Final Hc Sula

8/2/2019 Final Hc Sula

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Materialsmanagement


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Prof.

Rajwade

Acknowledgme

ntWe would like to give our sincere Thanks toProf.Rajwade for giving us the opportunity toexplore a full-fledged corporate company tocarry out our analytical study for this project

and for his support to study in detail,companies in some of the major industries andthus giving us a better understanding of theirfunctioning.

This experience has benefited us greatly;teaching us the methods of studying anorganization, analyzing the factors that affect

its working, and preparing an analytical report.It has also, thereby, allowed us to foray intothe business world, as professionalmanagement students.


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Through this project we also learnt theimportance of time management and

teamwork, which are essential in contributing

towards the success of an individual in thecorporate world.A special thanks to the employees at SulaVineyards (Nashik).

Index

1.Introduction2.Welcome to Sula3.Sula story4.Preparation of wines5.Founders6.Organizational structure7.Materials management hierarchy8.Wines9.Product mix10. Revenue mix11. Disposal of wastes12. Storage13. Materials handled per day

14. Distributors15. Competitors16. Sulas success17. Conclusion


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Why Sula?????Wine is becoming the preferred alcoholicbeverage in an increasing number ofcountries in the world. Even in Russia , whichhas traditionally been a nation of vodkadrinkers, wine today accounts for 30% of thespending on alcoholic beverages, up from a

meagre 3% in 1989.

When you're in Europe or in the U.S. andCanada , or in Japan , Hong Kong , Singaporeand Australia , you'll be entertained with wine,and you'll be expected to serve the winewhen it's your turn to entertain. Wine isbecoming the social lubricant of choice

around the world. It's important, therefore, foryou to understand this beverage, because itisn't that mysterious as it's made out to be.

Today, smaller cities are seeing bigconsumption gains, not just the metros. Stateslike Punjab, which were considered hardcore

spirits markets, are seeing wine consumptiondouble. For an Indian wine producer, these arethe best of times.


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Lastly as locally produced wine becomesbetter and easily available, it creates prideamong locals who then support the wine. Thishas been the trend all over the world. WhenSula was launched, a lot of people scoffedabout not being able to stand up to imports.But there were many others who were thrilledto see a good wine being produced in India,and would serve it with pride in their homes.


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Introductio

n


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The past five years have seen a dramatic shiftin the drinking habits of affluent urban Indians.More and more sophisticated city-dwellers aregiving up their old hard liquor habits andswitching to the softer option of wine. In the90s, wine was still an afterthought atcelebrations or evenings out at the club, butwith increased availability of good, affordable

locally produced wine, drinking patterns arechanging fast.

This shift is mirrored in Bollywood, where notso long ago a woman who drank on screen wasperceived to be a vamp, seductress, or awoman with no principles. Then in Dil ChahtaHai we had Aamir Khan gifting a bottle of wineto Preity Zinta, and that set the trend. Today'sheroine enjoys a glass of wine with her man, asPriyanka Chopra does with Abhishek Bachchanin Bluffmaster, with absolutely no aspersionscast on her character by the audience. Thesame actresses, potent role models for youngwomen, are seen daily on Page 3 holding

glasses of wine at fashion shows and galleryopenings. Look up the archives from just 10years ago and we won't see any wine inevidence.


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The number of gyms sprouting all over makesit clear that health has become much moreimportant among the affluent and educated.

Wine gains from this trend, as it's perceived asa much healthier choice than spirits. The mediahas extensively covered the health benefits ofwine, especially red wine, over the past fewyears, and this definitely influences people'sopinions. Indians have the highest rate of heartdisease of any ethnic group, so many doctorsare advising their patients to switch to wine.

Increased affluence also tips the scalestowards wine. Spirits get you high muchcheaper and that's a huge factor in a cash-poorsociety. Until recently college graduatesearned Rs 4,000 a month in their first jobs,which really didn't afford them enough spare

change to drink relatively expensive wine. Today's graduate might pocket Rs 20,000,which is more than enough to enjoy the finerthings in life on a night out.

