Disseration On Distribution 0770991

Student ID # 0770991
DISSERTATION TITLE
Critically evaluate the distribution network at Vasha Foods Ltd.
STUDENT ID#:
0770991
WORD COUNT
9996
DECLARATION
'I declare that the above work is my own and that the material contained herein has not been substantially used in any other submission for an academic award'.
ACKNOWLEDGEMENT
This dissertation would not be possible without a number of people. I would like to thank the following people who have help me and contributed to the success of this dissertation.
First of all and most important, I must thank God almighty for giving me life,
strength, wisdom, knowledge and understanding to complete this dissertation. I can do all things through Christ who strengthens me
My beautiful wife who supported and encouraged me through difficult times.
My dissertation supervisor Mrs. Caroline Singh who critically assessed each draft and provided me with relevant ideas and insights that allowed me to execute a good proposal. She always made time for me; and I commend her for excellent work ethics.
The management and staff of Vasha Foods Limited for their cooperation who participated in questionnaires, interviews, and perusal of relevant company information.
Finally, the management and staff of the SAM Caribbean Limited, for their time and cooperation.
ABSTRACT
The topic of this dissertation is to critically evaluate the distribution network at Vasha Foods Ltd. The company currently markets and distributes a wide range of branded and unbranded food commodities throughout the twin islands. VFL also have a manufacturing arm producing there own line of burger patties and other precooked items. There main markets served include; Supermarkets retail trade, Foodservice, and Wholesale. VFL current distribution network has been the lifeline to the success of their organization. This has given the researcher the opportunity to scrutinize the current distribution network and to decide whether it is effective in the development of the organization current and future vision and goals. This dissertation consists of a Literature review so that the researcher had a strong theoretical base on which to stand. It also provides the research topic with an intellectual, historical and theoretical context within which to frame the research topic in writing. Each objective has corresponding techniques with immediate application to the top on dissertation; findings were compared and contrasted to several bodies of literature in order to measure its applicability.
This dissertation also consists of a Research Methodology which is the scientific methods of analysing the data and presenting it via recommendations. The methodology comprises of seven parts; the research type, theoretical approach, different data types, methods of data collection which consisted of primary and secondary data, analysis of data, research ethics and the limitations encountered on the research. The data was carefully scrutinize and analyzed; the findings indicated numerous problems that staff, customers and middlemen give suggested solutions to the problems. The topics that were involved in the distribution network were; distribution or marketing channels, direct and indirect distribution channels, supply chain management, logistics, middle men, physical distribution and conflicts in the distribution network.
TABLE OF CONTENTS
Chapter Page
COVER PAGE....................................................................................................ii
ACKNOWLEDGEMENT.....................................................................................iii ABSTRACT........................................................................................................iv LIST OF TABLES AND FIGURES......................................................................v LIST OF QUOTATIONS USED..........................................................................vi CHAPTERS CHAPTER 1 Introduction..............................................................................1 1.1 Company Background ..2 1.2 Industry Background..3 1.3 Rationale .4 1.4 Dissertation Topic5 1.5 Objectives..5 1.6 Justification for Objectives..6
CHAPTER 2- LITERATURE REVIEW 2.1 Introduction of Literature review...7 2.2 Distribution network8 2.3 Logistics or Physical distribution..9 2.4 Dynamic distribution network 10 2.5 Distribution channel on middlemen & customers...11 2.6 Direct channel of distribution.13 2.7 Indirect channel of distribution...14 2.8 Value delivery network15 2.9 Conclusion of literature review......16
CHAPTER 3 METHODOLOGY ....................................................................17
3.0 Overview18 3.1 Research Type..19 3.2 Theoretical Approach..21 3.3 Types of Data23 3.4 Methods of Data collection.23 3.5 Research Methods...24 3.6 Research Tools.27 3.7 Analysis of Data.27 3.8 Research Ethics.28 3.9 Limitations to Research28
CHAPTER 4 FINDINGS....................... 29 4.1 Main Findings32 4.2 Analysis ..40
CHAPTER 5 CONCLUSION..51 5.1 Recommendation.....53
6.0 REFERENCES.57 7.0 BIBLIOGRAPHY....60 8.0 APPENDICES Appendix 1- Questionnaire..65 Appendix 2- Structured Interviews 67 Appendix 3- Questionnaire for customers...67 Appendix 4- Time schedule..67
LIST of FIGURES
Page no Figure 130 Figure 231 Figure 333 Figure 434 Figure 535 Figure 636 Figure 737 Figure 838 Figure 9.39 Figure 10..43 Figure 11..46
1.0
INTRODUCTION
Area of Study
This dissertation looks at a critical evaluation of the physical distribution network employed by a private company called Vasha Foods Limited. The reason why the researcher chose the above topic is that distribution network is a very significant component in the supply chain management in a company, particularly due to the world recession; companies are looking for innovative ways to be more cost efficient. Vasha Foods was decided as the base company to conduct this investigation because of the full support from the management team and directors, also the company was most suited as compared to other companies in the same sector. The dissertation consisted of a Literature review so that the researcher will have a sound theoretical base on which to stand. It will also provide the research topic with an intellectual, historical and theoretical context within which to frame the research topic in writing. In marketing, distribution is the process of moving a product from its manufacturing source to its customers (Turner 2006). Distribution is the steps taken to move and store a product from the supplier stage to the customer stage in a supply chain; it directly
affects cost and the customer experience and therefore drives profitability (Perreault 2005).
1.1 COMPANY BACKGROUND

This company was founded by Mr. Doolchan Sirjoo eleven years ago and started off as a manufacturer of burger patties. There target market was primarily the hamburger vendors operating throughout Trinidad. During that time of economic recession the companys vision was to supply its customers the ability to purchase a low cost burger patty and resell it for $5.00, which was affordable for most consumers. After captivating the market, in 2003 the products gained acceptance in the Trinidad and Tobago Food Nutrition programme and then found its way in all leading supermarkets. The company has now become the market leaders in burger patties and currently holds a commanding 67% of market share. Due to the demand of its products, the company had to start importing its own raw material because of shortages and higher raw material costs on the local market. Vasha Foods has now become a major distributor of foods items such as chicken, turkey, cheese, yogurt, beef, lamb, fish, fries and many more products. The company is now evolved as one of the leaders in the food industry with over a hundred products distributing to supermarkets, restaurants, caterers, up the islands (Subways) and direct customers.
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VFL is located at John Persad Trace, Fireburn road, Freeport Trinidad, employing over 100 employees with a distribution fleet of fifteen vehicles servicing B2B customers and B2C customers.
1.2 INDUSTRY BACKGROUND

The food industry in Trinidad & Tobago is the only thriving sector that showed an average growth rate of 13.7% the past year; however, it is highly competitive and has many companies continuously searching for competitive advantage by way of marketing research, developing new products, adjusting there marketing mix and being innovative. Vasha Foods marketing environment consists of all factors that are external to the companys marketing system and impinge on the success of the exchange process with it customers. These external factors which affect the company can be categorize and referred as the PESTLE analysis. The Technological environment in Trinidad saw the introduction of commercial GPS system; this can track company vehicles at any point in Trinidad and Tobago. This tool can assist in making the companys distribution system more efficient and effective. Vasha Foods main competitors are Premium Quality meats, Superstore, GM Foods and Romike. The threat of entry in the retail market is high, with many suppliers which transcend too little bargaining power. Competitive rivalry is also very high with competitors constantly reducing cost by way of price penetration of there products in order to sustain or grow market share. The industry is more prices orientated; the larger
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the volume of goods demanded influences the price the customer will pay and also the terms payment is another influencing factor in this industry with credit terms prices at somewhat higher that cash prices in the industry.
1.3 RATIONALE
The topic mentioned in the introduction is quite important to the researcher for a number of reasons. This is a very exciting topic which compels the researcher to perform at the highest level. It allows the researcher to apply theory, research procedures and analyze a real problem; whist contributing to a greater understanding. Choosing this topic will also provide key information and knowledge to other students who desire to purse this exciting topic. Finally, the researcher will gain a general understanding on distribution systems and the effects it has not only on Vasha Foods but other companies operating in the same industry. The knowledge and experience that would be gained from this exhilarating topic would be priceless.
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1.4 DISSERTATION TOPIC
Critically evaluate the distribution network at Vasha Foods Ltd.
1.5 RESEARCH OBJECTIVES
1). To identify the present distribution network and logistics at Vasha Foods Limited.
2). To assess the success of the present distribution channel on the middle men and customers.
3). Analyze findings, compare with theory and make recommendations if necessary.
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1.6 JUSTIFICATION FOR OBJECTIVES

