SUMMER INTERNSHIP PROJECT REPORT

On
IMPACT OF SUPPLY CHAIN ON VADILAL
INDUSTRY

VAIBHAV KUMAR UPADHYAY

2200520700062

Under the guidance of

MR. KASIM SIR

In partial fulfilment of the requirement for the award of

theDegree of Master of Business Administration

Submitted at

DEPARTMENT OF BUSINESS ADMINISTRATION

 INSTITITUTE OF ENGINEERING AND TECHNOLOGY JANKIPURAM LUCKNOW,
UP-226021

Department of Business Administration

Institute of Engineering & Technology

Lucknow

STUDENT DECLARATION

I undersigned, hereby declare that the project titled “IMPACT OF SUPPLY

CHAIN ON VADILAL INDUSTRY” submitted in partial fulfilment for the award of
Degree of Master of Business Administration is a bonafide record of work done
by me under the guidance of MR. KASIM SIR .This report has not previously
formed the basis for the award of any degree, diploma, or similar title of any
University.

Place: Lucknow
Date:

Signature of the Student

VAIBHAV KUMAR
UPADHYAY
2200520700062
CERTIFICATE FROM ORGANISATION
 CERTIFICATE FROM INSTITUTION

This is to certify that Mr. Vaibhav kumar upadhyay, third semester student of
Master of Business Administration, Institute of Engineering & Technology,
Sitapur Road, Lucknow has completed the project report entitled Impact of
supply chain in vadilal industry in partial fulfilment of the requirements for the
award of the Degree of Master of Business Administration.

Date:
Place: Lucknow

Dr. Durgawati kushwaha

Convener
 Department of Business Administration Institute of
Engineering & Technology Lucknow

CERTIFICATE FROM FACULTY GUIDE

This is to certify that Mr. Vaibhav Kumar Upadhyay, second semester student
of Master of Business Administration, Institute of Engineering & Technology,
Sitapur Road, Lucknow has completed the project report entitled impact of
supply chain on vadilal industry towards partial fulfilment of the requirement
for the award of the Degree of Master of Business Administration under my
supervision.

Date:
Place: Lucknow

Signature of the Faculty Guide

MR.KASIM SIR
 PREFACE

Welcome to this exploration of the impact of the supply chain on Vadilal Industries. In simple terms, a

supply chain is like a big team that works together to make sure that the ice creams and other tasty treats

from Vadilal reach you smoothly.

Think of it like this – when you crave a Vadilal ice cream, there's a lot that happens behind the scenes. The

supply chain is the superhero that helps in getting all the ingredients, making the ice creams, and delivering

them to your favorite store.

In this book, we'll take a closer look at how the supply chain affects Vadilal Industries. From getting the

freshest ingredients to making sure the ice creams are packed and delivered on time, every step matters.

We'll see how a well-organized supply chain can lead to delicious ice creams finding their way to your happy

moments.

So, get ready for a journey into the world of supply chains and Vadilal treats – where every step counts, just

like each scoop of your favorite ice cream!

 ACKNOWLEDGEMENT

This report is an outstanding prospect to convey my gratefulness to those people whose timely help and

guidance went a long way in finishing this project work from commencement to achievement.

I would like to thank the Director of Institute of engineering and technology, Lucknow: Prof. Vineet Kansal

and our Coordinator of Department of Masters of Business Administration: Prof. Virendra Pathak. This was

really a good way of learning and I really learned a lot from this project.

I would also like to thank to my mentor Mr. Asif Iqbal Sir and Convener of Masters of Business

Administration: Dr. Durgawati Kushwaha ma’am for rendering their valuable time and providing me full

knowledge which was needed in order to successfully completion of this report.

 TABLE OF CONTENT

CHAPTER I (Introduction)

1.1 Overview

1.2 Industry Profile

1.3 Company Profile

1.4 SWOT Analysis

CHAPTER II (Literature Review)

2.1 Review of Literature

2.2 Conceptual Understanding

CHAPTER III (Research Methodology)

3.1 Problem Statement

3.2 Objectives of the Study

3.3 Hypothesis

3.4 Research Design

3.5 Data Collection & Analysis Tool

CHAPTER IV (Data Analysis & Interpretation)

CHAPTER V

5.1 Findings

5.2 Recommendation/Suggestions

5.3 Limitations

5.4 Conclusion

REFERENCES
 CHAPTER 1

INTRODUCTION

OVERVIEW 1.1

This project delves into the intricacies of supply chain management within Vadilal Industries, a

distinguished player in the [industry] sector. Focusing on operations, the study aims to provide a holistic

understanding of Vadilal's strategies, challenges, and innovations. Beginning with an exploration of broader

industry dynamics and market trends, the analysis delves into Vadilal's history, mission, and market

positioning. A critical evaluation of the company's supply chain structure follows, shedding light on

procurement, production, and distribution processes. The study also scrutinizes operational strategies,

emphasizing the role of technology and innovation in enhancing efficiency. Challenges faced by Vadilal are

identified, accompanied by actionable solutions for improvement. Furthermore, the project highlights

specific contributions made during the internship, showcasing enhancements to the supply chain. Lessons

learned from the internship experience are distilled into practical recommendations for both Vadilal

Industries and other organizations seeking operational excellence in the dynamic [industry] landscape. This

project serves as a valuable resource, offering insights that bridge academic knowledge with real-world

applications in supply chain management and operations.

OBJECTIVES

1. Understanding the Industry Landscape:

Conduct a thorough examination of current industry trends, market dynamics, and key drivers

influencing the [industry] sector.Explore challenges and opportunities that are shaping the industry's

trajectory.

2. Detailed Insight into Vadilal Industries:

Provide a comprehensive overview of Vadilal Industries, encompassing its historical evolution, core

values, and overarching mission.Conduct a competitive analysis to understand Vadilal's market

positioning, identifying key competitors and the company's unique value propositions.

3. Supply Chain Management at Vadilal:

Dissect Vadilal's supply chain structure, examining each phase from procurement of raw materials to

the final distribution of products.Evaluate the efficiency and effectiveness of existing supply chain

processes, identifying strengths and areas for improvement.

4. Operational Strategies:

Investigate the operational strategies deployed by Vadilal Industries in its day-to-day

activities.Analyze the role played by technology, automation, and innovation in enhancing

operational efficiency and responsiveness.

