Table of Contents

1.Retail in India ............................................................................................................................... 5

1.Company Profile .......................................................................................................................... 7
1.1. Aditya Birla Group .............................................................................................................. 7
2.Pantaloons Fashion and Retail Ltd. ............................................................................................. 8
3.Fundamentals of Supply Chain Management ............................................................................ 10
3.1.

Supply Chain Management ............................................................................................ 10

3.2.

Warehouse ...................................................................................................................... 12

3.3.

Inventory Management .................................................................................................. 13

3.4.

Transportation ................................................................................................................ 15

3.5.

Information Flow............................................................................................................ 16

3.6.

Technology ..................................................................................................................... 16

3.6.1.

Retail Before ERP ...................................................................................................... 16

3.6.2.

Need for ERP .............................................................................................................. 17

3.6.3.

The Solution ............................................................................................................... 17

3.6.4.

Post Implementation ................................................................................................... 18

3.6.5.

Information Security ................................................................................................... 19

3.6.6.

Maintenance & Hardware ........................................................................................... 19

3.6.7.

Business with IT ......................................................................................................... 19

3.6.8.

Augmenting the ERP System ..................................................................................... 20

3.6.9.

ERP System Audit ...................................................................................................... 20

3.6.10.
3.7.
3.8.

Challenges and Benefits .......................................................................................... 20

Process Inward Process in Warehouse ........................................................................... 22

Stock Transfer Order (STO) .............................................................................................. 22

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3.9.

STO Movement .............................................................................................................. 23

3.10. Purchase Order (P.O.) ...................................................................................................... 23

3.11.P.O. Format ....................................................................................................................... 24
3.12. Unloading and counting of cartons .................................................................................. 24
3.13.

Warehouse Storage Process ........................................................................................ 26

3.14.

Warehouse Outward Process ...................................................................................... 26

3.15. Inward Process in Stores .................................................................................................. 28

4.Company Introduction ............................................................................................................... 30
4.1. Business Model of Snapdeal .............................................................................................. 31
Advantages of Snapdeal Model ................................................................................................ 32
Disadvantages of Snapdeal Model ............................................................................................ 32
5.Working Model of Snapdeal ...................................................................................................... 33
5.1. Marketplace Model ............................................................................................................ 33
6.Supply Chain Management at Snapdeal .................................................................................... 35
6.1. Technology in Supply Chain ............................................................................................. 36
6.2. Warehouse Management .................................................................................................... 36
6.3. Benefits to the sellers ......................................................................................................... 37
6.4. Snapdeal Plus (SD+) .......................................................................................................... 37
6.5. The SD+ Advantage: ......................................................................................................... 38
6.6. Logistics ............................................................................................................................. 39
6.7. Dispatch Process ................................................................................................................ 39
6.8. Quality Control .................................................................................................................. 40
6.9. Distribution Strategy .......................................................................................................... 40
6.10. Delivery Service............................................................................................................... 41
6.11.
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Last Mile Delivery ...................................................................................................... 42

6.12.

Back end ..................................................................................................................... 43

6.13.

Customer Service ........................................................................................................ 43

7.Conclusion ................................................................................................................................. 44

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List of Figures
Figure 1: Organized vs Traditional ................................................................................................. 5
Figure 2: Organized Retail Market Size ......................................................................................... 6
Figure 3: Supply Chain of Pantaloons .......................................................................................... 11
Figure 4: Process of Supply Chain................................................................................................ 11
Figure 5: Business Vertival of Pantaloons .................................................................................... 15
Figure 6: Depiction of SAP........................................................................................................... 18
Figure 7: SAP retail setup ............................................................................................................. 18
Figure 8: Supply chain and Inventory ........................................................................................... 21
Figure 9: Movement of stock ........................................................................................................ 23
Figure 10: P.O. Format ................................................................................................................. 24
Figure 11: Format of Inward Register .......................................................................................... 25
Figure 12: Pick list of Pantaloons ................................................................................................. 27
Figure 13: Format of Outward Register ........................................................................................ 28
Figure 14: Format of security Inward Register ............................................................................. 29
Figure 15: Fan at Mobible Thrust of Snapdeal ............................................................................. 30
Figure 16: Market Place model of Snapdeal ................................................................................. 33
Figure 17: Supply chain model of Snapdeal ................................................................................. 35
Figure 18: Warehouse operation of Snapdeal ............................................................................... 37
Figure 19: Snapdeal open Logistics .............................................................................................. 39
Figure 20: Delivery Process of Snapdeal ...................................................................................... 42

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1.Retail in India
The retail sector in India is highly fragmented and organized retail in the country is at a very
nascent stage. There are about 12 million retail outlets spread across India, earning it the epithet
of a nation of shopkeepers More than 80% of these 12 million outlets are run by small family
businesses which use only household labour. Traditionally, small store (kirana) retailing has been
one of the easiest ways to generate self-employment, as it requires limited investment in land,
capital and labour. Consequently, India has one of the highest retail densities in the world at 6%
(12 million retail shops for about 209 million households). Indias peers, such as China and
Brazil, took 10-15 years to raise the share of their organized retail sectors from 5% when they
began, to 20% and 38% respectively. India too is moving towards growth and maturity in the
retail sector at a fast pace.

Comparative Penetration of Organized Market:

Figure 1: Organized vs Traditional

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Figure 2: Organized Retail Market Size

In the current scenario clothing and accessories accounts for 39% of the total organized retail in
India. Following it Food and Grocery with the market share of 11%. Footwear Industry and
Consumer electronics are on 3rd position in the percentage of organized share which reads as 9%
for both of them.

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1.Company Profile
1.1. Aditya Birla Group
A US $40 billion corporation, the Aditya Birla Group is in the League of Fortune 500. It is
anchored by an extraordinary force of over 136,000 employees belonging to 42 different
nationalities. The Group has been ranked Number 4 in the global 'Top Companies for Leaders'
survey and ranked Number 1 in Asia Pacific for 2011. 'Top Companies for Leaders' is the most
comprehensive study of organisational leadership in the world conducted by Aon Hewitt,
Fortune Magazine, and RBL (a strategic HR and Leadership Advisory firm). The Group has
topped the Nielsen's Corporate Image Monitor 2012-13 and emerged as the Number 1 corporate,
the 'Best in Class'
50 per cent of the Aditya Birla Group's revenues flow from its overseas operations. The Group
operates in 36 countries Australia, Austria, Bangladesh, Brazil, Canada, China, Egypt, France,
Germany, Hungary, India, Indonesia, Italy, Ivory Coast, Japan, Korea, Laos, Luxembourg,
Malaysia, Myanmar, Philippines, Poland, Russia, Singapore, South Africa, Spain, Sri Lanka,
Sweden, Switzerland, Tanzania, Thailand, Turkey, UAE, UK, USA, and Vietnam.
The Aditya Birla Group is an Indian multinational conglomerate named after Aditya Vikram
Birla, headquartered in the Aditya Birla Centre in Worli, Mumbai, India.
The Aditya Birla Group is the world's largest producer of Viscose Staple Fiber industry. It
operates from India, Laos, Thailand, Malaysia and China. It owns the Birla Cellulose brand.
Apart from viscose staple fiber, the group also owns acrylic fiber businesses in Egypt and
Thailand, viscose filament yarn businesses and spinning mills in India and South East Asia. The
group has pulp and plantation interests in Canada and Laos. It's two companies i.e. Aditya Birla
Nuvo Ltd. and Grasim Bhiwani Textiles Ltd. which is a subsidiary of Grasim Industries are in
textile business.

