MLA Galla
USER STUDY REPORT
DATE03 Jan 2008
PROJECT CONTEXT
This study has been carried out to gain critical insights into the life and day-to-day working of small Kirana shops. It aims at finding business needs related to shop management automation and also aims at finding out how our how our product goals meet the shop owner's requirements.
GUIDING QUESTION
1. What do the shop owners want a product to do which will help them automate their 'shop management processes’? What is their wish-list?
2. What difficulties they would face to take the 'next big step - of automations' and how could we minimize them.
3. Currently how do they use shop related data (inventory, accounts, etc.)?
What data as reports and analysis will help them improve their business? (Here we need to test our concepts)
4. Also look at:
What is the technology intervention needed in small kirana shops to serve their customers more proactively and enable them to compete with large retail outlets?"
MLA Galla
ETHONOGRAPHIC DETAILS
DATE:03 Jan 2008
Shop:Sri Lakshmi Kirana & General Stores, Rajahmundry
Owner: Grandhi Satyanarayana
Age:40 years
Education:8th Class
Mother tongue:Telugu
Preferred communication language:
Spoken – Telugu
Written-- Telugu
Hometown:Samalkot , East Godavari District, AP
Shop Details:
Floor Space (sq.ft):1000 sq.ft
Ownership:Own house. Ground floor is converted to shops.
3 shops for Kirana, Fancy & Medical Stores respectively. First floor has house.
Business Experience:20 years
Ownership:Owns the business since 2002. Monthly turnover of 4 lakhs (approx)
Employees:No employees. His Wife , Son & Daughter helps in all aspects
Family Details:
Married (2 Children)
Income:-
Monthly Income:15000/-
Monthly Expenses:5000/-
Assets/Devices:
Own House(MiG), TVS moped for transporting , Hero Honda Passion
Technology Usage:
Electronic weighing machine, cell phone , 1 Public telephone box
Tech Awareness:
No.
MLA Galla
TASK ANALYSIS
DATE:03 Jan 2008
Shop:Sri Lakshmi Kirana & General Stores, Rajahmundry
TIMEHOURLY TASKS REMARKS
5:00 AMHe goes to Market for Vegetables
6:00 AMShop opens for sale of milk (Wife does this)
7:00 AM
8:00 AM
9:00 AMFancy & Medical shops will open (Son & daughter take care of this)
10:00 AM
11:00 AM
12:00 PMNo Lunch Break (his family members will look after the shop)
1:00 PMSleeps for 2 hours till 3pm.
2:00 PM
3:00 PM
4:00 PM
5:00 PM
6:00 PM
7:00 PM
8:00 PM
9:00 PM
10:00 PM
11:00 PMAll shops will close
12:00 AM
DAYWEEKLY TASKS REMARKS
SUNOPENNo holidays in the area
MONEveryday he purchases green Vegetables
TUE
WED
THU
FRI
SAT
MONTHLY TASKSREMARKS
1st Week
2nd Week
3rd Week
4th WeekHe purchases dals & Rice
YEARLY TASKSREMARKS
1st Quarter
(JAN, FEB, MAR)
2nd Quarter
(APR, MAY, JUN)
3rd Quarter
(JUL, AUG, SEP)
4th Quarter
(OCT, NOV, DEC)
MLA Galla
CONTEXTUAL INQUIRY
DATE:17 Dec 2007
Shop:Sree Sai Manikanta, Hyderabad
BUSINESS
QHow would you differentiate your business from big retail stores?
Ans:They get more Profits than us
QWhat are your benefits and losses of operating small?
Ans: I didnt appoint employees. My wife look after Vegetables and Milk section
My son looksafter Fancy,Medical and Mobile recharge coupons business.
I deal with Kirana andselling cement bags. All are in my own building, that’s enough for my family.
Disadvantage: If I want todo bigger, I have to take a rented shop at Centre of town and have to pay advances and maintain staff too. That is very difficult for us.
QHow would you change in approach and processes to sustain and improve your business?
Ans:If we give Quality and Fresh items with reasonable rates
QWhich other business would you venture into - in future if required? What circumstances would force such a change?
Ans:Already we are doing Fancy, Medical and Cement.
Fancy Shop
Laxmi Durga Medical Shop
QWhat is the threat of retail chains to kirana business?
Ans:We are far from Rajahmundry Corporation (center of town). We don’t have threat of retail chains.
QHow can you make this business more profitable? Do you think you are a bit unorganized - how can organization help you? What steps are you ready to take to improve on it?
Ans: I want to do cater to monthly customers. It reduces so much work.
QHow can you reduce your shop expenses?
Ans:No Rents No staff
QWhat are the typical problems you face in daily operations?
Ans:I write the items in a piece of a paper. Sometimes totaling mistakes occur
QWhat factors influence business profitability?
Ans:
QIf given a 'magic stick' - what would you like to change overnight?
