MY FOOD ROLLER FLOUR FACTORY

The Report on Summer Internship at MYFOOD ROLLER FLOUR FACTORY LTD PATHANAMTHITTA

Submitted in partial fulfillment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION ADMINISTRATION Of  KARUNYA UNIVERSITY, Coimbatore

Submitted by

SACHIN MANUEL THOMAS (Reg. No.: PR14MS1018)

Under the guidance of Dr. JOJI CHANDRAN

KARUNYA UNIVERSITY BUSINESS SCHOOL KARUNYA KARUNYA NAGAR, COIMBATORE-641114

DECLARATION

I, Sachin Manuel Thomas hereby declare that the report on “summer internship at MYFOOD ROLLER FLOUR FACTORY LIMITED” submitted to KARUNYA UNIVERSITY, Coimbatore in  partial fulfillment of the requirements for the award of the Degree of MASTER OF BUSINESS ADMINISTRATION is a record of original work done by me, under the guidance of Dr. Joji Chandran during the period of my study stud y at Karunya University Business School.

Place: Coimbatore Date:

SACHIN MANUEL THOMAS PR14MS1018

DECLARATION

I, Sachin Manuel Thomas hereby declare that the report on “summer internship at MYFOOD ROLLER FLOUR FACTORY LIMITED” submitted to KARUNYA UNIVERSITY, Coimbatore in  partial fulfillment of the requirements for the award of the Degree of MASTER OF BUSINESS ADMINISTRATION is a record of original work done by me, under the guidance of Dr. Joji Chandran during the period of my study stud y at Karunya University Business School.

Place: Coimbatore Date:

SACHIN MANUEL THOMAS PR14MS1018

ACKNOWLEDGEMENT

Thanks to LORD ALMIGHTY who kept me strong with his blessings throughout this organizational study. I would like to express my gratitude to Prof. Samuel Joseph, Director of Karunya University Business School for his maximum support. I am obliged to the manager and staff of My food roller flour Factory Pvt. Ltd for their excellent help and guiding throughout the study. I profoundly express my indelible indebtedness to Dr. Joji Chandran who through his immense knowledge has greatly guided me to successfully complete this study. Finally I would like to show my immense pleasure and gratitude to my parents and all others who wanted me to complete this project successfully.

SACHIN MANUEL THOMAS

TABLE OF CONTENTS

Chapter

Title

1.

INTRODUCTION

2.

INDUSTRY PROFILE

3.

COMPANY PROFILE

4.

DEPARTMENTAL ANALYIS

5.

FINDINGS AND SUGGESTIONS

6.

CONCLUSION

7.

BIBLIOGRAPHY

INTRODUCTION

INTRODUCTION

My Food Roller Flour Factory is located just three kilometers away from the Mylapra town, Pathanamthitta District. The unit is established with the financial assistance of NCDC (National Cooperative Development Cooperation). The project cost approved by NCDC and government of Kerala is 384.28 Lakhs. Now the factory is registered as a company with the name “My Food Roller Flour Factory Private Limited” promoted by Mylapra Service Cooperative bank having 96% shares. Company markets their products in the name of ‘AMRUTHA’. The main products manufactured here are Maida, Atta, Sooji, Bran etcetera. Company started its commercial production on 22nd December 2003.

The essential ingredient needed for production is wheat. Wheat is supplied mainly from northern states like Rajasthan, Gujarat, Bihar and Madhya Pradesh. M y food roller flour factory has a depot in Che nkotta, Tamil Nadu. The unit is the having SSI (Small Scale Industry) registration by Government of Kerala. This unit is the only one establishment in the co-operative sector in the country at present. The company has distributors in all districts of Kerala.

The wheat products which are generally used for the human consumption are Maida, Atta and Sooji (Rava). Bran is used commonly as cattle and poultry feed. In olden days, wheat products were made by crushing wheat using stone-made wheat crushers. These crushers were also known as Chakkies. In this  process, only one kind of product were usually produced which is the whole meal Atta. Often the Atta  produced by chakkies contains mixtures of dirt, cockles, iron particles, bugs or other insect etcetera which makes it unhygienic for human consumption. Also large quantities were difficult to manufacture in these chakkies as it took lots of time to do so.

A modern flour mill is completely automatic and it processes wheat after washing and dusting. Major part of these processes are done by the machines itself and only a small role are played by labour force.

There are strong evidences stating wheat is really helpful in reducing the chances of Coronary Heart Diseases. Today whole wheat is increasingly consumed by heart patients in their daily menu to avoid the chances of any serious heart diseases. It is recognized as a key source of heart healthy promoting nutrients.

