Internship Report On Reckitt Benckiser Bangladesh LTD

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Internship Report on Reckitt Benckiser Bangladesh

Ltd
Background of the Report:
Internship report preparation is a mandatory part for the internship program under MBA
program. For performing my internship program, the internship placement committee placed
me in Reckitt Benckiser (Bangladesh) Limited, Which is trying relentlessly to offer best
household consumer products to the people all over the world in time to make the consumers
life comfortable and easy. At the very outset of my joining, Reckitt Benckiser (Bangladesh)
Limited authority placed me in Dinajpur territory. There are basically three Distribution points.
When working in DinajpurTerritory under sales and distribution management Department it
became possible for me to have practical knowledge and experience about this process.
Objectives of the Report:
Sales and Distribution management is one of the vital activities that any FMCG should handle
in an efficient way. Distribution is the way through which the final goods reach the ultimate
consumers. The primary objective of the internship report is:
 To find out the problems and the probable solutions of the distribution management system
of Reckitt Benckiser (Bangladesh) Limited.
Scope of the Report:
The subject matter of this report is “Sales and Distribution Management of Reckitt Benckiser
(Bangladesh) Limited: A Study on DinajpurTerritory ”. So from the topic of the report it has
been clear that the scope of the study is the sales and Distribution department. Other part of
Reckitt Benckiser (Bangladesh) Limited will not be affected or covered by this study.
Methodology of the Report:
Theoretical knowledge required for the study was collected through some books on this
respective field. The data that have been used for this study are both primary and secondary
types. The Primary data have been collected through direct observation, face-to-face
discussion with Regional Sales Manager, Territory Sales Managers, Distributor, and the
Distributors Sales Representatives, Retailers and Wholesalers and unstructured
questionnaires for Retailers and wholesalers, Distributor sales representative, Distributor and
other company personnel.
Secondary data consists of all published or reported materials, which have already been
collected or preserved. In this study the secondary data sources are reports like Sales reports,
Market return report, Route plan, Return on investment sheet, training modules, Incentive
reports, and web site of Reckitt Benckiser.
Necessary discussions were conducted with academic advisor, Regional Sales Manager,
Territory Sales Managers and the Distributor of Dinajpur. Sometimes for having route level
information necessary discussion was conducted with the Distributor sales representatives.
Flow Chart of the Methodology:
Limitations of the report:
There is one limitation of the report and that is:
This report is prepared solely based on DinajpurTerritory and its covered areas. So it may not
provide the overall scenario of other distribution points of Reckitt Benckiser (Bangladesh)
Limited.
Overview of Reckitt Benckiser Plc
Reckitt Benckiser is the world’s No.1 Company in household cleaning products, (excluding
laundry detergents) and a leading player in health and personal care. Reckitt Benckiser truly a
global company with a consumer-oriented vision, operations in 60 countries, sales in 180
countries and net revenues in excess of £3 billion/$4.2 billion. Reckitt Benckiser is passionate
about delivering better solutions – making life easier for consumers around the world is what
drives the constant innovation. New product launches account for 20% of total net revenues. It
goes without saying that the ultimate objective is to deliver outstanding results to the
shareholders.
Company Description:
Reckitt Benckiser Plc was formed in 1999 with the merger of Reckitt & Colman Plc. and
Benckiser N.V. It manufactures and sells household and healthcare products. Reckitt
Benckiser is the world’s largest household cleaning Product Company (excluding laundry
detergent). It is the market leader in household cleaning products. Its brands include air
fresheners (Airwick), household cleaners (Lysol, Easy-Off), laundry products (Woolite),
furniture polishes (Old English), and dishwashing detergents (Electrasol). Its various business
segments accounted for the following net revenue share in 2006: Surface Care 20.1%, Fabric
Care 27.4%, Dishwashing 14.4%, Home Care 14.5%, Health and Personal Care 14.5%, Food
5.2% and Other Household 3.8%.
Since its formation, Reckitt Benckiser has outperformed its peer group with above average
growth in both sales and profits and has grown ahead of target. For the last seven years, the
Company has achieved a net revenue growth of 7% per year, adding around £1900 million net
revenue since 1999 faster than industry average profit growth, tripling net income from £200m
in 1999 to £768m in 2006. Reckitt Benckiser’s net revenue for 2006 was £4.9 billion.
Reckitt Benckiser People:
Reckitt Benckiser employs high quality people who consistently deliver outstanding results.
Reckitt Benckiser is a highly innovative business organization where entrepreneurship is
encouraged and valued. How much you earn and how fast you progress depends on talent
and achievement. It’s a beautifully simple, exceptionally powerful philosophy:
 People get promoted as soon as they’ve proved they’re ready and the company has the right
opportunity
 Exceptional rewards for people who deliver exceptional performance.
People in senior management can earn an annual bonus of up to 144% of base salary. Reckitt
Benckiser has a true multi-national team, where no single culture dominates. Reckitt
Benckiser believes that combining talented people with different professional and cultural
backgrounds in action-oriented teams is what gives us real competitive edge. “For a complex
problem, teamwork is extraordinarily powerful.” The Reckitt Benckiser managers are highly
mobile and flexible; moving regularly to opportunities where their development needs are best
matched with the company’s interest. The company is home to many ‘best-in-class’ minds in
all the key areas of business. Reckitt Benckiser people think and act with consistent quality
and effectiveness – but don’t confuse consistency with uniformity. The structures and systems
are there to facilitate action. They leave room for flexible thinking and new ideas. People know
that what works today for consumers may not work tomorrow. “Reckitt Benckiser is right for
anyone who’s as passionate about winning as they are about beating the competition.”
Sustainability Performance:
The successful execution of the sustainability strategy at Reckitt Benckiser positions it among
the leaders of the industry supported by high level of engagement across all three corporate
sustainability dimensions. Its capabilities in mitigating the challenges in the economic
dimension are among the best in the industry underlined by a particularly strong performance
in brand management and corporate governance. The company considers its brand
performance to be the key to the company’s performance. In the environmental dimension, it
scores significantly above the industry average with a clear out performance in environmental
policy and management and environmental reporting. Moreover, it performs among the best in
the social dimension, particularly in human capital development.
Vision and Values Statement:
Reckitt Benckiser passionate about delivering better solutions to consumers and customers
 Vision
Reckitt Benckiser is about passionately delivering better solutions in household cleaning and
health & personal care to customers and consumers, wherever they may be, for the ultimate
purpose of creating shareholder value.
This vision defines both Reckitt Benckiser’s purpose and values as a Company and
encompasses the commitment to product quality and safety, customer service, innovation,
global reach and corporate social responsibility.
 Values
The core values are a set of guiding principles through which Reckitt Benckiser think, behave
and conduct the business in order to deliver on the vision, they are:
 Achievement
 Teamwork
 Entrepreneurship
 Commitment
Reckitt Benckiser Code of Business Conduct:
The purpose of Code of Business Conduct is to ensure that management and employees
across the Group have a clear understanding of the principles and ethical values that the
Company wants to uphold.
Reckitt Benckiser is committed to responsible corporate behavior; this includes high standards
of business conduct in relationships with employees, customers, consumers, shareholders,
suppliers, governments, competitors and the local communities in which Reckitt Benckiser
operate. It applies to all employees in all Reckitt Benckiser Group companies globally. Where
the Company participates in joint ventures the Code’s standards should also be actively
promoted. Compliance with the Code is an important factor in maintaining and building the
reputation of Reckitt Benckiser as a responsible and trustworthy business partner, employer,
supplier and corporate citizen. The Code forms the core element of Reckitt Benckiser
Corporate Responsibility Framework; this comprises a set of policies and control
arrangements that govern how Reckitt Benckiser acts as a Company and how Reckitt
Benckiser interact with its stakeholders in conducting the Company’s business. It is not
possible to anticipate every situation. The Code is necessarily broad and general in nature
and is not intended to replace more detailed policies and procedures. Nevertheless, these
basic principles and ethical values should serve as a guide to each employee in his or her
dealings with customers, suppliers, shareholders, colleagues and others with whom the
company has relationships. Together with Reckitt Benckiser Vision and Values Statement,
and the other components of Reckitt Benckiser Corporate Responsibility Framework, the
Code outlines the way the Company wants to conduct business now and in the future.
Commitment to employees.
 Freedom of association
Reckitt Benckiser recognizes the right of employees to freedom of association (or parallel
means where such activities are restricted under law).
 “Whistle blower” help line
During 2003 Reckitt Benckiser rolled-out its “whistle-blower” help line. Employees globally
have access to a telephone help line; run by an external organization, to report –
anonymously if desired – any suspected breaches of Reckitt Benckiser Code of Business
Conduct. Internal Audit then investigates these.
 Equal opportunities – no discrimination
Reckitt Benckiser is a truly multi-cultural company. Reckitt Benckiser believes that combining
talented people from different professional and cultural backgrounds drives innovation and
gives us a competitive edge. 20% of the Company’s Board, and 15% of Reckitt Benckiser
‘Top 400’ senior management, are women.
Commitment to International Standards:
Reckitt Benckiser subscribes to a number of international standards and guidelines relevant to
corporate responsibility and business conduct, including:
• The United Nations (UN) Declaration of Human Rights (www.un.org)
• The United Nations (UN) Convention on the Rights of the Child (www.un.org)
•The International Labor Organization (ILO) eight Fundamental Conventions (www.ilo.org)
• The Organization for Economic Co-operation and Development (OECD) Guidelines for
Multinational Enterprises (www.oecd.org) the principles and requirements of these standards
and guidelines are incorporated into this Code of Business Conduct and other elements of
Reckitt Benckiser Corporate Responsibility Framework.
Compliance with laws, regulations and Company policies:
There are many laws and regulations applicable to the conduct of the Company’s business.
All employees should be aware of and observe the laws and regulations governing their work
activities, including those concerning: occupational health & safety; employment practices;
protection of the environment; competition; intellectual property; and, the payment of taxes
and social security. Compliance with the Company’s internal operating policies and
procedures is of equal importance.
Ethical business conduct and fair dealing:
All employees must accept responsibility for maintaining and enhancing the Company’s
reputation for integrity and fairness in its business dealings. In its everyday business
transactions the Company must be seen to be dealing even-handedly and honestly with all its
customers, consumers, suppliers, employees and others with whom the Company has a
relationship.
Conflicts of interest:
Outside engagements – employees of the Company should not undertake any other business
or profession, be an employee or agent of any other company, or have any financial interest in
any other business or profession, other than: non-executive positions approved by the
Company; community / voluntary activities; and, bona fide investment holdings of shares or
other securities. The Company must approve any exceptions to this requirement, which could
for example apply to a part-time employee. Insider trading – employees in possession of
information on the basis of which an effect on the Company’s securities may reasonably be
predicted, may not trade in any of the Company’s securities as long as they could take
advantage of such sensitive information. Additional trading restrictions exist for senior
executives during the two months prior to publication of the year-end results and for one
month prior to the publication of quarterly results, and at other times indicated by the
Executive Committee when the Company may be deemed to be in receipt of insider
information. Gifts and entertainment – employees of the Company must ensure that they deal
with customers, suppliers and other business relationships in a way that avoids their
independent judgment on behalf of the Company being influenced by personal advantage, or
any appearance that this may be the case.
Employees:
Working conditions – the Company believes the human rights at work of its employees are an
absolute and universal requirement (see Human Rights below). Reckitt Benckiser subscribes
to the International Labor Organization’s (ILO) eight Fundamental Conventions (no forced
labor, no child labor, freedom of association and no discrimination); and the Organization for
Economic Co-operation and Development’s (OECD) Guidelines for Multinational Enterprises.
Equal opportunities / no discrimination – in employment related matters (including recruitment,
access to training and promotion, transfers, employment termination, discipline, compensation
and benefits), decisions are made on the basis of the qualifications, performance record and
abilities needed for the work to be undertaken, and relevant business circumstances. The
Company is committed to equal opportunities at work; employees should not engage in or
support discrimination based on race, color, language, caste, national origin, indigenous
status, religion, disability, gender, marital status, sexual orientation, union membership,
political affiliation, or age. Working environment and occupational health & safety – the
Company is committed to providing a safe and healthy working environment and to ensuring,
so far as is reasonably practicable, the health, safety and welfare at work of its employees.
The Company’s Occupational Health & Safety (OHS) Policy and objectives are publicly
available and a Group Occupational Health & Safety Management System (OHSMS) is in
place to coordinate the management of occupational health & safety across the Company.
Employees have a duty to take reasonable care for their own health & safety and that of
others who may be affected by their acts or omissions. Employees must use all work items
provided by the Company correctly; in accordance with their training and the instructions they
received to use them safely. Employee Communication – the Company is committed to
providing timely and effective communication with its employees.
Suppliers and contractors:
The Company is committed to proactively encouraging its suppliers and contractors to
demonstrate responsible business behavior and high standards of business conduct. This
commitment is presently focused on direct suppliers involved in the manufacture, assembly or
distribution of products on behalf of Reckitt Benckiser Group companies, and on those
suppliers /contractors who are actively engaged in work at Company facilities. The Company’s
Global Manufacturing Standard sets out minimum levels of performance and performance
expectations in the areas of working conditions / human rights at work, occupational health &
safety and environmental management, for all suppliers manufacturing, assembling or
distributing products on behalf of Reckitt Benckiser Group companies. The Company’s
environmental and occupational health & safety management systems include in their scope
the activities of suppliers and contractors who are actively engaged in work at Company
facilities.
Sustainability and the environment:
Reckitt Benckiser views corporate responsibility and sustainability as one and the same and is
committed to moving its business towards greater sustainability across the economic, social
and environmental dimensions of its activities. The Company believes that a more sustainable
business will not only better fulfill the responsibilities to society but also contribute to delivering
Reckitt Benckiser vision of better consumer solutions and greater long-term shareholder
value. The Company’s Environmental Policy and objectives are publicly available and a Group
Environmental Management System (EMS) is in place to coordinate environmental
management across the Company.
Company assets:
Protecting Company assets – employees of the Company are responsible for the proper use,
the protection and the maintaining of company assets, including intellectual property (e.g.
patents, trademarks and designs). Company assets may only be used in relation to the
Company’s business. Crisis management – the Company has in place a Crisis Management
Policy and Group Crisis Management Guidelines, supported by regional / local control
arrangements and emergency response plans, to minimize the risks to the business, its
customers, employees and shareholders in a crisis situation. Business Continuity Planning
forms a key part of these arrangements. Authorities – the existence of an agreed authority’s
structure is an essential requirement for establishing an effective financial and operational
control environment. All business units are required to establish and maintain appropriate
levels of authority to cover all items of asset value / expenditure and all transactions which
need to be subject to management approval. Integrity of company financial records – the
books and records of the Company must accurately reflect the nature of the underlying
transactions and no undisclosed or unrecorded liabilities or assets shall be established or
maintained. Books and records must be maintained in all respects according to law and the
accounting principles, policies and procedures that the Company has adopted. The Company
will not evade tax obligations and all taxable benefits which employees may receive will be
listed and
Declared for tax purposes. Protecting confidential information – employees of the Company
must ensure that confidential information is preserved and protected. Confidential information
is that which is not generally known outside the organization and either gives or could give the
Company a competitive advantage or disadvantage, or could lead to the loss of an existing
competitive advantage, if it became known to others or became known in the public domain.
This kind of information may not be revealed to anyone outside of the organization unless an
appropriate confidentiality agreement is in place and such disclosure is necessary for
business purposes.
Other issues:
