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A STUDY ON STOCK MANAGEMENT AT

Prepared byBudhaditya Saha 12DM003Pritam Das 12DM006Chittaranjan Behra 12DM001Abhishek Maharana 12DM010OBJECTIVE OF THE STUDYThe objective of the study is to analyse how the stock move from vendor to customer in a organised retail format.

It also include understanding of the ware house management of Big Bazaar.

Even Shrinkage Management is also included as a part of our study.BIG BAZAAR Kishore Biyani.

Saravana Store.

First Big Bazaar was opened up in the year 2001 at VIP Road, Calcutta.

Big Bazaar launched purely in fashion format but over a year Food Bazaar was opened

BIG BAZAAR, FORUM MARTIt opened in Bhubaneswar 2004.

Situated at the heart of the city at Bapuji Nagar, Near Ram Mandir

Forum Mart

3 Levels serving the customer

STOCK MANAGMENTStock Management or Inventory Management is managing the stock with the company or management in the procurement of the stock.

This stock management in retail industry involves in procurement of goods after analyzing the various factors that drives it and also the movement of the same to the customer.

It is indeed very important as inventory ties a large amount of money of the company.

Moreover the stock management is essential because adequate amount of stock always helps in saving companys money and also efficiently utilize the pilling space(ware house).

Also improper stock management leads to Shrinkage of goods and hence shrinkage management now a days is an important part of the stock management.

SUPPLY CHAIN MANGEMENT AT BIG BAZAARProcurement in Big Bazaar happens from Central Distribution Center.Local Vendors.The Stock in the store is managed by Automated Replenishment System (ARS).

The CDC are located in such a strategically positioned so that it can easily caters to the nearby Big Bazaar.

For the Stores of Eastern Zone the CDC is located at Barasat.

SUPPLY CHAIN MANGEMENT AT BIG BAZAARMANUFACUTERMANUFACUTERMANUFACUTERCENTRAL DISTRIBUTION CENTERCENTRAL DISTRIBUTION CENTER

SUPPLY CHAIN MANGEMENT AT BIG BAZAARLOCAL VENDORSLOCAL VENDORSLOCAL VENDORSLOCAL PROCUREMENT

INWARDING PROCESS AT WARE HOUSEWARE HOUSE MANAGEMNTPO generated by the ARSReceived by the VendorVendor delivers the goodsIRN is issued by the warehouse management teamStock Tally. If stock tally fails than discrepancy note is generatedGRN is issuedStock is either pilled in the ware house or sent to the floor for saleWARE HOUSE MANAGEMENTOUTWARDING PROCESS AT WARE HOUSERaising of PO to the vendor by the CDCDelivery of Stock to the CDCReceiving of the stocks after weighing, counting and generation of IRNInformation is transferred to SAPGeneration of GRNStocks pilled stored in the warehouse of CDCPO generated from stores to CDCOutwarding of material from CDCReceiving of goods at the Big Bazaar store.

DAMAGE AND DEFECTIVE STOCK MANAGEMENTDamage goods management.Defective goods managementMANAGEMENT OF STOCKS ON THE FLOORThe stocks entered into the floor can only come out with a customer unless damage or defective(expired product)

The stock mangement on the floor depends on the foot fall of customers

The stock management on the floor are analyzed by the department manager

The concerened DM request for the replenishment when the sales are high.

The request are received by the warehouse team and accordingly replenishment happens.

SHRINKAGE MANAGEMENTThe store is finding a huge loss in the form of shrinkage.

In spite of high security at the store the store is finding a high time in managing the shrinkage.

The company ties up hard tag, soft tag in the product to reduce the shrinkage

Also the company has deduced new strategy of manually counting each and every product of store every quarter. This process is called Stock Take.Total Number of Goods in the Books Total Number of Goods in Physical =Shrinkage

TYPES OF INVENTORIES MAINTAINEDInventories maintained in Big Bazaar are ,

Foods Staples Apparel Beauty Products Utensils

Inventory Maintenance

As depending on the Automated Replenishment System. The reorder points are set depending on the sales of previous 3 months and hence the ARS generates the demand.

UNEXPECTED DEMANDS Contact nearby Big Bazaar.

Contact other FBB stores.

Contact Pantaloons.

They never try to lose the customer and hence provide them the best help.

Perishable goods like vegetables are maintained in a shop in shop format.

This is not directly maintained by Big Bazaar but by outside vendor.

The bills are under open MRP which is settled on a daily basis.

PERISHABLE GOODS

RESPONSE FROM CUSTOMERS AND OBSERVATION Customers are happy with the way the stocks are arranged.

Many customers made the point that goods are not available but when they report about that the management arranges the same.

It was also found the racks are arranged properly but the labeling of the racks are wrong many times.

Also observed that stock replenishment takes time and hence customer needs to report to the management.

THANK YOU