a organisation study-project

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1.INTRODUCTION 1.1 INTRODUCTION OF THE STUDY As part of the MBA curriculum we have to under undergo a project for a period 10 th may to 9 th June in various organization or industrial concerns; which will provide us a practical exposure in management fields. This organizational study is aimed at to know detailed knowledge about the various departments; the study is conducted at K.P.Namboodiri’s Ayurvedics , Vadakkekkad in Thrissur District. The Organization Study includes the structure and functioning of the organization.Organisation structure is the structured framework within which the efforts of different people are coordinated to each other. Organization as the structure refers to the network of relationship among individuals and position in the organization .It is blue print of how management will take the various activities and function to be performed. K.P.Namboodiri’s Ayurvedics is a proprietary in India was set up in the year 1925.The company has a very good administrative, Production and marketing setup backed by an efficiently set of personal with all the officer facilities, it has also a very well experienced, skilled and semi skilled work force, the company is manufacturing and selling a variety of RVSIMSR, SULUR, COIMBATORE Page 1

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1. INTRODUCTION 1.1 INTRODUCTION OF THE STUDYAs part of the MBA curriculum we have to under undergo a project for a period 10th may to 9th June in various organization or industrial concerns; which will provide us a practical exposure in management fields. This organizational study is aimed at to know detailed knowledge about the various departments; the study is conducted at K.P.Namboodiris Ayurvedics , Vadakkekkad in Thrissur District. The Organization Study includes the structure and functioning of the organization.Organisation structure is the structured framework within which the efforts of different people are coordinated to each other. Organization as the structure refers to the network of relationship among individuals and position in the organization .It is blue print of how management will take the various activities and function to be performed. K.P.Namboodiris Ayurvedics is a proprietary in India was set up in the year 1925.The company has a very good administrative, Production and marketing setup backed by an efficiently set of personal with all the officer facilities, it has also a very well experienced, skilled and semi skilled work force, the company is manufacturing and selling a variety of ayurvedic products like ayurvedics toothpaste, herbal oils, shampoos etc. K.P.Namboodiris is one of the leading oral care products manufacturing company, instantly they concentrated on some generic product like Camphor, Vibhoothi etc. The organization has changed its production facilities to meet the market demand of the product, it absorbed latest technology for better efficiency and through proper strategy planning it can make good sales and also create a good forward loyalty in the mind of customers.

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1.2

IMPORTANCE OF THE STUDY The study was to have general awareness of the functioning of the various departments and management of K.P.Ns. The study helps to analyze each department and to attain information regarding the strength, weakness, opportunities and threats of various departments.

The study was conducted to get a practical knowledge about the working of theorganization.

1.3

OBJECTIVES OF THE STUDY To get an overview about history, development and present status of K.P.Ns To understand the organization structure of the company. To study the products provided by the company. To understand how the different department of the organization are functioning. To study how the management control various department.

1.4

SOURCE OF DATA Primary data Primary data is collected through direct observation of various functions and interaction with various departmental heads and the employees of the organization.

Secondary Data Secondary data is collected from official documents, like company profile, industry profile, organizational manuals, and from company website.

1.5

LIMITATION OF THE STUDY Full collection of data is not possible because of unrevealed trade secrets. Respondents opinions are influenced by many factors. At the time of collecting primary data, the respondents may not give the true information for achieve the objective of the stu

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2. PROFILE 2.1 INDUSTRY PROFILE

About FMCG Industry

The Fast Moving Consumer Goods (FMCG) industry primarily deals with the production, distribution and marketing of consumer packaged goods, i.e. those categories of products that are consumed at regular intervals. Examples include food & beverage, personal care, pharmaceuticals, plastic goods, paper & stationery and household products etc. The industry is vast and offers a wide range of job opportunities in functions such as sales, supply chain, finance, marketing, operations, purchasing, human resources, product development and general management. Global leaders in the FMCG segment are Sara Lee, Nestl, Reckitt Benckiser, Unilever, Procter & Gamble, Coca-Cola, Carlsberg, Kleenex, General Mills, Pepsi and Mars etc. Performance In India, the FMCG industry is the fourth largest sector with a total (organized) market size of over US$15 billion in 2007, as per ASSOCHAM, and can be classified under the premium and popular segments. The premium segment (~25%) caters mostly to the higher/upper middle income consumers while the price sensitive popular or mass segment (~75%) consists of consumers belonging mainly to the semi-urban or rural areas that are not, and cannot afford to be, brand conscious. The market growth over the past 5 years has been phenomenal, primarily due to consumers growing disposable income which is directly linked to an increased demand for FMCG goods and services. Indeed, it is widely acknowledged that the large young population in the rural and semi-urban regions is driving demand growth, with the continuous rise in their disposable income, life style, food habits etc. On the supply side, the wide availability of raw materials, vast agricultural produce, low cost of labor and increased organized retail have helped the competitiveness of players.RVSIMSR, SULUR, COIMBATORE Page 3