The whole wheat is composed of two parts namely bran and endosperm. Bran is a rich source of fibre, vitamins and minerals like the endosperm but not good to be consumed by human beings. Since Bran are used as cattle feed. Bran is the outer layer part of the wheat while endosperm is the inner part which is good enough to be consumed by humans.

Kerala got the habit of consuming wheat only before a hundred years. The Explorers from China and the old traders from Northern India made Kerala and its natives to consume wheat. Now over hundreds of sweets and other eatables are made in Kerala using wheat starting from the usual chapatti and porotta to  buns and breads.

Being a consumer state, Kerala imports tons of wheat every year from other states in India to keep the state and its natives healthy. Kerala was mainly a rice consuming state until late fifties. However, food habits have changed fast due to economic and other compulsions.

Globalization also plays a giant role in the rapid consumption and demand for wheat and its products in Kerala. Now there are no Households, hotels or bakeries who consume or produce a single food item made with Wheat daily in Kerala. The taste and nutrient fact of wheat, increasing price, demand and scarce of rice etcetera brought the Wheat into the regular food menu of Keralites.

This internship program at MY FOOD ROLLER FLOUR FACTORY LIMITED, Mylapra was really helpful for me to generate interest in my career, to create a network of contacts, to have an excellent industry exposure and to have a meaningful work experience. Each day being in the company improved my overall experience in behaving well within the organization and I witnessed how well senior and

experienced managers manage the subordinates to achieve the organizational as well as personal goal in the most effective and efficient manner.

1.1 Objectives of the study

The following are the objectives of the study 

To understand the organizational hierarchy.



To study about the functioning of each department.

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To get a clear view of the day-to-day functioning of the industrial establishment.

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To identify and evaluate the strengths, weakness, opportunities and threats faced by the organization.

1.2 Scope of study

The scope of the study conducted includes the study of the objectives of the company, a study of the various functional departments, their activities, the product range and the quality policy. The organization study comprises of the entire functioning of the organization, which includes the nature of business it involved in, the current competition scenario, the departmental segregation created for the implementation of plans and procedures, the current branches that it controls and future expansion plans which includes  both the national and international markets. Moreover the needs to conduct an organization study lies in the fact that it provides a deep understanding of what a company is all about and the underlying factor of its existence. Different department were analyzed in detail and SWOT analysis of the organization was done.

1.3 Methodology

The methodology adopted for the study is through the collection of primary and secondary data. Primary data

Primary data consists of fresh data and hence original in character. It is collected through direct observation and from live discussion with the managers. Secondary data Secondary data are those that have already been compiled and have been passed through the statistical  process. Secondary data were also collected from business journals, internet annual reports, magazines etc.

1.4 Duration of study

The organizational study on My Food Roller Flour Factory PVT LTD was done from 3rd June to 3rd July. The session time I was asked to work at the firm was from 9.00 Am to 1.0 0 Pm daily except on Saturdays, Sundays and other public holidays. I spent equal time on every department had daily visit to their Warehouse to assist operators when they demanded.

1.5 limitations

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   

Customers were misinformed that the company provides bad quality products which provided vague responses regarding the company. The study was limited within the areas of Pathanamthitta district. The sample size was very few in view of customer studies. Time was limited Lack of awareness by people towards the product.

INDUSTRY  PROFILE

INDUSTRY PROFILE It is considered as the cultivation of wheat as for agricultural purposes and trade were began before 5000 B.C during the Neolithic Period in the Levant region of Near East. Wheat has only a history of 7000 years in India. China, one of the largest wheat producers in the world started cultivating the same only after a millennium. There is a Chinese folklore behind the cultivation of Wheat in China. Years before, Ancient China was affected by flood which caused millions of deaths and d amages to their crops. The whole civilization and its population suffered without having enough food grains to eat. On e day farmers found a dog and a bull wandering through the fields with two different types of grains tied to their tail. Those grains were Wheat and Rice which they cultivated and swept off the poverty in the nation. Wheat is one of the most consumed food grains in India. Over million tons of wheat are produced and consumed every year by Indians. Atta, Maida, Sooji etcetera are few of the different types flours which can be produced out of wheat. Since wheat and the other flours made out of it are largely consumed in India millions of tons of wheat are imported ever y year to meet the domestic needs of the nation. In south India, these flours are highly consumed by households, bakeries and hotels to make Chapatti, porotta,  puffs, breads, buns etcetera which are part of their daily food menu. To meet the demands of the general  public, there are lots of factories who provide wheat flours on large scale in India. In Kerala, there are lots of market players in this segment which includes domestic companies like  Nirapara, Double horse, Amrutha, Aashirvaad etcetera and foreign player like Pillsbury. They all play tight competition within the market and has lots of satisfied customers who are very loyal to their respective brand. Flour Milling is a mechanical manufacturing process of wheat through various Comprehensive stages of washing, grinding, separation etc. White flour was produced in Hungary and Germany in the 18th century. The flour became very popular as when it was exported all over Europe. After its first exportation the demand got increased up to ten times. These white flours were manufactured by arranging a number of stone mills to form a series of grinding passages which was very costly than the present method to extract the flour. They used stones, pebbles and mortars to grind and separate the wheat from its tough fibrous

