Chapter One Introduction and Overview of Organization: TH TH

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CHAPTER ONE

INTRODUCTION AND OVERVIEW OF ORGANIZATION

1.1 Introduction

The internship report that I am presenting is of S.K Suppliers which is located at


Bhrikuti Chowk, Gaindakot,Nawalparasi and is the dealer of Unilever Products in
Narayanghat and Gaindakot area. The duration of my internship in this organization
was 8 weeks starting from May 5th till July 8th. Being a student of marketing, the time
that I spent in this organization has broadened my understanding of marketing
concepts and principals in a more enhanced and a closed way. I am very much
thankful to Mr. Santosh Nepal , proprietor of S.K Suppliers for allowing me to
complete my internship from this reputed organization. Similarly I am hugely
indebted to Mr. Rabindra Neupane ,manager of S.K Supplier and Mrs. Bibuta
Neupane , proprietor of R.N Marketing for mentoring and guiding me throughout my
internship period. This report would not have been possible without the help pf Mr.
Sanandan Chaudhary who is supervisor of Start Seller(S.S) Campaign , Unilever
Nepal in Chitwan ,Nawalparasi and Makawanpur area.
This report is a summary about my understanding of working mechanism at S.K
Suppliers and covers the marketing practices and information relating to the
organization such as nature of the organization, products and services offered,
organization structure of S.K Suppliers ,issues identified ,etc.
Upon completion of this internship period , I came to realize the application of
marketing concepts in the real world taught in out classes and got acquainted with the
real world scenario of marketing in my surrounding.
I hope I have covered all my experiences and necessary information and have done
justice to this report.

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1.2 Overview of the organization:
1.2.1 Brief History:

i. Unilever Global:
On any given day about 2-5 billion people use Unilever products to feel good, look good,
be hygienic and get more out of life .
Unilever is a global brand with a range of more than 500 brands of F.M.C.G products.
When consumers reach out for nutritionally balanced food or indulgent ice-creams,
affordable soaps to combat diseases, luxurious shampoos or everyday household care
products , there’s a very good chance that the consumer pickup is one of the product of
Unilever. According to an independent research, 7 out of every 10 households around the
world contain at least one Unilever product, as Unilever comprises of wide range of
consumer friendly products. An interesting fact is that the target audience consists of both
high end purchasing customers who prefer world leading brands such as Hellman’s and
Omo, Lipton, Dove, Lipton, Axe as well as trusted local brands designed to meet the
specific needs of consumer .

Business facts & figures

 €52.7 billion turnover in 2016


 57% of our business is in emerging markets
 13 brands have sales of more than €1 billion a year
 169,000 people work for Unilever
 46% of managers are women
 Over 600 Unilever sites were sending zero non-hazardous waste to landfill
 No.1 FMCG graduate employer of choice in 34 of the 60 countries
 In 2016 Sustainable Living brands grew 40% faster than the rest of the
business

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Following are the products of Unilever Global:

 Food products:
 Annapurna salt and atta
 Bru coffee
 Brooke Bond (3 Roses, Taj Mahal, Taaza, Red Label) tea
 Kissan squashes, ketchups, juices and jams
 Lipton tea
 Knorr soups & meal makers and soupy noodles
 Kwality Wall's frozen dessert
 Modern Bread, ready to eat chapattis and other bakery items(now sold to
Everstone Capital)
 Magnum (ice cream)

 Homecare brands:
 Active Wheel detergent
 Cif Cream Cleaner
 Comfort fabric softeners
 Domex disinfectant/toilet cleaner
 Rin detergents and bleach
 Sunlight detergent and colour care
 Surf Excel detergent and gentle wash
 Vim dishwash
 Magic – Water Saver

 Personal care brands


 Aviance Beauty Solutions
 Axe deodorant and aftershaving lotion and soap
 Lever Ayush Therapy ayurvedic health care and personal care products
 Breeze beauty soap
 Brylcreem hair cream and hair gel
 Clear anti-dandruff hair products
 Clinic Plus shampoo and oil
 Close Up toothpaste
 Dove skin cleansing & hair care range: bar, lotions, creams and anti-perspirant
deodorants.
 Denim shaving products
 Fair & Lovely skin-lightening products
 Hamam soaps

