Team Ira

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Gumla visit

Insights
- By enterprise IRA -
1. Learning Observations
2. Project Objectives
3. Marketing

Contents 4. Supply Chain Management


5. Human Resources
Learning Observations
Learning observations
(Marketing)

1.Visuals not proper - According to research conducted by Nielsen, 64% of


consumers are motivated to try new products because of the packaging, and 41% of
these consumers will make repeat purchases because of the packaging.
2. Improper market linkage - Wooden products, fruit jams etc.
3. Medicinal plants available not utilised to fullest potential. Basically, products are
available, but how they are packed and presented over is not appropriate or
properly communicative.
4. Native plants like mango, Amla not utilised to fullest potential.
Learning Observations
(Production)
1. Improper inventory management system- They face a lot of inventory
management issues with respect to existing products like honey and
perishable products.
2. No raw material quality checks
3. They are just beginning to tap into their resource pool efficiently.
4. Warehousing constraints -There are fewer storage facilities available to them.
5. Transportation problem - high costs, the specific issue with glass jars
6. Limited Demand - the demand for the existing agricultural products remains
limited only to their own village and a few villages nearby.
Learning observations
(Human Resources)
1. Vikas Bharti provides training and different skill development
programs.
2. The women do not have enough time to work due to children and
home responsibilities.
3. People have been trained in skills but are unable to use them.
4. They also have constraints due to a lack of funds.
5. Try to enlarge the Human Resource base.
6. Low-cost, easily accessible and easily acceptable technology
Project Objectives
Objectives
Market outreach should be increased
Establish market linkages (More connections in the existing
market)
The supply chain needs to be clarified and narrowed down.
The inventory system needs to be managed
Decide what should be your market: B2B or B2C or both
Improve the quality of existing products (might result in an
increase in price i.e. high profit)
Economically viable and easy technology
Objectives
Cost reduction, if possible
Combine existing resources to make new products, if
possible
Scale up the production
Packaging facility (bottle/pouch)
include more people
proper divisional training
Vocational training in schools
Raw product/semi-finished product sale market
Handicrafts have potential but lack market research.
MARKETING
Visualisations and Planning
Product
Aromatic Agricultural

Medicinal

Aromatic+Agricultural+Medicinal
Visualisations and Planning
Possibilities
Aromatic Agricultural

Innovation Intensity Factor: Aromatic+Agricultural


Visualisations and Planning
Possibilities
Aromatic Medicinal

Aromatic+ Medicinal
Innovation Intensity Factor:
Visualisations and Planning
Demand
Made by community
Weekly market

Export Quality

Made by community, sold in weekly market, Export


Quality
Visualisations and Planning
Demand
Made by community

Export Quality

Made by community,Export Quality


Visualisations and Planning
Demand
Made by community Weekly market

Made by community, sold in weekly market


What can be done?


Existing vs New Product?

Existing Market Products: Innovative Products:


Improve market linkages

Improving old Potential for new


The debates: Finished vs Raw
Product dependent
Existing product Range: Improving
market linkage despite the nature
New Products Range:
Profitability Margin Factor
Profitability + Demand.
Lesser input but more profitability
Visualising in three
weeks POINTS

Investing in more potential products which are not


being exploited:

MECHANICAL ADVANTAGE?
PHYSICS'LANGUAGE

Lesser inputs: More outputs


Weather conditions, survival rate, less manure: Less
extra work
Abundance in tough soil profile
Demand: What the community Requires
Potential
Products
Aromatic: Medicinal: Agricultural:
Body oils Teas beverages
Fragrant Sachets Capsules Desserts
Incense Cones Concentrates Baby Food
Candles Syrups Snacks
Diffusers Mouthwash Bread

But we require innovation-


Intersection of three domains
Supply Chain
Management
Purchasing
As inferred from the market survey, pulses, grains and spices are usually bought from
Ranchi and Ghaghra due to proper machinery and packaging availability. But if existing
resources like water irrigation systems are managed effectively along with the introduction of
low-cost, accessible and acceptable tech through frontline demonstration, purchasing costs
will drastically reduce.
Other commodities using fishnets, rubber items and metal boxes were purchased from
Lohardaga. If people are provided with basic training for making commodities like metal
boxes in the village itself, the overall cost of procurement and manufacturing will decrease.
Increased focus on low initial-cost raw materials and techniques like vermicomposting can
further decrease manure purchase costs.
Increased focus on the quality checks of raw materials purchased can decrease wastage and
further reduce costs.
Manufacturing
Currently, available machinery and human resource is not being fully utilized due to low
demand.
Hence, an increase in the production of existing products is feasible.
Flexible Manufacturing: We can explore new products that can be synthesized with the
existing machinery.
Other new products might require new machinery and skilling, i.e. high investment.
We need to ensure consistent quality of raw materials and a consistent output by introducing
checks on the procurement front and in between the manufacturing process.
Inventory Management
No efficient system for inventory management: First in First out (FIFO) inventory management
Perishable food items, thus loss due to spoilage.
Possible solution- management of demand through modulation of prices, .i.e, continuously changing prices
according to the expiry.

