Team Members: Faculty:Abhimanyu Kr. Singh Prof.P.C.MehraDeeptodip SenSam MatthewSaurav AnandShrish SinghSudhanshu Kumar
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Contents
• Introduction• The product• The company• Major customers
• Scope of the project• Distribution Channel for OEM: (For New
Customer)• Distribution channel for the authorised service
centre• Distribution channel for the whole sale dealers• Sales Hierarchy• Points of improvement• Annexure
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
The Product-Brake system & some of its major components
Components of a brake system
Brake chamberAir dryer
Compressor
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
• WABCO-TVS (INDIA) Limited (ex Sundaram-Clayton Limited, established in 1962) is the leading provider for air brake actuation systems for commercial vehicles
• Joint venture between TVS Group and WABCO Holdings Inc.of USA.
• Pioneer in air-assisted and air brake systems for commercial vehicles in India
• It has 85% share in the OE (Original Equipment) segment and greater than 75% share in the after-market
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Major Customers:
Distribution Channel followed to serve the customer
1) Directly to OEM’s 2) Through its whole sale dealers 3) Through authorised service centres across the country
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Scope of the project
• To study :– Distribution channel for the OEM’s– Distribution channel for the whole sale dealers– Distribution channel for the authorised service
centre• To address the major challenges faced by the
company due to its competitor and spurious parts. • To suggest if any to modify the distribution system
in order to fight these challenges and bridge the gap between the ideal and the existing channel
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Distribution Channel for OEM
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Contd….
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
OEM Salesforce structure
North Zone East Zone West Zone South Zone
New Delhi Kolkata (WB) Mumbai (MH) Chennai (TN)
Alwar
(Rajasthan) Cuttack (Orissa)
Ahemdabad
(Gujarat)
Bangaluru
(Karnataka)
Jaipur
(Rajasthan) Guwahati (Assam) Indore (MP) Hosur (TN)
Kanpur(UP)
Jamshedpur
(Jharkhand) Nagpur (MH Kochi (Kerela)
Lucknow (UP) Pune (MH) Madurai (TN)
Jalandhar
(Punjab) Salem (TN)
Secundrabad (AP)
Vijaiwada (AP)
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Organization Chart - OE, Tech Sales & WABCO Business Development
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Distribution channel for the authorised service centre
DistributorTVS – Wabco Chennai, Plant
AMC contracts obtained through Field staff.
Checking of damaged parts
Services of other manufacturers braking system
Field Staff- TVS Wabco
Authorised service Centre
Product Flow
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Annual Maintenance Contracts
Inputs Authorised Service Centre
Fleet Owners, State Transport department , Logistic Companies,etc.
AMC contracts obtained through Field staff.
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Checking of damaged parts
DistributorTVS – Wabco Chennai, Plant
Damaged spare part
Authorised service Centre
If spare part is repairable
Scraped(if not repairable)
Product Flow
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Distribution channel for the whole sale dealers
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Categorization of Products
TVS – WABCO has categorised the products in 2 different categories
1) USP (Unique selling price, Fast Moving) For USP product 9-10 %
2) Non-USP (Slow Moving) Non USP product 15 to 20 % margin
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Key Responsibility Area for Sales force
• Distributor management (takes the order, follow up of orders, payment,)
• Covers major garages• Fleet operators• STU (state transport unit)• To achieve sales target• ASC authorised services centre• CWS company certified workshops• All OEM dealers• Training program• Competitor feedback to HO• Payment follow-up
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Sales Hierarchy
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Points of improvement
• Size of the territory• Size of the sales target • Proximity of distributors• Cartel of distributor• Spurious part control
Thank You !!!!!
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Annexure-1 Customer feedback collection at Kashmere Gate
Rajiv Gandhi Institute of Petroleum Technology-MBA 2008-2010
Project Expense Incurred
Sr No Description Expense Incurred (INR)
1 Transportaion 84
2 Refreshment 106
3 Water and Drinks 64
4 Auto Rickshaw 50
5 Telecalls 43
6 Petrol 175
7 Xerox of Price list 100
Rs. 622
Annexure-2 Expense Incurred in project