Dairy Farm Group Redesign of Business Systems and Processes

Section-D, Group 1 Gaurav Yadav Kshitij Tayade Lakshmi R Nitin erma Rahu! Kumar "houdhry i#nesh

MAJOR PROBLEMS
$ S!ump in retai! sa!es %ecause o& ' (sian crisis ' )ncreasin# competitive pressures ' Lo* pro&it mar#in

Pro !ems " Opportunities # Store Systems

$ +ach %usiness unit o& D,G had separate operationa! and store system- Those systems did not inter&ace *ith any other D,G systems $ "ustomer in&ormation *as not proper!y captured- This *as a major hurd!e in .sensin# and respondin#/ to customer needs

Pro !ems " Opportunities # Operationa! Systems

$ D,G had *ide ran#e o& disparate, independent app!ications &or speci&ic %usiness &unctions such as &inance, merchandisin# etc$ The systems *ere c!osed *a!!s, *ith no provision &or in&ormation e0chan#e$ +0pansion o& D,G to severa! #eo#raphies caused the app!ications to %e customi1ed to mu!ti-!in#ua! and mu!ti-cu!tura! environments$ Di&&erent versions o& the same so&t*are &urther increased the maintenance overheads$ 2any %usiness processes *ere manua! and ine&&icient *hich s!o*ed do*n in&ormation processin# and decision makin#$ D,G had a dearth o& in&ormation on mana#ement decisions-

Pro !ems " Opportunities # Operationa! Systems$contd%&

$ (vai!a%!e in&ormation *as vo!uminous and &ra#mented in di&&erent &ormats and *as not up-to-date- This made it di&&icu!t to inte#rate and ana!y1e$ )n&ormation *as made avai!a%!e in paper so it *as cum%ersome to add it to spreadsheet and then ana!y1e it$ (s D,G had a hi#h!y distri%uted %usiness, the access o& corporate in&ormation %y mo%i!e emp!oyees &rom remote !ocations posed a cha!!en#e-

Pro !ems " Opportunities # E'isting Processes

$ D,G had many ac3uisitions &rom di&&erent countries and these companies operated independent!y due to !ack o& communication net*ork$ The presence o& di&&erent supp!iers caused some items to have di&&erent prices$ Litt!e po*er over vendors$ 2onitorin# o& stock shrinka#e *as a pro%!em$ 4i#h inventory costs reduced the pro&it mar#ins$ 2anua! accountin# operation !ed to *asta#e o& human resources-