (company owned & bottling operation) 2. FOBO (franchise owned & bottling operation) After 1993, when Coca Cola re-enters India market, done a lot of changes in existing system of soft drink market prevailing in India

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Mission Our Roadmap starts with our mission, which is enduring. It declares our purpose as a company and serves as the standard against which we weigh our actions and decisions. To refresh the world... To inspire moments of optimism and happiness... To create value and make a difference.

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Vision Our vision serves as the framework for our Roadmap and guides every aspect of our business by describing what we need to accomplish in order to continue achieving sustainable, quality growth. People: Be a great place to work where people are inspired to be the best they can be. Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy people's desires and needs. Partners: Nurture a winning network of customers and suppliers, together we create mutual, enduring value. Planet: Be a responsible citizen that makes a difference by helping build and support sustainable communities. Profit: Maximize long-term return to shareowners while being mindful of our overall responsibilities. Productivity: Be a highly effective, lean and fast-moving organization.

Highlights about the company :

Highlights about the company The Coca- Cola Company is world’s largest soft drink company Around 10,450 soft drinks from the Coca-Cola Company are consumed every second. 4 of top 5 soft drink brands are owned by the Coca-Cola Company. The Coca-Cola company is a pioneer among corporate in undertaking social and community development projects.

Market position and Highlights of Financial Statements :

Market position and Highlights of Financial Statements Coca Cola owns about 70 percent of the total market share. Financial Highlights (in millions) Total sale of PATNA in 2009- 88,500 c/s approx (by volume) Total sale of PATNA till July 2010- , 5000 c/s approx (by volume)

Coca Cola Products :

Coca Cola Products Coca Cola is a humble beginning in 1886, it is now the flagship brand of the largest manufacturer, marketer and distributor of non- alcoholic beverages in the world. Thums Up is a leading carbonated soft drink and most trusted brand in India. Originally introduced in 1977

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In India, Sprite was launched in year 1999 and today it has grown to be one of the fastest growing soft drinks, leading the clear lime category. Lime n’ Lemoni Limca , the drink that can cast a tangy refreshing spell on anyone, anywhere. Born in 1971 Fanta – The orange drink of The Coca-Cola Company, is seen as one of the favorite drinks was launched since 1940.

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Maaza was launched in 1976 . Here was a drink that offered the same real taste of fruit juices and was available throughout the year. Kinley water was launched in August 2000 Kinley water comes with the assurance of safety from the Coca-Cola Company

Competitors :

Competitors Pepsi introduced its operation in India in 1988 in Kanpur and since then, PepsiCo has set up a fully integrated operation in India. In 1993 There are 34 bottling plants of Pepsi in India. PepsiCo directly controls some and rests are under various franchises. One of its bottling units is in Hajipur (Bihar).

Products of Pepsi :

Products of Pepsi Cola- Pepsi Lemon- Mountain Dew, 7UP Orange- Mirinda Juice- Slice, Tropicana Water- Aquafina Soda- Lehar Other competitors are Parle Agro with products Appy Fizz.

Background of the study :

Background of the study D.A.S (Distributor Automation System)- D.A.S is a unique system which is adopted by coca-cola in worldwide for sustainable growth in beverages business. At Coca-Cola, it was tailored to meet specific requirements that included 'centralized masters' and a day-end transaction summary for MIS analysis.

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ADVANTAGES OF DAS 1. Systematic operation of all the transaction. 2. The overall sales record can be detected at one glance. 3. One can find the number of dumping outlet in one whole day. 4. Order can be automatically generated by this SYSTEM. 5. No fear of fraud from distributor side.

DISADVANTAGES OF DAS :

DISADVANTAGES OF DAS 1.Required highly educated Salesman an employee to understand the system. 2 . B ased on PRE-ORDER sale. Whereas coca-cola survive in market on both the strategy i.e. TWO-WAY (ready with stock in market) marketing and ONE-WAY marketing.

Objectives :

Objectives General objective :- General objective of DAS is bringing information, control and transparency across the value chain and system.

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Specific Objective :- To check in GCC outlet dump (here dump refers to the list of outlets). MAP the wrongly mapped outlets with correct Distributors. Identify the flaws and errors and close the inactive and repeated/duplicate outlets. To find out the new outlets.

Summary and Recommendation:

Summary and Recommendation Summary- During research it was found that most of the shops which are entered in the DAS system are entered twice i.e. it is repeated in the DAS system. Also many inactive outlets were shown as active in the DAS and some outlets are wrongly mapped with the other distributors. It was also found that due to lack of knowledge about DAS, a problem of ineffective entry in DAS arises which further creates problem in knowing the right bill cuts.

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It was also found that some of the complains like about SGA, untimely delivery of goods, about schemes, etc is not fulfilled properly. It is also found that schemes of the company are reflected on the company’s bill which further helps the retailers in knowing about the schemes.

Recommendation :

Recommendation There should be correct feedback system from the retailers on the performance of salesmen. This will help to improve their efficiency and accountability. Moreover, this will also help in reducing the confusion among the retailers that the salesman does not explain the schemes properly. The company should pullout their SGA (Sales Generate Assets) timely from those outlets which are fully closed so that these SGAs can be issued to other outlets.

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Proper training about DAS should be provided to the Distributors so that they can make the entry correctly. Delivery system should be improved. Goods should be provided as per demand during the peak seasons.

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