Product safety and quality – the Company is committed to delivering safe, quality products to
its customers and consumers. Management believes that this is implicit in the Company
Vision and fundamental to the brands, the business and long-term success. The Company
has in place:
• A Product Safety Policy, and comprehensive control arrangements including the Global
Ingredients Guidelines, to fulfill the commitment to developing and marketing products that
can be manufactured and used safely as directed.
• A Quality Policy, and Group / site-level Quality Management Systems (QMS), to control the
quality of RB products. Human rights – the Company believes that human rights are an
absolute and universal standard. The Company subscribes to the United Nations Universal
Declaration of Human Rights and the Convention on the Rights of the Child. In countries
where the Company is present, Reckitt Benckiser will aim to support progress on human
rights issues in accordance with what reasonably can be expected from a commercial
organization. Political activities – the Company is not a political organization. It neither
supports political parties nor contributes to the funds of groups whose activities are calculated
to promote party interests.
Compliance with this Code:
All employees are required to comply with this Code of Business Conduct and are personally
responsible for doing so. It is the responsibility of the Board of Reckitt Benckiser to ensure, so
far as is reasonably practicable, that the principles and ethical values embodied in this Code
are communicated to all employees of the Company. Senior management is required to certify
compliance with this Code for the operations for which they have responsibility on an annual
basis by Internal Audit, and the Board monitors the findings of this certification. The Board of
Reckitt Benckiser will not criticize management for any loss of business resulting from
adherence to this Code. The Company undertakes that no employee will suffer as a
consequence of bringing to the attention of the Board or senior management a breach or
suspected breach of this Code. Reckitt Benckiser has in place a confidential “whistle blower”
policy and process, communicated globally, to encourage the reporting of any non-compliance
with this Code of Business Conduct. If in any doubt, employees can obtain full information on
this process from their local Human Resources department.
Reckitt Benckiser policies:
Environmental Policy:
Reckitt Benckiser is committed to running its business in a responsible, environmentally sound
and sustainable manner. Reckitt Benckiser recognizes that the processes and products have
both direct and indirect environmental impacts. Reckitt Benckiser will seek to identify adverse
impacts and find effective ways of reducing them, aiming for continuous improvements in the
environmental performance and progress towards sustainable development objectives.
Throughout the operations Reckitt Benckiser will regard compliance with the law as a
minimum standard to be achieved.
Environmental Objectives
The environmental objectives have been chosen and are regularly reviewed to ensure that the
actions match the commitments in the environmental policy. They are:
 To take environmental considerations into account throughout the operations.
 To ensure that environmental factors are properly assessed and considered, together with
other issues, when key decisions are taken about new products and Processes.
 To establish and measure the significant environmental impacts of the operations, set
realistic targets for performance improvements and monitor progress against those targets.
 To use energy and natural resources wisely, eliminate and minimize waste where practical,
and re-use and recycle where it is sensible to do so.
 To engage with stakeholders on environmental issues, including the integration of
environmental factors into the relationships with key suppliers.
 To ensure that RB employees have a good understanding of environmental issues, know
why these are important to the company and the wider community, and have training
appropriate to their environmental responsibilities.
 To conduct an annual review of the environmental performance, including progress against
objectives and targets, and to make that review publicly available. The Chief Executive Officer
is responsible for the Company’s environmental policy and performance. This responsibility is
delegated operationally through the Company’s management structure, which includes an
Environmental Director responsible for coordinating environmental performance across the
Company.
Social responsibilities:
The social responsibilities are associated with the stakeholder groups relevant to the activities,
and towards whom the improvement program is focused:
• In the Workplace, this means the Employees
• In the Community, this means the responsibility to Society at large and to Governments &
Regulators
• In the Marketplace, this means the Customers, Consumers, Shareholders and Suppliers.
The Workplace:
The aims are to: attract, recruit and retain talented employees; enable their personal
development; and provide a safe and healthy working environment, respecting human rights
and preventing discrimination. During 2003 Reckitt Benckiser have reduced accidents at work
and improved training and development programs.
The Community:
Reckitt Benckiser aim to put some of the wealth Reckitt Benckiser create back into society by
helping to address social issues. The focus here is on health and hygiene, with particular
attention currently on HIV/AIDS and infectious disease. During 2003 Reckitt Benckiser
launched two major international programs, with Save the Children and the Dettol Trust for
Aids.
The Marketplace:
Reckitt Benckiser believes product safety; clear product labeling and responsible relationships
with the suppliers are fundamental to the integrity of the Company and the brands. In 2003
Reckitt Benckiser started work on, and have since completed and rolled-out, a new Global
Manufacturing Standard; to ensure that good standards in human rights, working conditions,
health & safety and environmental protection are followed by suppliers.
Core stakeholder groups:
The core stakeholder groups of Reckitt Benckiser are:
Community
• Society
• Government & Regulators
Workplace
• Employees
Marketplace
• Customers
• Consumers
• Shareholders
• Suppliers
Stakeholder engagement:
Engagement with key stakeholders is an important part of Reckitt Benckiser normal business
activities. By 2007 Reckitt Benckiser will undertake additional stakeholder engagement
activities with:
• Employees
• Customers
• Shareholders / fund managers
• Society groups Management
Policy and control framework:
Responsibility and control
Responsibility for social management and performance is integrated throughout the
Company’s management structure. At a Group level, how Reckitt Benckiser addresses
Corporate Social Responsibility (CSR) issues is coordinated by:
• The Chief Executive Officer, who is the Board member with specific responsibility for
Corporate Social Responsibility.
• The Senior Vice President, Investor Relations & Corporate Communications, who is
responsible for Reckitt Benckiser community programs and much of stakeholder engagement.
Environmental and Health & Safety Director, who also coo ordinates issues such as standards
in supply chain and public benchmarking indices Reckitt Benckiser have a program of training
and awareness for senior managers in Group companies worldwide on the Reckitt Benckiser
Code of Business Conduct and crisis management arrangements. Senior managers in all
Group companies are required, annually, to report and sign-off on compliance with the Code
of Business Conduct. This program is implemented by Internal Audit and reported to the
Board Audit Committee.
Reckitt Benckiser employees:
Reckitt Benckiser is driven by the passion and commitment of its employees. Reckitt
Benckiser attracts and retains talented individuals, who work together as powerful teams, by
going out of the way to recognize and reward entrepreneurship and achievement.
Employee benefits:
Benefits provided for employees (i.e. in addition to basic pay and any bonuses / performance
related pay) include pension plans, health and accident / disability insurance and medical care
plans.
Human rights at work:
Reckitt Benckiser believes the respect of human rights at work to be an absolute and
universal requirement.Reckitt Benckiser is committed to respecting human rights and good
terms and conditions of employment; not only in RB’s own facilities but also in those of
suppliers who manufacture products on Reckitt Benckiser behalf
Employee development and training:
The ongoing development of Reckitt Benckiser employees is important in maintaining the
competitive edge and in allowing individuals to fulfill their true potential and maintain job
satisfaction. Reckitt Benckiser believe that personal development is best achieved through
gaining experience (i.e. on-the-job learning), rather than through classroom-based training.
However, at the same time Reckitt Benckiser provide core training developing skills and
maintaining standards such as Health & Safety, and targeted training to ensure consistent
approaches globally and support employee development.
Corporate Responsibility:
Reckitt Benckiser has a Corporate Responsibility Framework comprising of the Code of
Business Conduct and specific policies, control arrangements and reporting. This framework
governs how Reckitt Benckiser acts in conducting the Company’s business. The current
policies and latest non-financial reporting can be accessed through the menu on the left hand
side of this page. Reckitt Benckiser seeks to make continual improvements in the economic,
social and environmental performance … to leave the Company in better shape for the future
across all three axes of sustainability.
Reckitt Benckiser Brands:
Reckitt Benckiser focuses on five core categories – Fabric Care, Surface Care, Health &
Personal Care, Automatic Dishwashing and Home Care, which collectively account for 89% of
total net revenues and include any world-leading brands such as: Calgonit/Finish (Automatic
Dishwashing) Vanish (Fabric Treatment) Calgon (Water Softeners) Woolite (Fine Fabric
detergents) Lysol (Disinfectant) Dettol (Antiseptic) Veet (Depilatory)
Surface care
 20% of net revenues
 Category consists of five product groups; disinfectant cleaners, lavatory cleaners, general
purposes cleaners, specialty cleaners and polishes and waxes.
 Number one worldwide in disinfectant cleaning and lavatory cleaning.
Fabric Care
 Category consists of five product groups; Fabric Treatment, Garment Care, Water Softener,
Fabric Softener and Laundry Detergents.
 Number one worldwide in Fabric Treatment and Water Softener categories.
Dishwashing
 Category includes products used in automatic dishwashing; key brands include Calgonit,
Finish, Electrasol and Jet-Dry
Home Care
 Category consists of three products groups; Air Care (products which freshen or add
fragrance to the air or, increasingly, to create an ambience), Pest Control (products that offer
solutions to domestic infestation by insects or pests) and shoe care.
Health and Personal Care
 Category consists of five main product groups – Antiseptics (Dettol), Depilatories (Veet),
Denture Care (Kukident, Steradent), Analgesics Cold/Flu (Lemsip, Disprin) and Gastro-
Intestinals (Gaviscon, Senokot, Fybogel)
 Dettol is the world leader in antiseptics bought for use at home. It is marketed in 37
countries.
 Veet is the world leader in depilatories sold in over 55 countries. The latest innovation is the
“Veet Bladeless Razor Kit”. Specially designed without a blade, you do not run the risk of nicks
and cuts. Launched globally in January 2004
 Steradent/Kukident is a major European brand in denture cleaning and denture fixatives. In
April 2004 Kukident Ultra 3 in one extra strong Fixative cream was launched, delivering hold
and comfort in 3 phases, all day long
 Lemsip is the market leader in the treatment of cold and flu in the UK. Disprin has a strong
market position in the analgesic market in South Africa, India and Pakistan.
 Gaviscon is a treatment for heartburn and indigestion with major markets in the UK, Italy,
France, Turkey, Australia and Africa.
 Senokot provides gentle, overnight relief from constipation. Senokot is a stimulant laxative
based on the natural ingredient senna.
 Fybogel was first launched in the UK in 1974 and is a natural fibre-based, bulk forming
laxative in the treatment of constipation and the maintenance of bowel regularity.
Food
 The Food category represents 6% of Reckitt Benckiser’s worldwide net revenues. While the
category is focused primarily in North America, the famous food brands are distributed and sold
in more than 55 countries. More than 90% of Reckitt Benckiser portfolio is made up of number
one or number two brands.
 The Food business is focused on products that liven up the flavor of your favorite foods and
make meals more enjoyable. Major segments are mustard, mayonnaise, barbecue sauce, hot
sauce and French Fried Onions.
 French’s is the largest brand in the division and the leading brand of mustard in the world. Its
North American market share is more than 30%. Other RB Food brands include Frank’s Red
Hot Sauce – the region’s number two hot sauce – and Cattlemen’s Barbecue Sauce – the
number one barbecue sauce in foodservice.
 In addition to more traditional retail grocery and mass merchant channels, food brands
source a significant amount of net revenue from the foodservice/commercial channel, where RB
brands hold number one shares in most segments.
Reckitt Benckiser is committed to supplying safe products to the consumers and to
understanding all the issues involving safety associated with Reckitt Benckiser products. The
policy governs Reckitt Benckiser continuing work to ensure the safety of the products and
active promotion of responsibility and concern for customer safety across all aspects of the
business.
Global Policy Statement on Product Safety:
The vision of Reckitt Benckiser is to deliver better solutions to consumers. Reckitt Benckiser is
therefore committed to supplying safe products to the consumers and to understanding all the
issues involving safety associated with the products. Reckitt Benckiser believes that Product
Safety is fundamental to the integrity of the global brands and businesses, to sound and
ethical business practice, and to the responsibility as a producer of quality consumer products.
Reckitt Benckiser will actively promote responsibility and concern for the safety of the
customers, the employees and the general public at all levels of the company and in all
aspects of the businesses. It will be the Policy of Reckitt Benckiser to:
1. Develop and market products that can be manufactured and used safely as directed.
2. Comply with all regulatory requirements for product safety testing and labeling in all
jurisdictions in which a product is developed, produced or marketed.
3. Continually assess products, packaging, labeling and raw materials to ensure the health
and safety of the public and the company’s customers and employees.
4. Apply consistent product safety standards across all regions.
5. Actively participate in scientific, regulatory and consumer discourse on Product Safety
issues either directly or through relevant and responsible trade associations, professional
societies, regulatory authorities and consumer groups.
6. Freely disclose product safety information on Reckitt Benckiser products through the
release of relevant information to appropriate governmental, professional and business
organizations, and to the public.
Global Manufacturing Standard:
Reckitt Benckiser is committed to responsible business conduct amongst its suppliers and
contractors that meets or goes beyond applicable laws and regulations, respects the human
rights of employees, safeguards health & safety at work, protects the environment, and
generally supports the contribution of business to achieving sustainable development.
Community Involvement Policy:
Reckitt Benckiser operates for the ultimate purpose of creating shareholder value. However,
the Company recognizes that other stakeholder constituencies need to be satisfied in
maximizing long-term shareholder value. The Company benefits from its reputation in the
wider community, both in terms of its brand success and its recruitment, and from a workforce
that passionately believes in the company for which they work. Reckitt Benckiser Community
Involvement Policy is intended as a guide to the Company’s community involvement around
the world, to ensure that Reckitt Benckiser’s activities are sufficiently focused to have impact
on the employees, the communities in which Reckitt Benckiser operate, and aligned with the
Vision and Values.
History of Reckitt Benckiser:
 1814 Jeremiah Colman begins milling flour and mustard in Norwich, UK. Diversifies mid-
century into starch, wheat flour and laundry blue.
 1823 Founding of Benckiser by Johann A. Benckiser. Core business derived from industrial
chemicals.
 1840 Isaac Reckitt rents, and then subsequently (in 1848) buys a starch mill in Hull.
Diversifies into other household products; becomes renowned for starch, washing blue and
black lead for polishing His four sons take over after his death
 1886 Reckitt & Sons begins its expansion and opens businesses around the world – the first
in Australia.
 1888 Reckitt & Sons is launched on the London Stock Exchange.
 1912 Lehn & Fink Products begins US production of Lysol – originally imported from
Germany
 1913 Joint venture set up in South America between Reckitt & Sons and J&J Colman –
Atlantis Limited. So successful that it is extended, in 1921, to cover all trading outside U.K.
 1913 In the UK, Reckitt & Sons join the Mason brothers in forming the Chiswick Polish
Company. Diversification into other branded household products continues through the war
years and the Twenties.
 1933 A major breakthrough for Reckitt & Sons, with the decision to market a germicide,
Dettol, endorsed by the medical profession.
 1938 Reckitt & Sons merge with J&J Colman to become Reckitt & Colman Limited
 1954 The Chiswick Polish Company merges with Reckitt & Colman Limited.
 1956 Benckiser diversifies into consumer goods and industrial cleaning products. In the same
year, Benckiser launches Calgon water softener
 1964 Benckiser develops and launches Calgonit Automatic Dishwashing Detergent and
Quanto Fabric Softener in 1966.
 1982 Benckiser continues its expansion into consumer goods via acquisitions and
divestitures and in 1985 acquires St. Marc S.A, France
 1985 Reckitt & Colman buys Airwick products
 1988 Benckiser purchases Mira Lanza Spa and Panigal Spa, Italy
 1989 Benckiser acquires S.A. Camp Group, Spain
 1990 Reckitt & Colman acquire Boyle-Midway, the American household products group with
brands Woolite, Easy-Off, Sani-Flush, Wizard and Old English.
 1990 Benckiser acquires worldwide branded business of Beecham Household Products in
US and Canada.
 1991 Benckiser begins expansion into Eastern Europe
 1994 Reckitt & Colman acquires Lehn & Fink Products, including Lysol, the famous
household disinfectant brand in the USA.
 1995 Reckitt & Colman sells the Colman’s food business
 1996 Benckiser continues its expansion into the Baltic countries, Belorussia, China, Israel
 1999 Reckitt & Colman Plc and Benckiser N.V. merge to become Reckitt Benckiser Plc – The
world no.1 in household cleaning
 2000 In November, Reckitt Benckiser acquires Tiga Roda – an Indonesian pest control
business
 March – RB acquires Oxy, a leading household business in Korea
 April – RB disposes of (non-core) firelighter business
 August – RB disposes of Dr. Becher, a non-core business
 2002 Reckitt Benckiser acquires outstanding minority interest in India and Sri Lanka.
 2006 Reckitt Benckiser completed the acquisition of Boots Healthcare International to create
a combined £1.926 billion Health and Personal Care business.

