SUPPLY SHORTAGE AT ICC

INDIA
Submitted by-
Shyamanjan bose
Sanket Sunil Sindhe
Rishabh Bhatiya
Umang Soni
Suromita Biswas
 ABOUT ICC

• Headquarter in Calcutta
• Has 3 manufacturing plants
• Distribution Network is 12K retail outlets strong
• Business segregated primarily into Decorative and Refinish Paints
 PAINTS MARKET IN INDIA

• Market size Rs 170 bn

• Growing at 9%,the lowest in the last five years.
• per capita consumption of paints in India - 0.5 kg per annum as compared to 1.6 kgs in
China and 22 kgs in the developed economies.
• India's share in the world paint market is just 0.6%.
• The unorganised sector controls around 35%
• In the unorganised segment, there are about 2,000 units having small and medium
sized paints manufacturing plants.
 COMPETITOR’S ANALYSIS
INDIAN PAINT INDUSTRY
OTHERS, 19%,

ASIAN PAINTS, 30%

ICI DULUX, 12%,

BERGER, 19%, NEROLAC, 20%,

 PROBLEM

• Shortage of SKU

• High Import cost and time

• Unstructured organisational structure

• Supply Mismatch
• IT systems were not calibrated to read alpha numeric
product codes
• Mismatch in forecast and the actual demand
 ORGANIZATIONAL SALES STRUCTURE

Manager (Automobile
Business Manager Business Manager
Manufacturer
(Decorative Paints) (Refinish Paints) Relations)

Regional Manager Regional Manager Regional Manager Regional Manager

(North) (West) (East) (South)

2 Separate 4 Separate
1 ASM 1 ASM
ASMs ASMs

Common Sales Force

 SUGGESTION
• Ask dealer about the demand of particular product color
• Start manufacturing instead of importing from UK (long term approach)
• Separate system supply chain should be design to check on small quantity product
• Focus on refinish product because margin is high
• 2 months to adjust this problem not enough
• Increase the reach of products and ASMS
• Very few dealer base because of large investment
• Some automation done in mixing to avoid the error
• Training should be provided to manpower of warehouse
• International ordering system modified
 ASSUMPTION

• Pricing strategy is mainly market driven

• Usage of the refinish paints in India was for full repairing and colour based marketing
• Paint work shop market fluctuates by automobile dealership, independent garages
• Sales functions were designed very complex
• Consumer became colour conscious and colour
• Price range were termed value for money purchase
•
THANK YOU