Supply Chain activities at Tapal Tea
- 1. Supply Chain Network of Tapal Tea Pvt Ltd Submitted By: Mohammed Emad Simien Xavier Ali Sohail Zain Pervaiz Mubasshir Nasir Submitted to : Ms. Shazia Hameed Course: Supply Chain Management
- 2. Background of TapalTea Pvt Ltd
- 3. • Tapal's conception dates back in the year of 1947 when their forefathers laid the foundation of Tapal tea as a family concern under the personal supervision of its founder Adam Ali Tapal. • The story of Tapal started with his formulation of a unique tea blend, which was later named family mixture which became a hot favorite, and eventually the largest selling brand. • Tapal moved up the ladder of success by innovating and introducing different tea brands to suit every taste which were sold from its retail outlet in Karachi’s Jodia Bazaar. • The company continued to thrive and grow under the management of Fazullah A. Tapal, who started tea distribution to retail outlets around the city for the convenience of the people. • Innovating its way through its near-60 year history, Tapal is presently the largest, 100% Pakistani owned tea company in the country.
- 4. • It has set new standards for modern tea blending and packaging factories, warehouses equipped with state-of-the-art equipment and a team of highly dynamic professionals headed by Aftab Tapal himself. • The first to invent the highly successful brand Danedar Leaf Blend. The first to market Kenyan teas in Pakistan. • Tapal is also the 1st national tea company to export tea to the UAE, Canada and USA.
- 5. Brands of Tapal Tea
- 6. Tapal Danedar • First introduced in Pakistan in 1987. • The name ‘Danedar’ suggests a blend consisting of premium quality Kenyan granules. • Especially created to suit the local taste buds combining a lively flavor with a rich color and a distinct aroma. • Tapal Danedar enjoys a leadership position in the Tapal portfolio by catering to diverse income segments, from single serving sachet users to large households. • Sachets: Rs 3 & Rs 5 sachets. • Hard pack: 30 gms, 100 gms & 200 gms. • Economy pack: 400 gms & 1000 gms. • Jar: 450 gms.
- 7. Family Mixture • Tapal created a pioneering blend of tea called Tapal Chai in 1947, later renamed Family Mixture. • It appeals to an ever-growing section of the market and commands a leadership position in Pakistan’s tea industry. • Is growing rapidly in popularity in Central and Northern Punjab as well. • Hard Pack: 22 gms, 100 gms & 200 gms. • Economy Pack: 500 gms & 1000 gms. • Jar: 450 gms.
- 8. Tapal Tea bags • Another premium offering from Tapal Tea are the Danedar Tea Rounders. • The only round & string less teabag available in Pakistan. • At 2.5 gms each the Danedar rounders are specially designed to deliver quality taste in a teapot. • Available not only in Pakistan but also readily used across USA, Europe & Australia. • Teabags: 100 gms ( 50 envelopes) 200 gms ( 100 envelopes)
- 9. Mezban • Tapal Mezban is the second largest selling brand of the company. • First launched in the mid 1990’s, it quickly achieved popularity in Sindh. • Just a small quantity is enough for several satisfying cups, making it ideal for homes as well as hot tea shop consumers. • Mezban truly captures the brand essence of fortifying relationships through hospitality which is a part of the culture of Sindh. • Sachets: 6 gms ( Rs.3) • Hard Pack: 35 gms, 125gms & 250 gms. • Economy pack: 500 gms & 1000 gms. • Jar: 220 gms.
- 10. Tapal Tezdum • The identity of Tapal Tezdum is rooted in the culture and folklore of Punjab. • Tezdum delivers a good quality, strong tea that is rich in taste and color at a very reasonable price. • It is also the first tea brand in Pakistan to be introduced in an attractive and economical silver foil packaging. • Launched in 2003, Tapal Tezdum equates the strength of the blend with the moral courage of its user. • Sachets: 22 gms sachet • Hard Pack: 100 gms • Economy Pack : 400 gms
- 11. Shades of Green • In the year 2000, Tapal became the first tea company to launch a range of flavored green teas in the country. • Available in refreshing Jasmine, Lemon, and Elaichi flavors. • A favorite of health-conscious people. • It helps to soothe and relax you whilst helping in digestion, enhancing metabolism and aiding in weight loss. • Teabags: 1. Jasmine ( 45 gms, 30 envelopes & 90 gms, 60 envelopes) 2. Lemon( 45 gms, 30 envelopes & 90 gms, 60 envelopes) 3. Elaichi ( 45 gms , 35 envelopes) • Jar: Jasmine (100 gms)
- 12. Ice Tea • Innovators at Tapal decided to introduce Ice Tea to cater to a youthful market segment. • Initially launching with a Peach Flavored tea in a can, Tapal added a Lemon and Lime flavor to cater to an market niche • Rich in Vitamin C and antioxidants, it is non-carbonated, contains no preservatives and is low in sugar as well. • Sachets: 25 gms powder sachet ( Lemon & Lime, Peach) • Cans: 320 ml ( Lemon & Lime, Peach)
- 13. Tapal Instea • Tapal decided to expand its portfolio in May 2009 with its introduction of Instea in the 3-in-1 instant tea category. • Instea gives a complete tea solution, and seeks to expand awareness of the concept of immediate, ready to drink tea. • Sachets: 20 gms ( Rs 10)
- 14. Supply Chain inTapal Tea
- 15. There are basically2 Supply Chain departments functioning in Tapal Tea. • Tea Supply Chain Department • Supply Chain Department
- 16. Overall Supply ChainModel CEO TEA SCD SCD Distribution & Planning & Tea Procurement Tea Quality Procurement Warehouse Logistics Raw Tea Tea Lab POS & General Warehouse Tea Blending Outbound Packing Material In bound R&D MRO
- 17. Functions of thesupply chain department Tea Supply Chain Supply chain • Procurement of Raw material (Tea). • Procurement of packaging material. • Quality Control. • Maintenance, Repair & Operations. • Warehousing. • Warehousing. • Blending. • Production Planning. • Logistics. • Transportation.
