Jaipuria Institute of Management,

Vineet Khand, Gomti Nagar

Lucknow – 226 010

Academic Year 2019-20

Batch 2018-20
Trimester 4th
Programme PGDM
Name of Course SUPPLY CHAIN MANAGEMENT
Section A
Name of Faculty Prof. SAURABH TIWARI

Nature of submission PROJECT REPORT

(Assignment / Project Report)
Topic of Assignment / Project SUPPLY CHAIN OF EVENT MANAGEMENT
COMAPNY
Deadline for submission 24-09-2019

Sl. Name of Student Enrollment No. Signature

No.
1 Akash Agarwal JL18PG016

2 Sanchit Mittal JL18PG120

3 Ujjwala Garg JL18PG171
4 Aishwarya sharma JL18PG0
5 Alisha rai JL18PG

Date of receiving at PMC Signature of PMC staff

INTRODUCTION- ABOUT GLORIA

Gloria, Lucknow's pioneering and most loved ice cream, launched their new range of
flavors for 2013. The new range of flavors Includes American nuts, Strawberry Currant,
King Alphanso Mango, Coffee Fudge Almond, Fruit Overload , Banana Caramel etc.
Speaking on the launch, S.K. Bhalla, CEO, Gloria Ice cream said, "Gloria Ice cream
have been cherished by generations since years and we constantly try to innovate in the
segment -be it a flavors of the month or by introducing sundaes with new range we have
attempt to provide our customers with new innovative products. Gloria ensures that the
products are manufactured under strict quality control and by using best ingredients for
its product which benchmarked to international standards. Gloria ice cream is produced
under absolutely hygiene condition by using the fresh milk, creams and fruits.
Commitment to taste, quality and service as per Gloria in the top slot with other
multinational companies.
Gloria offers paste of real fruit in new taste. With the Gloria no sugar added range, ice
cream lovers can enjoy no sugar added range of frozen food in the same taste in a 33 %
less fat, 100% sugar free no sugar added ice cream is ideal for all adults. Gloria ice
cream can now be enjoyed by people of all age groups as we are now offering a healthier
choice and new flavors. Living up to the commitment of "Thandi Meethi Khusiyan".
Knowing children's love for ice cream, Gloria is also introducing Scholar's Award
program which will be revert all student scoring 90 % and above with a free ice cream
sundae.
Gloria ice cream were the first to receive ISO 9001 : 2008 certificate in the ice cream
industries in Lucknow. Gloria is also the proud recipient of four medals in different
categories The Great Indian Ice Cream Competition organized by Indian dairy
associates. The ice cream at Gloria are made of pure milk and are 100% vegetarian.
Gloria Ice cream Parlour introduced in 2002 was one of the Lucknow's ice cream parlors
chain, which made ice cream eating a ritual after dinner. With signature flavors like
butterscotch, Russian cocktail, Chip Chocolate, Rum Rasin and many more, the
customers are hard pressed to chose a favorite. Gloria's Bull's eye, which evokes fond
memories of school and college of Lucknow wites, is so popular that loyalists have time
and again suggested that they get it patent! Gloria also has tradition of launching a new
flavors every month.
Gloria Ice Cream has a long list of its products which consists of Bars, Cups, Novelties,
Kulfis, 500 ml Bricks, 1 liter packs and 4 liters pack of numerous flavors. The products
are available in almost all the prestigious hotels, restaurant, clubs and institutions.
If you are too tired and don't want to go for the ice cream or unexpected guests arrived
for dinner or late night at the office and want to have ice cream, Gloria now offers free
home delivery now, you can enjoy quality ice cream in the comfort of your own home
and ordering your home delivery is easier than ever. Simply call. Ice cream delivered
straight to your door on time every time.

OFFERINGS AND AMBIENCE AT GLORIA ICE CREAMS

When visiting Gloria Ice Creams, customers are in for a delightful experience. The ice-cream
parlor presents one with an extensive range of ice-cold delights in a myriad of flavors to choose
from. The menu is categorized into Regular Flavors, Special Flavors, Real Fruit Ice-creams,
Sorbet, Special Faluda, Stick Kulfi, lollies, cups (50ML, 100ML), Choco bar, and cornetto, repel
cups, cones, family pack, and combo pack. All the offerings are prepared using the finest quality
of raw materials and ingredients. The use of fresh fruits in making the ice-creams adds a unique
taste. Kuch Nahin Sundae, California Mania scoop, Red Grape Sorbet, Black Forest Ice Cream
Cake, Belgian Ice Cream Cake, Mango Stick Kulfi, Punjabi Special Stone Sundae and Special
Cassata are some of the most appreciated menu items that are highly recommended by patrons.
The air-conditioned venue is neatly maintained and has glass displays containing the different
flavors. The staff here is polite in their interactions and offer prompt service.