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2.Pantaloons Fashion and Retail Ltd.

Pantaloons Fashion & Retail Limited is an Indian premium clothing retail chain. The first
Pantaloons store was launched in Gariahat, Kolkata in 1997. As of November 2013, there are 76
Pantaloons stores in 44 cities. Pantaloons was previously controlled by the Future Group, but has
now been taken over by Aditya Birla Nuvo Limited (ABNL).
Spotlighting today's buoyant youth, Pantaloons Fashion Retail Ltd., India's premium lifestyle
apparel company offers chic and trendy fashion to meet their ever-changing needs. With
innovative designs, concepts and products, the company brings the latest trends in fashion and
clothing styles to the apparel market. Pantaloons reflect the ideology of always keeping alive the
'newness factor' through fashion apparel and accessories that are visually appealing and
fashionably upbeat.
The first Pantaloons store was launched amidst much fanfare in Gariahat, Kolkata in 1997. Over
the years, the brand has undergone several transitions and re-invented itself to bring forth
compelling trends and styles catering to the evolving fashion hub.
Since its inception, Pantaloons progressed from retailing just a mix of brands to its very own
popular private labels as well, designed by the in-house Design Studio. With a sharp focus on
bringing the latest in fashion, the Design Studio combines its prowess in design and aesthetics to
present styles that keep the consumer fashionably dressed each season.
Initially positioned as a store catering to the fashion needs of the entire family, Pantaloons has
now transitioned to a fashion and lifestyle brand with an emphasis on youth and a focus on
designs that are inherently in sync with current fashion trends. This compelling combination has
helped Pantaloons retain its place on the style radar of every consumer's wardrobe.
Pantaloons stores have an abundance of choices across categories that range from western to
Indian wear, formal to party wear and active wear for men, women and kids. To further add to
the customer's innumerable choices that reflect style, attitude, and comfort, Pantaloons has
extended its horizons to fashion accessories like fragrances, footwear, handbags, watches,
sunglasses and much more.
With a chain of 81 fashion stores across 40 cities and towns, Pantaloons is constantly extending
its foot-prints into the rest of modern India.

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Pantaloons which was previously controlled by the Future Group has now been taken over by
Aditya Birla Nuvo Limited ['ABNL']. ABNL is a part of the prestigious Aditya Birla Group, a
$40 billion Indian multinational, operating in 36 countries across the globe with over 136,000
employees.
The company offers an incredible and complete one-stop shopping experience to its buyers
through its vast collection of more than 100 prestigious brands for the discerning fashionista. The
81 aesthetically designed stores spread across the country display a range of classy and trendy
merchandise that truly lives up to Pantaloons maxim of fresh fashion. A typical Pantaloons
store is spread across a sprawling retail space of about 28,000 sq. ft., comprising a brand
portfolio that runs across a wide gamut of styles that spell class.
The collection includes ready-to-wear western and ethnic apparel for men, women and kids,
complemented by an exhaustive range of accessories. The womens section houses the private
labels Bare Denim, Bare Leisure, Rig, Annabelle, Honey, and Ajile in western wear, as
well as the choicest ethnic wear from RangManch, Trishaa and Akkriti.
Popular brands like Lee Cooper, Biba and W are also available. The private labels for men in
western wear include Lombard, Rig, Bare Denim, Bare Leisure and JM Sport apart from trendy
brands like Urbana, Scullers, John Miller, and Indigo Nation. Akkriti provides a wide selection
of ethnic wear.

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3.Fundamentals of Supply Chain Management

3.1.SUPPLY CHAIN MANAGEMENT

Supply Chain Management (SCM) is essentially integrating suppliers to the end consumers and
emphasis the need for collaboration to optimize the whole system. The basic aim of any SCM
function is to make the organization more agile and nimble footed to respond to drastically
changing consumer preferences by capturing the data of material flow at all levels of the value
chain.
Retailers today face many challenges because of greater product variety, shorter product life
cycles causes greater fluctuations in demand and calls for high responsiveness in supply chain
and due to which need of shorter lead time continues. In retail transactions must be smooth,
timely and accurate. When one is dealing with a complex function such as retail it is very
essential that we have a strong supply chain for better responsiveness and cost effectiveness.
An effective supply chain management system can provide a 360-degree feedback to the retailer
as well as to the manufacturer about the popularity and complaints of any particular product.
Provide valuable insights on inventory and guidelines on merchandise allocation. It also
increases visibility of stock sales and consumer demand throughout the supply chain. Facilitates
collaboration and communication for improving relationship with supplier.
As Pantaloon Retail believes in value retailing so it is very essential that our supply chain is very
strong because we only make money when we reduced our cost and supply chain is the only area
for maximum cost reduction either it is purchase in bulk or it is better logistics we only win if we
are able to decrease our cost and response time. An efficient supply chain is working something
like that it is given in the above figure:

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Figure 3: Supply Chain of Pantaloons

There are 5 essential areas for the success of any retailer in the supply chain and out of these 3
are logistical functions. These are:
Warehouse (Facility)
Inventory Management
Transportation
Information Flow
Technology
This is the Process of Pantaloon Retail India Ltd

Figure 4: Process of Supply Chain

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3.2.Warehouse

Warehouse is the location to or from which the inventory is transported. Warehouses are the key
driver of supply chain performance in terms of responsiveness and efficiency. Before deciding
the location of Warehouses we must consider the following points:
Location of our stores
Rent of the location
Format of our retailing
Now a days warehouse is treated as switching facilities rather than storage place and companies
try to move stock from the warehouse as soon as possible to reduce the inventory handling cost,
for higher inventory turnover and for shorter cycle time It is a major cost center, many customer
problems are the direct result of improper warehousing management.

