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“THINK BEYOND LIMITS”
TRANSCEND SERVICES
BUSINESS PLAN
Submitted By:
Transcend Group
111 pppp
TRANSCEND
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Table of Contents
Company
Overview…………………………………………………………………………………………………………
…………………………………3
Mission……………………………………………………………………………………………………………
………………………………………………...3
Objectives………………………………………………………………………………………………………
………………………………………………….3
Strategies………………………………………………………………………………………………………
…………………………………………………..4
PESTEL……………………………………………………………………………………………………………
………………………………………………….5
Product……………………………………………………………………………………………………………
………………………………………………...5
People……………………………………………………………………………………………………………
……………………………………………….…6
ESOP………………………………………………………………………………………………………………
………………………………………………….7
Investor Policy and proposal……………………………….
……………………………………………………………………………………………..8
Marketing…………………………………………………………………………………………………………………………………………………..……..8
Organizing
Exhibition…………………………………………………………………………………………………………
………………………………8
Branding…………………………………………………………………………………………………………
…………………………………….………..…9
Availability of
Finance……………………………………………………………………………………………………………
………………………..…9
Operation
Management……………………………………………………………………………………………………
……………………………….9
Organizational
Structure…………………………………………………………………………………………………………
……………………....10
Conclution………………………………………………………………………………………………………
…………………………………………….…11
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Company Overview
TRANSCEND, the brand mirrors the inclusive growth of a large number of artisans across
multiple locations in India. Our endeavour is to provide original and latest designs to the
customers by working very closely with the artisans. This will ensure a fair deal for both, an
affordable and aesthetic product to the customer and inclusive growth and a decent living to
the artisans.
The artisan clusters have not been utilized to full potential in developing countries. The
artisan clusters have a potential to generate economic growth in a region. Hence the need to
support the marketing of the handloom products and the group of artisans in the country
emerged which will help in fulfilling the need to provide and sustain the respective art,
tradition and extensive skills of the country and the artisans involved.
TRANSCEND Handicrafts, is founded with a belief that it is possible to provide self
sustaining model with dignity to the artisans. Since the biggest problem is isolation from the
markets and ad hoc subsidies prolong the existing situation unless concerted efforts are
made to organize the artisans, convert them with markets and enhance the skill sets to deal
with their challenges.
In Transcend the products are sourced from the different handloom clusters spreading all
over the country. Transcend is working for preserving the heritage products like Chanderi,
Bagh, Maheshwar, Kota and many more clusters, rejuvenating the traditional crafts and also
for the welfare of the weavers. Transcend enhance the livelihood options to more than a
thousand artisans spread around in about 25 clusters across the country.
Mission
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“To develop a business model which ensures inclusive growth through transparent value
chain fostering feeling towards the deprived and empowering the community for better
living”
Objectives
Transcend Handicrafts envisages of developing a business model which ensures sustainable
inclusive growth for the artisan clusters. Following are the main objectives:
• To ensure that the producers get maximum benefit of their produce.
• To develop a sustainable business model for the potential artisanal products.
• To make the selected clusters more competitive to match the demands of the national
market.
Strategy
Step 1: Identify around 25 products which have national and international appeal.
Step 2: Identify for profit/not-for-profit institutions of producers which are active in some
these clusters and partner with them.
Step 3: A central warehouse along with a professional marketing network for wholesaling
and retailing of producers at the rate of one shop per cluster.
Step 4: Marketing will be undertaken on wholesale and retail basis through a retail chain of
25 ethnic stores close to the cluster location will be set up. A central institution would be
established to provide production, management and design inputs for upgrading the products
to international standards.
Step 5: The central warehouse-cum system integrator will work as a private limited company
with share holding also from the producer groups such as consortium of
SHGs/Cooperatives/producers Company etc.
Step 6: Public institutions and government would also be engaged in the process to provide
and an enabling policy environment and leveraging upon the schemes for the development of
artisans.
* Services
1. Training
2. Distribution3. Design Development
4. Common Branding
5. Finance
6. New Product Development
7. Common procurement
A for profit company
jointly held by artisans,
marketers and BDS
providers providing 9
services* and acting as
CWH.
TRANSCEND
HANDICRAF
T PVT. LTD.
11 self
owned/franch
isee shops.
