Professional Documents
Culture Documents
Distribution Network
Relationships
Report
Team Members:
Naresh M 18PGP235
Nithin K S 18PGP237
Siva Ramakrishna 18PGP243
Soma Shreyas 18PGP190
Swathi Kiran 18PGP226
Vamshi Vignesh D 18PGP209
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Table of Contents
Introduction ................................................................................................................................ 4
Study Methodology.................................................................................................................. 10
BPCL: ...................................................................................................................................... 20
IOCL: ....................................................................................................................................... 24
BYJU........................................................................................................................................ 36
OYO ......................................................................................................................................... 39
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Executive Summary
The report focused on the distribution network relationships of sales Organisations from
1. Petroleum industry
2. Automobile industry
3. Manufacturing industry
4. Healthcare industry
5. Ed-tech industry
The objective was to obtain a wholesome perspective of the distribution network relationships
of a sales organization. The distribution network of a sales organization should be aligned with
its sales and distribution strategy. This report points out how the interaction between various
distribution nodes impact the overall sales strategy of the organization. Organization structure
also plays an important role in the company’s overall strategy. Different companies follow
sales structure according to the objective they have envisioned. Factors like the frequency in
which sales co-ordinators contact the manufacturing and logistics team, contributions of
various channel partners were analysed in this study. Large Scale and Medium Enterprises
(LSME) Organizations were also studied by looking at various processes and distribution
channels. Each company has a different type of distribution strategy and network. This project
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Introduction
Overview
Sales refer to the exchange of goods or services for an amount of money or its equivalent in
kind. Selling helps an organization achieve its business goals. Thus, managing sales in an
organization is a critical activity. A sales manager needs to ensure that the salespeople are
motivated to perform the selling function in a way that will help the organization attain its
goals.
The sales team continuously monitors the changes taking place in the external environment
technology, and industry trends. This provides the sales personnel with vital information
By offering the management vital inputs pertaining to such information, the sales team helps
the management to develop plans regarding sales, production, and design. Over the years,
substantial changes have taken place in the selling environment, leading to changes in the sales
function.
The trends that have shaped the sales function include shorter product life cycles, longer and
more complex sales cycles, reduced customer loyalty, intense competition among
manufacturing firms, rising customer expectations, increasing buyer expertise, the electronic
revolution in communications, and the entry of women into the sales force.
In addition to having a strong sales function, companies should also have efficient distribution
channels to make the products available to the end consumer. Management of distribution
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sophisticated channel information systems which will enhance the process of making the
The term ‘Distribution Channel’ connotes a route or pathway taken by-products as they flow
from the point of production to the point of ultimate consumption. According to William J.
Stanton, “ A distribution channel consists of the set of people and firms involved in the transfer
of title to a product as the product moves from product to ultimate consumer or business user
• Route or pathway
• Flow of goods
• Composition
• Functions
• Remuneration
• Mercantile agents
Role of Distribution Channel
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It is that part of general management which is responsible for the design, administration
and operation of the system to control the movement of raw materials and finished
components namely:
• Transportation
• Warehousing
• Inventory Control
• Material Handling
• Order Processing
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Context Building
organisations and they spend sufficient effort and resources in order build a network that
increases their top line reaching their target markets to maximum possible extent. The
importance of the distribution network can be easily gauged by looking at the success of
organisations like HUL, Coco-Cola, Maruti Suzuki etc. These companies have such vast
distribution networks that coordination is of the highest essence. These are the companies
which have set high standards in coordinating their distribution networks and are known for
this.
We can see that each company has different strategies when it comes to their distribution
network depending on various factors and this project aims to understand and explore how
organisations manage their different distribution networks. Below are two illustrations which
show the distribution network of HUL and Coca-Cola. We can see the outline of their
distribution here is pretty simple but just imagine how much goes into detail given how deep
they penetrate into the markets is a wonder of its own. So the question stands “How do they do
it”? How do they manage to coordinate and smoothly deliver their products in such vast diverse
geographies and markets? This project basically looks into these questions. It aims to
disintegrate the processes of the 10 companies involves in this project and understand how they
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HUL’s distribution
Coca-Cola’s Distribution
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Every organisation depending on their size, business, market and other factors have some sort
of network in order to reach their customers. It is highly important for companies to ensure that
these networks work in tandem with the company’s sales objectives. The company’s sales team
ought to be in sync with its distribution network and vitality of this relationship cannot be
stressed enough. The sales force of the organisation should be aware of all the activities that
are going on through its network to avoid any sort of mismanagement or inefficiencies.
This coordination is essential irrespective of the industry the company operates in. Whether it
for that matter, coordination is crucial and should be pervasive. A lot of successful
organisations attribute sufficient part of their success to their distributive network relationships.
How do companies achieve this coordination serving such vast geographies and diverse
markets is a wonder of its own which this live project tries to explain. The ten companies
chosen for this live project are from different sectors and cater to a different market. However,
the coordination between its distribution network and sales team is of utmost importance.