Major decision of warehouse are as follows:

Facilities in the warehouse, Warehouse layout, Design of building, Ownership of the warehouse,
Connectivity. Warehouses performance is judged by customers satisfaction and by lower cost
of operation.

Warehousing Function: Material Storage Function: Material Handling Function,

Information Handling Function.

Material storage is required to accommodate the following functions: Holding,

Consolidation, Break Bulk, Packing, Mixing. Material handling function Loading &
unloading, Material Movement, Order filing.

Information handling function

Goods inward, Inspection & auditing, Goods outward, Excess Stock, Warehouse

Expenses, Transit damage & Breakage. Pantaloons try to locate its warehouses very near
to the stores as we see there are many warehouses in the NCR area like to cover Delhi
stores there is a warehouse in Wazirpur, for Noida and Ghaziabad regions stores
company started a new warehouse in Dadri which is very near from both the cities and
for Gurgaon there is also a warehouse so company try to decrease its response time for
better customer service and as Pantaloon Retail concentrate more on value retailing so it

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is more important that company focus on economies of scale and purchase in bulk and
this requires more warehouses.

The function of providing warehouses is outsourced to Indo Arya which is one of the best
companies in India in the field of logistics. In some places like in case of HSRIL
warehouse in Dadri Pantaloon outsource the whole logistics function to Indo Arya. Dadri
warehouse of the company is provided by Indo Arya and it is a CWC warehouse.
Connectivity is very good from this warehouse because it is located on the GT road and it
takes hardly 1 hour in transporting stock to the Noida and Ghaziabad stores. There is
plenty of space inside the WH for parking and movement of vehicles. Warehouse is
divided into 3 sections of nearly 30,000 sq. ft. each out of which 1 section handling the
inventory of HSRIL format and hold furniture and home improvement merchandise, 2nd
section carry general merchandise and sanitary items and 3rd one is for pantaloons. In
case of Wazirpur warehouse there are 3 floors on the ground floor unloading and loading
is done.

3.3.Inventory Management

Inventory exists in the Supply Chain Because of a Mismatch between Supply and Demand.
Inventory is the major source of cost in the Supply Chain. The figure given below shows how the
effective inventory management is work. This figure shows that there must be some inventory
level we must manage for efficiently fulfill the demand of customers and we must out the
inventory in time so that we are able to send the stock in stores in time and the damage stock is
also out from the WH so that we maintain a good inventory level.
Pantaloons is the first company in the organized retail sector in India to win an accredited ISO
Certificate exclusively for its Supply Chain & Logistics function

Key points of Inventory Management System at Pantaloons

Consolidation of warehouse space
WMS (Warehouse Management System)

Mechanization and automation ensuring timely and accurate replenishment to the retail
stores.

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 ARS (Automatic Replenishment System)

Ensures timely product availability of all major fast moving items at stores.
Lower obsolescence and lower markdown.
Facilitate Stock Aging analysis.
Significantly reduced Time-to-Market.

Improved Order Fulfillment and Accuracy

The order fulfillment process refers to all the steps the company takes from the moment they
receive an order until the items land in customers hands.
For this, Pantaloons focus upon:

Classification of inventory

Integrate systems for more visibility into all aspects of order fulfillment

Automatic processes with the help of technologies and latest softwares.

Economies of scale

Shared warehouse capex and overheads

Reduced inventory holding costs

Optimized load consolidation.

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 Rationalization of SKUs
SKU Rationalization is an important technique in inventory management that helps retailers
optimize their assortments by decommissioning some of the non- productive merchandise.

Figure 5: Business Vertival of Pantaloons

3.4.Transportation

Transportation is defined as the physical flow of material and finished goods from point of origin
to point of use to meet customers need at a profit. It is essentially a planning process and an
information activity so an integrative process that optimizes the flow of material and supplies
through the organization and its operations to the customer. It is of critical importance to the
organization how it delivers products & services to the customer, whether the product is tangible
or intangible.
Effective & efficient Physical movement of the tangible product will speak of intangible services
associated with the product and the organization which is delivering it. In Case of intangible
product, the delivery of tangibles at the right place & right time will speak about its quality. India
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spends nearly 12% of its GDP on logistics. India spent nearly $ 50 billion to move material from
one use to another. Any good transport service is that which provide:
Reliable and consistent delivery performance
Freight economy
Minimum product damage
Pantaloon outsourced its transportation services to the third party which is Indo Arya. So in this
case all damages all responsibility is of transportation service. Pantaloon must provide the
required vehicle on time when warehouse requires it. This is the problem which warehouse face
most of the time.
3.5.Information Flow

Information serves as the connection between various stages of a supply chain, allowing them to
coordinate and maximize total supply chain profitability. It is basically information based
activity of inventory movement across the supply chain. Hence role of information system plays
a vital role in delivering superior customer service This function is required to facilitate the
following information needs for Pantaloons:
Order Registration
Order checking & editing
Order processing
Coordination means to integrate the total supply chain of the company with informational
needs as to time, quantity, value e.g. Lead time, rate of consumption, delivery schedule & price
of the material, Transportation time & cost etc. Flow of information is very essential to know the
exact requirement of stores, to know consumers preferences, to know the inventory level in
store and in warehouses. So you to have a look for this process a good and qualified team work
at Pantaloons because is the most important stage of supply chain management of supply chain.
3.6.Technology
3.6.1. Retail Before ERP

During the early days of Pantaloon, most of the solutions were developed in-house. Retail
Enterprise Management (REM) - a distributed POS based solution developed in-house, was
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deployed at every store, which managed inventory promotions, sales and customer profiles
across all the outlets. With the expansion in business, the software was modified, enhanced, and
stretched to accommodate the changing retail dynamics. Pantaloon had also piloted the use of
RFID technology and their experiment had been successful.
3.6.2. Need for ERP

Pantaloon wished to improve their store operations and have a robust system to support their
growth. An ERP system would help meet their requirements like:

Improved financial tracking and reporting for all retail locations and business levels

Deft handling of complexities in retail business requirements

Enhanced decision making by providing more granular, real-time information

Support for the financial accounting needs of a rapidly expanding retail business

Expediting the reconciliation and closing processes

3.6.3. The Solution

After a comprehensive evaluation of different options and software companies, the management
at Pantaloon decided to go in for SAPs retail solution. This was on account of the fact that SAP
had a solution specifically directed at the retail sector, which met much of Pantaloons
requirements. SAP being the market leader in the ERP vendor space, it was believed that SAP
was the best possible solution provider.
Some of the qualities of SAP retail solutions are that it supports product development, which
includes ideation, trend analysis, and collaboration with partners in the supply chain; sourcing
and procurement, which involves working with manufacturers to fulfil orders according to
strategic merchandising plans and optimise cost, quality, and speedvariables that must be
weighted differently as business needs, buying plans, and market demand patterns change;
managing the supply chain, which involves handling the logistics of moving finished goods from
the source into stores and overseeing global trade and procurement requirements; selling goods
across a variety of channels to customers, which requires marketing and brand management;
managing mark-downs and capturing customer reactions, analysing data, and using it to optimise
the next phase of the design process.
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A pictorial depiction of SAPs retail solution is shown in figure below.