Emergence of Reckitt Benckiser (Bangladesh) Limited:
The company was incorporated on 15 April 1961 in the territory now comprising Bangladesh.
Reckitt Benckiser (Bangladesh) Limited started its business in this country in 1962 as
Robinson Foods (EP) Limited. At that time the only product manufactured was Robinsons
Patent Barley. However products like Barley, Cherry Blossom, and Robin etc. were being
imported to cater the needs of the consumer.
After 1971, the company slowly started to build its own plant as the import of all other products
stopped. Gradually Harpic, Dettol, Robin Blue, Mortein Liquid, Mortein Aerosol and other
household plants started to be established. Under joint venture agreements. Mortein coil,
Dettol Soap and Robin Fabric products Care have been introduced.
The name of the company was changed from Robinson’s food (Pakistan) Limited. to
Robinson’s food (Bangladesh.) Limited after the independence. In 1978 it was again changed
to Robinson’s (Bangladesh) Limited. In 1985 the name took the style of Reckitt & Colman
Bangladesh Limited. Finally as Reckitt and Colman Plc, UK and BenckiserNV, Netherlands
merged on December 03, 1999 the name was again changed to Reckitt Benckiser
(Bangladesh) Limited on 9th November 2000.
Products of Reckitt Benckiser (Bangladesh) Limited:
Reckitt Benckiser (Bangladesh) Limited is present in all global core products categories
mentioned before. But all products under each category do not exist in the Bangladesh
market. Bangladeshi consumers are served with some of the global brands from each
category based on local taste and demand. Basically this company follows a globally local
approach and the marketing practices are supported by locally established consumer behavior
along with global strategies.
Despite the presence of Reckitt Benckiser (BD) Limited. in all core categories, the major NR
contribution comes from Pest Control, Lavatory Care, Antiseptics and Analgesic.
PRODUCTS LIST
Category Brands Products

