Vasanth & Co to expand sales network

Entering the next phase of its growth plans, leading consumer electronics and home appliances dealer Vasanth & Co will extend its footprint beyond Tamil Nadu this year.

The Chennai-headquartered consumer chain plans to expand its sales network to 100 stores across India by December 2009, said H Vasanthakumar, chairman and managing director of Vasanth group of companies, in an informal talk with Business Standard.

"The growth plans will be undertaken at an investment of Rs 100-150 crore," Vasanthakumar said, adding that much of the expansion would be financed through bank borrowings.

In line with the growth phase ahead, Vasanth & Co is currently implementing a mySAP ERP solution across its showroom chain to optimise its supply chain and inventory delivery, as well as integrate its human capital management, finance and supply chain functions with front-end billing. This is expected to enhance operational efficiency by facilitating integrated delivery of information.

The company's strong focus on implementing ERP and supply side management software has helped it reduce employee strength from 1,000 people to a range of 600 to 700 in recent years, while its revenues have touched Rs 250 crore.

Vasanth & Co was established in 1978 and has 44 showrooms largely in Tamil Nadu, and one each in Bangalore and Puducherry.