os on massenterprices- spices.doc

8/10/2019 os on massenterprices- spices.doc

1/97

CHAPTER 1

INTRODUCTION

49


2/97

INTRODUCTION

Organization plays a major role all over the world. Different organizations

meet peoples needs and provide services or both. The world has become a global

village due to globalization. This has very much helped people to get their needs.

Different firms meet different needs and have its own significance. or this

organizational study the researcher has chosen !"# $%T$&'&(#$# ')T. *TD. (t

is a well reputed company fully owned by a private person named !r. T.T. +ose.

The company !as $nterprises *td believes in the theme and motto of ,uality in

services and products. (t has made use of all available opportunities to e-pand and

consolidate its activities. This organization study report will be covering the

organization as a whole briefly. The researcher have gone through various

departments and gathered information as much as possible.

IMPORTANCE OF THE STUDY

The main aim is to study the financial performance and position of the

company history of the /ompany various business activities specialities business

performance functions of various divisions future developments etc. The

organization study helps to bridge the gap between the theory and practical aspects

of the organizational functions. The theories learned can be put into actual

organizational situation. Thus this organization study helps to gather information

about organizational set up overall and departmental performance financial

performance etc.

SCOPE OF THE STUDY

01


3/97

The project wor2 helps me to understand the practical use of the theoretical

perspective. The !3" course so far has provided me only with theoretical

2nowledge regarding the various management phases and aspects. The

Organizational #tudy at !as $nterprise *td has provided me new views regarding

its functions. (t has brought me with the information about various aspects and has

been of valuable help and assistance to me. The study is restricted to e-ploration of

various functions under ta2en by each department. (t provides a better understanding

at functional level of each department i.e. 'urchase materials production

mar2eting finance and human resource management. The #cope of this study will

comprise only inside of this /ompany.

OBJECTIVES OF THE STUDY

The main aim is to study the financial performance and position of the

company history of the /ompany various business activities specialities business

performance functions of various divisions future developments etc. The main

objectives of the study are

To 2now about the history and growth of !as $nterprises limited.To study the organizational structure and its hierarchical level.

To have information about the companys product.To 2now the structure and functioning of various departments in the

company.To analyze the wea2ness of the /ompany and provide means and suggestions

to improve these.

RESEARCH METHODOLOGY

&esearch is defined as human activity based on intellectual application in the

investigation of matter. The primary purpose for applied research is discovering

interpreting and the development of methods and systems for the advancement of

human 2nowledge on a wide variety of scientific matters of our world and the

universe. The system of collecting data for research projects is 2nown as &esearch

methodology. #ome important factors in research methodology include validity of

research data $thics and the reliability of measures most of wor2 is finished by the

time finish the analysis of data. &esearch !ethodology is a science of studying how

research is done scientifically. (t is a way to systematically solve the research

05


4/97

problem by logically adopting various steps. !ethodology helps to understand not

only the products of scientific in,uiry but the process itself.

CHAPTERISATION

This project consists of nine chapters. They are mentioned below of the

study6

CHAPTER: 1 Introduct on

This chapter deals with scope of the study purpose of the study assumptions

of the study limitations of the study etc.

CHAPTER !: R"# "$ o% R"&'t"d L t"r'tur"

*iterature review focuses and directs towards specific purpose. (t is also

selective.

This chapter deals with review about organization management review about

research methodology etc

CHAPTER (: D") *n o% Stud+

Design of the study includes research which means systematic and logic

study of an issue or problem or phenomenon through scientific method and the types

of research.

This chapter consists of types of research research approach techni,ues of

data /ollection tools of research used etc.

CHAPTER ,: Indu)tr+ Pro% &"

(ndustry profile is the profile of the spices industry. This chapter gives

awareness about the industry in which the company operates. (t also covers the

history growth and present scenario of the industry.etc

CHAPTER -: Co./'n+ Pro% &"

/ompany profile is the profile of the company organisational framewor2.

CHAPTER 0: Product Pro% &"

07


5/97


6/97

CHAPTER !

