LAKSHMI PROJECTS: SALES

STRUCTURE DILEMMA

GROUP 5:
MUDIT
AMRITA
APEKSHA
SHANTANU
INTRODUCTION
• Lakshmi project was founded in year 1997 by Naresh Nangia an Indian Engineer
• The firm produces a Material handling equipment i.e. conveyor system & elevator system
• Company experienced immediate growth from beginning because of extraordinary services it provided to its
customers
• Quality products and good sales ensured increasing customer loyalty
• The MHE industry spreaded into 4 categories
• Engineered systems,
• Storage and handling equipment,
• Industrial trucks and bulk material handling
• Sectors such as power, mining and manufacturing were its market drivers
• Indian MHE industry increased due to growth potential, infrastructural development & 100% FDI
CASE ANALYSIS

• The company saw the good growth from the beginning because of the good quality product and good sales
service which lead to customer satisfaction and ensured increasing customer loyalty

• The firm started to spread out the business all over the India, which resulted in less efficiency in its services due to
less employee satisfaction

• Sales department was divided into two parts – Quality department, After-sale-service department. Moreover, this
department was not coordinated properly as a result it lead to Interdepartmental friction

• Founder of the firm with designers created a new product i.e. the dumb waiter. It was designed to cost less than
the competitor’s product in the market

• Naresh Nangia was in dilemma to launch new product or sell the product to third party
PROBLEM IDENTIFICATION

• Lakshmi was unable to maintain the customer satisfaction across all the regions

• There were Inexperienced sales personnel

• Interdepartmental friction – The AST could not sustain the AMC for the customers because of shortage of
employees. Such In-house miscommunication and lack of cohesion left the customers suffering; they felt cheated
and dissatisfied

• New product Dumb waiter dilemma was to Launch and Sell it to market or get patent and sell it to third party
 RECOMENDATION

• The firm need to divide salesforce geographically and gave the proper training of product toits sales executives

• Company can recruit more experienced sales executives who can be utilized to provide right direction to existing
sale team about product this will help after sale service to improve customer satisfaction

• In-house communication can be improved with effective channels of communication

• Target the market with new product and with price competitiveness
THANK YOU