skin which leaves the endosperm of the wheat which can be used to produce this flour. This method was independently developed in a number of areas around the world. The modern mills are fully automated and all parts of the process are easily changed to computer con trol. Improvements in mill’s output capabilities and transportation together with seasonal decline in the de mand for the product lead to a steady reduction of the number of mills in operation in Kerala and India. In modern flour mills, mill stones are replaced by steel rollers. The old style of using reel sifters have  been replaced by modern plain sifters. The design and its efficiency has improved to a new level and many new accessories are added to the milling system to improve the quality of wheat flours produced. The Process of Flour production are: 

Wheat Cleaning Before milling starts, the wheat is tested for protein and quality. On the basis of the quality, it will  be graded into various categories. It is then cleaned to remove impurities such as stones, dust, insects and weed seeds. The determined number of grades are then blended together to produce the desired type of flour. Soft low Protein Wheat is most suitable for biscuit flour, white flour is usually made from harder high protein wheat.



Wheat Conditioning Water is added to the wheat blend in the next process known as conditioning or tempering. The amount of water added is usually between 4-6% depending on the initial moisture content of the grain and the type of wheat being milled. The wheat is then allowed to lay in the conditioning bins for between 10-20 hours. The bran layers are then toughened b y the addition of water, minimizing shattering during milling and the Endosperms is made friable requiring less power to be ground into flour.



Flour Milling The separation of the endosperm material from the bran layer of the kernel and the gradual reduction in size of the endosperm particles is achieved by a complex combination of grinding rolls (break and reduction rolls), sifters, purifiers and other equipment. The tempered wheat is fed into roller mills which holds two steel cylindrical rolls with longitudinal groove cut into their surfaces. As wheat passes between the rolls which rotate between each other at different speed, the

 bran is gripped by the slower rolls. The friable endosperm is torn away into granular cheeks or fine  powder by the overtaking grooves on the faster rolls. The purpose of the break system is to break open the wheat grains to release semolina particles and leave bran in the largest particle size  possible, thus minimizing bran contamination in the semolina. The granular stocks produced are  predominantly semolina interspersed with bran particles, although undesirably, some flour is  produced at this time. The main production of fine flour comes from the latter reduction stage. To purify the mixed granular stocks of semolina and bran coming from the break system, they are  passed through the purification system. A purifier is essentially a long rectangular machine with oscillation sleeves through which a current of air is drawn. Semolina stock is conveyed along the length of sieves and shaking motions together with upward current of air causes the stock to stratify. The lighter bran figments are floated above a layer of pure semolina which gradually passes through sieves. The bran fragments passes over to the end of the sieves. The particles of purified semolina are then crushed to fine flour by the reduction system. This is comprised of roller mills filled with smooth rolls operating at slightly different speeds. Flour is removed by shifting the ground stock over the fine mesh n ylon screen. Coarse mesh separates the bran flakes. The size of any intermediate product is gradually reduced by subjecting it to repeated roll and sifting treatment. Up to eight to eleven passage may be employed, depending on the design of the  plant.

India in whole world industry India is looking to a larger wheat product of 85 million in 2015. Markfed is the largest wheat exporter in India. In 2003-2004, Markfed has exported over 2.65 million tons of wheat. They export their wheat to countries like Sri Lanka, Bangladesh, Myanmar, Australia, Europe, Middle East etc.

India who stands next to China in terms of population and economy growth rate, also comes next after china in terms of wheat production and consumption. Both the country has growing demands for wheat and are used wheat as a part of their daily menu.

Wheat are mainly produced in the northern part of the country and the major producing states are Uttar Pradesh, Punjab and Haryana contributing to nearly 75% of wheat production in the whole country. In the pr esent scenario, wheat plays a major role in the management of India’s food economy. Since 1998, India’s share in world wheat production hovers around 13%-15%. Wheat is sweet, cool, and rich with proteins and fibers. It helps in increasing virility, nutrition and complexion to the body fair. It is one of the staple foods used commonly in India.

COMPANY PROFILE

MYFOOD ROLLER FLOUR FACTORY is owned and operated by Mylapra Service Cooperative Bank. The Factory is financed by National Co-operative Development Corporation under Integrated Cooperative Development Project scheme.