Pest Control Mortein 1.Mortein Coils
i Mortein King Coil

ii Mortein Power Coil
iii Mortein HEX Coil
1. 2. Mortein Seek & Kill Aerosol
2. 3. Mortein King Mat & Machine
3. 4. Mortein Liquid
4. 5. Mortein vaporiser
Lavatory Care
Harpic
1. 1. Harpic Power Liquid Toilet Cleaner
2. Harpic Total All Purpose Bathroom Wash
3. Harpic Flashmatic
AntisepticsDettol
1. 1. Dettol Liquid
2. 2. Dettol Anti-Bacterial Soap
3. 3. Dettol skin care soap
4. 4. Dettol Handwash
AnalgesicsDisprin, Disprol
1. 1. Disprin tablet (Asprin)
2. 2. Disprin CV100
3. 3. Disprol Paracetamol Tablet
DishwashingTrix Trix Dish Washing LiquidFabric CareRobin
1. 1. Robin Liquid Blue
2. 2. Robin Powder blue
Air Care Air Wick
1. 1. Wizard Perfumed Block
2. 2. Air Wick Incense Sticks
FoodRobinson’s Robinson’s Patent BarleySpecialty CareMr. Brasso Mr. Brasso Glass
cleaner (Spray and Refill)DepilatoryVeet
1. 1. Veet Depilatory Cream
i Floral Fragrance
ii Sensation Sensitive Plus

