FMCG Industries


fmcgFMCG is marked by fast moving or highly saleable consumer goods. It is most complex yet professionally handled sector of industry accompanying vast Supply Chain activities and restricting its operation even for a single day piles up enormous losses. Pre sales activities like brand promotion is imperative under highly competitive market. Maintaining customer loyalty and brand value by constant value additions are mandatory. Keeping Supply Chain management under strict discipline is paramount and customer complaint must be addressed before they get escalate to provide handle to competitors.

Pre sales caters to creation of consumer base by awareness campaign about a product, constantly expanding this base through knowledge about its utility.

Challenges :

  • Availability of Product Brochure in electronic form is required as it is hassle free and easily sharable over computer devices.
  • Up-to-date Sales Schemes and Promotion detail to sales force is required for catering market growth and attracting even the fence-sitter and gain advantage in competition. But popular legacy mechanism either limits the timely flow of information.
  • Sales Promotion Event generates data which depicts the market sentiments about new product and provides important inputs to management decision. Using manual sheets to collect and share this data adds to human error and delay and some critical management decision may go wrong
  • Competitive Market Analysis is required to stay ahead of others under forces that drive the market.

FMCG sales covers getting orders from retailers & distributors and supplying products in time. Since FMCG products cater to necessity and even luxury for household, they need to be made available in time and in required quantity.

challenges :

  • Inventory Management is quite difficult though it plays critical role to ensure availability of products in time. Stock mismanagement not only causes loss of sales but also loss of brand value. Over stocking may add to expiry of shelf life. Under stocking is equally harmful. It create situation of product denial.
  • Lack of demand forecast forces high investment to maintains extra stock to cater sudden surge in demand which may backfire.
  • Check on Pilferage / Loss / Damages of Goods is not maintainable by manual system. This is must to contain losses and utilize the funds for good use.
  • Order Taking in Real Time is required which is normally not possible by manual DSR sheets. Chances to error remain high. Further the consolidation of orders to plan the inventory and dispatches takes long time impacting deliveries.
  • In time Order Fulfilment is difficult though it is must to maintain brand value in the market or else consumer may rush to competitor causing loss of business.
  • High Admin Cost is required to ensure speed and accuracy at each level but is adverse to profitability. If administration is weak, losses are inevitable.
  • Efficient field staff management is required to control operational costs. Daily record of actions of field staff is not achievable by existing mechanisms. ROI on costly field staff remain obscure.
  • Damage / Expiry / Pilferage Check is not easy are normally the reports are based on manual sheets and hence prone to errors.
  • Supply Chain Management is required for clear visibility in Real time about the stock movement and plan resources for timely deliveries and optimised operations.

Challenges :

  • Customer Help Desk: Resolving Customer complaints are essential to maintain customer base as one disgruntled customer can drift away many more. Mobile App based help desk is feasible by consumers’ actually entering detail over the mobile to settle an issue.
  • Outstanding Payment status is difficult to know. As a result the defaulter may go scot free impacting cash flow. If unchecked for long, it may spiral to huge losses or force even the business shutdown.
  • Information Transparency is required to know the fallouts due to business deficiencies and create improvement channel. This is possible only through real time and accurate flow of information within and across the boundaries of various stages under FMCG business.