sales and distribution - kirloskar brothers ltd
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Sales and Distribution of Kirloskar Brothers Pvt. Ltd.TRANSCRIPT
Mansi Bajpai 04Jagdish Meena 14Nitika Singh 22Pallavi Gupta 23Shiraj Sherasia 39Shruti Gupta 40Preetam Bhattacharya 50
KIRLOSKAR BROTHERS LTDIndia's largest manufacturer and exporter of pumpsYear of Establishment : 1888 Year of Incorporation : 1920
Manufacturing plants and Year of Establishment Kirloskarvadi (1910), Kondhapuri (2001), Shirval (1992) in Maharashtra and Dewas (1962) in Madhya Pradesh• Marketing Network :
Domestic : 16 Regional OfficesAhmedabad, Bangalore, Baroda, Bhubaneshwar, Calcutta, Chennai, Indore,Jaipur, Kochi, Lucknow, Mumbai, Nagpur, New Delhi, Pune, Ranchi,Secunderabad
Overseas : 7 OfficesCambodia, Egypt, Germany, Kenya, Lao PDR, South Africa, United Arab
EmiratesDealers : Domestic 903,
Overseas 342
CORPORATE STRUCTUREI. REGISTERED
OFFICE UDYOG BHAWAN TILAK ROAD PUNE
CORPORATE OFFICE
‘YAMUNA’ BANER PUNE
2. REGIONAL SALES OFFICE
Ahmedabad Bangalore Bhopal Bhubaneshwar
Chennai Jaipur Kochi Kolkata
Lucknow Mumbai Nagpur New Delhi
Pune Ranchi
REGIONAL OFFICE IN PUNE PRABHAT APARTMENT TULSHI BHAGWALE COLONY SAHAKAR NAGAR PARVATI PUNE
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SECTOR WISE OFFICE
Irrigation & Rural Electrification Mr. M.R. Pattewar Tel : 020 24402200 Udyog Bhavan, Tilak Road,
Pune – 411 002, (India) Email : [email protected] After Sales Service Corporate Global Marketing “Chintan”, Mukund Nagar,
Pune – 411 0037, (India) Mr. Ragunathan Kannan Tel : 020
24402143 Email : [email protected] 4
DEALER NETWORK Andhra Pradesh Punjab New Delhi Arunachal Pradesh Jharkhand Orissa Assam Karnataka Jammu & Kashmir Bihar Kerala
•Rajasthan •Chattisgarh •Madhya Pradesh •Tamilnadu• Gujarat •Maharashtra •Tripura •Haryana• Manipur •Uttar Pradesh •Himachal Pradesh •Meghalay •West Bengal Goa
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STRATEGIC BUSINESS GROUPS (SBUS)PEPBGProjects & Engineered Pumps Buiness Group,Pune & Kirloskarvadi
ADPBGAgricultural &Domestic PumpsBusiness Group,Dewas and Shirval
IPBGIndustrial PumpsBusiness Group,Kirloskarvadi
VBGValves Business,Group, Kondapuri
ACPBGAnti CorrosionProducts BusinessGroup, Kirloskarvadi
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DISTRIBUTION SECTOR
AGRICULTURE DOMESTIC INDUSTRIAL
Growth Potential: HighMargins: ModerateCash Flow: Good
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AGRICULTURAL SECTOR: PRODUCT RANGE
Monobloc Domestic PumpsDelivery size up to 20 mmCapacity up to 2 m3/hr.Head up to 24 meters
End Suction Pumps Type- CEDelivery size : up to 125 mmCapacity : up to 660 m3/hr.Head up to 100 meters
End Suction Pumps Type- DB/DBHSDelivery size : up to 300 mmCapacity : up to 1900 m3/hr.Head up to 100 meters
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MANUFACTURING PLANTS
Kirloskarvadi PlantEnd Suction PumpsDewas Plant Monobloc & 6”, 8”, 10” SubmersiblesShirval Plant4” Submersible PumpsKondhapuri PlantValves 9
KEY STRENGTHS
Human Resources Total Employees 2600 Engineers 556 Vendors Over 500 Dealers 903
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INSIGHT INTO BUSINESS
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INSIGHT INTO BUSINESS
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SECTORAL SPLIT OF AGRICULTURAL & DOMESTIC PUMPS
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SALES AND DISTRIBUTION NETWORK
Manufacturing Unit
Godown
Dealers
Industrial Customers
Agricultural Customers
Farmers
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SALES AND DISTRIBUTION NETWORK
Availability of Raw Material
Ancillary Units
Tullu PumpsDomestic Use Pumps and
Other Accessories like nuts, bolts etc
Self Manufactured
Impellers, Motors and various other bigger
parts.
Outsourcing
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DEVIATIONS IN THE S & D NETWORK
In certain cases the retailer is also part of the distribution network.
Retailers are generally not a part of the distribution network because farmers want reliability hence they procure the pumps from the dealers.
Only the small pumps are brought from the retailers.
Retailer Farmer
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INVENTORY MAINTAINED BY DEALERS
Small Dealers 10 lakhs to 20 lakhs Medium Dealers 50 lakhs to 60 lakhs Large Dealers 1 crore to 2 crore
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TERMS OF TRADE
1. Payment TermsKBPL has adopted different payment terms for
its various dealers based on their creditability.
Old Dealers 30 days Credit Period
Credible Dealers Payment by 15 - 45 days post dated cheque
New Dealers 20% of the purchase order amount to be paid in advance.
Dispatch of the order after advance payment.18
Cost of the Pump includes Basic Price of the Pump Excise duty @ 8.24% Taxes
Sales Tax VAT
Freight Labour
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INCENTIVES TO THE DEALERS
Discounts to the Dealers are directly proportional to the volume sold.
Minimum Order< 2 Lakhs (No Incentives)> 2 Lakhs (Incentives)4 Lakhs (27.5 % discount)10 Lakhs ( 35% discount)
No Cash Incentives Tour Packages worth Rs. 20,000-40,000
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CONTD…
Cash Incentives given in situations were the company wants to increase its sales manifold, in situations were the demand for the pumps decreases.
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TERMS OF TRADE
2. Delivery PeriodKBPL has adopted different delivery period for
its various products. Non Standard Pumps
60 to 365 days
Standard Pumps 30 days
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PROFIT MARGINS
Company 30%
Dealers 8-10% If Retailers are involved in the chain less profit margins
to the dealers Retailers
3.5-4%
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TERMS OF TRADE
3. Transportation
DealerGodown
Manufacturing Unit
Three Wheelers
Small Trucks
Depending on the Area to cater and the size of the Pump to be transported
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Cost of Transportation beared by the Dealer Some of the famous transporters catering the
dealers (Ludhiana Zone Dealer) Patel Roadways Associates Roadways Goods Carrier of India
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POST SALES SERVICES
WARRANTY CLAUSE : In 99.9 % cases no defect is there still in case of any manufacturing defect the company provides services to the customers
SPARES SALES : Company provides the necessary information and repairs regarding the spares of the pumps to the Industrial Customer in cases of maintenance and repairs.
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REAPAIR AND MAINTENECE IN CASE OF AGRICULTURAL CUSTOMERS :
Company does not deal directly with the individual Agricultural customers(farmers), in case for need of maintenance or repairs farmer has to contact the local retailer for the services
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DAMAGES Types Manufacturing Defects
Company provides replacement of the defective unit. Damages during Transit
Covered under Insurance SchemeInsurance Company Inspectors inspects the damages and reports to the Company regarding the same.
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IT IN SALES AND DISTRIBUTION
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ERP SOFTWARES USED BY KBL :
SAP
THANK YOU
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