Market Positions Held By Different Categories:
i Market leader in pest control with Mortein coils, Mortein Mats and Mortein
Liquid. Mortein Aerosol holds the 2nd position in the market after the ACI aerosol.
ii Market leader in Lavatory care with both Harpic power and Harpic total.
iii In the Antiseptic category, Dettol liquid holds the 2nd position with 30% market
share after Savlon the market leader. The Dettol anti bacterial and skin care soap accounts for
only 2% market share.
iv In the Analgesic category, Disprin is the market leader in the Asprin market
holding 68% market share. Disprin CV 100 is the market leader in the market of
cardiovascular medicines. But Disprol, which is a variant of Paracitamol, holds only 1% of the
market share.
v Market leader in specialty care with Mr. Brasso holds approximately 80% market
share.
vi Market leader in the Barley Market with Robinson’s Patent Barley with 100%
market share.
vii Market leader in the Fabric Care category with Robin liquid blue and Robin
Powder blue holding 50% and 35% market share respectively.
viii Market leader in Dishwashing Liquid with Trix.
ix Air Care consists of a very insignificant share of the market.
x Recently Reckitt Benckiser (Bangladesh) Limited has entered in Depilatories
market with Veet Hair Removal Cream and is trying to be the market leaders by capturing
market share from Nair- the current market leader in depilatories.
SUPPLY CHAIN DEPARTMENT:
Major Functions of the supply chain Department
The Supply Department comprises of three functional areas:
i Procurement
ii Manufacturing
iii Quality Assurance
The demands of the products are initially determined through the demand review meeting held
between the sales department and the supply-planning manager from the supply department.
The supply-planning manager then conveys this unconstrained demand to the procurement
and production department. In return the production departments notifies procurement about
the amount that can be produced after an analysis of their production capacity, work force
development etc. procurement also looks at the supply possibilities, availability if the raw and
packaging materials, inventory management, import condition etc. After the assessment of the
unconstrained demand, a supply review meeting is held between the supply-planning
manager, the import-buying manager, the local and co-pack buying manager and the
procurement executive. In this meeting a constrained demand is determined. Based on this
demand the raw materials are ordered locally or imported. The production department and the
contract manufacturers are notified about the quantity and the timing of orders. Inventory
analysis and timing of inventory are also function of the supply chain. As the raw materials are
received, the production process keeps on going. The demand for the
products is transformed into production schedules and manufacturing takes place The
procurement departments also monitors whether the raw materials and finished goods are
supplied according to the right quantity within the right time. Procurement deals with the
contract manufacturers to look after whether they are delivering the goods properly. The
quality assurance department plays an important role throughout the whole process. They
specify a certain quality level both for raw materials and finished goods. They are also
engaged in checking and monitoring the quality of raw materials and finished goods and are
responsible for any faultfinding and rejection.
After the production process, the finished goods are delivered to the depots directly from the
Chittagong factory or from the contractual manufacturers. In fact there are seven contractual
manufacturers working for Dettol Soap, Mortein coil, Robin Blue and Air Wick Incense Stick.
From the factory 60% of the goods are delivered to Dhaka Depot and the rest 40% are
delivered to the Chittagong depot. The contractual manufacturers usually send the goods to
Dhaka, but occasionally, when requirement arises goods may also be sent to Chittagong from
them. From Chittagong goods are supplied to the distributor in Chittagong1, Chittagong 2,
Feni, Comilla Cox’s Bazar and a few other small towns nearby Chittagong and from Dhaka to
the distributors in the rest of the country. If shortfall arises in Chittagong, which is a very rare
situation, it is met by a supply of goods from Dhaka.
The Logistic Executive controls the Depot. He looks after whether the depots are functioning
properly. A Logistic Assistant and a Depot Contractor, assist each Logistic Executive. The
Depot Contractor works on a contractual basis and is not an employee of Reckitt Benckiser
(Bangladesh) Limited Depot contractor is involved in loading and unloading goods, controlling
the receipts and outgoing consignments, payments of labors and other miscellaneous
payment. According to the demand of the distributors, they place order in the Headquarter.
Then orders are sent to the depots in Dhaka and Chittagong. Then Logistics Department
makes arrangement to transport the goods to the destination.
MARKETING DEPARTMENT:
Major Functions of the Marketing Department:
Marketing is the key department of Reckitt Benckiser (Bangladesh) Limited. This department
is basically responsible for annual planning for the brands of the company. After the regional
and global headquarters approves the plans, marketing department decides how it will be
implemented. They decide on how the brands will move, in what quantity they must be sold,
how much should be invested on each brand and other related aspects. Besides, marketing
department also take care of the stages in the product life cycle of each product as well as
takes strategies for further improvement.
Other functions of marketing department are
 Gathering information and measuring market demand.
 Positioning the market offering through the product life cycle,
 New product development.
 Managing product lines and brands.
 Designing pricing strategies and programs.
 Managing marketing channels.
 Managing retailing, wholesaling and market logistics.
 Managing integrated marketing communications.
 Managing advertising, sales promotion and public relations.
 Managing the sales force.
Structure of the Marketing Department
SALES DEPARTMENT:
Major Function of the sales Department:
The three most important functions of the sales department are:
i Set up, maintenance & expansion of distributors’ network.
ii Making products available and visible in the market place.
iii Boosting In Market Sales.
Structure of the Sales Department
FINANCE DEPARTMENT:
Major Functions of the Finance Department
The finance department of Reckitt Benckiser (Bangladesh) Limited is divided into three
functional areas:
i Finance and accounts
ii Corporate affairs
iii Management account and costing
The staffs of each functional part are capable of taking over the responsibilities of other
functional parts on contingency basis. The major jobs of the finance department are carried
out by the finance and account section and these are accounting functions such as day to day
book keeping, updating the day to day records & Final Account preparation, different variance
analysis, forecasting budgeting, handling treasury matters etc. MIS functions and VAT
handling. The corporate Affairs departments may deals mainly with the share-related activities
like dealing with shareholders, Stock Exchange, SEC, holding the Annual General Meeting
etc. The management accounting and costing section is basically accountable for product
costing.
HUMAN RESOURCES DEPARTMENT:
Major Functions of the Human Resources Department
The Human Resources department is relatively small compared to other departments. The
issues in the Human Resources are looked after the HR looks after director and the
administrative matters by the junior administrative officer. The basic function of this
department is to deal with all factors related with human resources like forecasting and
planning selection and recruitment, training and development etc. The various aspect
regarding administration like office security, vehicles, canteen, telecommunication etc. are
also dealt with through this department.
The head of HR is mainly in charge of the department. His/her major responsibilities are:
i To update organ grams regularly
ii To carry out the performance development review.
iii Managing the internal and overseas postings.
iv Managing the HR Information System.
v Looking after the internship program.
vi To handle career management of all the employees.
vii Developing the service rules and looking after whether they are properly
implemented.
viii To carry out salary surveys.
ix Taking care of leaves of the management staff.
x Handling grievances.
Structure of the Human Resources Department
Sales and distribution management of Reckitt Benckiser (Bangladesh) Limited
Literature review:
Selling is the process of persuading others to exchange something in return for money. In
another words, Sales is the lifeblood of an organization because in general case the selling is
the revenue generating activity of an organization. So the management of sales determines
whether the company will exist in the competitive business arena.
Distribution is the process to ensure the availability of final goods of right quality at right place
in right quantity at right price in time to satisfy the actual customer.
Distribution is to ensure brand availability by taking accurate orders ensuring optimal
stock levels ensuring efficient delivery service through right service frequency and by on time
in full (OTIF) delivery ensuring product and quality such as freshness and appearance.
Distribution expansion by ensuring direct coverage in potential new markets, direct coverage
in the potential new outlets within existing routs, ensuring passive distribution coverage
through strategic wholesalers.
All the efforts made by the organization till the last moment of sale is only to ensure the sale of
company products, as sales figure is the key factor to measure the success of a marketing
company whether it is a manufacturing one or not. From the above-mentioned definition of
distribution in twenty first century, it is clearly seen that selling of even diamond is quite
impossible on one’s part if distribution system is inefficient.
Sales process of Reckitt Benckiser (Bangladesh) Limited:
After completion of the production process the finished goods are delivered to the depots
directly from the factory of Chittagong or from the contractual manufacturers. In fact there are
seven contractual manufacturers working for Dettol Soap, Mortein coil, Robin Blue and Air
Wick Incense Stick. From the factory 60% of the goods are delivered to Dhaka Depot and the
rest 40% are delivered to the Chittagong depot. The contractual manufacturers usually send
the goods to Dhaka, but occasionally, when requirement arises goods may also be sent to
Chittagong from them. From Chittagong goods are supplied to the distributor in Chittagong1,
Chittagong2, Feni, Comilla Cox’s Bazar and a few other small town nearby Chittagong and
from Dhaka to the distributors in the rest of the country. If shortfall arises in Chittagong, which
is a very rare situation, it is met by a supply of goods from Dhaka.
The Logistic Executive controls the Depot. He looks after whether the depots are functioning
properly. A Logistic Assistant and a Depot Contractor, assist each Logistic Executive. The
Depot Contractor works on a contractual basis and is not an employee of Reckitt Benckiser
(Bangladesh) Limited. Depot contractor is involved in loading and unloading goods, controlling
the receipts and outgoing consignments, payments of labors and other miscellaneous
payment.
According to the demand of the distributors, they place order in the Headquarter. Then orders
are sent to the depots in Dhaka and Chittagong. Then Logistics Department makes
arrangement to transport the goods to the destination.
After the products are transported to the distributor, they are sold to the retailers with the help
of the Distributor sales representative (DSR). The planning is done in the periodic meeting in
the middle of the months on the basis of the sales forecast depending on the feedback from
the field as well as the budgeted target. These are called mid- month flashes and it includes:
The past two week performance
Forecast for the near future
Activities to increase the sales.
The overall target is divided into 4 regions according to their previous contribution ratio. The
Regional Sales Manager sets the target of the TSMs under him. The TSM does in turn divide
the target to the Sales Representatives. The target and performance of the sales force are
measured by productivity and strike rate. Productivity is the number of sales made against the
number of calls and the strike rate is the number of outlets covered against the number of total
shops in a certain route.
The three most important functions of the sales department are:
1. Set up, maintenance & expansion of distribution network.
2. Making products available and visible in the market place.
3. Boosting In Market Sales.
Major Responsibilities of Key Personnel:
Sales Director
The Sales Director like all other directors is in command of the entire department. He looks for
new opportunities in sales; receive reports from the RSMs about the key business areas and
concentrates on strategies that would help the department to gain monthly and annual targets.
He also monitors and evaluates the performance of the whole department, since he is the one
who is responsible for ultimate result.
Trade Marketing Manager
The major responsibilities are:
i Sales MIS development and management.
ii Institutional sales development.
iii Company activity planning.
iv Sales training.
v Roll- out policies, schemes Templates to monitor and enhance team
performance.
vi Communication to sales team and distribution network.
Regional Sales Managers
i After receiving the sales target, they split the target per Distributor per territory
and give it to the territory sales manager.
ii Sets the sales drivers to achieve the value target. These sales drivers can be
productivity target, strike rate or SKU per memo. They provide the target to the TSMs and
sales people for implementation resulting in achieving the value target.
iii Provide training to the Distributor’s Sales Representatives and Deliverymen both
on the job and through classroom sessions.
iv Develop distributor as per business requirement.
v Training on warehousing to the distributors and depot managers.
vi Implementing damage stock policy by ensuring a minimum level of damaged
stock.
vii Effective implementation of marketing programs like consumer promotions, trade
promotions etc.
viii Making plans for new product launches such as how many outlets will be covered,
what will be the stock depth, etc.
ix Closely interact with other support departments likes marketing, supply chain,
finance etc
x Provide feedback on market information and competitors activities to concerned
departments.
xi Identify opportunities and plan activities to utilize those.
Territory Sales Manager
1. i. Inducing the distributor to send DD and purchase order in time.
