COMPANY BASED RESEACH PROJECT

SURYA ROSHNI LTD.

Presented by :
Hansa Sinha 19198
Raunak Raj 19219
Aditi Jain 19245
Heeba Naaz 19262
Kriti Bansal 19265

2/12/2020 1
 CONTENT

• Introduction
• Supply Chain Management of the company
• Innovative and Best practices being used by the company
• Strength areas in SCM of the company
• Weaknesses in SCM
• Comparison with Havells
• Suggestions for improvement

2/12/2020 2
 INTRODUCTION

• Surya Roshni Ltd. is one of India’s leading

consumer electrical companies present in the
Electrical Consumer Durables and Lighting
segments.
• Surya Roshni Limited (SRL) founded in 1973
started with its steel division and it started its
lighting division later
• It manufactures steel pipe products for various
industries

2/12/2020 3
• It manufactures and markets a wide range of consumer products ranging from
i. Surya LED lamp
ii. LED batten
iii. LED downlighter
iv. LED panel light
v. LED bulb
vi. LED ceiling lights
vii. LED ceiling downlights
in the Electrical Consumer Durable(ECD) segment, and the full range of Lighting
products.

• Company is a market leader in Steel and Lighting segments

2/12/2020 4
Steel Pipes &
Strips
Segment

GI ERW – Sectio API & Spiral Cold

Black n Pipes Pipes Rolled
Pipes
Strips

Lighting &
Consumer
Durable
Segment

LED Convention Home

LED Fan
Street al Lighting Applianc
Lamps & s
Battens Lights es
2/12/2020 5
 REVENUE SPLIT FY 2018-19
Steel pipes & strips Lighting & Consumer Durables
5%
16%
12% 23%
Round pipe
LED Lighting
Section pipe
API & sprial pipe Conventional
GI pipe Lighting
24%
CR Sheet 60% Fans &
17% Appliances
32% Others

11%

Lighting &
Particulars Steel Pipes &
Consumer Total
(Rs. in Strips
Durables
million) Segment
Segment
Revenue 44,267 15,534 59,750
% Share 74% 26% 100%
2/12/2020 6
 SUPPLY CHAIN MANAGEMENT
Customer (Institutional/
Manufacturing units
Industrial)
of SRL(Lighting-
Kashipur,Steel-Malanpur)
Depots( For customized
products)

Local (Inter, Intra)/Import Ghaziabad Hub (Trading)

of Raw Material

Distributor
Finished Goods SRL Branches
Raw Material (Various States)
2/12/2020 7
 Corporate office - Delhi

Steel Pipe & Strips Plants

o Bahadurgarh (Haryana)
o Malanpur, Gwalior (M.P.)
o Hindupur (A.P.)
o Anjar, Kutch (Gujarat)

Lighting Plants
o Kashipur (Uttarakhand)
o Malanpur, Gwalior (M.P.)

R &D Center (STIC)- Noida

2/12/2020 8
 First Supply Place of supply
Vendor Malanpur
invoice
First supply:
invoice Principal place of business
Delivery Second
of goods Supply of recipient i.e. Malanpur

Kashipur Second supply:

Where delivery terminates
i.e. Kashipur

2/12/2020 9
 STRENGTHS IN SCM
• Inventory carrying cost reduction
• Lesser instances of line stoppage, helped in increased production and lot of
savings in the labour cost.
• Manpower saving which resulted from automation across supply chain, store and
planning departments.
• Real time information of truck entry, acknowledgement and disparency if any
and truck exit.
• There were no inventory norms. The material will be available as per advance
time
• Performance of yesterday and requirements of tomorrow can be monitored.
• On the distribution side, distribution network was again strengthened with the
addition of non-metro dealerships

2/12/2020 10
 WEAKNESS IN SCM
• Have big gap between Cubic capacities of vehicles
• Spare parts are too costly
• Less promotion
• Labour relations problems
• Lack of recycling scrap
• Unable to fulfil the demand of some regions
• Too much dependence on few models

2/12/2020 11
 BEST & INNOVATIVE PRACTICES

Distribution
• The company leverages the benefits of a strong and extensive pan india dealers and
retailers network, with more than 2,50,000 retailers.
• Primary network is supported by a strong secondary sales
• Leverage and strengthen the distribution in e- commerce

Locational advantage
• The strategically located manufacturing facilities play a key role in reaching out to its
end customers across all the regions of our country
• Plant is in proximity with premium market of south india
• Proximity to major kandla and mundra ports gives strategic advantage in exports and
imports

2/12/2020 12
 BEST & INNOVATIVE PRACTICES
• Backward integration process –
 Surya’s LED product basket comprises of products manufactured in-house, thereby
adding credibility to the brand

 The LEDs manufactured are energy-efficient with extremely lower maintenance cost,
high brightness, soothing light effect, high-power factor, wide operating voltage
range, operation in extreme temperatures- which ensure energy savings

 Automatic head assembly machines developed in house by competent team members

with an innovative approach. It is the most production friendly and deliver the best
quality of products.

2/12/2020 13
 BEST & INNOVATIVE PRACTICES

• World class manufacturing infrastructure - The group, manufactures quality LED

product at its fully integrated plants in Kashipur (Uttarakhand) and Gwalior
(Madhya Pradesh), supported by Surya Technology & Innovation Centre (STIC) at
Noida – an advanced state-of-the-art lighting laboratory and research centre with
specific focus on LED.

• Continuous customer feedback - The controlling takes place during manufacturing,

which continuously monitors the quality of each and every product. The company
keeps on getting customer feedback constantly and accordingly further
improvements are made.

2/12/2020 14
 HAVELLS INDIA PVT LTD SCM

• Havells India Limited is a Fast Moving Electrical Goods (FMEG)

Company established in 1958, with an extremely strong global
presence.

• The company has products ranging from home and kitchen

appliances, lighting for domestic, commercial and industrial
applications, LED lighting, fans,, water heaters, industrial and
domestic cables and wires etc.

2/12/2020 15
 SCM OF SURYA ROSHNI LTD. Vs HAVELLS

Identification of critical suppliers

• Worked with 1,179 tier-1 suppliers
• 320 have been identified to be critical to their operations so by regularly
analyzing they optimize the supply chain spend in order to reduce cost

Vendor Management
• They have proper evaluation process to asses Suppliers. On the basis of
Quality, Cost, Delivery and Service level
• As after sales service Havells offer doorstep service to its customers in
over 400 districts across the country. Adding to their convenience, having
Call Centre operates in nine different regional languages

2/12/2020 16
 WAREHOUSING & LOGISTICS

• It facilitates faster and accurate picking and delivery of order through

trained manpower.

• Closing the order to delivery cycle through EPOD(electronic proof of

delivery)

• Havells have partnered with new-age logistic service providers for

reliable, speedy and error free delivery DHL Smart trucking, Blue dart
etc.

2/12/2020 17
 SUGGESTION FOR IMPROVEMENT
• Overcome from there weakness which is

i. Expand there business in that area where they don’t reach

ii. Build rapport between labour and company
iii. Don’t depend on few models
iv. Promote their business through advertisement
v. Reduce gap between Cubic capacities of vehicles

• Increase the Supply chain’s visibility

• Assess the Training program
• They should provide door step delivery.
• Total Quality Management to improve product quality and recycle and
reuse our waste materials
2/12/2020 18
2/12/2020 19