At a time when the economy and other large industrial sectors such as automobiles, aviation and financial services are reeling from the global slowdown, the consumer goods sector in India has managed to defy the trend. According to the recent reports by Zeus Consulting, India's FMCG industry has so far been resilient to the slowdown in the economy and a dip in consumer sentiment, with most companies posting double-digit growth in net profits in the first half of fiscal 2009, backed by healthy sales. As very categorically said by the Amway India Enterprises managing director and chief executive, Mr. William Pinckney, I am not saying that our company [sector] is recession-proof but it is recession-resilient. This statement on the whole stands strong for most the leading players in the FMCG sector. While a price hike and cost-cutting were the first lines of defense in a bid to protect margins, Indian manufacturers were able to let logic rather than bottom lines dictate measures, with increased marketing efforts, a well-thought product mix and new launches helping them emerge unscathed from the turmoil. The prospects going forward also remain promising. Adi Godrej, Chairman and MD of Godrej Consumer Products Limited (GCPL) and Chairman of Godrej Industries feels that the best policy would be to provide tremendous fiscal and monetary stimuli to the economy, [stimuli is needed] especially in industries connected with consumer finance. Once that is done, the economic growth will come through and that will generally create multiplier factors. FMCG already seems to be doing quite well and FMCG sector will have its best year ever in 2009-10, he said. Future Prospects The only threats to this strong growth trajectory remain the high portion of unorganized trade, the limited distribution network of new entrants and the pressure on profit margins due to increasing competition. But these are likely to be of diminished importance as proportion of organized trade increases and players invest in improving distribution. Going forward, the industry prospects remain attractive, and new graduates can hope to leverage the training and on-the-job learning at the leading players in various functional roles, across the Metros as well as the interior heartlands on India.

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2.2 COMPANY PROFILE2.2.1 Company History: K.P.Namboodiris Ayurvedics, is a fast growing company based in Thrissur District of Kerala State. Its branded product Danatadhavanachoornam traces its beginning to some eight decades back, when its founder K.Pothayan Namboodiri (K.P.Namboodiri) obtained a unique Ayurvedic formulation from an erstwhile royal family. After his demise in 1957, K.Raman Namboodiri, his second son, steered the company and established the business in the whole of Kerala by competing with Multi-Nationals. Sri K.Bhavadasan, the third generation of the family, had to take over the Company in the year 2000 in his early thirties, on the unexpected and early demise of his father Shri Raman Namboodiri. The first task of Shri Bhavadasan was to undertake automation to cater the increasing need of the customers. With a view to meet the challenges of the future, the company built a state-of-the-art factory with computer controlled machinery. Now K.P. Namboodiri's has grown to a corporate level under the able leadership of Shri Bhavadasan, its Managing Director. Presently K.P.N. Group comprises of the following:K.P.Namboodiris Ayurvedics b. K.P.N. Products c. K.P.Namboodiri's Auditorium d. Devaragam Resorts P Ltd. e. Ramco Herbals P Ltd. f. Pothayan Namboodiri Charitable Trust. K.P.Namboodiri's has got branches at Coimbatore in Tamil Nadu and Unjha in Gujarat State. 2.2.2 Areas of Operation and Scope of Export: The Companys flagship brand Dantadhavachoornam is the largest selling brand in Keralas tooth powder market with 75 to 80% share. It has a strong presence in Tamil Nadu and Karnataka with encouraging acceptance in other States of the country. The product is also being exported to Middle-East countries. We are exploring the scope of extending the Export to Europe and other Countries.