REVIE3 OF RELATED LITERATURE

REVIE3 ABOUT ORGANISATION MANAGEMENT

04


7/97

ORGANISATION

Organisation is the process of identifying and grouping wor2 to be

performed defining and delegating responsibility and authority and establishing

relationships for the purpose of enabling people to wor2 most effectively together in

accomplishing objectives. (n other words organisation is an instrument for achieving

organisational goals. The wor2 of each and every person is defined and authority and

responsibility is fi-ed for accomplishing the same.

The study of organizations includes a focus on optimizing organizational

structure. "ccording to management science most human organizations fall roughly

into four types6

'yramids or hierarchies/ommittees or juries!atri- organizations$cologies

P+r'. d) or H "r'rc6 ")

" hierarchy e-emplifies an arrangement with a leader who leads leaders. This

arrangement is often associated with bureaucracy. 8ierarchies were satirized in The'eter 'rinciple =59>9? a boo2 that introduced hierarchiology and the saying that @in

a hierarchy every employee tends to rise to his level of incompetence@.

Co.. tt"") or Jur ")

These consist of a group of peers who decide as a group perhaps by voting.

The difference between a jury and a committee is that the members of the committee

are usually assigned to perform or lead further actions after the group comes to adecision whereas members of a jury come to a decision. (n common law countries

legal juries render decisions of guilt liability and ,uantify damages juries are also

used in athletic contests boo2 awards and similar activities. #ometimes a selection

committee functions li2e a jury. (n the !iddle "ges juries in continental $urope

were used to determine the law according to consensus amongst local notables.

/ommittees are often the most reliable way to ma2e decisions. /ondorcetAs jury

theorem proved that if the average member votes better than a roll of dice then

adding more members increases the number of majorities that can come to a correct

00


8/97

vote =however correctness is defined?. The problem is that if the average member is

worse than a roll of dice the committeeAs decisions grow worse not better6 #taffing

is crucial. 'arliamentary procedure such as &obertAs &ules of Order helps prevent

committees from engaging in lengthy discussions without reaching decisions.

St'%% Or*'n 7't on or Cro))8Funct on'& T"'.

" staff helps an e-pert get all his wor2 done. To this end a @chief of staff@

decides whether an assignment is routine or not. (f itAs routine he assigns it to a staff

member who is a sort of junior e-pert. The chief of staff schedules the routine

problems and chec2s that they are completed. (f a problem is not routine the chief

of staff notices. 8e passes it to the e-pert who solves the problem and educates the

staff B converting the problem into a routine problem. (n a @cross functional team@

li2e an e-ecutive committee the boss has to be a non;e-pert because so many 2inds

of e-pertise are re,uired.

Or*'n 7't on: C+c& c'& Structur"

" theory put forth by renowned scholar #tephen +ohn has asserted that

throughout the cyclical nature of ones life organizational patterns are 2ey to success.

Through various social and political constraints within society one must realize that

organizational s2ills are paramount to success. #tephen +ohn suggests that emphasis

needs to be put on areas such as individualC group processes functionality and

overall structures of institutions in order to maintain a proper organization.

urthermore the individualAs overall organizational s2ills are pre;determined by the

processes underta2en.

M'tr 9 Or*'n 7't on

This organizational type assigns each wor2er two bosses in two different

hierarchies. One hierarchy is @functional@ and assures that each type of e-pert in the

organization is well;trained and measured by a boss who is super;e-pert in the same

field. The other direction is @e-ecutive@ and tries to get projects completed using the

e-perts.

Eco&o* ")

This organization has intense competition. 3ad parts of the organizationstarve. ood ones get more wor2. $verybody is paid for what they actually do and

0>


9/97

runs a tiny business that has to show a profit or they are fired. /ompanies who

utilize this organization type reflect a rather one;sided view of what goes on in

ecology. (t is also the case that a natural ecosystem has a natural border B eco regions

do not in general compete with one another in any way but are very autonomous.

