Kurlon Case Study

Supply Chain Management

Assignment 1: Kurlon Case Study

Submitted to

Professor Jannat Shah

By

Group 1

Ankit Shukla (1503001)

Manish Singh (1503004)

Rajashri Ghosh (1503010)

Sneh Chandel (1503011)

PGPX 2015-16

On

31/03/2015

Situational Analysis

Kurlon is the largest manufacturer of matresses, pillows and coir mats in India. The mattress product line accounts for 80% of kurlon’s total sales. Their products are used in hospitals, universities, hotels and homes. Kurlon has 65% market share in the branded rubberized coir mattress market. Kurlon has four different brand names, Apsara (non-quilted,cotton cloth covering), Super Delux (quilted,cotton cloth covering), Romantique (quilted, plain viscose cloth covering) and Klassic (quilted, printed viscose cloth covering). In total, there are 126 configerations of the above mentioned products.

Currently, Kurlon has manufacturing facilities at Bangalore and Bhubaneswar. The Bangalore plant caters to the demand of southern, western and northern parts of India. The bhubaneshwar plant caters to the demands from the eastern part.

Kurlon distributes its product through a multi-echelon inventory system. Kurlon has two central warehouses attached to Bangalore and Bhubaneswar plants. These Central warehouses (C.W) are connected to 42 regional distribution centres (R.D.S) by road. FG’s are distributed from regional distribution centre’s to the retailer outlets. FG’s are transported from C.W to R.D.S in lots of 160 or 320 mattresses. It prefers to send them at full load rate contract via ordinary or jumbo trucks. Lead time between C.W and R.D.S varies anywhere from 3 – 10 days.

Kurlon does not have exclusive retailers for selling mattresses. Therefore its goods compete with other branded mattresses. It is due to this reason Kurlon has to ensure that their goods are well stocked at these retailer shops. Orders are placed by these retailers verbally, either by telephone or through a visiting sales...