5. Challenges and Solutions:

Identify and analyze challenges faced by Vadilal Industries in the realms of supply chain and

operations.Propose pragmatic solutions and recommendations to address these challenges, with a

focus on sustainability and resilience.

6. Impact of Internship Contributions:

Detail the specific contributions made during the internship in regulating the supply chain.Showcase

any process improvements, optimizations, or innovative practices introduced, emphasizing their

impact on the overall operations.

7. Lessons Learned and Future Recommendations:

Summarize key lessons extracted from the internship experience, highlighting insights gained from

practical exposure to supply chain management.Provide strategic recommendations for Vadilal

Industries and other organizations seeking to enhance their supply chain and operational practices.

This project aims to be a comprehensive resource, offering both a macroscopic view of the

[industry] sector and a microscopic examination of Vadilal Industries' operations. By exploring

the company's strategies, challenges, and innovations, this analysis seeks to contribute not only

to academic understanding but also to practical knowledge that can inform strategic decision-

making within the industry.

1.2 INDUSTRY PROFILE

Milk production takes place all around the world. Global demand for dairy continues to increase in large part

due to population growth, rising incomes, urbanization and westernization of diets in countries such as

China and India. With this increasing demand for dairy, there is growing pressure on natural resources,

including freshwater and soil. WWF works with dairy farmers, industry groups, and other stakeholders in

various countries to conserve and protect natural resources and habitat.

Millions of farmers worldwide tend approximately 270 million dairy cows to produce milk. Milk production

impacts the environment in various ways, and the scale of these impacts depends on the practices of the

dairy farmers and feed growers.

Dairy cows and their manure produce greenhouse gas emissions which contribute to climate change. Poor

handling of manure and fertilizers can degrade local water resources. And unsustainable dairy farming and

feed production can lead to the loss of ecologically important areas, such as prairies, wetlands, and forests.

WWF envisions a global marketplace in which all dairy is produced as sustainably as possible. By working

to engage dairy farmers, co-ops, companies and others in promoting the use of sustainable practices, WWF

aims to transform the milk production industry.

Dairy plants are found all over the world, but because their sizes and the types of manufactured products

vary tremendously, it is hard to give general characteristics. The dairy industry can be divided into several

production sectors. Each division produces wastewater of a characteristic composition, depending on the

kind of product that is produced (milk, cheese, butter, milkpowder, condensate). Figure 4 presents a

schematic flow sheet of the main dairy products.

Milk receiving

Irrespective of the product, every factory has a section where milk is delivered and stored.

Liquid milk products

In developed countries (parts of Europe, North-America, Australia etc.), raw milk is decreamed and

pasteurised or sterilised. After these steps, several products are made: consumer milk, chocolate milk,

custard etc.

In developing countries/regions (Southern and Eastern Africa, the Middle East - Syria and India etc.) boiling

but also fermenting may be used as a means to preserve milk in the absence of refrigeration facilities.

Usually, as a sanitizing method, the vessels for the storage of milk are smoked. Fermented milk may be used

in fermented form but often it is churned so as to produce butter and buttermilk.

Cheese/Whey/Curd

There are about 500 varieties of cheese produced throughout the world. These are classified in nine major

cheese families. These varieties come about as a result of different types of production processes. The

composition of the wastewater of each specific production process varies from variety to variety. For the

purpose of discussing the environmental impact, the production of cheese will be related to the production of

whey. For hard cheeses (Cheddar cheese, Dutch cheese, etc.), the quantity of whey produced is high and

equals more or less the amount of milk used. During the production of other types of cheeses, such as soft

types, the whey production is much lower or there is no production of whey at all.

Butter/Ghee

In developed countries, butter is made from cream that has been churned (separation of sweet butter and

sweet buttermilk). In developing regions the technology in use for the making of butter and ghee is closely

related

to the technology to make fermented milk. Traditional butter is made from fully soured whole milk that is

churned.

Milk powder

Milkpowder is made from raw milk, skimmilk or sweet buttermilk. After pasteurization, decreaming etc. the

water from the milk is removed through evaporation.

Condensate/Cream/Khoa

For condensed milk and cream, a portion of the water is removed by evaporation. Khoa is a product

typically found in India and neighbouring countries. It is produced by thermal evaporation of milk to 65-

70% solid state and serves as base material for a variety of Indian sweets.

. Emission

Solid waste Hardly any solid waste is produced by the dairy industry. The main solid waste produced by

the dairy industry is the sludge resulting from wastewater purification. There are figures available about the

amount of sludge production: in aerobic systems the sludge production is about 0.5 kg per kg of removed

COD and in anaerobic systems about 0.1 kg per kg of removed

Wastewater

Wastewater from dairy industry may originate from the following sources: Milk receiving Wastewater

results from tank, truck and storage tank washing, pipe line washing and sanitizing. It contains milk solids,

detergents, sanitizers and milk wastes.

Whole milk products

Wastewater is mainly produced during cleaning operations. Especially when different types of product are

produced in a specific production unit, clean-up operations between product changes are necessary. In

developing countries, the main problem is pollution through spoilage of milk.

Cheese/Whey/Curd

Waste results mainly from the production of whey, wash water, curd particles etc. Cottage cheese curd for

example is more fragile than rennet curd which is used for other types of cheese. Thus the whey and wash

water from cottage cheese may contain appreciably more fine curd particles than that from other cheeses.
The amount of fine particles in the wash water increases if mechanical washing processes are

used.Butter/Ghee

Butter washing steps produce wash water containing buttermilk.Skim milk and buttermilk can be used to

produce skimmilk powder in the factory itself or itself or these materials may be shipped to another dairy

food plant by tank truck.

The continuous butter production process materially reduces the potential waste load by eliminating the

buttermilk production and the washing steps (Harper et. al., 1971).

Milk powder

Environmental problems are caused by high energy consumption (= emission of CO2, CO etc.), by cleaning

and by emission of fine dust during the drying process.

Condensed milk/Cream/Khoa

Environmental problems related to the production of condensate and khoa are mainly caused by the high

energy consumption during the evaporation process.The main suspended solids mentioned in the literature

are coagulated milk and fine particles of cheese curd.

(1): Taiganides (1987), refering to EPA (1971).

(2): Middlebrooks (1979), refering to EPA (1974).