As we Indians travel more and more, we visitsocieties where wine is the main tipple. This isa huge influence. In the US today more people

drink wine than beer, a quantum shift for thatcountry. The UK is headed the same way. Ofcourse, in continental Europe wine has been away of life forever. As India integrates into theglobal economy, it becomes more important for


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business people to be able to speak a commonlanguage with their counterparts abroad, andwine is a global language today.

During the last three years the trend hasaccelerated, with wine consumption in India jumping 25 per cent annually, a rate thatshows no signs of slowing down anytime soon.

It's instructive to look to China, which hascome from nowhere to be one of the world's

top 10 wine producers and consumers. Thephenomenon is also seen all over Asia, whichfollowed the same trend from spirits to beer towine. India is now the latest country to embarkon that path.


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Preparation of

wines:


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There are eight stages in which a wine isprepared and processed. They are asfollows:


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Vinification includes all the successivesteps between the arrival of the grape in thechai and the barreling of the wine. These steps

are:

Reception of the harvest Removal of the stems and crushing of the

grapes Alcoholic fermentation

Draining

Pressing of the must Malolactic fermentation Blending

Running offconsists of separating thewine from what one calls the must. Themust consists of the mixture of skins, pulpand pips. The wine is then drained intoanother vat. The remaining must is thensent to the press.

Blending is very important to theassemblage of the wine. It consists of seekingout among the different vats of the vintage


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those that qualify for making the "grand vin."One must single out the best vats of theCabernet Franc, Cabernet Sauvignon and

Merlots and make sure that the resultingsynergy of their blending will develop greatharmony as well as complexity in theresulting wine. This step comes after thealcoholic and malolactic fermentation isfinished.

Numerous trial blendings are necessary

in judging the quality of the wine. Thetastings progress gradually untilfinally one decides on the best blend.Little by little the "grand vin" hasemerged with: the best equilibrium,the most perfect harmony, and thecomplexity of aromatic characteristics

that are found year after year in thewines of Haut-Brion.


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Aging in the barrelhas severalobjectives:

The clarification of the wineThe oxidizing of the wine

The stabilization of the wine

Topping off

As soon as the fermentation is over and thewine is blended it is transferred into brand newbarrels. It stays in barrel for twenty four tothirty months. Haut-Brion has its owncooperage where most of the barrels used aremade.The wine charged with carbonic acid after the

fermentation degasifies during the first yearwhile the barrel remains open (glass stopper inbung hole on top).
http://haut-brion.com/home/en/chateau/chb-cooper.phphttp://haut-brion.com/home/en/chateau/chb-cooper.php


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The new wood constantly absorbs the wine soit is necessary to fill up the barrelsregularly. This deed takes place every twodays at Haut-Brion and is called topping up.

Next the barrel is hermetically sealed with thebung placed on the side and topping up is no

longer necessary.

Racking is an operation that is veryimportant regarding the traditional vinificationof wine in barrels. There are several objectives of which theprincipal one is the separation of the limpid

wine from the deposit that has gravitated tothe bottom of the barrel. This deposit iscommonly known as "lees" or dregs.


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Another objective is degasification. Decantingthe wine from one barrel to another permitsthe release of CO2 from the wine.

Finally,if necessary one can choose to aeratethe wine. During this maneuver a small amountof oxygen stays underneath it.

The oldway...

The racking is practiced by pouring the wine

from an elevated barrel into one below. Onlythe wine stored in barrels on the bottom row isdecanted with the aid of air pressure.This operation takes place every three monthsduring the first year. Afterwards it is doneevery four months.


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Gradually the wine clarifies until it iscompletely clear at the time of bottling.

Fining is both the clarification and thereining of the wine. The small particles floatingin the wine gravitate slowly to the bottom.Then, as it ages in the barrel, the wine softens. The rather harsh tannins noted after thefermentation tend to lose their greenness and

density. Fining both accelerates theprecipitation of the particles and eliminates theexcesses found at the start, leaving theessential attributes needed to produce abalanced, harmonious, and aromatic wine.Fining entails adding whites of egg to eachbarrel (between 2 and 8 per barrel according to

the wine). These whites have been carefullyseparated from the yolks and after a slightwhisking are incorporated with the wine in thebarrel. The wine is then vigorously whiskedwith a long stalk until there is a perfect blendof the wine with the white of egg. It is the


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albumin in the egg white that coagulates oncontact with the alcohol in the wine. Threeweeks are necessary in order to obtain a

perfect clarification of the wine.

