Professional Documents
Culture Documents
Report submitted to M G University in partial fulfillment of the requirements for the award of the degree of
UNDER THE GUIDANCE Mr.NAVEEN V KOSHY MUSALIAR COLLEGE OF ENGINEERING AND TECHNOLOGY PATHANAMTHITTA 689 653 KERALA
CERTIFICATE
This is to certify that this report is based on the organisation study conducted by SAJITHA N.S at EASTERN CONDIMENTS PVT LTD , is in partial fulfillment of the requirements for the degree of MASTER OF BUSINESS ADMINISTRATION, degree program of MAHATMA GANDHI UNIVERSITY, KOTTAYAM
DECLARATION
I hereby declare that this project report entitled Organizational Study on EASTERN CONDIMENTS PVT LTD has been prepared by me during the year 201112, under the guidance of Asst. PROF.NAVEEN V KOSHY, Department of Management Studies, Musaliar College of Engineering and Technology, Pathanamthitta.
I also hereby declare that this project report has not been submitted to any other University or institute for the award of any degree or diploma.
Pathanamthitta Date
SAJITHA N.S
ACKNOWLEDGEMENT
The elation and gratification of this organization study will be incomplete without mentioning all who helped me to make it possible, whose encouragement and guidance were valuable to me throughout conducting the organizational study. First and foremost I thank God Almighty for giving me the ability to do this study and make the venture a success. I express my sincere thanks to my guide at EASTERN CONDIMENTS PVT LTD Mr.ANEESH P.J, Ass.HR Manager for providing the necessary guidelines to conduct the study at the organization. I am also thankful to all the department heads for their valuable suggestions and constructive criticism throughout the preparation of the report. I am obliged to my Guide for her valuable guidance and help throughout the completion of the study. I extend my thanks to all the lecturers and staff members of the Department of Management studies for their tireless help. Last but not the least I express my sincere gratitude to my parents and friends for their constant help and encouragement and valuable prayers motivating me mentally for the successful completion of this organization
SAJITHA N.S
CONTENTS
N0 1 2 3 4 5 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 6 7 8 PURTICULARS INTRODUCTION INDUSTRY PROFILE COMPANY PROFILE ORGANIZATIONAL CHART AND ORGANISATION OVERVIEW FUNCTIONAL DEPARTMENTS HR DEPARTMENT MARKETING DEPARTMENT FINANCE DEPARTMENT PRODUCTION DEPARTMENT MAINTENANCE DEPARTMENT PURCHASE DEPARTMENT EXPORT DEPARTMENT PPC DEPARTMENT IT DEPARTMENT QUALITY CONTROL DEPARTMENT SWOT ANALYSIS FINDINGS AND SUGGESTIONS CONCLUSIONS BIBLIOGRAPHY Page # 8 12 16 27 29 31 37 41 44 47 50 52 54 57 60 64 67 69
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CHAPTER 1 INTRODUCTION
INTRODUCTION
Todays world need is a corporate world and it requires a lot of management activities to achieve success, for this purpose in this competing corporate world of multinationals and industries , industrial revolution has brought with it group production and group consumption activities and also it has brought in a lot of corporations competing for preferences and success in the business world, it may be a manufacturing industry or any other type of industry experience and specialization, have become a must to compete with others become very much essential for all the companies. Lecturers teach the students; this learning will make an individual knowledgeable in theory of the various functions of a company. But a person comes out from class room and visits various industries, in this situation he can learn more from them. In such a situation real experience in the practical functioning and operations of a company can be of very much use to the students of management studies
Organization is a social unit which is deliberately constructed and reconstructed to seek specific goals .An organization comes into existence when there are a number of persons in communication and relationship to each other and are willing to contribute towards a common endeavor. The evolution of organization dates back to the early stages of human civilization when two or more persons began to cooperate and combine together for fulfilling their basic needs of food, clothing, shelter and protection of life .Thus, an organization is born when people combine their efforts for some common purpose. It is a universal truth that an individual is unable to fulfill his needs and desire alone because he lacks strength, ability and resources. So he seeks the cooperation of other people who share goals with him From a process-related perspective, an organization is viewed as an entity is being (re)organized, and the focus is on the organization as a set of tasks or actions. From a functional perspective, the focus is on how entities like businesses or state authorities are used. From an institutional perspective, an organization is viewed as a purposeful structure within a social context.
Organisation as a System
It helps to think of organizations as systems. Simply put, a system is an organized collection of parts that are highly integrated in order to accomplish an overall goal. The system has various inputs which are processed to produce certain outputs that together, accomplish the overall goal desired by the organization. There is ongoing feedback among these various parts to ensure they remain aligned to accomplish the overall goal of the organization. There are several classes of systems, ranging from very simple frameworks all the way to social systems, which are the most complex. Organizations are, of course, social systems. Systems have inputs, processes, outputs and outcomes. To explain, inputs to the system include resources such as raw materials, money, technologies and people. These inputs go through a process where they're aligned, moved along and carefully coordinated, ultimately to achieve the goals set for the system. Outputs are tangible results produced by processes in the system, such as products or services for consumers. Another kind of result is outcomes, or benefits for consumers, e.g., jobs for workers, enhanced quality of life for customers, etc. Systems can be the entire organization, or its departments, groups, processes, etc.
Organisational structure
The framework, typically hierarchical, within which an organization arranges its lines of authority and communications, and allocates rights and duties. Organizational structure determines the manner and extent to which roles, power, and responsibilities are delegated, controlled, and coordinated, and how information flows between levels of management. Organizational studies, sometimes known as organizational science, encompass the systematic study and careful application of knowledge about how people act within organizations. Organizational studies sometimes are considered a sister field for, or overarching designation that includes the following disciplines: industrial and organizational psychology, organizational behavior, human resources, and management.
Organization is one of the inevitable part of business & management .There for study of organizational structure, management process, functions etc.... are very significant as far as present day trend is concerned. Food industry and business is fast growing one. The study is very important for knowing the following.