C6'r'ct"r )t c) o% or*'n )'t on

Division of wor2 /ommon objectives/o;ordination:ell defined authority;responsibility relationships/o;operative relationships

O ;"ct #") o% or*'n )'t on

To increase productionTo help management/o;operation of employees

I./ort'nc" o% Or*'n )'t on

8elps in administration8elps in optimum utilisation of technological innovations'romotes growth and diversification$asy co;ordination$ncourages initiativeTraining and development of personnel3etter human relations

REVIE3 ABOUT RESEARCH METHODOLOGY

The primary purpose for applied research is discovering interpreting and the

development of methods and systems for the advancement of human 2nowledge on a

:ide )ariety of scientific matters of our world and the universe. &esearch

methodology is a science. &esearch is an art of scientific investigation. !ethodology

is defined as the way in which the data are collected for the research projects.&esearch methodology has many dimensions and research method is only a part of

0E
http://en.wikipedia.org/wiki/Applied_researchhttp://en.wikipedia.org/wiki/Discovery_(observation)http://en.wikipedia.org/wiki/Interpretation_(logic)http://en.wikipedia.org/wiki/Developmenthttp://en.wikipedia.org/wiki/Knowledgehttp://en.wikipedia.org/wiki/Knowledgehttp://en.wikipedia.org/wiki/Knowledgehttp://en.wikipedia.org/wiki/Epistemologyhttp://en.wikipedia.org/wiki/Discovery_(observation)http://en.wikipedia.org/wiki/Interpretation_(logic)http://en.wikipedia.org/wiki/Developmenthttp://en.wikipedia.org/wiki/Knowledgehttp://en.wikipedia.org/wiki/Epistemologyhttp://en.wikipedia.org/wiki/Applied_research


10/97

it. Therefore the scope of research methodology is wider than that of research

methods. &esearch methodology includes not only research but also considers the

logic behind those methods. This reveals about the data collection. (t contain

objectives of the researcher the source from which the data are collected the

methods applied for the collection of data techni,ues used for presentation.

CHAPTER (

DESIGN OF STUDY

0F


11/97


12/97

0< An'&+t c'& R")"'rc6

(n analytical research one has to use facts or information already available

and analyse these to ma2e a critical evaluation of the material.

< Pur" r")"'rc6

'ure research is underta2en for the sa2e of 2nowledge without any intention

to apply it in practice. (t is underta2en out of intellectual curiosity or in,uisitiveness.

(t is also 2nown as basic or fundamental research.

RESEARCH

&esearch means search for facts. " systematic search for an answer to a

,uestion or a solution to a problem is called research. (t is a purposive investigation.

&esearch is a systematic and logic study of an issue or problem or phenomenon

through scientific method. "ccording to $mory Gany organized in,uiry designed and

carried out to provide information for solving a problem.

The research used in the study are e-ploratory research used with the

intension to 2now facts unfamiliar which the researcher has little 2nowledge

descriptive research for the purpose of gathering descriptive information historical

research with a view to reconstruct the origin and development of the institution

and also for discovering the trend in the past.

RESEARCH APPROACH

&esearch "pproach refers to the approach or the methodology that has been

adopted to conduct the research. (t basically involves the selection of research

,uestions the conceptual framewor2 that has to be adopted the selection of

appropriate research method such as primary research secondary research etc. (t

enumerates the research ,uestions describes the conceptual framewor2 describes

the case study approach used and then lays out the analysis plan.

This chapter reviews the research approach and methods. (t enumerates and

describes the conceptual framewor2 describes the case study approach used and

then lays out the analysis plan. The approach followed is observation method. The

entire activities of the organization are observed and information is written on its

basis. (n the manufacturing units the entire operations are being observed. #o theinitial step will be e-amining of the websites journals magazines and other

>1


13/97

secondary sources from where the information regarding the company is available.

or getting information about each department interviews with the department heads

were conducted.

There are two basic approaches to research namely

5. uantitative approach and

7. ualitative approach

(n the uantitative approach the research is based on measurable ,uantities.

Therefore data in this approach are available in the ,uantitative form. This approach

can further classified into inferential e-perimental and simulation

approaches. The inferential approach aims at forming a data base from which

to infer characteristics or relationships of population. (n this approach a

sample is selected from the population and it is studied to determine the

characteristics of the sample. (n this approach some variables are manipulated to

observe their effects on other variables.

ualitative approach to research is concerned with subjective assessment of

attitudes opinions and behaviours. &esearch in such situations is a function of

researchers insight and impressions. #uch an approach generates results

either in non;,uantitative forms or in the form which are not subjected to

rigorous ,uantitative analysis.