OBJECTIVE:

This part of the project aims at checking the interior and exterior visibility of Gloria in the stores,
the product differentiation of Gloria and to observe & understand the order-supply chain, trading
schemes and retailers’ grievances. The study was aimed to analyze the overall scenario of the
manufacturing unit and to determine its various underlined features related to supple chains.
SUPPLY CHAIN

The range of products also adds complexity to manufacturing and distribution. Since the product
offerings includes many variants which is necessary to sustain in the market. Besides the
variants, various SKUs are also being needed like the company offers in 50 ml, 100 ml cups,
bars, family 1 litre packs, bulk packs, etc.

Transport to deep-freeze storage

The food logistics companies ensure that the ice cream is transported in strict adherence to the
cold chain to one of the numerous deep-freeze storage facilities, which in turn is responsible for
further transport. It is important that the temperature of frozen foodstuffs does not exceed -18
degrees Celsius at all times in the transport, as an uninterrupted cold chain guarantees top
quality. Trucks are cooled down before loading to ensure that the ice cream always has the right
temperature during transport.

Storage
After the transport, the boxes are stored in distribution warehouses for frozen goods at
temperatures between -21 and -24 degrees Celsius where optimum conditions are maintained for
the ice cream at all times. The ambient temperature is permanently monitored by special sensors.
Subsequently, the ice cream is prepared for further transport.

Transport to consumer
Particular challenges are posed by the interfaces in the supply chain, especially while loading
goods. The refrigerated vehicle is cooled down before loading. Due to the fact that the ice cream
has already been stored between -21 and -24 degrees Celsius, a temperature reserve is created. It
is also important that the trailers are loaded at door systems which are tightly sealed and largely
free of thermal bridges.

During the transport, professional drivers always keep an eye on the temperature. Special
temperature sensors continuously document the temperature in the trailer.
Delivery of goods to the retailers is carried out in a similar manner to the deep-freeze warehouse.
Unloading trucks as quickly as possible is essential so that the ice cream can be stored in the
deep-freeze room immediately. Only then is the ice cream stocked in the freezer cabinets at the
retailers and is made available to the consumers.

Firms involved:-

There are various competitors who are involved in the company and there are various firms or
companies or people involved in the process of supply chain management which is used in the
supply chain process of the gianis ice cream as these process help the company in building
relationship with the consumer and helping them in doing good work in the market. Those firm
are:-

Supplier:-

Suppliers are the people who transfer the products from one place to another or suppliers are also
the people who give raw material, machines, equipment’s to the manufacturer or to the other
retailers to sell the products. The supplier of raw material and machinery of Giani’s ice cream is
Italy that is they get their raw material and machinery to produce products for the consumer so as
they could give best of their products to the consumer and provide best quality of product to the
consumer and sell god quality product in the market.

Caring and forwarding agents:-

There are various C and F agents who work for the company as the company have opened up
various outlets which are present all over the city and also in suburbs of the city to serve the
consumer. The agents pick up the product from the gianis ice cream factory and then transfer the
products to the outlets through which the products are then sold to the consumer. The carrying
agent carry’s product from one factory and gives it to the forwarding agent who forwards the
product to the distributor or to the outlet owner or the franchise of the company which the sells
the product to the consumer.
Transporter:-

Transporter is one of the important person in the company as the transport facility is needed in
the company to transfer the products from one place to another so this facility is needed by the
company. The company mostly outsource this facility as the company does that they could use
their money and mind in other processing facilities becase outsourcing this facility saves time
and the ice cream is delivered on time to the outlets and reaches consumer as fast as it could.