1) To have an idea about the products 2) To have an idea about the organizational structure of the company 3) To have an idea about the departmental functions of the company 4) To have an idea about the financial position of the company
1.4 LIMITATIONS OF THE STUDY The limitations of the study are as follows The information provided by the company is assumed to be authentic The data and opinion collected are assumed to be objective The study was done mainly through the secondary data which are being outdated Time was a major limiting factor Lack of co operation from certain departments due to their work load
1.5 METHODOLOGY
This study was a descriptive study conducted mainly to familiarize with the activities, processes,
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policies, programmes and procedures followed in the firm. Required data for the study was collected through monitoring and interrogation. The study is made personally visiting the company at Adimali..The data were collected through various methods. The methods adopted mainly are:
1) Observation By observing the general surrounding, the functional process, Interactions of employees etc. Work site and plants were visited were the actual process of production and activities of various department were seen and understood
Primary data
Primary data collected through discussion with manager, various department heads, officers and employees .
Secondary data
Secondary data for the study was collected from internal annual reports, website, and office records were used for collecting relevant information for this study. And external sources. Internal records like annual reports, website, office records, management reports, house magazines were used for collecting relevant information for this study. The data needed to prepare this report was obtained from other published sources like internet, magazines, business dailies, journals and business magazines
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CHAPTER 2
INDUSTRY PROFILE
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2.1 GLOBAL INDUSTRY OVERVIEW The global spice and culinary herb industry comprises of many plants having diverse end uses including culinary, medicinal etc. The industry also consists of spice derivatives like essential oils, oleoresin, spice oils etc. According to international trade estimates about 85% of spices and culinary herbs are traded in dried form. These spices are cleaned and used in a crude form without any further processing. The world production and processing centres of spices and culinary herbs remain concentrated in Europe and in a number of Asian countries. Canada is fast emerging as one of the leading players in the international spice and herb industry. There are certain countries acting as leading producers and traders of some particular spices and culinary herbs. For example, India is popularly known for being a source of cloves, Indonesia has supplied the global market with cinnamon and nutmeg and China has been the leading provider of ginger. Key Industry Trends
There has been a substantial increase in use of fresh herbs and spices owing to an increased demand in the hotel industry. Change of consumers towards leading a healthy lifestyle has increased the use of herbs / natural spices for natural flavoring. Use of spice derivatives like essential oils are being widely used internationally in food and beverage industries for flavoring and fragrances. The global demand of spices has increased due to: o Increase in demand and consumption of ethnic food. o Introduction of flavored coffee, tea and aerated drinks in the beverage industry. o A sharp growth in the processed food consumption. o Increase in the demand for natural fragrances for various health therapie
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The lure of flavored Indian spices needed for seasoning meat launched Western ships across the seas to this countrys western shores. History relates how Indian spices, particularly black pepper, came to be regularly exported to Europe after Vasco da Gama explored the Cape of Good Hope route. The spice route led to the fabulous riches of India under Muslim rule. Goa was the starting point. The tradition has continued as India is producing 86% of global spices. The Indian subcontinent is the spice hub of the world and has the lions share of the global market. Indian spices not merely flavor Indian foods but also bring foreign exchange to the exchequer. For the last one decade, spice exports have registered substantial growth. The average growth rate is 13.1% annually. In 2010, it brought revenue of around `5560 crore to India. The countrys share of global spice market is 48% by volume and 44% by value according to Spice Board of India. Variety is Indias strength. Its dishes become tastier with the use of more than 52 different kinds of spices produced in the country. While some are in the form of leaves like curry leaves or seeds like mustard, others can be fruits like cardamom or bark of tree cinnamon or root like turmeric. Production of different spices is valued at approximately USD 4 billion. The diversified Indian climate ranging from snowfalls in the Himalayan region and dryness in the Thar Desert to the equable weather in the vast coastal area in the south and heavy rainfall in
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the north east is conducive to spice cultivation. From tropical to sub-tropical to temperate regions almost all spices grow abundantly in India.
s p e c t a c u l a r g r o w t h attaining over 50% of the global market within a short span. This remarkable achievement is boon of a sea change in the industry scenario.
At present India produce around 2.5 million tonnes of different spice valued at approximately 3 million US dollar, and hold the premier p o s i t i o n i n t h e w o r l d . Because of the varying climate suitable for the spice cultivation almost all spices are grown in this country. In almost all spices are grown in this country. In almost all the 28 states and six union territories of India, at least one spice is grown in abundance. No country in the world produces as many varieties of spices as India.
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The Eastern Group was founded by Mr. M. E. Meeran, chairman of the group, nearly two decades ago. He started its activities as a business with a wholesale provision of goods at Adimaly in 1969 named Eastern trading company. Eastern C o f f e e a n d C u r r y P o w d e r e s t a b l i s h e d i n 1 9 8 3 a s a p i o n e e r i n t h e s t a t e t o p r o d u c e packed curry powders, coffee powder and food products. Eastern Condiments was established in 1991, as expanded form of eastern Coffee and Curry powder, emplo ying 1 5 0 e m p l o y e e s w h e r e a s E a s t e r n C o f f e e a n d c u r r y p o w d e r w e r e employing 20 workers. The company exports its products to Saudi Arabia and the United Arab Emirates for the past few years and now the company exports its products to various parts of the world like Middle East, the U.K, the U.S.A, Australia, Germany etc. The production at the initial period was only 100kg per day. In those days, the process of production was enhanced from grinding to pulverizing and so the p r o d u c t i o n c o u l d a l s o h e l p t o preserve the natural taste of the powder. As Eastern curry powder unit c o u l d n o t m e e t t h e i n c r e a s e d d e m a n d , e s t a b l i s h m e n t o f E a s t e r n Condiments with a production capacity of 20 t s a day was a absolutely necessary. From the initial production capacity of 100kg per day, now it can produce around 78tonnes per day. T h e p u r i t y a n d f r e s h n e s s o f E a s t e r n C u r r y P o w d e r s m a d e E a s t e r n a h o u s e h o l d name in India and abroad. Bringing high quality products every day at affordable prices to the common man for his daily use is the ultimate goal of Eastern group of companies. Treating the customers with commi tment for quality at the right price in all products is their formula for success. Eastern Condiments was established in 1991 .100000 Kg of sales was registered in1991. The company is the leading brands in India and second most popularized brand in Kerala .The company hold 75% market are and it follow cash and carry method. The company follows direct distribution and it had 86 routes. Now the company has 2500 employees and the last year turnover was Rs. 450 Cr. The company plans to attain the target of Rs.1000 Cr by 2012
Sales target
Even inside the Kerala, 40000 shops are selling out Eastern products, and over all India target is 6 lakh shops. 2000 is the target of delivery vans.
