Sales & Distribution Management

Assignment

‘Territory Mapping & Budgeting’

Group - II

Aatish Rajeshirke

Harsh Agarwal

Ridhima Arora

Rishab jain

Sumitabh Saha

Great Lakes Institute of Management

Chennai

Andhra Pradesh

Andhra Pradesh was divided into 6 territories (T1 to T6) based on equitable fuel volumes.

Each territory had an average total monthly consumption of 10000 klpm

There are 17 ASMs that have been allocated in these six territories so as to divide the burden of work and equally demarcate the boundaries set for every ASM

Total Revenue 4,473,539,083.67

Total Margin Of State 65,715,304.58

The monthly volumes in the forthcoming year are coming to be 69551klpm which is a marginal rise from the current 68036klpm. Hence we would NOT require new ASMs in this state.

The highest margin is enjoyed by T6

Salaries of all state level staff = 22100000

(The assumption in calculation is that ASM is same as territory manager)

The expenses of Entire State (per Annum) 104,664,920.00

Annual budget Current year Next year

Salary budget 22100000 24310000Travel budget 13644000 13644000State office budget 180000 189000RO Budget 68740920 75615012

Profitabilities

Entire State (per month)

56,993,227.92

Karnataka

Karnataka was divided into 6 territories (T1 to T6) based on equitable fuel volumes.

Each territory had an average total monthly consumption of 6000 klpm

There are 10 ASMs that have been allocated in these six territories so as to divide the burden of work and equally demarcate the boundaries set for every ASM

Total revenue per ASM 2335330029

Assumption Average lube price is taken as

Rs70/ltr Petrol price 73.13Diesel price 64.07

Expense of entire state (per month) 15880422.92

Entire state (per annum) 190565075.1

Annual budget In Rs

Current yearNext year Annual budget next year

Salary budget 8125000 8937500 107250000Travel budget 750600 750600 9007200State office budget 15000 15750 189000RO Budget 6989822.924 7688805 92265663

Total annual budget 208711863

Territory Regional level profitability1 68501123.752 35430921.363 68732999.174 37007095.935 42637312.56 45626499.65

Total margin of Karnataka42220651.25

Kerala

Kerala was divided into 5 territories (T1 to T5) based on equitable fuel volumes.

Each territory had an average total monthly consumption of 2500 klpm

There are 8 ASMs that have been allocated in these five territories so as to divide the burden of work and equally demarcate the boundaries set for every ASM

The monthly volumes in the forthcoming year are coming to be 13114 klpm which is a marginal rise from the current 12574 klpm. Hence we would NOT require new ASMs in this state.

Margin HSD Margin MS Marn Lubes

10166138.9 1897945.684 791787.1546

Expenses in salaries Salary(lakhs)Total 11100000

Cost incurred by PPL in different formats

COFO DODO CODO COCO city87000 150000 87000 567000 575000

Tamil Nadu

Tamil Nadu was divided into 6 territories (T1 to T6) based on equitable fuel volumes.

Each territory had an average total monthly consumption of 5000 klpm.

There are 16 ASMs that have been allocated in these six territories so as to divide the burden of work and equally demarcate the boundaries set for every ASM

TOTAL REVENUE = ₹ 2183160891

Total Margin of Tamil Nadu 23973503.06₹

Assumption Average lube price is taken as

Rs70/ltr Petrol price 73.13Diesel price 64.07