Professional Documents
Culture Documents
PROJECT REPORT ON
CUSTOMER
SATISFACTION
AT
(H .O .D IN MANAGEMENT)
INDEX
Acknowledgement
Executive Summary
Retail-Introduction
Company Overview
10
VRPLs business
13
Domain Area
Financial Management
14
Marketing Management
21
Operations Management
28
MTIC
36
Human Resource
41
E-commerce
46
Road ahead
50
51
Conclusion (S,C,R)
53
Bibliography
55
ACKNOWLEDGEMENT
Words often fail to express ones inner feelings of gratitude and indebtedness to ones
benefactors, but then it is only the readily available medium through which the
undersigned can express his sincere thanks to all those who are associated with the work
in one way or the other. Nothing concrete can be achieved without an optimal
combination of inspiration and perspiration. No work can be accomplished without taking
the guidance of the experts. It is only the critiques from ingenious intellectuals that
helped transform a product into a quality product.
Project work is never the work of an individual. It is more of a combination of use,
suggestions and contributions and work involving many individuals. This project also
bears the impact of many people. First and foremost I would like to gratefully
acknowledge and express my sincere gratitude towards___________, my faculty guide
who always helped and provided guidance during the course of my project. I would like
to extend my earnest thanks for her assistance in the course of my project. The learning
during the project was immense & invaluable.
I shall be failing in my duties if I do not express my gratitude to other faculty members
and dear friends for their useful help at various stages of this project.
___________
EXECUTIVE SUMMARY:The project is about business development strategy of Vishal Retail in near future as a
part of expansion plan being adopted by the company. This is about all the operations
performed in the Vishal Mega Mart. Retail industry is booming all around the globe at a
very fast pace. Vishal Retail is a known and strong competitor in the retail industry since
23 years. When we talk about Indian market, the demands of every thing which you can
find in every retail store are increasing every year. Indians are famous for their traditions
and festivals and exchanging gifts with friends and relatives is a part of it.
This project report is the study of various activities and strategies of Vishal Mega Mart
and relates it to the theoretical aspects within the scope of our subjects. It also helps us in
understanding the functioning that took place with in an organization from different
perspectives. A questionnaire has been drafted, to try and understand the psyche of the
VISHAL MEGA MART customers to know their needs and expectations which can be
further utilized by the company to gain a competitive edge over their competitors. It also
helps us in understanding the different technologies being used by VRPL.
In the end, I came up with some suggestions based on my analysis of customer tastes and
preferences and competition prevailing in retail sector.
OBJECTIVES:1.
2.
To study the financial health of the organization in the current scenario and its
stock.
3.
To study the selection and recruitment process of the employees and also to
analysis the training and development method of the company.
4.
5.
To know the production process and plant location and layout of the company.
6.
Time available for the project being very short, in-depth study could not be done.
2.
The officials interviewed did not give the detailed information on recruitment and
selection policies to maintain confidentiality.
3.
Sample size during the survey could not be taken higher due to time constraint.
4.
In-depth financial information could not be attained due to the policies of the
company.
RESEARCH METHODOLOGY:Methods are the means to accomplish objectives. This study of Vishal Retail is primarily
accomplished through secondary data since the collection of data was made through
INTRODUCTION:The Retail Sector is the largest sector in India after agriculture, accounting for over 10
per cent of the countrys GDP and around 8 per cent of the employment. India has the
most unorganized retail market in the world. Most retailers of the unorganized retail
market have their shop in the front and house at the back. The Retail Industry in India is
today amongst the fastest growing industries with several players entering the market.
Currently, the organized retail sector accounts for only 2 per cent indicating a huge
potential market opportunity. India is being seen as most attractive market by retail
investors from all over the world. Retail is clearly the sector that is poised to show the
highest growth in the next five years. The sector is set for a revolution, as both the
present players and new entrants are gearing up to explore the market. The present size of
the organized retailing sector is approximately 3% and is expected to grow to 25-30% by
the year 2010. There are about 300 new malls, 1500 supermarkets and 325 departmental
stores currently under construction. Many players are coming up with huge investments,
due to which the present 12 million mom-and-pop shops and kirana stores fear losing
their business. Most predictions say that the sector might reach to US$ 400-600 billion by
the year 2010.