Figure 6: Depiction of SAP

Figure 7: SAP retail setup

3.6.4. Post Implementation

In the period following the implementation, steps were taken to ensure the smooth functioning of
the newly deployed system. In the 5 years after the completion of the first phase of
implementation, several additional modules from SAP were implemented to keep the system

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future dated. The changes, the challenges and the benefits experienced are mentioned in the next
few sections.
3.6.5. Information Security

It was necessary to ensure that data or information was available to the right persons at the right
time. In order to ensure that information security is controlled within company premises, the
company educated its manpower. With this in mind, they tightened their internal processes,
while HR practices were brought in line with the companys overall policies. Since HR was
playing a crucial role in creating awareness among employees, it became a day-to-day practice
for the company employees.
For any external threat, the company put up strong firewalls in both hardware and software
forms. This apart, the company tried to combine best of prevailing standards in the industry,
ranging from perimeter security to desktop level security. Taking into account the geographic
spread and the nature of business the company segregated the internal set-up from the outward
facing infrastructure and implemented the best in class products, services and solutions
(Baburajan, 2007).
3.6.6. Maintenance & Hardware

SAP Retail is being used by around 1,200 employees across the organization. For maintaining
this implementation and its related applications, Pantaloon has an in-house team and it has
outsourced the Advanced Business Application Programming (ABAP) resources. This team of
ABAPers takes up any software changes required. They have also set up a SAP Competency
Centre. The system runs on a HP Superdome server on HP UNIX 11i and the database is from
Oracle (Shah, 2007).
3.6.7. Business with IT

In order to specifically cater to emerging and growing business needs, the IT team has a business
relationship cell which interfaces with the various business teams to understand their needs. This
enables changes required to be captured at source and incorporated as needed. IT has got
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strategic importance within the organization and is represented at the senior management reviews
and discussions. Thus, Pantaloon made strategic use of IT (Baburajan, 2007).
3.6.8. Augmenting the ERP System

By 2007, SAP Retail was implemented across all business functions which included finance,
category management, SCM and store back office and covered all stores across India. Very soon,
HR and payroll were also covered. A data warehouse and Business Intelligence (BI) solution
from SAP were up next. It was also planned to implement a CRM system to better understand
customer requirements. In 2012, Pantaloon implemented a webbased interface using IBM
Cognos TM1 to help with financial planning, forecasting, reporting and analysis. This was
integrated with SAP Retail (Kumar, 2012).
3.6.9. ERP System Audit

In order to ensure that the system is current, it was continuously reviewed. In 2011, Ernst and
Young were called in to undertake an audit to help strengthen the controls in the ERP system.
Based on this report, changes and improvements were made to the system to help Pantaloon to
remain competitive (Annual Report, 2012).
3.6.10. Challenges and Benefits

The key challenges in this project were not in the implementation but in managing the
perceptions of people during the period of six months when the implementation was underway.
People were not convinced about the need for ERP and did not see why it was necessary.
Migrating unorganized data to an organized format was the next key challenge
Pantaloon was not able to see immediate benefits from this implementation. They were already
working on MAP (Merchandise Assortment Planning), Auto-Replenishment and Purchase
Orders. They hoped to use these systems to optimise their inventory and cut it by about two to
four weeks. The SAP ERP system is completely integrated with point of sales machines (POS).
Further, all the sales data generated in a day are uploaded into SAP overnight, automatically
updating the inventory movement and financial changes.

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In the long run, they were able to experience improvements in several areas. Some of the benefits
were:

Financial and Strategic Benefit

Greater business insights through more accurate and timely financial information

Lower costs via convergence of financial accounting and controlling

Enhanced data quality

Easier compliance with regulatory requirements via the SAP parallel accounting feature

Operational Benefits

Real-time, continuous reconciliation of cost elements and expense accounts, freeing up

personnel for more valueadded activities

Ability to close books 15% to 20% faster

5% to 10% reduction in accounts receivables

In 2011, Pantaloon Retail also won the Best run Business in Mobility Adoption from SAP. This
reaffirmed that they had made good use of IT to make information available anytime, anywhere
on any device (SAP, 2011).
The following chart/ model shows various technology initiatives taken by Pantaloons for better
management of supply chain and inventory:

Figure 8: Supply chain and Inventory

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3.7.Process Inward Process in Warehouse

In warehouse when stock comes from the vendor site or from central warehouse then the
following procedure is used for inward of stock in warehouse: 1. Documents check: This is first
and one of the most important steps of the in warding procedure because if any warehouse
inwards the stock in warehouse without check the proper documents then it creates a big trouble
for the organization. It may be possible that the stock which come in the warehouse is not belong
to that warehouse or proper taxation is not done by the vendor for that stock so proper checking
of documents is must. Security guard and the person responsible for stock unloading checks
documents before allow the stock to enter in the WH.
If stock comes from central WH, any other WH or from any store then following documents are
checked by the security staff: 1.1 Stock Transfer Note (STN) staff checks whether this STN
belong to this WH or to any other. 1.2 Transporter waybill which is different in different in
different states and somewhere it is also not require this.
3.8.Stock Transfer Order (STO)
Stock Transfer Order (STO)/Stock Transfer Note (STN) are the document which is used for
transfer of stock WH and stores. At the store level STO is raise by DMs of their respective
department. STO is also required for the movement of stock from one warehouse to another or
from one store to another. We can say that all the movement of stock within the organization is
takes place with the help of STO.

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Figure 9: Movement of stock

3.9.STO Movement
If stock comes from vendors site, then security checks the following documents:
1.1 Purchase Order (PO) whether this PO is for this WH or not and security also check the expiry
date of PO.
1.2 Invoice (Bill) which specifies what quantity vendor sends and what price vendor charge from
company.
1.3 Delivery challan which is the proof of payment of sales tax.
3.10. Purchase Order (P.O.)

Purchase Order(PO) which is only raise for the vendors/suppliers and this PO is only raise by the
Front End Category Team from the Zonal office or from Head office and it is also raise by stores
and in stores it is raised by Department Managers. PO from the store level is only raise for the
local vendors and vendors deliver stock directly to the stores. When DMs of the stores raise PO
then most of the time it first goes to category team and then category team pass it to the vendors.
In case when category team raise the PO then it considered the requirement of the stores which is
sent by the DMs to the category team and then category team make PO for vendors and decide
whether stock goes to WH or directly to the stores.