Bottling was at Haut-Brion during theeighteenth century that wine was bottledfor the first time in Bordeaux. This was onlymade possible by the use of a stopper madeof cork. Cork permitted the sealing of thebottle, rendering it airtight. This technique it

seems came from Portugal.

Preparation and Processing the wine iprocedure that is affiliated with the bottling and m

occur simultaneously or at a later date in the evthat there are special conditions.


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Welcome to Sula

Vineyards!Since the launch of our first wines in 2000, weve quickly

ained the reputation of being India's Finest wines. At Sula, weommitted to placing India firmly on the global wine map as wcontinue to produce wines of outstanding quality and superb

value.

-Rajeev SamantE


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Sula story:Situated 180 km northeast of Mumbai,Nashik is Indias largest grape-growingregion, but had traditionally never beenused to grow wine grapes. Wonderingwhy, an enterprising, Stanford-trainedengineer named Rajeev Samant quit hishi-tech Silicon Valley job in 1993 to do

some investigating.A little research quicklyshowed that the Nashikclimate was not onlyperfect for wine grapes,but was also on par

with winegrowing regions in Spain,

California, and Australia. Hisdetermination doubled, Rajeev returnedto California in search of a winemaker.In Sonoma County he found KerryDamskey, an eminent Californianwinemaker, who enthusiastically agreedto help start a winery on Rajeevs 30

acre family estate.In 1997, the duo took the revolutionarystep of planting French Sauvignon Blancand Californian Chenin Blanc, varietiesthat had never before been planted in


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India. The first Sula wines, released in2000, were widely acclaimed as Indiasbest white wines.

Since its inception, Sula has rapidlyestablished itself as Indias leadingpremium wine brand, helping spark awine revolution that has seenconsumption grow at 25% annually andseveral new wineries come up in theNashik area. In November 2002, Wine

Spectator the world's No.1 winemagazine did a five-page feature onSula, a proud first for an Indian winery.

A second winery with three times thecapacity of the first was completed inlate 2004 to keep up with demand, anda third 1-million litre winery is set to be

operational in 2006. Sula has expandedfrom the original 30 acre family estateto having about 400 acres underplantation, both in Nashik as well as innearby Dindori, the latest up-and-coming wine region. Varietals plantedinclude Cabernet Sauvignon, Shiraz,Zinfandel and Merlot along with theoriginal Chenin Blanc and SauvignonBlanc. In addition to having a widenational distribution network withinIndia, Sula also exports its winesinternationally, as well as importing and


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distributing wines from leadingproducers worldwide.

In 2005, Sula proudly launched its firstreserve wine, the Dindori ReserveShiraz, as well as Indias first dessertwine, the Late Harvest Chenin Blanc.

Founders:

Rajeev Samant Kemskey


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Partnerships:The Wine Web

New York wine exchange

Novum Wines


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Organizationalstructure


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President

CEO

Vice president

General Manager

Director of wine making

Marketing director

Sales administrator

Head of stores

Materials handlingmanage


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Materials

managementhierarchy

Director \ General manager

Executives

Employees


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WinesOur wines are made from grapes grownat our Nasik and Dindori estates, as wellas from those sourced from local farmersoperating under the guidance of Sulas

team of experts.

Different types of wines are:

Red

WhiteRos

Sparkling

Dessert

Product mix
http://www.sulawines.com/wines/red.htmhttp://www.sulawines.com/wines/white.htmhttp://www.sulawines.com/wines/rose.htmhttp://www.sulawines.com/wines/sparkling.htmhttp://www.sulawines.com/wines/dessert.htmhttp://www.sulawines.com/wines/red.htmhttp://www.sulawines.com/wines/white.htmhttp://www.sulawines.com/wines/rose.htmhttp://www.sulawines.com/wines/sparkling.htmhttp://www.sulawines.com/wines/dessert.htm


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DINDORI RESERVESHIRAZ

Medium body, dry wine,Contains 13.5% alcohol

Pair with grilled meatsand seafood, spicyMexican dishes, or

even pizza

Serve cool, 15-18C

SULA RED ZINFANDELLuscious, jammy red redolent

with blackberry aromas andcinnamon and plum flavours.Balanced, spicy, supple,

delightful!

