Customer Delight - CRM and Logistics Interface


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Customer Delight - CRM and Logistics Interface

  1. 1. Customer Delight: CRM &Logistics Interface Presented at MDP organised by Management Development Center & UPES DEhradun Dabur Consumer Health
  2. 2. CRM•C USTOMER•R ELATIONship•M ANAGEMENT Dabur Consumer Health
  4. 4. Relationship marketingMoving from a ‘transactional’ model ofmarketing to a ‘relationship’ model Advocate Emphasis On on e Supporter developing s and n enhancing Enhancing Emphasis r Client g on new relationships d Customers customers (customer g s t Customer (customer new s keeping) scatching) r rProspect ) r ) t Dabur Consumer Health
  5. 5. What is relationship marketing ?• Marketing designed to create, maintain, and enhance strong relationships with customers and other stakeholders Dabur Consumer Health
  6. 6. CRM vs Relationship Marketing:• CRM develops a customer strategy and introduce segmentation to allow those requirements to be fulfilled• CRM may mean radical changes on many levels in the organisation• Chances of failure are reduced if some basic pitfalls are avoided• Relationship marketing does not have to be technology intensive Dabur Consumer Health
  7. 7. Why is it important?• It costs five times as much to attract a new customer as it does to keep a current one satisfied.• It is claimed that a 5% improvement in customer retention can cause an increase in profitability of between 25 and 85 percent depending on the industry.• Likewise, it is easier to deliver additional products and services to an existing customer than to a first-time “buyer.” Dabur Consumer Health
  8. 8. Customer Lifetime Value• Losing an existing customer means losing the entire revenue stream that customer represents – not just that single encounter or sale. Dabur Consumer Health
  9. 9. WHO IS CUSTOMER ?• IS HE DELIGHTED ? Dabur Consumer Health
  10. 10. WHO IS THE CUSTOMER: DEFINITION• The next person (individual of function / group) in the work place, the receiver of output and the next to act on it.A customer may be either external or internal.• External customers are those who buy our products / services.• Internal customers are individuals / departments who use our outputs as their input and we become their suppliers.• In an organization, all of us are both supplier and customers to one another like a chain. Dabur Consumer Health
  11. 11. the Customer wants…………..• Right Quality• Right Quantity• Right Time• Right Cost Dabur Consumer Health
  12. 12. “ A Customer is the mostImportant visitor on our premisesHe is not dependent on usWe are dependent on him. He is not an interruption to our work He is the purpose of itHe is not an outsider in our business.He is a part of it. We are not doing him a favour by serving him He is doing us a favour by giving us an opportunity to do so.” Mohandas K. Gandhi Dabur Consumer Health
  13. 13. CRM – A DEFINITION• CRM is an integrated organizational approach in delighting customers (both external and internal) by meeting their expectation on a continuous basis through everyone involved with the organisation working on continuous improvement in all products, services and processes along with proper problem solving methodology. Dabur Consumer Health
  14. 14. Attracting, retaining and growing customers• Customer delivered value – the difference between total customer value and total customer cost. – Value includes product, services, personnel and image value. – Cost includes monetary, time, energy and psychic costs. Dabur Consumer Health
  15. 15. Customer satisfaction• The extent to which a product or service‟s perceived performance matches a buyer‟s expectations.• What are expectations based on? – Past buying experiences – Friends, family and other associates – Information about the competition – Promises made in marketing materials (your brand) Dabur Consumer Health
  16. 16. Customer loyalty & retention• Highly satisfied customers are: – Less price sensitive – More likely to talk favorably about you – More likely to refer you to others – Remain loyal for longer Dabur Consumer Health
  17. 17. CRM Stakeholders:• Advertising agencies• Call centers• Company employees• CRM vendors.• Consultants• CRM developers• Marketing• Sales• Telecom hardware vendors• Legal counsel Dabur Consumer Health
  18. 18. Risk of CRM Implementation Failure:• Vendor failure• Customer Rejection• Cost overruns• Time overruns• Disruption of service• Internal rejection• Evolving standards• Shifting customer expectations• General Economic Slowdown• New Technology Dabur Consumer Health
  19. 19. COST EFFECTIVE TRANSPORTATION• Minimize number of transporters.• Give CRM inputs to transporters.• Use appropriate size of vehicles for cost effectiveness.• Reduce vehicle waiting time at plant.• Use dedicated single transporter exclusively working for the organization.• Work out PDP & monitor the performance• Negotiate Rs./Km. instead of Rs./Kg. with dedicated transporters.• Consolidate materials at regional locations for better utilisation of trucks. Dabur Consumer Health