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3.11.P.O. FORMAT

Figure 10: P.O. Format

3.12. Unloading and counting of cartons

After checking the documents stock is unloaded from the vehicle under inspection of responsible
person and security staff. Securities counts the cartons and see that cartons are packed properly if
there is any carton which is open or not in proper condition the security put remark on the
documents.

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a) Entry in security inward register:

After proper unloading security staff enters the details of in warding in security inward
register. The format of inward register of Pantaloons is given below:

Figure 11: Format of Inward Register

b) Stock Count and Check: After the entry of stock in the register this is the time to count
the stock manually or by the help of SAP and employee also check for any damage in the
stock that the WH get and if they find any difference between the quantity mentioned in
invoice and the actual quantity they get or if there is any damage product, any part
missing or any bar code problem then they write that information on the invoice of the
vendor and pass it to the concerned person of the warehouse.
c) Entry into SAP: Now after counting the stock if counting is done manually then the stock
is entered in the SAP by scanning each and every product for the better visibility of stock
across the supply chain. If there is any problem in bar code like it is not read by reader
because of any scratch on bar code or bar code is not on the merchandise then the person
try to find out its article code by matching that product with other product of same
characteristics like a shirt of same color, same size and same brand has common article
code and when they find any such merchandise then they enter its article code in the SAP
manually and if they dont get any merchandise then they put it away and inform the
vendor about this type of product.

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3.13.Warehouse Storage Process

Storage is also the most important part of the warehouse because we cannot store all the stock in
store due very high property rents and every Sq. ft. of space is very costly in the regions where
stores are located and proper storage is also essential in WH to avoid damages and for fast
processing. In storage process when stock is entering in the SAP then it is moved to their
respective section which are arranged according to their category or MC code.
Every item put in WH according to its type and the way it moves out from the WH like clothes
are put in bins and racks for fast movement of stock as they are easy for pick when they are put
in racks. For Big items like consumer durable and furniture there is no requirement of racks
because they are put on the floors and if they are put in racks them it is also hard to put them in
racks. At what location any item is placed is also decided because it is not good to move glass
items for a large distance so they put near to out gate.
3.14.Warehouse Outward Process

1. STN is drawn from SAP: The movement of stock from the WH to the different stores or to
other WH is known as stock transfer for this purpose store/WH raise a Stock Transfer
Note(STN) for WH according to the requirement of store/WH and WH person takes this STN
from SAP.
2. Check availability of stock through SAP: Before take the printout of STN that person check
that is there any other store which send the requirement of the same product if so then WH
employee divide the stock between the stores according to their requirement so that no one get
stock out for that material.
3. Pick list is made according to the STN: After checking the availability of material WH person
generate pick lists according to the category or according to MC code of the category like there
is separate code for mens jeans and separate MC code for ladies jeans and merchandise is put
in the WH according to their MC code so that it is for the employee to pick the merchandise.

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Figure 12: Pick list of Pantaloons

4. Employees pick items according to the pick list: Now the pick list is given to the employee
which are responsible for pick the merchandise and they take that pick list and as they know
where this particular product is placed so they go to that section and pick the items according to
the article code which is write on the bar code of the product and put it on the conveyor or in a
blank carton and take it to the section from which outward is done.
5. Items are scan through the SAP: When pick stock reach to the outward system the person at
the outward system enter STN No./Delivery No. and Handling unit which is L2000 for outward
in the SAP and then scan each item one by one and if any item which is not belongs to that STN
then a red light is blink in the bottom of SAP window and the person put that item away and tells
the persons those pick the item that this is not the right product and the employee again search
for right product and when all items get scanned then they pack the cartons for dispatching and
put the right tag for the store and STN no. on the cartons.
6. Pre Delivery Investigation (PDI) of stock: Before dispatching the stock to stores for some
product an investigation is required to confirm that the dispatch item it in good quality and it is
not damaged this process is generally for big product like furniture items, electronics items etc.
In this process employee check for any defect in the product and if there is any such problem
they found in the product then WH does not dispatch it to the store.
7. Stock is packed: When stock is put in the cartons then it is the time to pack these and
packaging staff pack the cartons with the sheet of polythene so that cartons are not opened easily
and sometimes there are some damaged cartons also prevented from opening during
transportation by this process.

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8. Documentation: When stock is packed then the WH person does the proper documentation for
hassle free movement of goods. Employee put the STN with gate pass which is very essential for
outward movement of stock without which security does not allow to pass the stock outside the
WH and a document is also attached for sales tax purpose which is different for different states
like if stock is moved inside the UP them an OC stamp is very essential with the document or if
stock is comes in UP from outside then form 31 is required without these documents movement
of stock is illegal.
9. Outward Entry Register: After seeing the required documents security person make entry into
his register for the outward stock. The format of outward register of Pantaloons is like this:

Figure 13: Format of Outward Register

10. Dispatch of stock: For dispatching the material to the store the employee of the WH tell the
transporter about the requirement of the vehicle in advance so that the transporter arranged the
vehicle on time for dispatching the material.
3.15. Inward Process in Stores

1. Documents check: This process is same as that of WH security staff checks STN, Delivery
Challan, and Gate Pass when stock comes from WH and PO, Delivery Challan and Invoice when
stocks comes from supplier.
2. Unloading and counting of cartons: This step is also same as that of WH
3. Stock count and check: This step is somewhat different from WH because in case of store the
process of counting and checking of stock from any damage is very fast in comparison to WH. In
store the shortage and damages that are found in write on the documents which are send to
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vendor at the same time after counting and damage material is try to dispatch from store as soon
as possible because of space problem.
4. Entry in security inward register: After counting security enter the inward stock detail in
security inward register for future requirement. The format of security inward register is given
below:

Figure 14: Format of security Inward Register

5. Stock move to store warehouse: After counting and entry in the inward register stock is moved
to the warehouse of the store
6. Entry into SAP: When stock moved to the warehouse then it is the time to enter the stock in
the SAP so that it is moved to shelves because without entering the stock in SAP it is not
recognized by billing counters for that reason after entering stock into SAP it is also entered into
REM which is used at cash counters. Store WH persons scan each product one by one and enter
it into SAP. In case of food bazaar there are many items on which there is no bar code and the
content of product bar code is not match with the food bazaar bar code so sometimes bar codes
are also attached on the products in the store also and sometimes stores call the vendors and they
put the bar codes on the products according to store requirement.
7. Discrepancy note is made: After counting and entering stock in SAP this is the time to make a
discrepancy note which tells the difference between invoice/STN and actual qty. and one copy of
this discrepancy note is send to zonal office, one to vendor. The overall process of making
discrepancy note is same as that of WH.
8. GRN is made: Making GRN is also same as that of WH and the documents are send to zonal
office.