TECHNI=UES OF DATA COLLECTION

Sourc") o% d't'

There are several ways of collecting the appropriate data which considerably

in conte-t of money costs time and other resources at the disposal of the researcher.

There are 7 sources of collecting data; internal source of data and e-ternal

source of data. (nternal source of data is collected from the company where the

researcher doing the project. $-ternal sources of data are collected from the mar2et.

This can be again divided into 'rimary and secondary data. The researcher has

selected both the internal and e-ternal sources of data for the study. Data re,uired for

the study is obtained both through primary and secondary sources.

>5


14/97

Pr .'r+ d't''rimary data can be collected through survey method. 8ere data is collected

by observation through personal interview and telephone interviews. The 'rimary

data are collected from the sources li2e

/ompanys "udited and unaudited final accounts/ompanys !emorandum and "rticles'rofile

Direct (nterview method will be used for collecting the relevant information

on divisions history of the company details about its sister concerns 3oard of

directors etc =without using any uestionnaire ? .(t consists of two methods

i? #urvey method

ii? Observational method

> Sur#"+ M"t6od

#urvey method involving of personal telephonic and interviews are very

effective to e-plain the present wor2ing of the factory. ( got different types of

data from each and every individual. !y research report has been formed on the

basis of the information from the factory.

> O )"r#'t on M"t6od

Observational method is very much useful for a researcher to do a real study

of the picture. Observational techni,ues are methods by which an individual or

individuals gather firsthand data on programs processes or behaviors being studied.

(t includes

/ompany publication+ournals"nnual &eports:ebsites!agazines

>7


15/97

S"cond'r+ d't'

These are data collected from boo2s newspapers magazines and trade

journals advertisements. These data which were already collected by someone for another purpose. They are second hand information. . Data is also collected from

published sources li2e company profile company journals leaflets internet etc.

/ollection of secondary data from outside sources such as

#pices 3oard/ompany 3oo2s*ibrariesweb sites3rochures!agazines

PROCEDURE FOR DATA ANALYSIS

The purpose of research is to find out something analysis of data is

performed to find out this something ."nalysis of data is considered to be highly

s2illed and technical job which should be carried out only by the researcher himself

or under his close supervision. (t is through systematic analysis that the underlying

features of the data are revealed and valid generalization is arrived at. acts and

figures never spea2 for themselves. Only by means of organizing analyzing and

interpreting the research data their salient features inter;relationship cause and

connections are brought out.

"nalysis of data therefore means critical e-aminations of the data for

studying the characteristics of the object under study and for determining the

patterns of relationships among the variables relating to it using both ,uantitative

and ,ualitative methods.The following is the procedure of data analysis.

5. The first step involves construction of statistical distribution and calculation

of sample measures li2es averages percentages and measures of

dispersion for describing the features of the statistical data.

7. The second step of analysis is to compare two or more distribution or

two or more subgroups with in a distribution. The comparison can be done

with the help of measures of central tendency. 3ut the comparison bymeasure of central tendency alone would be misleading.

>


16/97


17/97

V'nd'n."du? Idu@@ D )tr ct? "r'&'

The Organization was founded by a group of planters in Herala and

Tamilnadu in 59F7 with the vision to provide the best services to the planters of

/ardamom /offee Tea and 'epper. The /ompany have direct lin2 with the farmers

and all its core activities are farmer oriented. The /ompany started in 59F7 as a

partnership firm with an agriculture input distribution networ2 in Herala. This

mar2ed the beginning of an enterprise B a beginning of a great venture in (ndia.

radually the partnership firm grown into a 'rivate *td /o and then into a *imited

/ompany called !as $nterprises *imited. The &egistered office of !"#

$nterprises *td is situated at )andanmedu (du22i District Herala #outh (ndia.

!as $nterprises *td was incorporated on 5>th !ay 5994 under the

/ompanies "ct 590>. (t was beginning of greater things to come B $-pansion of

'lantation holdings Diversification into $-ports and (mports /ardamom

"uctioning 'roduction !/ 'roducts such as /urry 'owders 'ic2les etc

'roduction of !icro nutrients organic manures organicCbio pesticides Dealership

of 3#%* products in (du22i Dist. %ow the /ompany are the producers of the

famous I'"*"TJ 3rand and supplier of I!ohanlals Taste 3udsJ. I!as /hayaJ and

I!as #picesJ are their own brands in the !ar2et. The /ompany is one the leading

e-porter of /ardamom and other #pices.

