JUSTICE K. S.

HEGDE INSTITUTE OF MANAGEMENT,

NITTE

A Management in Action (MIA)

Study on

Global Cashew Company Private Limited

Submitted by

Arvin Jaison Martis 4NM15MBA16

Ravishankar G Kamath 4NY15MBA33
Mohammad Sirajuddin 4NM15MBA86

1ST MBA
Justice K. S. Hegde Institute of Management, Nitte

Submitted to

Prof. Jnaneshwar Pai

Associate Professor
Justice K. S. Hegde Institute of Management, Nitte

October 8, 2016

DECLARATION
We, Arvin Jaison Martis, Ravishankar G Kamath and Sirajuddin declare that A MIA study on
Global Cashew Company is our original work and the facts produced are true to the best of our
knowledge.

Arvin Jaison Martis

Ravishankar G Kamath

Mohammad Sirajuddin

ACKNOWLEDGEMENT

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Gratitude is not only the memory but also the respect from heart rendered to a person for his
goodness. In this endeavour of ours we wish to express our sincere gratitude to those without
whose help and guidance this project would not have been possible.

First of all we thank to our almighty for his blessings throughout this project work.

We express our deep sense of gratitude to our Director professor Sankaran and all other Professor
of Justice KS Hegde Institute of Management for allowing us to undertake this MIA work. We
also take this opportunity to thank our mentor professor Jnaneshwar pai for his inspiration and
encouragement.

We express our deep sense of gratitude to the Owner of Global Cashew Company Mr. Noel
matias and the staffs and workers of Global Cashew Company who helped us to make this MIA
project fruitful and successful.

We are greatly indebted to all for their kind co-operation, help, guidance and encouragement for
preparing this MIA project work.

Arvin Jaison Martis

Ravishankar G Kamath

Mohammad Sirajuddin

CONTENTS

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S. NO. PARTICULAR PAGE
NO.
1.0 EXECUTIVE SUMMARY
2.0 ABOUT THE STUDY
2.1 Objective of the Study
2.2 Need and Scope for the Study
3.0 INDUSTRY PROFILE
4.0 COMPANY PROFILE
4.1 About the Company
4.2 Manufacturing Process
5.0 SWAT ANALYSIS

6.0 PROBLEM IDNTIFICATION

7.0 SUGGESTIONS
8.0 CONCLUSION
9.0 REFERENCES

2.0 ABOUT THE STUDY

2.1 Objectives

The objective of this study is to understand the function and the effective management of
the Global Cashew Company

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 To list out the profile and socio economic conditions of global cashew company ltd

The study is to understand the production process of the Global Cashew Company ltd

The analyse the perceptions on the problems of Global Cashew Company

The main objective of the study is to provide suitable solutions or suggestions to the
problems of the company

2.2 Need for the study

The MIA study is mainly to know the organizational structure, financial condition, infrastructure
working environment of labours, and mainly the study also examines the problems faced by the
company the study also able to cover the production process and exports and imports. The study
also concentrated on availability of labours, relationship between employer and employees and
to find the suitable solutions for the problems faced by the Global Cashew Company. The study
is mainly needed because to know the job satisfaction of workers, reasons for the scarcity of
skilled labours and mainly the lack of support from the state and central government and other
problems like lack of warehouse facilities, water and electronic facilities etc. The study is
required to improve the financial and infrastructural conditions of the Global Cashew Company
ltd.

3.0 INDUSTRIAL PROFILE

About the Cashew Industry

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Cashew a native of Eastern Brazil was introduced to India by the Portuguese nearly five
centuries ago, firstly it was introduced in Goa from where it spread to other parts of the country.
In the beginning it was mainly used for soil binding to check erosion. Commercial cultivation
began in the early 1960s and over the years, cashew has become a crop of high economy and
attained the status of an export-oriented commodity, earning considerable foreign exchange for
the country.

Now India is one of the leading producers, processors and exporters of cashews in the world.
Currently, India has approximately 0.97 million hectares under cashew cultivation with
productivity of 770 kilograms per hectare. Maharashtra, Karnataka and Kerala are the primary
producers of cashew in India.

Now, India accounts 65% of the worlds cashew export. India exports cashews to over 60
countries namely, US, Japan, Netherlands, Spain, France and some of the Middle East countries
like UAE and Saudi Arabia. US are the largest market for Indias export while Indian CNSL is
largely exported to South Africa.

In India, processing of cashew is manual and highly labour intensive process. The cashew
industry is highly unorganized and scattered. Women constitute almost 90%of labour force in
cashew industry. Mechanization in cashew processing is picking up slowly.

