Distribution Model In A FMCG Company

Hi,
I am associated with a Group of Companies as the Chief Operating Officer which is recently spreading it's wing in LED Manufacturing & Marketing. I will be glad if you please let me know how can we form the distribution model among manufacturing unit, dealers & distributors. There are several models on which such FMCG market works. Please let me know which model will be most applicable to us having one manufacturing unit & a cross state distribution of the same.
Regards,
Gargi Chakraborty

Dear Ms Gargi Chakraborty,

This forum is for HR professionals and issues discussed are related to HR. Your question is related to distribution and logistics. Incidentally I conduct the training in the field of Supply Chain Management (SCM) hence am little bit familiar with the subject.

You could have given basic information like existing product that you manufacture, your existing model of distribution, whether you have warehouses anywhere in the country, what synergy can be developed while distributing existing product etc. Secondly, LED products have life cycle of 1-2 years hence these cannot be called as FMCG per se.

At this stage, have you thought of outsourcing distribution? There are so many players in the market like Philips, Surya bulbs, Syska etc. How do they manage their downstream SCM? Above all, your product will have its pull because of marketing. Which part of India will you market your product? All over India, or will you restrict your marketing to specific state in the beginning and then spread to other states over a period of time? Therefore, your Supply Chain has to be integrated with your marketing plan.

There are so many issues related to your post. You may discuss these issues with some Logistics consultant.

Thanks,

Dinesh Divekar

Dear Sir,
First of all I would like to thank you for responding to my query which is not exactly a HR related query.
I would like to inform you that we are a group of companies having wings in real estate construction and marketing, insurance distribution, sports and travel&tourism. We are in a process to initiate LED bulb Manufacturing unit and warehouse. But as far as distribution is concerned, initially we will be outsourcing it.
In this regards, I would request you to suggest few SCM models through which we can work.
Regards,
Gargi Chakraborty