(du22i District is famous for spices such as /ardamom 'epper /loves etc.

8ence the /ompany is "gro based one. The main businesses are /ardamom

"uctioning $-ports of /ardamom and other spices dealing "gri; inputs and

implements /urry powders masalas etc. The /ompany is divided into variousDepartmentsCDivisions such as "gri "uction !/ $-port 'lantation and so

>0


18/97

on.Today !"# is a large business house from the ods own /ountry B Herala (ndia

engaged in !anufacturing and !ar2eting $-porting /ardamom "uction

'lantations Oleoresins "gri inputs !/ 'roducts etc. The Directors of the

/ompany are leading planters having plantations in Herala and Tamilnadu.

"s a part of its distribution and trading !"# $nterprises *imited is

mar2eting all type of "gri (nputs such as Organic !anure /hemical ertilizers

'esticides 3io ertilizers Organic K 3io 'esticides 'lant rowth &egulators

#prayers 'ump #ets and #prin2ler K Drip (rrigation $,uipments reen 8ouses

8D'$ 'ipes etc for more than two decades. They are supplying the products to the

dealers all over Herala and the operations are monitored from the 8ead Office and

branch offices.(n addition to the mar2eting of "gri (nputs they are helping the

farmers to mar2et their products. They are conducting cardamom auction under

registration from the #pices 3oard. They are e-porting spices K coffee to !iddle

$ast /ountries and +apan and are pioneers in branding spices and trading all over

(ndia. They are mar2eting #pices and Tea in consumer pac2ets under the brand name

!"# #'(/$# and !"# /8""L". The /ompany has its own plantation to the

e-tent of E01 acres in Herala producing /ardamom 'epper and /offee. 'resently

the company is developing about 511 acres of )anilla plantation.

!as $nterprises *td. having its strong base in the plantation sector has been

able to grow through agri related activities. Tourism and ood 'roducts are added to

its business with a view to capitalize on the demand. :ith its plans for the future

based on strong principles and policies the company hopes that it can be leader in

the respective business sector within a few years. The /ompany is not listed in

/apital !ar2et. The /ompany has valid #ales Ta- (ncome Ta- and #ervice Ta- and

$-port &egistrations.

>>


19/97

BRANCHES

#l. %o. '*"/$#

5. Delhi

7. 3anglore

. /umbum Tamilnadu

E. #illamaruthupatty

F. 3odinay22annur

The following are the sister concerns of !"# roup6

1> MEL ORGANICS PVT LTD

!el organics =p? ltd is having head office and factory at sillamarathupatti

Tamil nadu and branch office at )andanmedu. the company is manufacturing copper

sulphate ,uality neem ca2e neem based organic pesticides wetting agents etc.

Act # t "):

production and mar2eting of copper sulphate. production and mar2eting of neemca2e. production and mar2eting of organic pesticides.

!> MAS INDIA AGRO CHEMICALS PRIVATE LIMITED

>E

MAS GROUP COMPANIES

5? !$* O& "%(/# ')T *(!(T$D

7? !"# (%D(" " &O /8$!(/"*# '&()"T$ *(!(T$D


20/97

The main factory and office situated at Hurichy near Hottayam. 8dpe pipe

manufacturing fertilizer mi-ing etc are the main activities of this company.

(> AYUR COUNTY RESORTS LTD

The /ompany named "nchuthara &esorts *td was ac,uired by the directors

in the year 7115;7117 and changed its name to "yur /ounty &esorts *td. to

resemble to the theme behind the project.#ituated %ear !unnar =50 Hm? Herala on

the %ational 8ighway B%8 49 is the "yur /ounty Tourism )illage. This is spread

over 40 acres of land owned by the company.

Act # t "):

8otel and Tourism 3usiness

,> MAS PERIYARVALLEY RESORTS INDIA PVT LTD

8otel *a2e ueen at The22ady Humily is the main attraction under this

concern. The company ac,uired a 01 room hotel with 5.70 acres of prime land in

the heart of Humily town under the name I 8otel *a2e ueen I.This was one of the

biggest and oldest hotel in The22ady and after purchasing the property the company

has renovated the hotel to most modern standard.