Global retail giants such as Wal-Mart, Tesco, Germany's Metro AG and many others are
ready to enter the retail markets. The rising demands of branded products and increase in
purchasing power have lured these companies to enter the market. Modern retail
development in India is focused on the cities like Mumbai, Pune, Ahmedabad, Delhi and
the National Capital Region, Chennai, Banglore, Hyderabad, Kolkata. The leading Indian
retailers are Bata India Ltd, Big Bazaar, Crossword, Vishal Mega Mart., Food Bazaar,
Globus Stores Pvt. Ltd., Liberty shoes Ltd., Music World Entertainment Ltd., Pantaloon
Retail India Ltd., Shoppers Stop, Subhiksha, Titan Industries etc.
MODERN RETAIL STRUCTURE:It includesMalls like Ansal Plaza (New Delhi), Nucleus (Pune), Centre Stage (Noida) etc
Discount Stores like Brand Factory, Loot, M&B Factory, Subhiksha, Big Apple, and
Reliance Fresh.
Department Stores like Shoppers Stop, Big Shop, and Pantaloons.
Hypermarkets/ Supermarkets like Big Bazaar, Vishal Mega Mart.
Convenience Stores like Spencers Daily, Tru Mart, Choupal, More.
Multi Brand Outlets like Globus.
CURRENT SCENARIO:A glimpse of the international retail47 global fortune companies & 25 of Asia's top 200 companies are retailers
Dominated by developed countries
US, EU & Japan constitute 80% of world retail sales.
Biggest player in India is Pantaloon Retail India Limited.
GROWTH OF RETAIL SECTOR:The following are the reasons for growth of retail sector in India- Increase in disposable
income of consumers, Increase in consuming desire, Low share of organized retailing.
Purchasing power of Indian urban consumer is growing and branded merchandise in
categories like Apparels, Accessories, Food, and even Jewellery, are slowly becoming
lifestyle products. Retailers are taking benefit of this growth and accordingly are aiming
to expand. Indian retail is expanding at a fast pace. India's retail industry, which is
currently valued at nearly $350 billion, is expected to double in size by 2015. The Indian
Retail Industry is gradually moving ahead towards becoming the next boom industry.
Modern Large-Format retail, efficiently connects the producers and the consumers and is
helpful to both in the long run. In India there is a huge wastage of fresh fruits and
vegetables. In this scenario, the Large-Format Retail provides all important
infrastructures to carry the farm produce to the consumers with lesser wastage. In this
way the farmers get better returns and the consumer better quality and price.
KEY TRENDS:The existing players like Big Bazaar, Shoppers' Stop, Piramyd, and Vishal Mega Mart are
expanding to smaller towns and cities. Many other business houses are planning to enter
the retail sector either on their own or through partnerships. New entrants like Bharti pvt
ltd and Wal-Mart are going to enter the market soon. Even rural areas will provide a huge
opportunity to be explored.
10
DETAILS OF DIRECTORS:Mr. Ram Chandra Agarwal, 43 years, is VRPLs Chairman and Managing Director. He
holds a bachelors degree in commerce from St. Xaviers College, Kolkata. Mr. Agarwal
has more than 20 years of experience in the retail industry and has been with VRPL since
their inception in 1997. He started the business under the name of Vishal Garment with
a small store at 9, Lal Bazaar Street, Kolkata. Mr. Agarwal has made efforts for the
development of the value retailing industry in India and is well known for his business
acumen.
Mrs. Uma Agarwal, 33 years, is an executive Director of VRPL. She holds a bachelors
degree in arts. Mrs. Agarwal has more than 7 years of experience in the retail industry.
She has been associated with accounts department of VRPL.
Mr. Surendra Kumar Agarwal, 46 years, is an executive Director of VRPL. He holds a
bachelors degree in commerce. Mr. Agarwal has more than 17 years of experience in the
retail industry. He has been associated with store development and management at
various locations of VRPL.
Mr. Bharat Jain, 45 years, is an independent Director of VRPL. He holds bachelors
degree in commerce. Mr. Jain is engaged in the business of leather garments and
accessories and has more than 23 years of work experience. Mr. Jain joined VRPL Board
on May 8, 2006.