Objective one is to identify the present distribution network and logistics at Vasha Foods Limited. By identifying this objective, the researcher can recognize the strengths and weaknesses of the distribution system, in order to execute the other two objectives objective needs to be performed. Objective two is to assess the success of the present distribution system on the middle men and customers. This objective flows from objective one and by assessing the success of Vasha Foods distribution system, it can be identified based on the success of the system, and it can or cannot be used as a benchmark for other companies operating in the same industry. Objective three is to analyze findings and compare with theory and make recommendations if necessary. In order to write a successful dissertation the researcher must have a strong theoretical base on which to stand on and also provide the research topic with an intellectual, historical and theoretical context within which to frame the research topic in writing. The objectives must have corresponding techniques with immediate application to the research topic and be impartial; findings must be compared and contrasted to several bodies of literature in order to measure its applicability. Based on the researcher
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opinion and research these objectives fit the criteria to execute a successful dissertation.
2.0 LITERATURE REVIEW

Introduction of Literature Review The success of this literature review was conducted by using various books, articles, journals and other valuable resources that was relevant to the topic. The main purpose of this literature review is to convey to the reader what knowledge and ideas have been established on the above topic, and what their strengths and weaknesses are. The literature review will be defined by a guiding concept which is the research objectives, and will enlarge the reader and the researcher knowledge and information about the topic. Fisher (2009) cited that integration is essential in the distribution of products and services whether distribution conducted through a single supplier and single customer, or a direct salesman on each customer would be inefficient as compared to such distributors if integrated can be able to carry out a number of manufacturers products, and at the same time increasing standard cost levels. Further more this would allow market manager to be more competent of taking advantage of local knowledge and active customer reliability to sell more efficiently bring success to the organization.
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The topics that are involved in the area of study (distribution network) are; distribution or marketing channels, direct and indirect distribution channels, supply chain
management, logistics, middle men, physical distribution and conflicts in the distribution network. 2.2 Distribution Network According to Kotler and Armstrong (2006:p367), distribution network consists of the different channels of distribution for example direct and indirect channels, dispatching of goods through the network, customer service management, cost of distribution, and the distribution system. However Rees and Wall (2004:p376), added that distribution network refers to the route the product takes from the producer to the final consumer. These channels must however, fulfil a number of functions, including the physical movement of the products, their storage prior to transit sale, the transfer of title to the products and their presentation to the customer.
Castell (2001) cited that an optimal distribution network is intelligently designed to minimize costs by providing the customer the right goods, in the right quantity, at the right place, and at right time. He goes further to emphasise that most organizations, controlling distribution costs involves striking a balance between warehousing and transportation. While more distribution centres drives down the cost of transportation, the opposite holds true as well.
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2.3 Logistics or Physical Distribution According to Arbury (2007) physical distribution is the interrelationship of all the factors which affect the flow of both goods and orders necessary to fill orders. This flow starts when the customer decides to place an order and ends when the order is delivered to the customer. Physical distribution involves not only the action required to fill a particular order, but also the action necessary to prepare oneself to meet customer needs. However Kotler (2009) has cited that physical distribution looks at the planning and control of distribution activities in an effort to minimize cost. Conversely logistics have taken the advantage which concentrate customer, market needs, emphasize on cost savings and an effective competitive tool in the marketplace. Logistics is a key factor for suppliers as it is significant by gaining a competitive edge over its competitors. An organization using this system tends to have products available, delivery that is dependable, competent and accurate order processing in an effort to keep its customers. Whereas Kotler looks at the planning and control of distribution activities; Mc Carthy (1993) focuses on efficiency. Mc Carthy indicates that Physical distribution is the set of activities concerned with efficient movement of finished goods from the end of the production operation to the consumer. Physical distribution takes place within numerous
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wholesaling and retailing distribution channels, and includes such important decision areas as customer service, inventory control, materials handling, protective packaging, order procession, transportation, delivery time, warehouse site selection, and warehousing. 2.4 Dynamic Distribution Network
The agility with which a company handles its supply chain is becoming a mark of business excellence and a measure of advantage. The emergence of what is called a "dynamic distribution network" is a strategy that allows for a good fit in an everincreasing global marketplace (John Fontanella 2006). Fontanella (2006) added that a Dynamic distribution networks reduce customer uncertainty over availability and delivery, which makes your company more attractive to do business with. We have seen dynamic distribution networks at work in the computer industry, where products are configured to order as a standard service using a wellsynchronized network of suppliers and service providers. Now, the concept is being adopted by retailers to better serve consumers in categories like consumer electronics and the Food industry. However Geoffrey Butcher article (2004) differ his views when he asserts the importance in planning the most suitable, flexible and cheapest dynamic distribution network. Certain elements can be juggled with in working towards the solution: the type of transport, frequency of delivery, service levels even the numbers and locations of supply points.
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2.5 Distribution Channels on middle men and customers
Kotler (2009), defined distribution channel or marketing channel as a set of interdependent organizations involved in the process of making a product or service available for use or consumption by the consumer or business user. Bucklin (1966:p257) had similar views, as he defined distribution channel as a set of institutions that performs all the activities utilized to move a product and its title from production to consumption. Many theorists including Bucklin emphasize the importance of distribution gaining a competitive advantage and that implementing the right distribution system will allow companies to increase customer loyalty as it acts as a key in creating value for money and revenue growth. Corey (2000) in his work of study saw the importance of distribution channels as an external source, how would it affect marketing its goods and the success of the organisation. This he believes having long term obligation to other companies and to what extent training and motivation are given to dealers. Rees and Wall (2004:p325) have stress the importance on where a product is located, this has raise the attention of the distribution channel used and competitive advantage will be achieved.
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Many theorists have contributed their thoughts on distribution channel, they have all link distribution to topics they believe best explain or what distribution contributes in marketing an organization products. According to these theorists they have seen the importance of power management in distribution channel. The theory developed by Adel. L, E and Louis. W, S (1999) stated that measurement of power is a prerequisite for the analysis of the distribution channel as behavioural system. This article presents a model for power measurement and the results of a first attempt to empirically measure power relationships within a specific channel of distribution. Contrasting to what Johnson J. L (2008) believed that integration should play a strategic role in distribution among firms. Johnson stated that, uncertainty was expected to have contextual effects in the development and outcomes of strategic integration in industrial distribution channels. From a survey conducted by various distributors showed that integration relationship from its supplier was successful by factors such as dependence, flexibility, distribution age and continuity expectations, which increased a companys financial performance.
Christopher (1998:p5) however cited that the key basis of competitive advantage initially in the organization is being able to be different from competitors, most importantly having its customers in mind. This would however dictate the organization operating at lower cost while at the same time gaining higher profits.
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TYPES OF DISTRIBUTION CHANNELS 2.6 Direct channels of Distribution According to Wright (2004), most suppliers use direct channel of distribution in marketing their products. This method allows customers and manufacturers to be more capable of structuring a relationship through better communication. However it requires sellers and buyers to be constantly communicate on their service, quality and delivery and as a result long-term satisfaction will be achieved. Cateora and Graham (2005) believe that selling directly to customers through mail, telephone or door to door are mostly used by companies whose market possesses insufficient or immature distribution systems. It is most appropriate for the prosperous markets. Contrasting to Perreault (1993:p318) views that many firms prefer to distribute direct to the final customer or consumer. One reason is that they want complete control over the marketing mix. Marketing managers think that they can serve target customers at a lower cost or do the work more effectively than middlemen. Further, working with independent middlemen with different objectives can be troublesome.
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2.7 Indirect channel of Distribution
Wright (2004) stated that some companies desire to have their products pass through a number of intermediaries. These intermediaries within the organization act as a stream for services and products between suppliers and customers. Fisher (1996:p229-30) added his research that most companies tend to choose the indirect channel of distribution because the intermediary may allow the company gain numerous benefits. This type of distribution channel is successful mainly when customer purchase goods in small quantities, since it is cheaper to transport goods to convenient centres and from these distribute in small lots. In Contrast Hannagan (2002) indicated that indirect distribution has played an important role in delivering a product that would satisfy customer needs. Retailers and wholesalers compete for extra services to make their products attractive to customers. Middlemen also reduce the promotion and selling effort of producers and retailers. Additionally, for a company to be successful marketing should be don at every stage so the customers can be more satisfied and a demand for the product and services will increase. Similarly Mc Carthy (2003) stated that one of the most important reasons for using indirect channel of distribution is that middlemen can often help producers serve customer needs better and at a lower cost.
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2.8 Value of Delivery network
Globalization and technological innovation are creating dynamic network or chain of interconnected players to bring and deliver value to the end user. The notion that value can be created by cooperation has led marketers to search for winwin positions as a way to enhance profitability through collaborative value creation (Anderson, & Johanson, 1994; Kanter, 1994). The idea of value creation and exchange is the foundation stone of relationship marketing and is based on three different assumptions of value exchange potentialities; (Christopher et al., 2009) argued that value is
created; as an offering and delivered through recurrent transactions within a suppliermanaged relationship; through mutually interactive processes and shared through negotiated agreement within the life of a relationship and shared in interactions that emerge from within networks of relationships.
Jessop and Morrison (1994) had contrasting views, stating that deliveries of products are valued by customers as well as members of the value chain. If delivery is done at the inaccurate location this may give rise to considerable delays. This results in consumers being unable to get the products at the right time and right place and this hinders the profitability of the whole company as consumers may search for a substitute.
CONCLUSION OF LITERATURE REVIEW
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Distribution network has evolved as a strategic marketing approach which is oriented towards attaining long-term profitability and value creation by interactions and mutual exchange among customers, suppliers and other stakeholders. It is an approach which can be adopted to enhance the competitiveness and profitability of a value delivery network. Better integration and shared mutual values can be developed through relationship marketing across value delivery network. Subsequently the present study based on literature review further provides a scope to explore and establish a theoretical framework for distribution. Based on the literature review, it can be noted that it is significantly important that all companies employ some form of distribution network, whether directly or indirectly, as choosing the wrong network or channel can severely affect the company sales and profitability performance. To support this, numerous theorists were used based on their research that distribution channels are important for gaining competitive advantage as noted by Bucklin and lower operating costs. Kotler and Armstrong and Rees and Walls had similar views on the distribution network, whilst Castell and Fontanella defended the need for an optimal and dynamic distribution network.
Integration between distribution channels is significant, for it integrates both suppliers and distributors as indicated by Kotler (2000). This allows information to be shared as well as the successful sale of the product. Similarly, the majority of authors stated that
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most companies uses direct distribution because it allows them to achieve success at a faster rate and also reduces the promotion and selling efforts of producers and retailers. Going direct can cut significant costs from the system because you dont have to provide a profit for intermediaries such as wholesalers and retailers. However based on the size of the company indirect distribution can also be more advantageous than direct methods. In concluding, though were different views from various theorists on distribution network and channels direct or indirect, each writer focus was based essential for the success of a company; this requires not only the marketing department but the entire supply chain management team to successfully achieve the companys goals and objectives.
3.0 METHODOLOGY