This project brings to the fore a collection of ten companies and shows how they manage to
maintain the coordination between their sales teams and distribution networks in order to
ensure a smooth functioning of the organisation. After-all it is this coordination which ensures
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Study Methodology
The first part of the project involved selecting a list of companies which help us understand the
functioning of the distribution networks in different markets. The final list was prepared after
several brainstorming and deliberation sessions. The list included B2B companies, B2C
The next step was to prepare a general question bank which would give us a fair idea about the
general functioning of the distribution network of the company. The question bank could be
Questions
1. Can u explain in brief about the sales team and their structure in your
organization?
2. Can u explain in brief about the distribution network that has been adopted by
you?
3. How does the coordination between the sales team and the distribution team
take place?
4. How frequently the coordination takes place between them?
5. Can u explain some of the hurdles that is been faced by the team during the
entire process?
6. How did they tackle the problems faced during the hurdles?
7. Is there any incentive that are being offered to the dealers?
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These question helped us identify the structure in which each company operates and gauge how
information flow in the organisations happen. It also gave us a fair idea about the control span,
They gave us a fair idea about the size of the organisation and the geographical spread, market
spread, etc. The later questions were included in order to give specific insights into the
organisation’s functioning and coordination between the distribution networks and sales teams,
Once the question bank was prepared, the next step was to identify contacts who could get us
through to have a conversation with the sales manager of the respective organisation. This step
forced us to reconsider some of the companies which were on our list initially, but we were
successfully able to reach out to most of the sales managers who were on our initial list.
Some of the companies could be contacted due to their acquaintance during the summer
internship program, some were contacted using personal networks such as friends and family
For some companies we went looking for competitors or peers to ensure we still have a diverse
set of companies to follow. Once all the contacts were secured, we fixed appointments with
The next part of the project was the most important part. This was where we actually conversed
with the sales managers of the companies and learnt how they each operate their distribution
networks. How they manage their sales teams and how they reduce inefficiencies to the
After this, we identified the different ways in which each of them operated and managed their
networks and understood how the coordination is maintained across the networks in the
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with a lesser frequency. Some networks have a high degree of autonomy whereas some are
fully controlled by the company. The details are mentioned in the report company wise and the
information as to how different companies operate their networks is quite fascinating and eye-
opening.
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CUMI ABRASIVES
CUMI was founded in 1954 as a tripartite collaboration between the Murugappa Group, The
Carborundum Co., USA and the Universal Grinding Wheel Co. Ltd.,U.K. The company
pioneered the manufacture of Coated Abrasives, Bonded Abrasives, Nonwoven, Metal
working fluids and Power Tools in India. Today the company’s range of over 20,000
different varieties of products With state-of-the art facilities and strategic alliances with
global partners, CUMI has achieved a reputation for quality and innovation.CUMI is one of
the five manufacturers in the world with fully integrated operations that include mining,
fusion, hydro power stations, manufacturing, marketing and distribution. Almost all CUMI
manufacturing facilities have received the ISO 9001:2000 accreditation for quality standards.
A well connected marketing and distribution network of offices and warehouses in India and
abroad, ensure that service to customers is given prime importance.
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• Belts
• Masking Tape
• Precision Grinding
• Standard Grinding Wheels
• Cutting Blades
• Cutting Wheels
• Power Tools
• Construction Chemicals
• Metal Working Fluids
Methodology Followed:
As I have done my summer internship in CUMI Abrasives, I was in touch with the National
Marketing heads and the sales heads of Abrasives division. I called to 2 National product
managers and pinned down my queries to them as how the distribution network of Abrasives
division work, how do they coordinate with the upper & lower distribution hierarchy, how
frequently will they communicate , how much population will 1 distributor cater?
Summary:
Person: Prasanth & Vikas
Designation: National Head Product Manager
Company: CUMI Abrasives
As per the discussion, they explained that the distribution network is both B2B and B2C
based upon the product category. The sales generate through word of mouth, product stalls,
catalogue distribution to existing companies , cold calling & trade shows.
The information is represented in a flow chart below
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CUMI IC provide advanced material solutions for challenging applications to more than 22
industries worldwide. CUMI IC understand specific needs of their customers through their
presence in their 4 regional offices & 10 international offices. With their state of the art R&D
facilities, superior design and application engineering capabilities and their highly skilled &
dedicated employees, they deliver high quality, customised & reliable solutions. They
engineer their material formulations to suit specific, non- standard customer needs. They have
an array of material solutions ranging from Alumina & Zirconia oxides, Carbides & Nitrides
(SiC, SiN) to special material composites e.g. Al-Titanate (Cumitherm) for varying range of
applications in industries.
• High Alumina
• Reaction bonded Silicon Carbide(RbSiC)
• Yttria partially stabilized Zirconia(YPSZ)
• Sintered Silicon Carbide
• Zirconia
• Al-Titanate
• MgO-Partially stabilized Zirconia(MgPSZ)
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Methodology Followed:
As I have done my summer internship in CUMI Abrasives, I was in touch with the National
Marketing heads and the sales heads of IC division. I called to Manish who is a national
product head in CUMI IC and pinned down my queries to him as how the distribution
network of IC division work, how do they coordinate with the upper & lower distribution
hierarchy, how frequently will they communicate , how much population will 1 distributor
cater?