Eastern Condiments Pvt Ltd. engages in processing, manufacturing, marketing, and exporting spices and blended spice powders in India. Its spices include turmeric, chilli, coriander, pepper, ginger, and kashmiri chilli spice powders; and blended spice powders include garam masalas, sambar and rasam powders, kulambu masalas, pickle powders, pav bhaji powders, channa
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masalas, tandoori masalas, chicken masalas, chicken fry masalas, fish masalas, meat masalas, biriyani masalas, kebab masalas, egg curry masalas, and chat masalas. The company also produces mango, ginger, lemon, gooseberry, mixed vegetable, fish, and prawns pickles; beverages, including coffee, tea, and packaged drinking water; and rice-based products. It exports its products to the Middle East, Europe, and the United States. The company is based in Kochi, India. Eastern Condiments Pvt Ltd. is a subsidiary of Eastern Group. The Eastern Group of companies has several manufacturing concerns with a diverse range of products, ranging from processed spices to mattresses. In addition to establishing itself as the market leader for straight powders & spice masala in the Kerala, The Brand is synonymous with Quality and Excellent Taste.
3.3 MANAGEMENT
It is the organizational process that includes strategic planning, setting; objectives, managing resources, deploying the human and financial assets needed to achieve objectives, and measuring results. Management also includes recording and storing facts and information for later use or for others within the organization. Management functions are not limited to managers and supervisors. Every member of the organization has some management and reporting functions as part of their job. Eastern Condiments Pvt. Ltd. (ECPL) started as a family-managed business and soon transformed into a professionally-run organization by adopting several steps to imbibe the
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principles of sound corporate governance practices. The main specialty in the case of management is the involvement of family members. M. E. Meeran is assisted by the others on the Board of Directors, Navas Meeran, M. E. Mohamed, Firoz Meeran, M. S. Ranganathan and M. S. Sebastian. Currently, the group employs 2,900 people; 1,800 work in the condiments divisions in Kerala and Tamil Nadu.
ISO 22000 is an international standard that defines the requirements of a food safety management system covering all organizations in the food chain from farm to fork. The standard combines generally recognized key elements to ensure food safety along the food chain, including:
Interactive communication
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System management Control of food safety hazards through pre-requisite programmes and HACCP plans Continual improvement and updating of the food safety management system
3.5 VISION
To be the preferred provider of products and services of outstanding value, Satisfying the basic needs of the mass market through the adoption of globally acceptable, Standards and continuous innovation . To be the preferred employer in the industries we are in, by providing a Challenging work environment and adding value to our people through exposure and Shared learning. To be the preferred business partner of all our stakeholders, by providing them ,With exemplary benefits and shared growth MISSION
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3.6 MISSION
To provide good quality goods to the present and prospective customers so that company can prosper more. To have continuous availability of products of Eastern so that there shall not be any shortage of goods in the market. To give the customers delight that is giving more than what is expected by the customer."
3.7 EASTERN GROUP OF COMPANIES Eastern Group of Companies is a group of companies with diverse interests and a world leader in Indian spices. Eastern has ventured into various areas like tyre retreads, mattresses, garments, packaged foods, mineral water and public school and has many more projects in its dream. The detailed description of each c o m p a n y i s given below;
1 )
E A S T E R N
C U R R Y
P O W D E R S
The company has provided their consumers with consistently high quality powders and blends. Eastern Condiments operates from two modern factories situated in the Western Ghats of South India.
Natural Spice Powders Eastern turmeric Powders Eastern Chilli Powder Eastern Coriander powder Eastern Black Pepper Powder Eastern Curry Powder
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2) SUNIDRA MATTRESSES
Sunidra mattresses Pvt.Ltd. was set up in 1999 to manufacture rubberized coir m a t t r e s s e s w i t h a s t a t e o f t h e a r t f a c t o r y i n T h o d u p u z h a . T h e p o p u l a r b r a n d o f rubberized coir mattress manufac t u r e d b y S u n i d r a M a t t r e s s e s P v t . L t d . i s s l o w l y growing to be a market leader in the country. Sunidra has own the ISO 9001-2000certificate.There is no added wastes in the production and 100% natural latex is used.
3) EASTERN AQUA MINERAL Eastern Aqua Mineral, a recently launched company was set up in the year 2002.Eastern Aqua Mineral entered the area of packaged drinking water with the state of srt plant located at Ernakulum district. Eastern packaged drinking water of highest purity standard, high quality with control, 1286 testing facilities and quality product with international standards. It is available in convenient sizes. Eastern p a c k e d drinking water is also priced attractively in keeping with Easterns view of bringing high quality products to the common man at the right price . 4) NEWTON PUBLIC SCHOOL The Eastern group entered the area of education with the getting up of the N e w t o n P u b l i c S c h o o l . This school ensures a high quality education from kindergarten to primary levels with C.B.S.E syllabus providing all the residential facility residing at the heart of Idukki District
a n d i t i s l o c a t e d a t O o n n u k a l , Kothmangalam. The company has a processing capacity of 12 tonnes of cold rubber per day with nationwide market network. This company is in the service industry for retreading tyres and the service plant is located at Vazhakulam. The company services by retreading of used tyres on an average basis of 1500 tyres per month.
