Shakti Juice LimitedCEO: Jugal Shah

Company Profile Marketing Strategies Financials HR policies Operations

Agenda

Shakti Juice Limited is a new entrant in the juice business.

Flavors like Mango, Orange, grapes, pineapple

It is entering the business with total capital of 50 lakhs.

The manufacturing facility is located at Pune in Maharashtra.

The plant is certified by international food law authorities and is licensed under the FPO standards.

Company Profile

To build consumer’s trust by being committed to highest quality standards.

To achieve highest market share in the Indian juice industry.

Vision

Quality: ◦ Our fruit juices will be of the highest quality, most

nutritious food products. Innovation:

◦ Continuously innovated our products to remain relevant and competitive in the market.

Integrity: ◦ Customer satisfaction in terms of taste◦ Extensive cooperation between suppliers and

retailers in order to deliver value to customers.

Mission

MarketingMarketing Head: Sunil Tiwari

The demographics of Oasis Juice customers are as follows:◦ Young professional, ages 25 - 45;◦ Working in metro areas;◦ Average income of Rs. 3,50,000+ a year;◦ Shop in upscale health/natural food stores.

Demographics

Shakti Juice offers the following products:◦ Fruit and Vegetable Juices◦ Smoothies

Products will be sold in:◦ 200ml Tetra pack ( Rs. 14 )◦ 500 ml Pet Bottle ( Rs. 30 )◦ 1000 ml Pet Bottle ( Rs. 58 )

Products

Shakti Juice will introduce its products at 20% off regular price during the first month. 

We will co-sponsor local athletic and charitable events to raise the visibility of the brand name.

Promotional campaign will be done in colleges and corporate offices.

Heavy advertisement through outdoor media.

Marketing Strategy

Initially, the products will be launched in metro of western India.

Shakti Juice will aim at capturing 3-4% of market share in first 3 years.

Sales are forecasted to grow at 22% .

Contd.

FinancialsCFO: Kaustubh Lele

Project Cost

Item Amount

Land and Building 17,74,000

Machinery 18,80,000

Miscellaneous Assets 2,53,000

Preliminary and Pre-operative Expenses 70,000

Pre-launch Marketing and Advertising 6,00,000

Contingencies @ 10% 5,08,000

Total 50,85,000

Means of Financing

Particulars Amount

Promoters Capital 35,60,000

Term Loan from Bank 15,25,000

Total 50,85,000

Debt : Equity Ratio 0.43 : 1

Promoters Contribution 70%

Financial assistance in the form of Grant is available from the Ministry of Food Processing Industries, Govt. of India.

Land is provided at a concessional rate to SMEs in farm products sector.

Government Policies

Profit and Growth Rates2010 2011 2012

Industry

Avg.

Sales 3,59,00,000 4,40,00,000 4,85,00,000

Sales Growth % 22.56% 10.22% 4.60%

Gross Margin 2,61,17,000 3,25,60,000 3,49,20,000

Gross Margin% 72.75% 74.17% 72.31% 68.32%

EBIT 15.80% 17.70% 17.35% 14.20%

Net Profit

Margin10.42% 11.59% 11.38% 11%

Current Ratio 1.34 1.96 2.53 1.69

Return on

Equity48.48% 38.81% 29.22% n.a

HR PoliciesHR Head: Kinjal Adodra

Recruitment Policy◦ Focused on recruiting the candidate with high

potential ability.◦ Transparent, task oriented and merit based

selection.

HR Policies

Recruitment Process1. Preparing the job description and specification

of skills required for a particular position.

2. Locating and Developing the sources of required number and type of employees.

3. Short-listing and identifying prospective employees with required characteristics.

4. Arranging the interviews with selected candidates.

5. Conducting the interview and decision making.

Contd.

Absenteeism Policy Information security policy Performance appraisal policy

◦ This will include feedback process, group involvement, etc.

Training need assessment policy◦ A KSA analysis will be done on the employees to

find the training needs.

Contd.

Compensation policy◦ In case of any mishap the employees will be given

a monetary compensation depending on the incident.

An effective Exit Policy ◦ Inform ways in which employment relationship

can be terminated by both the employer and the employee.

Exit Interview

Welfare Policies

Organisation Structure

CEO

Marketing Head

Distribution & Sales

Staff

4-5 Sales Executives

Marketing Staff

2 Marketing managers

HR Head

Asst HR manager

Operations Head

Production Staff

10 - 15 Shop floor workers

Finance Head

Asst. Finance

manager

Operational Management

Operational Manager: Vishwanath Kutaskar

Stages in supply chain will be decided as per:◦ customer demands◦ amount and quality of fruit offered by external

suppliers◦ distances from farms to processing plants◦ Cycle time

Supply Chain

Got a certification of HACCP ISO 9002 – 2008 Kosher certification

Quality management

Supply Chain

Raw Materia

l recepti

on

Cold Storag

e

Processing Line

Quality Specific

ation

Packaging

Cold Storag

e Wareho

use

Production

Plant

Warehouse

Depot

Warehouse

Distribution

Warehous

e

Retail Stock

Distribution Channel

Strength◦ Quality◦ Work efficiency

Weakness◦ Low brand recognition

Opportunities◦ Expanding juice market in India◦ Favorable changes in consumer taste◦ High demands of Indian products in international

market Threats

◦ Competition◦ Rising cost of inputs

SWOT Analysis

THANK YOU

Any queries?