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 Indulekha ayurvedic hair oil
 Lakmé beauty products and salons
 Lifebuoy soaps and handwash range
 Liril 2000 soap
 Lux soap, body wash and deodorant
 Pears soap
 Pepsodent toothpaste
 Pond's talcs and creams
 Rexona soap
 Sunsilk shampoo
 Sure anti-perspirant
 Vaseline petroleum jelly, skin care lotions
 TRESemmé
 TIGI

 Water Purifier Brand


 Pureit Water Purifier

ii. Unilever Nepal:


Unilever-Nepal, a part of the global multinational Unilever organization has its factory at
Basamadi, Makawanpur has expanded its business all over the country. The company has
dealers and sub-dealers (Star-Seller) in its primary territories through which the goods
and products are supplied over different parts of the countries.

iii. Suyash International Pvt Ltd:


Suyash international( Depo Center-3) is the one of the depo of Unilever Nepal and is
responsible for supplying goods to the dealers and sub-dealers of Parsa,
Makwanpur,Chitwan and Nawalparasi dealing in products of Unilever,Nepal. It is
assigned code as DC-3. The chairman of Suyash International is Mr. Vinit Agrawal who
is an IIM-Ahmadabad Graduate.

iv. S.K Suppliers:

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S.K Suppliers is the dealer of Unilever, Nepal and is responsible for the supplying of
Unilever products in Narayanghat and Gaindakot Area. The office is situated at Bhrikuti
Chowk, Gaindakot, Nawalparasi and was established in 2071 B.S and the organization
started its operation from 1st January, 2017. Narayanghat and Bharatpur are the primary
regions that fall under the territory of S.K Suppliers supplying primarily Detes( Detergent
& Soaps). S.K suppliers closely works with sub-dealer R.N Marketing, Gaindakot for
supplying Unilever Products ,both Cosmetics and Detes( Detergent & Soaps) in
Gaindakot region as Gaindakot region falls under the territory of R.N Marketing.
The proprietor of S.K Suppliers is Mr Santosh Nepal who earlier was engaged in teaching
profession for the last 15 years. Despite being an experienced faculty of management and
having teaching experience at Kathmandu and Nawalparasi, he had a deep passion for
starting his own business and subsequently pursued his business ambition after
establishing S.K Suppliers .

v. R.N Marketing :
R.N Marketing is a Sub-Dealer of Unilever Nepal and was established upon the initiation
when Unilever Nepal announced the initiation of Star-Seller Campaign targeting those
rural region where the reach of Dealer was not effective. The Proprietor of R.N
Marketing is Mrs. Bibuta Neupane and Mr. Rabindra Neupane. The office is located at
Congress Chowk, Gaindakot, Nawalparasi.

The materials sent by Suyash International Pvt. Ltd are stored at the office premises of
S.K Suppliers in a big room. A biometric is placed at the entrance of the office to record
the attendance and incoming and outgoing records of employees in the office.

1.2.2 Nature of the organization:

S.K Supplier’s primary function is to supply goods and products manufactured by


Unilever. The organization deals mainly with the Wholesalers, Retailers and other big
and small parties interested in selling and buying of Unilever F.M.C.G goods and
maintain relationships with the concerned parties in the same time manage the employees
and create an healthy working environment. The sales personnel or Daily Sales Reporter
(D.S.R) are assigned respective areas , known as “Beats” on which they have to visit and

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bring as much sales as they can get. Also a specific target is also set for the D.S.R’s .
achieving which makes them eligible for getting the bonus along with the basic salary.
A merchandiser is the person responsible for marketing of the organization’s (Unilever)
products in the market by maintaing the displays, stickers ,sample items and other
marketing instruments in the retail shops, wholesale shops, Departmental and other
outlets. The merchandiser puts displays and other marketing instruments in the shops of
the concerned party based upon the agreement done between the party and the
dealer/company.
An important factor the dealer must make sure is that the D.S.R and other employees are
satisfied with their job and it is the duty of the employer (S.K Supplier) to motivate its
staff from time to time.
Apart from D.S.R and merchandiser ,an authority figure employee known as Territory
Sales Incharge (T.S.I) is assigned by the company ( Unilever Nepal) to the dealer, whose
prime responsibility is to check the work activities of the dealer are either being done as
per the company’s norms and conditions or not. The T.S.I acts as a mediator between the
company and the dealer and has the authority to even terminate the dealer’s contract with
the company ,if any discrepancy occurs. The salary of T.S.I and merchandiser is drawn
by the company ( Unilever Nepal) whereas that of the D.S.R is provided by the dealer
itself.
The dealer makes the order from the respective depo by sending the total amount(money)
to the depo. The depo assigned to S.K Suppliers is Suyash International Pvt Ltd. (D.C-3).
A computer operator is assigned the duty of providing the computerized bill and tax
invoice based on the order received by each D.S.R. This bill is then sent to the retail
,wholesale or departmental stores upon delivery of the products. Normally the delivery is
send upon the next day or sometimes the 2nd day after the order is made.
All the DSR’s are made to report the daily order in a whatsapp group from where the
daily reports are recorded and monitored on a regular basis.