Pair with pizza and heartypasta dishes.

Serve slightly chilled, 12-15C

SULA CABERNETSHIRAZ*

smooth, medium-bodiedred wine accentuated by

ripe cherry and plum fruit,attractive aromas of blackpepper. Uncork and allowto breathe before serving.

Pair with tandooridishes and mildly

spiced curries

Serve slightly chilled,12-15C

SATORI MERLOT*Soft tannins, a spicy nose and abalanced, rounded mouth feel

make for a stunning wine that canbe enjoyed perfectly well on its

own. Satori is a Zen termmeaning suddenenlightenment.Pair with tomato-based

pasta dishes and most redmeat dishes

Serve slightly chilled, 12-15C

MADERA REDMade from a blend of

classic as well asindigenous Indian grapevarieties, it is a young,


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fruity, easy-drinking wine.

Pair with simple,hearty Indian fare

Serve slightly chilled,12-15C


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SULA SAUVIGNONBLANC*

Herbaceous, crisp,and dry, with hints

of green pepper

and a touch of spiceat the finish, wellbalanced with good

acidity.Pair with

spicy food,especially

coastaldishes aswell aslightly

flavouredAsian

cuisine

Servechilled, 8-

10C

SULA CHENIN BLANC*

Semi-dry, refreshingly light winebursting with fresh, fruity

characters which make for adelightful aperitif.

Pair with food that hasa hint of sugar and

spice, such as

Southeast Asian orGujarati dishes

Serve well chilled, 6-8C

MADERA WHITEMade from a blend of

classic as well asindigenous Indian grape

varieties, Madera White is ayoung, fruity, easy-drinking


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wine.

Pair with simple,hearty Indian fare



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SULA BLUSH ZINFANDELThis popular favourite is fun andfruity, abounding with aromas of

honeysuckle and fresh

strawberries. A versatile,anytime wine great for

picnics, parties, and hot summerdays.

Pair with poultry and spicy

dishes

Serve chilled, 8-10C

MADERA ROSMade from a blend of classicas well as indigenous Indiangrape varieties, Madera Ros

is a young, fruity, easy-drinking wine. The beautiful

bottle label is inspired byWarli, a local tribal art form

depicting rural life.Pair with simple, hearty

Indian fare


SULA BRUT*This celebratory sparkling wine, made in the true mthode

champenoise style, is a creamy, complex nectar that goes down

like a dream.

Pair with tandoori dishes, biryani, and lighter Asiandishes such as dim sum and steamed seafood;

perfect as an aperitif

Serve ice cold

Disposal ofwastes


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The grapes that are used for the preparation of thewines are grown in the vineyards present in Sula itselThe pulp that is left over after crushing the grapes anthe preparation of wine is used as an organic fertilizefor the growing of the grapevines.The glass bottles and glass materials that are wastedduring the process is sent to the back of the vineyardwhere it is recycled.


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Glass on conveyor to crusher After crushing

The metal particles and substances that remain backare sold off. They also recycle cardboard boxes (wax-free in India) by shredding them with the pomace ofspent grapes to form an odorless, friable substrate fothe soil in newly planted vineyard


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StorageBottled wines are stored in the

warehouse present within thevineyards.Wine that leaves a winery inperfectly good condition can becompletely ruined by poor storageconditions alone. This not only spoilsyour wine-drinking experience, but alsoreflects badly on the wine producersthemselves ; even though theyprobably had nothing to do with it. Sulamanagement is doing their best toeducate distributors and stockiestabout proper wine storage techniques.Following are some suggestions thatthe management at Sula give.


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Extreme heat, direct sunlight andprolonged air contact are a wine'sworst enemies. Store unopened

wine in a cool, dry place whereexposure to sunlight is kept at aminimum. Lay the bottleshorizontally to keep the corkmoist, preventing it from dryingout and allowing air to seep in andoxidize the wine.

Leftover wines should berefrigerated immediately andconsumed within a day or two.Minimise air contact by replacingthe original cork or, better still,using a Vacuum-type stopperwhich keeps the wine for upto aweek with only slightdeterioration.