(3): RIVM (1993): Dutch situation in 1990.

The ranges in Table 19 also indicate that the production of wastewater is highly influenced by management

practices (see next paragraph). It is not possible to identify particular waste producing practices. The way in

which the water consuming and operation processes are carried out is indicative of the management quality.

The major contribution to he waste load comes from cleaning operations, which take place throughout the
production process. Only in the production process of (hard) cheese, is whey sewering one of the main

contributors to the waste load.

Waste generating processes of major significance include:

- Washing, cleaning and sanitizing of pipelines (metals), pumps, processing equipment, tanks, tank, trucks

and filling machines (high N load);

- Start-up, product change over and shut down of HTST and UHT pasteurizers;

- Breaking down of equipment and breaking of packages resulting in spilling during filling operations;

- Lubrication of casers, stackers and conveyors

Air pollution

In dairy plants air pollution is mainly caused because of the need for energy. In the process gasses may be

discharged such as CO2, CO, NOx and SO2.

Table 20 gives the emissions into the air as a result of gas- and oil-combustion. No figures are available

about the emissions into the air resulting from the use of electricity.

Process: Air emission (kg/ton processed milk)

Heating by burning gas or oil CO: 0.03

CO2: 92

Nox: 0.1

SO2: 0.05

Producing milkpowder Fine dust: 0.39

Cleaning VOC: 0.05

Emissions of CFC’s and NH3 into the air may come about as a result of leakage and stripping of chilling

machines when out of use.

Prevention of waste production

The waste load, expressed as BOD depends to a large degree on the style of management. Table 21 gives an

example of the relationship between management practices and waste production in terms of BOD and the

amount of wastewater produced. The table shows that a large quantity of processed milk does not

necessarily lead to higher waste loads or to higher levels of wastewater production.

Management practices cover a wide range of water consumption and process operation activities. Well

controlled processes reflect good management qualifications, while bad practices are a reflection of poor

management. Table 21 shows the relationships. The qualification “fair” signifies that good as well as bad

practises occur. With good management practices, values of BOD 1 kg/ton and produced wastewater below

1 kg/kg may be reached. Poor management will result in values greater than 3 kg/ton resp. 3 kg/kg.

For the evaluation of management practices, the following indicators are useful:

1. Housekeeping practices;

2. Water control practices; frequency with which hoses and other sources of water are left running when not

in actual use;

3. Degree of supervision of operations contributing to either the volume of wastewater or to BOD

coefficients;

4. Extent of spillage, pipe-line leaks, valve leaks and pump seals;

5. Extent of carton breakage and product damage in casing, stacking and cooler operations;

6. Practices followed during the handling of whey;

7. Practices followed in handling spilled curd particles during cottage cheese transfer and/or filling

operations

8. The following of practices that reduce the amount of wash water from cottage cheese or butter operations;

9.Extent to which the plant uses procedures to segregate and recover milk solids in the form of rinses and/or

products from pasteurization start-up and product change-over;

10. The procedures used to handle returned products;

11. Management attitude towards waste control.

Product Milk processed BOD Wastewater Management level

(kg/day) (kg/ton) (kg/kg)

Milk 181,600 0.3 0.4 excellent: 19, 25, 26

227,000 0.2 0.1 excellent: 19, 21, 26, 27

113,500 0.7 1.0 good: 8, 10, 18, 20

68,100 7.8 5.2 poor: 1

Cottage cheese 272,400 2.0 0.8 good: 8, 15, 16

135,200 1.3 4.7 good: 8, 17

295100 71 12.4 poor: 2

Milk,cottage 454,000 4.1 1.2 good: 2, 19

cheese 211,110 1.8 1.1 good: 21, 22

408,600 3.3 1.1 fair: 8, 9

454,000 8.6 2.0 poor: 8, 3, 4

Milk, butter 135,200 0.9 0.8 good: 23, 24, 28

Whey powder 227,000 0.2 5.9 good-fair: 11, 12, 13

Milk,powder 90,800 3.0 2.5 fair: 14, 7, 3

butter

Description of management level

Poor = 1. no steps taken to reduce waste, 2. whey included, 3. many drips, leaks, 4. returns included, 5.

sloppy operations, 6. spillage leaks, 7. hoses running,

Fair = 8. whey excluded, 9. good water volume control, 10. wash water excluded, 11. no entertainment

losses 12. all powder handled as solid waste, 13. no leaks/drips, 14. continuous churn, Good = 15. fines

screened out, 16. wash water to drain, 17. spilled curd handled as solid waste, 18. rinses segregated, 19.

rinses saved, 20. returns to feed use, 21. returns excluded, 22. good water control, 23. buttermilk excluded,

24. few leaks, Excellent = 25. hoses off, 26. filler drip pans, 27. cooling tower, 28. dry floor conditions

Source: EPA, 1971

In the following a summary is given of suggestions for the prevention of dairy waste. At the same time they

are indicative of what is to be understood when speaking about good management of waste control (EPA,

1971):

1. Instruction of plant personnel concerning the proper operation and handling of dairy processing

equipment. Major losses are due to poorly maintained equipment and to negligence by inadequately trained

and insufficiently supervised personnel.

2. The carrying out of a study of the plant and the development of a material balance to determine where

losses occur. Modification and replacement of ill-functioning equipment. Where improper maintenance is

the cause of losses, a specific maintenance programme should be set up.

3. The use of adequate equipment for receiving, cooling, storing and processing of milk, so as to take care of

the maximum volume of flush production and of special products. All piping, around storage tanks and other

areas, should be checked on mis-assembly and damage that may lead to leakage.

4. Accurate temperature control on plate, tubular and surface coolers to prevent freeze-on, which may result

in loss of products.

5. Elimination of valves on the outlet sides of internal tubular or plate heaters and coolers and maintenance

of plates and gaskets in good repair so as to eliminate waste due to blown or broken gaskets

6. Installation of suitable liquid level controls with automatic pump stops, alarms, and other devices at all

points where overflows could occur (storage tanks, processing tanks, filler bowls etc).

7. Keeping in good order of vats, tanks and pipelines so as to eliminate and reduce to a minimum the number

of leaky joints, gaskets, packing glands and rotary seals.

8. Proper design and installation of vats and tanks at a level high enough above the floor for easy drainage

and rinsing if hand cleaned. Tanks should be pitched to insure draining.