Middle man:-

There are various middle man in the industry for a company in the ice cream business there are
middle man but the gianis ice cream just kept only one middle man at one time those are the
outlet owners or the franchisers who sell the ice cream directly to the consumer, which reduces
their cost of ice cream as they transfer the ice cream from the factory to the outlet directly which
is owned by them or has given as franchises to the people of different places.

Consumer:-

Consumer is the biggest firm involved in the supply chain process because the consumer is the
person who has to decide whether the product is good or not or should the consumer continue
with the same product or should shift towards the other product. The consumer is the only person
who has to decide that the ice cream he is eating is good and should be continued.

Risks involved in the supply chain process:-

There are few risks which are involved in the supply chain process which should be minimized
so as the process of supply chain goes smoothly.

Environmental factors:-

There are certain environment factors like legal dealings taxes etc. Which the company or the ice
cream has to handle and also includes in the cost of the product they are selling and keep the
price of the product so low that the product they are trying to sell comes at such a cost that
consumer is able to buy that product and is suitable to the pocket of the consumer.
Industry risks:-

There are industry risks also that is in the ice cream business if a close substitute or a close
competitor comes up with the same product with less value and same or a new quality the
consumer would swing itself towards that kind of product or a new product is launched in the
market which is better than the previous product then the consumer would love to go towards the
new product.

To minimize the risk which the company gianis face they keep inventing new kind of products in
the market and keep looking and seeking towards new tastes and flavours for the consumer so as
consumer remains attracted towards the outlet or towards the product or company.

Organisational risk:-

Organisational risk is the risk which means the cultural risk which is the attitude risk which is the
management risk this risk occurs when the consumer is not willing to buy the product and the
company starts retaliating its product from the market that is the culture the attitude to sells the
product falls down then the organisation s gathered and is made to do the work in suc a way that
the organisation and management goes in a similar way and is moved in a systematic manner.

Domain specific risks:-

The strategic and planning issues which create chaos in the strategic and the planning process of
the company and may have high risks involved in the long run and could do well r may be not in
the long run and are high risk taking. The company managers to avoid such kind of risk in the
market remain ready for any kind of consequences and by these they remain free from any kind
of risk they are willing to take.

Risk by decision makers:-

The risk which is done by decision makers that is the risk which the decision makers take and
want to create their monopoly in the market is one of the reasons of high risks a anyone wrong
decision could lead to loss for the company and failure of the product present in the company. To
avoid such kind of risks the decision maker discusses the decision which he or she is going to
take for the company s beneficial for the company or is not beneficial for the company so the
decisions are discussed with the company employees.

TECHNOLOGIAL ADVANCEMENT:-

There are various other reasons why the company like gianis ice cream is progressing the one
reason is new kind of technology used in the factory like they use all the latest equipments they
could use for producing good quality of ice cream in the factory for the consumers as they make
the best ice cream all over with most of the flavours present in the market that is they make best
flavours and consumer choice flavours.

This happens because they make ice creams in the machines they have bought from Italy , that is
they have imported machines from Italy to produce best quality of ice cream and the most
flavoured and natural product ice cream for the consumer so as the consumer likes the ice cream
and comes regularly for it.

The machines used are cnc machines that is they are computerized machines which just takes
orders and does the work according to the work has to be done. There is almost .09% of hand
touch in the ice cream they produce maximum ice creams right now for the consumption of the
consumers.

The company has 20000 litres of cold storage as the company produces 3000 litres ice cream
daily and has a back up of 6000 litres for security purpose as the company has to keep a back up
for more and more consumption.

Company also has its own transport which is fully equipped with cold storage facility for
transporting the ice cream from the factory to various outlets present all across and without any
damage the ice creams are transported from the factory.

There are automatic packing machines which automatically pack the ice creams in the boxes and
seal the boxes so as there is no hand touch or human touch involved in it .
The company also has a fast reading process and a fast looking process of production and all
equipped with the thing that what are the employees in the factory dong and is the work going
smoothly or not.

There are engineers and ice cream experts working on the project of making ice creams with
right and accurate kind of flavour for the consumer and for selling the product in the market.

Part b:-

Launching a similar kind of brand in the ice creams means setting up of the distribution network
for the product so that the product reaches on time to the consumer and there is no delay in
distribution of the product in reaching to the consumer. When the product would reach ob time to
the consumer only then the feed backs would come only then the company would know what
changes should be done to improve the product.