The wheat products produced are sold under the brand name ‘AMRUTHA’. Amrutha Flours are widely sold and consumed all over Kerala. Amrutha Atta, Amrutha Maida, Amrutha Rava etcetera are their products. Their product includes hundred percent enriched natural Maida, Atta and Rava with export quality standards. As a distinctive blend of natural freshness and flavor, Amrutha is  processed under the expertise of sophisticated modern technology to retain the natural nutrients and high quality wheat.

Cost of Capital Cost

Total

CAPITAL ITEMS

COST

Land

26.00 Lakhs

Building

70.66 Lakhs

Plant & Machinery

88.49 Lakhs

Miscellaneous Assets

74.33 Lakhs

Working Capital

89.00 Lakhs

Preliminary & pre-operative expenses

35.80 Lakhs 384.28 Lakhs

My Food Roller Flour Factory, manufacturers of Amrutha Atta, Maida and Rava is a fully fledged factory with adequate quality control facilities. It is located at Mylapra, a small village in Pathanamthitta district.

Management officials

 NAME

POSITION

JERRY EASOW OOMMEN

CHAIRMAN

JOSHUA MATHEW

MANAGING DIRECTOR

BIJU SAMUEL

DIRECTOR

 N.R SUNIL KUMAR

DIRECTOR

E.K.KOSHY

DIRECTOR

JOSHY K.MATHEW

DIRECTOR

MERCY THOMAS

DIRECTOR

Quality policy

“MY FOOD ROLLER FLOUR FACTORY” is committed to be a global leader in the manufacture of quality food products. It shall exceed customer exp ectation through continuous improvement in quality, cost delivery and communication. To achieve this all employees shall be systematically trained, developed and motivated.

Vision Statement

To understand and meet the requirements of the customers, add value to them and add value to their  products through continuous improvement of the people, system and process. The organization’s efforts must be committed towards fulfilling the quality requirements of the customers, enhancing the awareness of the employees towards quality through systematic training, development and motivation. Also, to reduce manual work and enable/help decision-making using accurate and current data. The organization must also focus in providing maximum employment in the localities and serving the  people.

Mission Statement

The company’s mission are: 

Total customer satisfaction.



Excellence in quality and service

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Encourage all employees to develop their skills and knowledge.

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We continue to work by supporting the health life style and flourishing societies through the creation of quality products.

ORGANISATIONAL STRUCTURE

BOARD OF DIRECTORS

GENERAL MANAGER

ASSISTANT MANAGER

PRODUCTION DEPARTMENT

HR DEPARTMENT

FINANCE DEPARTMENT

MARKETING DEPARTMENT

PRODUCTION MANAGER

HR MANAGER

FINANCE MANAGER

MARKETING MANAGER

PRODUCT PROFILE

Quality is the trademark of Amrutha products. My Food Roller Flour Factory maintains a lab to ensure the quality of the products. Everyday products are tested at the laboratory to ensure that the ISI standards are maintained and no compromise on quality are accepted.

One Metric Ton of wheat when processed produces the following items:

Items

Percentage (out of 100)

Total (in KG)

Maida

55%

550 kg

Atta

12%

120 kg

Sooji (Rava)

14%

140 kg

Bran and Flakes

16%

160 kg

Wastes

3%

30 kg

100%

1000 kg

TOTAL

Of the above items, the first three items namely Maida, Atta and Sooji are for human consumption whereas fourth item bran and flakes are used as cattle feed and poultry feed. It is proposed to bring out the foresaid consumer products in handy and small packets so that all the sections of the society will be usually served.

The products are sold in 90 kg, 50 kg, 25 kg and 10 kg packs for wholesale packing and as 5 kg, 1 kg and ½ kg for consumer packing.

Specialities of AMRUTHA Atta Maida Rava products

Amrutha Products are highly rich with the following qualities: 

100 percent Natural: Processed from high quality natural wheat from selected fields across the country, a perfect blend of natural freshness and aroma to make your life 100 percent natural.

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100 percent Nutrient: Enriched with all the energy giving vital nutrients, exc ellent nourishment for people of all ages, 100 percent nutritious to make you 100 percent healthy.



100 percent Hygienic:

The finest natural wheat is carefully examined and then subjected to

a unique dry washing process. Sophisticated grinding process is adapted right from the  beginning to the packing to ensure 100 percent hygiene. 

100 percent Pure:

Processed under foreign technology with modern expertise. The raw

material while processing is untouched to ensure 100 percent purity. 

