Operations Management

And FMCG Sector In India

Operations Management

Operations
managementis
an
area
ofmanagementconcernedwithdesigningandcontrolling
the process ofproductionand redesigningbusiness
operationsintheproductionofgoodsorservices.

It involves the responsibility of ensuring thatbusiness

operationsare:

Efficientintermsofusingasfewresources.
Effectiveintermsofmeetingcustomerrequirements.

Recent Trends In Operations

Management
Flexibility
TotalQualityManagement
TimeReduction
WorkerInvolvement
BusinessProcessRe-engineering
JustintimeProduction
ComputerAidedDesign&Manufacturing
EnterpriseResourcePlanning

Introduction To FMCG
FMCGgoodsarepopularlyknownasconsumer
packagedgoods.Itemsinthiscategoryincludeall
consumablespeoplebuyatregularintervals.Themost
commoninthelistaretoiletsoaps,detergents,shampoos,
toothpasteandproductswhichhavelowshelflife.

FMCG in India And Its Characteristics

FourthlargestsectorinIndianeconomy.
EstimatedtogrowfromUS$30billionin2011toUS$74
billionin2018.
TheorganizedFMCGinIndiaisanewconceptandfast
catchingupinurbanandsemi-urbanIndia.

Characteristics
Consumer perspective

Marketers angle

Frequentpurchase.
Lowprice.
Dailyconsumptions.
Lowershelflife.

Highvolume.
Extensivedistributionnetwork.
Highstockturnover.

PESTLE And SWOT Analysis

Application Of Operations
Management In FMCG
Newproductdevelopment.
Lowerpriceandsmallerpacks.
Packagingtechnologicalinnovation.
Introduction of small budget consumer goods to attract
ruralmarkets.
Diversification of the Products (colgate salt, colgate
herbal,colgatesensitive)
Renovationofexistingproductstorespondtochanging
demands(toothpowdertotoothpaste)

Prospects And Future Of

FMCG
Prospects
Market research
Timing
Capacity
Testing
Distribution
Training
Promotion

Future
Evolving Categories
Increasing Globalisation
Decentralization
Focus on Sustainability
Technology

Conceptualization
Exotic / Stylish(Exotic and stylish product designs target emotional buying.
Wrigleys Five chewing gum is an excellent example of an exotic + stylish
design product, whose launch has been reinforced with a communications
image in the line of Apples iPhone.)
Limited edition(Most of the times, limited edition products are variants of a
regular product with a different flavor (in the case of Foods & Beverages),
which are offered through impulse channels. In essence, the question is that
a claim such as limited edition should trigger an impulsive behavior from
the customers. )
Young attitude(Young people and youngsters wannabes are the target
segment for these products, such as Pringles Xtreme. Online cultural
elements are generally integrated into the packaging visuals to reinforce this
youth and fresh image (i.e. Perriers Conversations packaging).)
Retrostyle / Nostalgia(Brands with a large heritage can always be relaunched
with variants recovering its old image but adapted to new times (i.e. kissan
jam rahul dravid jammy add).Some other times, a product can be recovered
and commercialized again with its same image and communication as n
years ago)

Conclusion
Fromalltheaboveinformation'sitisclearthatIndiacanbe

oneofthemostfeasiblemarketforthedevelopmentofthe
FMCGinINDIA.

FMCGscompaniesormarketersmakeconsistentattemptsto
innovate tools and strategies to overcome the challenges the
faceinthebusinessarea.

Thus if planned properly and with the use of new strategies

andtechnologiestheIndianmarketcanbecapturedandagreat
marginofprofitcanbeearnedbytheFMCGcompanies.

Submitted BY:
Shorya Karol
Abhishek Negi
Smriti
Anjali

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