Summary:
Person: Prasanth & Vikas
Designation: National Head Product Manager
Company: CUMI IC
As per the phone call, Manish explained me how the sales is done for different products. He
said that the all their sales happen through B2B. Sales are of 2 types domestic & exports.
In Domestic the sales are through Projects (OEM) and R&M (Repair & Maintenance). In
Exports sales , the orders are bought by different CUMI subsidiary companies which are
located in different part of the world such as CUMI USA , CUMI Australia , CUMI Russia
and so on. The subsidiaries act as intermediaries between CUMI IC and Customers of those
geographic locations.
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Manish CUMI IC
Call 1: Link
Call 2: Link
Call 3: Link
Refractory is a material that will retain its shape and chemical identity when subjected to high
temperatures and is used in applications that require extreme resistance to heat, such as furnace
linings. Refractory products are basically used in industries for heat resistant and containment.
CUMI's manufactures Super Refractories (which can be in two forms fired refractories and
monolithics) and also Refractory Fibre.
Fired (or shaped) refractories are manufactured both in India and Russia. The manufacturing
process, involves mixing, moulding, drying and firing. The product varies with the temperature
that the refractory is required to withstand which depends on the product being manufactured
in the kiln. Therefore the product range is very wide each manufacturer specialises only in
specific segments. CUMI's product range is upto 1850 degrees and seves the upper segment of
the refractory market. CUMI caters to the sanitaryware, carbon black, iron and steel, power,
HT insulators, ceramic tiles, ferrous and non ferrous industries, fertilizer, chemical processing
industries and all other industries using kilns.
Monolithics are refractory material in the form of powder. They are like cement mortar and
applied in in-situ applications. The manufacturing process involves batching and mixing
different raw materials based on unique formulations customized to suit specific applications.
This does not require any firing. Monolithics are used, when the refractory material cannot be
manufactured in a shape and form due to size and larger area to be covered. Monolithics are
used in cement, steel, foundries, carbon black, ferrous, non ferrous and also integrated steel
plants.
CUMI is a market leader in the manufacture of super refractory products in India since 1965
with technical know-how from Carborundum Company USA. The other players in the industry
are ACE Refractories, Maithan Ceramics, Vesuvius etc. The acquisition of VAW, Russia has
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given CUMI a foothold in the Russian market for refractories. The acquisition has also given
CUMI access to advanced technology.
Murugappa Morgan Thermal Ceramics Ltd., CUMI's joint venture with the Morgran Crucible
Company plc., U.K. manufactures ceramic fibre and other insulating products. Ceramic fire is
an asbestos free spun or blown alumino-silicate fibre made from blends of high purity aluina
and silica. A unique combination of physical and refractory properties makes this an
outstanding material for use in high temperature applications. The major user industries are
petrochemicals, steel, power and furnace building industries.
• Fired Refractories
• Monolithic Products
• Precast Shapes
• WENDT India
• Murugappa Morgan Thermal Ceramics Ltd (“MMTCL”)
• CIRIA India Ltd ( CIRIA INDIA)
Methodology Followed:
As I have done my summer internship in CUMI Abrasives, I was in touch with the National
Marketing heads and the sales heads of SR division. I called to Shankar who is a national
product head in CUMI SR and pinned down my queries to him as how the distribution
network of SR division work, how do they coordinate with the upper & lower distribution
hierarchy, how frequently will they communicate , how much population will 1 distributor
cater?
Summary:
Person: Shankar
Designation: National Head Product Manager
Company: CUMI SR
As per the phone call discussion with Mr. Shankar who is heading the product division of
CUMI SR, he said that most of the sales is done through B2B and the products are mostly
related to the maintenance. The products are corrosion free and chemical identity when
subjected to high temperatures and is used in applications that require extreme resistance to
heat, such as furnace linings. Refractory products are basically used in industries for heat
resistant and containment. He also said that there are few territory dealers who does minor
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maintenance jobs in the locations which are not viable for the company executive to go for
maintenance. They dealers order the material from CUMI SR and execute the minor
maintenance. For example CUMI SR has dealer in Kolkata , in and around the radius of
50km the dealers will look after the maintenance related work and execute the lining. Since
it’s difficult to handle the minor maintenance works and it’s not a viable and revenue
generation for the company. For such locations the dealers take responsibility of the lining
and maintenance work. Company have dealers in Harayana (1){ lining & Coating is done},
Delhi(1){Lining}, Kolkata(1){lining , coating}. There are other small players in the industry
who does the same job, so the company doesn’t follow the dealerships principle. The
dealership is done only if there is no viability & revenue for the company.
BPCL:
Bharat gas is the LPG unit of BPCL. Bharat Gas is available in around 42 million homes. In
the year 2000 ebharatgas.com was launched, to help customers get a relevant information and
see the convenience of booking Bharat Gas ‘Online’. The website has a feature by which a
customer can give feedback and stay connected with the company. It also helps customers to
book a cylinder online, track their order and give feedback via IVRS, SMS and Mobile App 24
X 7. It is also widely used in countries of Middle-East and Africa. The Bharat gas is the LPG
business division of the BPCL.