100 percent Tasty: Always delicious to make your family happier. The products include 100  percent enriched natural Atta, Maida and Rava with export quality standards. As a distinctive  blend of natural freshness and flavor, Amrutha is processed under expertise of sophisticated modern technology to retain the natural nutrients and the aroma of high quality wheat

DEPARTMENTAL FUNCTIONS

Various departments within My food roller Factory are 

Production department



Human resource department



Finance department



Marketing department

Production Department

PRODUCTION DEPARTMENT HIERARCHY IN PRODUCTION DEPARTMENT

General Manager

Assistant manager

Production Manager

Miller

Lab assistant

Roller Man

The Production department is the heart of the company which works 24 hours a day to meet it production target. The manufacturing process of Amrutha products starts with the purchase of raw materials. The main raw material for the production is pure wheat itself. The main places from where the wheat is  purchased are the northern state. A team of dedicated men and women work in the sophisticated processing unit with advanced machinery. The wheat is vested for finding out quality. There are two types of wheat namely: 

Hard wheat



Soft wheat

The selected wheat are washed, processed and grained to form Atta, Maida, Rava and Bran.

Quality checking

Stringent hygienic measures are applied with regular laboratory testing. The research and development team works for quality improvement by strict measure. Ample research supports provided by its research and development team to qualitatively increase and improve upon sophisticated measures of production.

The production process consists of three sections: 

Cleaning section: where the wheat grains are cleaned.



Milling section: where the wheat grains are milled.



Packing section: where the products are properly packed.

Machines used in these sections are: Cleaning section

Machines

Uses

Elevator

Use for lifting of wheat.

Conveyor

Used for convey to elevator.

Bins

Used for storage of wheat.

Separator

Separator of dust, mud, stick etcetera.

Scourer

For scouring or polishing of wheat.

Stones

For removing stone from wheat.

Dampener

For washing of wheat.

Milling section

Machines

Uses

Roll Body

For grinding of wheat.

Plan Sifter

For sieving of grinded wheat.

Purifier

For making Rava.

Packing section

It is very important to ensure that the product reaches the consumers in a fresh condition at a minimum cost. High quality single sources are imported for everything from raw materials to packing. The packing are according to the international standards in protecting, preserving and marketing. The usual standard  packing sizes used are 90 kg, 50 kg, 10 kg, 5 kg and 1 kg. Inspection of packing materials specifications in terms of 

Weight.



Transparency.

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Printing.

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Appearance level.

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Mesh size.

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Thickness size of the woven poly layer films and bag pouches.

Measures taken for input material 

Purchase of wheat is decided based on the representative sample received from the seller and decision taken as per the comparative quality result with basic sample.



100 percent inspection of the purchased wheat quality as per the representative samples collected as per the sampling technique.

Process

Wheat from the storage godown of the mill are fed into an intake hopper where it is transported by a  bucket elevator to the cleaning elevators where lighter impurities such as weeds and straw are separated from the grain flow. Another function of the cleaning separator is removal of bigger admixture smaller than grains such as sand and small weeds which are removed by sieve. Permanent magnets remove ferromagnetic admixtures from the grain and at the same time feed the bucket elevator. Then these grains are washed and cleaned properly. The waste from the washer will be collected in sump and discharged in the drainage or it can be used for other agricultural purpose. The washed grain then goes into the scourer machines where the outer hulls and beards of the grains are removed completely in the process. The above described flow can  be altered depending on the quality of wheat in storage bins for being conditioned. The total maximum tempering or conditioning period is adjusted from time to time depending on the quality of oil transported by a worm conveyor or by an elevator to the brushing machine. If needed the conditional and brushed wheat is led through the automating damper where its moisture contents are removed. The wheat is fed into the mill through a magnet for final checking of Fe rromagnetic mixtures. Sometimes the utilizable screening wastes from all cleaning machines are collected to one section of the plan sifter where they are sifted and separated. The over tail of the first group of the sieves remove  bigger impurities and even healthy grains which might have joint the waste through a defective sieve of any cleaning machine. Such part is collected and fed into the hopper at the cleaning section and cleaned again. The over tails of the second group sieve are collected directly into a worm conveyor and the bran is send separately for packing.

The wheat is crushed in the break roles are send for purifications to the purifiers in the plan sifter machines for removing and grading the stocks of the products vise Maida, Atta, Sooji by means of  purifications and sieving through plan sifters for the maximum extraction form out of it and tail product Bran will be sent to the packing section direct from sieves. Two numbers of high pressure fans will be installed foe pneumatic lifts in the milling. A part of this will be a complete aspiration for the purification by values control aspiration system. Thus you may find on the whole there are four operations in the roller flour mills i.e. clean ing or screening of wheat, grinding of wheat in various stages such as break reductions by means of roller flour mills,  purifications and sieving of products to obtain various grades of stock from the wheat crushed by plan sifters and purifiers. The final stage is packing of various products in the ground floor of the mill. The factory is using both manual and automatic methods for the purpose of packing.

