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Supply chain management
Comparision of traditional outlet with retail
outlet
    Introduction of Raymond Outlet
 Raymond is amongst the first three fully integrated manufacturers in
  the business of Trusted suiting in the world. It is recognized as the
  most respected textile Company of India. As the flag-bearer of the
  multi-product, multi-divisional Raymond Group, it enjoys over 60%
  share of Indian Trusted Suiting Market.
  Manufacturing facilities include three world-class fully integrated
  plants in India.
 Products are distributed through about 300 exclusive retail shops in
  India and surrounding countries, 30,000 multi-brand retail outlets
  and over 100wholesale distributors. In addition to Middle East and
  SAARC countries, its products are sold to discerning customers in
  over 60 countries including premium fashion labels all over the
  world.
Introduction of Traditional Outlet

    Issar Textiles and Mangal Textiles
 Issar Textiles and Mangal Textiles are two local traditional outlets
  situated in the local market at Jaipur. Both these outlets are
  Multibrand stores. They sell the unstitched suit length and shirting's
  of fabric only and not the readymade one.
 Various types of fabrics with different qualities are available for sale
  at these outlets like linings, checks and plain etc. Like these there
  are many individual traditional outlets are running in the local
  market in city.
SUPPLY CHAIN OPERATIONS
Raymond Outlet

Raw Material



   Textile Plant



        Apparel Plant



            Retail Store



                   Customers
Issar Textiles and Mangal Textiles


Manufacturer(Meal)



   Distributors



        Wholesaler



            Retail Store



                  Customers
COMPARATIVE STUDY
   Traditional Outlet V/S Retail Outlet:
    Retail Outlet Has Good Supply Chain Management Instead Of Traditional
    Outlet.
   If we compare these two outlets then we find various differences. Firstly we find
    that there supply chain is fast and effective in comparisons to traditional stores.
    Prices are offered by the retail outlets are having fixed pricing strategy whereas
    traditional stores can offer bargaining to there customer and special offers are
    not provided by these stores but retail stores provide discounts etc on special
    occasions.
   Raymond is dealing in brand like Raymond with various design, but traditional
    stores offering local as well as branded products. Products are limited in retail
    outlets and offering various kinds of projects in traditional stores. Warehousing
    facility is available and sufficient in retail stores but there warehouse is their
    own house. Transportation cost is high and using container for transportation
    but traditional stores are using trucks for transportation.
   Their supply chain is company to company by Raymond but distributed and
    middlemen is used in traditional store. Target customer in retail store is top-
    middle class but in traditional stores economic group and middle-lower are
    targeted. Retail stores plays orders through internet but in traditional stores in
    local medium.
ANALYSIS AND RESULTS
From The Comparative Study Of Traditional Outlet And Retail Outlet
concluded that Raymond Retail Outlet Is Much More Effective Then
the two Traditional Outlet on the basis of following points:

   No involvement of any intermediaries in supply chain of Raymond
    (company to company outlets)
   They have own logistics team
   Due to this they have transportation cost advantage.

   But in case of traditional outlets due to number of middlemen
    involvement in between them cost becomes high for transportation
    (manufacturing, distribution, wholesaler and customer). At every
    stage cost is added in transportations so it is not cost effective and
    it takes more time to deliver a product to ultimate customer(one
    place to another).

   Raymond is known for its brand image among customer and for
    their good quality products but in case of traditional outlets low
    quality or local quality product are available and they are not much
    concern about the quality of the product.
RECOMMENDATIONS
    As there are many intermediaries involved in the supply chain of
    traditional outlets.
   They are not using resources effectively and due to this they are
    incurring high transportation costs.
   So we suggest that their should b limited number of intermediaries
    because it is necessary to reduce cost and time. Customer demand
    can be fulfill on time and demand can be forecast easily by the
    storekeeper.
   Traditional outlets should forecast the demand on time with
    suitability and there should be some specific and strong base for
    forecasting demand so as to reduce the wastage of stock and
    timely availability of products.
   In traditional stores, flow of information is slow because they are not
    using internet and latest technology and techniques for information
    sharing about products. So, they should have proper server system
    for that to improve the system.
LEARNINGS
o Traditional Outlets Are Having Low And Slow Supply Chain Then
  Retail Outlet.
o Traditional Outlet Are Having More Cost And Time Then Retail
  Outlet.
 If we discuss various questions we conclude that whether it is a
  retail store or traditional store, they supply chain plays a vital role.
  They managed the supply chain by handling carrying and storage
  cost. They order the order on some specific basis, may be its their
  past records or their demand by customer. In retail outlets the sales
  person are educated and well behaved. They take your order and
  offer various services like tea, coffee etc. They are well dressed
  and well trained and handled the customer with an appropriate
  manner. They uses recourses on some definite manners and
  according to the need. They deals with the customer in face to face
  manner and its an company outlets so every delivery of products
  are always on time. Quality is major factor of attractiveness of
  customer.
   Generally they forecast the demand on seasonal basis. They check
    their books of records and on the basis of that they estimated the
    demand.
   If we talk about the traditional stores , they are not that much
    concern about the customer compare to the retail outlets. They are
    just offerings products of local quality and local brands. They just
    offering which a middle-lower class people want. Their supply chain
    is very long. They include manufacturer, wholesaler, distribute and
    retailers which is very long process and consume more time and
    cost. Between that if any loss of good is occurs in transit then it is
    responsibility of the transporter to bear the loss.
   From passing through these long distance, it takes more time and
    cost and sometimes delay in demand fulfillment. Quality controller
    is also not there to support to traditional stores.
Scm project

