1. Company Guide : Mr. Venkata Ratna
Rao
College faculty : Dr. Shahazadi Begum
Shaik
2. The main objectives of this study report are:
•To understand the supply chain operations of the Haier appliances private ltd warehouse in Hyderabad.
•To determine the cost control in supply chain and in all aspects of logistics of Haier warehouse.
•To define the distribution network of the plant and warehouse. Understanding the dealer’s choice for the
goods.
•To understand the inbound and outbound operations of the warehouse.
•To determine the operations of 3rd party logistics in Haier warehouse in Hyderabad by referring all the
reports and analyzing it.
Need of the study:
The research study was totally exploratory because the study was fully of findings as it was collected
information from the branch logistics manager and 3PL transporters regarding the 3PL operations in Haier
warehouse operations of transportation, loading and unloading operations, inbound and outbound
operations of the warehouse and the services provided by Haier.
Under this study visited to many places such as
•Visits to the Haier Appliances India Pvt Ltd at Begumpet Hyderabad.
About the project
3. The Main Objectives of Haier warehouse in Hyderabad
To maintain Cost control in transportation and in all aspects.
As per the demand for the sales of goods increases in the
warehouse. So they will be no aging stock.
Findings :-
•Haier appliances private ltd warehouse of Hyderabad operates the stock and inventory
management of home appliances, consumer electronics products, medical pool products and
storage facilities and supplies the domestic dealers to overall domestic upcountry all over
Telangana state.
•The Haier company uses third party logistics companies (Swami and sons) for operating
transportation facilities, warehouse managing and manpower supply for functioning of the
warehouses.
• The Haier appliances private ltd warehouse of Hyderabad depends on sales to plan the future
operations and to achieve the goals of the company.
4. Company
review
The Haier Group was founded in 1984 CEO Zhang
Ruimin.
Haier produced only a single model of refrigerator,
today it is one of the world’s leading white goods home
appliance manufacturers.
The global revenue of Haier for 2005 was RMB 103.4
billion.
Unmatched Home Appliance Product Offerings.
8. Swot analysis of Haier
Haier has quite strong opportunities that can use to expand the market
and have the possibilities to enter new product segments and also to
maintain the position. In terms to develop and avoid threats situations, the
company should use its strengths and turn threats into opportunities at the
same time. It can help the company to increase and expand its position on
the market.
11. 3PL Introduction
“Third-party Logistics is simply the use of an outside company to
perform all or part of the firm’s materials management and product
distribution function.”
Third Party Logistics is an industry to which a shipper (owner of
transported goods) outsources various elements of the supply
chain to perform some / all logistics management functions
including inbound freight, customs, warehousing, order fulfillment,
distribution and outbound freight.
12. 3PL operations in Haier warehouse
3PL agency will provide man power to warehouse operations as per
government of labor policies.
They will maintain warehouse operations as per the Haier guidelines.
They will handle the loading and unloading and stacking the stocks
which related to warehouse operations.
They will stack the stocks as per the ageing norms of the company.
They will take care of fire extinguisher to the warehouse.
15. Research methodology:
Research design:
The research consisted of various steps
COLLECTION OF DATA
SECONDARY DATA
DATA SORTING AND ANALYZING
DATA PRESENTATION
DATA INTERPRETATION AND RESULTS
16. Data analysis
Sales data of 3 years estimation for future forecasting the sales turnover
283663852
378806716
76915841
39714125
0
50000000
100000000
150000000
200000000
250000000
300000000
350000000
400000000
2012 2013 2014 2015
sales estimation data
sales
17. Aging stock report analysis
0%
0%
1%1%
59%
0%
26%
0%
3%
10%
0%
Aging stock analysis
Commercial AC
Cross Division
Freezer
Home Air Conditioner
LCD
Micro-wave Oven
Refrigerator
Small Appliances
Solar Product
Washing Machine
Water Heater
18. MIS report May 2015
2 3 5 3 1112 18
5 9
38
120
144
125
13
220
0
50
100
150
200
250
number of trucks
transit time number of days
total quantity
19. VDR report
1 1 1 1
3 3
1
2
0
0.5
1
1.5
2
2.5
3
3.5
The
Nalagarh
Truck
Perators
Om Sai
Transport
SM
Carrying
Corp
Om Sai
Transport
SM
Carrying
Corp
The
Nalagarh
Truck
Perators
Om Sai
Transport
The
Nalagarh
Truck
Perators
VDR report
No. of Days Halting
21. SUGGESTIONS:
•To maximize the warehouse space in order to allocate the space for the higher dumps of the products from
the plant.
•To reduce the lorry detention time during the process and implementing effective scheduling process in the
loading and unloading of the products from the plant.
•To minimize and control the inter branch stock transfers as per sales plan.
•To reduce the late delivery of products to the dealers and customers.
•To recruit manpower labors in order to reduce the time of loading and unloading of the products and to avoid
the traffic of trucks.
•Need to improve in the logistics facilities in the company and maintain the flexibility within the
departments.
•Need to improve to liquidate the ageing stock daily report in the warehouse.
•To avoid low quantity billing in order to reduce the expenses in local and upcountry.
•To appoint repacking department and 3rd party at every hub only for import stocks and all warehouses to
avoid the carton box damage in order to save time ,reducing the loss and to control the cost.
22. •In global market: Continue Brand Building Initiatives, An individualized brand, the product
quality, adaptability and flexibility and Customer focused firm.
•In Domestic Market: Continuous Innovation, a home company to customers which
Increases the quality.
•To avoid the part loads of the goods by the distributor for all the Haier warehouses in the
country.
•To avoid low billing by the distributors in order to control the fright cost.
The phase of Global brand strategy（2005-2012）: Consolidating global resources and creating a global brand
Summary: The Internet era brings segmentation of the market, and the mode of traditional enterprises featuring “production-storing-selling” can no longer satisfy the tailored needs of users. The enterprises must shift from the enterprise-centric sale of products to the user-centric sale of services. That is, they should shift to the “demand manufacturing and delivery” mode. The Internet also brings integration of the global economy, and the relationship between internationalization and globalization is one of logical improvement. Internationalization means creating international brands with the own resources of the enterprises, while globalization means making use of global resources to create localized mainstream brands. They are quite different. Therefore, Haier consolidates the global resources in R&D, manufacturing, and marketing to create a global brand.
In this phase, the business mode created by Haier to develop consumers in the Internet era is a “Win-win Mode of Individual-Goal Combination”.
STAR
The star has a large market share in rapidly growth industry. The air conditioners are the stars of haier as they have large market share and business growth rate in the market. They are stars as they earn maximum profit for the company and even it has potential to grow and progress further.
Cash Cows
Cash cows exit in mature, slow growth industry but is a dominant business in the industry, whit a large market share. Refrigerators were the first product which hair produced and launch initially. This product runs successfully by getting more market shares in the market and achieving high growth rate. They financed their business by gathering revenue from the sales of refrigerators. As it’s a mature product of haier so it’s a cash cow of the company.
Question Marks
Question mark exit in new rapidly growth industry but has low market share. Cell Phones of haier lies in question mark because they had low market share in this industry. Also they did not create value among customers like their other products have created. They are at risk, either these cell phones would be star or dog in future.
Dog
Dog is a poor performer with low market share in slow growth market. I would say Haier has no product in this segment.