 Human Resource Department

HUMAN RESOURCE DEPARTMENT

HIERARCHY IN HR DEPARTMENT

General Manager

Assistant manager

HR Manager

Organization development can be achieved through the development of skilled workers in the organization. Creative efforts of the workers and their attitudes towards the work plays a significant role in the success of an organization. The impressive productivity and quality is the hallmark of my food roller factory. Now the firm have good committed and disciplined work force which leads a high degree of productivity with impressive level of quality. The company gives much importance for the welfare and development of the employees. Training and development of all management and contract based workers along with basic amenities such as canteen facilities, uniforms, shift buses and recreation are provided. Personal Structure

The employees of the organization can be classified as managerial, technical factory workers, office and administrative workers and security workers. The work is classified into skilled and unskilled workers. All Sundays are holidays for the staffs and they can avail up to 12 days for casual and medical  purposes. The company also provides training facilities to the employees. On the job training is formally used and training is given by the supervisor. New staffs are appointed on the basis of  probation and are appointed permanently once they prove to excel in their jobs.

Appointment

Appointment is strictly on the basis of experience. Relevant experience is a must to work in the milling section. Recruitment is conducted by the board of Mylapra service Co-operative bank. Candidate to  be appointed in the milling section must require experience in milling technology. Candidates having experience in milling technology can only be appointed in milling section. Lady staffs are appointed only in the packing section.

Wages and Salary administration

Salary of the office staff consists of basic pay and HRA. For marketing staff, a certain percentage of the sales turnover is given as commission. Workers are paid according to the wage scale. Employees are promoted on the basis of their efficiency performance and seniority. Company provides health, welfare and safety measures to the employees.

Safety measures

Company also takes initiatives for the security of workers. Company provides masks for their employees. In case of any accident, full expense of that employee should be made by the company.

Disciplinary Action

Seven days suspension for the violation of company rules. A departmental enquiry will be removed from the service.

Office time

Office time starts from 8.30 AM to 6.00 PM. Lunch break is from 1.00 pm to 1.30 pm. But the  production is done 24 hours and carried throughout the scheduled time. There are two time shifts for the factory workers. First shift is from 6 AM to 6 PM and second shift is from 6 PM to 6 AM.

Meeting schedules

Daily meetings are done to convey the important decisions to the employees in the general manager’s cabin from 9.10 AM to 9.20 AM. Members permitted to attend the meeting are general manager, miller, office coordinator, sales coordinator, godown supervisor and sales manager.

Dress Codes

All the staff in the production, packing and loading department wears uniform specified by the company. The company issues two sets of uniform to all these staffs free of cost. All employees and workers must also wear ID cards before the y enter into the premises.

List of Employees in the organization

1. Office

- General Manager Administrative Officer Office Coordinator Sales Coordinator Accountant Cashier Peon Sweeper

2. Marketing

-

Sales Manager Sales Representative Distributors

3. Transportation

-

Drivers

4. Milling

-

Miller (1) Roller Man (2) Lab Assistant (1) Helpers (6) Washing Operators (2) Washing Helpers (2)

5. Factory

- Factory Supervisor Production Supervisor - Electrician

-

Fitter

-

Godown Assistant

6. Packing Workers

-

Packing workers (7)

7. Loading Workers

-

Workers (28)

-

Security (2)

Finance Department

FINANCE DEPARTMENT HIERARCHY IN FINANCE DEPARTMENT

General Manager

Assistant Manager

Finance Manager

Account Officer

Cashier

Clerical Staff 

The basic objective of financial management is the maintenance of liquid assets and maximization of the profitability of the firm. Maintenance of the liquid assets means that the firm has adequate cash in hand to meet its obligations and financial requirements. The duty of financial management is to prepare the budget and allocates the funds needed to meet the requirements.

Sources of finance

1. Share capital from NCDC

98.43 Lakhs

2. Term Loans

196.85 Lakhs

3. Working capital from Mylapra Service Cooperative

89.00 Lakhs

TOTAL

384. 28 Lakhs

The share capital must be repaid to NCDC within 10 years in equal annual instalment and first such instalment shall be paid at the end of the third year. The term loan shall be repaid in 10 years in equal quarterly instalments of 5.47 Lakhs each and first such instalment shall be paid at the end of the 15th month from the commencement of the production.

The project requires a working capital of Rs. 89 lakh s. Mylapra service cooperative bank is providing overdraft facility to the extent of 89 lakhs. Interest of 16% shall be paid on working capital. The working capital shall be repaid within 10 years in e qual as yearly instalment. The first such instalment shall be paid at the 24th month from the commencement of the production.

