GROUP MEMBERS

S.M.TAHIR 11045 USMAN AFZAL 11055 12001 12008 FAREED HUMAIR DANISH MASOOD

M.RIZWAN

11022
11052

UMAIR ALI

COMPANY PR0FILE
Established in 2005 Two plants in Sukkur and Sahiwal Covering 2400 villages for milk collection 210 distributors in all over Pakistan Direct employment to 750 people 38% market share 5 regional offices located in important cities of Pakistan

OTHERS BUSINESS
Engro Chemical Pakistan Limited

Engro Vopak Terminal Limited

Engro Polymer and Chemicals Limited

AVANCEON (Formerly known as Engro Innovative Automation (Pvt.) Limited) Engro Energy Limited

BRANDS OF ENGROF00DS

ORGANIZATION CHAT

QUANTITY IN WAREHOUSE & LOGISTIC

SUKKAR WAREHOUSE:
1.6 MILLION LITRE

SAHIWAL WAREHOUSE:
4 MILLION LITRE

INBOUND LOGISTIC:
9000 LITRE

OLPERS MILK SUPPLY CHAIN

Strategic fit of olpers milk

Never compromise on quality Customer satisfaction To become very responsive Innovative

Olpers understand their customers & uncertainty in supply chain

Through segmentation Different attributes Proper forecasting Safety stock

STRATEGIC FIT FOR OLPERS MILK

Responsive Supply Chain

Responsiveness Spectrum

Zone of Strategic Fit

Efficient Supply chain Certain demand Implied Uncertainty Spectrum Uncertain Demand

SUPPLY CHAIN CAPABILITIES OF OLPERS MILK

Two large plants Handle the bulk inventory

Handle the supply uncertainty

Meet high service level Responded to wide range

OLPERS MILK ACHIEVED STRATEGIC FIT

Highly efficient Highly responsive
highly somewhat somewhat highly

efficient

efficient

responsive

responsive

DRIVERS OF OLPERS MILK

Facilities
o Engro has three warehouses o Two are located within the production plant and o One is central warehouse located in Rawalpindi. o warehouse temperature at 25-28 degrees o maintaining 6-7 days safety stock

o FIFO inventory system

DRIVERS OF OLPERS MILK

Inventory
handling the material in a proper way latest equipment use to handle the inventory specialized milk tanks use fork lifters

DRIVERS OF OLPERS MILK

Transportation
long vehicles are used for raw milk transportation

All transportation is d0ne by road

DRIVERS OF OLPERS MILK

Information
Well aware about seasonal demand suggested order list (SOL) SOL is done to determine the future demand forecast SAP is currently using in Olpers milk

DRIVERS OF OLPERS MILK

Sourcing
Using both strategies in-house & out source Rawalpindi ware house is out source Own dairy form and has some supplers

DRIVERS OF OLPERS MILK

Pricing
Achieve economies of scale Fixed price Discount on special events

Distribution Network
Focusing on every major cities of Pakistan. Distribution is outsourced. 210 distributors all over Pakistan Three geographical zones

Factors influencing distribution network:

Customers needs that are met

Cost of meeting customers needs Responsive time Product verity Product availability Customer experience Time to market Order visibility Return ability

Network operates in Olpers milk:

Manufacture or distributor warehouse storage with consumer pickup

Network operates in Olpers milk

Olpers inventory is stored at the manufacture or distributors warehouse but customers place their orders online or the phone and then travel to designated pickup points to collect their merchandise

Forecasting
R&D department previous month demand Low production in July & August 6-7 days safety stock

Inventory Management:
HOW MUCH and WHEN

packaging material used

sterilized prior to filling of UHT (Ultra Heat Treated) milk Temperature around 25-28 degree climate control system strong control on finished goods FIFO inventory system

Sourcing
Full-fledged Milk Collection Department

100 Milk Collection Centers in March2006

Over 800 collection centers in 2011 Largest milk collection networks in the country Well equipped with chillers to preserve the quality prior Two own warehouse and one is outsource Outsource distributors, transportation and suppliers Agreement with their distributors or suppliers