2. ii. Helping them to shape the order (SKU wise).
1. iii. Determine the demand of a particular SKU under each Distributor
point.
2. iv. Breaking up of the sales target among the DSRs.
1. v. Implement the sales drivers through DSRs and monitor
their performance.
2. vi. Giving training to the DSRs.
3. vii. Reporting to the RSM about particular territory.
4. Visiting the markets as per necessity.
Executive MIS and Sales Administration:
Major Functions are:
i Prepare daily Sales Report.
ii Support Field Staff and Manager with data and information.
iii Liaisons with supply chain and Finance in day-to-day operation.
iv Setting Distributor & SKU wise target per month.
v Collection of Shipment & IMS data.
vi Sales Admin jobs.
vii Communication with Distributor & field Staff about sales, price etc.
Distributor’s Sales Representatives
The main responsibility of the DSR is to achieve the sales target. The distributor sales force
call at the shops in their respective routes and according to the plans once in a week or
fortnight and induce the retailers and wholesalers to buy the products and induce the retailers
to keep products in their shelves. They also install the point of sales (POS) materials and
other promotional activities in their shops.
For managing the proper sales and distribution channel Reckitt Benckiser (Bangladesh)
Limited has break up the whole country into 22 territories under 4 regions.
Territories of Reckitt Benckiser (Bangladesh) Limited:
There are 7 TS Ms under the RSM Central and they cover the areas of Dhaka1, Dhaka 2,
Dhaka 4, Tongi, Tangail, Narayanganj and Mymensingh. Chittagonj Region has 7 TSMs under
RSM East covering the area of Chittagong 1, Chittagong 2, Feni, comilla, Sylhet, Srimangal
and Cox’s Bazaar. Under the RSM North, there are 4 TSM’s covering Rajshahi, Bogra,
Rangpur and Dinajpur. In South region under the RSM South there are 4 TSM’s covering
Khulna, Jessore, Faidpur, and Barisal. They are basically responsible for achieving the targets
and carrying out Reckitt Benckiser (Bangladesh) Limited Business efficiently.
Sales Promotion strategies of Reckitt Benckiser (Bangladesh) Limited:
Reckitt Benckiser (Bangladesh) Limited have specific strategies for promoting the brands in
the market to gain competitive advantage over the competitors.
Trade promotion (TP):
Trade promotion is to encourage the wholesaler and retailers for selling Reckitt Benckiser
(Bangladesh) Limited products. The objectives of Trade promotions are given below:
 Increase distribution (Stock depth and width)
 Counter competitive pressure
 Encourage buying.
 Increase brand presence in stores.
Consumer Promotion (CP):
Consumer promotion is to encourage the consumers for buying Reckitt Benckiser
(Bangladesh) Limited products. The objectives of Consumer promotions are given below:
 Designed to induce specific consumer purchase decisions.
 Increase brand awareness.
 Induce trial.
 Induce repeat purchase.
 Strengthen brand loyalty.
 Counter competitive activities.
 Secure marginal customers.
Analysis:
What we can figure out is that the sales department is not only responsible for the actual sales
of product, but it also takes care of logistics functions. There is no separate Logistics
department in this organization .The sales department is responsible for logistics management
to some extent like transportation, depot management etc. The rest of the logistical matters
like inventory management, materials management etc. are taken care by the supply
department. The challenge of the sales department is to ensure that wherever customers
shop they always find the products merchandized with the correct shelf placement in the right
assortment and in the right price and promotional offers. It is through this department the
products reach at the hands of the consumers. Sales are basically responsible for
actualization of the marketing strategies and plans. All the marketing efforts will go in vain if
sales department cannot function properly and fail to reach the products to the distributors,
retailers and ultimately to the consumers. The marketing and the sales department combine to
utilize a pull strategy, which is consumer demand is created through effective communication
which makes consumer looking for the product to the retailers who in turn demand the product
from the wholesalers. The major support groups of the sales department are the sales
representative, distributors and customers. Retailers and wholesalers are the major pressure
groups because if their demands are not met or if they are not satisfied they might refuse to
accept and sell products of RBBL, which would ruin the activities of sales department. A sale
is actually, the results of marketing. So, sales and marketing departments act as
complementary to each other. Formulation and implementation of best possible strategies by
both of these departments will only bring about optimum results and foster growth of the
organization.
The sales department has no value if it cannot sell the expected volume of products. So
proper distribution of products must be ensured for the existence of the company. For the
smooth flow of products selling RBBL has been trying to ensure the best distribution policy for
its products since its first footstep in this country.
Distributor Selection Process of Reckitt Benckiser (Bangladesh) Limited:
At first Reckitt Benckiser (Bangladesh) Limited collects the necessary information as a tool to
determine whether the organization or the person have the necessary qualification to conduct
the business with Reckitt Benckiser (Bangladesh) Limited. The RSM and TSM first physically
visit the prospect and they verify the prospects qualifications basing on the following factors:
 Detail of the prospect
o Name of the firm
o Business Address
o Mailing address
o Telephone and fax number
o Nature of business
o Name of the proprietor
o Name of the partners (if any)
 Existing business of the prospect
 Nature of existing business
 Experience
 Detail of distribution or dealership business
 Logistics status of the prospect
 Name of the bank
 Number of showrooms and warehouses and their locations.
 Status of warehouses, capacity, ownership
 Manpower
 Number of managers, sections.
 Sales vans and their types.
 Monthly expenditure. (Item wise), fixed assets
 Investment, sales value and ROI on existing business.
 Financial status of the prospect
 Distribution status of the prospect
 Geographical demarcation
 Existing and expected coverage
 Existing and expected volume of business
 In the market
 With bank
 Business reputation:
 With suppliers
 With rivals
 Recommendation of RSM
 Recommendation of sales controller.
If the prospect have all the necessary qualities that are required by the Reckitt Benckiser
(Bangladesh) Limited, the prospect is issued a letter by the Sales Controller regarding the
duties, geographical demarcation of his distribution point, and the terms and conditions. The
RSM & the TSM physically visit the point and give necessary information and training to the
distributor and his sales team.
Terms & conditions & duties of Diligence for distributor:
Article1: Appointment:
The company is having the right to appoint number of distributors in respect of all or any of its
products in the same town or area, in which the distributor is situated or at any other place as
the company deems fit. Before doing this the company can have pre discussion with the
distributor but the right to appoint such a distributor remains solely with the company.
According to the terms and conditions mentioned here Reckitt Benckiser (Bangladesh) Limited
now appoints the distributor as one of its non-exclusive distributors for the territory/ the
products purchased from RBBL from time to time.
The distributor cannot or shouldn’t claim on account of the appointment of any distributor for
the sale of the products, tender supply or sale of the product to any person, any compensation
or commission brokerage or other fees or payments.
Article2: Distribution:
The distributor agrees to sell, distribute and merchandise the products in the territory to his
best ability, to fully collaborate with RBBL and to inform Reckitt Benckiser (Bangladesh)
Limited regularly of all relevant data concerning the development of the business and to
provide Reckitt Benckiser (Bangladesh) Limited with the reports and information of daily,
weekly, and monthly sales and market condition.
The distributor undertakes to maintain throughout the territory, as its own cost and expense
an exclusive well developed an active sales organization for the distribution of the product and
to visit present and prospective clients regularly and the frequency required by Reckitt
Benckiser (Bangladesh) Limited.
The Distributor shall be responsible for recruit, hire engage employ
and train all personnel and other persons at his own cost and expense required by the
distributor for proper complete and satisfactory performance by the distributor of his duties
and obligations arising from his agreement. Resource requirement s will be reviewed on a half
yearly basis and it will be contingent on the distributor to provide additional resource if
mutually agreed between the company and distributor.
Targets:
 Monthly /quarterly will be given by the territory sales manager.
 Performance incentives will be linked to the achievement of the monthly/quarterly target.
 Once the monthly target is agreed with TSM, target will be broken into weekly shipment plan.
And the sighed shipment plan should be sent to the Regional sales manager (RSM).
 Once agreed and signed the distributor must achieve the shipment plans by specific dates,
unless the target is revised by RSM.
Delivery of products to the distributor:
The distributor should time to time submit orders for purchase of the products at least 3 days
before the delivery date. Reckitt Benckiser (Bangladesh) Limited holds the right to absolutely
discretion to decline to accept wholly or part of any order.
The purchase price of the products should be paid by advance bank demand draft or pay
order or in such manner that Reckitt Benckiser (Bangladesh) Limited might time to time agree.
All risk of loss, damage or destruction shall pass to the distributor as soon as the products are
reaching the distributor’s warehouse gate. The distributor must submit products that have
deteriorated, leaked, broken or damaged to RBBL within 7days of the receipt of the product
from Reckitt Benckiser (Bangladesh) Limited. The distributor shall alone be liable and
responsible for any product damaged at any time after delivery.
Article: 4: Replacement of expired or defective products
The distributor should never sell deteriorated, leaked, broken or date-expired products.
Distributor must abide by the rules and regulations, which are to be made by the Reckitt
Benckiser (Bangladesh) Limited as “product return policy”.
If the sale of any of the products is prohibited by a competent authority under any applicable
law, Reckitt Benckiser (Bangladesh) Limited shall instruct the distributor and the distributor
shall cease distributing and selling such product.
Incase of unsold warehouse stock for any of unexpected trouble where the company itself is
the victim, the value of stocks shall be adjusted in distributors account by a credit invoice.
Article: 5 Sales promotion and advertising
The distributor shall extend fullest cooperation to Reckitt Benckiser (Bangladesh) Limited and
shall furnish such information and returns regarding the markets for products, sales,
maintenance of stocks, deterioration, date expiry and other matters for verification (If required)
by Reckitt Benckiser (Bangladesh) Limited. The distributor shall also inform about stocks
report to Reckitt Benckiser (Bangladesh) Limited at the end of each week/month. The
distributor must follow the form structure for sending such information specified by Reckitt
Benckiser (Bangladesh) Limited from time to time. Distributor should permit one or more
authorized personnel of Reckitt Benckiser (Bangladesh) Limited for direct access to
warehouse for stock verification & all sales and other related data to the sale and distribution
of the products (including branch wise data) available to the distributor.
Reckitt Benckiser (Bangladesh) Limited shall initiate and control sales promotion and
advertising of the products in the territory and may from time to time furnish to the distributor,
free of charge, such samples of the product and such sales promotional materials. All such
materials shall remain the property of Reckitt Benckiser (Bangladesh) Limited until disposed in
the usual and prescribed manner.
The distributor shall arrange cash memo, sales promotion and advertising of the products
within its territory upon the request and instructions Reckitt Benckiser (Bangladesh) Limited.
All costs incurred by the distributor in this regard shall be in the account of Reckitt Benckiser
(Bangladesh) Limited, provided that they have been authorized by Reckitt Benckiser
(Bangladesh) Limited in writing and the actual cost incurred in the sales promotion and
advertising of the products are fully substantiated by the distributor to the satisfaction of
Reckitt Benckiser (Bangladesh) Limited.
Claims against any activities should be made within thirty days for smooth settlement of
claims. If anybody were failed to do this within thirty days, it would not be considered as a
legal one.
If there is no claim, it should be informed in every three months.
Critical checklist to monitor distributors’ performance:
Distribution Operation Management Audit. (DOMA)
To evaluate the distributor’s performance Reckitt Benckiser (Bangladesh) Limited answers
the following questions which comes under DOMA:
1. Is the distributor maintaining the safety stock for key brands?
2. Is the distributor maintaining the agreed working capital?
3. Is there any non-compliance for executing the trade promotions?
4. Is there any distribution contingency plan in case of political strike?
5. Is the distributor following the market return policy?
6. Is the distributor taking adequate measures to minimize market returns?
7. Is the employee turn over rate is higher? If yes, they why?
8. Is the distributor taking initiative for market development?
9. Is the distributor following logistics maintenance principles?
10. Is the distributor maintaining the shipment frequency?
The attributes a Professional distributor should possess:
Have own vision and initiatives
Invest behind process/people/direct coverage extension.
Benchmark against other & beyond core business.
Have a long-term plan.
Have adequate resources both financial and manpower.
Target and performance orientation
Pro-activeness.
Route wise Return calculation:
Return on investment is the prime motive for any distributor for running the business with
Reckitt Benckiser (Bangladesh) Limited. When Reckitt Benckiser (Bangladesh) Limited
appoints any new distributor, company gives him a route wise Return sheet to increase the
drive to run the business. An example is given below:
Section Route Freq. Outlets S/R SKU AOS Distance Cost Sales Commis
sion @ 5%Gain/ Loss