EASTEA
In recent time the company launched a new product East Tea from its product line. Taste and Strength in every sip, Eastea - Premium blended tea, from Eastern has just entered the market with its signature promise of taste and strength.
the requirements of this international standard ISO 22000 and HACCP. The Company has Ensured that the food safety hazards that may be reasonable expected to occur in relation to products within the scope of the system are identified evaluated and control in such manner that the product of the organization do not directly or indirectly, harm the consumer, Communicated appropriate information throughout the food chain regarding safety issues related to its products, Communicated information concerning development implementation andu pdating of the food safety management system throughout the organization to e x t e n t n e c e s s a r y t o e n s u r e t h e f o o d s a f e t y r e q u i r e d b y t h i s i n t e r n a t i o n a l standard, and evaluated periodically and update when necessary the food safety management sy s t e m t o e n s u r e t h a t t h e s y s t e m r e f l e c t s t h e o r g a n i z a t i o n s a c t i v i t i e s a n d incorporates the most recent information on the food safety hazards subject to control
. DIRECT POWDERS
DIRECT SEEDS
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RASAM POWDER SAMBAR POWDER PICKLE POWDER FISH MASALA CHICKEN MASALA MEAT MASALA BIRIYANI MASALA GHARAM MASALA
Kerala masalas are slowing finding flavour up North. Its a tough grind, but Eastern Condiments, having made a name in the South, hopes to penetrate the north Indian market in a big way Known for its sambar and chicken masalas, and localized recipes such as the Madras Sambar Masala, Eastern Condiments Pvt Ltd, located in the beautiful valleys of Adimali, claims to grind a whopping 35,000 tonnes of spices a year. Its sambar masala itself accounts for 125 tonnes a month. And the company takes a lot of pride in maintaining quality standards. Bring the raw materials right from the farm to the market through the factories located in Kerala and Tamil Nadu. The quality of the product is ensured as per international standards for which we have a modern laboratory equipped with advanced testing machines and qualified expert group has several businesses, with combined market value of Rs 1,000 crore. (The Eastern brand has a presence in South India with its mattresses Sunidra, tread rubber, readymade shirts and resort.) In the spices market, it claims to cater to over two million households in India and abroad..
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The strength and success of the company, , lies in its simple attitude of applying old time values to a new world technology. Strict quality parameters are employed in every sphere of There are 115 spices and masala manufacturing units in Kerala, many of them in the khadi and village industries sector. The major brands may be less than 10 including Saras, Brahmins and Nirapara.. The pricing i Eastern Condiments process and manufacture spices and blended spice powders. . The products include spice powders such as turmeric, chilli, coriander, pepper, ginger and Kashmiri chilli; blended spice powders such as garam masala, sambar, rasam, kulambu masala, pickle powder, masalas for Pav Bhaji and channa, tandoori, chicken, fish, meat, biriyani, kebabs, egg curry and chaat. Many more are in the offing. Other associated products are Eastern Pickles, exclusively for exports. It has also included beverages such as Adimali Kaapi (Coffee), Eastea (Tea) and Eastern Packaged Drinking Water in its basket. It offers rice-based powder mixes for puttu, idli, dosa, pathiri and appam. There are 42,000 shops in the country selling Eastern products. Eastern has also introduced East tea, coffee, payasam mix and rice and black gram powders for making traditional South Indian breakfasts/snacks. Eastern Condiments has a chilly grinding mill from Germany with a capacity to grind 1.5 tonne an hour at its unit in Theni, Tamil Nadu. This mill, unlike the conventional grinders, grinds raw materials at low temperature and that keeps the original flavour of the chilli intact, the company claims. This ensures that consistency; natural colour and product fineness is maintained. It also has a coriander grinding mill, also from Germany with a capacity of one tonne an hour. This machine ensures trouble-free, ultra-fine grinding at low temperatures.
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ORGANIZATION CHART
CHAIRMAN
VICE CHAIRMAN VICE PRESIDENT (OP) DIRECTOR TECH DIRECTOR -F&A DIRECTOR- P&O DIRECTOR IT
EXECUTIVE COMMITTEE HEAD-PRODUCTION HEAD-PROCURMENT HEAD-MARKETING HEAD- ENGG&TECHNICAL CFO COMPANY SECRETARY
FINACE CONTROLLER
AGM Finance
ASST MANAGER
DY MANAGER FINANCE
MANAGER EXPORTS
MANAGER
TAXATION
PRDN
OFFICERS
MANAGER MKTG KERALA ASST MANAGER MANAGE R -PPC SR OFFICER PPC OFFICERS- PPC OFFICER
OKKAL EXPORT UNIT
SR OFFICERHR OFFICERS
PROD. SUPERS
ASST MANAGER PRODUCTIO N MPD
SR MANAGER MAINTENANCE
SR.SALES OFFICERS
MANAGER TECHNICAL
DY MANAGER ELECTRICAL
SALES TEAM
PRDCTN TEAM
SR OFFICR TECHNICAL
MICRO BIOLOGIST
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11 functional departments in Eastern are:, 1) Human resource 2) Finance and accounting 3) Production 4) Maintenance 5) Marketing 6) Quality control 7) Purchase 8) Export 9) IT 10) Production planning and control 11)Taxation
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The resource that resides in the knowledge, skills, and motivation of people. Human resource is the least mobile of the four factors of production, and (under right conditions) it improves with age and experience, which no other resource can do. It is therefore regarded as the scarcest and most crucial productive resource that creates the largest and longest lasting advantage for an organization. Human Resource Management is the organizational function that deals with issues related to people such as compensation, hiring, performance management, organization development, safety, wellness, benefits, employee motivation, communication, administration, and training. Let us go through the words of senior HR manager of Eastern condiments human resource is an energy that should be utilize efficiently and it is a major challenge ,and company is slowly following total quality management(TQM).. Human Resource Management is also a strategic and comprehensive approach to managing people and the workplace culture and environment. Effective HRM enables employees to contribute effectively and productively to the overall company direction and the accomplishment of the organization's goals and objectives. . A c c o r d i n g t o E d w i n . B . F l i p p o , p e r s o n a l management has defined as the planning, organizing, directing and controlling of the development, compensation, integration and maintenance of people for the purpose of controlling the organizational, individual and social goals The Human Resource Department deals with management of people within the organization. There are a number of responsibilities that come with this title. First of all, the Department is responsible for hiring members of staff; this will involve attracting employees, keeping them in their positions and ensuring that they perform to expectation. Besides, the Human Resource Department also clarifies and sets day to day goals for the organization. It is responsible for organization of people in the entire Company and plans for future ventures and objectives involving people in the Company. (Handy, 1999) Research has shown that the human aspect of resources within an organization contributes approximately eighty percent of the organizations value. This implies that if people are not managed properly, the organization faces a serious chance of falling apart. The Human Resource Departments main objective is to bring out the best in their employees and thus contribute to the success of the Company.