Ans:I am in a MiG house (Government constructed house which he paid for in installments for 30 years) and it is an old building. If I get a agic stick I will demolish the old and construct new with spacious shops with marble flooring.
QIf you have a product like 'Galla' (automating your shop management) - what will be your wish-list associated with it?
Ans:I dont know much about that. My son may be interested.
CUSTOMER
QWhat would you like your customers to know about your business?What sort of interactions/relationship would you like with your customers?
Ans: Quick delivery, fresh vegetable, quality products
QHow do you ensure customer loyalty?
Ans:I am in housing colony since1985. So I have a friendly relationship with my customers and many people call me “BABAI” (uncle)
QHow many regular customers do you have?
Ans:I can’t count. We have so many customers for 3 shops i.e selling vegetables, kirana , fancy, milk , medical …
QHow many customers buy goods on credit? Do you want to increase this number? How do you think you can do it - or any other concerns?
Ans:Only well known customers are given credit . I don’t want to increase the number. The profit of Business is only 10-15% . If I loose 1 customer I have to bear the 2,500/- loss.
QHow many regular home delivery customers do you have? Do you get home delivery orders more from same regular customers or infrequent/ new customers call more often for home delivery?
Ans:I have very limited customers for home delivery.
QDo you want to increase the numbers of home delivery? What are the constraints at this moment - how do you think you can resolve them?
Ans:I want to increase the number but I don’t want to give credit to them.
QCan you track your regular customers’ needs before they place their orders? How?
Ans:By experience I will place my orders in the last week of every month
QHow many home delivery customers buy goods from you on credit? What proactive action/interaction would you take to increase sales with home delivery customers? For instance would you call up or your delivery boy visits the house and asks if things are required etc....
Ans:If I give credit I can do 2 shops business. But I never take risk
QGenerally what information would you like to advertise? Currently what are the constraints? What's your wish-list related to advertising your products?
Ans: List of inventory with rates
QHow about sending a bulk SMS to your customers for advertising your items, offers, discounts. Would you advertise/ give more discounts if it increases sales. What difficulty are you facing with giving discounts? How do you think it will improve your business?
Ans:I think in this area people don’t observe SMS
INVENTORY
QWhat characteristics of the inventory do you want to track/know?How do you take stock of your inventory?
Ans: -
QHow do you take stock of your inventory?How do you handle wastage or idle stock?
Ans:By observation.
QWhat factors influence purchase of fresh stock?How do you procure fresh stock from market?How do you decide time and price of buying stock?
Ans:Some brands do not need checking of fresh stock. Purchase in Marvadi wholesale shops is well and good. Some companies send by their own auto. Some items I get by my TVS moped.
By enquiring in 2 to 3 shops, I decide the time to buy.
ACCOUNTING
QHow do you calculate your expenses?
Ans: I haven’t yet calculate the expenses
QList out your expenses during a day, a week, a month, a year?
Ans:
QHow do calculate income and taxation?
Ans: In our area no department will come except to check weights and measurements. Our accountant will see our accounts and we simply pay TOT (Turn Over Tax) only.
QHow do discounts offered affect your billing and taxation?
Ans: No
QWhen and how do you do the billing?
Ans:No billing
QHow does billing happen with the vendors/ suppliers?
Ans:Weekly payments to vendors.
REPORTING & SYSTEM USAGE
QWhat kind of reports would you like at the end of the day, week, month, and year? Currently how do you consolidate information in from of reports? How does it help?
Ans: I am not at all interested right now.
QWhat information you want in reports. What information you want to receive in the following reports: 'Items Sold', 'Reorder Levels', 'Top Selling Items', 'Pending Orders', 'Customer Credit Views', 'Recent Visited Customers'.
Ans: -
QAre their any other reports for information that you would like to have? What is it?
Ans:
QIf you have a computer (Galla hardware) where you run software that helps you do billing, accounting, and managing shop and vendors - how many people in your shop would have access to the machine? What information you would like them to see (user wise - shop boy, assistant, manager, etc.) and what information you would like to keep only to your self.
Ans:
QHow many employs do you have and are they designated based on their responsibilities. What is it? How each type of employ will use the system?
Ans:Family can use just one id for all.
Q Would you like to see some shop related information on your mobile? What should it be?
Ans:
QWould you like to remotely manage your shop/ or track activities - from home. How would you achieve it? What is your wish-list associated with such a scenario?
Ans:
MLA Galla
INSIGHTS/CONCLUSIONS
DATE:03 Jan 2008
Shop:Laxmi Durga Kirana, Rajahmundry
BUSINESS NEEDS
Availability of credit.
COMMUNICATION NEEDS
-
ACCOUNTING NEEDS
Billing accurately and getting the total sales per day automatically.
INVENTORY TRACKING NEEDS
-
REPORTING NEEDS & SYSTEM USAGE
Monthly Sales perhaps.