Solving the following problems efficiently through research of efficient systems already in place.
Dealing with the uncertainty of demand
Smoothing out irregularities in the supply
Buying or purchasing in batches
To meet seasonal demand
To take quantity discount
To maintain continuity in the production process
Demand Planning
Aromatic Products
The Indian fragrance industry is one of the largest in terms of production and
consumption at present and is projected to grow exponentially in the upcoming
years.
The use of essential oils as intermediary products for perfumes, incense sticks,
body mists, aromatherapy products, body lotions, massage oils, diffusers, candles,
etc., has a huge demand in the Indian as well as international aromatic industry.
Aromatic products like citronella incense sticks have market potential in the local
village and the Gumla district itself because it is a relatively inexpensive mosquito
repellent.
Other finished aromatic products have a higher demand in more developed cities
where people have larger disposable incomes. The demand for organic and home-
grown self-care products is on the rise.
Medicinal Products
Medicinal products include gels, syrups, capsules, creams, concentrates, teas etc.,
which can be manufactured using a wide range of medicinal plants and herbs
grown in the village.

The Indian exotic herbs market is supported by India's domestic and export
markets intended for homoeopathy. The medicines can be branded as a herbal,
plant-based, or home-grown brands and initially local towns should be targeted and
then move to larger markets.

Low-cost medicinal products and herbal medicines have potential demand in the
local market itself owing to the prevalence of malaria, cold, flue etc., in the village .
Agricultural Products
The agriculture products include lemon grass, Palmarosa, Vetiver, Citronella,
mentha, Black basil, millets, tobacco, mango, mahua, khus and Cardamom.
A huge component of agricultural produce is used for self-consumption or sale in
the local markets.
Agricultural produce has a high demandi in cities like Ranchi, gumla, Netarhat,
Latehar, Khunti, Lohardaga etc. Produce can be shipped and sold here.
Products like jams, jellies, sauces, candies, and pickles have significant demand in
local regions, nationally, and internationally.
The demand can be developed gradually, from smaller towns to bigger markets.
The products can also be supplied as intermediaries to bigger manufacturers of
jams, jellies etc., which have an already established demand in the market.
Warehousing
While there is a storage facility available in Gumla, following were the warehousing constraints
identified by our team:
All the key products presently manufactured (pickles, jam, jelly, honey) are perishable and
have a shelf life of 1 year.
Jam and jellies are stored semi-processed and must be stored in a temperature-controlled
facility.
Honey is stored unprocessed. The facility must be moisture controlled to prevent spoilage.
For seasonal fruits like pear, the pulp is extracted and stored for use at a future date.
All goods are processed only on demand.
Overproduction leads to losses due to inconsistent demand and high perishability of goods.
A proper warehousing structure can only be determined once we have greater insights about
demand and its scope.
Transportation
No proper transportation system is available for glass units, and because of that, they have to
be shipped separately, which increases the cost.
Due to a lack of infrastructure and service, transportation costs are higher, and this makes it
difficult for them to compete in the market and affects their profitability.
Since road transportation is also limited, and people can't afford personal transportation,
which hinders the reach of products, the max they go to is Netarhat .
Since the area is already hilly, so terrains are also difficult.
HUMAN
RESORCES
STAKEHOLDERS

National Skill
Development Corporation Vikas Bharti Regulating
Agencies

Industry Partners/ Village Community


Consumers
Organizational Structure
These two types of organizational structures have been considered.
1. Autocratic- hierarchical structure
2. Democratic- shared responsibilities
Which structure is best for a
cooperative organization?
VISUALIZATION
A concept we visualized was career-specific villages. We
would train the residents of a village in one particular
domain.
For example, we would train a particular village in sewing
and knitting and make that into a tailoring hub. Similarly,
for pickles, medicinal plants, and so.
Further, we plan to analyze the specific number of
employees needed, depending upon the products, the skills
they need, and how we would train them in those skills.
Rewards and Incentives
1. Salary-based Incentives- hourly wages / fixed salary
ample: pickle manufacturing, where one person does not make the entire
oduct
2. Product-based Incentives- team / individual
ample: manufacturing of incense sticks where either a single person or a
oup makes the entire product, and thus the incentives can be divided.
HR specific Constraints to our plan
Skill Developement
The training is centralized at Vikas Bharti. The training varies from 7
days (pottery) to 3 months(tailoring). Women with children were not
ready to be apart from their home for so long.
Women also cannot take long shifts of 8 hours due to responsibilities at
home.
Even people who had received training in something, need some capital
to earn profit out of the skill. They are hesitant to invest this capital as
they are not sure about the results and as sources of credit are not easily
available.
Other problems include lack of proper transportation facilities, lack of water sources
and problem of substance abuse.
Thank
you

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