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2. LPG Business:
Bharat Gas is the LPG unit of BPCL with customer base close to 52.3 million homes
in urban and rural areas. It has a strong distribution network of over 4664 distributors with
2400 distributors in rural areas. Regular operations include 24*7 gas refill booking through
online (SMS/IVRS/App/Web) and offline (physical visit to distribution centre) medium,
locating/rating/auditing distributor for their services, registering new gas connection,
transfer of existing connection to other location, feedback collection, customer grievance
resolution, KYC verification, HIG exclusion, Aadhaar enrolment, providing information
about various schemes like PAHAL, give up subsidy, surrendering etc.
3. Aviation Business:
Bharat Petroleum Aviation Fuel Services provides high quality aviation fuel services
at 40 airports in India for all major domestic and international airlines for the past 50 years
since its fuelling operation in 1911. The company also provides e-data base and XML
customer invoicing. The company not only provides ATF and jet fuel but also high class-
in plane services, latest fuel farm management, consultancy and training services.
4. Lubricants Business:
Choice of right lubricant helps to improve the performance and enhance the life of
vehicle to derive better value out of them. BPCL offers a wide range of lubricants under
the name of MAK lubricants which comprises of various product categories. Various uses
are in heat treatment of metals, rust prevention, bearing lubrication, railroad oils, hydraulic
oils, turbine oil etc.
6. Gas Business:
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Bharat Gas Petro net LNG limited caters to natural gas demands in the country.
BPCL has very early entered natural gas segment. It’s available in the North east,
Rajasthan and Gujarat BPCL has also co-promoted three more CGD networks.
7. Refinery:
BPCL has total 4 refineries where crude oil is refined to convert into various useful
products. Currently, BPCL has 4 refineries in Mumbai 13MMTPA, Kochi 15.5 MMTPA,
Bina i.e. Bharat Oman Refineries Limited (BORL) with capacity of 6 MMTPA (9
MMTPA in next 3 years), Numaligarh (NRL) with capacity of 3 MMTPA.
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from the company which need to be sold by him companies promotion, branding part
everything is different it will come at the end of the methods near to the customer level where
the sales officer is not seeing any role. They will not play any role in promotion etc., and after
this they need to decide how many sales officer need to keep, how many retail outlets need to
start, how many distribution network need to be attached etc., this the chain rather to execute
this chain the company has some software in between for the efficient management effect for
placing the order by the customer or distributor. To report to the company a software is required
which is also plays an important role in the coordination network supply will be generated by
the customer it will be recorded by the company and given to the logistics team then it will be
approved by them and coordinated by the sales officer. Finally reached to the distributors all
of these will be monitored within the sales level only based on the distributor level and his
demand and market share the level I analysed by the sales office and at a is given to the top-
level management market share analysis is done with respect to the previous year to find the
demand and market share
How frequently the sales team and distribution channels meet?
There will be scheduling for each distributor for example he meets 2-3 months. But it doesn’t
happen every time as sometimes sales officer will go to the field and meet him according to
the sales and demand of the product. Practically sales teams meet the distributor very frequently
when 20% of the distributors doesn’t do the work or having low number of sales. Sales officer
must report to the top-level management such as regional managers they communicate with
mails or on phone, the frequency is mostly depending the sales and demand, performance of
the sales teams it not the fixed process, it always depends upon the requirement TM/RLM etc.,
Sales is happening at the distribution level. They need to contact or coordinate as there will not
be any direct contact (it depends upon industry landing plan for each distributor on which it is
dependent)
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IOCL:
With a 33,000-plus work-force, extensive refining, distribution & marketing infrastructure and
advanced R&D facilities, Indian Oil plays a significant role in fueling the socio-economic
development of the country. With a mandate to ensure India's energy security and self-
sufficiency in refining & marketing of petroleum products, Indian Oil has in the past six
decades provided energy access to millions of people across the length and breadth of the
country through its ever-expanding network of over 50,000 customer touch-points.
With a turnover of Rs. 6,05,924 crore and a net profit of Rs. 16,894 crores in 2018-19, Indian
Oil is recognized as one of India's most valuable companies.
The Company continues to be the largest contributor to the national exchequer in the form of
duties and taxes. During the year 2018-19, Rs. 1,93,422 crores were paid to the exchequer as
against Rs. 1,90,670 crores paid in the previous year.
Business Profile
1. Refineries:
Indian Oil refineries excelled in all major physical parameters and achieved a record combined
crude oil throughput of 71.9 MMT during 2018-19. The refineries came out with the best
numbers in Specific Energy Consumption (MBN), Energy Intensity Index (EII) and Fuel &
Loss.
2. Pipelines:
During 2018-19, Indian Oil’s crude oil & product pipelines clocked the highest ever combined
throughput of 88.5 MMT, setting a record for the fifth consecutive year. The 14,231-km
pipelines network provides immense competitive advantage to the Corporation in the new era.