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Introduction Collis and Hussey (2003) defined Methodology as the analysis of the principles of methods rules and postulates employed by a discipline, the development of methods to be applied within a discipline and a particular procedure or set of procedures. The methodology shows how the research was undertaken, how data was collected and analysed with respect to established theoretical concepts aligned to the three stated objectives in chapter one. This part of the dissertation was an important component that essentially mapped out the methods that was utilized in transcending to the next chapter. This chapter was also used to justify the chosen methods employed during this dissertation. 3.0 Overview The methodology comprised of seven parts; the research type, theoretical approach, different data types, methods of data collection which will consist of primary and secondary data, analysis of data, research ethics and the limitations encountered on the research. These components were analyzed, and then justified with respect to the three stated objectives in chapter one in order to give clear and precise findings, leaving little or no room for errors.
3.1 Research Type
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There are four different types of research these being exploratory, descriptive, explanatory and predictive. Exploratory research is conducted when there are few or no earlier studies to which references can be made for information. The aim of this type of research is to look for patterns, ideas or hypotheses rather than testing or confirming a hypothesis (Collis & Hussey 2003). In exploratory research the focus is on gaining insights and familiarity with the subject area for more rigorous investigation later. The main reason the researcher did not choose this type of research is because , it could be quite difficult to pursue a research question that is exploratory, since there is less scope to build on the work of others. However descriptive research describes phenomena as they exist. It is used to identify and obtain information on characteristics of a particular problem or issue and the cause of something that is happening (Saunders 2009). The main reason for not choosing this type is that the data collected are often quantitative, and statistical techniques are usually used to summarise the information. Descriptive research goes further than exploratory research in examining a problem since it is undertaken to ascertain and describe the characteristics of the issue. (Collis & Hussey 2003)
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Analytical or explanatory research is a continuation of descriptive research. The researcher goes beyond merely describing the characteristics, to analyse and explain why or how something is happening. Thus, analytical research aims to understand phenomena by discovering and measuring causal relations among them (Collis & Hussey 2003). This type of research was best suited for the topic because; it not only identifies and obtains information on the characteristics of a particular problem or issue , it analyses the research in order to attempt to answer such questions such as how can we upgrade, how can we improve or how can we expand the distribution network. An important element of explanatory research is identifying and, possibly controlling the variables in the research activities, this variable can change and take different values which can be observed or and measured. (Saunders 2009) Although predictive research goes further than explanatory research the latter establishes an explanation for what is happening in a particular situation, whereas the former forecasts the likelihood of a similar situation occurring elsewhere.
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3.2 Theoretical Approach Paradigms offer a framework consisting of an accepted set of theories, methods and ways of defining data (Collis & Hussey 2003). The following are three research paradigms:
Phenomenological Paradigm Positivist Paradigm
Triangulation Phenomenological / Quantitative Paradigm This paradigm looked rigorously at the subjective aspects of human activity by focusing upon the meaning, rather than the measurement of social phenomena. Quantitative research took an inductive approach, which involved the development of a theory as a result of the observation of empirical data. Such research seeks to provide people with a means of attempting to understand a world that cannot be understood in terms of numbers and objectivity (Collis & Hussey 2003). Positivist / Qualitative paradigm (Saunders 2009) stated that this approach seeks the facts or causes of social phenomena, with little regard to the subjective state of the individual. This paradigm was applied to logical reasoning and precision; objectivity and rigor were used in investigating research problems. This systematic approach originated by M Auguente Comte fit the research design.
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Based on the topic in chapter one together with the objectives; a mixed paradigm known as methodological triangulation. The intent was to obtain both qualitative and quantitative data to understand these extremities perspective and to effectively analyse their actions. The researcher noted awareness of interviews being an inductive approach, however it was necessary and the theory testing approach was adhered to. Denzin (1970, p.297) defines triangulation as the combination of methodologies in the same phenomenon. Bryman (2008) contends that triangulation has vital strengths, encourages productive research, enhances qualitative methods and allows the complementary use of quantitative methods. A triangulation approach was adopted in which primary data was collected via in-depth interviews with the Operations Manager, Sales Manager, Warehouse Manager and the Dispatch supervisor, while questionnaires were distributed to operational staff. A mixture of both quantitative and qualitative methods of data collection was used to execute objective one and two.
3.3 Types of Data
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There are two types of data qualitative or quantitative. Qualitative data is concerned with qualities and non-numerical characteristics; whilst quantitative data is all data that is collected in numerical form. Both types of data was used in objective one and two, however information from objective one and two was used to complete objective three.
3.4 Methods of Data Collection
The Exploratory method using data collected via primary research through the use of structured interviews, questionnaires, surveys and observations. This inductive type of research based or grounded in the observations or data from which it was developed; it used a variety of secondary data sources, including quantitative data, review of records and reports. The questionnaire produced standardised data that allowed easy comparison. However, it was very time consuming in designing the questionnaire and analysing the results although the researcher was independent.
3.5 Research Methods
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Secondary Research methods
These methods involved perusal of sales reports (weekly, monthly), customer bills, returned goods report, customer complaint documentation, vehicle maintenance report and time sheets of drivers, loaders, dispatchers and warehouse staff.
Primary Research Methods This method involved collecting data through the techniques mentioned above in order to access more reliable information with the intention of providing specific information with reference to objective one.
Questionnaires One questionnaire was designed for this research: Self-Completed Questionnaire This was given to a sample of the
distribution customers and middlemen (Refer Appendix 3.) The Interviewer Administered Questionnaire was structured in such a way to complement the interview in order to collect detailed information on the Companys distribution network. While the Self Completed Questionnaire was designed with Tick Boxes and Multiple Choice Answers to allow for the sample chosen to answer quickly allowing for more customers and middlemen to be asked within the time period. This
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method consisted of possible drawbacks mainly for the Self Completed Questionnaires, as the information collected by the sample may be untrue as it is difficult to measure the validity of such answers from an unknown sample.
Sample Selection The number of employees in VHL distribution network totals forty. By sampling only a section saved time and collection was more manageable. The researcher chose probability sampling to do the survey, because with probability samples the chance or probability of each case being selected from the population is known and is usually equal for all cases. This means that it is possible to answer research questions and to achieve objectives that require you to estimate statistically the characteristics of the population from the sample.
The researcher targeted those that were in the managerial and operational level as they were suitable to the research. Of this population the researcher selected the most appropriate sampling technique to obtain a representative sample ~ stratified random. This was chosen because of the geographical spread of the population, as it was suitable for all sizes of population.
Interviews
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Interviewer Administered Questionnaire Structured Interview type was given to 4 individuals of the organisation; Warehouse Manager, Dispatcher Supervisor, staff who was interviewed based on the questions recorded (Appendix 1) The interviews were conducted consisting of five members of the organisations staff Operation and Sales Manager, Purchasing Manager, Quality Assurance officer and Production Manager (Appendix 2). This data collection allowed for clarification and an opportunity to ask supplementary questions to ensure that questions were fully understood.
Observation
This data collection method was used for objective one. Quick notes were recorded about the organisation and its employees while at work. However, it must be noted that the findings from such a collection process may be distorted due to reasons such as the employees being aware of being watched.
3.6 Research Tools The tools that were used for both interviews and observations were notebook, pen, to write all the observed data, a laptop were used to input data. Organizational records,
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sales reports, delivery notes and invoices were also collected and some reports were photocopied for further knowledge on the current distribution system used.
3.7 Analysis of Data
For objective one and two the quantitative data, exploratory analysis was used, through this method univariate data and bivariate data was analyzed. Univariate data analysis was `employed using frequencies such as tables, charts, and graphs, which was most appropriate for this research paper in considering the topic chosen, also it is best
suited to effectively concentrate on the research objectives to a good measure of accuracy. Objective three the research technique used in analyzing data was Cognitive mapping. According to Collis and Hussey(2003:p266) The emphasis of using this technique is in the importance of examining and reexamining the data (evidence) and seeking explanation which best fit the data.
3.8 Research Ethics
The results of the research were highly analytical, making use of several established analytical models and tools. The researcher was highly ethical, very professional in his
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approach and show high levels of respect for privacy. The presentation of data was very clear and precise leaving little or no room for errors. Honesty and integrity was done in reporting data, results, methods and procedures, and publication status.The researcher strived to perform the investigation with the highest degree of accuracy as possible in order to present valuable findings, analyses and recommendations.
3.9 Limitations to Research
The researcher faced some difficulty during the issuance of the questionnaires, which resulted in a delay in collecting the questionnaires on the scheduled date. This was due to a surge of busy days and miscommunication amongst, the HR and Operations Manager and the researcher. This delay resulted in the loss of critical time for analysing data from this method. The response from the questionnaires sent was only seventyfive percent, which was disappointing and thus restricted a true representation of the entire network.
4.0 FINDINGS
The following data was collected and carefully scrutinized from all the various research methods used in the methodology mentioned above. The findings will emphasize the use of diagrams to explore and understand the data. The sampling method used was
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determined because it is often used when working with very small samples such as in this project (Neuman, 2006).
Objective one was to identify the present distribution network and logistics at Vasha Foods. The instruments that were used as indicated above were interviews, observation, perusal of company reports, and structured interviews. Objective two was to assess the success of the present distribution channel on the middle men and customers. The instruments that were used were structured interviews Manager; Questionnaires and surveys for customers and middle men. (30 people) Vasha Foods Limited distribution network consists of a billing department of one person, four regular dispatchers, seven warehousing staff, fifteen drivers and twelve lorry men. The fifteen trucks carry about 85% of frozen products with the other 15 % being dry products. However only five out of the fifteen trucks are refrigerated the others are insulated. The company operate both types of distribution channels; direct and indirect channels, in four main segments that consist of supermarkets, caterers, restaurants and Tobago. The following information shows the results obtained from observation conducted at Vasha Foods Ltd. Numerous errors were identified on outgoing invoices by dispatchers due to wrong prices, amounts, out of stock and wrong addresses. Two drivers had to wait about fifteen minutes for patties to be prepared. Four drivers and lorry men reported to work late, whilst two stayed home
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The question was asked to the Operations Manager on what percentage of customer complaints stem from the distribution network.
Custom complaints er
70%from distribution network Thirty percent other
Figure 1
The response was seventy percent of customer complaints stem from the distribution network, whilst thirty percent did not. Most of the complaints were about the condition of products and the delivery time. The next main question that was asked to the Sales Manager was; who are VFL main competitors and what market share do your company hold in the industry.
Mark S et hare
GM Foods 15% Superstore 30% Premium Qua lity 24% Va Foods 22% sha Other 9%
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fig
Figure 2
Figure 2 above depicts the an industry market share with VFL controlling 22% of the market, then followed by Premium Quality meats with 24%, after Superstore with 30% market share. Vasha Foods main competitor in Burger patties is GM Foods, however in the other frozen products (meats) Vasha is in sixth place with Superstore number one.
4.1 MAIN FINDINGS CUSTOMERS & MIDDLEMEN Thirty questionaries were carried out in four zones; South, Central, East and North zone. The customers and middlemen comprised of supermarkets, restaurants, burger cart vendors, caterers, and wholesalers. Telephone interviews were used for the Tobago segment. Most of the surveys were conducted during the week on evenings between the hours of four and six pm and the rest on Saturdays mornings between the hours of eight and ten am. The question was posed to the customers and middlemen on the frequency of which goods are being delivered by the company. Though it may seem to be a general question, it is closely linked to question (2) on delivery time. The response was that 8%
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responded fortnightly, 60% responded weekly and 32% responded monthly. The data indicate the company delivers mainly on a weekly basis to customers.
The following question was about the delivery time the products are being delivered to the customers and middlemen in Figure 3 (below)
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Areyou satisfiedwith delivery tim e?

