Shimla
EXECUTIVE SUMMARY
The report objective is to undertake Shimla Dairy Company analysis and find out the key management issues and concerns and then recommend measures to overcome the problems. Currently Shimla Dairy finds itself in a very crucial stage of its life cycle. The cheese industry is booming and the firm finds itself in a precarious position where it has to take a few important decisions which will have a lasting impact on its future.
Some of the issues that Shimla Dairy is facing now are need for expansion and a focused marketing and branding strategy. Apart from that the company also lacks a clear cut future growth strategy.
During analysis it was found that Shimla Diary may adopt a phased expansion plan by expanding both organically and inorganically. It should also focus on improving the efficiency of existing plans by cutting costs.
Further the firm should start increasing brand awareness by having a detailed marketing strategy. This is essential and should take place concurrently with expansion as then only the increased supply will be adequately met by increased demand.
Finally in order to execute the above two strategies the company should under a restructuring process. There must be a change in the organization structure which will support the expansion of the firm. This will help Shimla Dairy to sustain itself in the market and prepare itself to gear up for future growth.
Shimla Dairy Products was a 30 year old family business turned limited company that began by processing 50 liters of milk a day and evolved to use 10 000 liters of milk per day. Licensed by the government as a food manufacturer, Shimla was working towards being ISO 9002 accredited and certified with HACCP. Currently the cheese market in India has just crossed the infant stage and has progressed into Growth stage. So Shimla Dairy finds itself in the midst of a number of players who have jumped into the market because of the higher growth rate.
The major key issues and
The report objective is to undertake Shimla Dairy Company analysis and find out the key management issues and concerns and then recommend measures to overcome the problems. Currently Shimla Dairy finds itself in a very crucial stage of its life cycle. The cheese industry is booming and the firm finds itself in a precarious position where it has to take a few important decisions which will have a lasting impact on its future.
Some of the issues that Shimla Dairy is facing now are need for expansion and a focused marketing and branding strategy. Apart from that the company also lacks a clear cut future growth strategy.
During analysis it was found that Shimla Diary may adopt a phased expansion plan by expanding both organically and inorganically. It should also focus on improving the efficiency of existing plans by cutting costs.
Further the firm should start increasing brand awareness by having a detailed marketing strategy. This is essential and should take place concurrently with expansion as then only the increased supply will be adequately met by increased demand.
Finally in order to execute the above two strategies the company should under a restructuring process. There must be a change in the organization structure which will support the expansion of the firm. This will help Shimla Dairy to sustain itself in the market and prepare itself to gear up for future growth.
Shimla Dairy Products was a 30 year old family business turned limited company that began by processing 50 liters of milk a day and evolved to use 10 000 liters of milk per day. Licensed by the government as a food manufacturer, Shimla was working towards being ISO 9002 accredited and certified with HACCP. Currently the cheese market in India has just crossed the infant stage and has progressed into Growth stage. So Shimla Dairy finds itself in the midst of a number of players who have jumped into the market because of the higher growth rate.
The major key issues and