Act # t "):

8otel 'roject at The22ady. #hopping /entre.

-> SANTHIVANAM PLANTATIONS PVT LTD

" 701 "cres property in !eghamalai 8ills;Tamilnadu with various

plantation crops. #pecial emphasis is given by the company for the development of horticulture. /ardamom /offee )anilla Turmeric and various varieties of citrus are

planted. Organic method of cultivation is followed by the company.

Act # t ")

/ardamom /offee 'epper and 8orticultural /rops cultivation.

0> MAS NATURALS INDIA PVT LTD:

>F


21/97

!"# %aturals (ndia ='? *td is having its 8ead Office at )andanmedu (du22i

=District? and 3ranch Office at /ochin. The company has manufacturing facility for

olio resins and spices oil e-traction at /hinna2anal !unnar. !"# %"TM&"*# is a

centre of e-cellence for spice products. The largest cardamom auctioneers in "sia

!"# has established a /ardamom /entre at %ew Delhi (ndiaAs capital city and

another at Dubai.

Act # t ")

/ardamom plantation!anufacturing Oleoresin and spices oil e-traction.

> SPECIALITY INDIAN FOOD PAR S AND E PORTS P> LTD

#upplier of curry powder masalas to I!ohanlals Taste 3udsJ. The

company has been formed with the main object of developing food par2s and to set

up manufacturing facilities for food products and to e-port its products. (t has tie up

with #uper #tar !ohanlal to manufacture food products under his brand.

Act # t "):

Developing ood 'ar2s !anufacture and $-port of food products.

2> GRAND PAR TEA INDUSTRIES

rand 'ar2 Tea (ndustry is a partnership firm with factory at /hettu2uzhy

(du22i District engaged in Tea !anufacturing. (t is selling its product through

auction as well as through distributors under the brand I rand 'ar2 TeaJ.

!as $nterprises *imited organizes its activities mainly under seven

Divisions6

DIVISIONS

5. " &( D()(#(O%

7. "M/T(O% D()(#(O%

. 3#%* D()(#(O%

>9


22/97

E. /"&D"!O! "%D #'(/$# D()(#(O%

1< THE AGRI DIVISION OR AGRICULTURAL INPUTS DIVISION

"gri Division or "griculture (nputs Division is the first division of !as

$nterprises *imited. (n other words this division gave the life to this great

enterprise. "gri Division is the base of the /ompany. (n 59F7 a dedicated team of

planters from Herala and Tamilnadu started the "gri inputs distribution system with

a great vision to improve the cultivation procedures in /ardamom 'lantations. The

teams hard wor2 dedication confidence and vision lead !"# to emerge from its

cocoon stage. The "gri Division has grown with support and co;operation of a wide

cover of customers.

GENERAL HIERARCHY OF AGRI DIVISION

E1

AGRI DIVISION

In#"ntor+ S"ct on Account) S"ct on M'r@"t n* S"ct on

M'n'*"rStor")8A*r >

M'n'*"rAccount)8A*r >

M'r@"t n*M'n'*"r A*r >

Stor"""/"r

Jun orAccount'nt)

Ar"' S'&")M'n'*"r)

Stor"C&"r@

D't' Entr+O/"r'tor)

S'&")E9"cut #")

Stor" C&"r@ Stor" C&"r@


23/97

This Division has strong mar2eting infrastructure all over Herala. The "gri

Division has its own factories fertilizer mi-ing centres soil testing labs godowns

offices transportation facilities etc for producing and mar2eting the agri inputs

without any brea2 and delay. "lso the Technical e-perts of the /ompany provide

necessary advice and directions to the planters for improving the health of their

plantations.One speciality of this division is that the division facilitates with

transportation. The /ompany has their own lorries vans etc for supplying the

materials to the customers hence the transporting costs can be reduced to an e-tent.

%ow the division is well established with strong networ2 of mar2eting force

centralized and computerized accounting system fully computerized branches and

agencies modern inventory systems and warehouses a team of highly s2illed and

e-perienced personnel a highly supported group of dealers all over the Herala and

Tamilnadu states etc. %ow the /ompany is one of the main manufacturers and

mar2eters of agri inputs in Herala and Tamilnadu. $ven if there is stiff and strong

competition in the mar2et the /ompany challenges all these barriers by applying

highly modern mar2eting tactics in the field.