70% 60% 50% YES; 37% 40% 30% 20% 10% 0% YES NO NO; 63%
Figure 3
The response shows that 37% of the middle men and customers were satisfied with the companys delivery time. However 63% were not satisfied with the delivery time. The findings also indicate that customers and middlemen are not only not satisfied with the delivery of VFL products but also in terms of out stock products that are being ordered and delivered when it is in stock.
Q 3:
41
H are the driversand loader attired ? ow
70% 60% 50% 40% 30% 20% 10% 0% Response Proffessional Unproffessional
Figure 4
The response was that 63% of respondents agreed that drivers attire is unprofessional, whilst 37% agreed on drivers being professionally attired. Further investigation reveals that there is a high turnover rate of drivers at Vasha Foods; this is the main reason for the above statistics. A comparative analysis was conducted with VFL closest rivals Premium Quality meats in terms of their distribution network as shown in the diagram below.
42
100 90 80 70 60 50 40 30 20 10 0 Billing Trucks Warehous e Drivers
V ha F as oods Prem ium Quality
Figure 5
The question was asked on the amount of staff employed in the billing department. Figure 4 indicate that Premium Quality meats employs two billing clerk whilst VFL employs one. This question was addressed to the dispatching departments on the amount of trucks working for the companies. Results indicated that there are fifteen trucks operating for VFL, however PQM has twenty trucks working. Fifty percent of the trucks for PQM are refrigerated and the other half insulated; as compared to 33% at VFL. It must be noted that 75% of PQM trucks are branded with the company logo compared to VSL 14 %. In terms of warehousing department for VFL; 90 % of staff report to work early or on time, however further investigation reveal that PQM only 60% of warehousing staff report to work early or on time. Q 5:
43
H would you rate the relationshipbetween ow yourselfand V ashaF oods?