- 18. Tea Supply Chain A flowchart demonstration
- 19. Tea leaves are Leaves are taken to Tea produced plucked the tea factory No Samples taken to Pre-auction the lab for testing Yes sample Tea is auctioned Pre-shipment Shipment takes Tea reaches the sample place port Random Sampling Tea reaches Goes through the on Dock Tapal clearing agent Reaches Blending takes Reaches Sample accepted warehouse place warehouse (Green (Red Area) Area)
- 20. Samples being testedat the laboratory
- 21. Supply Chain Aflowchart demonstration
- 22. Sales & OperatingPlan This is done on an yearly basis by the sales & marketing department. This plan is made on the basis of 3 factors: • By Storage Keeping Unit • By Warehouse ( Dockyard) • By time The rolling sales forecast is an output forecasted on a short term basis by the sales department.
- 23. Master Rolling Sales Supply Bill of Production Forecast Chain Material Schedule Final Product Production Plan Master taken to the (TSC, Required dockyard Production & ER) Plan Packages Saima Trans Pak Ltd Packages Karachi Raiwind Packaging Red area on Auction Material of dock Jars Logistics QC/QT Green Area Issue Order Distribution Order Team Distributor Retailer Customer Team
- 24. Push & PullProcess at Tapal Tea Customer Order Afghanistan Cycle Customer PULL PROCESSES Order Cycle Tapal Tea Private Ltd ………………..Export Order arrives (Afghanistan) Replenishment & Manufacturing Cycle Procurement, Manufacturer Manufacturing & Procurement Replenishment Cycle Cycles PUSH PROCESSES Supplier
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- 26. Functions of thewarehouse • Handling • Counting • Placement • Replacement • Receiving
- 27. Distribution at TapalTea • The distribution network at Tapal Tea is divided into 2 divisions. South Division: Karachi, Hyderabad & Sukkar North Division: Raiwind, Multan & Islamabad Karachi & Raiwind are the two production plants of Tapal Tea in Pakistan.
- 28. Mode of transportationat Tapal Tea • Purchased teas are transported through containerized shipments from their country of origin to reach the factory in the best condition possible. • After an order is placed by the distributor a Route plan is devised. Tapal Tea uses three different models of vehicles to transport its tea to the distributors. • Shehzore (Max. capacity = 150 cartons, Min. capacity allowed = 115 cartons) • Mazda (Max. capacity = 400 cartons, Min. capacity allowed = 350 cartons) • Hino (Max. capacity = 400 cartons, Min. capacity allowed = 350 cartons)
- 29. Logistics at TapalTea • In Pakistan, the normal size of containers used in transporting tea is 40 feet. • Tapal Tea gives initiatives & bonuses of different sorts to the owners and asks them to maximize their container’s size to 50 feet. • This is done so that more stock can be delivered at one time. • These containers feed the 6 warehouses across the country.
- 30. Software used atTapal Tea Pvt Ltd • The software used at Tapal Tea Pvt Ltd is Oracle. • They use Oracle because it is thought to be strong in the fields of finance & HR whereas SAP is strong in the manufacturing department.
- 31. Conclusion • The per capita consumption of tea in Pakistan is one of the highest in the world with about one kilogram and is continuously increasing due to increase in demand. • The testimony of their quality has made Tapal Tea Pvt Ltd the first tea company in Pakistan to earn the ISO-9001: 2000 Quality Certification, the symbol of supreme quality standards. • Pioneer of the Danedar category in Pakistan, Tapal's Danedar remains a firm favorite around the country with its rich golden color and a strong refreshing taste. • Founded by Adam Ali Tapal, the company first started marketing a number of quality blends to Pakistani consumer market through continuous innovation and research and development they gain a big share of Pakistani market. • They still are growing and hope to be a leader in a market in coming years.