Champagne and sparkling winesshould ideally be consumedimmediately once opened;however, they can be stored withthe help of a specializedchampagne stopper which willkeep them good for upto a week.

Contrary to popular belief, not allwines improve with age - in fact,many of them, especially whites,will actually go "over the hill" ifstored too long. Most of our wines

are made to be drunkimmediately; if you're looking for


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Materialhandled per dayMaterials are handled according to the schedule fixby the company.

The following are the materials handled each day:

Dindori Reserve Shiraz (4-5years) or our Cabernet Shiraz (2-3years).


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Varieties of grapes (in all there are 9 differvariety of grapes)

Harvesting and crushing of the grapes is done fr

the month of January to the month of March.

Once the grapes are crushed, the juice from grapes is stored and cooled in huge tanks fermentation. ( having an approximate capacity 15000 50000 liters).

After fermentation the pulp settles down at bottom of the tank and the pulp is later used as orgafertilizers in the vineries. The remaining upper layeused as wine.

Bottles are cleaned with soft water and then drwith dry air.

Wines are bottled in either of the two sizes375 ml ( pint )750 ml (regular)

Bottles were earlier corked to give the wine

particular flavor but now they are packed with scrcaps.

After the bottling process takes place the bottles labeled and then crated to the store room.


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Distributors:India International

Mumbai (Retail) California

Mumbai(Institutions)

New York

Rest OfMaharashtra

UK

Chennai &Pondicherry

Italy

Goa France

Rajasthan & Canada
http://www.sulawines.com/aboutus/distributors.htm#mum1%23mum1http://www.sulawines.com/aboutus/distributors.htm#cali%23calihttp://www.sulawines.com/aboutus/distributors.htm#mum2%23mum2http://www.sulawines.com/aboutus/distributors.htm#mum2%23mum2http://www.sulawines.com/aboutus/distributors.htm#ny%23nyhttp://www.sulawines.com/aboutus/distributors.htm#mah1%23mah1http://www.sulawines.com/aboutus/distributors.htm#mah1%23mah1http://www.sulawines.com/aboutus/distributors.htm#eng%23enghttp://www.sulawines.com/aboutus/distributors.htm#chen_pond%23chen_pondhttp://www.sulawines.com/aboutus/distributors.htm#chen_pond%23chen_pondhttp://www.sulawines.com/aboutus/distributors.htm#italy%23italyhttp://www.sulawines.com/aboutus/distributors.htm#goa%23goahttp://www.sulawines.com/aboutus/distributors.htm#france%23francehttp://www.sulawines.com/aboutus/distributors.htm#raj_up%23raj_uphttp://www.sulawines.com/aboutus/distributors.htm#can%23canhttp://www.sulawines.com/aboutus/distributors.htm#mum1%23mum1http://www.sulawines.com/aboutus/distributors.htm#cali%23calihttp://www.sulawines.com/aboutus/distributors.htm#mum2%23mum2http://www.sulawines.com/aboutus/distributors.htm#mum2%23mum2http://www.sulawines.com/aboutus/distributors.htm#ny%23nyhttp://www.sulawines.com/aboutus/distributors.htm#mah1%23mah1http://www.sulawines.com/aboutus/distributors.htm#mah1%23mah1http://www.sulawines.com/aboutus/distributors.htm#eng%23enghttp://www.sulawines.com/aboutus/distributors.htm#chen_pond%23chen_pondhttp://www.sulawines.com/aboutus/distributors.htm#chen_pond%23chen_pondhttp://www.sulawines.com/aboutus/distributors.htm#italy%23italyhttp://www.sulawines.com/aboutus/distributors.htm#goa%23goahttp://www.sulawines.com/aboutus/distributors.htm#france%23francehttp://www.sulawines.com/aboutus/distributors.htm#raj_up%23raj_uphttp://www.sulawines.com/aboutus/distributors.htm#can%23can


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Uttar Pradesh

Chandigarh

Singapore

Delhi

Karnataka(Retail)

Karnataka(Institutions)

