Client Status Quo & Problems
• Cost issues at office and warehouse, leading to issues with working capital management
• Low margins due to costs and pricing
• High fixed costs incurred at locations
• Process inefficiencies across departments
• Unable to reduce manpower in various departments even though no of stores are downsized.
• Work duplication
• Inefficient usage and low in-depth awareness about SAP features
PKC Overall Solutions
Process Simplification
• Organization-wide process simplification to improve efficiency
• Development of training areas for both branches and HO to reduce manually induced errors
Process Automation
• Process automation through ERP to reduce staffing costs
• Introduction of Omni-channel software to ease e-commerce listing and order management processes
Role Clarity
• Provision of TTI (employee task master) for each and every employee, leading to clear role awareness
• Transport optimization to improve vehicle efficiency and reduce fuel and maintenance costs
Policy Changes
• Weekly store display reviews to optimize inventory
• Changing of stock transfer schedule to increase logistics efficiency
• Regularized vendor payment schedules across all departments
Process Re-engineering
• Department re-structuring for Accounts and warehouse to improve productivity and streamline processes
• Recruitment process revamp to minimize workload and paperwork
Dept. Specific Solutions – Procurement
ISSUES FACED
• Irregular display matrix (DM) reviews by product management team
• Large amount of unplanned purchase and transfer order requests raised by corporate
• Delayed information from vendors regarding free gifts
• Sudden pullback of inactive and defective stock by warehouse
• Excessive manual processing of dealer schemes and customer schemes
• Multiple formats maintained for new item code creation and edition, based on product class
SOLUTIONS PROVIDED
• Fixed a weekly schedule for DM reviews which are to be done by product managers
• Increased the frequency at which planned orders were to be carried out, such that the need for unplanned orders was reduced
• Fixed policies which assisted in ensuring that there was regular flow of information between vendors and the company
• Set a policy which said that pullbacks were to be done only on a specific day of the week
• Brought a majority of schemes into SAP, which greatly reduced the workload on employees to process these
• Designed a single standardized format for item code creation and edition, which was to be used for all product classes
Dept. Specific Solutions – Accounts
ISSUES FACED
• Inefficiency in purchase and sales accounts due to complexity of existing department structure
• Lack of proper document tracking with regard to documents to be received from branches and warehouse such as GRN, supplier invoice etc.
• BRS process completely manual
• Irregular communication of payment advice to suppliers
• Errors made by branches such as incorrect customer names, address, GSTIN no. etc.
SOLUTIONS PROVIDED
• Department restructuring to maximize efficiency by ensuring that only relevant work was carried out by each team
• Introduction of document tracking feature in SAP to ease process of GRN-invoice conversion
• Auto BRS feature enabled in SAP
• Fixed policies and ensured that payment advice was automatically sent to suppliers at a fixed time each day
• Provided training areas to branches not only to reduce chances of errors, but also to increase their accountability and reduce the need for excessive verification by HO side
Results Achieved