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2.2.3 Research & Development Department: Rightly understood the scope for ayurveda in personal care products K.P.Namboodiris set up a well and fully equipped modern Research and Development Department with substantial investment to aid and speed the process of further innovations. With a view to fulfil its ambitious brand extension programme, the company was able to get experienced Research and Marketing Professionals with lot of success stories to their credit in Multi-National companies. These measures have helped the company to gain a clear edge and to consolidate its base of unstinted customer support. 2.2.4 K.P.Namboodiris Mission & Vision: Mission of K.P.Namboodiris is to cater the needs of general public in the field of oral, skin and hair care products with ayurvedic approach, and other generic products, keeping high quality at affordable rates and keeping the concept of Back to nature. It also aims to fulfil the needs of tourism development in Kerala. The company believes that it is on account of the dedication of its employees, the trust reposed by generations of customers, and the uncompromising standards of quality followed all along; it could gain wide acceptability in the competitive market. The Companys present turnover is double of that relating to five years ago. With a definite vision to make the turnover five fold in another five years period the company is working to introduce new products/projects, and also to expand the areas of operation geographically. 2.2.5 How it stands today....: For the last few decades in Kerala, K.PNs Dantadhavana Choornam is the synonym to dental care. It is a dominant player in the south Indian market. It is expanding its base to north India too. Apart being from the front runner in the toothpowder industry of south India, now it is being exported to foreign countries such as Germany, Gulf countries South Africa and Sri Lanka.Instantly they started new products like herbal oil, shampoo and skin care products. High level of mechanization along with efficient and loyal work force are giving the necessary thrust in the production process to meet the increasing demand from all parts of the globe .

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If I borrow the word of Shri Bhavadasan the present Managing Director and CEO of the company, The success of Dantadhavana Choornam lies in the strict adherence to quality along with the good relationship being maintained with dealers and customers. Nothing is there is a secret in the success of K.P.Namboodiris products. It is strongly rooted in ayurveda and is part of glorious tradition. Its ingredients are natured and preserved by nature. So its effect is natural and thus without any side effect. 2.2.6 Management of the Company: Management is an activity composed of some basic functions, for getting the objectives of any enterprise accomplished with and through the efforts of its personal. Management becomes essential for directing and unifying the group efforts to a common purpose. Management acts as a creative and invigorating force in the organization. It ensures a smooth flow of work in the organization by focusing on strong pints, overcoming difficulties and establishing a team spirit. The real thing behind the success of the company is the sincere dealing with the consumers. The history and growth of the company prove this. The management strongly believes that one who uses their toothpowder for one week will never go for another. The company uses a caption to show this idea we are always with common people. It is the advertising slogan of K.P.Namboodiris product. K.P.N still not practices systematic management techniques. In the beginning stages the founder and owner, Pothayan Namboodiri himself was the manager of entire business activities. At that time it was a sole trading, 1957 he handed over the ownership of the company to his son Raman Namboodiri. Raman Namboodiri made company in to partnership system, that partner were his family members. After his death, his son Bhavadasan changed the company in to sole proprietorship system. The present proprietor Bhavadasan himself control the entire company activities, He has appointed separate person to manage the department of accounting, sales, production, and purchasing. A chartered accountant is auditing the accounts. These are the arrangements done the company to reduce workload of the proprietor.RVSIMSR, SULUR, COIMBATORE Page 7

2.2.7 MANAGEMENT TEAMManaging Director General Manager Deputy General Manager Administrative Officer Production Manager Marketing Manager : K .Bhavadasan : K.P Unnikrishanan : Narayananunni : K.P.Raman : Murali : Suresh Divakar

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2.2.8 ORGANISATION STRUCTURE

MANAGING DIRECTOR

GENERAL MANAGER

DEPUTY GENERAL MANAGER

Factory Manager

Director Quality Assurance

Senior Manager System

Marketing Manager

Factory Supervisor

Area Marketing Manager

Team Leader

Department Manager

Sales Representative

(Chart no: 1)RVSIMSR, SULUR, COIMBATORE Page 9

2.3 PRODUCT PROFILEAfter 82 years of business in single product viz. Danatadhavanachoornam, in variant and different pickings, K.P.Namboodiris added one more oral product with the name K.P.Namboodiris Ayurvedic Tooth Paste during 2007. Marketed under the same popular brand name of K.P.Namboodiris, the tooth paste also comes in different gramages with revamped logo under the concept of Stronger, by Nature, reflecting the companys new vision. Knowing the pulse of younger generation the Company launched another quality product in tooth paste with the brand name K.P.Namboodiris Ayurvedic GEL Tooth Paste. These products were well accepted in the market in a very short time. Our Toothpaste contains inter alia natural extracts of Black pepper which is clinically proven for its anti-bacterial powers; Amla-a rich source of Vitamin C with natural astringent properties; Clove-the time-tested remedy for toothache etc. K.P.Namboodiris also came out with generic products like "Dahamukthi", a health drink, and "Vasana Bhasmam" (scented vibhoothi). The Company was anxious to extent its services in the areas of hair case and skin care products. In this process it launched ayurveda based shampoo (both regular and anti-dandruff) and hair oil during July, 2010. These products also stood for quality with reasonable pricing and were well accepted in the market in a very short time. Companys desire to enter into skin care products was full-filled in October, 2010 when it launched K.P.Namboodiris Ayurvedic Soap in three different variants Sandal, Sandal + Turmeric, and Sandal + Ramacham. Customers distinguished these products also by its quality and price. K.P.Namboodiris has many more products in the pipe line and hopes the launch in phased manner. In further process of diversification, the Company entered into an entirely different area when it inaugurated in February, 2011 its most prestigious hospitality division Hotel Devaragam in the famous pilgrim centre at Guruvayoor, Kerala. This division offers all theRVSIMSR, SULUR, COIMBATORE Page 10

modern comforts of a star hotel in the traditional way providing well equipped guest rooms and suits, fine restaurant, and comfortable banquet hall.