Few points to set up the supply chain network and promotion of the product n the market are:-

Advertising:-

Advertising is one of the platforms through which the product is being introduced in the market
and is shown in the market that the product is also now coming up for competition in the market.

Secondly taste advertising that is opening outlets in the market and making the consumer taste
the brand or the product for consumption and get feedback for the product for improvement and
people or consumer would know what kind of product is now available in the market.

No of middle man:-

Middle man is one of the cases as many middle man included in the field as much the cost of the
product would increase that is increase in people for distribution of the product lesser the profit
to the retailer or the seller and increase in the cost of the product. Basically there is middle man
like distributors, whole sellers, retailers, sub retailers etc.
These middle men are allotted to transfer the product from the company to the consumer. To
improve the cost and profit and reduce the price of the ice cream the middle man should be
reduced so as there should be a cost effective product in the market and the product is consumer
friendly and is suitable to the pocket of the consumer.

Use of technology:-

Use of new and improved kind of technology is also important to get best production and best of
the product for the consumer. The use of new machines and new equipments for production and
selling in the market. The use of CNC machines in the factory for producing good quality
product for consumption.

New technology like refrigeration or can be said as storage of product in the place where the
product is safe. New machines like ice cream making automatic machines for good quality
product.

Outsourcing:-

Outsourcing is one of the reasons which could lead to good networking in the city or country for
getting fast production and delivery of the product to the consumer on time. Like the company
like gianis have outsources their product delivery I would prefer to outsource my product
delivery too, as I could get my products deliver on time and get the feedbacks for the product.

To increase my production and also to increase my product also, as being a new player in the
market I would prefer a skilled person for outsourcing my product like making of ice creams
,transporting, storage etc. to get the best out of it.

Order processing:-

Order processing means giving the order and preparing the order for the consumer this order
processing happens when I would have to organise and manage the system of the factory so that
the order given by the consumer gets best product for consumption. Order processing totally
depends on managing and motivation of the employees to produce best quality product for the
consumer for its consumption in the market and be renowned in the market.
Infrastructure:-

Infrastructure is one of the contents which is important where the production has to take place or
can be said as where the machines where the storage of the product where the technology is to be
used is infrastructure. Good infrastructure or good place to keep the product and produce the
product is important from where the travelling or transportation costs cuts down and also the
product is safe.

Government rules and regulations:-

Government rules and regulations have to followed and is to be kept in mind because the
government have put few taxes and few kind of legal obligations that only these kind of
chemicals can be used for the production has to be used for production of the ice cream for the
consumer.

Legal environment:-

Legal environment describes the taxes and government rules which the company or my company
has to follow for the smooth running of the company and for best quality production for the
consumer so as there are no legal problems faced by the company , like taxes and the chemicals
which have to used should be used only .

By this the government would be happy and there would be smooth functioning of the company
also.

Looking into the logistics functions of the company:-

Logistics functions are also important because due to this the logistic strategy are prepared for
the company like:-

Order processing:-

Order processing as said is done to look that the work done is done properly and is done in a
systematic way there is no problem occurring when the order is being created or prepared, the
order processing is done to see that there is no problem being faced by the company or the
machines which are working for preparing the orders for the consumer.

Inventory management:-

Inventory management means managing the stock which is present in the factory or the
production area and is fully insured and transferred to the consumer when the consumer needs it.
Managing the inventory is most important because the product prepared should not get dumped
up inside the factory or the cold storage and gets utilized at the same time also it is important to
see that the inventory or stock kept inside is being used instead of stored.

Warehousing:-

Warehouse is the most important thing needed when running a factory or running a company
because warehouse is needed to store goods which in surplus and which are made extra for
selling in the ice cream business the cold storage is the storage where the ice creams are stored
and are kept for selling so the company is having a capacity to store the ice cream or to store the
ice cream which is produced extra or which is to be sold.

Transportation:-

Transportation facility is important to transfer goods and services from one place to another or
transfer of goods from the factory to the warehouse or to the consumer is called transportation.
Transportation can be outsourced the company mostly outsource it and at times also they have
their own transport facility to transport the good from warehouse or factory to the other places or
to the outlets present in the city or across the city or country.