1.2.3 Business volume:

An Initial investment and property requirement for procuring Nepal lever dealership is
cash NRs. 60,00,000 ( in words Sixty lakhs only) and a bank balance of NRs. 80,00,000
(in words Eighty lakhs only). In addition to that the potential dealer needs to have
experience in similar field and must have an positive attitude and enthusiasm.
According to Mr Nepal, the monthly business volume of S.K Suppliers comes to about
Rs 65,00,000 (in words Sixty five lakhs only). An important factor to be noted is that
goods are sent by Suyash International (depo) only when the payment for the ordered

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goods is sent to the bank account of the depo. No credit transaction takes place between
the parties , hence it is one of the reason why retailers and wholesalers too are not allotted
any kind of credit facility by the dealer in the first place. As soon as the goods as
delivered to the respective retail/wholesale outlet, the payment is either made then in
there or a collection person is send to the wholesaler in the nearest date agreed by the
wholesaler and dealer.

1.2.4 Human Resource Management:

S.K Suppliers employ a total of 17 employees. Following are the names of departments
and employess in S.K Suppliers.

Proprietor Mr. Santosh Nepal


Manager Mr. Rabindra Neupane
Accounts Department Ms. Mira Adhikari
Computer Department Mr. Sushil Baruwal
Sales Supervisor Mr. Madan Sharma
 Name of Daily Sales Mr. Bimal Koirala
Reporter(D.S.R) under Sales
Ms. Bimala Gurung
Supervisor
Ms. Binu Shrestha
Ms. Sapana Parajuli
Ms. Bhawani Sharma
Mr. Shyam Ghimire
Ms. Sita Kharel
Ms. Gita Gaire

Delivery :
 Driver Mr. Santosh Shrestha and Mr.Pasha

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 Delivery Helper Shrestha
Mr. Sagar Lama
Mr. Sanjay Pariyar

1.2.5 Product and service:

Following are the list of products offered by S.K Suppliers.

Unit per
Product name Cld/Case MRP Cost Per item
Dove Sh IRP 340ml 18 368 301.64
Dove Sh IRP 700ml 12 510 418.03
Dove Sh NOC 340ml 18 368 301.64
Dove Sh NOC 700ml 12 510 418.03
Dove HC HFR 330ml 12 300 245.9
Dove HC Silky 160ml 12 220 180.33
Dove HC HFRES 7.5ml 512 6 4.92
Dove Fresh FW 100gm 72 304 233.85
Dove GO fresh B.LOTN 400ml 12 560 459.02
Dove Bar White 50gm 72 50 43.1
Dove Bar White 100gm 48 95 81.9
Clear Sh AHF 350ml 24 330 300
Clear Sh AHF 700ml 12 615 504.1
Tresemme Sh Keratin 340ml 12 342 280.33
Tresemme HC 200ml S&S 24 274 224.59
Tresemme HC 200ml Keratin 24 326 267.21
Tresemme HC 200ml HFD 24 274 224.59
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Clinic Plus Sh 3.5ml 2400 1 0.83
Clinic Plus Sh champagne 180ml 60 135 117.39
Clinic Plus Sh champagne 340ml 30 210 182.61
Clinic plus Sh CMP 650ml 12 375 307.38
Clinic Plus Sh 5.5ml 960 2 1.65
Sunsilk Sh 3.5ml Black 2400 1 0.83
Sunsilk Sh 350 ml Black 30 260 226.09
Sunsilk SelectbB 350 ml 30 260 226.09