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Response Excellent Not good Good
Figure 6
Question five looked at how efficient the relationship between VFL is with their middlemen and customers. Upon examining the data fifty two percent of respondents said that they have a good relationship with Vasha Foods, however thirty eight percent respondents said that they dont have a good customer relationship with the company with only ten percent said that they have a excellent relationship with VFL.
Q 6:
44
Areyou satisfiedwith the condition of g oodsbeingreceived fromV ashaF oods?

50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Quality of Goods Somewhat Occasionally Satisfied Unsatisfied
Figure 7
Question six was about the condition of the goods that are being received from VFL and the data indicate that 20% is somewhat satisfied with the condition of goods being received, however 48% is occasionally satisfied, 28% are satisfied and 4% is not satisfied with the condition of goods being received by the company.
Q. 7
Figure 8
45
H reliable isV ow asha foodsdistribution networkin terms of stock?

50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0%
Response from VSL customers
No response
Very reliable
Somewhat reliable
Unreliable
This particular question examined the reliability of the distribution networks and the results indicate that 28% of respondents indicated that V.F.L is unreliable in terms of receiving stock. 48% however indicated that V.F.L is somewhat reliable in receiving stock; whilst 16% of respondents agreed that the company is very reliable and 8 % had no response. Q 8.
46
Whatim provem entsV asha foodsshould considerin term of distribution? s
Safety Im provements
Service fromdrivers Apperance of vehicle Condition of goods Deliverytim e
0%
20%
40%
60%
Figure 9
The final question was what improvements Vasha Foods should consider in terms of distribution. The response was 50 % of customers and middlemen indicated delivery time; 36 % indicated condition of goods; 10% pointed out service from drivers need to improve and 4% indicated the appearance of vehicles need improvement in terms of the distribution channel.
4.2 ANALYSIS
47
Distribution Network Interpretation of the above data has indicated that the current distribution network of Vasha Foods Limited consisted of both indirect and direct channels of distribution, a billing department with one billing clerk, dispatching of goods through the network, Warehousing and the distribution system. Kotler and Armstrong (2006:p367), had similar views on the distribution network expect that VFL does not have any accurate customer service management system in place. Rees and Wall (2004:p376), added that distribution network refers to the route the product takes, their storage prior to transit sale, the transfer of title to the products and their presentation to the customer. Castell (2001) cited that in order to optimize distribution network; organizations must control distribution costs which involves striking a balance between warehousing and transportation. However it is evident that VFL is yet to strike this balance in order to efficiently optimized there network.
Direct Channel The direct channels of VFL comprises of supermarkets, restaurants and caterers and as Wright (2004) stated that direct channels allow customers and manufacturers to be more capable of structuring a relationship through better communication. There is
48
evident of a good relationship with the company and the customers and middlemen (pg 40 refer figure 6). However Wright also stated that it requires sellers and buyers to be constantly communicating on their service, quality and delivery and as a result longterm satisfaction will be achieved.
Indirect Channel Vasha Foods indirect channel of distribution is serviced to the middlemen who are wholesalers, the customers benefit at lower prices and improved service as stated by Fisher (1996). The findings reveal the same statement indicated by Hannagan (2002) that retailers and wholesalers compete for extra services to make their products attractive to customers. Middlemen also reduce the promotion and selling effort of producers and retailers. However investigation reveals in VFL that middlemen do not get there products on time because of the volume requested at one time and the problem as indicated in the findings is space is limited on the trucks. Most times middlemen would have to accept there goods on the afternoon; between the hours of three to six in the afternoon. This is only the time when trucks become available due to the other segment being serviced on the mornings. Logistics or Physical distribution
Arbury (2007) stated that physical distribution is the interrelationship of all the factors which affect the flow of both goods and orders necessary to fill orders. The factors that
49
affect the flow of goods to the customer in VFL are shortage of dispatchers. In VFL network there consist of four dispatchers of which 85% of them report to work on time and are assigned to dispatch fifteen trucks in two hours; the data has indicated that the dispatchers are not sufficient to handle all the vehicles in the specified time frame. Rees and Wall (2004) identified one of the more important aspects of the physical network which is the transfer of title to the products and their presentation. In examining these aspects for VFL is was found that there are fifteen trucks of which only two are branded. Only thirty four percent of the trucks are refrigerated by the company whilst the other sixty six percent are insulated.
The Distribution Logistics at V.F.L and order of importance shown in figure 10.
50
12% 31% Order process Transport Storage Inventory
38% 19%
Figure 10
The logistics comprises of the order process, transport, storage and inventory, with transport being the most important and order process being the least. Innis, Daniel E, La Londe, Bernard J (1994) interestingly states that most logistics executives recognize that physical distribution is one of the primary means through which customer service is delivered to the final customer. And yet, the importance of customer service, and of the distribution function, has only recently been recognized in either the literature or in practice. .
Distribution Channel
51
Question two focussed on punctuality on the distribution department which revealed some interesting outcomes. The workers that report to work late or are absent it was revealed that 90% of them said that they was not motivated to work because the company did not pay them any bonuses for year end December 2009. Investigations further reveal that loaders are the least paid people in the organization. The theorist Vroom (1964) described it in his expectancy theory where an outcome that has a high expectancy of being reached and of which the rewards are highly valued will direct people to exert much greater effort in their task.
Dynamic Distribution network
52
A comparative analysis was done (refer figure 5) against VFL closest rivals (PQM) in order to determine the level of success of the distribution network in that company. The results did indicate that Premium Quality Meats distribution network is superior to VFL. Fontanella (2006) added earlier that a Dynamic distribution networks reduce customer uncertainty over availability and delivery, which makes your company more attractive to do business with. The two main attributes identified by Fontanella for a dynamic distribution network are availability and delivery. Question one and two was aimed at identifying how dynamic the distribution network is at VFL in terms of delivery time and availability. Gilbert (2003 pg 217) goes on to indicate that no amount of service enhancement or added incentives will effectively make up for an empty shelf. Goods delivered not in time translate to loss in sales to both distributor and middlemen. The question was asked to drivers, why do customers receive there goods so late and their response from most of them was that mistakes on bills, inefficient inventory system were goods are billed and upon dispatching, the goods were unavailable and the bills had to be printed over, another main challenge for the drivers is a lot of traffic on the road compounded by long waiting time in the major supermarkets.
Value delivery network
53
Figure 11
Relationship is another key component in the distribution network as indicated by (Christopher et al., 2009) that value is created; as an offering and delivered through recurrent transactions within a supplier-managed relationship; through mutually interactive processes and shared through negotiated agreement within the life of a relationship and shared in interactions that emerge from within networks of relationships. Thus value delivery looks at how efficient the relationship between VFL is with their middlemen and customers. Upon examining the data fifty two percent of respondents said that they have a good relationship with Vasha Foods, however thirty eight percent respondents said that they dont have a good customer relationship with the company with only ten percent said that they have a excellent relationship with VFL. (Kotler & Armstrong 2006) indicates the importance of CRM to customer service by arguing Customer Relationship Management (CRM) The process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction. It was noted that customers that had good and excellent relationship with the company has had healthy sales with the company. Also some customers did indicate that if they
54
had closer relationship with the company in terms of an efficient distribution system, better credit facilities, and more visual interaction with a sales representative , that they are willing to increase their purchasing from Vasha Foods.
Optimal Distribution network
There is evidence to indicate that VFL distribution network has reached to an optimal point; because of five unrefrigerated was bought in the last two years, the volume of goods has increased by over forty percent over the last nineteen months and most trucks are almost filled to capacity. Castell (2001) indicated that an optimal distribution network is intelligently designed to minimize costs by providing the customer the right goods, in the right quantity, at the right place, and at right time in the right condition. Question five was about the condition of the goods that are being received from VFL and the data indicated that only twenty percent of customer is somewhat satisfied with the condition of goods being received, however forty eight percent is occasionally satisfied with the condition of goods being received by the company. Investigations reveal that the 28% who was satisfied with the condition of goods received are the customers that receive the goods in a refrigerated truck or receive the goods in less than three hours in an insulated truck. Gattorna and Walters (1996) believe that infrastructure elements supporting availability for a customer such as
55
transport is important to recognize the interrelationship that exist between this element; and states that a ruthless pursuit of cost savings within one element is flawed if the result is simply to push a cost burden on to another. It must be mentioned that two customers refused to corporate with the researcher with the questionnaire because they indicated that they were very upset that they placed order, and no one inform them that they were out off stock.
Customer Service impact on Distribution network
Innis, Daniel E (1994) emphasize the importance of customer service and the distribution network and states that Distribution is one of the primary means through which customer service is delivered to the final customer. And yet, the importance of customer service, and of the distribution function, has only recently been recognized in either the literature or in practice. Investigations reveal that Sales representatives and merchandisers were being affected by the distribution network as revealed by supermarket customers on the question on delivery time. Structured Interviews were then conducted with the company Sales representatives, and merchandisers.
56
The merchandisers response was similar and stated their frustration on commuting to supermarkets to merchandise the goods only to find out at times that the products was not sent due to products being out of stock or the non availability of drivers to deliver them. This was a clear indication of a breakdown in the line of communication with the dispatch department, the sales representative and merchandisers. Perreault (2004) states by focusing on an efficient distribution network will impact on customer service in a positive way. The manager can establish a competitive advantage by providing high levels of service on these important attributes. The question was what improvements Vasha Foods should consider in terms of distribution. The response was 50 % of customers and middlemen indicated delivery time; 36 % indicated condition of goods; 10% pointed out service from drivers need to improve and 4% indicated the appearance of vehicles need improvement in terms of the distribution channel. The answer revealed that the most significant concern from customers and the middlemen are delivery time in terms of delivering the products at the requested time frame for the customer and not the company s policy of a two days delivery time for supermarkets. Caterers get there delivery the next day, however restaurants get their deliveries the same day.
5.0 CONCLUSION
57
It was evident in the above analysis that Vasha Foods Ltd conducts an inefficient distribution network. As Lambert and Zemke (2006) suggests that the output of the physical distribution function may in fact be the best method for many firms to gain competitive advantage. Lynaugh and Poist (2007) point out, it is essential to recognize the fact that physical distribution can contribute to marketing's success, and vice-versa. Both marketing and physical distribution are important contributors to the overall success of the firm. Some of the major inefficiencies that were discovered include one billing clerk with a high ratio of errors that led to poor customer service; over fifty percent of drivers and lorry men report to work late which results in late deliveries of customer products. Only a small amount of the company trucks are refrigerated which results in high percentage of products being delivered in poor condition. Thirty eight percent of customers and middlemen said that they dont have a good relationship with the company. Some of the contributing factors that were identified were non availability and late delivery of products, poor relationship between the sales representative, customers and middlemen. According to Massingham and Lancaster (2004) they believed that the relationship between channel members must be recognized as to allow a free flow of information. They also stated that it would increase the efficiency and effectiveness of the company. Results also showed that VFL has no current competitive advantage over its rivals. According to Rees and Wall (2004), by paying vast attention to the distribution network competitive advantage can be achieved by paying special attention to place from the
58