Mr. Rakesh Aggarwal, 44 years, is an independent Director of VRPL. He holds a
masters degree in commerce. Mr. Aggarwal is currently engaged in roto-moulding
industry has more than 20 years of work experience. Mr. Aggarwal joined VRPL Board
on October 31, 2006.
Mr. Ram Chandra Aggarwal is the husband of Mrs. Uma Agarwal and brother of Mr.
Surendra Kumar Agarwal. None of our other Directors are related to each other.
11
VRPL PROMOTERS AND GROUP COMPANIES:The following individuals are the Promoters of the Company:
a). Mr. Ram Chandra Agarwal;
b). Mrs. Uma Agarwal; and
c). Mr. Surendra Kumar Agarwal.
The following companies are the Promoters of the Company:
a). Unicon Marketing Private Limited;
b). Ricon Commodities Private Limited; and
c). Vishal Water World Private Limited.
The company has during the year 2008, established its five new companies by the name
of VRL Foods Ltd., VRL Movers Ltd., VRL Consumer Goods Ltd., VRL Fashions Ltd.
& VRL Infrastructure Ltd., none of the companies have commenced business operations
during the year.
12
VRPLs BUSINESS:VRPL started as a retailer of ready-made apparels in Kolkata in 2001. In 2003, VRPL
acquired the manufacturing facilities from Vishal Fashions Private Limited and M/s
Vishal Apparels. Subsequently, with evolution of retail industry in India and change in
consumer aspirations, VRPL diversified their portfolio of offerings to include other retail
goods. Currently, VRPL sell ready-made apparels and a wide range of household
merchandise and other consumer goods such as footwear, toys, watches, toiletries,
grocery items, sports items, crockery, home furnishing, beverages, drinks, gift and
novelties.
VRPL follow the concept of value retail in India. In other words, VRPLs business
approach is to sell quality goods at reasonable prices by either manufacturing themselves
or directly procuring from manufacturers (primarily from small and medium size vendors
and manufacturers). VRPL endeavor to facilitate one-stop-shop convenience for their
customers and to cater to the needs of the entire family. VRPL believe this concept has
helped them grow to their current size within a short time frame of 8 years.
In order to reduce costs and take advantage of economies of scale VRPL have embarked
on backward integration of their products. VRPLs apparel manufacturing plant is located
at Gurgaon, Haryana. For ensuring efficiency in supply chain, VRPL have set up seven
regional
distribution
centers
located
around
Kolkata
(West
Bengal),
Thane
13
FINANCIAL MANAGEMENT
OBJECTIVES:-
1.
2.
Financial management seeks to plan for the future such that a personal or business entity
has a positive flow of cash.
BALANCE SHEET
Vishal Retail
Balance Sheet
Sources Of Funds
Total Share Capital
Equity Share Capital
Share Application Money
Preference Share Capital
Reserves
Revaluation Reserves
Net worth
Secured Loans
Unsecured Loans
Total Debt
Total Liabilities
------------------- in Rs. Cr. ------------------Mar '04 Mar '05 Mar '06 Mar '07
12
12
12
12
mths
mths
mths
mths
12
12
8
0
1.19
0
21.19
0.97
7.13
8.1
29.29
Mar '04
12
mths
Application Of Funds
Gross Block
Less: Accum. Depreciation
Net Block
Capital Work in Progress
Investments
Inventories
Sundry Debtors
12.31
2.52
9.79
0
0.98
20.27
0
14.82
14.82
0.09
0
15.49
0
30.4
19.56
3.1
22.66
53.06
Mar '05
12
mths
24.01
5.42
18.59
0
0
37.4
0
14
22.1
16.49
0
5.61
50.6
0
72.7
47.61
7.44
55.05
127.75
Mar '06
12
mths
45.99
10.6
35.39
4.64
0
78.2
0.09
18.32
18.32
0
0
108.44
0
126.76
216.3
26.91
243.21
369.97
Mar '07
12
mths
132.93
25.77
107.16
1.09
0
249.15
0.12
Mar '08
12
mths
22.4
22.4
0
0
248.76
0
271.16
448.9
83.9
532.8
803.96
Mar '08
12
mths
262.3
53.37
208.93
20.51
0.13
557.47
0
2.04
22.31
3.22
0
2.2
39.6
6.12
0
8.06
86.35
32.59
0.21
14.18
263.45
66.28
0.97
50.17
607.64