3. Marketing:
Keeping all parts of the vast nation well supplied with essential petroleum products is a 24/7
commitment from Indian Oil People. During the year, lndianOil continued its dominance in
the domestic market, covering the entire range of petroleum products from LPG, petrol, diesel,
CNG, aviation fuels, lubricants, naphtha, furnace oil, specialty products, etc. The marketing
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and distribution network were expanded to over 50,000 customer touch points during the year.
5. Petrochemicals:
Indian Oil sold 2.7 MMT in petrochemicals during 2018-19, registering 11.8% growth. Backed
by world-scale plants and world-class technology, Indian Oil’s PROPEL brand of
petrochemicals cover over 80% of all conceivable applications in plastics and are exported to
over 70 countries. Between 1997-98 and 2018-19, Indian Oil has incurred a capex of over Rs.
25,000 crores
6. Natural Gas:
Indian Oil sold 3.96 MMT of gas in 2018-19, registering 3% growth. The portfolio includes 60
R-LNG customers besides supplies to the Company's own refineries at Mathura, Panipat and
Koyali.
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Contacted the Sales officer of the company, based in Korba (Chhattisgarh) region to know
about the company distribution network though a call, as the Sales Officer was a friend of mine
who joined in 2016. Had an audio-based conversation with them. PFA conversation file
between me and sales officer Mr. Sudeepto (Korba region) below:
https://drive.google.com/drive/u/0/folders/1qVRI8XrYtkzE0IiYQTOJajxcOekF7TiW
Summary Notes of Audio-Video and other content:
As the company has distinguished customer base of IOCL, they have a sales team or sales
coordination between the dealers or the distributors. Discussed about the distribution methods
that are used by the company to sell its products, whether the company have any established
outlets or connections to other businesses. How frequently sales coordinators contact the
manufacturing and logistics team regarding delivery. Whether the company have any specific
working post to manage only channel flow for organizations distribution network. And finally
discussed about the present coordination work effectively between the channel partners or
participants like (finance/logistics etc.,).
They are private members if the company who owns primary shares and distributors were the
secondary shares of the company. As distributors were the direct to the customers sales teams
will not be direct towards the customers. Organization structure is like how the distributors and
sales officers meet or coordinate together. They interact with them daily either by
telephonically or physically with which distribution channel they are dealing with or
commodity. Under a lot of essential commodity such as government rules and regulations the
relations were made within the company. There is a lot of governance other than that sales and
distribution network works so, the sales team need to do periodic inspection. And for the sales
part of it, sales and product infrastructure need to be developed and understood by the sales
teams to get in coordination with the distributors. Daily they are contacting each other, how
are they making with the customers. They are committed to them and need to have meetings
on a fixed time like weekly, monthly based on the central or state meetings depends upon the
supply and demand of the company products. Cleaning programs will be conducted and trained
on that basis which deals with the company’s structure. Network will be dependent upon the
logistics, finance etc., the territory manager or regional manager will be visiting the field such
as customers, distributors and will have a business meeting with them. Not only with the
distributor but also with the staff the people who all are involved with the documentation,
delivery, subsidised government etc., the market or the distribution channel, cannot be said it
weather it is efficient or not we can discussed upon the network channels, so we can confirm
whether the distribution network is effective or efficient we can talk about. Basic
communication happens two ways, how we can procure the product on the plant by distributor,
but the sales teams will deal with the plant and distributor coordination. If we talk according to
the sales officer, it is not concerned about the product or etc., he is responsible for the
coordination or rules and regulation is followed or sales were increased or not it will be done.
Sales teams will visit the field and coordinate with the distributor and top management on a
regular basis.
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TATA MOTORS:
Tata Motors Group (Tata Motors) is a $45 billion organisation. It is a leading global automobile
manufacturing company. Its diverse portfolio includes an extensive range of cars, sports utility
vehicles, trucks, buses and defence vehicles. Tata Motors is India’s largest and the only original
equipment manufacturer (OEM) offering extensive range of integrated, smart and e-mobility
solutions. Tata Motors strives to bring new products that fire the imagination of GenNext
customers, fueled by state-of-the-art design and R&D centers located in India, the UK, Italy
and South Korea. It has operations in the UK, South Korea, Thailand, South Africa, and
Indonesia through a strong global network of 109 subsidiary and associate companies,
including Jaguar Land Rover and Tata Daewoo.
Business units:
• Commercial Vehicles
• Electric Vehicles
• Passenger Vehicles
Values
• Integrity
• Teamwork
• Accountability
• Customer focus
• Excellence
• Speed
Leading manufacturer in automobile sector. 44 per cent market share in commercial vehicle
segment in FY18. Present in 175 countries. Employee strength of about 81,090 employees.
Consolidated Total Income of Rs 301,938 crore (US$ 43.20 billion) during April-March 2019
Tata Motors Limited is a leading global automobile manufacturer of cars utility vehicles buses
trucks and defence vehicles. As India's largest automobile company and part of the USD 100
billion Tata group Tata Motors has operations in the UK South Korea Thailand South Africa
and Indonesia through a strong global network of 76 subsidiary and associate companies
including Jaguar Land Rover in the UK and Tata Daewoo in South Korea. In India Tata Motors
is a market leader in commercial vehicles and among the top passenger vehicles manufacturers
with 9 million vehicles on Indian roads. With design and R&D centres located in India the UK
Italy and Korea Tata Motors strives to pioneer new products that fire the imagination of
GenNext customers.