Shuihari
Ramnagar,+Suihari+Modern Mor
4
60
75
2.8
23000
56
3600
92000
4600
1000

Distribution strategy of Reckitt Benckiser Bangladesh Limited:
Reckitt Benckiser Bangladesh Limited has specific distribution policy. Its target is divided into
two mechanical strategies those are product push strategy and customer pull strategy.
Products push strategy
Here product push strategy is such devices where the distribution people follow “pro-actively
influence sell-in” of Reckitt’s product that is they actively influence the buyer to buy Reckitt’s
product.
The key challenges they face here are as follows.
Direct coverage expansion.
Driving passive distribution.
Right service frequency
Selecting the right distribution partners.
Customers pull strategy
Here the customer pull strategy is such a device where the distribution people are to
depend on “the natural demand” for Reckitt’s product at the retail level. That is if the retailers
want a high volume of products then Reckitt can generate high-scaled revenue.
Here the key challenges they face are divided into two teams that is the distribution people
and the brand team. The key challenges both the group faces are as follow:
To create natural demand.
To ensure visibility at point of sales (POS).
To influence trade to be Brand Ambassador for RBBL products.
Forms of Distribution:
There are two forms of distribution in Reckitt Benckiser Bangladesh Limited
Direct distribution.
Indirect distribution.
Direct Distribution
In direct distribution process Reckitt Benckiser (Bangladesh) Limited has full control
over the entire supply chain ranging from depot down to the point of sale. Here RBBL practice
direct coverage policy. The benefit direct distribution is to retain ownership and control over
supply chain.
Indirect Distribution
The control mechanism of indirect distribution passes to the wholesaler to ensure that
the product is available at retail level. Indirect distribution is where RBBL don’t have full control
of the entire supply chain. Indirect distribution is playing the role of passive distribution. In
passive distribution one wholesaler is selected in a remote trade area and is given a certain
profit margin. The percentage depends on the following factors such as:
Distance of the market.
Area coverage.
Sales growth.
Reputation in the market.
Financial solvency.
The rationale to adopt the indirect distribution strategy is:
To minimize the distribution cost.
When the outlet universe is big and fragmented.
Defining market as the prerequisite of distribution planning:
Market can be defined based on:
Administrative structure, whether the company has direct control over the market or out of it.
Economic profile, the consumption pattern and the economy of that particular market area.
Geographic nature, the geographic characteristic of the particular market. Such as
Chittagong hill tracts, plain land markets are of Khulna.
Reckitt Benckiser (Bangladesh) Limited defines its market in following ways:
Urban market: Urban market is based in metropolitan city and all the district head quarters.
Sub-Urban market: Sub-Urban market is based on all the Thana head quarter.
Rural market: market based in beyond Thana head quarter. For example, unions and
bazaars.
Urban and Sub-Urban market:
Key features of urban and Sub urban markets are:
1. Urban market accounts for more than 50% of the business for Reckitt Benckiser
(Bangladesh) Limited.
2. Disposal income is much higher than rural market.
3. Density of population is much higher than rural area.
4. Consumers are more critical as they are better informed.
5. Consumers tend to follow the life style of capital city. Here capital sets the trend.
6. Developed infrastructure.
7. Easy access to electronic media.
Distribution Strategy for Urban and Sub-Urban Market:
1. Route planning is very critical. The responsible person who has expertise regarding the
traffic routes of that area makes the route plan. Sometimes it is done with the negotiation of
the responsible groups. But 3 factors should be kept in account always.
Cost effectively.
Traffic jam free routes.
Highest area coverage.
Distributors sales representatives should not be over burdened.
Engage a mix of top and medium performers
2. Right service frequency for each route based on the 80-20 theory. It means high volume
contributory routes should have higher service frequency. If required, additional service during
the peak season or any occasion e.g. before Eid and shab-e-barat.
3. Close supervision on distribution services by launching Customer satisfaction measurement
(CSM).
4. Ensuring distribution even in by-lines within the urban / semi-urban base market.
5. Outlet survey should be conducted in every November as the off pick season starts from
the month of November.
Rural market:
Key Features of Rural Markets:
1. Strong agro-based economy thereby disposable income is Limited.
2. River, mountain and lots of small villages.
3. Low density of population.
4. Completely different life style than urban areas.
5. Infrastructure is yet to be developed in many rural areas.
6. Relatively less critical consumers.
7. Access to electronic media is Limited. So point of sale is the key source of brand awareness.
8. 62% of outlet universe belong to rural markets.
Distribution Strategy for Rural market:
Distribution channels are completely different in rural markets. Rural market is the future
source of this business so companies should give extra emphasis.
Rural market penetration: Market prioritization is made through some approaches
Spot light approach:
Spot light approach is used through long-term analysis of some factors as
 Distribution network
 Performance of present distribution network.
 Manpower.
Now the grading colors of spotlights and their criteria are mentioned bellow:
Green: Good distribution network
Yellow: Where RBBL have distribution, but not up to the satisfactory level.
Red: Where RBBL have no distribution or have an extremely poor distribution. (Covers
only highways with very low frequency).
Red and yellow markets are selected for RMP-distribution drive.
Outlet classification: outlets are classified on the basis of the following factors, the
classification along with the factor are given bellow:
Channel:
 Traditional grocery.
 Departmental or general stores.
 Modern trade.
 Specialist (Hardware, pharmacy, cosmetics stores.).
 Non-retail channels. HoReCa (Hotels, Restaurants and Café.) Institutions, saloon, beauty
parlors and ladies hostel.
Quality:
 High quality
 Normal quality.
Volume:
 Big outlets (Consisting of sales volume more than 2000 Taka of RBBL product per month.)
 Small outlets (Consisting of sales volume less than 2000 Taka of RBBL product per month.)
Distribution channels for different types of outlets are:
(1) Distribution channel for Traditional grocery, Departmental or general stores, & specialists
like hardware, pharmacy, cosmetics stores are:
(2) Distribution channel for institutions like hospitals, offices, restaurants are:
The existing practice is that through the distributor the company conducting the indirect
channel of distribution. The company at first supplies its products to the distributor. The
distributor by his own cost supplies the products to the whole seller and retailer by using his
own manpower and logistic support. After that the institutions purchases the products from
whole seller and/or retailer.
This new channel will help Reckitt Benckiser (Bangladesh) Limited to increase it’s sales.
Because now as the competitors are selling their products to the institutions direct through
their distributors, omitting the retailers and wholesalers, as there is no middleman, they can
sell the products at a lower price. As a result the institutions are buying the competitors
products. Besides they are getting the products at hand, which reduce their complexity of
buying goods by going to the market and also saving their time. So, when Reckitt Benckiser
(Bangladesh) Limited will also be able to offer these benefits to the institutions then they will
be convinced to buy Reckitt Benckiser (Bangladesh) Limited products. And for big volume
driven institutions Reckitt Benckiser (Bangladesh) Limited can also sell the products to the
institutions by omitting the distributor.
(3) Distribution channel for Modern trade:
Modern trade means selling the product to the ultimate consumers through shopping malls,
the distribution channel of Reckitt Benckiser (Bangladesh) Limited.
Managing and developing people for better distribution:
Skill development of the field force through conducting training e.g. successful selling skills,
coaching (on the job mostly), running fresher clinic e.g. one-hour session in each month.
Recruiting field force as and when required: a TSM can recruit the right person like SSF
(special sales force) and CM (contract merchandiser).
Market return policy of Reckitt Benckiser (Bangladesh) Limited:
Reckitt Benckiser (Bangladesh) Limited implements its Market return policy for all the
distributors and sales partners across the country. The policy aims at defining the scope, the
possession and the authority level for market returns on regular basis to keep the sale system
and the outlets clean. The Market return policy ensures that Reckitt Benckiser (Bangladesh)
Limited sells and merchandises products as per Reckitt Benckiser global standard. To reduce
the market return Reckitt Benckiser (Bangladesh) Limited suggests the distributor to store
product in a cool, dry place with adequate ventilation and away from excess sunlight and
incandescent materials.
Nature of damage and market return:
Reckitt Benckiser (Bangladesh) Limited settles distributor claim in respect of the following
categories under specified condition:
Product defect:
1. Broken products..
2. Discolored products that show significant difference in color
1. when compared to standard.
2. Microbial growth any product which shows visible microbial growth such as
mould/bacterial/fungus on the surface.
3. Pack shortage means any trade outer containing less then the specified units.
4. Under weight or less content means any skillet containing less then the declared weight/units
of product.
5. Empty pack/can/tube, which contains no product in it.
6. Leakage any can/pack/tube which is leaking or spilling.
7. Any significant defect to the finished goods packaging.
8. Discolored packaging.
9. Expired product.
10. Damage in transit from Central warehouse to distributor point and to secondary distribution.
Process of withdrawing the market returns:
Withdrawing the defective goods from the market is an on-going process, whenever the
shopkeepers give any complain about the defective or broken products, the DSR checks the
product status and detects the cause of the damage. If the cause is transit to distributor point
or to the market place then the DSR puts signature on the skillet or the packet. In the next
market delivery visit of the deliveryman he replaces the defective product with a fresh one.
The defective products are stored in the warehouse of the distributor. The company time to
time asks the RSM to withdraw the damage good from the respective region. The RSM ask
the distributors to claim for damage goods, after getting all the with a stipulated time period
claims are send to the head office and the authority takes decision about the quantity of
damage withdrawal and approves a certain amount of market return. The RSM distributes the
allocation after having a meeting with the TSM. The RSM finally informs the distributor about
the amount of market return that will be withdrawn from him. Finally, talking to the factory
manager the distributor fixes a date for shipment of the damaged goods. Here the company
bears transportation cost.
Conditions for market return:
1. Market return is .05% against current months’ shipment.
2. In case of damaged coils the weight of damage coils and the number of coil heads are taken
into consideration.
3. In case of liquid products the company grants the broken or defected cane/tube.
4. If the Reckitt Benckiser (Bangladesh) Limited personnel gets any fresh product while
checking at the factory, the total amount of damage shipment of the distributor will not be
fulfilled for that time.
Distribution process in DinajpurTerritory
Dinajpur Territory:
M.S. Islam & Sons is the sole distributor of Reckitt Benckiser (Bangladesh) Limited products
for Dinajpur District. DinajpurTerritory also covers some other districts; these are Thakurgaon,
Panchgar and Nilphamari. A single distributor, M/S Khan & Brothers, covers Panchagar and
Thakurgaon districts and Nilphamari is maintained by M/S Raja Traders from Saidpur. The
TSM is the representative of Reckitt Benckiser (Bangladesh) Limited for the regular dealings
and communication with the distributor. The concerned TSM makes the forecasting of product
volume with the market demand. This is done basing upon distributor’s report about the stock
in his warehouse and the required safety stock of 7days market demand. Then the order
made by the distributor is sent to the central warehouse. It is mentioned that the distributor is
to make a demand draft on 100% payment for getting that order fulfilled. It is the company’s
responsibility to send the products as per order at the distributors’ warehouse. The company
uses Full Truck Load (FTL) or Less than Container Load (LCL). The company determines
whether to use FTL or LCL based on time and cost factor. The company’s responsibility for
transportation is over at the door of the distributor’s warehouse. Then the distributor’s
workforce keeps the goods in side the warehouse as per directed to store. As per the fixed
frequency for different routes the TSM and the distributor jointly decide the delivery vehicles to
reach to the ultimate outlet. This process is also covering the wholesalers. The DSRs are to
go to the market for knowing the demand for different Stock Keeping Units in the form of
orders. Here the DSRs are using the printed order form supplied by the distributor. The next
day of market visit the deliverymen are taking the goods to the outlets as per the previously
given orders to the DSR. For any kind of problematic product the shopkeepers inform the
DSR. Then the DSR checks the products whether complain are valid. If it is found valid the
DSR ensures the change of the defective product in the next delivery date.
The map stated here shows different sections in the Dinajpur under Islam & Sons enterprise.
Sections in Dinajpur:
Islam & Sons enterprise has 14 Sections; the DSRs visit these sections in different
frequencies according to the economic characteristics of the markets under each section.
Markets under each section, the visit frequency and their distance in Kilometers are stated
below:
Section Market Frequency Distance in

KM
Bahadurbazar T&T Road, C& B Road, Galkati 4 .5
Birampur Birampur, Nawabganj, College Mor 4 50
Bottoli Barabandar, Kalur Mor, Rajbari 2 15
Pulhat Sikdarhat, Khanpur, Fultola 2 10
Dosh Mail Birgonj, Tero Mail, Kabiraj 4 40
Balubari Fulbari Bus Stand, New Town 4 5
Ambari Fulbari, Railgate, Abtabgonj, Ambari, lakhitala 4 50
Ramnagar Suihari, Choi Rastar Mor, Charu Babur Mor, Kalitola 4 2
Ranibandar Vushibandar, Ranibandar, Pakerhat, Khnashama 2 30
Kaharul Kaharul, Dhukur Gari, Golapgonj 2 10
Maldahpatti Chalkbazar, Munshipara, Jail Road, Goneshtala 4 1
Shetabganj Mongalpur, Shetabganj, Upazila Road, Thana Mor 4 50
Birol Baluadanga, Birol, Kanchan Mor, Narabari 4 25
Chirir Bandar Current Hat, Josai Hat, Chirir Bandar, Simul Tala 4 30
Problems found in the distribution process of Reckitt Benckiser (Bangladesh) Limited in

DinajpurTerritory.
1. Stock out:
Stock out is the unavailability of required sellable product of the company in a stipulated
period in a certain or more distribution point. During my working period in Dinajpur there were
2 stocks out for the 2 most demandable products: a) Mortein power coils, b) Mortein power
booster coils.
Stock out for Mortein power coils was from 5 th March to 4th April. The monetary value of the 7
working days long stock out was approximately of Tk. 125000.The impact was huge because
Mortein Power contributes 40% in the sales volume in DinajpurTerritory. The distant sections
were not visited during the stock out duration.
Stock out for Mortein Power Booster Coils was from 24th March to 29th April 2007. The
monetary value was Tk. 30000.
At a glance, it may be assumed that these 2 stock outs have less significance in the total
month sales but in reality the scenario might not be that because in the long run the effect
might be huge. The effects may be of 2 types: monetary and customer loyalty effect. Monetary
effect is the effect, which is countable in terms of monetary value. During the period of stock
out the competitors may capture a significant portion of customer, which the company will loss
only because of the stock out. Loyalty effect is that effect for which consumer may loose their
existing loyalty from the certain brand and tend to switch to the competitor brands. It can also
happen to the Distributors and other channel members.
2. Damage goods:
At present there is huge quantity of damaged good stock in the distribution point and the
outlets. During the survey period 3 types of damaged goods were observed. They are
accordingly
1. Damaged Goods Company has accepted but yet to collect form the Distribution point.
2. Damaged goods collected from the Market by the distributor yet to inform to the company.
3. Damaged goods stuck in the outlets in the sections.
The quantity of damaged goods within the survey period is shown below:
a. Accepted Damaged Goods yet to collect form the Distribution point.
Table: 1
Rates Quantity Stock

value(Taka)
No SKU MRP Trade EX. Case(s) Unit(s)

