Page 171 - DCAP601_SIMULATION_AND_MODELING

Unit 9: Simulation of a PERT Network (I)

4. Time: For each task, input the expected time, elapsed time (if known) and the lead time. Notes
Expected time is the amount of time the task is expected to take. Elapsed time is the
amount of time the task actually took. Lead time is used to document the time needed
before a task can be started. Alternatively, input the best (shortest) time, worst (longest)
time, and the average of the two.

5. Review: Once the Activity (PERT) chart has been completed, the last step is to review and
analyze the chart.

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Caselet HLL Plans to enter Network Marketing

INDUSTAN Lever Network is the name of the FMCG major's network marketing
initiative, through which the company hopes to deliver a range of mirror image
Hproducts in its existing categories.

"We need to be present in all channels. And we see network marketing as a bigger
opportunity than a threat,'' Mr Dalip Sehgal, Executive Director - New Ventures and
Marketing Services, Hindustan Lever Ltd (HLL), said at a news conference on Tuesday.

The company, which is already present in the direct selling channel with its beauty products
under the brand, Aviance, has introduced another range of products in this channel under
the brand name of Lever Home.
The FMCG company, with a large distributive channel, believes there is a huge opportunity
in the direct marketing channel. According to Mr K.K. Rajesh, Business Head, Hindustan
Lever Network, the Indian industry in direct marketing estimated at ` 1,700 crore is
growing at 20 per cent. Worldwide, direct selling is estimated at $83 billion.

HLL, an Indian company, is well poised to enter this initiative primarily because of its
understanding of the Indian consumer products market, Mr Rajesh said.
Apart from personal care and home care, HLL plans to introduce categories including
kitchen care, laundry care, male grooming and foods into the direct marketing channel.
"We will look at mirror image products of our existing range,'' Mr Sehgal said.
HLL had made its foray into direct marketing in 1999 with the launch of Aviance which
offers a range of personal care products including skin care, hair care, colour cosmetics,
fragrances and anti-perspirants.
Aviance has a base of 75,000 consultants. Home and laundry care will account for 30-40 per
cent of the business in this channel.

The products launched under the brand Lever Home include liquid fabric cleanser,
dishwashing liquid, laundry concentrate and fabric freshener spray. These products have
been developed in-house at HLL and Unilever's global innovation centres.
The company said it is aiming to be the most preferred direct selling company in India by
"partnering our consultants to success''.
However, the network model at HLL is different from other models. The compensation
plan provides multiple payouts, Mr Rajesh said.

Source: http://www.thehindubusinessline.in/2003/01/29/stories/2003012902420100.htm

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