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Scm project

  • 2. Comparision of traditional outlet with retail outlet Introduction of Raymond Outlet  Raymond is amongst the first three fully integrated manufacturers in the business of Trusted suiting in the world. It is recognized as the most respected textile Company of India. As the flag-bearer of the multi-product, multi-divisional Raymond Group, it enjoys over 60% share of Indian Trusted Suiting Market.  Manufacturing facilities include three world-class fully integrated plants in India.  Products are distributed through about 300 exclusive retail shops in India and surrounding countries, 30,000 multi-brand retail outlets and over 100wholesale distributors. In addition to Middle East and SAARC countries, its products are sold to discerning customers in over 60 countries including premium fashion labels all over the world.
  • 3. Introduction of Traditional Outlet Issar Textiles and Mangal Textiles  Issar Textiles and Mangal Textiles are two local traditional outlets situated in the local market at Jaipur. Both these outlets are Multibrand stores. They sell the unstitched suit length and shirting's of fabric only and not the readymade one.  Various types of fabrics with different qualities are available for sale at these outlets like linings, checks and plain etc. Like these there are many individual traditional outlets are running in the local market in city.
  • 4. SUPPLY CHAIN OPERATIONS Raymond Outlet Raw Material Textile Plant Apparel Plant Retail Store Customers
  • 5. Issar Textiles and Mangal Textiles Manufacturer(Meal) Distributors Wholesaler Retail Store Customers
  • 6. COMPARATIVE STUDY  Traditional Outlet V/S Retail Outlet: Retail Outlet Has Good Supply Chain Management Instead Of Traditional Outlet.  If we compare these two outlets then we find various differences. Firstly we find that there supply chain is fast and effective in comparisons to traditional stores. Prices are offered by the retail outlets are having fixed pricing strategy whereas traditional stores can offer bargaining to there customer and special offers are not provided by these stores but retail stores provide discounts etc on special occasions.  Raymond is dealing in brand like Raymond with various design, but traditional stores offering local as well as branded products. Products are limited in retail outlets and offering various kinds of projects in traditional stores. Warehousing facility is available and sufficient in retail stores but there warehouse is their own house. Transportation cost is high and using container for transportation but traditional stores are using trucks for transportation.  Their supply chain is company to company by Raymond but distributed and middlemen is used in traditional store. Target customer in retail store is top- middle class but in traditional stores economic group and middle-lower are targeted. Retail stores plays orders through internet but in traditional stores in local medium.
  • 7. ANALYSIS AND RESULTS From The Comparative Study Of Traditional Outlet And Retail Outlet concluded that Raymond Retail Outlet Is Much More Effective Then the two Traditional Outlet on the basis of following points:  No involvement of any intermediaries in supply chain of Raymond (company to company outlets)  They have own logistics team  Due to this they have transportation cost advantage.  But in case of traditional outlets due to number of middlemen involvement in between them cost becomes high for transportation (manufacturing, distribution, wholesaler and customer). At every stage cost is added in transportations so it is not cost effective and it takes more time to deliver a product to ultimate customer(one place to another).  Raymond is known for its brand image among customer and for their good quality products but in case of traditional outlets low quality or local quality product are available and they are not much concern about the quality of the product.
  • 8. RECOMMENDATIONS  As there are many intermediaries involved in the supply chain of traditional outlets.  They are not using resources effectively and due to this they are incurring high transportation costs.  So we suggest that their should b limited number of intermediaries because it is necessary to reduce cost and time. Customer demand can be fulfill on time and demand can be forecast easily by the storekeeper.  Traditional outlets should forecast the demand on time with suitability and there should be some specific and strong base for forecasting demand so as to reduce the wastage of stock and timely availability of products.  In traditional stores, flow of information is slow because they are not using internet and latest technology and techniques for information sharing about products. So, they should have proper server system for that to improve the system.
  • 9. LEARNINGS o Traditional Outlets Are Having Low And Slow Supply Chain Then Retail Outlet. o Traditional Outlet Are Having More Cost And Time Then Retail Outlet.  If we discuss various questions we conclude that whether it is a retail store or traditional store, they supply chain plays a vital role. They managed the supply chain by handling carrying and storage cost. They order the order on some specific basis, may be its their past records or their demand by customer. In retail outlets the sales person are educated and well behaved. They take your order and offer various services like tea, coffee etc. They are well dressed and well trained and handled the customer with an appropriate manner. They uses recourses on some definite manners and according to the need. They deals with the customer in face to face manner and its an company outlets so every delivery of products are always on time. Quality is major factor of attractiveness of customer.
  • 10. Generally they forecast the demand on seasonal basis. They check their books of records and on the basis of that they estimated the demand.  If we talk about the traditional stores , they are not that much concern about the customer compare to the retail outlets. They are just offerings products of local quality and local brands. They just offering which a middle-lower class people want. Their supply chain is very long. They include manufacturer, wholesaler, distribute and retailers which is very long process and consume more time and cost. Between that if any loss of good is occurs in transit then it is responsibility of the transporter to bear the loss.  From passing through these long distance, it takes more time and cost and sometimes delay in demand fulfillment. Quality controller is also not there to support to traditional stores.