9. Correct connections on plate type heat exchangers so as to avoid milk being pumped into the water side of

the exchanger or water being pumped into the milk side.

10. Provision and use of proper drip shields on surface coolers and fillers so as to avoid that products reach

the floor. Avoidance of cheese vats, vat processors or cooling tanks being overfilled so that no spillage

occurs during product agitation. The liquid level in cheese vats should be at least three inches below the top-

edge of the vat.

11. Avoidance of foaming of fluid dairy products, since foam readily runs over processing vats and other

supply bowls and contains large amounts of solids and BOD.

 1.3 COMPANY PROFILE

Vadilal Industries is an Indian multinational company specializing in ice cream and frozen food products.

The company was established in 1907 by In 1907, Vadilal made its foray into the world of frozen desserts,

crafting its first ice cream using a hand-cranked machine known as a kothi. Later, in 1926, Vadilal

introduced its dedicated ice cream parlours, as well as began offering home delivery.

The brand introduced the Cassata to Indian audiences in 1950. Vadilal expanded their market presence

across the nation in 1985. This was followed by the introduction of India’s first automated ice cream candy

line machinery.

In 1989, the company successfully went public and launched its IPO. This

was followed by the opening of their first ice cream plant in Bareilly, Uttar

Pradesh in 1993. Two years later in 1995, they began exporting their sub-

brands to over 26 countries.

In 2012, the company introduced an extrusion machine and cone-making machine.

In 2017, Vadilal unveiled a new logo accompanied by the tagline, “Dil Bole Waah Waah Waah Vadilal is a

well-known Indian ice cream and frozen dessert brand with a rich history. The company was founded by

Vadilal Gandhi in 1907 in the city of Ahmedabad, in the state of Gujarat, India. Vadilal started as a small

soda fountain and later expanded its offerings to include ice cream.

Over the years, Vadilal has grown to become one of the largest and most

popular ice cream brands in India. The company is known for its wide

range of ice cream flavors, innovative products, and high-quality

ingredients. Vadilal has played a significant role in shaping the ice

cream industry in India and has become a household name synonymous

with delicious frozen treats.

The brand has continually adapted to changing consumer preferences and market trends, introducing new

flavors and products to cater to a diverse audience. Vadilal's commitment to quality and innovation has

helped it maintain its position as a leading player in the Indian ice cream market.

Vadilal has also expanded its presence internationally, exporting its products to various countries. The

company's success can be attributed to its focus on delivering tasty and premium ice cream options while

maintaining high standards of hygiene and quality. As of my knowledge cutoff in January 2022, Vadilal

continues to be a prominent player in the ice cream industry, contributing to the joy of consumers with its

wide array of frozen desserts.

PRODUCTS

Vadilal produces ice cream in a variety of forms, including cones, candies, bars, ice-lollies, cups, family

packs, and economy packs, with numerous flavour options. All their products are vegetarian and free of

eggs.

In the 1990s, Vadilal diversified its business by entering the processed foods industry, utilizing its cold chain

network. In addition to its traditional ice cream business, the company serves both domestic and export

markets with a range of products, including frozen vegetables, ready-to-eat snacks, curries, and breads. The

company received a certification in 2013 for meeting the global standards for food safety by the Bureau

Veritas. In 2011, the brand released a new range of ice creams including Flingo cones and Badabite bars, as

well as a premium line of ice cream tubs called the Gourmet Premium Ice Creams.

They also introduced a Gourmet Natural Tub line in 2021, which focuses on traditional Indian dessert

flavours like gulab jamun, falooda, and kesar rasmalai among others. In 2021, Vadilal introduced Vadilal

Now For Ever cafe in Ahmedabad, Gujarat. As of 2023, the company has a network of over 125,000 dealers

across India.
Ice Cream Tubs and Pints: Vadilal produces a wide range of ice cream flavors available in tubs and

pints, catering to various taste preferences. Popular flavors include vanilla, chocolate, strawberry,

butterscotch, mango, and many more.

Ice Cream Cones: Vadilal offers ice cream cones with a variety of flavors, allowing consumers to enjoy

their favorite ice cream on the go.

Ice Cream Bars and Sticks: These are single-serving ice cream products available in various flavors,

often coated with chocolate or other coatings. They are convenient and come in a variety of flavor

combinations.

Frozen Desserts: In addition to traditional ice cream, Vadilal may offer frozen desserts with a range of

ingredients, including fruits, nuts, and other sweet additions.

Sugar-Free and Low-Fat Options: Recognizing the diverse dietary preferences of consumers, Vadilal may

also offer sugar-free or low-fat ice cream options for those who are health-conscious.

Kulfi: A popular Indian frozen dessert, Vadilal may offer traditional kulfi in various flavors. Kulfi is a dense

and creamy frozen dessert often made with condensed milk and flavored with cardamom, saffron, or other

spices.

Sorbets and Sherbets: Vadilal may have fruit-based sorbets and sherbets that offer a refreshing and lighter

alternative to traditional ice cream.

Novelties: This category includes innovative and fun ice cream products such as ice cream sandwiches, ice

cream cakes, and other creative frozen treats.

Frozies: These are frozen fruit-flavored desserts offered by Vadilal. They often come in pouches and are

available in a variety of fruity flavors, providing a refreshing option.

Candy Treats: Vadilal may also produce ice cream in candy or lollipop forms, providing a convenient and

portable way to enjoy frozen treats.

Premium and Signature Flavors: Vadilal is known for introducing premium and signature flavors that

go beyond the usual classics. These may include exotic combinations, gourmet ingredients, and limited-

edition releases.

Family Packs: Larger packs designed for families or gatherings, offering a convenient way to enjoy a

variety of flavors in a single purchase.

Seasonal Specials: Vadilal often introduces seasonal or festive flavors and products, aligning with cultural

celebrations and events. For example, special editions during festivals like Diwali or Holi.

International Flavors: Reflecting the global nature of the brand, Vadilal may offer ice cream flavors

inspired by international cuisines, bringing a diverse range of tastes to its consumers.