Cashew plays significant role in the socio economic development of the coastal regions of
Dakshina Kannada, Udupi and Uttara Kannada Districts. Cashew industry is one of the major
small scale industries in rural area and it helps in rural development by generating employment
opportunities.

4.0: COMPANY PROFILE

4.1 About the Company

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Global cashews industry is a leading manufacturer cashew kernel in Udupi district which is
established in 2013.It is a sole proprietor business. It is owned by Mr Noel Mathias. It is located
in Doopadkatte, Karkala. It consists 45 Employees in that 20 skilled labour and 25 unskilled
labours. The total annual turnover of this firm is 8.5 crores

Sole
Propriector

Skilled Semi Skilled

Office Staff
Workers Workers

Raw materials:

The firm purchased raw materials from Maharashtra, Kerala and local people and they also
import the raw materials from Benin, Ivory Coast, West Africa and Tanzania.

Warehouse capacity:

The Global Cashew Industry has two warehouses in the factory premise which are of 1800sqft
and 1500sqft and it has also leased another warehouse that is in kuntalpadi, Karkala which is of
2000sqft.

Competitors:

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The main competitors of this firm are local areas industries like Gayathri cashes, Santhosh
Cashews, Allen Cashews, Madav Prakash.

Customers:

The major customers for Global Cashew Industry are local merchants and cashew exporters like
Bola Surendra Kamath, Mahalasa Cashews.

Suppliers from
Indonesia,
Tanzania,
Imports and Singapore, Benin
Exports and Others Skilled and
Agency, Semi skilled
Shipping Labours
Agency
GLOBAL
CASHEW
COMPANY
Government
Local , Cahew
Cashew Nut Council and
Purchasers Competitors
General Public

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 Layout of Global Cashew Limited

BOILER PEELING COOLER

ROOM MACHIN ROOM
GENE
E ROOM COOLER
RATO
R ROASTING STORE OFFICE
ROO ROOM
MACHINE ROOM
PACKING
OFFIC SECTION
CUTTING E
/
SHELLIN
G
SECTION

GRADING
SECTION

TOILET
WASH ROOM

REST ROOM
STORE
ROOM
ENTRY

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4.2 Manufacturing Process

Procurement of
raw cashews

Drying

Warehousing

Steaming

De-shelling Shell are sold to

produce CNSL oil

Hot chamber

Peeling

Grading

Packing

Dispatch

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Production Process

Procurement of raw cashews

The raw cashews are bought from suppliers of Karnataka, Maharashtra and Kerala. It is also
imported from suppliers in Benin, Ivory Coast, West Africa and Tanzania. It is really important to
obtain the best quality raw cashews but the cost factor must also be considered, it is really a
tough task to get the best quality raw cashews at a reasonably low price. Best raw cashews
produce best cashew nuts.

Drying

Normally the imported raw cashews are already dried and have a low moisture content but the
locally procured raw cashews must be dried. The raw nuts are spread in an open area and dried in
the sun for about two to three days it is important to ensure that the raw nuts are completely dry
and lose the moisture content for this purpose the raw nuts are rolled over to ensure both sides
dry evenly.

Warehousing

Once the raw nuts are dried they are stored in a warehouse. The warehouse contains large stock
of raw nuts both imported as well as locally obtained. It is important to store enough stock of raw
material as it will not slow down production and also it is important to see that the warehouse is
dry and maintained properly or it leads to spoilage of raw materials.

Steaming

The raw nuts are then steamed in a steamer which softens the outer shell. The steaming
temperature is high and the time depends on the quality and other features of the cashew. It is
mainly done to simplify the de-shelling process. The de-shelling is done manually and the
steaming process makes the cashew kernels to loosen and it becomes easier to remove them.

De-shelling

The next process after steaming is de-shelling. As the steaming process softens the shell the de-
shelling process becomes easy. The cashews are cut using manually operated cutting machines

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this ensures minimal breakage of cashew nuts. The shell contains cashew nut shell liquid (CNSL)
and the workers must be careful about cutting and handling the cashews. The shells are sold to
producers of CNSL oil.

Hot Chamber

The cashew kernels are then dried in a hot chamber at 70 to 80 degree centigrade which loosens
the skin (testa) of cashews. The hot chamber reduces the moisture content of the cashew kernals
and also eliminates the gumming of testa. The cashew kernals are kept in this chambers for
nearly 6 8 hours and the temperature is monitored and controlled.

Peeling

The dried cashew nuts are left for ambient cooling and later sent for peeling. Dried cashews are
easy to peel and the peeling process is done manually by the workers. This ensures maximum
care and also avoids the breakage of cashew nuts.

