CASE STUDY PRESENTATION

Presented by team 4

OFFICE FURNITURE

Office furniture include the work stations, executive desks, chairs,sofa,furniture for computer labs,meetings,auditorium etc

OFFICE FURNITURE

MARKET TREND

The worldwide furniture market has grown steadily over the period 2000-2007. In furniture market, residential sector holds the major share of the market, followed by office furniture. North America covers almost half of the market, followed by Europe. Canada is one of the largest exporters in office furniture market.

TOP OFFICE MANUFATURING COMPANIES

Steelcase Steelcase (NYSE: SCS) is an international office furniture company. It was founded in 1912 in Grand Rapids, Michigan as The Metal Office Furniture Company.

Manufacturers and exporters of various lab furnitures, allied products, equipments laboratories , laboratory tablets, land tables, peninsular tables, wall tables, sink tables, balance tables and scientific instruments.

They design and manufacture architecture, furniture and technology products, including, office chairs, desks, storage, and space divisions.

N°1 in the office furniture industry • $ 2,3 billion annual revenue in fiscal year 2010 • 11,000 employees worldwide • 28 plants: 10 in North America, 10 in International and 8 Other 

OTHER LEADING MANUFACTURES

Herman Miller Herman Miller, Inc. is one of the leading manufacturers of office furniture and furniture systems, second only to Steelcase, Inc. in sales.

HNI Corp Poltrona Frau SpA 

STEEL CASE  Three Months Ended

  8/29/09(13 Weeks)

8/30/08(13 Weeks)

PercentChange

Net Sales $324.0 $479.1 (32.4)%

Net Earnings $8.4 $33.4 (74.9)%

Orders $322.1 $535.2 (39.8)%

HOME FURNITURE

HOME FURNITURE

 IKEA is the top home furniture retailer in the world, with over 90,000 employees working in its 200-plus stores, and annual revenues in excess of $10 billion.

IKEA (Ingvar Kamprad Elmtaryd Agunnaryd) is a privately held, Swedish international home products company that designs and sells ready-to-assemble furniture, appliances and home accessories. The company is now the world's largest furniture retailer. 

Revenue  € 23.5 billion (2010)[1]

Net income  € 2.7 billion (2010)[2]

Employees 127,000 (2010)

FEATHERLITE GROUP Featherlite group was founded in 1965 about 43

years ago, ventured into home furniture during its inception and pioneered in manufacturing aluminum folding furniture in India. It’s the leading manufacturing and marketing enterprise based at Bangalore recording an annual turnover of more than 150 crores.

As of today, Featherlite is one of the leading furniture manufacturing & marketing organizations in India, providing complete office furniture solutions for all segments of market through its strong base of direct and franchisee offices present across 32 locations in India.

Featherlite’s core expertise lies in manufacturing and marketing extremely innovative and cost effective customized office furniture such as modular work stations, chairs, partitions, desks conference tables educational, lab & retail furniture and fixtures etc

FACT SHEET

Year of Establishment:1965 Legal Status of Firm: Professional Association Nature of Business:Manufacturer, Exporter,

Retailer, Trader Number of Employees:101 to 500 People Turnover:US$ 10-25 Million (or Rs. 40-100 Crore

Approx.) Wide variety of office furniture through its 25

exclusive showrooms in Mumbai, Chennai, Bangalore, Delhi, Kolkata and Hyderabad.

Featherlite manufactures about 20,000 chairs and 3400 workstations per month and 35 percent of the production is sold through its retail outlets

COTD…

Its product portfolio consists of executive office chairs, banquet chairs, auditorium chairs and even poolside seating.

Over the last five years, the furniture major has introduced a wide range of Modular Office furniture systems catering to most specific needs of customers. Each Featherlite product is result of a thoroughly studied and designed effort after considering key factors including space, volume and aesthetics.

PRODUCTS Produce products of high quality by

combining technology, innovation and design.

Featherlite manufactures office furniture, call center and auditorium furniture, educational and laboratory furniture.