122.13
4.79
25.53
0
6.48
0.56
7.04
18.49
0.02
29.28
45.72
0
9.68
1.57
11.25
34.47
0.01
53.07
119.15
0
23.7
7.74
31.44
87.71
0
127.74
330.7
0
48.51
20.47
68.98
261.72
0
369.97
734.56
0
117.14
43.02
160.16
574.4
0
803.97
Contingent Liabilities
Book Value (Rs)
0
10.99
0
20.45
3.75
40.68
4.48
69.18
6.98
121.06
15
------------------- in Rs. Cr. ------------------Mar '04 Mar '05 Mar '06 Mar '07 Mar '08
12 mths 12 mths 12 mths 12 mths
12 mths
Income
Sales Turnover
Excise Duty
Net Sales
Other Income
Stock Adjustments
Total Income
Expenditure
Raw Materials
Power & Fuel Cost
Employee Cost
Other Manufacturing Expenses
Selling and Admin Expenses
Miscellaneous Expenses
Preoperative Exp Capitalized
Total Expenses
Operating Profit
PBDIT
Interest
PBDT
Depreciation
Other Written Off
Profit Before Tax
Extra-ordinary items
PBT (Post Extra-ord Items)
Tax
Reported Net Profit
Total Value Addition
88.10
0.00
88.10
0.11
8.02
96.23
146.31
0.00
146.31
0.14
15.37
161.82
288.46
0.00
288.46
0.31
40.70
329.47
602.65
0.00
602.65
2.39
226.30
831.34
1,005.31
0.00
1,005.31
7.76
300.45
1,313.52
66.49
0.00
3.02
8.84
0.00
14.87
0.00
93.22
Mar '04
12 mths
2.90
3.01
0.21
2.80
1.47
0.00
1.33
0.00
1.33
0.95
0.38
26.73
104.77
0.00
6.04
13.49
0.00
28.63
0.00
152.93
Mar '05
12 mths
8.75
8.89
0.98
7.91
2.92
0.00
4.99
0.00
4.99
1.98
3.02
48.16
216.74
8.69
15.13
12.83
45.07
4.06
0.00
302.52
Mar '06
12 mths
26.64
26.95
3.08
23.87
5.36
0.01
18.50
0.10
18.60
6.22
12.39
85.78
573.47
17.28
30.01
20.48
109.23
10.47
0.00
760.94
Mar '07
12 mths
68.01
70.40
15.73
54.67
15.29
0.00
39.38
-0.11
39.27
14.20
25.07
187.47
862.68
29.72
72.31
9.32
192.21
17.50
0.00
1,183.74
Mar '08
12 mths
122.02
129.78
38.99
90.79
27.60
0.00
63.19
0.00
63.19
22.55
40.64
321.06
16
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
148.20
2.04
0.00
20.45
164.91
7.51
0.00
40.68
183.25
13.68
0.00
69.18
223.99
18.14
0.00
121.06
Company and its employees continued to be cordial and harmonious throughout the year
under review.
However, no dividend has been declared for this year because the directors were of the
opinion that more funds are being required for the growth initiatives of the company.
17
CASH FLOW
Vishal Retail
Cash Flow
---in Rs. Cr.---
Mar '06
12
mths
18
Mar '07
12
mths
Mar '08
12
mths
18.82
-28.21
39.38
-102.41
63.19
-197.49
-25.91
60.38
-95.18
204.47
-114.58
356.24
6.06
2.2
8.27
6.89
8.27
15.15
44.17
10.79
54.96
Vishal Retail Ltd. Stock:BSE: 532867 | NSE: VISHALRET | ISIN: INE945H01013 | Trading
PE ratio
1.79
(24/03/09)
EPS (Rs)
10
9.39
(Mar, 08)
4.01
(Mar, 08)
Current Ratio
4.59
(Mar, 08)
Quick Ratio
1.10
(Mar, 08)
Depending upon the success or failure of the Management to role over the debts and
manage additional funds, this share will either zoom or go bust. The company is in talks
to roll over more than Rs 90 crore of debt owed to banks. Company officials say the
retailer is not generating enough cash. We have not been able to generate positive cash
flows from our operations in the first two months of this quarter, said Chief Executive
Manmohan Agarwal. Therefore, the next two quarters will be critical for the company, as
sales are expected to fall further. The companys third-quarter profit dropped 86 per cent
to Rs 2.15 crore. CARE Rating, while downgrading the retailers short-term bank
facilities, said the risk was accentuated due to the companys inability to carry out a
19
20
MARKETING MANAGEMENT
OBJECTIVE:
Marketing help to define the business for the customer's interests, not your own. It is the
process of learning what customers want or need and determining how to satisfy those
wants or needs. It is also used to confirm whether the customer reacted to a marketing
program as expected. The benefits of market research include:
Learning who your customers are and what they want.
