Operational

Strategies
Presented By:
Aditya Jaswal

Introduction:Reliance Freshis the convenience store

format which forms part of the retail business
ofReliance IndustriesofIndia.
Type
Market
Industry
Retail
Founded
October 30, 2006
Headquarters
Mumbai,India
Key people

Super

Business Model
Store
Medium Store

Small &
(2000-4000 sqft)

Merchandise
Products

Food & FMCG

Investment Per Store

Million

Rs 5 To 6

Catchment Area

2 To 3 Sq Km

Product Range
Fresh Vegetables & Fruits
Staple
Processed Food
Beverages
Personal & Home Care
Dairy Products

Fast Moving Products

Slow Moving Products

Store layout

Entry/Exit

Checkout

Supply Chain of Reliance Fresh

For vegetables approach farmers directly instead
of buying from the mandi. Helps in reducing
wastages and procuring at a reasonable cost.
Better returns to Indian farmers and
manufacturers.
For FMCG and dairy products it is supplied by the
local vendors.
Greater value for the Indian consumers.

Reliance Fresh Supply Chain

Model
Farmers

Farmer own
transportation

Farmers

Farmers

Farmer own transportation

Farmer own transportatio
Collection Point
Reliance Own Logistic
Processing

Reliance Own Logistic

Reliance Own Logistic

Reliance Own Logistic

Reliance Fresh

Reliance Fresh

Reliance Fresh

Operations

Procurement
Process
Apart from vegetables, dairy products
and bakery items are directly procured
from the suppliers based on the prenegotiated terms.
By procuring directly they weed out
middlemen and also the costs attached to
it.
Non-Perishable goods such as FMCg
which have a longer shelf life is procured
centrally by the merchandising

Daily Activities at the Store

Store starts its operations by 5.30 am in the
morning.
Daily indents of fruits, vegetables and dairy
products reach the store by6 am.
The stock is put up on the shelves and is made
ready for the consumers.
Store manager updates the opening stock as
well as updates the price list received on a
daily basis from the head office.
Also updating on the promotion offers
happens.

Inventory Planning
The cycle of replenishment happens on a
daily basis.
Fruits and vegetables are thrown away after
2 days(provided they perish) while FMCG
products are kept till their expiration.
On an average 8% of the food items are
dumped and is accounted as wastage.
Reliance fresh uses SAP software which is
automated and is used to re-order
inventories.

Liquidating Stocks

 Reliance reduces the prices on perishable

products by 50% after 6 pm so that the
stocks get sold and new stocks can be
ordered.
Also for the extra stocks at the store,
reliance advertises in newspapers fofr the
consumers.

Recommendation
s
Some exccess space should be created for billing

Even though there were 4 billing counters, only 2

were operational. The waiting time on a weekday
was almost 10 minutes.

Proper arrangement of merchandise segregated

based on brands which is visually appealing.

Have enough walking space.

Improvement in the quality of fruits and vegetables.

Frequent cleaning of store is required so that to

avoid the dirty look of the store.

Ample parking space.