ABOUT PRODUCTS 2.3.1 ORAL PRODUCTS Gel Tooth pasteK.P. Namboodiri's trusted and proven oral health care secrets from ancient cultures that naturally clean and tone modern mouth. With the invigorating taste of lively mint and herbs, your mouth feels completely refreshed, ensuring strong tooth.

Tooth powderK.P.Namboodiri's Danatadhavana Choornam (Ayurvedic Tooth powder) is a combination of time honored medicinal herbs. The recipe for this tooth powder was discovered from ancient ayurvedic texts by a royal physician Kochukuttan Thampuran at Kodungalloor Kovilakam, an erstwhile princely state in Kerala. Danatadhavana Choornam is still prepared according to these closely guarded secret formulas. It contained Amla, Pepper, Clove, Bhasma etc... These special ingredients fight dental diseases, fortify immunity, strengthen gums, add freshness to breathe and give that beautiful pearly white luster to teeth.

Tooth pasteGenuine Ayurvedic tooth paste made from ideal natural herbs to take care of common tooth problems and healthy tooth in a Natural way...

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2.3.2 GENERIC PRODUCTS DahamukthiDahamukthi is a special ayurvedic ingredients made it an ideal drink for quenching thirst the healthy way. It purifies blood and promotes easy digestion. Since Dahamukthi ingredients are in very fine form medicinal benefits are fully absorbed in the boiled water.

Karpoor (Camphor)Camphor or Karpoor is well known for its aroma. In fact K.P. Namboodiri's Karpoor is made to use in religious and social rituals.

Bhasma (Vibhoothi)The Sanskrit word Bhasma literally means 'disintegration'. Bha means bharatsanam (to destroy), while sma implies smaran (to remember). Bhasama is thus a reminder to us of the ephemeral nature of life. K.P. Namboodiri's Vibhoothi is made from natural rice bran in very fine form with long lasting perfume.

2.3.3 HAIR CARE PRODUCT Anti Dandruff ShampooK.P. Namboodiri's Ayurvedic Anti Dandruff Shampoo removes dandruff and protects hair. Enriched with the goodness of nature, K.P.Namboodiri's Ayurvedic Anti Dandruff Shampoo gently removes dandruff and prevents recurrence, without causing any damage to hair. Besides, with tea tree oil in K.P.Namboodiri's Ayurvedic Anti Dandruff Shampoo your hair gets an added lift from the synergistic action of tea tree oil along with other herbs like Amla, Reetha, Shikakai, Bhangra, Aloe Vera, all working together to provide maximum benefits to your scalp, and hair.

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Hair Care ShampooK.P.Namboodiri's Ayurvedic Hair Care Shampoo is a natural shampoo that conditions from deep within, while gently cleansing and nourishing leaves your hair Strong, Soft and Shining. It has the perfect balance of natural ingredients like Amla, Henna, Hibiscus, Bhangra, Aloe Vera to nourish the hair from root to tip and helps strengthen hair and reducing hair fall.

Hair Care OilK.P.Namboodiri's Ayurvedic Hair Care Oil enriched with Amla, Henna, Hibiscus, Bhangra, Thulsi, Nilika, Curry leaves, ensures strong, thick and black hair. K.P.Namboodiris Ayurvedic Hair Care Oil enriched Coconut Oil with its superior nourishment properties is the perfect remedy for all your hair problems. It also fights dandruff besides keeping your hair strong, thick and black. 2.3.4 SKIN CARE PRODUCT

Turmeric+Sandal SoapAyurvedic Turmeric+Sandal Soap leaves your skin soft, smooth and glowing. Antioxidant in Turmeric binds free radicals and slow down cell damage. Turmeric maintain youth by controlling wrinkle and crease formation on the surface of the skin. Prepared from pure vegetable oil and natural ingredients like Turmeric, Sandal, Neem, Aloe Vera and Thulsithis unique soap provides enhanced protection to skin in addition to making your skin soft, smooth and glowing.