Kolkata Andhra Pradesh Madhya Pradesh
http://www.sulawines.com/aboutus/distributors.htm#raj_up%23raj_uphttp://www.sulawines.com/aboutus/distributors.htm#chand%23chandhttp://www.sulawines.com/aboutus/distributors.htm#sg%23sghttp://www.sulawines.com/aboutus/distributors.htm#del%23delhttp://www.sulawines.com/aboutus/distributors.htm#kar%23karhttp://www.sulawines.com/aboutus/distributors.htm#kar%23karhttp://www.sulawines.com/aboutus/distributors.htm#kar2%23kar2http://www.sulawines.com/aboutus/distributors.htm#kar2%23kar2http://www.sulawines.com/aboutus/distributors.htm#kol%23kolmailto:[email protected]://www.sulawines.com/aboutus/distributors.htm#mp%23mphttp://www.sulawines.com/aboutus/distributors.htm#raj_up%23raj_uphttp://www.sulawines.com/aboutus/distributors.htm#chand%23chandhttp://www.sulawines.com/aboutus/distributors.htm#sg%23sghttp://www.sulawines.com/aboutus/distributors.htm#del%23delhttp://www.sulawines.com/aboutus/distributors.htm#kar%23karhttp://www.sulawines.com/aboutus/distributors.htm#kar%23karhttp://www.sulawines.com/aboutus/distributors.htm#kar2%23kar2http://www.sulawines.com/aboutus/distributors.htm#kar2%23kar2http://www.sulawines.com/aboutus/distributors.htm#kol%23kolmailto:[email protected]://www.sulawines.com/aboutus/distributors.htm#mp%23mp


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CompetitorsSula entered the wine market in the year 2000.It faced competition earlier only by the Indian wineplayers ;that is Grover and Champagne Indage and nosince it is playing internationally faces a lot ofcompetition from the foreign brands too.These wines have plenty of stiff competition in their

price point, but their pleasing smoothness and goodacidity, as well as the geographical connection, hasbeen carrying weight in the booming expansion of PaAsian restaurants

Sulas success"We're at the low end of a long, steep curve in winninover the home market," admits Samant cheerfully. Suemploys 3OO people, the largest employer in the villa

of Nasik. Agriculture in India is still extremely backwawith ox-drawn plows, ancient techniques and phalanxof cheap labor. Samant is proud to be turning thingsaround economically for his area. "When we first


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started," he recalls, "there was only one motorcycle inthe village, now several of my employees own them."

Sula sold 7O thousand cases last year, 5O inthe home market and 2O abroad (mainly US atpresent). "We started in 1998, and our salesvolume has doubled annually ever since."Despite the hefty import tax, 2O% of winessold in India are imports from France, Italy,South Africa, and Australia. Sula's portfolio forIndia includes wines in the Dreyfus Ashby

Group, such as Taittinger, Ruffino and Hardy's.

Samant expects to tackle the British marketnext year. Far from the days of the British Raj,with its cooked vintage ports and off-yearclarets, India today is in the house of the risingsun in the wine world.


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ConclusionThey are committed to bringing in a strongbasket of imported wines, and they areincreasing their portfolio all the time. Their

latest imports are Santa Rita from Chile andTrapiche from Argentina, two of the world'sbest-known brands from these regions. Theyhave also just signed up with Chianti Ruffino,another stellar producer. Their BIO business isgrowing steadily, and it will form an importantpart of their overall business.

Wine culture is highly catching pace in India.Since India has perfect climatic conditions toprepare and blend wines, India can be a futurewine hub of the world. And Sula vineyards isone of the major companies that has takenthe initiative to nurture wine culture in India.


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Revenue mixSula, which recorded revenues of Rs. 20 croreduring 2004-05 has just completedconstruction of its second winery in Nashik andhas embarked on building a third winery at aninvestment of about Rs. 7 crore with acapacity to make eight lakh litres of wine.

Once the third winery goes on stream, Sula'scapacity will touch 1.8 million litres. Thecapacity will be further augmented throughSula's agreement with N. D. Wines, the secondlargest winery in Nashik with a wine acreageof 100 acres.During the current fiscal, Sula istargeting a revenue growth of 35-40 per centthrough the sale of one lakh cases (over amillion bottles) from 70,000 cases last fiscal.


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Final Hc Sula

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