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4.Company Introduction
Snapdeal, founded by Kunal Bahl and Rohit Bansal, is an online shopping marketplace started in
February 2010 as a daily deals platform inspired by groupon.com but expanded in September
2011 to become an online marketplace.
It started as a member only website which gradually kept on growing to become the largest
online marketplace in India offering an assortment of 30 million products across diverse
categories from over 275,000 sellers catering to a user base of 25 million members in 6000
towns and cities across the country. Snapdeal is now the second-largest e-tailing company after
Flipkart in India.

Figure 15: Fan at Mobible Thrust of Snapdeal

Snapdeal has also its own mobile app. A separate team for mobiles was created. This strategy
worked in favor of the company and soon the mobile traffic climbed and the result can be seen in
terms of orders coming from mobile.

Now between 70 and 80 per cent of the orders come over the mobile. It is predictable that the
figure will rise to 85 to 90 percent in the coming two years. By the end of financial year 2015,
Snapdeal had crossed $1 billion in sales.

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4.1. Business Model of Snapdeal

In this model, Snapdeal does not sell any goods/service on its own but offers discount coupons
which can be used by buyers to avail discount at the time of buying good or availing service
from Merchant.
Snapdeal negotiates a deal with the merchant and negotiates its revenue share in the discounted
value. It charges only its revenue share to the customer for issuing a coupon and asks the
customer to pay the merchant's share directly to the merchant.

Snapdeal only takes its revenue share from the customer. Consider an offer for tattoo worth Rs.
1000 for Rs. 299. If Snapdeal negotiates a revenue share of Rs. 99, it charges only this amount to
the customer and asks the balance amount of Rs. 200 to be paid directly to the merchant. This
way psychologically, the customer has not paid the full Rs. 299 upfront. Most deals are made
live after the first coupon is sold.

4.2. Snapdeal Business Model Sequence

List Sellers Today Snapdeal claims of having 100,000+ Sellers on its platform.
Get Sellers to become Active By Listing of the Products
Sellers Agree to the TnC of Snapdeal and agree on a selling commission on every order.
Whenever any order is put up on Snapdeal by a customer, Snapdeal passes that to the seller and
arranges for the pick up and delivery or else the Seller directly ships it to the customer.
At the end of a certain pre agreed period of settlement of payments to Sellers, Snapdeal
aggregates the total sale achieved by a particular seller, and after deducting the sale commission
and service tax, they wire transfer the rest of the money to the seller.
The sale happens via channels as listed below:
Website Sale
Web-App on Mobile / Tablets
Mobile App (Android or iOS or others)
1. Direct via Tele Sales (Customer calling and Placing order Happens rarely now)
2. Via Affiliate networks (Bloggers, Coupon Websites, Review Websites etc)
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3. Social Buy
4. Corporate Sales (Rewards and Recongnition Programs) and Gifting Platforms
Advantages of Snapdeal Model

Snapdeal is only Technology Provider therefore very less hassles in business operations.
About 2-3 sales executives are hired in each city to tie up with brands for discounts.

Cost of Operations is very Low compared to other models

Very Easy to Set Up Business Operations

Lot of upcoming Brands / Merchants are available for tie up

Disadvantages of Snapdeal Model

Ultra Low Margin Business: It can be as low as INR 25 per coupon

Heavy discounts are offered by brands which are new or not known because they want to
build their customer base by offering huge discounts. Known brands would not like to tie
up with these websites because it actually devalues the service and products.

Customer can also find that discounts are available without buying discount coupon

Managing coupon logistics is difficult as it require lot of coordination with merchants so

that same coupon cannot be used multiple times

Profitable Business only if Huge Volumes can be committed to merchants

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5.Working Model of Snapdeal

5.1. Marketplace Model

An online marketplace is a fleet of eCommerce stores huddled together in a single site. The
admin, vendors and the customers constitute the business ecosystem of a multi-vendor
marketplace. The vendors sell their products on the marketplace, which is owned by an
admin/marketplace owner. So when a customer purchases the products from the marketplace
site, the payment is received by the vendor and the admin in turn receives the commission from
the vendor.

Figure 16: Market Place model of Snapdeal

Snapdeal is a 100% pure and unbiased marketplace. No single seller on Snapdeal accounts for
more than 2% of our sales, something which no other marketplace in the country can claim. The
powerful model of local merchant & physical product e-commerce is something which is very
unique to Snapdeal.com and it gives the opportunity to provide wider variety of choice to the
customers.
Snapdeal started changing their business model as often it took until they got the right mix. From
a company that sold discount coupons, first offline and then online, they made the transition to
building a marketplace-based ecommerce company called Snapdeal in 2010. A 20-member team
in 2010, Snapdeal has 1,200 team members today.
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An online marketplace is a secure and transactional website where selected suppliers can sell
their products or services to buyers. Buyers transactions are processed by a marketplace operator,
and usually delivered by the supplier.

Advantages of marketplace model for Snapdeal:

They didnt have to invest in building infrastructure (like warehouses) to enable buying
and selling of products.

They got suppliers including the biggest brands and hundreds of smaller traders to list
themselves on Snapdeal.com. When a customer orders a product, the merchant dispatches
it from his own warehouse.

Snapdeal didnt have to compete when it came to sourcing products and understanding
customer taste.

As the business has grown, the model gets tweaked.

E.g.) Snapdeal has also started using warehouses for some of its merchants who have high
volumes and not enough of their own space. Naaptol, on the other hand, has added a layer in the
process. Products from the merchants warehouses first come to Naaptol so that it can ensure
quality of the product and reduce the percentage of returns. After the check, Naaptol sends the
packet to its customers.

At a time when most ecommerce companies were setting up their own courier units to transport
goods, Snapdeal decided to work with existing courier companies.

Advantages of working with the existing courier companies for Snapdeal:

It helped Snapdeal in maintaining a tight team,

Also helps Snapdeal reach the remotest parts of the country

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6.Supply Chain Management at Snapdeal

Supply Chain Management and Logistics form the back bone of the ecommerce industry.
Snapdeals aim is to create a delightful experience for their customers and as the customers
evolve, Snapdeal needs to constantly innovate and develop newer solutions to service them
better.

Supply Chain operations at Snapdeal include planning, warehouse management, driving process
excellence, supply chain technology integration, end to end solutions design and implementation.

