GROUP MEMBERS
S.M.TAHIR 11045 USMAN AFZAL 11055 12001 12008 FAREED HUMAIR DANISH MASOOD
M.RIZWAN
11022
11052
UMAIR ALI
COMPANY PR0FILE
Established in 2005 Two plants in Sukkur and Sahiwal Covering 2400 villages for milk collection 210 distributors in all over Pakistan Direct employment to 750 people 38% market share 5 regional offices located in important cities of Pakistan
OTHERS BUSINESS
Engro Chemical Pakistan Limited
Engro Vopak Terminal Limited
Engro Polymer and Chemicals Limited
AVANCEON (Formerly known as Engro Innovative Automation (Pvt.) Limited) Engro Energy Limited
BRANDS OF ENGROF00DS
ORGANIZATION CHAT
QUANTITY IN WAREHOUSE & LOGISTIC
SUKKAR WAREHOUSE:
1.6 MILLION LITRE
SAHIWAL WAREHOUSE:
4 MILLION LITRE
INBOUND LOGISTIC:
9000 LITRE
OLPERS MILK SUPPLY CHAIN
Strategic fit of olpers milk
Never compromise on quality Customer satisfaction To become very responsive Innovative
Olpers understand their customers & uncertainty in supply chain
Through segmentation Different attributes Proper forecasting Safety stock
STRATEGIC FIT FOR OLPERS MILK
Responsive Supply Chain
Responsiveness Spectrum
Zone of Strategic Fit
Efficient Supply chain Certain demand Implied Uncertainty Spectrum Uncertain Demand
SUPPLY CHAIN CAPABILITIES OF OLPERS MILK
Two large plants Handle the bulk inventory
Handle the supply uncertainty
Meet high service level Responded to wide range
OLPERS MILK ACHIEVED STRATEGIC FIT
Highly efficient Highly responsive
highly somewhat somewhat highly
efficient
efficient
responsive
responsive
DRIVERS OF OLPERS MILK
Facilities
o Engro has three warehouses o Two are located within the production plant and o One is central warehouse located in Rawalpindi. o warehouse temperature at 25-28 degrees o maintaining 6-7 days safety stock
o FIFO inventory system
DRIVERS OF OLPERS MILK
Inventory
handling the material in a proper way latest equipment use to handle the inventory specialized milk tanks use fork lifters
DRIVERS OF OLPERS MILK
Transportation
long vehicles are used for raw milk transportation
All transportation is d0ne by road
DRIVERS OF OLPERS MILK
Information
Well aware about seasonal demand suggested order list (SOL) SOL is done to determine the future demand forecast SAP is currently using in Olpers milk
DRIVERS OF OLPERS MILK
Sourcing
Using both strategies in-house & out source Rawalpindi ware house is out source Own dairy form and has some supplers
DRIVERS OF OLPERS MILK
Pricing
Achieve economies of scale Fixed price Discount on special events
Distribution Network
Focusing on every major cities of Pakistan. Distribution is outsourced. 210 distributors all over Pakistan Three geographical zones
Factors influencing distribution network:
Customers needs that are met
Cost of meeting customers needs Responsive time Product verity Product availability Customer experience Time to market Order visibility Return ability
Network operates in Olpers milk:
Manufacture or distributor warehouse storage with consumer pickup
Network operates in Olpers milk
Olpers inventory is stored at the manufacture or distributors warehouse but customers place their orders online or the phone and then travel to designated pickup points to collect their merchandise
Forecasting
R&D department previous month demand Low production in July & August 6-7 days safety stock
Inventory Management:
HOW MUCH and WHEN
packaging material used
sterilized prior to filling of UHT (Ultra Heat Treated) milk Temperature around 25-28 degree climate control system strong control on finished goods FIFO inventory system
Sourcing
Full-fledged Milk Collection Department
100 Milk Collection Centers in March2006
Over 800 collection centers in 2011 Largest milk collection networks in the country Well equipped with chillers to preserve the quality prior Two own warehouse and one is outsource Outsource distributors, transportation and suppliers Agreement with their distributors or suppliers