Sunsilk Sh SelectP 7ml 1200 2 1.65


Sunsilk Serpty P 700ml 12 420 365.22
Fair & Lovely 9gm 576 10 8.7
Unit per
Product name Cld/Case MRP Cost Per item
Fair & Lovely 25gm 144 65 56.52
Fair & Lovely 50gm 72 120 104.35
Fair & Lovely FW 50gm 48 88 67.69
Fair & Lovely FW 100 gm 24 176 135.38
Ponds FOAM P.White 100gm 24 200 153.85
Ponds Pink White FW 50gm(Pink) 48 110 84.62
Ponds Pink White FW
100gm(Pink) 24 180 138.46
Ponds Pink White FW 50gm
(Black) 48 120 92.31
Ponds Age Miracle Cell Daycare
25gm 12 480 393.44
Ponds Age Miracle Cell Daycare
50gm 12 730 598.36
Ponds Radiant Night Cream 50gm 12 730 598.36
Ponds White Beauty 25gm 48 120 98.36
Ponds White Beauty 35gm 48 216 177.05
Ponds White Beauty 50gm 12 320 262.3
Axe Deo Blast 150 12 312 278.57
Clinic All Clear Hair oil 75ml 90 50 43.48
Clinic All Clear Hair oil 150ml 60 85 73.91
Close up Red 40 gm 288 22 19.37
Close up Red 80gm 144 45 39.61
Close up Red 150 gm 72 80 70.42
Pepsodent Germicheck(GC) 40gm 288 22 19.37
Pepsodent Germicheck(GC) 80 gm 144 45 39.61
Pepsodent Germicheck(GC) 175
gm 72 85 74.82
Pepsodent Herbal 40gm 288 25 22.01
Pepsodent Herbal 80 gm 144 50 44.01
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Pepsodent Herbal 175 gm 72 95 83.63
Domex TC 500ml 24 115 100.44
Hamam Soap 100gm 144 40 36.36
Lifeboy Active Fresh 85gm 144 25 22.32
Lifeboy Soap Care 85 gm 144 25 22.32
Lifeboy Soap Nature 85 gm 144 25 22.32
Lifeboy Soap Red 85gm 144 24 21.82
Lifeboy Red 100gm 144 28 25.45
Liril 75 gm 144 29 26.36
Lux White 50gm 144 16 14.55

Unit per
Product name Cld/Case MRP Cost Per item
Lux White 100gm 144 32 29.09
Rin Shakti/Shakti Wheel 500gm 60 60 52.4
Rin Shakti/Shakti Wheel 1 kg 30 115 100.44
Rin 3 kg 4 400 349.34
Surf Excel 500gm 32 150 131
Surf Excel 1kg 16 307 268.12
Surf Excel Extra White 500gm 20 88 76.86
Surf Excel Quick Wash 2 kg 6 613 535.37
Vim Bar 95 gm 72 8 6.75
Vim Bar Tub 500 gm 25 75 62.5
Vim Powder 500 gm 80 25 22.73
Wheel Lemon & Jasmine 300gm 60 20 16.42
Wheel Lemon & Jasmine 1kg 25 70 57.47
Wheel Lemon & Orange 300gm 60 20 16.42
Wheel Lemon & Orange 1kg 25 70 57.47
Wheel OK 150gm 100 20 16.67
Wheel OK 200gm 36 30 25

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1.2.6 Organizational Structure:

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M
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a
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fig-1

1.3 Objective of the study:

As the title of my internship report suggest, this report or study focuses primarily on
assessing the general management of an organization dealing with Fast Moving
Consumer Goods. The study revolves around on finding out how does the marketing
channel circulates in an organization dealing with marketing and sales of F.M.C.G
products. S.K Suppliers being an organization performing business related to marketing
and sales of F.M.C.G products have to perform many different operation such as ordering
of products , deployment of resources , motivation of employess, sales and co-ordination

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and finally making profit. Basically the motive behind this study is to know how the
supply chain management works or operates in F.M.C.G organization.
The study focuses on the different departments of S.K Suppliers, its daily routine
operations, strategies and logistics operations ,employees motivation and basically all the
concerned operations done to ensure profitability achievement.

CHAPTER TWO
DEPARTMENT AND SERVICES

2.1 Function of each department

Capital Ownership:
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Mr Santosh Nepal is the sole proprietor of S.K Supplier. He is responsible for all the
operations conducted in the organization. Although there are separate departments in the
organization , Mr Nepal holds the overall responsibility and accountability of the
organization.

Administration
Mr. Rabindra Neupane is responsible for managing the ordering of goods, payment to
parties ,employees orientation, deployment of resources and and manages the working of
overall organization.

Account Department:
Ms. Mira Adhikari is the account head of the organization. She is responsible for
managing the overall accounting activities such as funds management, cash payment to
parties , cash received from parties , employees salary payment, miscellaneous
expenses,etc.
All the tax invoices and bills of exchange such as cheques and other monetary
instruments are kept under her custody for approval.