marketing mix . Jessop and Morrison (1994), emphasize in order to master the place, the distribution network is important. Communication has also been a cause of concern to the success of the organization. As stated by Usunier (2008) he believes, poor marketing communication desert potential customers because the established ones are focused on too much. The researcher observed that communication is a major problem with the company distribution network and had affected customer service in a negative way. As mentioned earlier it was noted that on frequent occasions products were not available on the shelves or available to the middlemen due to the company being out of stock. When investigated, the purchasing manager informed the researcher that the suppliers were out of stock of a delay in shipping occurred. As Bucklin (1966) stated that distribution channels are expected to move a product and its title from production to consumption, but evidently; VFL channel does not accomplish this all the time and as a result customers may turn to substitutes and middlemen may turn to the competitors thereby reducing the companys market share and a decline in customer service. Based on the above data and analysis it is evident that Vasha Foods does not have a successful distribution network and implementation of the recommendations below can indeed make it a successful network.
5.1 RECOMMENDATIONS
The research revealed many ideas and issues of the distribution network associated with Vasha Foods Limited. Recommendations were presented from staff and customers on ways to have a more effective and efficient distribution network. If these
59
recommendations are implemented the benefits for Vasha Foods are; increased market share, gaining a competitive advantage, increased sales, improved customer service and economies of scale.
Distribution Network As mentioned in the findings; data acquired from primary and secondary research; the company currently employs one billing clerk; however five years ago the clerk was billing approximately 13m per annum in sales. Sales as of end of last year totalled 37m. This is an increase of over 200% with stem from increase market share and diversification of the company in products and segments. Therefore additional billing clerks suggested by the current billing clerk with add efficiency to the network. Each clerk can be responsible for different segments of the sales for the company example supermarkets, caterers, restaurants, Tobago etc. Training is an important tool in the success of an organization and Thornton (1991) stated that training a planned processin the work situation is to develop the abilities of the individual and to satisfy the current and future needs of the organisation. The recommended training suggested from the Quality Assurance Officer will involve all staff that are part of the distribution network and will include training in the areas of Health and Safety, this is necessary as to educate staff on how to identify hazards on the workplace and also how to eliminate the hazard without decreasing the productivity level.
60
The drivers and lorry men would also required training on pulling of goods ; this procedure involving the physical removing of products from the freezers and production to warehousing department using forklifts and pallet jacks . This training is deemed necessary as to maximize the temperature of the products when it comes out the chillers and freezers because some products drop in temperature faster than others and also a faster flow of products to the loading bay. HACCP (Hazard Analysis Critical Control Point) is a food safety programme on practices of food hygiene that will not lead to cross contamination and food poisoning. The Production Manager is qualified to conduct this training and will be of minimal cost to the company. Evaluation is also important in determining whether training objectives have been met, or whether money and resources were spent wastefully on ineffective training. Hence it is recommended that there be more formalised training geared towards the distribution network. Having formalised training indicates the alignment to the organisations strategy and is highlighted by Torrington et al. (2005) a planned processin the work situation, is to develop the abilities of the individual and to satisfy the current and future needs of the organisation. Currently VFL conducts a manual inventory system which impacts in a negative way in the distribution network, products are depleting and on many occasions customers and middlemen complained about not receiving goods because of the company being out of stock.
61
The Purchasing Manager suggested a computerised inventory system, which can monitor the stock from his office without waiting for a manual report on a weekly basis, which is inaccurate at times. This would improve the efficiency of the inventory system and improved customer service. The organisation needs to implement an improved relationship amongst all staff who is involved in the network. By employing a vertical marketing system will improve the flow of information. Massingham and Lancaster (1994) stated that a vertical marketing system allows the free flow of information an each level of the distribution channel acts in an organised and united way to achieve greatest efficiency for the channel as a whole. He mentioned that each level in the channel would recognise interdependence and function on the basis of interdependence. Therefore, middlemen and customers will be satisfied and they will have created a competitive advantage.
Distribution Logistics Currently there are only five out of fifteen refrigerated trucks that are delivering 85% of frozen goods to customers and middlemen. The unanimous recommendations among drivers, is that another five trucks be refrigerated so as to decrease the possibility of products reaching customers at a defrosted state. This would also result in a fifty percent improvement in the quality or condition of the products reaching the customers and middlemen, customer complaints, damages and spoilages will also be reduced by a substantial amount resulting in improved customer satisfaction. The remaining insulated trucks can be used in close proximity areas within an half an hour radius.
62
Distribution Channel One of the major problems identified from the preceding analysis was delivery time to the customers and middlemen. This was contributed from drivers and lorry men reporting to work late, traffic on the roads, and absenteeism with drivers. The Operations Manager suggested a penalty for arriving to work late such as a reduction in salary or a warning letter on the other hand the driver that report to work early can also be rewarded for driver of the month with some financial reward. By drivers leaving earlier would also reduce the traffic time on the road.
A part time driver can be employed by the company to increase the efficiency of the distribution system. This would result in increased customer satisfaction. This was noted by Ibbetson and Newell (2007), physical distribution, through the provision of customer service, can contribute to the success of the firm and, can work to enhance customer satisfaction and repurchase intentions. This research has indeed proven the need for training, additional staff, new policies and additional refrigerated trucks within the distribution network. Management should take a proactive approach in implementing these recommendations to ensure a dynamic distribution network within Vasha Food Limited.
63
6.0 REFERENCES
Armstrong, G and Kotler, K (2006), Principles of Marketing 11th Edition: London Pearson Education Ltd, F/T Prentice Hall Blythe, J (2003), Essentials of Marketing Communications, 2nd Edition: London Pearson Education Ltd, F/T Prentice Hall Bucklin, L.P.A (1966), Theory of Distribution Channel Structure: USA, Berkeley, University of California Chisnall, P (2005), Marketing Research, 7th Edition: New York, Mc Graw Hill, International Ltd
64
Christopher, M (1998), Logistics and Supply Chain Management: London Pearson Education Ltd, F/T Prentice Hall Cole, A.G (1996), Management Theory and Practice, 5th Edition: England, Letts Ltd Companys Manual. Vasha Foods Limited (2004:p21-27) Fisher, L (1976), Industrial Marketing, Business Books: London, Pearson Education Ltd, F/T Prentice Hall Galvin, E and OConnor, J (2005), Marketing in the Digital Age, 3rd Edition, Pearson Edition Ltd Gilbert, D (2003), Retail Marketing, 2nd Edition: London Pearson Education Ltd, F/T Prentice Hall Graham, J and Cateora, P (2005), International Marketing, 12th Edition: New York, Mc Graw Hill, International Ltd Hannagan, T (2002), Management Concepts and Practices, 3rd Edition: London Pearson Education Ltd, F/T Prentice Hall Hart, S and Baker, M (1999), Product Strategy and Management: London Pearson Education Ltd, F/T Prentice Hall Hussey, R and Collis, J (2003), Business Research, 1st Edition, Palgrave, Macmillan Jessop, D and Morrison, A (2004), Storage and Supply of Materials, Pitman
65
Jobber, D and Lancaster, G (2000), Selling and Sales Management, 5th Edition: London Pearson Education Ltd, F/T Prentice Hall Kent, R (2002), Marketing Research: Measurement, Method and Application, 1st Edition: United Kingdom, Business Press, Thomas Learning Kotler, P and Keller, K.L (2006), Marketing Management, 12th Edition: London Pearson Education Ltd, F/T Prentice Hall Little, P (1986), Communication in Business, Pitman Lowe, R and Doole, I (2005), Strategic Marketing Decisions in Global Markets 1st Edition: United Kingdom, Business Press, Thomson Learning Lynch, R (2003), Corporate Strategy, 3rd Edition: London Pearson Education Ltd, F/T Prentice Hall Massingham, L and Lancaster, G (1994), Essentials of Marketing, 3rd Edition: New York, Mc Graw Hill, International Ltd Mullins, J.L (2002) Management and Organisational Behaviour, 6th Edition: London Pearson Education Ltd, F/T Prentice Hall Ranchod, A (2004), Marketing Strategies: A Twenty-first Century Approach, 1st Edition: London Pearson Education Ltd, F/T Prentice Hall Rees, B and Wall, S (2004), International Business 3rd Edition: London Pearson Education Ltd, F/T Prentice Hall
66
Scholes, K and Johnson, G.W (2005), Exploring Corporate Strategy 7th Edition: London Pearson Education Ltd, F/T Prentice Hall Simkin, L and Dibb, S (2001), the Marketing Casebook 2nd Edition: United Kingdom, Business Press, Thomson Learning Tailby, S, Nicholls, P and Hollinshead, G (2003), Employees Relations: London Pearson Education Ltd, F/T Prentice Hall Thornhill, A, Lewis, P and Saunders, M (2003), Research Methods for Business Students 2nd Edition: London Pearson Education Ltd, F/T Prentice Hall Usunier, C.J (2000), Marketing Across Culture: London Pearson Education Ltd, F/T Prentice Hall Wright, R (2004), Business to Business Marketing 1st Edition: London Pearson Education Ltd, F/T Prentice Hall
7.0 BIBLIOGRAPHY
Adel. L, El-Ansary and Louis, W, Stern John, F. G Journal of Marketing, Vol. 48, No. 3 (summer, 1984), pp. 9-29 Armstrong, G and Kotler, K (2006), Principles of Marketing 11th Edition: London Pearson Education Ltd, F/T Prentice Hall Blythe, J (2003), Essentials of Marketing Communications, 2nd Edition: Pearson Education Ltd, F/T Prentice Hall Bucklin, L.P.A (1966), Theory of Distribution Channel Structure: USA, Berkeley, University of California
67
Chisnall, P (2005), Marketing Research, 7th Edition: New York, Mc Graw Hill, International Ltd Christopher, M (1998), Logistics and Supply Chain Management: London Pearson Education Ltd, F/T Prentice Hall Cole, A.G (1996), Management Theory and Practice, 5th Edition: England, Letts Ltd Companys Manual. Vasha Foods Limited (2005:p7-22), Fisher, L (1976), Industrial Marketing, Business Books: London Pearson Education Ltd, F/T Prentice Hall Galvin, E and OConnor, J (2005), Marketing in the Digital Age, 3rd Edition, Pearson Edition Ltd Gilbert, D (2003), Retail Marketing, 2nd Edition: London Pearson Education Ltd, F/T Prentice Hall Graham, J and Cateora, P (2005), International Marketing, 12th Edition: New York, Mc Graw Hill, International Ltd Hannagan, T (2002), Management Concepts and Practices, 3rd Edition: London Pearson Education Ltd, F/T Prentice Hall Hart, S and Baker, M (1999), Product Strategy and Management: London Pearson Education Ltd, F/T Prentice Hall Hussey, R and Collis, J (2003), Business Research, 1st Edition, Palgrave, Macmillan
68
Jessop, D and Morrison, A (2004), Storage and Supply of Materials, Pitman Jobber, D and Lancaster, G (2000), Selling and Sales Management, 5th Edition: London Pearson Education Ltd, F/T Prentice Hall Johnson J. L Journal of Marketing, Strategic Integration in Industrial Distribution Channels, Washington State University Kent, R (2002), Marketing Research: Measurement, Method and Application, 1st Edition: United Kingdom, Business Press, Thomas Learning Kotler, P and Keller, K.L (2006), Marketing Management, 12th Edition: London Pearson Education Ltd, F/T Prentice Hall Little, P (1986), Communication in Business, Pitman Lowe, R and Doole, I (2005), Strategic Marketing Decisions in Global Markets 1st Edition: United Kingdom, Business Press, Thomson Learning Lynch, R (2003), Corporate Strategy, 3rd Edition: London Pearson Education Ltd, F/T Prentice Hall Massingham, L and Lancaster, G (1994), Essentials of Marketing, 3rd Edition: New York, Mc Graw Hill, International Ltd Mullins, J.L (2002) Management and Organisational Behaviour, 6th Edition: London Pearson Education Ltd, F/T Prentice Hall Ranchod, A (2004), Marketing Strategies: A Twenty-first Century Approach, 1st Edition: London Pearson Education Ltd, F/T Prentice Hall
69
Rees, B and Wall, S (2004), International Business 3rd Edition: London Pearson Education Ltd, F/T Prentice Hall Rugman, A and Hodgetts, R. (2003), International Business: 3rd Edition: London Pearson Education Ltd, F/T Prentice Hall Saunders, M., Lewis, P. and Thornhill, A. (2003), Research methods for Business Students 3rd Edition: London Pearson Education Ltd, F/T Prentice Hall Scholes, K and Johnson, G.W (2005), Exploring Corporate Strategy 7th Edition: London Pearson Education Ltd, F/T Prentice Hall Simkin, L and Dibb, S (2001), the Marketing Casebook 2nd Edition: United Kingdom, Business Press, Thomson Learning Tailby, S, Nicholls, P and Hollinshead, G (2003), Employees Relations: London Pearson Education Ltd, F/T Prentice Hall Thornhill, A, Lewis, P and Saunders, M (2003), Research Methods for Business Students 2nd Edition: London Pearson Education Ltd, F/T Prentice Hall Usunier, C.J (2000), Marketing Across Culture: London Pearson Education Ltd, F/T Prentice Hall Wall, S. and Rees, B. (2004), International Business (2nd edition): Prentice Hall Wright, R (2004), Business to Business Marketing 1st Edition: London Pearson Education Ltd, F/T Prentice Hall
70
Wright, R (1999), Market Origins, Concepts and Environment 1st Edition: United Kingdom, Business Press, Thomas Learning
http://findarticles.com/p/articles/mi_qa3705/is_199401/ai_n8715466, 28/03/10 http://libweb.apu.ac.uk/subjects/reference/harvard.php http://www.marketingpower.com/Community/ARC/Pages/Research/Journals/Other/defa ult.aspx, 2/04/10 http://www.vashafoods.com, 12/02/10
Appendix- 1
School of Accounting and Management