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Latest News article: Tata Motors' domestic commercial and passenger vehicles sales in in
May 2019 witnessed a drop of 26 percent, at 40,155 units, against 54,290 units sold in May
2018, as the market sentiments continued to be muted. The cumulative sales for the domestic
market (April-May 2019) was at 82,684 units compared to 107,758 units over last year, a de-
growth of 23 percent.
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with them as a regional or state level or territory level. Finally review meetings between project
manager meetings and State product mangers for a product and finance/logistics managers. For
TATA it will be depend upon the stocks like how much the dealers are procuring. It will be
discussed with the Dealer heads how much need to procure and how much need to deliver all
these will coordinated between the company, dealers and sales team.
VEDANTA RESOURCES
Introduction
Vedanta is one of the world’s largest diversified natural resources company. The
company’s business relies on Zinc, lead, Silver, Aluminium, copper, iron ore, oil & gas and
commercial power. It was founded in 1976 by MR. Anil Agarwal in Mumbai, Maharashtra.
From there on the operation has been spanned to various countries like South Africa, Namibia,
Ireland, Australia. The total number of employees in Vedanta resources is estimated to be
25,000 as of year 2017 and the total revenue touches down to 11.5 Billion dollars. The company
has its headquarters in London, United Kingdom.
Vedanta subsidiaries include,
1. Sterlite Industries
2. Hindustan Zinc Limited
3. Sesa Goa
4. Bharat Aluminium Company
5. Vedanta Aluminium
6. Sterlite Energy
7. Australian Copper Mines
8. Konkola Copper Mines
About Bharat Aluminium Company (BALCO)
BALCO is an aluminium company which was incorporated in 1965 has a PSU and later
taken over by Vedanta Resources in 2001 under Sterlite industries India Limited. The company
has its headquarters at New Delhi, India. They are the first integrated aluminium industry and
they are the first to have the captive power plant. Their materials are widely used for AGNI
ballistic missiles.
Operation
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Balco exports 37% of its products and remaining 63% for the domestic customers.
Products Classification
BALCO in total has 4 regional sales Offices which caters to North – New Delhi Region,
West- Mumbai Region, East – Kolkata Region and finally in the south – Bangalore Region.
The major sales that takes place in this industry is Business to Business Sales. Sales Team will
be directly reaching with clients and discuss their requirements. There is no 3rd party
distributors involved here and through Regional sales Offices and Depots the procurement is
carried out and distributed to the client location. There are only 5-6 players in this field and
hence the type of strategy they use in Negotiation in this case. Depots present in 11 regions are
generally used to transport the materials in an efficient and fast way possible. Sales Department
Look after the requirement from the client side and report it to the production. The entire
So far, we have discussed with the BALCO Marketing & Sales team about their
functions and ways they distribute their products. We also discussed about the coordination
Methodology
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Initially we started looking for major industries in LSME category to find the detailed
insights about their working operation and how the sales team in their organization interacts
with the distribution centre which they have. Hence, we decided to frame some of the questions
that best captures the sales team working and their relationship with distribution team. The
1. Can u explain in brief about the sales team and their structure in your
organization?
2. Can u explain in brief about the distribution network that has been adopted by
you?
3. How does the coordination between the sales team and the distribution team takes
place?
4. How frequently the coordination takes place between them?
5. Can u explain some of the hurdles that is been faced by the team during the entire
process?
6. How did they tackle the problems faced during the hurdles?
Followed by the questionnaire we fixed a date or an appointment with the official of
the corresponding organisation in order to collect the data through these questions. During the
appointment day we clarify the required consent with the official and proceed it further. The
method followed here is the telephonic approach where call has been recorded to store the
Summary of Recording
Unlike any other industries BALCO does not have any dedicated sales team as such
seen in FMCG. Instead commercial team will also investigate the sales work and get the
required information from distribution side. The nature here is purely B2B and no direct
relation to consumers. Hence the Depots in 11 major cities acts as their distribution centre and
deliver the required products whenever the client request. The coordination that takes place
between them is minimal compared to other industries due to the nature of the industry. Balco
is one of the major five players with a capacity of 5.7 lakh tons of Aluminium. The production
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Also, they adopted their dedicated thermal power plant through which they are into
selling the electricity to the government as well. The frequency of coordination is almost on
daily basis and flow of information is almost transparent. Mr Sibi also said about few hurdles
they faced during the coordination and hence they tied up with McKinney to streamline their
process.