  20. 20. Stockiest Retention Sales Customers Retained Customers Shifted Changed as un attended Adding New Customers Dabur Consumer Health
  21. 21. STOCKIEST RETENTION• Incentivizing Stockiest on regular basis to retain them.• Offering best Quality Products and generating market pull.• Fast processing of claims thru hassle free procedures.• Drishti installed at stockiest covering 80% of business.• Setup COP unit to minimize order processing at C&FA‟s. Dabur Consumer Health
  22. 22. Employee Retention• Survey on total employee satisfaction in 2005 among the leading FMCG Companies. Dabur listed in Top 3 FMCG groups and awarded with „DABUR‟ A GREAT PLACE TO WORK• Long Service Awards for Employees Dabur Consumer Health
  23. 23. APPROACHESTRADITIONAL crm Assume Customers Study Customer Need Need SPCIFY Verify Throughly SPCIFY Verify by searching Problems Produce Estimate Produce Right Quality Quality Education to Listen and attend to Customer Customer Face Major Problems Face Minor Problems Fix Problems By Fix Problems By UpDown Stream Initiation Stream Initiation Dabur Consumer Health
  24. 24. AROUND THE DABUR IN14 MINUTES AVSEQ01.DAT Dabur Consumer Health
  25. 25. OUR GROWTH STRATEGY EXPANDACQUIRE INNOVATE The underlying thread of strategy is: “PEOPLE” Dabur Consumer Health
  26. 26. Dabur At-a-GlanceDabur India Limited has marked its presencewith some verysignificant achievements and todaycommands a market leadership status.Our story of success is based ondedication to nature, corporate and process hygiene, dynamicleadership and commitment to our partners and stakeholders. The resultsof our policies and initiatives speak for themselves. Dabur Consumer Health
  27. 27. • Leading consumer goods company in India with 4th largest turnover of Rs.4110 Crore (FY10-11)• 6 major strategic business units• Home And Personal Care (HPC) Oral Care (OC) Health Care (HC) Ayurvedic (AYU) Fem (Fem) Foods (FOODS)• 3 Subsidiary Group companies -Dabur International & newu• 8 step down subsidiaries: Dabur Nepal Pvt Ltd (Nepal), Dabur Egypt Ltd (Egypt), Asian Consumer Care (Bangladesh), Asian Consumer Care (Pakistan), African Consumer Care (Nigeria), Naturelle LLC (Ras Al Khaimah- UAE), Weikfield International (UAE) and Jaquline Inc. (USA).• 17 ultra-modern manufacturing units spread around the globe• Products marketed in over 60 countries Dabur Consumer Health
  28. 28. • Wide and deep market penetration with 50 C&F agents, more than 5000 distributors and over 2.8 million retail outlets all over India Strategic positioning of Honey as food product,leading to market leadership(over 75%) in branded honey marketDabur Chyawanprash the largest selling Ayurvedic medicinewith over 65% market share.Vatika Shampoo has been the fastest selling shampoo brand in India forthree years in a rowHajmola tablets in command with 60% market share of digestive tabletscategory.About 2.5 crore Hajmola tablets are consumed in India every dayLeader in herbal digestives with 90% market share Dabur Consumer Health
  29. 29. DABUR DOCTORS MEET Dabur Consumer Health
  30. 30. DABUR HEALTH CAMPS Dabur Consumer Health
  31. 31. LEADING VAID HONOUR Dabur Consumer Health
  32. 32. DABUR TRAINING SESSION Dabur Consumer Health
  33. 33. Manufacturing Units• Narendrapur (WB) • Katni (MP)• Sahibabad (UP) • Beergunj (Nepal)• Alwar (Rajasthan) • Zabel-ali (Dubai)• Baddi (HP) • Kalyani (WB)• Rudrapur (Uttaranchal) • Ramadan (Egypt) Dabur Consumer Health
  34. 34. Established : December 1979
  35. 35. Our People are our Strength  Established : Dec. 1979  Strength : 155  Scientists : 138  Consultants : 06  Admin. Staff. : 18 BAMS/MDs  Oil Technologists MBBS/MDs  Food Technologists Pharmacists (M.Pharms/Ph.Ds)  Information Scientists Chemists (M.Sc./Ph.Ds)  Oncologists Botanists  Plant Tissue Culturists Agronomists  Animal Tissue Culturists Biotechnologists  Pharmacologists
  36. 36. Research AreasAyurvedic Drug Research AgronomyPharmaceutical Research BiotechnologyClinical Research Analytical DevelopmentPhytopharmaceuticals Synthetic ChemistryPersonal Care Products New Drug & Peptide ResearchOncology ResearchCGMP/Regulatory Affairs Food Technology Veterinary Health Dabur Consumer Health
  37. 37. DRF Affiliations... DSIR, Government of India Expert Committee on Herbal Medicines Bureau of Indian Standards Working Group of I.P. Drug Technical Advisory Board, Ministry of H & FW Member, Ayurvedic Pharmacopoeia Committee Scientific Committee, Indian Herbal Pharmacopoeia National Bio-diversity Board, Dept. of Biotechnology AAPS, USA Professional Bodies/Associations Dabur Consumer Health
  38. 38. Our Partners in Clinical Research36 Medical Colleges & Teaching HospitalsSome Prestigious ties – All India Institute of Medical Sciences, New Delhi – Institute of Medical Sciences, BHU, Varanasi – JIPMER, Pondicchery – MGIMS, Sewagram, Wardha – Seth GS Medical College & KEM Hospital, Mumbai – Central Drug Research Institute, Lucknow – PG Institute of Basic Medical Sciences, Calcutta – Apollo Group Hospitals, Chennai & New Delhi Dabur Consumer Health
  39. 39. Thus Dabur Products Offer…….Quality Safety Efficacy Dabur Consumer Health
  40. 40. 1884 - 2009• Dabur AV.mpg Dabur Consumer Health