Announcement
QUARTER FINAL | BUSINESS CASE - BCS 04
Leader Submission BCS 04
NMO 2020
Analysis of friction occurring in the emerging startup of DND LLP.
Submission Date & Time : 2020-03-22 04:27:37
Submitted By: Aayushi Jakhar - Leader From Team Water
Case Understanding• Improper coordination in the salesperson and company due to which sales are not recorded properly. • Miscommunication of executed sales as there is no record of executed sales, i.e., whether deliveries have been done properly or not. • Hurdles in management of staff as staff is not being punctual to corporate office. • The top management is not able to coordinate properly with the employees due to which any problem occurring at the executive level is not being able to reach to higher authority, arriving to any conclusion is far away. • Market segmentation error. • Expansion of business without proper planning. • Inefficient establishment of business in non-dense areas due to lack of funds and poor risk taking ability of management. • Inefficient feedback system because of it not everyone is able to raise complaints regarding their issues. • Improper supply chain management as customers are complaining regarding the foul smell and bad taste. • Introduction of competitors taking advantage over this worsening situation of the company.
BCS Solution Summary• The application is developed for the customers to order the items can also be used for monitoring the transaction like execution of sales, and rating the daily deliveries. This would make it easy to acknowledge the problem early and would be able to help in customer retention. The application should also get a regular feedback from the customers. • The problem of foul smell and bad taste can be resolved by speeding up the delivery process along with having a daily quality check. • The company not being able to deliver to the non-dense areas can sub-contract to the local sellers to be able to cut the setup cost in that areas. • An ERP (Enterprise Resource Planning) system is needed to be prepared for managing the staff and maintaining and analyzing the performance of employees of the organization. • A Quality standard team is needed to be formulated out of existing staff to maintain the quality deliverable goods. There should be at least one quality officer at each city or region specific, like Bengaluru, Hyderabad and Chennai each region should have a quality officer to keep a check on the quality of goods weekly or fortnightly. • Bringing in a bit rise in prices and minor reduction in wages will help out to raise funds for minimizing losses. • Spreading awareness in the public and using promotion tactics would help in attracting more customers, resulting in widening customer base.
Solution
• The employees are needed to be directed in one direction as per the principle of Unity of Direction by Henry Fayol that states that there should be only one leader and one plan for a series of activities seeking the accomplishment of the same objective.
• There needs to be an ERP (Enterprise Resource Planning) system for internal management of the organization. ERP is a centralized system that provides tight integration with all major enterprise functions be it HR, planning, procurement, sales, customer relations, finance or analytics, as well to other connected application functions. In that sense ERP could be described as "Centralized Integrated Enterprise System (CIES)".
• The principle of ‘Espirit-de-corps’ by Henry Fayol needs to be followed. This principle states that an organization must make every effort to maintain group cohesion in the organization. Following this principle would help to exercise team work in the organization.
• The principle of Cooperation, Not Individualism coined by Frederick Taylor should also be followed as this would help in maintaining cooperation among the individuals in the organization.
1. SWOT Analysis
STRENGTHS:
 Good customer base in a short span and that too in 3 major cities
 App to keep a track is a good initiative in the digital world.
Weakness:
 Ineffective salesperson
 Increase in inactive app users
 Poor management
Opportunities:
 App can prove to be a good initiative in the era of digitalization
 Chances to gain loyalty of customers
 Expansion of customer base
 Can capture the market share over traditional milkman
Threats:
 Loss of customers if timely actions are not taken
 Rise in inactive users or may even result in rise in unsubscribers to the app.
2. Vision for the next 5 yrs
• Increase in the customer base in the existing areas to 10000 families in total
• Expansion of business to other major cities like Pune, Kolkata, etc.
• Expansion in the product line by adding more dairy products.
Optional Assignment
2. Suggestions for the strategies of Organizational Growth for the next year
• Generating Customer awareness through promotional tactics
• Rise in prices of existing products
• Expansion in product line
• Introduction of ERP system for internal management of organization
• Upgradation of app to entertain daily ratings, customer feedbacks and regular tracking of deliveries
3. Decide Key performance indicators of every job role in the organization.
• IT Department should keep a regular check on management and updation of application.
• HR department should keep a check on the regularity of employees as well as performance of the staff.
• Finance department should bring in timely funds for development and growth of organization
• Marketing department should increase the promotional activities for their products and spread brand awareness in the public.
• The top management should keep a check on proper functioning of each department. And maintain a harmonious environment in the organization.
ConclusionThe Daily Need delivery startup is good initiative of bringing the daily needs of dairy products to an online platform. The startup was a success as it was able to capture a huge customer base in a small period of time, i.e., 3 years. But due to poor management and improper planning and coordination the started facing problems and losses. As per the case study and discussion done by our team Water, we are able to arrive at certain solutions like upgradation of app, introduction of ERP system, appointment of quality control team, alteration in prices of products, etc. We hope to transform the losses into huge profits and upliftment of the startup to capture a huge market share.
Attached File Details
Comments
Dr Saroj Kumar Dutta
case understanding is correct, and well defined, You did a fair job Ayushi. Just a small suggestion that a it could have been much better from a leader's perspective. Good Luck!
Pankaj Narang
Good Case study but we Can have some basic things like Managing costing which is one way to increase profits Also need to have product champions SBU champ who will further guide team in deliverying increase sales and maintain satisfaction level Also to maintain cost and to produce bett er result increase mouth publicity Also team co operation can increase with some team building activities
Participant
Aayushi Jakhar
International School of Management and Research
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