Learning how to reach your customers and how frequently you should try to
communicate with them.
Learning which advertising appeals are most effective and which ones get no
response.
Learning the relative success of different marketing strategies, thus improving
return on investment.
Learning how not to repeat your mistakes.
Vishal Mega Mart has been the pioneer of retail revolution. Its first fight was against
local Kirana stores. The task was to change the mindset of consumer to bring about
changes in their shopping patterns. It wanted people to do bulk shopping for their
monthly ration instead of going to the shop each week.
21
22
Price
Vishal Mega Mart promises its consumers the lowest available price. The concept of
psychological discounting (Rs. 99, Rs. 49, etc.) is used as promotional tool. Vishal Mega
Mart also caters on Special Event Pricing (Close to Diwali, Christmas, New Year etc.).
Selling combo-packs and offering discount to customers. The combo-packs add value to
customer. Through Bundling, they also reduced the price of the products. In addition to
VRPLs strategy to continue procurement of goods from small and medium size vendors
and manufacturers which leads to cost efficiencies, VRPL intend to procure FMCG and
apparels from low-cost production centers located outside India. Towards this objective,
VRPLs propose to increase their procurement of finished and semi-finished goods from
China and thereby realize economies of scale and pass on the benefits so accrued to their
customers. The efforts of VRPLs retail business are targeted towards families having
total income which can be classified under the lower middle and middle income
groups. VRPL follow uniform pricing policy across their stores in respect of private
labels and non-branded products sold by them. This enhances brand loyalty, encourages
customer confidence and results in operational convenience. In relation to the other
products, the prices may vary between stores on account of state-specific taxation and
vendor policies.
Place
Vishal Mega Mart stores are located in 110 cities with more than 180 outlets. Vishal
Mega Mart has presence in almost all the major Indian cities. They are aggressive on
their expansion plans. VRPL intend to increase their penetration in the country by setting
up new stores in cities where they already have presence, as also entering into new areas
in the country. In particular, they intend to focus on expansion in Tier II and Tier III
cities. VRPL target locations with good infrastructural facilities such as easy
accessibility, provision for water, electricity, parking, security and other basic amenities.
23
Promotion
Advertising has played a crucial role in building of the brand. Vishal Mega Mart
advertisements are mainly seen in print media i.e. newspapers, Television with Tina
Parekh as there in advertisement, and sometime road-side bill-boards. VRPLs category
management system is used to plan promotional schemes. They launch promotional
schemes weekly. Apart from general sales promotion, the category manager formulates
promotional plans for slow movers. In addition, to promote sales, they focus on layout
of the stores and positioning, presentation and display of merchandise, in order to appeal
to the customer. In addition, VRPL have introduced, in association with SBI Cards &
Payment Services Private Limited, a co-branded credit card. VRPLs propose to
continuously undertake such initiatives to increase the satisfaction of their customers.
Some of the features of the co-branded card include Rs 250 discount voucher on signing
up for the card and a process by which the cardholder earns five reward points on every
Rs 100 spent. A cardholder accumulates points on the basis of purchases made and the
points accumulated can be redeemed for gifts or purchases. In September 2005, VRPL
entered into a long term advertising agreement with Bennett, Coleman & Company
Limited (BCCL). Under the agreement, they are entitled to fixed discounts for their
advertisement in print publications of BCCL for a period of five years from the date of
the agreement. In addition, BCCL would also act as a facilitator for other print and nonprint media of the Times Group i.e. internet, radio and television or any other new
medium launched during the tenancy of the agreement. As a part consideration, VRPL
had issued 1,670,605 Equity Shares of Rs. 10 each and 384,190 Preference Shares of Rs.
