FLIPKART

- BY GROUP 2
INTRODUCTION
 Flipkart is an electronic commerce company and among India’s
largest online retailers.

 Reported sales - $12.5million

 Flipkart initially started with selling books online but has diversified
today into a generic e-commerce website, selling CDs/DVDs, mobile
phones and electronics.

 Mission - To provide a memorable online shopping experience to the

customers so that they come back again and they use innovative
services like 30 day replacement, Cash on Delivery, free shipping,
EMI options mainly for electronics and on-time delivery.
INVENTORY MANAGEMENT
 The operations team deals with Supply chain management; from procurement
to warehouse management and customer support.

 Supplier Network:
Flipkart has a network of 500 plus distributors and only stocks frequently ordered
items. Items with low demand elasticity, fast selling items which have a long shelf
life are maintained in inventory. Whereas items with low and unpredictable demand
are procured once the customers places the order.

 Warehouse Management:
Flipkart has & major warehouse spread across the Metros like Mumbai, Delhi,
Kolkata and Chennai and in the cities of Pune, Bangalore and Noida. They further
have smaller regional distribution centers at over 500 locations. Company has tie-
ups with more than 15 courier companies like Blue Dart, First Flight etc. to deliver
their products and Indian post for areas where courier do not reach.
Flipkart’s warehouse management has 3 major steps:
 Inward Processing
 Storage Management
 Outward Processing
Inventory Management:

 Flipkart uses a Continuous review model. The inventory stocks are replenished
when the inventory levels reach Reorder point (ROP). The company employs
first in first out(FIFO) method for its inventory management. Under the FIFO
method, shipment request is sent to a particular warehouse where the oldest
inventory items are shipped first. This model makes sense for electronics since
technology becomes obsolete very quickly.
 Flipkart uses sales to predict the levels of inventory. The warehouses are
divided into multiple parts such as inventory, packaging, shipping etc. Stocks
are replenished every 24-48 hours and in the back end the company records
details of all the transactions. The company has partnered with postal
companies for order tracking and reconciliation, Thus the customer is updated
about the state of his order via email, website or text messages. If the product
needs to be returned, it is done effectively and efficiently due to the companies
partnership with the courier companies. In the case of electronics, warranty and
after sales service is solely the manufacturer’s responsibility but Flipkart
facilitates interaction between supplier and customer.
 PRODUCTS ORDERED BY
CUSTOMER AVAILABLE AT
MARKET PLACE SELLERS
REGISTERED WITH
FLIPKART
FLIPKART
ADVANTAGE FLIPKART
SHIPMENTS SUPPLY
CHAIN FLIPKART
NON-
ADVANTAGE
PRODUCTS ORDERED BY SHIPMENTS
CUSTOMER AVAILABLE AT
FLIPKART FULFILLMENT
CENTER
FLIPKART ADVANTAGE (FA) SHIPMENTS
 Customer places order for FA products.
 Fulfillment center checks for the availability of the product and the picklist is
created and assigned to the associate.
 Packaging is done as per the guidelines and bill label is attached to the same
and dispatched to the nearest mother hub.
FLIPKART NON-ADVANTAGE(Non-FA)
SHIPMENTS
 Customer places the order for non-FA products.
 Seller receives the order and packs the product for shipment.
 First mile team leader creates sheet and assigns executive who goes to the
seller location verifies the products and takes it back to the leader.
 Team leader receives shipment and segregates according to local, zonal, 3PL,
National delivery. Back shipments are delivered to the nearest mother hub.
SHIPMENTS AT MOTHER HUB
 Mother hub receives FA shipments from fulfillment centers and Non-FA
shipments from first mile hub,
 Here, shipments are segregated at two levels:
 Primary segregation: here, shipments are in scanned and segregated in
respective station basis delivery.

STATION BASIS DELIVERY

(Ekart)

Dangerous Same day delivery

Station wise 3 PL
Goods & Next day delivery

Mumbai Blue Dart

Delhi FedEx
Bangalore DHL
 Secondary segregation: ekart shipments are segregated by destination hub /
COC code wise.

NDD/SDD/Normal
DG shipments at 3PL shipments
shipments to
respective MH according to vendors
respective DH

 Shipments are then scanned, weighed and sealed in white bags which are
forwarded to line hall.
 Line hall handovers the bags to transport center team.
SHIPMENTS AT DELIVERY HUB
 Delivery hub receives shipment in bags,
 Shipments are segregated and sorted in pin-code wise/ Route wise.
 Run sheet is generated and assigned to executives who take the shipments
and leave the hub for delivery.
 Executives complete delivery by handling the shipments to the customers
after they(customers) make payment and run sheet updation.
THANK YOU