Profitability and financial Indicators

The plant is expected to work in two shifts for 300 days a year. The production assumed is 60 percent in the first year, 70 percent in the second year and 80 percent in the third year. Raw material consumption constitutes little over 86.21 percent of the total production cost.

First year

Rs.

1245.73

Lakhs

Second year

Rs. 1463.85 lakhs

Third year

Rs.

1672.98

Lakhs

Cost of raw material

First Year

Rs. 1008 Lakhs

Second Year

Rs. 1176 Lakhs

Third Year

Rs. 1344 Lakhs

Wages paid for the first three years are Rs. 27.47 Lakhs, Rs. 30.16 lakhs and Rs. 33.21 Lakhs. Electrical connected load on the unit is 380 KVA and hence MT Tariff is applicable. DG set will supply 40% of the requirement power during power cuts. The cost of the electric power is estimated as Rs. 2.7 per unit and the cost of power using DG set is estimated as Rs. 3.50 per unit requirement of water is 50 cubic meter per day.

Operating cost for the first three years are given below

OPERATING COST

YEAR 1

YEAR 2

YEAR 3

44.79 Lakhs

84.72 Lakhs

125.88 Lakhs

Duties of a finance manager

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Verification and printing of accounts.

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Review of the general ledger and reconciliation.

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Preparation of reconciliation statements such as bank, p art accounts etc.

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Ensure safe custody of cash.

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Maintain proper records of fund register for the various loans availed from the banks or financial institutions and safe custody of the various documents ex ecuted for the same.

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Ensure the expiry date of the bank guarantee and proper accounts of income.

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Maintain the fixed asset register and ensure filing of the bills of purchases, sales installation, certificates etc. for the tax purpose.

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Ensure compliance of the various commitments for the borrowings and adhesive of the repayment of the interest and principal.

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Maintain registers for the bank guarantee issued by the organization.

Function of financial department

All the financial transaction of MY FOOD ROLLER FACTORY LTD is through the finance department or accounts department. The financial year, like for every other organizations starts from 1 st April and ends on 31st March. The major function of the financial department are financial forecasting, checking up of financial  performance and other functions like maintaining main ledger, cash book, bank book, sales ledger,  purchase ledger, audit files etcetera.

Cash book

All the receipts in the cash are entered in this register. The deposit of cash and withdrawal of cash from bank are also entered in the computerized cash book.

Bank book

All the transaction of the company are entered in the bank book. It gives details regarding the receipts, payment made, person to whom it is made and the title of the accou nt where the amount is debited or credited.

Purchase journal and purchase ledger

All purchase bills are entered in this ledger which shows details regarding suppliers, payment Etc.

Sales journal

Sales transactions of all kinds are entered in this jo urnal and separate invoice are prepared. This record also has the details of waste materials.

Expense ledger

It shows details of expenses incurred like general charges an d welfare changes.

Suspense ledger

Advance payments to employees, travelling expense etcetera are entered in this ledger.

Sales tax

Sales exceeding limit comes under the provision of the Sales Tax Act. The sales taxes to be paid are KGST (Kerala Government Sales Tax), CST (Central Government Sales Tax)

Audit file

Audit file is prepared at the end of every financial year and is certified by the auditors. The audit file contains trial balance, profit and loss account etc. The company has two external auditors for auditing the accounts.

 Marketing Department

MARKETING DEPARTMENT HIERARCHY IN MARKETING DEPARTMENT

General Manager

Assistant Manager

Marketing Manager

The need of wheat products are increasing in our day to day life. In north India, the majority of people use wheat and wheat products In south India too, remarkable changes in food of the people have chapatti, porotta, bread etcetera made for making bread, biscuit and other bakery items. Diabetic  patients always prefer wheat products instead of using rice products.

Marketing strategy

The company targets whole of Kerala as its target market. Pathanamthitta, Kollam, Idukki and Ernakulam will be concentrated using the penetration strategy.

Marketing channel

Company is marketing its products directly to the retailers and customers using their own marketing  personnel. The company has its own supermarket (Amrutha Super Market) at mylapra town. It has an added advantage of exploring the rural market through its primary co-operative societies and Neethy Stores. The company also envisages a tie up with the public distribution system of Kerala government for marketing its products.

Product mix

Company proposes to have bulk packing of 5 kilograms and 1 kilogram are included in the product mix for the benefit of the end use customers.

Marketing management

The marketing network of Amrutha is backed by strong sales support and service network. Out of the factory, it undergoes a strictly maintained supply schedule and delivery system. Its own supply directly from factory to the traders, presenting them with price levels that are kept fully consumer oriented. The products of Amrutha are very famous in Kerala market.