Ramacham+SandalAyurvedic Ramacham+Sandal Soap brings the richness of pure vegetable oil and Vetiver (Ramacham) to cool your skin and whole body. Vetiver, one of the most cooling herbs in Ayurveda, is used as high end perfume and it has wonderful effect on body and mind. Revitalise your body with K.P. Namboodiris Ayurvedic Ramacham+Sandal soap made from Ramacham, Sandal, Neem, Aloe Vera and Thulsi in Vegetable Oil.RVSIMSR, SULUR, COIMBATORE Page 13

Turmeric Fairness CreamNew K P Namboodiri's Turmeric Fairness Cream for Faster, Longer lasting natural fairness for all skin types, Traditionally proven K. P Namboodiri's Turmeric Fairness Cream is enriched with natural time tested herbs: Turmeric which is a natural anti-oxidant and an excellent fairness incorporating herb, Licorice is well known for its sun protection activity and Wheat germ oil a natural source of Vitamin E and imparts skin glow, nourishing and moisturizing.

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3. BUSINESS LEVEL FUNCTION 3.1 PURCHASE DEPARTMENTPurchase department also known as Material Department. This material department concerned with both raw material and finished goods. In K.P.N the purchase section is managed by the production manager for purchase working under the material division manager. They use to purchase the raw materials needed from the distributors. The company purchase Liquorices, Amla, Clove from different suppliers both from inside and outside Kerala. They consider mainly quality and availability of the material. The raw materials like ginger etc are purchase from local suppliers. The company keeps purchase register and day book perfectly. The batch number, serial number, and data are noted while buying these materials. The material are used during the production are from stores. When the stock of each material reaches reorder level, a purchase order is given to the firm from which the materials are purchased. In the company material control department is divided in to three sections are purchase section, store section and dispatch section. All these sections contribute the material control department. The purchase section deals not only the raw materials also the packing material and miscellaneous. The purchase manager gets the full freedom to take decisions.

3.1.1 FUNCTIONS OF PURCHASE DEPARTMENTIn every organization purchase department is very necessary. Actually purchase department is considering as the primary department in any organization, because the raw materials, that are needed to our production function is provided only through purchase department. Mainly these departments purchase the raw materials, packing material processing material and other miscellaneous item. This department will help to ensure that purchased products are met specified use by implementing proper inspection and test activities by Quality Control department. The main function of the purchase department was the supply of right material of right quantity in right time at right place.RVSIMSR, SULUR, COIMBATORE Page 15

The purchase department puts almost care in the purchase of raw materials. Many of the materials are the agricultural by products and re seasonal in availability. The raw material amount was more than half of the expenditure of the company. The prices of raw material fluctuate with the seasonal times as well as with off- season. The price of Cardamom and pepper show difference with seasonal change.

3.1.2 OBJECTIVES OF PURCHASE DEPARTMENT The main objective of purchase department is ensuring the supply right quantity and right quality of material at right time and right place. Right time will increase the delivery rating of the material. Right quantity materials increase the quality of the material. Maintains the right price difference. Ensuring mutually beneficial supplier relationship.

3.1.3 DEPARTMENT CHART PURCHASE MANAGER

STORE KEEPER

ASSISTANT STROE KEEPER

WORKERS

(Chart no: 2)RVSIMSR, SULUR, COIMBATORE Page 16

3.3.4 FLOW CHART FOR PURCHASE PROCESS

W.I.PSupplier Supplier

Supplier

R.M

R.M

Supplier

Supplier

Supplier

W.I.P(Chart no: 3)

3.1.5 MODE OF PURCHASEHere K.P.N. Purchase raw materials are a bulk and with demand. The material like cardamom, Karpoor, pepper etc will purchase, when the price become low. And that stored on the ware houses. But in case of Menthol and other smell extracts are purchased with their demand, otherwise it may lose its qualities. Generally within 2 weeks a purchase is done.

3.3.6 MODE OF TRANSPORT OUT SIDE KERALAK.P.N.D has their transportation facility .For the nearest state like Tamilnadu and Karnataka Companys vehicle will carry the function. In other state like Punjab, Gujarat, Delhi etc their suppliers will make facility. For this state road as well as, sea transport has been used. They have a branch on Ahmadabad; through this branch also hey carry the purchasing.

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INSIDE KERALAFor inside Kerala companys vehicle will use. Here the mode of transportation is road.