!> FMCG DIVISION

The formation of !/ Division = ast !oving /onsumer oods Division?has given a special image to /ompany. The name of I!"#J became more popular

E5


24/97

in Herala in (ndia and even in many foreign countries. The !/ products

produced and mar2eted by !/ Division had got unavoidable place in every

!alayalis heart. The !/ division began its function as Tea division since

599>.The reputed brands I!as #pices I!as /urry powdersJ I!as /haayaJ have

emerged from the factory in the year 711

M'n'*"rAccount)FMCG

M'r@"t n*M'n'*"rFMCG

M'nu%'ctur n*S"ct on

M'n'*"rF'ctor+>


25/97

(> E PORT DIVISION

$-port Division started its activities in the year 599F with first e-port

consignment made to +apan. (t was a turning point of the /ompany. $-port division

lifted up the /ompanys name and reputation internationally. /ardamom was the

material in the first consignment to +apan. Then the division drastically developed

and now become a main division of the /ompany. The e-port consignments are

complicated than local sales. The ris2 involved in the e-port consignments are more.

/ommercial ris2s and political ris2s are involved in e-port consignments. %ow

$-port /redit uarantee /orporation gives protection and guarantee on payment toe-porters.

E

For".'n T"c6n c 'n

3or@"r)


26/97

The e-port division is major e-porter of cardamom to !iddle $ast countries

and +apan. This division e-ports /ardamom /offee spices pepper green pepper

ayurvedic and herbal tea curry powders and masalas etc to various countries. This

division e-ports around 511 !T of cardamom per annum.They are planning to enter

other $uropean countries li2e MH (reland and /anada etc . .

The following table shows the turnover ,uantity of cardamom e-ported to

various countries for the 0 years6

E9/ort o% C'rd'.o. d %%"r"nt *r'd")> Y"'r $ )"

Y"'r =u'nt t+ E9/ort"d n *)>

7115;7117 5 11 EE77117;711< 5 9> 540

711 99 011

This Division is also handling imports of food grains organic pesticides

organic granules etc. from various countries. $-port Division is under the directcontrol of $-ecutive Director.The $N(! rules /ustoms tariffs depression in

cardamom industry rise of transportation and relative costs etc are affected the

turnover of this division adversely. The main competitors in this field are ")T

H/'!/ #' & K #ons etc. #tiff competition from uatemala cardamom is

another threat for cardamom e-porters. $ven if the problems are there the /ompany

e-ports average 5 11 111 2gs of cardamom and 01 111 2gs of spices curry powders

masalas etc every year. (n 7117;1< season !as enterprises *td was the top e-porter of cardamom= on the basis of ,uantity e-ported?.This division is loo2ing ahead for

new foreign mar2ets and for new ventures.

,> PLANTATION DIVISION

'lantation Division is the highly invested area of the /ompany. "s the 3oard

of Directors are mainly from planters they had 2een interest to form this division.

8uge investments are made by the company in this division for ac,uiring

E4


27/97

developing cultivating and irrigating the land to become a high yield plantation.

%ow the /ompany is one of the major planters of cardamom in (du22i District.

!ost modern cultivation techni,ues and irrigation techni,ues are using all

plantation holdings of !as $nterprises *td. (rrigation is very important in

/ardamom estates to prevent draught and to increase the production of crops. This

Division owns around >41 acres of plantation holdings in !unnar Mdumbanchola

etc. /ardamom 'epper /offee )anilla etc are the main produces from these

estates. "ll estates are well maintained with modern irrigation facilities and farming

technologies etc. "ll estates are covered with s2illed labours supervisors

!anagers etc.