Blanche Fraser Street San Fernando 653-1064
QUESTIONAIRE
POSITION --------------------------
DATE-------------------------
DEPARTMENT----------------------
TIME--------------------------
[1] What makes up the entire distribution network and logistics at Vasha Food Ltd?
71
..
[2] What type of distribution channels does your company operates?
Direct __
Indirect__
Both __
[3] If both please explain in detail?
. [4] Are there a number of distribution channel used for different products?
[5] What type of products does the company distribute?
Frozen products __ Perishable products__
Dry products__
All three__
[6] Are the products transported together?
Occasionally_
Most times__ Seldom__
[7] How many trucks are involved daily in the distribution Network?
72
___________
[8] Are all the trucks refrigerated?
Yes__
No__
Some__
[9] If the answer to question 7 is some; then how many are refrigerated?
[10] When are all the trucks dispatched?
Night before__ Morning__ Both__
[11] Does the current distribution network help achieve Sales target through competitive advantage?
Yes__
No__
[12] In terms of technology. How do you rate the companys distribution network?
73
Good__ Very good__ Poor___ Excellent__
APPENDIX -2
Questions: [1] Is the company achieving and surpassing it monthly sales target? Yes _ No_
[2] If the answer is no. Could part of it be contributed to the distribution network?
Yes_
No_
[3] If the answer is yes. Please explain in detail
___________________________________________________________________
[4] Are your customers satisfied with the delivery time of your products?
74
Yes_
No_
[5] If your answer is no in question four; then what percentage of your customers are not satisfied with your delivery time?
[6] What percentage of customer complaints stem from the distribution network?
[7] Are you satisfied with the efficiency and success of your distribution network? Yes_ No_
[8] If the answer to the above question is no, then explain in detail below? _________________________________________________________ _____________________________________________________________ [9] Do your drivers, loaders, warehouse staff and dispatchers report to work on time? Yes__ No __ [10] If no then what percentage of distribution staff report to work on time.
75
APPENDIX- 3
[1] How often do Vasha Foods deliver goods to your company? Weekly_ Fortnightly_ Monthly_ [2] Are you happy with the delivery time? Yes_ No _ Somewhat
PRODUCTS .Very .Unsatisfied .Unsatisfied .Neutral .Satisfied . Very .Satisfied .Not .Applicable
Overall quality
Value for Money
Purchase experience
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Delivery Time
Usage experience
Condition of goods received
Good
Very Good
Excellen t
Poor
How do you rate our overall service?
How often to you see your sales representative?
Very Often
Often
Seldom
Never
77
APPENDIX 4
Timetable to highlight completion of proposal
TASKS to be Achieved
Final Topic Introduction Objectives Literature Review Research Questions Methodology Presentation of Data Analysis of Data Results and Findings Conclusion Recommendations Bibliography, References, Contents Final typing and binding Final typing and binding TOTAL in Months
Time Taken
One week One week Two weeks Five weeks Two weeks Eight weeks Three weeks Four weeks Four weeks One week Two weeks One week One week One week NINE MONTHS
78
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My beautiful wife who supported and encouraged me through difficult times.