One shop per
cluster-25
Wholesaling
Marketin
g
Network
25 producer
group/cluster
s
200-500
artisans per
cluster
organized in
8-20 sub
groups of 10-
20
25
products
(LN -LI)
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ENVIRONMENTAL ANALYSIS
ENVIRONMENTAL ANALYSIS:
P E S T E
L
POLITICAL ECONOMICAL SOCIO-CULTURAL TECHNOLOGICAL
ENVIRONMENTAL LEGAL
Political:
We are aware that there rules and regulations by the governmental institutions
Those all rules are strictly followed as violation of any of them would give rise to illegal
reputation of our firm.
Economical:
Though there is an employment generation for the weavers, artisans and craftsmen it is
really good for the economical condition that is ahead.
Better living standards along and desire for for good wear is fulfilled, i.e., a two way gain
process.
Socio-cultural:
There is a belief in our Indian tradition that plays an important role for us the enterprisers.
It is something like for some special occasions some special dresses are only to be worn.
Therefore different places in India have the same belief but the material of dress, style preference as well as taste varies.
Thus what we do is we just support that emotion of our customers.
Technological:
Technology as we all know is an important part in making our lives simples.
But, here we use less of technology in manufacturing but more of it in dispatching.
Transport like shipment for import and export, warehouses with good automation servicesis what we use.
Environmental:
The environment, i.e., the atmosphere is always taken into consideration.
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The atmosphere like the people, competitors, place etc surrounding our business.
Legal:
Legality of all the business is our first concern.
No business based on illegal terms can move in the long run.
Due to governmental interventions, late in delivery, payment procedure defaults it would
be a trouble.
Thus, we can say that legal business is healthy business.
Links and leveraging on government schemes
Identification and proper match making of the government schemes with the cluster
artisans will be done by designing suitable projects on the one hand and appraising the
government machinery about the potential outcomes of the projects. Suitable monitoring
systems and evaluation mechanisms will be established to ensure fairness and
transparency. The CMI will leverage upon the government schemes for the development
of these facilities primarily for CPO welfare and skills up gradation.
Products
S.NO
.
Name of the
cluster
Main Product Additional products
1 Chanderi Woven Saree, suit lengths,
dupattas, table linens, yardages,
etc.
Plain yardages, plain
Sarees, dupattas
2 Maheshwar Woven Saree, suit lengths,
dupattas, table linens, yardages,etc.
Plain yardages, plain
Sarees, dupattas
3 Kota Woven Saree, suit lengths,
dupattas, table linens, yardages,
etc.
Plain yardages, plain
Sarees, dupattas
4 Chirala Woven Sarees, Yardage Plain Yardages
5 Kanpur Yardages plain and striped,
Yardages Eri by cotton
Yardages 80 cm
6 Chhiukhadan Yardages striped, check, plain Bed Sheets
7 Mangalgiri Yardages striped, plain, booti, suit
lengths, dupattas
-
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8 Champa,
Bhagalpur
Woven Tussar/Kosa silk Sarees,
dupattas, stoles
Plain Sarees, plain
yardages, dupattas, stolls
9 Bargarh Woven Iqqat Sarees, dupattas,
Yardages, wall hangings high end
10 Murshidabad Woven dupattas, Yardages11 Banaras Woven Sarees, Yardages
12 Barabanki Woven Dupattas, stoles
13 Phulia (WB) Woven Cotton Sarees Zamdani
work
14 Sonpur (Orrissa) Woven Silk Sarees Degummed Silk Sarees
15 Sausar Plain Maheshwari and
Chanderi Sarees
PRODUCT MIX:
Therefore, from the above table as we can see that there are altogether 15 products down the
line.
This line reflects the width of the product mix that Transcend is offering.
There are all together 46 products that are falling in each and every category of the 15
products.
These all 46 products reflect that there is a length of the product mix which is offered by
Transcend Company.
There are sub division of products in these 46 products, like woven sarees can be plain or
striped; Yardages can be plain or striped, etc.
These all sub division products can be termed as those building up the depth of the
product mix.
People
Realization of Transcends mission would largely depend upon the dedication and hard work
of its employees. Transcend believes in providing a platform to its employees where they can
perform independently and can contribute towards the growth and development of the society
at large.