Computer Department:
Mr. Sushil Baruwal is responsible for computer related operations in the organization.
His primary works include priniting bills given by D.S.R, printing tax invoices for the
concerned parties. The software used by S.K Suppliers is “Wings software”.

Sales Department:
Mr. Madan Sharma is the sales supervisor of S.K Suppliers . All the D.S.R are required
to report to Mr Sharma before going and after coming from concerned market.
He is responsible for managing all the D.S.R’s and merchandiser,as well as intaeracting
with the DSR on a regular basis and motivating them.

Delivery Department:

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Mr Santosh Shrestha and Mr Pasa Shrestha are the drivers and are responsible for
delivery of goods to the concerned parties. They are accompanied by delivery helper who
are Mr. Sagar lama and Mr. Sanjay Pariyar who assist in delivery and cash collection.

2.2 Working Mechanism of the organization:

The day starts with D.S.R and Sales supervisor making meeting before going to the
market. The supervisor gives a daily target to the D.S.R to which he/she tries to achieve
at the end-of-day work. The target is then marked daily on the whiteboard present in the
meeting hall. A whatsapp group is made in which all the D.S.R report their end-of-day
sales report. The account department keeps all the daily transaction in the log book and
handovers the custody of cheques to manager. The manager is responsible for giving the
order to the depo for products to be required in the organization. The delivery personnel
now takes the order to be delivered to the concerned party.

Name of different beats provided to D.S.R and Delivery are as follows:

Baseni
Baseni-2 Lions chowk
Medical Dharma chowk
road
Vidhyut Pulchowk

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road
Vidhyut Putalibazar
road-2
Talim New road-1
Kendra-1
Talim New road-2
Kendra-2
Talim Pokhara buspark
Kendra-3
Belchowk Cancer gate

fig-2

2.2.1 Work flow design


Arrival of D.S.R
at office

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Meeting at office
with supervisor

Group discussion
and daily target
optimisation

Cheques and
other instrument
flow by account

Order payment
and delivery by
depo

Delivery of goods
to concerned
parties

Accounting of
collected fund

Fig-3 Day end with report on


whatspp by D.S.R

2.3 Main Findings:

Following are the main issues identified during the course of my internship:
 Delay in ordering and payment to depo.

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 Untimely delivery to the local market due to which the parties are dissatisfied
from S.K Suppliers.
 High competition from other parties which sometimes make it difficult for the
organization to cope within the existing rates and tarrifs.
 Less motivated employees which hampers the sales trend of the organization.
 Building is still under construction which makes the stored goods prone to decay,
expiry , dirty and theft by walkers.
 Untimely day offs and holidays taken by D.S.R’s make the sales pattern weak.
 Lack of co-ordination among employees.
 Lack of promotional tools and strategies for the existing as well as new products.

CHAPTER –THREE
Conclusion and recommendation:

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3.1 Conclusion:

The 8 weeks of my internship at S.K Suppliers , Gaindakot was a very fruitful


experience to me in terms of learning about F.M.C.G organization. I am very much
obliged to Mr. Santosh Nepal sir for giving me the opportunity to complete my internship
from his reputed organization. I am equally thankful to Mr. Kashiram Sharma and Mr.
Devendra Bhattarai who are the T.S.I and T.S.I ( Star Seller) for guiding throughout my
internship period at S.K Suppliers.
I came to know about the prevalent marketing practices , Supply chain management
(S.C.M) system in an F.M.C.G industry and delivery practices carried out in a marketing
and sales firm. I also got the opportunity to meet with so many new people engaged in the
business of marketing and sales in Narayanghat and Gaindakot which has broadened my
networking circle in the corporate world.
In a nutshell ,the internship period came out to be one of the crucial learning experience
to me.

3.2 Recommendation:

Based on the study, following are my recommendations to S.K Suppliers :

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1. Motivate the employees from time to time to yield better results.
2. Timely ordering to depo ( Suyash International) so that the order from the local
market can be taken timely.
3. Timely delivery to the concerned local parties so that the parties doesn’t get
dissatisfied by the service.
4. Time and again utilization of new promotional strategies by the organization so
that more and more customers can know about the existing as well as the new
products.
5. The building premises should constructed as soon as possible as loss and
destruction of products from expiry,dirt rain,etc can be avoided.

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