CHAPTER 3 METHODOLOGY ....................................................................17

CHAPTER 4 FINDINGS....................... 29 4.1 Main Findings32 4.2 Analysis ..40

CHAPTER 5 CONCLUSION..51 5.1 Recommendation.....53

1.1 COMPANY BACKGROUND

1.2 INDUSTRY BACKGROUND

1.4 DISSERTATION TOPIC

Critically evaluate the distribution network at Vasha Foods Ltd.

1.5 RESEARCH OBJECTIVES

1.6 JUSTIFICATION FOR OBJECTIVES

2.0 LITERATURE REVIEW

2.5 Distribution Channels on middle men and customers

2.7 Indirect channel of Distribution

2.8 Value of Delivery network

CONCLUSION OF LITERATURE REVIEW

3.1 Research Type

3.3 Types of Data

3.4 Methods of Data Collection

3.5 Research Methods

Secondary Research methods

3.7 Analysis of Data

3.8 Research Ethics

3.9 Limitations to Research

Areyou satisfiedwith delivery tim e?

H are the driversand loader attired ? ow

100 90 80 70 60 50 40 30 20 10 0 Billing Trucks Warehous e Drivers

V ha F as oods Prem ium Quality

H would you rate the relationshipbetween ow yourselfand V ashaF oods?

Areyou satisfiedwith the condition of g oodsbeingreceived fromV ashaF oods?

H reliable isV ow asha foodsdistribution networkin terms of stock?

Response from VSL customers

Whatim provem entsV asha foodsshould considerin term of distribution? s

Service fromdrivers Apperance of vehicle Condition of goods Deliverytim e

12% 31% Order process Transport Storage Inventory

Dynamic Distribution network

Value delivery network

Optimal Distribution network

Customer Service impact on Distribution network

http://findarticles.com/p/articles/mi_qa3705/is_199401/ai_n8715466, 28/03/10 http://libweb.apu.ac.uk/subjects/reference/harvard.php http://www.marketingpower.com/Community/ARC/Pages/Research/Journals/Other/defa ult.aspx, 2/04/10 http://www.vashafoods.com, 12/02/10

School of Accounting and Management

[2] What type of distribution channels does your company operates?

[3] If both please explain in detail?

[5] What type of products does the company distribute?

Frozen products __ Perishable products__

[6] Are the products transported together?

Most times__ Seldom__

[8] Are all the trucks refrigerated?

[10] When are all the trucks dispatched?

Night before__ Morning__ Both__

Good__ Very good__ Poor___ Excellent__

[3] If the answer is yes. Please explain in detail

Value for Money

Condition of goods received

How do you rate our overall service?

How often to you see your sales representative?

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Frozen products Perishable products

Most times Seldom

Night before Morning Both__

Good Very good Poor_ Excellent