LINK: https://drive.google.com/file/d/1h4G6ygzPy-sXpfAroRk2pYWCD-
_JnW87/view?usp=sharing
BHARAT BENZ
Introduction
BharatBenz is subsidiary of the German automobile giant Daimler AG. They are a
brand of Daimler India Commercial Vehicles (DICV). They were established in 2011 and are
known for its range of modern trucks and buses. The headquarters of BharatBenz is at
Oragadam, Chennai, India. Within five years of our market entry BharatBenz delivered over
55,000 BharatBenz trucks to their customers, a huge step-up in the Indian Commercial Vehicle
industry. The company with its German roots is keen on developing finest products to compete
against the existing Indian brands in the fast-growing Indian truck market. BharatBenz has
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been offering an array of medium and heavy commercial vehicles from trucks to tipper and
1. BharatBenz 1217,
2. BharatBenz 3123
3. BharatBenz 1617R.
The price range of BharatBenz trucks starts from INR 10.92 lakh, BharatBenz tippers from
INR 12.65 lakhs and BharatBenz tractors from 19.09 lakhs (ex-showroom) providing the same
quality, safety and performance for which the parent company is known for. The company’s
entire truck range has been available as BS-IV models since 2015. The BS-IV compliant
vehicles use SCR technology which is a tried and tested method in hundreds of Daimler
They offer a range of ultra-modern trucks in all weight categories from 9 to 49 tones. Other
than trucks they supply staff, school and tourist buses. These vehicles are specifically tailored
for the Indian market and its demanding customer requirements by Daimler AG, the world’s
Bharat Benz produces various trucks for various purposes, and they cater to PAN India.
Bharat Benz caters to almost all states of India (22 out 29 states) and they have dealers across
every state. The sales team in this organisation is responsible for coordinating with the dealers
for the product to be sold. The working of a sales team in this case is moreover like a Outside
order getter who is known for the knowledge in the business cycle.
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Methodology
Initially we started looking for major industries in LSME category to find the detailed
insights about their working operation and how the sales team in their organization interacts
with the distribution centre which they have. Hence, we decided to frame some of the questions
that best captures the sales team working and their relationship with distribution team. The
1. Can u explain in brief about the sales team and their structure in your
organization?
2. Can u explain in brief about the distribution network that has been adopted by
you?
3. How does the coordination between the sales team and the distribution team takes
place?
4. How frequently the coordination takes place between them?
5. Can u explain some of the hurdles that is been faced by the team during the entire
process?
6. How did they tackle the problems faced during the hurdles?
7. Is there any incentive that are being offered to the dealers?
Followed by the questionnaire we fixed a date or an appointment with the official of
the corresponding organisation in order to collect the data through these questions. During the
appointment day we clarify the required consent with the official and proceed it further. The
method followed here is the telephonic approach where call has been recorded to store the
Summary of Recording
As discussed in the call Bharat Benz manufactures various vehicles ranging from cars
to trucks. They sell their products primarily through the dealers who sell it through margin over
margin. The dealers either order in fixed quantity or only required amount. The process flow
customer place an order and it get registered in the DLS software that is being used by them.
This software connects the dealer and the sales team of the OME. The orders which are
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aggregated in the DLS system are then fulfilled by the OME with the help of coordination of
sales team with the dealers. The frequency of interaction between the sales team and the
distribution is almost 24*7 and sales team used to visit the dealers every day morning to find
the exact requirements. Some of the hurdles that are being faced by them is improper
information between some dealers who is not much focused about the requirements of the
customers or not much into the business field. As a result, there will be demand mismatch and
leads to opportunity cost. Some other problems like aggressive demand conditions during the
January – March months where the supply doesn’t meet the demand and hence dealers need to
wait for few more days to get the products. During these times the sales team makes sure the
dealers get their required quantity in time and delivers it to the customers.
LINK:
https://drive.google.com/file/d/1WHSYr50bn5cMD1njOq__C4SwUhK_U_y9/view?usp=sha
ring
SPEAKER: Mr Prabha
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BYJU
Introduction
Byju is a Bangalore based Education Technology (EdTech) and an online tutoring firm
which was founded by Mr. Ravindran Byju in the year 2011. The journey of the company
started from Think & Learn Pvt Ltd with a primary focus on K 12 Segment which is 12th Grade
education. As they progressed, they started venturing into several segments like CBSE, ICSE,
CAT, GRE, GMAT, IAS, JEE and many more. In 2015 they launched BYJU – The learning
app which revolutionized the EdTech industry. Users can download this app and avail the
content with a yearly subscription which is based on the coursed they opt for. By 2016 they
become the first company in Asia to receive investment from Chan-Zuckerberg initiative (CZI).
In 2017 they started rolling out courses for K 5 Segments and have become the successful case
The product and services offered by byju is based on premium model that is user can
access the content for first 15 days free. Their main product is the BYJU-The learning app. The
Medium used by them to sell the content is through Tablets, or SD cards with maximum of 1-
year validity for the data. In this note we will find the sales team and their distribution network
relationship with respect to product “IAS”. The products are sold both in Hard copies like
printed books and other related materials and soft copies like online portals and so on.
The sales team her has been divided into two types and they are
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Apart from them there is a logistic team who are responsible for aggregating the
demand from the customer side and getting the products and delivering it to the customers.
Since it’s an EdTech company most of the process takes place in online itself and direct sales
is minimum.
Methodology
Here we planned to study for sales team and their functions in an EdTech company
since their process is completely different compared to FMCG’s. We tried many EdTech’s like
Unschool, Udemy and finally got an appointment with BYJU to get the following information.