Retail and Food Service Products: Apart from consumer products, Vadilal may supply ice cream and

frozen dessert products to retail outlets and food service establishments such as restaurants, hotels, and

cafes.
Organisational Structure of Vadilal:-
1.4 SWOT ANALYSIS

Vadilal Icecream is one of the leading brands in the food & beverages sector. Vadilal Icecream SWOT

analysis evaluates the brand by its strengths & weaknesses which are the internal factors along with

opportunities & threats which are the external factors. Let us start the SWOT Analysis of Vadilal Icecream:

Quick Glance:

Strengths
Weaknesses
Opportunities
Threats

 STRENGTH

It has world class manufacturing facilities providing excellent quality

Huge brand name locally in Gujarat providing a good base to expand

Has good reputation and experience for being in the industry for over 40 years

Huge variety in flavors of ice creams and candies

Good brand recall and a lot of variety to choose from

Above are the strengths in the SWOT Analysis of Vadilal Icecream. The strengths of Vadilal Icecream looks

at the key internal factors of its business which gives it competitive advantage in the market and strengthens

its position.
  WEAKNESS

Less visibility and market share across the country because of major players in the industry

Stronger competition stifling its growth

Brand visibility lower than other major players

These were the weaknesses in the Vadilal Icecream SWOT Analysis. The weaknesses of a brand are certain

aspects of its business which it can improve.

 OPPORTUNITIES

Improve distribution network across India and gain market share

Venture into other dairy products so as to compete with other brands

Above we covered the opportunities in Vadilal Icecream SWOT Analysis. The opportunities for any brand

can include prospects of future growth.

 THREATS

Threat from the existing competitors as well as local ice cream brands

Most people are not really brand conscious, so loyalty might be an issue

The threats in the SWOT Analysis of Vadilal Icecream are as mentioned above. The threats for any business

can be external factors which can negatively impact its business.

 CHAPTER 2

LITERATURE REVIEW

2.1 REVIEW OF LITERATURE

Introduction:

Briefly introduce Vadilal Industries and its position in the industry.

Provide an overview of the importance of the supply chain in the context of the ice cream industry.

Historical Overview of Vadilal Industries:

Discuss the history and evolution of Vadilal Industries.

Identify key milestones and changes in the company's supply chain strategies over time.

Supply Chain Management in Vadilal Industries:

Examine the key components of Vadilal's supply chain, including procurement, manufacturing, distribution,

and logistics.

Identify any unique features or innovations in Vadilal's supply chain management.

Technology Integration:

Explore how Vadilal Industries incorporates technology in its supply chain operations.

Discuss the role of technologies like ERP systems, RFID, and data analytics in optimizing the supply chain.

Supply Chain Performance Metrics:

Analyze the key performance indicators (KPIs) used by Vadilal Industries to measure supply chain

effectiveness. Evaluate how the company's supply chain performance has evolved over time.

Challenges and Solutions:

Examine the challenges Vadilal Industries faces in its supply chain.

Discuss any innovative solutions or strategies implemented to overcome these challenges.

Impact on Business Performance:

Explore the correlation between the efficiency of Vadilal's supply chain and the company's overall business

performance.

Analyze how supply chain improvements have affected profitability, customer satisfaction, and market

share.

Regulatory Compliance and Sustainability:

Investigate how Vadilal Industries complies with industry regulations in its supply chain.

Evaluate the company's initiatives toward sustainable and responsible supply chain practices.

Comparative Analysis:

Compare Vadilal Industries' supply chain practices with industry benchmarks or competitors.

Highlight areas where the company excels or where there is room for improvement
2.2 CONCEPTUAL UNDERSTANDING

Supply Chain Management in the Food Industry

Effective supply chain management is crucial in the food industry, especially in the case of perishable

products like ice cream. Research by Chopra and Meindl (2007) emphasizes the importance of integrating

suppliers, manufacturers, and distributors to ensure a streamlined flow of materials and products.

Understanding the complexities of managing a supply chain in the ice cream industry is essential for

optimizing operational efficiency and meeting customer demand. Supply Chain Management in the Food

Industry

Effective supply chain management is crucial in the food industry, especially in the case of perishable

products like ice cream. Research by Chopra and Meindl (2007) emphasizes the importance of integrating

suppliers, manufacturers, and distributors to ensure a streamlined flow of materials and products.

Understanding the complexities of managing a supply chain in the ice cream industry is essential for

optimizing operational efficiency and meeting customer demand.

Lean Manufacturing Practices in Food Production

Lean manufacturing principles have gained prominence in the food industry as a means to eliminate waste

and improve overall operational efficiency. The study by Womack and Jones (2003) highlights the

application of lean principles in production processes. Investigating how these principles are implemented in

ice cream manufacturing can offer insights into reducing costs and enhancing production throughput.
Quality Control and Assurance

Maintaining high-quality standards is paramount in the production of food products, including ice cream.

Research by Juran and Gryna (1988) emphasizes the importance of a comprehensive quality control system.

Examining the quality control measures implemented at Vadilal Company and comparing them to industry

best practices can provide valuable insights into ensuring product consistency and customer satisfaction.

Innovation in Ice Cream Manufacturing

The ice cream industry has witnessed significant innovation in product development and manufacturing

processes. Studies by Bell and Marshall (2003) explore the role of innovation in the food industry, focusing

on product differentiation and market competitiveness. Investigating how Vadilal Company incorporates

innovation in its operations can shed light on staying competitive in the dynamic ice cream market.

Environmental Sustainability in Food Production

Sustainability is an increasingly important consideration in the food industry. Research by Seuring and

Müller (2008) discusses the integration of environmental sustainability into supply chain management

practices. Examining how Vadilal Company addresses environmental concerns in its operations can

contribute to a holistic understanding of sustainable practices in the ice cream industry.

Inventory Management

Explore Vadilal's inventory management practices to understand how the company balances the need for

freshness in its ice cream products with maintaining optimal inventory levels. Assess how technology is

leveraged to track and manage inventory, ensuring that the right quantities of ingredients are available when

needed. Evaluate the efficiency of Vadilal's inventory turnover rates in comparison to industry benchmarks.
Distribution Network Optimization

Analyze Vadilal's distribution network to ensure that the company can meet market demands promptly.

Explore the use of distribution centers, transportation methods, and order fulfillment processes. Assess

whether Vadilal employs advanced technologies, such as route optimization software, to enhance the

efficiency of its distribution network. Consider any strategies employed to minimize the environmental

impact of transportation.