Figure 17: Supply chain model of Snapdeal

Snapdeal entered into a strategic partnership with Gojavas in order to further improve customer
experience on its platform. The companies together launched innovative delivery services like 4hour delivery, card on delivery and 90-minute reverse pickups. Snapdeals flaghip service,
Snapdeal Plus has been tremendous success. Currently 60% of the orders are Snapdeal Plus
fulfilled up from 7% in January 2015. The Supply Chain Management team has more than 1000
employees and has grown 5 times since December 2014.

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6.1. Technology in Supply Chain

Snapdeal is making massive investments in technology. Much of the money they have raised,
they are investing in growing their technology base, both organically and inorganically. Within
the next three months, they are going to acquire at least five companies, mostly for enhancing
our core technology in supply chain.

Right now, Snapdeal has 500 engineers in the company. They are going to hire 1,000 more in the
next 12 months. Snapdeal is setting up new development centers in NCR, Hyderabad and
Bangalore.

6.2. Warehouse Management

Snapdeal currently has 1.3 million square feet of warehouse space which are designed as
integrated facilities that combine warehousing, quality control and transportation to aid sellers.
The warehouses are spread over 25 cities. Snapdeal has aimed to increase its number of
warehouses so as to boost the delivery of the products all over the country.
Dispatch shares the ground floor with pre-inwarding, inwarding and quality control. On the
first floor and in the basement are the two Main Storage Areas. Each floor is about 30,000 sq ft.
Goods for sale are delivered by truck direct from the manufacturers at the ground floor, then
spot-checked, invoiced, carefully checked again and sent into storage upstairs or downstairs, by
sloping conveyor belt. Once sold and on their way out, the goods go through another quality
check, are assembled into orders, packed, and handed through windows to courier agencies that
have permanent stations on the dispatch floor. Ninety in-house merchandisers track fashion
trends, chase and negotiate with brands.

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Figure 18: Warehouse operation of Snapdeal

6.3. Benefits to the sellers

Snapdeal has launched a slew of services for the benefit of sellers. It has enabled merchants to
start selling within four hours of registration, provided them with a single window to choose
courier services, introduced a seller app to help them manage their business on Snapdeal through
mobile phones and, most recently, roped in banks and NBFCs to secure finances for sellers.

6.4. Snapdeal Plus (SD+)

Snapdeal Plus (SD+) are fulfillment centers of Snapdeal. Fulfillment centers are the locations
where incoming orders are received from affiliated stores or locations. These orders are
processed and filled. These centers may also work independently of specific companies where
orders are outsourced for the purpose of fulfilling customer orders.

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80% of Snapdeals sales now shipped through its own fulfilment centres. These are called SD+
Centres. Orders shipped through SD+ have end-to-end trackability and have helped Snapdeal
deliver faster than anybody else.

Shipping through SD+ gives Snapdeal the opportunity to screen quality of products and the
quality of packaging. Snapdeal has built this capacity rapidly. In January 2015 only 7% of their
sales were shipped through SD+ and in May 2016 this is 80%. More than 95% orders from SD+
are fulfilled on time and with zero errors.

Snapdeal has 69 SD+ centres across 25 cities in India. Sellers who avail of SD+ services get a
complete solution for all their logistics needs, including packaging and tracking of shipments.
In April 2016 PwC and Redseer studies had reported that Snapdeal promises and delivers the
fastest in the industry. PwC had reported that Snapdeals commitment to delivery was 1.5 2.5
days ahead of others. RedSeer findings had further confirmed that Snapdeal has the fastest
delivery time of 3.9 days in the industry.

6.5. The SD+ Advantage:

Rigorous product quality control

X-Ray checks for accurate mapping and dispatch of right product

Tamper-proof packaging

Bar coding of each packet

End-to-end tracking of each product from entry into fulfilment centre to delivery

Faster and on-time delivery standards

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6.6. Logistics

Snapdeal has set up six mega logistics hubs across Delhi NCR and other cities to strengthen its
warehousing and delivery operations. The centres are in Delhi-NCR, Lucknow, Hyderabad,
Jaipur, Mumbai, Ahmedabad, Chennai and Kolkata. All processes from receipt of stocks, quality
inspection, preparation for dispatch and return handling are available to sellers under one roof.
This reduces costs for sellers and offer them better visibility and control of their stocks.

Snapdeal focuses on delivery. For the same, Snapdeal has invested a reported Rs. 117 crores to
take its stake in logistics company GoJavas to 42%, and become its largest shareholder. This has
given Snapdeal a major boost as it focuses on building its back-end capabilities. Snapdeal has
also improved data analtyics for its suppliers, so that they can plan accordingly. Snapdeal is
taking steps to improve its back-end logistics.

Figure 19: Snapdeal open Logistics

6.7. Dispatch Process

The dispatch begins with pre-inwarding, where cardboard boxes full of freshly received products
tower to the ceiling. As lunch break ends and the workers who are mostly male contract workers
and identified by differently coloured T-shirts for different functions return to their stations,
lights go on at each workbench. One does random checks of the items, another photographs each
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item with a web camera, a third prepares invoices and calculates tax depending on the state
where the manufacturer is located. High-value and electronic items like jewellery and phones go
straight to the secure warehouse in the basement. Once unboxed, all items are moved in plastic
crates of different sizes and colours. There is minimal mechanisation; instead of energy-guzzling
conveyor belts or forklifts there are pullable trolleys.
On the dispatch floor again, items are prioritised according to first ordered, first out. A pair of
boots is checked: it must match the photo on screen, the soles are compared for size, and then the
boots are weighed for the courier. The shoebox is tagged and sent for packing in Snapdeals
customary grey flexible plastic covers.
6.8. Quality Control

Quality Control has two choices: accept or reject. So Snapdeal compares each and every product
with the web camera photo on the screen, check for dirt smudges or torn cloth. If it passes, they
fix a bar code on it, slip it back into its plastic sheath and put it into another plastic crate to go to
the Main Storage Area.
Once sold and on their way out, the goods go through another quality check, are assembled into
orders, packed, and handed through windows to courier agencies that have permanent stations on
the dispatch floor.
One does random checks of the items, another photographs each item with a web camera, a third
prepares invoices and calculates tax depending on the state where the manufacturer is located.
High-value and electronic items like jewellery and phones go straight to the secure warehouse in
the basement. Once unboxed, all items are moved in plastic crates of different sizes and colours.
There is minimal mechanisation; instead of energy-guzzling conveyor belts or forklifts there are
pullable trolleys.
6.9. Distribution Strategy

Snapdeal has also started using warehouses for some of its merchants who have high volumes
and not enough of their own space. With multiple choices of online marketplaces available for
sellers, Snapdeal has taken another step to attract more of them by announcing its fulfillment
service labelled with a title called Safe Ship Sellers can avail this service in two ways. Firstly,
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by shipping the product to customers through Snapdeals logistics partners and secondly, by
routing the order through Snapdeals fulfillment centers and then ship it to the customer. Both
sellers and logistics providers have been able to save 'up to one third' of the cost of shipment by
using the Safe-Ship platform. Additional feature of Safe Ship includes 100% track ability for
sellers to ship and track their products across India. Italso handles pre-shipment verification,
returns/replacement/refunds processing and product quality control.