3.1.7 SUPPILERS A VEES CO.LTD, Thrissur EXLIXIR Extracts, Ernakulum MUGRAI Brothers, Delhi GREET Herbals, Chennai

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3.2 PRODUCTION DEPARTMENTProduction is the process of which raw materials and other inputs are converted in to finished goods. Supreme production units produce high quality products which undergo various stringent quality tests. Also advanced technology is used for producing goods. In this department manual and or machine operations are performed to concert the raw materials into finished goods. In production department a good layout is maintained. Layout involves the allocation of space and the arrangement of equipment I such a manner that the overall operating costs are minimized. The materials are transferred through a service of operations arranged in an ordered sequence. Production department is one of the important departments in the firm because without production no company can exist. The production is run under the control of production manager. For controlling the production it has to increase the production through better utilization of raw materials and there by decrease the cost of production. These important activities are done under the leadership of production manger. Production simply means generation of goods and services to satisfy needs. It involves conversion of input into output. Maximum utilization of recourses and reduce cost of production is the two main objectives of production department.

3.2.1 FUNCTIONS OF PRODUCTION DEPARTMENT Planning daily production according to annual target. Submitting plan to government and getting approval. Monitoring actual production and checking any deviation is there. Making revision plans according to actual production. Maintenance of plants.

Ensure maximum utilization of resources.

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3.2.2 DEPARTMENT CHART

PRODUCTION MANAGER

ASSISTANT MANAGER

SUPERVISORS

WORKERS

(Chart no: 4)

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3.2.3 PRODUCTION PROCESS DIAGRAM

HEATING

GRINDING

MIXING

FILLING

PACKING

COUNTING

TRANSPORT TO STORE

(Chart no: 5)RVSIMSR, SULUR, COIMBATORE Page 21

3.3 STORES DEPARTMENTStores department is very important to arrange different items of materials in a systematic manner. Store department is working with purchase department and production department. The materials are during the production from the stores.K.P.Ns generally stores materials for the next two weeks. The stock regarding various materials are recorded on a book that is kept in stores department called stock book. The particulars regarding the issue of materials and their quality are recorded in this book. When the stock of each material reaches the reorder level, a purchase order given to firm from where the materials are purchased. Stores recorded for materials provide information relating to receipt and issue. Proper storage is essential for material cost control.

3.3.1 FUNCTIONS OF STORES DEPARTMENTThe main function of store section is to ensure the availability of raw materials, packing material and to maintain finished goods. The company maintains a simplest and efficient procedure for the functions of the store. The production is based on the sales target. These sales targets are given to the production department prepare the first raw materials to be purchased. The first name purchased requisition received from the production department by the stores section reduce the opening the stock of raw materials in the godown. The new first raw materials are developed name as material intend. The materials intend is given to purchase section. The store authority keeps the daily stock account in the stock register. The vouchers related are filed in a proper manner.

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DISPATCH SECTIONDispatch section is another section attached to the stores department. It is a section where order of sales is received and dispatching of goods sold is done. The opening stocks of goods are taken at morning. Sold goods are reduced from the stores and the fresh stock is added. The closing stock is taken at the evening. As per the receipt of sales order form, the section authorities prepare delivery Chelan and forwarded to the store section for loading goods to vehicle. Based up on the order bills were taken in to three copies, one copy is signed and it is filed, second one is signed and given to the driver. The third copy is given to financial department. The book kept in dispatch section daily outward book. The content of this book are the name of purchaser quantity, price dispatch date, signature complaint if any voucher number of order form. Delivery Chelan and bills are filed.

3.3.2 DEPARTMENT CHART

STOCK KEEPER

ASSISTANT STORE KEEPER

WORKERS

(Chart no: 6)

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3.3.3 PROCESS FLOW CHART

SUPPLIER RAW MATRIALS PURCHASE DEPARTMENT RAW MATERIAL STORE DEPARTMENT

RAW MATERIAL QUALITY CONTROL

RAW MATERIAL PRODUCTION SECTION

(Chart no: 7)

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3.4 MARKETING DEPARTMENTMarket is a root word in the term marketing. The word market is derived from the Latin word marcutus. It means merchandise, trade or a place where the business is conducted in ordinary language, the term market means a place where goods are bought and sold. Market is a battle field where the marketing battle takes place. In market there have customers who are willing and able to spend money to satisfy their needs. There are competitors as well as restrictions at every turn like rocks in stormy sea. The term market can be mathematically defined as follows; Market = People + Purchasing Power + Persuation In the word of Philip Kotler, marketing is the human activity directed at satisfying needs and wants through an exchange process Marketing is the crucial deciding point at which activities of an organization meet the approval or disapproval of customers from every walk of life. Traditionally, marketers have played role of middlemen, changed with understanding customer needs and transmitting the voice of the customer to various functional areas in the organization, who they acted upon these needs. Marketing management is a business discipline which is focused on the partial application of marketing techniques and management of a firms marketing resources and activities. Rapidly emerging force of globalization have compelled firms to market beyond the borders of their home country making international marketing highly significant and an integral part of firms marketing strategy. Marketing managers are often responsible for influencing the level, time and composition of customer demand accepted definition of the term. In part, this is because the role of marketing manager can vary significantly based on a business size, corporate culture and industry context. For example in a large consumer products company, the marketing manager may as the overall general of his or her assigned product.