Conclusion

This literature review provides a foundation for understanding key operational aspects in the ice cream

industry. By exploring supply chain management, lean manufacturing, quality control, innovation, and

sustainability, the report can delve into how Vadilal Company aligns with or diverges from established best

practices in the field.

 CHAPTER 3
RESEARCH METHODOLOGY

3.1 PROBLEM STATEMENT

 Raw Material Sourcing:

The ice cream industry, which Vadilal Industries is known for, relies heavily on the timely and consistent

supply of raw materials such as milk, sugar, flavorings, and packaging materials.Fluctuations in the prices or

availability of these raw materials can impact production costs and profit margins.

 Distribution and Logistics:

For a company like Vadilal Industries, efficient distribution and logistics are crucial. Any disruptions in the

supply chain, such as transportation delays, can lead to issues like stockouts or reduced product availability

in the market.

 Quality Control:

Maintaining the quality of perishable goods like ice cream throughout the supply chain is critical. Any lapses

in quality control during transportation or storage can lead to product spoilage and customer dissatisfaction.

 Global Supply Chain Issues:If Vadilal Industries sources ingredients or materials internationally,

geopolitical events, trade restrictions, or natural disasters in supplier countries can impact the supply

chain.
 Market Demand and Seasonality: The ice cream industry often experiences seasonal demand

variations. A well-managed supply chain can help companies like Vadilal adjust production levels to

meet the fluctuating demand during peak seasons.

 Technological Advancements: Embracing technology in the supply chain, such as implementing

advanced tracking systems, can enhance efficiency, reduce costs, and provide better visibility into the

movement of goods.

 Regulatory Compliance: Compliance with various regulations regarding food safety, labeling, and

transportation is essential. Changes in regulations can necessitate adjustments in the supply chain

processes.

 Risk Management: Developing contingency plans for potential disruptions, such as pandemics,

natural disasters, or economic downturns, is crucial to ensure business continuity.

 Supplier Relationships: Strong relationships with suppliers are vital for ensuring a stable supply

chain. Effective communication, collaboration, and partnerships with key suppliers can help in

addressing challenges and ensuring a reliable flow of materials.

 Inventory Management: Efficient inventory management is crucial in the food industry. Balancing

the need to have enough stock to meet demand while minimizing excess inventory is a delicate task.

A well-managed supply chain can optimize inventory levels.

 Economic Factors: Economic fluctuations, inflation, or currency exchange rate changes can impact

the cost of production and transportation. Companies like Vadilal Industries need to monitor and

adapt to economic conditions to maintain competitiveness.

 Environmental Sustainability: There is an increasing focus on sustainable and eco-friendly practices

in the supply chain. Companies need to consider the environmental impact of their supply chain

operations, from sourcing raw materials to distribution and packaging.

 Consumer Preferences and Trends: Changes in consumer preferences or market trends can affect the

demand for specific products. An agile supply chain can respond quickly to shifts in the market,

ensuring that Vadilal Industries can meet evolving consumer expectations.

 Technology Adoption: Embracing innovative technologies such as blockchain for traceability, IoT

devices for real-time monitoring, or predictive analytics for demand forecasting can enhance the

efficiency and responsiveness of the supply chain.

 Competition in the Market: The competitive landscape can impact the supply chain strategy. Vadilal

Industries may need to continually evaluate and adjust its supply chain practices to stay competitive

in the market.

 Government Regulations and Compliance: The food industry is subject to various regulations related

to health and safety standards. Compliance with these regulations is crucial, and any changes in

regulatory requirements can impact the supply chain processes.

 Human Resource Management: Skilled and trained personnel are essential for managing the various

aspects of the supply chain effectively. Ensuring a competent workforce and addressing any labor-

related issues is crucial for a smooth supply chain operation.

 Brand Reputation: Supply chain disruptions or issues can affect a company's brand reputation.

Maintaining a reliable and efficient supply chain is not only essential for operational success but also

for building and preserving customer trust.

3.2 OBJECTIVES OF THE STUDY

 Operational Efficiency: Enhance overall operational efficiency by streamlining processes, reducing

lead times, and optimizing resource utilization throughout the supply chain.

 Cost Reduction: Identify opportunities to reduce costs associated with procurement, transportation,

inventory holding, and other supply chain activities without compromising quality.

 Supply Chain Visibility: Improve visibility into the entire supply chain, from sourcing raw materials

to delivering finished products. This includes real-time tracking, monitoring, and reporting

capabilities.

 Risk Management: Develop and implement robust risk management strategies to mitigate potential

disruptions, such as supply chain interruptions, natural disasters, geopolitical events, or economic

downturns.

 Supplier Relationship Management: Strengthen relationships with key suppliers to ensure a stable

and reliable supply of raw materials. This may involve collaboration, communication, and mutual

support to address challenges collectively.

 Inventory Optimization: Implement efficient inventory management practices to minimize carrying

costs while ensuring that sufficient stock is available to meet customer demand and prevent

stockouts.

 Demand Forecasting: Utilize advanced analytics and forecasting techniques to accurately predict

demand patterns, enabling proactive planning and production scheduling.

 Sustainability and Social Responsibility: Integrate sustainability practices into the supply chain to

meet environmental standards, reduce carbon footprint, and adhere to social responsibility principles.

 Agility and Flexibility: Build an agile and flexible supply chain that can quickly adapt to changes in

market demand, industry trends, or unexpected disruptions.

 Technology Adoption :Embrace and leverage innovative technologies such as IoT, blockchain, and

data analytics to improve traceability, enhance decision-making, and drive continuous improvement.

 Compliance with Regulations: Ensure strict compliance with local and international regulations

related to food safety, quality standards, and any other relevant industry-specific regulations.

 Customer Satisfaction: Focus on meeting customer expectations by delivering high-quality products

on time, maintaining product integrity, and providing excellent customer service throughout the

supply chain.

 Continuous Improvement: Foster a culture of continuous improvement within the supply chain,

regularly evaluating processes, seeking feedback, and implementing initiatives to enhance overall

performance.

 Strategic Alignment: Align the supply chain strategy with the overall business strategy of Vadilal

Industries to support the company's growth, market expansion, and long-term objectives
3.3 HYPOTHESIS

Hypothesis 1: Technological Integration and Operational Efficiency

H0: There is no significant relationship between the level of technological integration in Vadilal

Industries' supply chain and operational efficiency.