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The responsibility of human resource department is mainly to keep the records of attendance of staff and workers. It also includes records of various leaves taken by the employees and management staff, calculations of salaries, Provident Fund, bonus of employees, records of their entry in to the service, issue of memos and other service rule related matters. Different types of workers include 1) 2) 3) 4) 5) 6) Senior workers Junior workers Piece rate workers Daily wage workers Technical workers Apprentice etc
Recruitment is the process of identifying that the organization needs to employ someone up to the point at which application forms for the post have arrived at the organization. Selection then consists of the processes involved in choosing from applicants a suitable candidate to fill a post In Eastern, the selection process is only through direct interviews. Selection for the senior posts are done through conducting tests.
DIRECT RECRUITMENT
In Eastern direct recruitment method is adopting by giving advertisements in newspapers and TV channels, for getting capable employees from outside for the company services
INTERNAL RECRUITMENT
Internal recruitment is a process of recruiting people within the organization.
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5.1.2 TRAINING
Training" means the process of providing for and making available to an employee, and placing or enrolling the employee in, a planned, prepared, and coordinated program, course, curriculum, subject, system, or routine of instruction or education, in scientific, professional, technical, mechanical, trade, clerical, fiscal, administrative, or other fields which will improve individual and organizational performance and assist in achieving the agency's mission and performance goals. The company is preparing yearly training programmes based on ISO 22000.Job training is giving to the employees and all the management staffs are required to submit the report of the training results to the company manager. By evaluating the report, if ones ranking is poor he will be given further training.
Training & development is it is any attempt to improve current or future employee performance by increasing an employees ability to perform through learning, usually by changing the employees attitude or increasing his or her skills and knowledge. The need for training & development is determined by the employees performance deficiency, computed as follows: Training & Development need = Standard performance Actual performance. Senior manager HR and Administration shall be assigned to facilitate or coordinate training facilities to enter organization as per the requirement of each requirement. Corporate, today, expend large amount of money on imparting training and development practices. But prior to spending such vast amount, they should analyze the need for conducting training to the workforce. There are chances in which firms can make mistakes if they are not assessing the training needs. An employee, for sure, requires training when he is found to be not capable enough to meet the goals of the organization and when there is a gap between the current performance and expected performance. Meagerness in recital occurs due to the lack of sufficient knowledge and expertise, monotonous management or any other personal and official issues. All these problems spotted can be tackled by providing an effective training programme to the right employee and at the right point of time.
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TRANSFER
A transfer is a lateral move to a position in the same classified pay range (classified position) or to a position with comparable duties and responsibilities(non-classified positions ). Employees are transferred to different departments on the basis of their skills.
PROMOTION
Appointment to a position requiring higher qualifications such as greater skill or longer experience and involving a higher level of responsibility, a higher rate of pay, and a title change is considered a promotion and will be classified as such in all personnel documents.
SALARY SYSTEM
This mode of payment is applicable or the rest of the workers. Which also include the loading and unloading workers.
NON MONITORY BENEFITS 1) Transportation facility for the employees to different destinations in a very small marginal
amount 2) canteen providing free food to all employees 3)Equipments like head covers, aprons and uniforms are also provided to the workers in the production and packing section 4) Free medical insurance to the employees. The company is providing free annual medical checkup facilities for employees. 5)Tours and picnics are conducting once in a year, which increase the motivation a n d init iative of the emplo ye es
1) Employees working under piece rate system 2) Employees working under salary system
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Marketing is defined as the process of determining the needs and wants of consumers and being able to deliver products that satisfy those needs and wants. Marketing includes all of the activities necessary to move a product from the producer to the consumer. Marketing starts with market research, a learning process in which marketers get to know everything they can about the needs and wants of consumers, and it ends when somebody buys something. Many companies feel that services provided to customers after the purchase also are an important part of marketing. All of these enterprises -- production, advertising, transportation, processing, packaging, and selling -- are included in the marketing process 5.2.1 THE NINE FUNCTIONS OF MARKETING In order for the marketing bridge to work correctly -- providing consumers with opportunities to purchase the products and services they need -- the marketing process must accomplish nine important functions. The functions are: Buying - people have the the opportunity to buy products that they want. Selling - producers function within a free market to sell products to consumers. Financing - banks and other financial institutions provide money for the production and marketing of products. Storage - products must be stored and protect ed until they are needed. This function is especially important for perishable products such as fruits and vegetables. Transportation -products must be physically relocated to the locations where consumers can buy them. This is a very important function. Transportation includes rail road, ship, airplane, truck, and telecommunications for non-tangible products such as market information. Processing - processing involves turning a raw product, like wheat, into something The consumer can use -- for example, bread. Risk-Taking - insurance companies provide coverage to protect producers and marketers from loss due to fire, theft, or natural disasters.
