Warehouse Practices Analyzed for Operations Overhaul
Addverb Technologies' client replaces its distributor model by directly serving the retail outlets from its own warehouse.
The client is one of the largest FMCG players in India operating across multiple business segments like home care, personal care, beverages, packaged foods, refreshments and is a part of everyday life of millions of consumers across India.
The company has a large distribution network covering millions of consumers across the rural & urban areas of the country. Company reaches the retailers through multiple sub points in between like wholesalers, distributors, stockists and company depots. It works on the vision of making people lives better by making them feel good, look good and get more out of life through their products.
The Problem/Existing Situation
The client used to operate through distribution model, where registered distributors used to get stock from client’s warehouse and then they will distribute to the retail outlets. Now, client wants to replace the distributor model by directly serving the retail outlets from its own warehouse.
However the challenge here is, their DC handles only cases whereas retailers order in eaches. In the distributor model, breaking the cases into eaches is done by distributor and with the new system, they intend to do this at their DC. Before panning this project at a large scale, they decided to do a pilot project at one of their warehouses. This is where Addverb stepped in.