H1: Higher levels of technological integration in the supply chain positively impact operational efficiency

in Vadilal Industries.

Hypothesis 2: Supplier Relationship Management and Raw Material Availability

H0: There is no significant correlation between the effectiveness of supplier relationship management

practices and the availability of raw materials for Vadilal Industries.

H1: Stronger supplier relationships are associated with better raw material availability, reducing the risk

of production disruptions.

Hypothesis 3: Sustainability Practices and Brand Reputation

H0: There is no significant relationship between the adoption of sustainability practices in Vadilal

Industries' supply chain and the company's brand reputation.

H1: Companies with more sustainable supply chain practices have a stronger and more positive brand

reputation.
Hypothesis 4: Demand Forecasting Accuracy and Inventory Optimization

H0: There is no significant impact of improved demand forecasting accuracy on inventory optimization in

Vadilal Industries.

H1: Higher accuracy in demand forecasting is associated with more effective inventory optimization,

reducing carrying costs.

Hypothesis 5: Agility and Supply Chain Resilience

H0: There is no significant relationship between the agility of Vadilal Industries' supply chain and its

resilience in the face of disruptions.

H1: More agile supply chains demonstrate higher resilience and adaptability during unexpected events.

Hypothesis 6: Compliance with Regulations and Product Quality

H0: There is no significant correlation between Vadilal Industries' compliance with food safety

regulations and the quality of its products.

H1: Strict compliance with regulations is positively correlated with maintaining high product quality

standards.

Hypothesis 7: Economic Factors and Cost Management

H0: Economic fluctuations and external economic factors have no significant impact on Vadilal

Industries' cost management within the supply chain.

H1: Economic factors significantly influence the cost structure of Vadilal Industries' supply chain

operations
3.4 RESEARCH DESIGN

Research Questions:

Formulate specific research questions related to the impact of supply on Vadilal Industries. For

example:

How does the efficiency of Vadilal Industries' supply chain impact its overall performance?

What are the key challenges faced by Vadilal Industries in its supply chain management?

Hypotheses:

Develop hypotheses based on the research questions. These may include statements about the

positive or negative impact of certain supply chain factors on Vadilal Industries' performance.

Research Design:

Type of Study: Consider whether the study will be exploratory, descriptive, or explanatory.

Time Horizon: Determine the time frame for data collection and analysis.

Sampling Method: Decide on the target population and the method for selecting samples.

Data Collection:

Primary Data: Collect data directly from Vadilal Industries through interviews, surveys, or

observations.

Secondary Data: Gather existing data from industry reports, financial statements, and other relevant

sources.
Variables:

Identify and define the key variables, such as supply chain efficiency, performance metrics,

challenges, and any other relevant factors.

Data Analysis:

Choose appropriate statistical or qualitative analysis methods based on the nature of the data and

research questions.

Utilize tools like regression analysis, correlation, or content analysis.

Ethical Considerations:

Ensure the research adheres to ethical standards, especially when dealing with sensitive information.

Obtain necessary permissions and approvals.

Budget and Resources:

Estimate the budget required for the research, including any expenses related to data collection,

analysis, and reporting.

Timeline:

Develop a realistic timeline for each phase of the research, from literature review to final reporting
3.5 DATA COLLECTION AND ANALYSIS TOOL

Data Collection:

Surveys and Questionnaires:

Design structured surveys or questionnaires to gather quantitative data on various aspects of the

supply chain. Tools like Google Forms or SurveyMonkey can help in creating and distributing

surveys.

Interviews:

Conduct in-depth interviews with key stakeholders within Vadilal Industries, such as supply chain

managers, logistics personnel, and executives. Tools like Zoom, Microsoft Teams, or in-person

interviews can be used.

Observations:

Directly observe the supply chain processes within Vadilal Industries. Document workflow, identify

bottlenecks, and note any inefficiencies.

Document Analysis:

Analyze internal documents such as financial reports, supply chain documentation, and strategic

plans. This can provide valuable insights into the company's supply chain practices.

Site Visits:

Visit Vadilal Industries' facilities to gain a firsthand understanding of their supply chain operations.

This can help validate information obtained through other methods.

Secondary Data:
Collect secondary data from industry reports, academic publications, and government sources to

supplement your primary data.

Data Analysis:

Statistical Analysis:

Use statistical analysis tools such as SPSS, R, or Python (with libraries like NumPy and Pandas) for

quantitative data. Analyze key performance indicators, correlations, and trends.

Regression Analysis:

Employ regression analysis to identify relationships between different variables affecting the supply

chain.

Qualitative Analysis:

If you collect qualitative data through interviews or open-ended survey questions, conduct thematic

analysis or content analysis to identify patterns and themes.

Benchmarking:

Compare Vadilal Industries' supply chain performance with industry benchmarks. This can provide

insights into areas where improvement may be needed.

Process Mapping:

Use tools like Microsoft Visio or Lucidchart to create process maps that visually represent the flow of

the supply chain. This can help identify inefficiencies and areas for improvement.

SWOT Analysis:

Perform a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis based on the collected

data to understand the overall strategic position of the company in terms of its supply chain.
 CHAPTER 4

DATA ANALYSIS AND INTERPRETATION

Vadilal Industries Ltd reported Revenues for Q2FY24 of ₹289.00 Crores up from ₹267.00 Crore year on

year, a rise of 8.24%.Total Expenses for Q2FY24 of ₹243.00 Crores up from ₹234.00 Crores year on year, a

rise of 3.85%.Consolidated Net Profit of ₹38.00 Crores up 40.74% from ₹27.00 Crores in the same quarter

of the previous year.

The Earnings per Share is ₹52.94, up 39.24% from ₹38.02 in the same quarter of the previous year

Current Market

The Ice cream market in India can be divided into the branded market and the grey market. Grey market

consists of small local players and cottage industry players.

The yearly ice cream consumption in India is currently 400 milliliters per capita and global ice cream market

is forecasted to record a CAGR of 4.7% by 2020, the Indian ice cream sector is expected to grow up at a

CAGR of 12.4% by 2022.So, there is huge potential for logistic manager to contribute in the supply chain of

ice cream and make the customers happy by varied flavor in lowest cost possible.

Major Flavors

Globally below mentioned flavors rule the customer heart and ice-cream companies provide these flavors in

different packs, where they maintain high quality.