The employment type of employees in Transcend Handicrafts Pvt. Ltd. shall be determined
on the basis of frequency, nature and duration of work. The employment type can be of one
of the two types:
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Regular Employees
A person who is hired to provide services to Transcend Handicrafts Pvt. Ltd. on a regular
basis in exchange for compensation and who does not provide these services as part of an
independent business. A regular employee will be one who works at least 40 hours in a week;however the work may require him to devote less or more time in a week.
Apart from them there might be some special cases where we might give an employee some
flexibility in terms of the number of hours in a week, especially in the initial phases of
Transcend. This flexibility is given so that Transcend can attract and retain some of the high
potential employees and may not be in a position in its initial phases to pay the actual cost of
these employees, which could be partially compensated by giving them this flexibility. This
flexibility would be clearly specified in the appointment letter and the terms of employment.
An employee will not be paid overtime in case the employee has worked for more than 40
hours in a week. A regular employee will be eligible for benefits like Med-claim, telephonic
benefits etc. as per the companies policy.
There are four levels for employment for regular employees who would be supported by
support staff
Designation Level CEO 1
Manager 2 Associate 3
Assistant 4Office Assistant Support Staff
Special Term Employees
Time to time, Transcend Handicrafts may require specialized services or expertise for
different functional requirement for a stipulated short period of time, against specific
deliverables. ‘Special Term Employee’ contract is issued to engage such individuals. The
contract mentions the terms and conditions related to project - specific deliverables
applicable to such a contract. Such Special Term Employee will usually be expected to work
from their home or field station mentioned in the contractual conditions. Such consultants are
not eligible for benefits that are available to the regular employees.
Apart from that Transcend Handicrafts Pvt. Ltd. may also employ some people on hourly or
daily basis or as interns based on requirement of the company.
ESOP- Employees Stock option plan
Some of the employees may be offered ESOP by the Board of Directors from time to time.
These ESOPs would be given to the employees after consideration of their performance and
the duration of stay in Transcend. Similarly the Board may also give stock options to group
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of artisans. The objective of providing the ESOPs to establish a long term relationship with
all the stake holders and to include our employee in strategic decision making so that
everyone is inclined towards a common shared vision.
Investment Policy/Proposal
Objective: To understand the following
• who would be the investors of Transcend
• how much investment would be allowed
• what would be the terms and conditions of investment
Who would be the investors?
Transcend will search the investors who are financially sound and who can understand the
concept and mission of Transcend Handicrafts. The investors should be willing to invest for a
long duration rather than looking for short term gain, this would only be possible if they are
able to see the bigger picture of Transcend and understand the long term strategies.
Also Transcend will try and give ownership to their employees in the organization by giving
them shares of Transcend in the form of ESOPs (Employee Stock Option Plan). The purpose
of these ESOPs is to make the employees a part of the organization for a long duration.
MARKETING
Development of one/two outlets will be undertaken from mature CPO and the selection of
proactive marketing staff of these CPOs based on the strengths and opportunities of the
CPOs. The marketing staff chosen from different clusters shall be trained collectively for
latest techniques of marketing through hiring the services of experts. Accordingly the
ambiance of these retail shops to be located close to all the 25 selected clusters may be
developed with ethnic styling by hiring good interior designers. A proper incentive
mechanism may be developed in this regard as well.
Situational Analysis
Transcend handicraft Pvt. Ltd analysed the situation using the 4C’s framework. 4C’s stand
for Customer, competition, company, and context
Customer
Transcend is entering its first year of operations. Its targeted group would be ladies
basically it would be people involved with literature, theatre, cinema, media, doctors,
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development sector and politics etc. Measures to establish the brand would include low- cost
measures like the involvement of local celebrities in literature, theatre, cinema, media,
development sector and politics etc By requesting them to inaugurate exhibitions or retail
shops and recommend or explain the unique selling proposition of the contemporary face of
handloom and handicraft products. The products will be strengthened by using latest colors,
designs and styles.
Competitors
Transcend knows that there are some established brands in this field like Fabindia, Nalli,
Anokhi, and several local manufactures.
Company
TRANSCEND, the brand mirrors the inclusive growth of a large number of artisans across
multiple locations in India. Our endeavour is to provide original and latest designs to the
customers by working very closely with the artisans. This will ensure a fair deal for both, an
affordable and aesthetic product to the customer and inclusive growth and a decent living to
the artisans.
