01. Introduction

1.1Lakrandi Industries background

Lakrandi Industries is a metal foundry which has experience in the field over twenty years. It was started by K.S. Perera in 1986 by producing only the charcoal irons. Among the changes happened due to the technological advancements and other external influences they started producing various other products.

1.2 Goods they manufacture

The main product which they produce are concrete mixtures. Other than that they also produce various metal products like Manholes, extra parts of hand tractors, lamp posts etc. The specialty of this organization is that they manufacture their products only for the customers those who make orders. (Make-to-order) Therefore they only deals with few number of customers.

1.3 Services they offer

Lakrandi Industries possesses well knowledgeable and well experienced staff who support the organization to manufacture reliable products. The staff members are so flexible and they always try their best to manufacture the products according to the customer expectations and they also sometimes suggest new ideas to the customers regarding the product and product specifications in order to provide their customers with a qualified product.

The organization also provides after sales services to their customers like repairing facilities. Moreover they also provide delivery facilities with a technician if needed to provide necessary instructions on how to operate the particular product.

When it comes to payments, Lakrandi Industries do accept cash and cheques as a payment method but they do not take credit cards.

02. Competitive priorities

01. Price

When compared with other products in the industry, lakrandi Industries provide their products with lower prices. The general price of their concrete mixture is 210,000 rupees and it varies according the customer preferences as customer will request for different features and functions.

02. Quality

Lakrandi Industries is proud say that they offering qualified products and they have customers with whom they have dealt over ten years. Actually quality has two aspects such as quality of conformance and quality of design. When it comes to quality of conformance of concrete mixtures, Lakrandi Industries always meet their own standards and the design very well. When it comes to quality of design Lakrandi Industries always provides a product which will satisfy the customer. That’s why they have been able deal with the same set of customers over for ten years of time.

03. Delivery

Since Lakrandi Industries possess reliable machineries, sufficient inventory and knowledgeable staff, they are capable of delivering the products on time. They say that only few customers have complain about lateness of their products for over past twenty years, which means they are having efficient and effective processes inside their organization.

04. Flexibility

Lakrandi Industry has the ability to respond and adopted in to changes that happen in the external environment like changing needs of customers, technological advancements etc. That’s why they have been able to survive for twenty years of time period although they started with producing charcoal irons which is not at all used by people today. Since they have knowledgeable and well experienced staff with the time they have been able manufacture different types of products. Even today they accept orders from their customers for new products which they have never manufactured as they are ready to cater the changing needs of customers. For example they started manufacturing lamp posts according to a special order from one of their customers recently. Now they are getting lot of orders for that particular product due its quality and low costs.

05. Service

Lakrandi Industries provides various services to their customers like repairing services, delivery services, special advices and consultations regarding designing specific products etc.

03. Order qualifiers and Order winners

3.1 Order qualifiers

The reputation

Lakrandi Industries have over twenty years of experience in the field and they have customers with whom they dealt with over ten years of time continuously. When it comes to their main product “concrete mixtures” they have been manufacturing the concrete mixtures over ten years. This suggest that they have good reputation in the industry as a good organization. This factor allows them to be selected to as a candidate to purchase by their customers.

Experienced and knowledgeable staff

Unlike other organizations, Lakrandi Industries have employees those have over ten, fifteen years of work service. They say that some customers asks for the same employee from the organization to discuss about the design and functions of the product to give the order as the employees are so flexible and friendly.

3.2 Order winners

Quality

Quality can be regard as an order winner in Lakrandi Industries as they have been able to maintain the same customer set for over long time. That is because unless customers are delighted with the products they won’t repeat purchasing from the same organizations. In other word if an organization has delighted customers that means they are offering quality products.

Price

Relative to other competitors in the industry, Lakrandi Industries offers quality products to a low price. Therefore this can be regard as an order winner in this particular organization.

Services

Since this organization offers repairing facilities, consultation facilities and delivery facilities to the customers, customers tend to select this particular organization to purchase goods as it is beneficial for them compared to other competitors in the field.

Customized products

Lakrandi Industries make products for the orders given by customers. So when taking orders they give priority to understand different needs, functions and features required by their customers. So this also can be regard as an order winner since, customers prefer to have products according to their own expectations as they spend a large sum of money for products like concrete mixtures.

04. Operation management techniques.

As lakrandi Industries offers products with quality to a low price compared to other competitors, they focus on decreasing their unnecessary costs. That’s why they have located their factory and the office in Panagoda Industrial zone where they have to incur less electricity bills, water bills etc.

They also follows just in time technique in their inventory handling as they order the raw materials needed for their operations on time when needed.

Since their office is located next to the factory it is easy to take orders, to pass the order to the factory and to do other procurement activities. Moreover customers those who come to make orders or purchase goods can see what is happening inside the factory and how the processes are going on. That allows transparency inside the organization so that the customers can see the organization is honest and trustworthy.

Moreover they have kept some concrete machines and samples of other products in between the factory and the office for display in order to attract customers.

05. Performance improvement practices implemented in the recent past

Recently Lakrandi Industries has closed it’s the storeroom which was located in Kotawala and brought it to their factory by allocating the back part of the factory as the store room. That is because they have realized that maintaining a store at kotalawala for rent which is far away from the factory is an extra cost for them. Now things has become easy as the storeroom is near the factory. So now it only take few minutes to deliver the finished products to the customers where earlier it took about half an hour to transport finish products from factory to the storehouse and store house to the factory. Therefore as a result of that the transportation costs and time taken for delivery has reduced.

From previous year onwards they have newly hired and appointed a human resource manager in order to make their human resource activities efficient and effective. Therefore many new HR strategies have implemented by the organization. For example: They have started to give bonuses and salary increments based on the employee performance during the year instead of providing salary increments based on the service time. So this has led to increase over all employee performance.

They also have newly purchase a new loader for their organization in order to support the employees to do heavy manual works. That has make the work easy for the employees.