 CHAPTER 5

5.1 FINDINGS

Company Reports and Filings:

Check the annual reports, quarterly reports, and other financial filings of Vadilal Industries. These

documents often contain discussions on various factors affecting the company, including the supply chain.

Company Website:

Visit Vadilal Industries' official website. Companies usually publish press releases, announcements, or

reports on their website, providing insights into their performance and challenges, including those related to

the supply chain.

News and Business Publications:

Search for news articles and business publications that discuss Vadilal Industries. News outlets often cover

significant events, including the impact of supply chain issues on companies.

Industry Reports:

Look for industry reports related to the ice cream or food processing industry, as these may include insights

into overall supply chain trends and challenges that could affect companies like Vadilal Industries.

Analyst Reports:

Analyst reports from financial institutions and research firms may offer insights into how supply chain

factors are affecting Vadilal Industries and its industry peers.

5.2 RECOMMENDATION/SUGGESTION

Diversification of Suppliers:

Evaluate and diversify the supplier base to reduce dependence on a single source. This can help in mitigating

risks associated with supply chain disruptions from specific regions or suppliers.

Supply Chain Visibility and Monitoring:

Invest in technologies and systems that enhance visibility across the supply chain. Real-time monitoring can

help identify potential disruptions early, enabling proactive measures.

Risk Assessment and Contingency Planning:

Conduct regular risk assessments to identify vulnerabilities in the supply chain. Develop contingency plans

to address potential disruptions, such as alternative sourcing strategies or safety stock levels.

Collaboration with Suppliers:

Foster strong relationships with key suppliers. Open communication channels and collaboration can lead to

better understanding of potential challenges and joint problem-solving.

Technology Adoption:

Embrace technology solutions such as advanced analytics, artificial intelligence, and blockchain to

streamline supply chain processes, improve efficiency, and enhance overall resilience.
Inventory Management:

Optimize inventory levels to balance the need for product availability with the cost of carrying inventory.

Maintaining strategic stockpiles can be crucial during periods of supply chain disruptions.

Demand Forecasting:

Improve demand forecasting accuracy to align production and procurement activities more closely with

actual market demand. Accurate forecasts can prevent overstocking or stockouts.

Supplier Relationship Management (SRM):

Implement robust supplier relationship management practices to build strong, long-term partnerships. This

involves not only selecting reliable suppliers but also working collaboratively to address challenges.

Regulatory Compliance:

Stay informed about and comply with relevant regulations affecting the supply chain. This includes

understanding customs requirements, trade restrictions, and other legal considerations.

Sustainability Initiatives:

Consider integrating sustainable and environmentally friendly practices into the supply chain. This can

enhance the company's reputation and resilience while addressing increasing global concerns
5.3 LIMITATIONS

Vadilal Industries, face difficulties in managing their supply chains:

Dependency on Seasonal Inputs:

Companies in the food industry, including ice cream manufacturers like Vadilal, often rely on seasonal

inputs (such as certain fruits) that can be affected by weather conditions, leading to supply variability.

Perishable Nature of Products:

Ice cream and related products have a limited shelf life, making efficient supply chain management critical

to prevent wastage and losses.

Transportation Challenges:

Transportation of perishable goods requires specialized logistics. Issues such as transportation delays,

temperature control, and distribution efficiency can impact the supply chain.

Regulatory Compliance:

The food industry is subject to stringent regulatory standards. Adherence to food safety regulations, labeling

requirements, and other compliance issues can pose challenges to the supply chain.

Global Sourcing Risks:

If Vadilal Industries sources ingredients or raw materials globally, geopolitical events, trade disputes, or

disruptions in the supply chain can impact the availability and cost of inputs.
Demand Volatility:

Consumer preferences for ice cream flavors and related products can be volatile, leading to challenges in

accurately forecasting demand and aligning production accordingly.

Quality Control:

Maintaining consistent quality is crucial in the food industry. Supply chain disruptions can impact the

quality of raw materials or finished products, leading to reputational risks.

Cost Fluctuations:

Volatility in commodity prices, energy costs, and other input expenses can impact the overall cost structure

of the supply chain, affecting profitability.

Information and Communication Technology Risks:

Reliance on technology for supply chain management introduces the risk of disruptions due to cybersecurity

threats, system failures, or data breaches.

Market Competition:

Intense competition in the food industry can lead to challenges in securing reliable suppliers, maintaining

pricing competitiveness, and differentiating products in the market.

5.4 CONCLUSION

In conclusion, the impact of the supply chain on Vadilal Industries is undoubtedly a crucial aspect of its

overall operational efficiency and success, particularly within the dynamic and challenging landscape of the

ice cream industry. As a company operating in the food sector, Vadilal must grapple with the intricacies of

managing a supply chain that caters to the unique demands of perishable goods, seasonal variations, and

rapidly evolving consumer preferences. The seasonal nature of ice cream ingredients introduces a level of

complexity, requiring strategic planning to ensure a consistent and high-quality supply of raw materials. The

logistical challenges associated with the distribution of perishable products also necessitate a robust and

efficient distribution network to prevent spoilage and maintain product integrity. Furthermore, Vadilal

Industries must remain agile in responding to shifts in consumer demand and industry trends, necessitating

flexibility and innovation within the supply chain. Regulatory compliance is paramount in the food industry,

and any disruptions in the supply chain could impact Vadilal's ability to meet stringent quality and safety

standards, potentially resulting in legal and reputational repercussions. Additionally, if the company engages

in global sourcing, economic factors and geopolitical events can introduce uncertainties that affect the

availability and cost of raw materials. To navigate these challenges successfully, Vadilal Industries may

consider strategic measures such as technology integration for enhanced visibility and efficiency,

diversification of suppliers, and maintaining strong collaborative relationships throughout the supply chain.

Overall, a resilient and adaptive supply chain is pivotal for Vadilal Industries to not only overcome

challenges but also to capitalize on opportunities in the ever-evolving ice cream market. For the most

accurate and up-to-date insights into Vadilal Industries' supply chain dynamics, reference should be made to

the company's latest reports and official communications.

 REFERENCES

https://vadilalgroup.com/pdf/VIL_AR_

www.vadilalindustries.com

www.supplychainvadilal.com

www.wikipedia.in