TRANSCEND Handicrafts, is founded with a belief that it is possible to provide self-
sustaining model with dignity to the artisans. Since the biggest problem is isolation from themarkets and ad hoc subsidies prolong the existing situation unless concerted efforts are
made to organize the artisans, convert them with markets and enhance the skill sets to deal
with their challenges.
SWOT analysis:
Market strength
It is feasible to develop a business model with inter related stakeholders viz. artisans
designers, masters and social entrepreneurs who can gain by working together.
There are potential economics of scale at marketing across multiple ethnic products
that can be tapped through a common marketing system that provides warehousing
facilities, branding and systems.
Weakness
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The problem today in most developing countries like India is that they have not been
able to manage their artisanal economic clusters (geographical area) so as to create a
distinct product known for its quality and therefore, marketability, with a potential to
generate economic growth in the region.
In the current global setting, micro-producers and artisans face the loss of their
traditional markets because of a weakening of their backward and forward linkages.
Another major problem for the artisans and the clusters is their isolation from the
markets. Use of Information Communication Technology (ICT) is unheard of.
Widespread plagiarism and duplication or competition from machine made products is
rampant. This results in erosion of profit for the genuine (handmade) products.
Market opportunity
There is an untapped market genuine for ethnic products in the second tier towns and
cities which can be bridged by a lower cost marketing system compared to metro
towns.
There is untapped market for wholesale buying of ethnic products provided quality,
quantity and timelines can be adhered to, through locally based common production
systems integrated with common marketing system at central location.
Market threat
The gradual shift of the local market to national and international markets without proper
support from business development services (BDS) for designs, market intelligence, and
access to raw material has resulted in high-cost inventories and a mismatch in demand and
supply. Producers are therefore forced to sell their products at distressed prices.
Organizing exhibitions:
Initially some exhibitions will be organized at five locations selected by CMI in order to
understand the market, potential of the products, and reaction of consumers and gauge our
own strength for converting our connections- for the purpose of setting up retail shops as
consumers of these products. Then two to three exhibitions at all the 25 locations will be
organized with the help of the designers. The exhibitions will be handled in a professional
way by preparing a list of the potential consumers, place of exhibition, display and its
presentation by the staff trained during the project period. These exhibitions will help us tounderstand the preference of the customers, collate their feedback and test the strength of
trained human resource.
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Branding:
These products will be branded as ‘TRANSCEND’. Measures to establish the brand would
include low- cost measures like the involvement of local celebrities in literature, theatre,
cinema, media, development sector and politics etc. by requesting them to inaugurate
exhibitions or retail shops and recommend or explain the unique selling proposition of the
contemporary face of handloom and handicraft products. The products will be strengthened
by using latest colors, designs and styles.
STP
Segmentation:
Geographical Segmentation: The table depicts that Kota sarees are very famous i.e in
demand by Bihar and UP female customers. It is their taste where ever they live in India.
Banaras sarees are being made keeping in view the demand of people situated there, their
preferences and tastes.
Demographic segmentation:
Here we can see that many people depending upon their respective age groups prefer their
clothing, materials.
Thus, for example:
Old people prefer cotton silk sarees (majorly).
Young females might be having major liking for woven silk sarees.
The life stage also defines the various requirements of different varieties like
Marriage needs woven silk sarees, Woven dupattas, stoles, etc.
To be more specific ‘fulfilment of special requirements for special occasions.
Gender:
Here cannot segment our product cum service in none other than the women sector, because
the product is being made in bulk for them.
Income:
Here we are trying to put our emphasis on the group which has got affinity to buy
sarees for occasions, due to willingness or for normal uses.
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So, it can be said that the prices are switching in accordance with the different age
groups, for example: the office going females have the option of cotton sarees,
woven dupattas, stoles, etc. The ladies willing for heavily carved out sarees who
can pay more, actually those belonging to middle or upper middle class families
can opt for the silk sarees.
Generation:
As we already know that nothing in this world is permanent. So, is the case with
customers’ tastes.
Depending upon the age group we have used materials into diversified products as
can be seen in the table above.
The aged females can go for the woven cotton sarees
The youth or office going group can also opt for the stoles, dupattas, cottonsarees, etc.