Pricing product

Pricing is an important function of marketing department. Every company has its own methods of  pricing depending on product and service. Pricing has a vital rate in the success of export marketing  business. Amrutha fixed the price according to the quality of the products they produce and the competition of the market. The cost of product from the costing department is the base of fixing the selling price b y the marketing department. While computing the price of the product in the market, various ex penses like inspection, transport, bank commission, agent’s commission and all other expenses are considered. After considering all the direct and indirect expenses the marketing department adds some percentage of  profit filed by the board of directors. Sometimes the company adjusts the rate of profit to capture the domestic market or to get orders from buyer. Since the company is planning to introduce penetration strategy for marketing its product will be  priced with an attractive competitor price slightly less than of its competitors in the market. Company is also able to change their proceedings to the market changes.

Company’s marketing areas Domestic market

Amrutha has a good position in the Indian market. The domestic marketing of the Amrutha products are through state vice and direct wise distributors. The company has its own vehicle to distribute the  products to different market. Comparing with other flours Amrutha plays a vital role in the domestic market.

Channels of distribution in domestic market

The various marketing channels used by manufacturers for making the products available to the market are: 

Manufacturer –  Retailers –  Consumers.

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Manufacturer –  Wholesalers –  Consumers.

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Manufacturer –  Wholesalers –  Retailers –  Consumers.

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Manufacturer –  Agent –  Wholesaler –  Retailers –  Consumers.

A channel of distribution may be defined as an organized network of agencies and institutions which in combination perform all the activities required to link producers with users in order to accomplish the marketing task. The channel enables the sellers to find out the users of its merchandise and helps the buyers to obtain the products he needs.

Competitor analysis

Competitor analysis is done on the basis of SWOT an alysis.

SWOT analysis Strength 

MY FOOD ROLLER FLOUR FACTORY is under the management of Mylapra Service Cooperative Bank which is very helpful for them to hold them financially strong.

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There is no trade union as there is good relationship between employee and management.

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The factory is equipped with the most modern facilities which ensures good quality products and less wastage of raw materials.

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Employees possess high skills.

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Positioned at the fourth place in the market within a span of four years from its commencement.

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Great relationship between employees and management.

Weakness 

The location of the plant which increases the transportation cost for raw materials and products.

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Lack of railway services

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Lack of good promotional activities.

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Impact of market players.

Opportunities 

Scope for mobilization of funds.

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Underutilization of production capacity helps to meet the increased future needs.

Threats 

Shortage of raw materials due to external factors.

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Transportation cost.

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High competition.

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Declining demand.

FINDINGS

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Current market has lots of competitors like Nirapara, Niranazhi, Aashirvaad, Pillsbury etc.

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Whole wheat Atta products has more demand than plain Atta products.

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Leading brand follows the following preferred system: Manufacturer –  Distributor –  Wholesaler –  Retailer –  Customer

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Whole Atta products has increasing demand in the market.

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Users of Whole wheat Atta products are less likely to be affected by heart diseases.

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Market players attract customers mainly through their advertisements.

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Promotions of the company are minimum compared to other market players.

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Company’s policies are in favour of their emplo yees.

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Company’s safety measures and employee welfare activities are on the brighter side.

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The company’s strict quality policy helps them to p roduce good quality products.

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The company once had high influence in the market.

SUGGESTIONS

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Promote the product like other market players. The company’s old marketing strategies were great that they had good hold on the customers in the market. Company’s old ad starring Malayalam cine actress Chippi had good impact on the demand for the product.

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Make customers aware of the quality of Amrutha’s product.

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Improved quality and new market tactics will be reall y helpful for the company’s welfare.

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The company must sponsor some public events in order to make people aware.

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Providing souvenirs like diaries and calendars will be helpful.

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Try Social networking to attract customers. Creating pages in Facebook or Twitter can lead the company much further

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CONCLUSION

In today’s life competition exists in every sphere of activity. So it is very difficult for the leading brands to maintain their position in their industry. It is the responsibility of the management to co-ordinate the activities and lead the company towards success. Especially employee contribution is an unavoidable factor for the successful functioning of the business. The importance of Atta industry is growing day by day. This is because most of the consumers are changing their food habits from rice to wheat products. So there will be industries developing and their dema nd will also increase later. During the study I gathered information relating to organization structure, various departments and their functions, products, quality policies, procedures of the company. The stud y has certainly helped me to add more dimensions in many pursuits to understand the management theories, principles and practices. It makes me happy that Amrutha products have got a dominant place in the state. I had very delightful experience in My food roller flour factory. The managers and employees were friendly to me. I am delighted with the way they adjusted their time to mentor and provide me the necessary information required. This organizational study helped me to learn the right way to behave within an organization.