6.10. Delivery Service

Commitment: Shipment with 24 hours

Promising delivery in two days and others followed suit. The next target was 'same-day delivery'.
Snapdeal set itself Mission 24, which was to ship 75 per cent of products within 24 hours of the
order being placed. By the end of the quarter, 80 per cent of products were being shipped in a
day.

Credibility through Trust Pay

Snapdeal launched Trust Pay in April 2013. With Trust Pay, the payment a customer makes goes
into an escrow account where it stays for a week till the delivery happens. Any failure in delivery
and the money paid is immediately returned. All Snapdeal packets have the Trust Pay guarantee
seal on them.
Add on strategy is to help their sellers through Snapdeal plus service, to access cheap credit.
With this, the sellers can grow fast and can get needed credit to expand their capacities.

Snapdeal delivers more than a million merchandise in metro cities such as Mumbai, Chennai,
Bangalore, Delhi alone. Snapdeal outsources their logistics and delivery work to private players
such as BlueDart, DTDC, Professional couriers, FedEx and DHL.
The workers must dispatch purchases within 48 minutes of the order being placed online. If the
website says delivery time 48 hours, they want to give the courier 47 hours and 12 minutes.
Although the median is one hour. They have to catch the two courier dispatch times of 9.30 am
and 5.30 pm. If they miss one then there is a 12-hour delay. The 48-minute target is to make sure
there is no pileup towards the dispatch time.
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Figure 20: Delivery Process of Snapdeal

Courier companies charge around INR 30 to 50/- for a product delivery of 500gm product, since
they delivery more than a million merchandise on daily basis even if a product is of a price range
of INR 200 to 400/- then can easily achieve break-even in cash flow even without charging any
delivery charges from customers.
Apart from that, the courier companies handle Snapdeals logistics which help Snapdeal to
handle multi-products and makes their delivery charges to minimum.

6.11.Last Mile Delivery

Currently, logistics integration with Snapdeal takes place through application program interface
(API) model. It could take months to complete as players may have different APIs. Plug-andplay model can reduce the time taken to integrate to a week, especially for partners who have
some exposure to technology in their operations.

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Therefore, Snapdeal is tying up with Plug-and-play model. This technology helps Snapdeal
allocate requisite volumes to delivery partners by analyzing the rise and fall in demand of
services.

Plug-and-play service uses real-time tracking, technologies and predictive analytics that allows
Snapdeal to optimise their businesses and gain operational efficiencies. Smarter planning and
forecasting will allow reduction in delivery timelines. At the same time, it will help reduce
losses/improve accurate deliveries, thereby helping us improve our on-time delivery promise.

Snapdeal has also tied up with last mile delivery company dPronto, a group company of NSDC
backed skilling partner Empower Pragati. The skiling company has a target to train 50,000
personnel over the next three years for jobs in the logistics sector. The partnership is aimed at
Snapdeal targeting higher success rates in same day deliveries.
6.12.Back end
Tall shelves nearby carry parcels ready to be shipped. A computer prints an address label and
identifies all items in a single order. It also, courtesy Snapdeals proprietary algorithms, decides
which courier service will perform each delivery. Then Snapdeal workers deliver each package
to the correct courier window.
6.13.Customer Service
In the past years, Snapdeal has performed well due to their quality of customer service. Snapdeal
has streamlined workflow in place, which ensures that the time between a customer placing an
order and the product being shipped from their end is not more than 1-2 hours. Their aim is to
ensure last mile delivery across India.
Customers can track orders, shipment details and also make changes to open orders. Super saver
shipping and prime shipping are also available.
They have 100% secure payments and accept all major debit and credit cards. There is
100%payment protection through Trust Pay. They have a help center where customers can ask
them any queries regarding their order. Same day express delivery on thousands of products at
no extra charges is also launched at Snapdeal.
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7.Conclusion
Several organisation like Snapdeal and Pantaloons are becoming aware of the emerging
paradigm of inter-network competition, and that the successful integration and management of
the supply chain management processes across members of the supply chain will determine the
ultimate success of the single enterprise. Organizations exist in supply chains whether the
relationships are managed or not. Managing the supply chain cannot be left to chance. A
prerequisite for successful SCM is to coordinate activities within the firm by implementing the
eight supply chain management processes using cross-functional teams. The partnership model is
a tool that can be used to structure these cross-functional relationships with key customers and
suppliers. Failure to implement cross-functional business processes will result in missed
opportunities that with the level of competitiveness faced by most firms can no longer be
tolerated. For example, a manufacturer of consumer durable goods implemented a rapid delivery
system that provided retailers with deliveries in 24 or 48 hours anywhere in the India. The rapid
delivery system was designed to enable the retailers to improve service to retail consumers while
holding less inventory and thus improving per unit profitability. After doing this project in
Pantaloon Retail and Snapdeal We understand how exactly the work is done in the supply chain
but after observing many things We reach to the conclusion that there are still many gaps in the
supply chain of the company and we must try our best to fulfill these gaps so that we provide
better service to our customers and also reduce our operating cost because we are in value
retailing so only cost cutting provides us better margins and to archive all this we have to work
hard and make strong relation with our vendors, logistics service provider and with our
customers.

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8. Bibliography

Popat, R. (2016). Snapdeal's inventory management. Retrieved September 14, 2016, from
http://cmuscm.blogspot.in/2014/09/snapdeal -inventory-management.html

T. (n.d.). Supply Chain Management Process Flow. Retrieved September 14, 2016, from
http://www.tutorialspoint.com/supply_chain_management/supply_chain_management_pr
ocess_flow

Supply Chain Management Process - Decide Software. (2016). Retrieved September 14,
2016, from http://www.decidesoftware.com/supply-chain-management-process/

R.

(n.d.).

About

Us.

Retrieved

September

14,

2016,

from

http://www.Pantaloons.in/about-us/about-group.html

Pantaloons Retails - Brands Business. (n.d.). Retrieved September 14, 2016, from
http://www.Pantaloons.in/brands_business.html

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