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Market Information - information from around the world about market conditions, weather, price movements, and political changes, can affect the marketing process. Market information is provided by all forms of telecommunication, such as television, the internet, and phone. Grading and Standardizing - Many products are graded in order to conform to previously determined standards of quality . 5.2.2 PRODUCT DISTRIBUTION CHANNELS 1. Factory fresh outlets 2. Whole sellers 3. Retailers 5.2.3 MARKETING STRATEGY Company follows push and pull strategy in the case of marketing. Merchandise strategy is also followed. A push-pull-system in business describes the movement of a product or information between two subjects. On markets the consumers usually "pulls" the goods or information they demand for their needs, while the offerors or suppliers "pushes" them toward the consumers. In logistic chains or supply chains the stages are operating normally both in push- and pull-manner. Push production is based on forecast demand and pull production is based on actual or consumed demand By conducting yearly dealers meet, company get the details regarding the customer satisfaction. Through the professional survey team SMRI and from dealers company seeks the customer expectations .Demand analysis is carried out by adding up of the 3 constitutive months and the 5 % of the average sales . Market segmentation is a strategy that involves dividing a larger market into subsets of consumers who have common needs and applications for the goods and services offered in the market. These subgroups of consumers can be identified by a number of different demographics, depending on the purposes behind identifying the groups. Marketing campaigns are often designed and implemented based on this type of customer segmentation. The main responsibility of marketing department is to ensure the receipt of good quality material to the consumer as and when required. The main aim of marketing department is to supply good quality products at a reasonable price. Eastern following direct supply of its products to retailer and retailer sold product to consumer
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Sales promotions are short-term incentives to encourage the purchase or sale of a product or service.
1. NEWS PAPER 2. TELEVISION 3. DISCOUNT Because of the branded and quality products ,Eastern is maintaining the customers. The Marketing Department headed by Senior Marketing manager and followed b y A d m i n i s t r a t i v e S t a f f s , M a r k e t i n g M a n a g e r , A s s i s t a n t M a n a g e r , S e n i o r S a l e s Executive, Sales Executive, Driver and Stock Assistances. The Marketing Department headed by Senior Marketing manager and followed b y A d m i n i s t r a t i v e S t a f f s , M a r k e t i n g M a n a g e r , A s s i s t a n t M a n a g e r S e n i o r S a l e s Executive, Sales Executive, Driver and Stock Assistances.
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5.3.1 ROLE AND IMPORTANCE OF FINANCE DEPARTMENT Ensure that there are adequate funds available to acquire the resources needed to help the organization achieve its objectives; Ensure costs are controlled; Ensure adequate cash flow; Establish and control profitability levels. One of the major roles of the finance department is to identify appropriate financial information prior to communicating this information to managers and decision-makers, in order that they may make informed judgments and decisions. Finance also prepares financial documents and final accounts for managers to use and for reporting purposes (AGM etc) Finance is the life blood of business. It rightly termed as the science of money. Without adequate finance, it is impossible for any business firm to carry out its activities. The term finance refers to money or funds available to a firm. There is anecessity of managing the funds properly and efficiently for achieving the object of t h e b u s i ness. So financial activity,which is concerned with the planning a n d controlling of the firm financial resources. Business finance is concerned with the acquisition and utilization of funds in a business enterprise. It involves raising the needed funds, judicial use of funds and controlling the funds used in business. So financial management us an integral part of the overall management.
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1. To create budget among financial year 2. .. To record day to day financial transaction. 3. . Keep and maintain financial recorded 4.Tax payment and pay of cash for other purpose. The internal audit is also done in the organization. Finance has two divisions sale tax and income tax return filling. Sales tax is filed monthly through e -filling from Adimaly office. A separate department working under finance department called Tax Department. Tax payment through e-filling in 15 th day of every month. There are 50-60 crores will pay for sales tax by the company. Gratuity, provident fund, and bonus are the fringe benefits given by the company. dealing with Federal bank. Company is
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Production department is one of the most important departments of the manufacturing organizations. It co-ordinate supply and movement of material and labour.E n s u r e economic and balanced utilization of machines and equipments as well a s other activities related with production to achieve the desired manufacturing results in terms of quality, quantity time and place When the information gained from the market through the market department, it will get to the purchase and production departments for the monthly based plan. Ultimate scheduling is carried out by production department. Production is according to the requirements and will depend on seasonal demand The activities production area includes various stages of operation until dispatch. The products marketing largely based on the production capacity of the firm. The has set up a well-built production department under a production in charge and a plant supervisor. As a food industry, the production aria must be clean and hygiene as ISO 22000 requirement. The production operation in to production area is carried out as per production plan. Ingredients will be moved operation wise to each machine and production inspection is carried out subsequently. Plant supervisor does allocation of work and he will ensure that the material will allotted to each machine and process inspection is carried out subsequently. By analyzing the demand, production schedule or PS sets the quantity of each end item finished product to be completed in each time period week or month or quarter of the short range planning horizon. Inventory management is an integral part of a successful business. Inventories typically consist of goods, raw materials and finished products. Each of these elements translates into money for the business owner. The key to profitability is a carefully balanced inventory. Balanced inventories are important because many businesses rely on its stock of items to make a profit. Stockpiles that never move from the shelves do little good for the company. A proper balance is of the utmost importance. As the final product is food item ,the company do not manage inventory.
Research and development wing has doing researches about how to improve taste and the quality of the products
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5.4.1 PRODUCT STANDARDS . Eastern is the first company in India and the second company in Asia got ISO 22000 Certification. Eastern got ISO Certification in the year 2000-20005.The Organization shall ensure the following basic requirements for the implementation of ISO 2200. The food safety hazards that may be reasonable expected to occur In relation to products within the scope of the system are identified, evaluated and controlled in such a manner that the products of the organization do not directly or indirectly harm the consumers. Communicate appropriate information through the food chain regarding safety issues related to its products
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5.5.1 OBJECTIVES
1. Direct and coordinate the operations and activities of the physical plant maintenance, Including but not limited to: facilities engineering administration, layout, design, and construction; equipment maintenance; utilities operations and maintenance; building and grounds maintenance; facilities protection and security; departmental safety; and environmental Compliance. 2. Provide engineering consulting services, surveys, and recommendations to all Departments; to outside architect/engineer firms performing services for the facility; and to Public Utilities. 3. Ensure compliance with applicable federal, state, and local laws, regulations, statutes, and codes; securing required permits; and coordinating with appropriate local authorities. 4. Contract with and oversee the activities of various contractors and consultants for the fulfillment of facility engineering responsibilities.