Material handling and storage:-

Material handling and storage as said is the most important part because after the production of
the product the second part comes to store the product safely and store it in a secure place so that
the product does not get destroyed and remains safe, my company has its own cold storage for
storing the product and material or the raw material which the company gets or buys is safe and
kept securely so as it protected from the germs and dust particles.
Logistical packing and information system:-

Logistical packing means packing of the product and transferring the product to the outlets which
means that packing the product properly and transporting or transferring the product to the
outlets and to the places where the product is sold.

Information system is the system where the information is transferred from the consumer to the
company and from the employee to the head of the company to know that the company is
running in a systematic manner and to know what the consumer wants out of the company and to
see that what new thing or changes is needed in the company to go further and increase the
company production and increase the growth of the company.

LITERATURE REVIEW:

The Global Ice Cream Market was valued at $68,072 million in 2016, and is projected to reach
$97,301 million by 2023, registering a CAGR of 5.4% from 2017 to 2023. Ice cream is dairy
product, which is sweetened with either natural sugar or artificial sweeteners. Various ice creams
are provided by the companies present in the market, including hard ice cream, soft ice cream,
light ice cream, low-fat ice cream, and others. Summer is an undisputed season for the
consumption of ice cream and related products. The growth of the ice cream industry is driven
by availability of various flavored ice creams. As a result, the ice cream consumers pay a
premium price for these products, which in turn increases the revenue of the market.

Manufacturers are increasing their product range by including functional ingredients, organic
herbal fillings, and exotic flavors in product formulations to meet the changing consumers’
demands. For instance, companies are including other exotic flavors such as tropical fruits,
lemons, and coconuts to cater to changing taste of consumers. In addition, for health-conscious
customers prefer a low-calorie and low-fat ice cream called Skinny Cow. In this way, product
innovation in ice cream products drive growth and development of the market globally. Apart
from this, retail channels such as hypermarkets, supermarkets, convenience stores, discounters,
forecourt retailers, and grocery stores act as global marketing tool that assist in building an
impressive premium image and increase brand exposure of wide variety of ice cream products.
Expansion of these retail channels contributing in the growth of ice cream market size. However,
the health concerns associated with ice creams restrain the ice cream market growth.
Furthermore, rise in demand for innovative products and development of lactose-free ice cream
provide growth opportunities for ice cream market size expansion.

The global ice cream industry is segmented based on sales type and geography. On the basis of
sales type, the ice cream market is categorized into impulse ice cream, take-home ice cream, and
artisanal ice cream. Geographically, the ice cream market is analyzed across North America,
Europe, Asia-Pacific, and LAMEA.

Asia-Pacific is expected to witness the highest growth rate, owing to rise in demand from the
emerging economies such as India, China, Indonesia, and others. Moreover, increased disposable
income and rise in standard of living boost the growth of market. India and China are projected
witness significant growth during in the ice cream market forecast.
Australia is the most attractive market for ice cream manufactures. Ice cream market in Australia
is approximately 10% of the overall country’s food industry. Hypermarkets & supermarkets were
the second leading distribution channel in Australia. However, the hypermarkets & supermarkets
are believed to be the fastest growing distribution channel in the country. Sweden and UK are the
attractive markets for ice cream from European region owing to the growing regional demand.    

KEY BENEFITS FOR ICE CREAM MARKET:

 The report provides an extensive Ice Cream market analysis of the current and
emerging market trends and opportunities.
 The report provides detailed qualitative and quantitative analysis of the current
Ice Cream market trends and future estimations that help evaluate the prevailing
Ice Cream market opportunity.
 A comprehensive analysis of the factors that drive and restrict the growth of the
market is provided.
 An extensive analysis of the market is conducted by following key product
positioning and monitoring the top competitors within the market framework.
The report provides extensive qualitative insights on the potential segments or
regions exhibiting favorable growth.
COMPETITORS
While leading companies own the share of voice, the total number of companies increases
making the market more crowded than ever. With rising health concerns and consumers interest
to try new flavors and exciting products, new companies are popping up on every street corner in
major cities. These companies come with unique selling point such as Organic Ice Cream, All
Natural Ice Cream and free from Ice Cream which is attracting the consumers. Companies are
going a step ahead and providing fresh Ice Cream, more like a coffee machine, which provides
an instant made Ice Cream by selecting your flavor and ingredients. They cater to different tastes
and diets, offering a number of varieties including sugar-free, organic, and alcoholic options.