Social class:
Here, we can say that the females residing in Bengal have the inclination more towards
cotton made sarees than any other material. This is not due to the place but there is some
strong ancestral influence which makes it essential to develop such a taste. Therefore in
Phulia we make sarees that are beautifully crafted in cotton material.
Psychographic Segmentation:
We are catering around the following people:
Those who are willing for materials that satisfies their self esteem- Banaras
sarees.
Those who want durable materials- Yardages check, plain.
Those who are looking for good styling effects, who want to experiment-woven sarees, suit lengths, dupattas, etc.
Behavioral Segmentation:
The ladies who are willing for occasional wearing can have the alternative of
silk sarees.
Ladies looking for beneficial wearing can opt for cotton sarees as it keeps up
in wear and tear situations also.
Targeting
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We are focusing on the requirement of ladies in a whole which is a vast area that caters to
many materials shaped out in number of desired styles. Therefore it can be said that we
earlier we were limiting ourselves to a single segment ,i.e., sarees but it now has taken its
place in the Market Specialization of handcrafted silk, cotton, yardage sarees, dupattas, bed
sheets, suit linings, table linings.
Positioning
We have introduced our products/service to our customers in the form of those pure
handcrafted material that is
deserved by every Indian female at affordable prices,
Wherein we create employment opportunities for the weavers who have the right to
get their talent recognized and respected in return of a good pay.
4 P’s of Marketing
Product
Transcend works by developing products in specialized areas like weaving, dying techniques
printing, patch work, quilting, and embroidery. Starting from apparels, accessories to home
furnishing and life style products, Transcend offers a diverse, colourful assortment of
products. Transcend’s products are developed while working with the craftsman towards
improving their crafts, building upon their skills, knowledge and capacity by suggesting
contemporary and latest design inputs. Transcend is working for preserving the heritage
products like Chanderi, Bagh, Maheshwar, Kota and many more clusters, rejuvenating the
traditional crafts and also for the welfare of the weavers. Transcend enhances the livelihoodoptions to more than a thousand artisans spread around in about 25 clusters across the
country.
Price
Price is the amount the customer pays for a product. The business May increase or decrease
the price of product if other stores have the same product. But in our case the price is
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normally less because we don’t have middle men in line as there are only producers and
consumers
Place
Place represents the location where a product can be purchased. It is often referred to the
distribution channel. In our case we take 2 locations where we plan to set our stores.
Promotion
These products will be branded as ‘TRANSCEND’. Measures to establish the brand would
include low- cost measures like the involvement of local celebrities in literature, theatre,
cinema, media, development sector and politics etc. by requesting them to inaugurate
exhibitions or retail shops and recommend or explain the unique selling proposition of the
contemporary face of handloom and handicraft products. The products will be strengthened
by using latest colors, designs and styles.
Availability of Finance
Finance is considered to be one of the major bottlenecks for the development of the producer
companies. CMI will support the producer companies in identifying financial options and for
getting finance from different financial institutions. Options of tying up with FIs and other
organizations engaged in financial business will be explored and mediated
Marketing ExpenseBudget sep oct nov dec
Advertisement 6 Lac 5 Lac 5 Lac3.5Lac
Public Relation 3 Lac2.5Lac 2 Lac
1.5Lac
Marketing Survey 1lac 80 K 60 K 50 K
Catalogues/ Broucher 40 K 30 K 20 K 10 K
Seminar 1 Lac 1.3lac 1.8lac 2.5lac
Exhibition 1.5 lac 1.8lac 2.5lac 3lac
As advertisement budget is decreasing, just because initially the cost of promoting thebusiness is very high…As in the market survey, once we will get the idea of market we would be able to cater the neAnd hence the cost decrease.
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Hence these are the budget insight which marketing department needsto take care of..
Operation Management
Operations management is about getting the day to day work done quickly , efficiently,
without errors and at low cost. Operation management is the business function responsible
for planning, coordinating and controlling the resource need to produce product and service
for a company on daily basis.
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Organizational Structure
Operational Structure
Partners
Strategic
Inputs
HR
Support
Accounts &
Admin
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Conclusion
We hope that you will contribute to Transcends Mission with your complete zest and zealand be a part of Transcends ever growing family. We look forward to a mutually rewarding
association.
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