146 each amounting to an aggregate of Rs. 300 million.
24
25
1.
Name: _________________
2.
Income:_________________(optional)
3.
Gender:__________________
4.
Age:__________
5.
Occupation:_________________
6.
Promotional offers_____
Variety of products______
Price of the products_______
7.
FMCG products______
Apparels_________
Utensils_____
Electronic goods__________
8.
Within a week________
Within 2 week______
Within a month______
Above 1 month____
9.
Very Satisfactory_____
Satisfactory_____
Average_____
Unsatisfactory_____
26
10.
Are you satisfied with the quality of the products offered by Vishal Mega
Mart?
Yes____
11.
No_____
Somewhat satisfied_____
Billing Problems_____
Heavy Rush_____
No problems faced_______
12.
How would you rate your overall experience in this retail outlet? (Rate on
a 10 point scale)
_______________
13.
Any complaints:-
____________________________________________________________________
____________________________________________________________________
________________________________________________________
14.
Any suggestions:-
____________________________________________________________________
____________________________________________________________________
____________________________________________
27
O P E RAT I O N S M A N A G E M E N T
OBJECTIVE:
Establishment of Stores
Selection of location
In selecting location for a new store, VRPL start by identifying the city/town. VRPL
target primarily cities/towns which may be classified as Tier II or Tier III cities. In this
regard, an analysis of the demography, literacy levels, nature of occupation and income
levels. Within a city/town, VRPL target locations with good infrastructural facilities such
as easy accessibility, provision for water, electricity, parking, security and other basic
amenities. VRPL prefer to locate their stores in areas where real estate is available at
reasonable prices. The efforts of VRPLs retail business are targeted towards families
having total income which can be classified under the lower middle and middle
income groups. Accordingly, VRPL plan their strategy to search for areas within cities
where such customers are domiciled in large numbers and make efforts to locate
themselves within the reach of such customers.
VRPL believe that adoption of standard formats for their stores has led to their brand
establishment and identification among their customers and will increase their base of
loyal customers. In pursuance of this, they have adopted standard parameters for store
planning and establishment. For ensuring standardized formats of their stores, VRPL
consider various factors, such as internal and external dcor and colour schemes,
28
Merchandise Planning
VRPLs merchandise planning is based on the concept of category management rather
than traditional brand management practices.
Apparels and Non Apparels
Under category management for, say, apparels, VRPL create and cater to products across
length and breadth of a category at different price points, fabrics, designs, shapes,
seasons, colors and sizes. VRPL formulate annual merchandising plan for each division
of merchandise taking into consideration factors such as past sales data, regional
customer tastes and preferences, number of stores (established and proposed), likely
29
30
31
Apparel Manufacture
The basic raw materials required for the manufacturing process of apparels includes
fabrics and accessories. VRPL merchandising teams source fabrics from local
manufacturers in India depending upon their production plan. VRPL also source fabrics
from the place of origin. VRPL source various other components and accessories from
vendors in various parts of the country and also import them from China.
Inventory Management, Distribution Network and Logistics
VRPLs distribution network and logistics encompasses all activities to ensure that goods
are dispatched in right quantities and at right time to reach stores with sufficient time in
hand to promptly cater to customer demands and optimization of inventory position.
32
33
Internal Controls and Cost Reduction Measures:As a value retail chain, VRPL emphasize on reduction of costs at various stages and
levels. In addition to reduction of costs of procurement and by way of optimization of
inventory, VRPL employ on the following measures to enhance efficiencies and reduce
operational and administrative costs:
Pilferage Control
VRPL have established three-layer security checks to control losses on account of
pilferages at their stores. At the first level, VRPL employees screen the goods being
carried out of the store by the customers. Professional security guards oversee the
screening process. Lastly, VRPL have deployed electronic sensors to check any
pilferages. In addition, all VRPL stores are covered by closed circuit television
monitoring.
Resource Utilization
VRPL believe in reducing operating and administrative costs by way of optimum
utilization of their human and other resources. For instance, they determine the staffing
requirement on basis of a matrix containing factors such as store space and footfall
intensity. VRPL also train their employees to assume cross-functional responsibilities. As
a measure for optimum utilization of their space resources, they have adopted an efficient
racking system by deploying relatively higher racks to maximize the space available in a
store. The upper slabs of a rack are utilized for storage and the lower ones for display.