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Traditionally marketing analysis was structured into three areas: Customer analysis Company analysis Competitors analysis (so called 3Cs analysis) It has become fashionable in some marketing circles to divide into certain five C. Customer analysis Company analysis Collaborator analysis Analysis of the industry context. Department analysis is to develop a schematic diagram for market segmentation, breaking down the market into various constituent group of customer, which is called customer segments or market segmentations. Marketing managers work to develop detailed profiles of each segment, focusing on any number of variables that may differ among the segment:

Demographic Geographic Psychographic Behavioral Needs benefits Other factors Marketers also attempt to trick these segments perceptions of the various products in the

market using tools such as perceptual mapping.

3.4.1 KEY CONCEPTS OF MARKETING DEPARTMENT Product Pricing Promotion Distribution Service RetailPage 26

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3.4.2 OBJECTIVES OF MARKETINGThe basic objective of marketing is to satisfy human wants. The other important objectives of marketing are as follows. Increasing consumption Creation of goodwill Cost reduction Price stability Profit through customer satisfaction Ensure growth Providing wide choice of goods Improving quality of life Retaining customers

3.4.3 SCOPE OF MARKETING DEPARTMENT Understanding customers needs and wants Study of buyer behavior Product planning and development Distribution channel Marketing information and demand forecasting Consumer satisfaction

3.4.4 MAJOR CUSTOMERS Kaipilly Brothers,Thrissur Delta Traders, Guruvayoor Milka Traders , kunnamkulam Trade Line, Ernakulam Malabar Traders, Trivandrum

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3.4.5 COMPETITORS Dabur Colgate Himalaya Dhathri etc... Unilever

3.4.6 DEPARTMENT CHART

Marketing Manager

Sales Executives

Sales Representives

Sales Representives

Sales Representives

Southern Zone

Middle Zone

Northern Zone

(Chart no: 8)

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3.4.5 MARKETING PROCESS DIAGRAM (CHANNEL)Products

Area Distributors

Sub Distributors

Retailers

Consumers

(Chart no: 9)

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3.5 FINANCE DEPARTMENTFinance department handles companys monitory transactions. The finance department has a team of professionals which regularly review the companys practices and converts personal skills into efforts to continually improve the financial statement of the company. Through effective management practices and creative ideas, financial department team strives to build a working environment that enables to use financial resources and capabilities to serve customers better. The finance department staff shares the companys dedication to customers better. The finance department staff shares the companys dedication to customer satisfaction. The staff structure may include the following team members: Finance Director Deputy Finance Director Accountants Finance Specialists and Cashiers

3.5.1 FUNCTIONS OF DEPARTMENT Preparation of monthly journal, ledger, and trial Balance. Preparation of Half yearly consolidation of ledger. Link schedule preparation. Profit and loss preparation Balance sheet preparation.

3.5.2 BOOKS OF ACCOUNTS Day Book Sales Register Purchase Register Ram materials Stock Register Salary and Wage Payment Register Finished Goods Stock Register Cheque Outward Register Dealers Cheque inward RegisterRVSIMSR, SULUR, COIMBATORE Page 30

Cheque for Collection Register Provident Fund Register Stamp Register Dealers Book Fixed Deposit Register Supporting Documents

3.5.3 DEPARTMENT CHART OF ACCOUNT SECTION

Managing Director

General Manager

Deputy General Manager

Internal Auditors

Administrative Officer

Senior Accountant

Junior AccountantsRVSIMSR, SULUR, COIMBATORE Page 31

3.6 HUMAN RESOURCES DEPARTMENTLabor is an important element of business. An effective utilization of labor will help the company to achieve the goal easily and company must provide more facilities and benefits to labors, personnel management is concerned with increasing the effectiveness of human performance in real sense. It is concerned with the optimum use of the human resource in an effective manner to achieve the organizational goal. In K.P.Ns human resource considered as the important asset of the company. The major portions of workers are located in the production section and others are in office section. Human Resource Development is a framework for the expansion of human capital within an organization or in a municipality, region, or in nation. HRD is a combination of training and education, in a broad context of adequate health and employment of training and education, in a broad context of adequate health and employment policies that ensure the continual improvement and growth of the individual, the organization, and then national human fullness.