Grading

After the cashews are peeled it is graded, the grading is done visually it is done according to the
size, colour and quality of the cashew nuts. There are more than 30 grades of cashew nuts. To
ensure proper grading it is done manually and the workers grade almost 80kg to 100kg of cashew
nuts per day.

Packaging

The cashew nuts are packed in 10kg capacity aluminium tins. The standard packaging size is 5kg
and 10kg packs. The packs are flushed with nitrogen to remove oxygen and retain the freshness
of the nuts. These packs can retain the freshness and quality for upto one year.

Apart from this the cashew nuts are also packed in different size or packs based on the bulk
orders from the customers.

Dispatch

Once the cashew nuts are packed, they are dispatched to the customers.

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5.0 SWOT ANALYSIS

Strengths

Availability of good quality cashew kernels

Good access to transportation
Healthy relation with the workers
Good salary to employees
Availability of land for expansion

Weaknesses

Shortage of skilled labour

Lack of storage space
High employee attrition rate
Shortage of capital
Lack of automation and infrastructure

Opportunities

Flavoured cashews
Packaging
Automation and technology
Safety and better working condition
Women beedi workers

Threats

Government rules and policy

High duty and tax
Competition
Fluctuation in exchange rate
Shortage of quality raw material suppliers

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6.0 PROBLEM IDENTIFIED
Shortage of skilled employees, Absentism, Difficult to get labourers
Machines not arranged properly ,not systematic
High competition
Want to expand but reduced profit
Storage problem
No proper quality control measures
High commission to brokers
Lack of training to employees
Lack of safety equipments to employees
Lack of marketing and promotion
No adequate sanitation facilities to employees
Two way transportation facility to employees not available
Lack of hygiene
No CSR activities

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7.0SUGGESTIONS

To deal with the problem of absenteeism the firm should make the attendance compulsory
and there should be cut off in the salary in case of uninformed leave.

To build good relations with the employees and make the employees feel motivated and
to give them a sense of belonging we suggested them to introduce or keep a suggestion
box in the factory, this would bring out the issues, ideas and opinions of the employees
and helps in development of the firm.

We suggested them to expand their product line by producing flavoured cashew nuts
which has good demand and can give more profits.

To expand their business we suggested them to open a small retail store in karkala or
Padubidri.

The factory can go for mechanization by buying a cutting machine which will not only
reduce the labour requirement and time but it will also increase the productivity.

The firm can expand their brand and sales by concentrating on the local market it can first
start by dealing and selling to local distributors, hotels, caterers, sweet shops and even
small stores.

The factory must provide safety equipments like gloves and shoes to their employees,
they can also provide uniforms to the employees. It should also maintain the hygiene in
the work place so as to meet the quality standards.

The firm can attract the local beedi workers to deal with the problem of shortage of
employees. The beedi rolling has significant health hazards like asthma, eye problems,
giddiness etc. this workers can be attracted towards the cashew industry.

The firm must renovate the roof of its warehouse so as to avoid the spoilage of raw
cashews in the rainy season.

The machines can be arranged in a systematic way and according to their process so as to
reduce the movement of people and increase productivity. They should also see to it that
the machineries are well maintained and in case of breakdown of the machineries the
repairs should be done immediately so that there will be smooth functioning of the
industry and there will not be any problem in production.

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8.0: CONCLUSION
The Management in Action (MIA) project was done in Global Cashew Company ltd. In
this project we have gained knowledge on the production process and exports and imports of the
company. We also collected and shared fair information on each of the process undertaken by the
company. The overall performance of Global Cashew Company ltd is improving year after year
is reflected by its increase in the profitability from last year to current year. The total business of
the organization now has crossed 8-9 crores in the last year and also the productivity of
employees and financial conditions of the Global Cashew Company Ltd have gained good
progress over the years.

The global cashew company dont have any branches but they also have oil mill in that
place they take oil from cashew kernels. Increasing trend in profit shows that the organization
has made lot of progress in operation to a considerable extent. Even after having enough number
of competitors in this company, Global Cashew Company is able to sustain their market share in
excellent way in the market.

The study is mainly for understanding the problems of the company we identified many
problems in that company and we given suitable solution to solve that problems. The main
problems of employer that we identified are lack of support from the state and central
government, absenteeism of workers, lack of skilled workers and lack of warehouse facilities due
to small land. The main problems of employees that we identified are safety, sanitation and lack
of two way transportation facilities. We given many solutions for their problems like requested
employer to take care of safety by giving pair of glouses and shoes and build two toilets and rest
rooms for womens and we requested to provide two way transportation facilities for workers.
We also recommended them to open an outlet in nearest town. We also suggested them to involve
in CSR activities to create awareness in the local market.

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