5.5.2 FUNCTIONS Management Responsibility 1.1 The Maintenance Manager should set goals, plan, organize, and control the activities under his jurisdiction. 1.2 All goals should be specific, well defined, and quantifiable, with an estimated time of achievement given for each goal. 1.3 Each goal should be communicated freely and clearly to all those involved. 1.4 Goals should be reviewed regularly by the Maintenance Manager, Maintenance Supervisor, and operations representatives.
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Maintenance Department of Eastern are responsible for us keeping the good condition of the plant and equipments in good condition. Maintenance department is divided into 3 namely 1)Electrical 2)Mechanical 3)Automobiles There is both break down and preventive maintenance. All machine expect some critical maintenance machine are maintained by the department itself. R e s t o f t h e maintenance work given for contract work
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Purchasing refers to a business or organization attempting for acquiring goods or services to accomplish the goals of the enterprise.
5.6.1 FUNCTIONS
The head of Purchase Department of Eastern curry Powder factory is AGM Purchase. Purchase department is responsible for all the purchase related to the factory Supervisors which is included raw materials, machine parts, and new machines. The purchases y s t e m s t a r t s f r o m t h e i n t e n d i n t h e p r e s c r i b e d f o r m a t g i v e n b y t h e r e s p e c t i v e department according to their requirement. As per ISO the supplier of raw materials s h o u l d b e a n a u t h o r i z e d s u p p l i e r . T h e m a n a g e m e n t c o m m i t t e e i n t h e m a n a g e m e n t review meetings gives the authorization. Purchase Department should be responsible t h e t i m e l y s u p p l y of all items required in the factory. It should all so find new suppliers, raw materials, market, comparative study of price and quality and present marketing scenario. Production Planning and Control will design a material requirement plan they will make a weekly indent for purchase. I t w i l l b e given to purchase department purchase. Department will invite quotation for the above material. The purchase department comes under AGM Purchase followed by A s s i s t a n t manager, senior officers and officers
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Every company wishing to consolidate its export activity has to create its own Foreign trade department so it can handle the different tasks that enable its continued presence in international markets. As sales are solely the result of a marketing policy, the export department might be described as an instrument that carries out all the tasks generated by International marketing policies of the company. the export department has very definite goals: to perform all tasks related to international sales. Upon analyzing the export activities of the companies that have experienced stable growth in their exports, one observes that, historically, their international contacts started out sporadically and only later started to consolidate. That was when they made the decision to expand their the international trading staff to penetrate other markets to a greater extent and better. Eastern started its exporting in 1994. At the very beginning eastern p r o d u c t s a r e exported to UAE, UK etc. Now eastern is exporting its products into middle east, USA, Australia, UK and expecting market in Japan and other European countries In the case of exporting products it is different from that of local products in the manner of packing,. The sterilization unit for both exporting and local product is situated at Kothamangalam.. Additional information gained was about the new product named, gourmate which is now exporting. The Gulf countries are the main market for curry powder and pickles. All exports are done through the Cochin port. About 300 products of eastern exported some items are not available in the local market. Eastern has received the spices Board Awards for best exporter continuously for the last 10 years
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Production planning and control is the department which plans everything regarding production. It find out what is to be produced, when, what quality and it even informs the purchase department about what raw materials to be purchased for production PPC regulates stock inflow and out flow with the help of ORION software so the amount stock will be readily available They make plans according to the data provided by the marketing department. Based on this, they give instruction to purchase department and the production department. Production is according to the requirement and will depend on the seasonal demand. The monthly production of Eastern is 240000 tons. This is based on monthly demand. Every sales executive gives the order from retailers. Based on this PPC give instruction to both production and purchase
Quality control
Minimize cost
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5.8.2 PROCEDURE
They make plans according to the data provided by the marketing department for the coming period). Based on this they give instructions to purchase department and production department. They plan for 3 months later it divided on monthly basis and finally supervisions in production scheduling on weekly basis. Production is according to the basis of the requirements and will depend on seasonal demand. The total number of employees in this department is 25.
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5.9 IT DEPARTMENT
Eastern uses oracle based software called orion. The networking is done through a BSNL lease line. The net works main server is situated in Ernakulam and all the different divisions and co-operate offices have their own domains to connect to the main server. So all the plants and deposits offices co-operate offices of eastern condiments is connected v i a n e t w o r k Enterprise Resource Planning (ERP) : Enterprise resource planning system or management information systems that integrates and automate many of the business practices associated with the operation and production aspects of a company. It Includes : a. Manufacturing b. Logistics c. Distribution ERP systems typically include the following characteristics: d. Inventory e. Shipping f. Invoicing g. Accounting Supply Chain Management etc
An integrated system that operates in real time (or next to real time), without relying on periodic updates. A common database, which supports all applications. A consistent look and feel throughout each module. Installation of the system without elaborate application/data integration by the Information Technology (IT) department.