Major Players
WORK FORCE REQUIREMENT ANALYSIS

Work force requirement in an ice cream manufacturing is highly flexible in the sense that it
highly depends on the season and demands since, demand during the summers are approximately
double to that of received during winters. In order to serve every customer with their desired
demand quantities, sufficient workforce is needed since even a single customer can make
significant effects to the demand.

WORK FORCE MANAGEMENT  

Manufacturing labour 60
Supervisor 1
Additional supervisor 5
Packaging staff 12
Office staff 15
Transportation 12
Helping hand 10
total work force 115

Workforce

Man labour
9% Supervisor
10% additional supervisor
packaging staff
office staff
13% 52% Transportation
Helping hand
10%
4%
1%
BUDGET ANALYSIS OF AN ICE-CREAM MANUFACTURING

. According to our analysis we came to know that the manufacturer has a significant amount of
sales and is swiftly covered a large area of the city. Most of the money is invested in procuring
the raw materials like emulsifiers, flavouring agents, artificial colours, dry fruits (which are way
too costly), packaging material, etc. Apart from this a large chunk is spent on maintaining the
cold storage since ice cream is a perishable good, hence to avoid melting down or spoilage and
pilferage, cold storage having temperatures of about -80 degree Celsius are being used and hence
a large sum needs to be vested in electricity supply.

BUDGET ANALYSIS OF ICE CREAM

FIELDS COST(in lakh)
Raw materials 8
Power supply 5
Backup supply 1
Advertising budget 0.25
MISCELLANEOUS 10
TOTAL 24.25

BUDGET

Raw materials
16% Power supply
Backup supply
10% Advertising Budget
50% Miscellaneous
2%
1% TOTAL

21%
MAJOR SALES ALAYSIS

Along with summer season, festive seasons are also a major chunk of their sales. During these
seasons, mainly the bulk packs or the family packs are sold (packs having large volumes).

MAJOR AREAS OF SALES SHARE OF THE TOTAL

SUMMER SEASONS 56%  
WINTER SEASONS 10%  
MARRIAGES AND FESTIVE 34%  
SEASONS

MAJOR SALES

Summers
34% Winters
Marriage and festive
56%

10%

LIMITATIONS:

 The market study was restricted to a limited area in Lucknow.

 Some of the retailers did not have enough time while attending their customers to provide
us the required information. Many of the retailers do not provide information of the
competitor brands.
 Sampling was conducted in random manner. The data might not be representative of the
entire population.
 The duration of the project was short, so there was less scope for in-depth evaluation.
CONCLUSION:

In the Market study (both primary and secondary) of Ice creams, certain important points were
found. To start with, it is evident that except a few companies in the market, most of them serve
frozen desserts (including key players like Kwality walls and Vadilal) and not ice-creams. As
Gloria Ice creams are actually Ice creams, this can be considered as a big strength of Gloria. The
visibility of Gloria was not up to the mark in many areas, although we did enhance the visibility
during the course of this project but this enhancement shall be done on regular basis. In addition
to the 16.5% margin given to retailers by Gloria that is almost equivalent to that provided by its
competitors, the other trading schemes (like giving free Ice creams of certain amount to the
retailers on an order of certain minimum amount) offered by Gloria were not at par with the
competitors. Gloria shall keep a track of these competitor schemes running in the market and
develop its scheme accordingly. This is important since the retailers prefer to stock and sell Ice-
cream brands which offer them higher net margins. The requirements in the supply chain
network for Ice Creams are different from other packaged food products and Gloria has an
efficient and the largest cold chain network across the country. Gloria has an upper edge on its
competitors on this aspect, but it is important to keep an eye on the distributor’s supply from
distributor’s storage facility to the retailers in order to minimize damaged supply issues. During
my visits to the retail and other outlets selling Gloria Ice cream, the retailers gave feedback that
there is a lack of proper process regarding replacement of damaged products and should be
looked upon by the company. In the Consumer study through a survey in Delhi NCR region, it
was found that the taste and quality of an ice cream are the most critical attributes which affect
the buying decision of consumers.

While on further research on Gloria Ice cream it was found that Gloria’s quality is
at par with the consumers’ expectations whereas its taste needs some improvement to meet the
consumers’ expectations.