price fact
(gross)
1 Mortein Power Coil 15 10.33 9.84 6 28 3817.92
2 Mortein King coil 22 15.83 15.03 9 17 8371.71
3 Mortein power 25 20.33 19.36 5 5808
booster
4 Harpic 750ml 58 52,32 49.83 28 1395.24
5 Harpic 500ml. 44 39.73 37.84 58 2194.72
6 Harpic200ml 20 18 17.15 21 360.15
7 Dettol soap 14 12.97 11.41 212 2418.92
75gm(Org)
8 Dettol Soap 21 19.67 17.30 68 1176.40
125grm(Org)
9 Dettol 56 ml. 15 13.25 12.62 27 340.74
25956
Total Value
Source: Damage claim report, Dinajpur, April 2007

b. Damaged goods collected from the Market by the distributor yet to inform to
the company.
Table:2
Rates Quantity Stock

value(Taka)
No SKU MRP Trade EX. fact Case(s) Unit(s)

price (gross)
1 Mortein Power Coil 15 10.33 10.32 4 05 2528.4
2 Mortein King coil 22 15.83 15.03 6 5410.8
3 Mortein power 25 20.83 19.84 5 5951.42
booster
4 Harpic 750ml 58 52,32 49.83 11 548.13
5 Harpic 500ml. 44 39.73 37.84 3 3 1475.76
6 Harpic200ml 20 18 17.15 9 154.35
7 Dettol soap 12 10.97 9.41 244 2296
75gm(Org)
8 Dettol Soap 21 19.67 17.30 13 224.9
125grm(Org)
9 Dettol skin care soap 14 12.97 11.41 2 2784
10 Dettol 56 ml. 15 13.25 12.62 16 201.92
Dettol 100 ml 24 20.25 19.29 45 868
22443.68
Total Value
Source: Damage claim report, Dinajpur, may, 2007

c. Damaged goods stuck in the outlets in the sections.
According to the report of the Distributors sales representatives to the territory sales manager
the Ex. Factory value of damage goods in different sections is Tk. 18796.
Total amount of damage goods in Dinajpur point is 67196, which is approximately 10% of the
average sales.
3. Distributor sales representative Incentives and performance reward:
Distributor sales representatives are the people who are the ultimate sellers of the
company’s product in the market place. They always keep contact with the wholesales and
the retailers by taking the orders and supply them with the required quantity of the right
product. They often help the retailers’ display and merchandize the products in the outlet to
draw the customer attention. As they are playing a key role, they should be kept motivated by
ensuring their incentives as they perform well. During the 12 weeks of the study the company
granted two incentives for the Distributor sales representatives.
4. Lower Return On Investment:
M.S. Islam & Sons, the sole distributor of Reckitt Benckiser (Bangladesh) Limited for Dinajpur
district earns 13.4% profit on its investment of Tk. 675000 which is not good at all. The
breakup of ROI calculation is shown in the next page.
M.S. Islam & Sons, Dinajpur – 2006

A Salaries
Break up Total Total
a) Salesman (2) 2500*2
TK.5, 000
b) Van Puller 1800*2
TK.3, 600
c) Deliveryman (2) 2000*2
TK.4, 000
6 Persons
Salary Expenses TK.12, 600
B. Redistribution Cost
Break up Total
a) Daily Allowance 6*20*26
TK.3, 120
b) Order Booking Cost
TK.500
c) Maintenance of Delivery Units
TK.1200
d) DD Cost (Tk. 1 per Thousand)
700
Total Redistribution Cost TK.5520

C. Property
Break up Total Total
a) Office 1*1500
TK.1,500
b) Warehouse 1*2200
TK.2,200
Property Total TK.3700

D. Others Total
Break up Total
a) Printing / Memo Book ((2*35*26)/100)*50
TK.910
b) Telephone/ Fax / Courier
TK.200
c) Refreshment
TK.250
d) Labor
TK.900
e) Stationary
TK.200
f) Others
TK.700
Others Total TK.3160

Total Expenses Incurred
TK.24980
Sale (Last 6 Months Average)
650000
Commission Over Sale
TK.32500
TK.32500
NET PROFIT AFTER Min
OPERATION TK.7520
Profit for the year
TK.90240
Return on Investment (ROI)
13.4%
Dec-06
Investment in Stocks
TK.450000
Credit at Market
TK.150000
Goods at Transit
TK.75000
Total Working Capital TK.675000
5. Malpractice regarding the trade promotion programs:

Trade promotion is a sample product given by the company to encourage the wholesaler and
retailers for selling Reckitt Benckiser (Bangladesh) Limited products. It is normally given on
the cases and dozen basis purchases. The objectives of Trade promotions are:
 Increase distribution (Stock depth and width)
 Counter competitive pressure
 Encourage buying.
 Increase brand presence in stores.
In some cases there are complains about the distribution of Trade promotion (TP). In some
remote markets the Distributor and the DSR do not give the TP.
6. Problem in Route Planning
There are some remote areas and those very areas have huge potential markets of Reckitt
Benckiser products especially for coils. But those areas are not in the coverage of the existing
route planning. If those areas can be covered there is large possibility to increase the sales in
a significant ratio. And in some other areas like Mangarpur, Pulhat , Sikdarhat and Birampur,
were visited forth-nightly. But if the frequency of the visits could be increased, it has been
seen that the sales increases in large portion.
7. Number of vehicles:
For delivering the ordered products in time the distributor does provide only two vehicles: one
is a rickshaw van and other is a tempo. The number of vehicles depends on the number of the
sections and their distance from the distribution point. In Dinajpur some of the sections are
more than 70 kilometers from distribution point but the distributor is used to deliver there by
his rickshaw van which is very difficult and time consuming.
8. Lack of proper documentation
In M.S. Islam & Sons, the sole distributor of Reckitt Benckiser (Bangladesh) Limited for
Dinajpur, the Distributor himself manages the business as there is no manager. Most of the
times the Territory sales manager need to visit the distribution point to collect the actual stock
report, sales report and other required information. There is a lack of documentation and
paper works in Dinajpur distribution point.
9. Condition of warehouse
M.S. Islam & Sons uses 3 small warehouses to store Reckitt Benckiser products and the
condition of the warehouses is not up to the Reckitt Benckiser standard. The Storing principles
are not maintained properly. The standard is keeping 6 cases of coils at best in each Column
but normally 10 cases are stored in each column. And in most of the cases for other product
the standard is not maintained properly. This is one of the causes for which the coils and other
products are damaged.
SWOT Analysis:
M.S. Islam & Sons
Distributor, Reckitt Benckiser Bangladesh Limited
Dinajpur.
Strength Weakness

Stable financial condition. Unfair business practice.
Qualified and up to date sales force. Not helpful to the company personnel.
Trustee for business. Don’t maintain safety stock and product mix.
High involvement in business. Don’t maintain necessary papers.
Good product depth in local market. Reluctant to give TP and DSR incentives.
Good business sense. Charge higher price.
Bad market reputation.
Huge market coverage gap.
Less cooperative.
Low ROI.
Opportunities Threats

Sales volume can be made double. No future business plan.
Economically growing area. Competitors are moving toward weak covered
Green coil buyers can be transformed in to red coil areas and taking market slice.
buyers. Unstable political situation
Huge opportunity to increase the high margin Possibility of shutting down business any time for
SKUs. e.g. antiseptic and Lavatory care. low ROI.

Recommendations and Conclusion

Recommendations:
There are many critical and minute problems that have been found in the sales and
distribution management system of Reckitt Benckiser (Bangladesh) Limited in Dinajpur. On
the basis of those problems, following recommendations are listed below:
 Regional depots should be established in Bogra from where the inventory requirement of the
distributors can be met with the lowest possible lead-time and can be reached to the customer
at any time.
 The company should employ a distribution supervisor in each distribution point who could
guide and monitor the distributor sales representatives for the best interest of the company.
 At present there is a huge quantity of damaged goods in different outlets. So these products
should be replaced immediately because delay in replacing may hamper the image of the
company.
 As the Return on Investment is 13%, which is very poor, the company standard is at least
20%. The company had better pay for a single sales unit (one DSR, one delivery man) so that it
can minimize the cost of the distributor. The Company should pay more attention on market
return management so that the higher frequency of withdrawing market return can be ensured.
 Route planning should be reviewed and as there are some uncovered remote markets that
are potential, if necessary passive distribution should be introduced to capture those markets.
 Distributor should have some covered van and a motor van for the Delivery teams to work
efficiently. Company should concentrate on it.
 A single distribution point should be established in Panchagar district as sales have been
increased there tremendously.
 All types of documentation like Daily sales report, weekly sales report, DSR incentive report,
trade promotion report should be prepared and monitored regularly.
 The condition of the warehouse should be made standard and there should be one
warehouse to store the products.
 The company management must ensure the retailers’ and the wholesalers’ opportunities in
trade promotion.
 The management should provide the rewards to the Distributors Sales Representatives
(DSR) for each and every better performance and this field sales force should be trained on a
regular basis.
Conclusion:
Reckitt Benckiser (Bangladesh) Limited is one of the most reputed global companies
operating in our country. Its positive image and brand equities have helped it to foster growth
throughout the years since its establishment. The company continues to focus on presenting
better solutions to the consumers’ problems by continuously developing the existing products,
introducing new products, concentrating on new media opportunities and improving the
communication system, expanding distribution network and innovating new ideas. And all
these activities are undertaken by a set of superbly proficient and talented employees working
with a proactive outlook. The sales of Reckitt Benckiser (Bangladesh) Limited is mainly based
on distributors.
Though the organ gram is showing a good set of managers to ensure the best distribution but
here they have no direct control over the sales. With the help of strong strategic marketing
plan and supports form other departments the distribution channel is running smoothly. Day
by day, their sales figure is increasing but here they can develop their distribution efficiency, if
they follow the things, which have been recommended in the part of recommendation.

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» Business » Organizational Behavior » Internship Report on Reckitt Benckiser Bangladesh Ltd

Internship Report on Reckitt Benckiser Bangladesh

Category Brands Products

i Mortein King Coil

sion @ 5%Gain/ Loss

Section Market Frequency Distance in

Problems found in the distribution process of Reckitt Benckiser (Bangladesh) Limited in

Rates Quantity Stock

No SKU MRP Trade EX. Case(s) Unit(s)

Source: Damage claim report, Dinajpur, April 2007

Rates Quantity Stock

No SKU MRP Trade EX. fact Case(s) Unit(s)

Source: Damage claim report, Dinajpur, may, 2007

M.S. Islam & Sons, Dinajpur – 2006

Total Redistribution Cost TK.5520

Property Total TK.3700

Others Total TK.3160

Total Working Capital TK.675000

5. Malpractice regarding the trade promotion programs:

Recommendations and Conclusion

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