This helps VRPL in eliminating the need of dedicated storage spaces is most of VRPL
stores.
Efficiency of Processes
VRPL believe in adopting processes which are efficient. For instance, they ensure that
about a quarter of the staff at a new store is deployed by transferring from their existing
stores. This helps in ensuring that a new store is operated efficiently and that the freshly
recruited staff receives on-the job training from the experienced staff. VRPL believe in
continually reviewing and re-engineering various operational and administrative
processes to make them both more efficient and cost effective.
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Wastage Monitoring
VRPL endeavor to reduce wastage of goods at various stages. For instance, for
transportation of goods in their trucks, they use iron boxes instead of cardboard cartons to
ensure that the damage in transit is minimized. In addition, iron boxes have a longer life
and have been more cost efficient.
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M A N AG E M E N T O F T E C H N O LO GY ,
I N N O VAT I O N & C H A N G E
OBJECTIVE:
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Limited
for
providing
information
technology
services
including
38
Merchandising Buying,
product ordering, Receipt
confirmation, Stock
transfer, Inventory
Management, Sales
Merchandise event
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4. WMS software
Functional Area:
Distribution and Logistics.
Comments: WMS enable the space planning and also integrated SKU
location which
enable faster picking and putting of
merchandising.
5. Arthur Planning software
Functional Area:
Merchandising Planning.
Comments: An integrated planning and decision making tool.
6. Microsoft Exchange software
Functional Area:
Internal/External communication.
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H U M A N R E S O U RC E S M A N AG E M E N T
OBJECTIVES:
4,093
25-35
2,013
6,938
4,440
Graduates
2,081
Post Graduates
417
Total
6,938
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Training
VRPL encourage their employees to be enterprising and expect them to learn on the job
and contribute constructively to their business, either through ideas, personal networks or
effective knowledge management. In essence, they train their employees to become next
generation entrepreneurs, who can effectively lead the growth of their business. Their
corporate objective is to provide every associate with an average of 5 man days of
training per annum through internal and external resources.
All senior management members are required to contribute 30 hours per annum towards
training.
1.
2.
Application blank.
3.
1.
2.
3.
1.
Well-trained staff, the staff employed by Vishal Mega Mart is well-suited for
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2.
3.
4.
Multiple counters for billing, staff at store to keep baggage and security guards at
every gate, makes for a customer-friendly atmosphere.
5.
The employees are motivated to work efficiently and effectively towards the
achievement of organizational goal by satisfying their personal needs.
6.
The employees were given bonus and gifts during the festivals like diwali, etc.
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45
R.C.Agarwal
Chairman &
Managing Director
Board of Directors
S.K.Agarwal
Whole-time
Director
Category Heads
Merchandise
Head
Heads - Zonal
Head- Retail
Chief Operating
Officer
Head IT
Head-Admin &
HR
Head-Finance,
Accounts & MIS
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Head-Supply
Chain
Management
E - C O M M E RC E
OBJECTIVES:
To study the different steps taken by VRPL in relation with online shopping.
The uses of computers and internet have been expanding significantly over the years.
Presently internet has been used widely as a means of communication, as a potential
source of information, as a means of entertainment and many more. With in few years
after existence of internet, business men realized the possibilities of using internet as a
medium of business. This idea kick started the first online business ventures. Modern
technology has been developed to the extent that even shopping made possible over the
internet. The process of shopping done over the internet is called online shopping.
Both products and services can be purchased by online shopping. Online shopping is used
for business to business transactions or business to customer transactions with
applications of electronic commerce (ECommerce). Vishal Mega Mart is soon launching
its online shopping website this summer named as www.vishalmegamart.com which
promises to be a boon for its customers.
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Vishalmegamart.net is concerned about the safety and security of their website and
customers. Accordingly, they have put a number of technological protections in place to
ensure that their transaction process is extremely safe and that their customers'
information is secure. They provide a large amount of information to their customers,
suppliers through their website. This information includes their stores in different areas,
cities with correct address and contact nos, products being offered by them, career
opportunities, enquiry, suppliers zone etc.