Finance/Accounting General ledger, payables, cash management, fixed assets, receivables, budgeting, consolidation Human resources payroll, training, benefits, recruiting, diversity management
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Manufacturing Engineering, bill of materials, work orders, scheduling, capacity, workflow management, quality control, cost management, manufacturing process, manufacturing projects, manufacturing flow, activity, product lifecycle management Supply chain management Order to cash, inventory, order entry, purchasing, product configuration, supply chain planning, supplier scheduling, inspection of goods, claim processing, commissions Project management Costing, billing, time and expense, performance units, activity management Customer relationship management Sales and marketing, commissions, service, customer contact, call center support Data services Various "selfservice" interfaces for customers, suppliers and/or employees Access control Management of user privileges for various processes Customer relationship management The main advantage of using IT is an organization is to make information readily available so in eastern also information is readily available and this make decision making much faster and accurate and since the software is oracle based, there is no security issues also. 5.9.1 OBJECTIVES OF INFORMATION TECHNOLOGY DEPARTMENT 1)To be in search of latest technologies for system improvement 2)To provide the data processing facility in terms of hardware and software procure for various department of Eastern condiments as well as Eastern groups. The information Technology Department come under Manager IT and followed by Dy. Manager, Assistant Manager, Sr. Officer and Officers
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5.10.1 FUNCTIONS
Testing and release or rejection of all incoming raw materials, packing materials, in-process / intermediates and finished products as per specified specifications. Maintaining testing records as per standard procedures for raw materials, packing materials, inprocess / intermediates and finished products. Calibration of laboratory instrument / equipment. Performing stability study. Control sample storage. Analytical method validation. Preparation of standard volumetric solutions and maintain standardization record. Maintain Labeling procedure at all the stages and records. Maintain working / reference standard record of products. Analysis of complaint samples as and when required. To conduct technical audit / self-inspection. Follow safety norms at all the stage during handling of chemicals and using instruments. Follow good laboratory practices.
of
Eastern
condiments private
limited
is
The Quality Control Departments got two main certificate ISO 9001-2001 management and ISO 2000-2005 for food safety management
for
quality
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Eastern is in the process of getting the following certifications NABL - What Is NABL ?
NABL stands for National Accreditation Board for Testing and Calibration Laboratories It is an autonomous organization that comes under Department of Science & Technology, Government of India NABL is a sole government authorized accreditation body in India for laboratories NABL offer accreditation and certification to the laboratories as per the set laboratory accreditation standard i.e. ISO/IEC 17025 NABL offers its services in a non discriminatory manner not only to the laboratories based in India, but in abroad as well NABL provides accreditation to the laboratories that are duly registered and legally identifiable It offers accreditation to Medical Laboratories, Testing Laboratories and Calibration Laboratories
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It enhances confidence of the customer in taking services of the authorized laboratory and accepting testing reports issued by them Makes accredited laboratories competent at the international level Provides formal recognition to the laboratories in government and private sector Saves time and money for the customer as NABL 17025 certified laboratories eliminate the need of re-testing Provides listing to the laboratories in Accredited Laboratories directory Offer better control on laboratory operation, thus, ensure satisfaction
5.10.4 CERTIFICATES
HACCP Certificate issue by food cert BY Netherlands. Accredited by RVA ,the first body in the world for food safety accredition I S O 2 2 0 0 0 2005: Eastern is the first company in India to get the IS O - 2 2 0 0 0 certification.
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Swot analysis is a strategic planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective
Strengths: characteristics of the business or team that give it an advantage over others in the industry. Weaknesses: are characteristics that place the firm at a disadvantage relative to others. Opportunities: external chances to make greater sales or profits in the environment. Threats: external elements in the environment that could cause trouble for the business.
STRENGTHS
Efficient management and well qualified staff Good relation with retailers and customers Direct distribution in 40000 shops with in kerela ISO 22000-2005 for food safety management Well established quality control lab Penetration in to the international market Best spices export award Good employee retain management system Fully computerised organisation Tie up with an American company Strong brand name Being quality oriented rather than quantity oriented Large product width and line large distribution channel reasonable price effective employee zero percent rejection
WEAKNESSES
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absence of a separate public relation department risks related with easy transportation dependent on other design agencies absence of research and development wings space constrains
OPPORTUNITIES
cheep and skilled labour acts as an opportunity to the company for producing quality goods economically and efficiently penetration in to the global market above 50 % of households rely up on eastern products ,because of home made products
THREATS
The industry heavily relies on electricity as energy resource .This may put pressure on economies of products Rising costs of raw materials could affect marketing advantage that the company possesses now Entrance of new competitors Changes in consumer preferences
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The Eastern Group which employs around 2500 people and has a turnover of over Rs.250crores and Asset base worth Rs.35 crores was set up 30 years ago by Mr. M. E. Meeran as a trading concern. Subsequently the Group diversified into manufacturing and is now involved in Ready-to-use Spices, Tread Rubber, Rubberized Coir Mattresses, Clothing, Packaged Drinking Water and Distribution. E a s t e r n c o n d i m e n t s P v t . L t d . M a n u f a c t u r e s , c u r r y m a s a l a s , p i c k l e s , curry powder under the brand name Eastern. Above 50 % of households rely up on eastern products Eastern has been the award winner from the Spices Board for the past 10years for the largest exporter for spice powders from India. The Brand is synonymous with Quality and Excellent Taste. Eastern is also planning to come out with new range of products in the Soups category and other value added spice blends The company is an ISO22000-2005 company. The company won prestigious award for out standing export performances by spices board of India.
SUGGESTIONS
It is beneficial for the company to keep a separate public relation department Develop research and development wings
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CONCLUSION
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The study conducted at Eastern Condiments Pvt. Ltd., which is one of the pioneer in Condiment industry and the market leader in v a r i e t y o f packaged curry powders in South India Eastern condiments Pvt.Ltd is an ISO22000-2005 company. This organizationi s s e c o n d i n the world among curr y powder industr y. C ompan y target is 1 0 0 0 c r o r e turnover .The study helped me to understand the working of the organization as a whole .It is found that ,there is a cordial relation between different departments in the company and maintaining good relationship with customers as well as supplier and retailers .Eastern got a strong brand name ,.because being quality oriented rather than quantity oriented. Being a student of MBA, the internship entitled An organizational study at Eastern Condiments Pvt. Ltd. has reveals that the companys overall performance to satisfactory. The study was made out according to the information collected by conducting personal interview with executives and by observing the activities in each department of the company. SWOT analysis conducted during the study help to understand the company and industry deeply. To conclude the organization study has a great experience and exposure to the real field of experiences and actual working of organization.
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BIBLIOGRAPHY
BOOKS
ONLINE SOURCES
www.eastern.com
www.wikipedia.com
www.google.com
OTHER SOURCES
DEPARMENTAL FILES OF EASTERN
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