3.6.1 OBJECTIVE OF HR DEPARTMENT To maintain the optimum manpower required to sustain the growth of the organization. To motivate and manage human resource and train them to ensure their personal and organization development.

3.6.2 FUNCTIONS Organization human resource planning and development Retirement and selection Wage and salary administration Employee records maintaining Performance appraisal Welfare program Job evaluation Handling employee grievances Handling the legal issued within and outside the organization.RVSIMSR, SULUR, COIMBATORE Page 32

3.6.3 DEPARTMENT CHARTHR Manager

HR Executives

Office staffs

Trainer

Workers (Chart no: 11)

3.6.4 EMPLOYEE STRENGTHThe company totally has nearly 150 employees Female employees: 95 Male employees: 55

3.6.5 TIME SCHEDULE OF WORKOffice timing: 9.30am to 5.00 pm There hasnt any shifting work schedule. Leave /month: 2 casual leaves (excluding Sunday & holiday)

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3.6.6 ALLOWANCES FOR WORKERSBonus: With every national festival, like Onam & vishu etc Other allowances: PF, GPF, GRATUITY, SAFTEY ALLOWANCES etc.

3.6.7 SELECTION PROCEDUREIn K.P.Ns the employees are selected by face to face interview method. there have an interview panel include; Managing Director General Manager Internal Auditor Functional Areas Managers For that

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4. SWOT ANALYSISA scan of the internal and external environment is an important part of the strategic planning process. Environmental factors internal to the firm usually can be classified as strengths (S) or weaknesses (W), and those external to the firm can be classified as opportunities (O) or threats (T). Such an analysis of the strategic environment is referred to as a SWOT analysis.

Strengths: characteristics of the business, or project team that give it an advantage over others

Weaknesses (or Limitations): are characteristics that place the team at a disadvantage relative to others

Opportunities: external chances to improve performance (e.g. make greater profits) in the environment

Threats: external elements in the environment that could cause trouble for the business or project

The SWOT analysis provides information that is helpful in matching the firm's resources and capabilities to the competitive environment in which it operates. As such, it is instrumental in strategy formulation and selection. The following diagram shows how a SWOT analysis fits into an environmental scan.

Aims of SWOT Analysis Reveal the competitive advantages of the firm. Analyze the prospects for sales profitability and product development. Prepare the company to overcome problems Allow for the development of contingency plans.

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K.P NABOODIRIS SWOT ANALYSISSTRENGTH Building value for customers and operational efficiency has put the company on a profitable track. Experienced and long term serviced management and employees. High quality products. WEAKNESS Low advertisement. It has limited branches. OPPORCHUITIES Goodwill of the company is an opportunity for growth. Nowadays the masses are coming back to the natural products. So there is a high scope for ayurveda. THREATS Competition from both domestic as well as international markets.

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5. OBSERVATIONS, RECOMMENDATION & CONCLUSION 5.1 OBSERVATIONS K.P Namboodiris Ayurvedics, is a fast growing company in Kerala, India with interest in personal care and health care products. Building on a legacy of quality and experienced for over eight decades, today. The organization structure of the company is well equipped. K.P.Namboodiris has used its wealth of knowledge and research, in natural ayurvedic products, to formulate a range of personal care products like oral care, skin care, hair care and generic products. Each department have a head and the activities of each departments are coordinated properly for achieving the organizational goal.

5.2 RECOMMENDATIONS Improve product quality and give proper awareness to people. In these days the company is facing very tough competition. So for more publicity the company has to increase the level of giving advertisement.

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5.3 CONCLUSIONThe study in K.P.Namboodiris has enabled me to understand the various needs of an organization, how an organization of a corporate nature functions and how important it is to have a right relationship between employee and employer or the management. This organization study help me that to understand the practical side of the company. In 1925 the company started by Shri Pothayan Namboodiri of Kolathappali Mana. After his death his second son Raman Namboodiri took total control of the business. Under his leadership the business drew step upward curve in the business. This study has improved my confidence by its successful completion to undertake such in the future.

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BIBLIOGRAPHY BOOKS 1) Philip Kotler &Gray Armstrong (2008), Principle of Marketing- Pearson, 12th Edition,2) V.S.P.Rao (2006), Human Resource Management-Excel Books, 2nd Edition 3) R.Paneersevam (2005), Production and Operation Management, PHI Learning Private Ltd

WEBSITES www.k.p.namboririsayurvedics.com www.kpnamboodiris.com

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