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How to Shop
Firstly, you have to register yourself with the shopping.indiatimes.com &
shopping.rediff.com. Place your order through following these 7 quick and easy steps:
1. Find the Items You Want to buy.
2. Add the Items to Your Shopping Bag
3. Proceed to Checkout
4. Sign In/Create a New Account/Choose guest checkout
5. Enter a Shipping Address
6. Provide Payment Information and authorization
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7. View or print your Order Acknowledgment and check your Order status.
Here are a few important action points that you should bear in mind:1. Keep your PC updated with the latest anti-virus / anti-spy ware software.
2. Install a personal firewall on your PC to protect your account.
3. Keep your PC updated with the latest security patches and, most importantly,
4. Do not click on links or open attachments in unknown or unsolicited (spam)
emails.
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Findings
1. The choice of a store location has a profound effect on the entire business life of a
retail operation. A bad choice may all but guarantee failure, a good choice, and
success.
2. Choosing a retail location is, at best, a risky undertaking. Considering the
consequences of choosing a location that proves to be unsuitable, it pays to get as
much assistance as possible. According to a survey more than 60% of the
customer prefers to shop in a retail store which is easily accessible to them.
3. Advertising plays a very important role in achieving growth for any retail
company. This is evident from the fact that Advertising by Retail Industry
registered a rise of 12 percent during January - May 2007 over January - May
2006.
4. The right location, trained manpower, software assistance, product with a distinct
differentiation, a strong value proposition, efficient supply chain management these are the factors that influence the success of a retail outlet. With competition
in this segment increasing, differentiation and a strong value proposition assume
significance. Retail chains are realizing that they cannot be another me-too
store. The differentiation today among the 5-6 retail chains has come through
private labels, which in some cases account for as much as 70 per cent of the total
merchandise in the outlet.
5. Variety offered by any retail store is of very much important to attract all type of
customers in the stores. A large variety of products caters to each segment of
customers.
6. Shopping experience within a store also has a great impact on selecting a product
from a particular retail store. Overall ambience includes infrastructure facilities
provided by the store such as air conditioners, lighting etc.
7. Pricing is in fact a dramatic controller of at least 3 key strategic elements to any
company's success: Companys image, the product and services company sells
and consumer behavior. The Importance of Pricing their Products' will give them
an insight into developing appropriate costing methods and the impact of getting
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Conclusion
Suggestions:1. Include more trained sales person to help customers in the store while shopping.
2. Improve quality of the products especially clothes.
3. Play good songs or soothing music in the store rather than cheap filmy songs.
4. Customer care service can be introduced
5. More branded products can be displayed in the store as people still prefer branded
clothes than offered by local venders.
6. Constant reminder of discounts through pamphlets, speakers inside the store for
inducing consumers for impulse buying.
7. Add more cosmetic products as its having a huge market of consumers attached to
it.
8. Display of product should be improved so that the product is easily visible to the
consumers.
9. Proper advertisement in press and outdoor to make Vishal Mega Mart should be
visible in the eyes of consumers.
10. Should have parking spaces in front of every store.
11. Hire more salesgirls as in ladies section its very difficult for both the consumers
and salesman to interact with each other.
12. Regular training to sales person to improve there overall performance.
Complaints: 1. Low variety of product available and customization of products is not there.
2. Air conditioners are not properly working
3. Prices are not mentioned at all places and at all products.
4. Prices are not competitive as they are assumed to be higher when consumers are
visiting other retail outlets.
5. Grocery items are not sufficient and they are not at all available at many stores.
6. Clothing items of women are priced unreasonably
7. Lack of space in the store while shopping and moving within a store.
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BIBLIOGRAPHY:1. http://www.vishalmegamart.net/
2. http://www.moneycontrol.com/india/news/OTHER%20NEWS/sbi-card-vishalmega-mart-launch-co-branded-credit-card/22/46/205965
3. http://www.moneycontrol.com/india/stockpricequote/trading/vishal-retail/VR02
4. http://www.cxotoday.com/India/News/Vishal_Megamart_Deploys_PRILs_Retail
_Excel/551-75867-911.html
5. http://www.televisionpoint.com/news/newsfullstory.php?id=1127933505
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