Then we designed the same set of questions so that we can find the difference between the
1. Can u explain in brief about the sales team and their structure in your
organization?
2. Can u explain in brief about the distribution network in your company and which
team acts as a distribution network?
3. How does the coordination between the sales team and the distribution team takes
place?
4. How frequently the coordination takes place between them?
5. Can u explain some of the hurdles like demand supply mismatch faced by the
team during the entire process?
6. How did they tackle the problems faced during the hurdles?
Followed by the questionnaire we fixed a date or an appointment with the official of
the corresponding organisation in order to collect the data through these questions. During the
appointment day we clarify the required consent with the official and proceed it further. The
method followed here is the telephonic approach where call has been recorded to store the
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Summary of Recording
Ms. Upsana was working in BYJU under Business Development team and takes care
of the sales activities of their products for the past 2 years. She explained that there are two
kinds of customers who orders through online and other through direct. For the first category
the sales team are assigned the product and they are responsible for it to deliver to the customers
and the second category mentioned above involves where the sales team send the products to
the logistics team and they are responsible for the delivering the product to the customer.
Coming to the communication between these team there is a fixed week to week coordination
and exchange of information that takes place regarding the availed products and unmet
demand. During their process some of the common hurdles faced by them is the mismatch
between the supply and demand particularly in case of hard copies. Since the company mostly
driven through online courses the stock materials for hard copies sometime doesn’t meet the
demand from the consumer side. In those cases, the customer needs to wait for 15 days at max
The company has two kinds of logistics team (Distribution team). One is localised
logistic team where each major region has their centre and a centralised Logistics team which
is situated at Bangalore. She also explained that during the unmet demand conditions the team
still sends the available content to the customer to keep them in track.
LINK: https://drive.google.com/file/d/1QvARiaSGMJIUwy7eNLDI2lKy-
6rc4igs/view?usp=sharing
SPEAKER: Ms Upsana
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OYO
Introduction
Oyo Rooms is an online website for budget lodging. The company was founded in
2013. Headquartered in Gurgaon, Haryana. They have a chain of hotels, presently in a few
cities and towns (but rapidly expanding) in India. Along with a clean room, they offer or claim
to offer, quality and standardized services like in-room Wi-Fi, breakfast, AC, backup power,
Unlike traditional hotel chains, Oyo doesn't own or operate most of the hotels. They tie
up with existing hotels and ensure that they offer Oyo defined quality to the guests who book
through Oyo platform. In many cases, guests can book the same hotels through hotel aggregator
websites or directly from the hotel reservations desk, often at the same price. However, having
the Oyo brand gives the comfort of familiar brand and quality to guests.
It has 4,50,000 listings in 500 cities in India, China, Malaysia, Nepal, Sri Lanka, United
Kingdom, United States, United Arab Emirates, Saudi Arabia, Philippines, Indonesia,
The company also operates OYO Home, an Airbnb-like marketplace for short-term
managed rentals.
Operation
Below are the few images which explains their working process for a given month.
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The first image explains the different events that is being taken care by the supply team
(Sales team) based on segmenting the regions into North South and so on. Each row shows the
different cities within the segmented regions to get the detailed insights about their process.
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The following images explains about the day to day conversion of customers
(Events/Venues). Customers from city are tracked from last 10 days to ensure future
conversion.
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The final image extensively talks about how many events registered from which cities,
categories of event signed, Date of registering the event, Current progress of the event, Total
Methodology
In order to study about different industries OYO was chosen particularly to see the
process of sales team and distribution network in an entirely new perspective the questions are
as follows,
1. Which part of your organization acts as sales team or performs the roles of the
sales team?
2. Can u explain in brief about the distribution network that is in your industry and
who represent it?
3. How does the coordination between the sales team and the distribution team takes
place?
4. How frequently the coordination takes place between them?
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IIM Raipur, Sales and Distribution Management, Section C: Group 7
5. Can u explain some of the hurdles that is been faced by the team during the entire
process?
6. How did they tackle the problems faced during the hurdles?
Followed by the questionnaire we fixed a date or an appointment with the official of
the corresponding organisation in order to collect the data through these questions. During the
appointment day we clarify the required consent with the official and proceed it further. The
method followed here is the telephonic approach where call has been recorded to store the
Summary of Recording
Mr Naynesh has explained about the basic models which are being followed by the
organization like Business development Model (Sales & Marketing model) & Self-operating
model. In the first model the distribution network is nothing else the property owners who ties
up with the organization to allocate rooms for the customers as per their requirements. This
process is entirely coordinated with the help of sales team. In the second model the entire
process is taken care by OYO including the assets in the property like AC, Sofas and so on.
Venues are generally considered as supply in this industry. In the Second model these venues
are called as Venues assured in order to differentiate with the first one. The coordination that
takes place between Sales team and the asset owner who acts as the distributors is so intensive
LINK: https://drive.google.com/file/d/1eSlfMTiiqNRfVXBS_-
g_U7JL9lmomcQa/view?usp=sharing
SPEAKER: Mr Naynesh
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