Workstations Executive desks Sofas Cafeteria Chairs Education Retail fixtures

INFRASTRUCTURE:

Human Resource strength of 500 people; World class manufacturing setup of 1'75'000

sq.ft.(located in Bangalore and Hosur); Equipments capacity to manufacture 150 to

175 work stations and 600 to 800 chairs per day;

Capacity to manufacture more than 14,000 chairs and 6000 workstations monthly

Continuous upgradation of technology as new investment in CNC machinery;

Cost and time saving processes of manufacturing and delivery;

Supported in 22 locations across India.

CLIENTS

Its clientele includes some of the biggest names in the corporate world like

Microsoft, Oracle, Intel, Star TV, Samsung, Mercedes Benz Ltd.,

IBM, Satyam Computers, Axa Insurance, Hughes Software,

Motorola, Citibank, Global Trust Bank.

FOCUS AREAS 

Manufacturing and Marketing  Seating products ? all types of chairs  Modular office partitions and workstations  Desks & Tables ( Including Conference Areas) Auditorium Furniture  Educational & Laboratory Furniture  Airport & Public seating 

KEY PRINCIPLES 

Featherlite is a family owned professionally managed organization. Founded by late Mr. Gopal Ramnarayan (67), his sons Mr. Jawahar Gopal, Mr. Manohar Gopal and Mr. Dhiren Gopal are Directors spearheading and managing different areas of operations of this group.

Customer Trust  Our valued clients are many of the finest

corporates, Software/ BPO Companies, Government, public sector units, banks and financial institutions in India, A Majority of these are repeat customers, showing their faith in Featherlites reliability, and its focus on quality & service. 

BUSINESS STRATEGY  Offer premium quality products at reasonable

prices. ?VALUE FOR MONEY? strategy has been the foundation of our impressive growth.? State - of ? the ? art manufacturing facilities for mass customization backed by a topnotch Design team to solve customer related problems in the areas of modular Systems furniture and seating Products ? Offer ?One stop? solutions for all areas, from inception to its completion stages in collaboration with Architects & Interior designers.Widest product range to suit all needs and requirements of focused segments. 

INFRASTRUCTURE AND DISTRIBUTION NETWORK

Featherlite has a strong distribution network comprising Franchisees and company owned showrooms in more than 25 locations across India to serve clients ongoing needs and requirements and now on the brink of expanding its foothold in other potential areas of India. 

 

CASE

15th store in south Market for home furniture products is growing

particularly in the middle income group. They are looking at revenues of abt rs 25

crore from the home furniture division . Launched  at Road No. 10, Banjara Hills in

Hyderabad,this 14,000 sq ft store offers homemakers a wide range of living room furniture, all internationally designed and modern in style. The store is set up by Featherlite in association with PCH Retail Solutions.

As a part of its diversification strategy, Featherlite has expanded into real estate development under Featherlite Developers and a b2b model for hospitality industry under the name of Studio F spread across an area of more than 20,000 Sqft, apart from a business incubation center with 67 well furnished 4 star class hotel/retreat called Evoma, Manohar Gopal explained .

As part of its expansion plans, Featherlite intends opening 8 more such stores across South India by the end of this year and envisions 15 such stores by 2012, he said. While all these stores would be located in different cities, the aim everywhere would be the same - bringing inter- national quality, specialized living room furniture to India, he added.

VIJAYAWADA: Chairman of Karur Vysya Bank K. P. Kumar on Monday inaugurated a new furniture showroom of Featherlite, an office furniture manufacturing and marketing organisation since 1965, in the city.

The showroom is spread across over 3000 sq. ft off the Mahatma Gandhi Road and has the most contemporary office furniture products.

“We have always laid thrust on producing furniture on par with global standards. Our presence in the country for the past many decades had helped us understand the demands of all segments and we have been consistently adding new range of products every year to fulfil the same,” said Manohar Gopal, Director of Featherlite.

He said the company's manufacturing facility in Hejjala near Bengaluru, spread across an area of 1.75 lakh sq. ft, was selected as one of the best facilities in Bengaluru by the INCITE (Contemporary Architects Association of India) for its architecture and concept of Green environment.

He said the company had a strong presence in more than 32 locations in important cities and towns across the country and it had plans to expand at least 10 more locations by the end of 2010-11.

Choice Marketing Company, spearheaded by Vijay Sree Ram has associated itself with Featherlite to promote its products in Vijayawada. A wide range of chairs, workstations, desking systems and much more is displayed at the showroom.