The 'lantation Division formed in 7115 with the ac,uirement of 5

A))t< M'n'*"rE)t't">

Jun or Account'nt)

Stor" ""/"r F "&d O%% c"r) D't' Entr+O/"r'tor)

C&"r@) 3or@ Su/"r# )or) O%% c" A)) )t'nt)

Stor" A)) )t'nt) 3or@"r)


28/97

(t is a very big asset of the /ompany in the I'aradise of TouristsJ. 'lantation

Division is the high potential area of the /ompany. /ardamom 'epper /offee

)anilla medicinal plants are the major crops cultivated in estates. 8igh yielded

variety of cardamom such as I%jallaniJ are cultivating in all estates. "ll estates are

installed with modern infrastructures li2e sprin2ler irrigation mist irrigation etc and

other farming technologies. " well maintained labour force is an asset to this

division. Dedicated labours s2illed supervisors and field officers and e-perienced

managers are behind the growth of this division. :ages are paid according to the

rules. 3onus are issuing every year. 'rovident und and !edical facilities are also

providing to the wor2ers and staff.

E>


29/97

M' n Pro;"ct)

5.

7.


30/97

0> CARDAMOM AND SPICES DIVISION

I:e encourage /ardamom for flavour and healthJ is the slogan of this

Division. The /ompany is promoting cardamom all over (ndia through this Division.

This Division started with a vision to spread the cardamom industry to all over the

(ndia. The Division introduced its famous brand I!as #picesJ to the mar2et. The

crops from own estates are using for this brand. #o the company can maintain its

,uality and price. The Division also deals with trading of other spices such as 3lac2

pepper reen pepper /loves etc to various places in (ndia.

This Division is one of the major traders of /ardamom. This division ownscardamom grading and cleaning centres godowns pac2aging machines modern

EF


31/97

trading tactics etc. This division has secured 8"//' certificate for its /ardamom

processing unit at 3odinay22annur. (t is the first /ardamom processing unit who

secures 8"//' certificate in (ndia.

The /ardamom Division has branches at Delhi 3odinay22annur /umbum

and /ochin. (ts main warehouses are at 3odinay22annur and )andanmedu. The

/ardamom Division also engaged in forward trading business =ie. On line

/ommodity trading of cardamom?.This division loo2s into the detail mar2eting of

cardamom and spices under the brandJ !as #picesJ

GENERAL HIERARCHY OF CARDAMOM AND SPICES DIVISION

E9

CARDAMOM SPICES DIVISION

(nventory #ection "ccounts #ection

!anager =#tores;#pices?

!anager="ccounts;#pices?

#tore Heeper +unior "ccountants

#tore /ler2 Data $ntryOperators

#tore "ssistants Office "ssistants


32/97

> AUCTION DIVISION

The "uction Division conducts /ardamom "uction on all ridays at

)andanmedu (du22i Dist as per the rules and regulation of the #pices 3oard. !as

/ardamom "uction is one among the largest /ardamom "uctions in (ndia

auctioning over 911 !T of cardamom every year. The Division is networ2ed with

pooling centres or collection centres throughout the (du22i District and :ayanad

District. "mong the /ardamom "uctioneers !"# $nterprises adorned the first

position in the year 5999;7111 in (ndia. /urrenty it is the third biggest player in

auction in (ndia.This division formed with an objective for getting better prices for the planters crops. There was a strong and fre,uent demand from the planters who

F1


33/97

were being e-ploited by local merchants and dealers. The 'lanters were not

receiving the right price for their commodities.

The "uction Division formed in 5994 as per the rules and regulations of

#pices 3oard. )andanmedu is the first and famous /ardamom "uction centre of

(ndia. The (ndias first /ardamom "uction was conducted in )andanmedu by

/ardamom !ar2eting /orporation.

The Division is handling 41 to 40 of the Total turnover of the

/ompany.The procedure of auction or function of "uction Division is follows6

Co&&"ct on o% P&'nt"r) Cro/ 6

The "uction procedure starts with collection of crop from planters. This

procedure is called I'oolingJ. There is a chain of pooling centres in (du22i and

:ayanadu Districts. :ednesday and Thursday are the pooling days. 'lanters who

have /ardamom &egistration %umber =/.&.%o.? bid their crop at the nearest pooling

centres or cardamom collection centres. The Depot Bin; charge is responsible for

pooling function. "ll the stoc2s are collected and stored in central warehouse at

)andanmedu. The stoc2 register party name boo2 /alculation boo2 /alculation

slips copy of crop receipts issued to the party etc are the main documents or

registers are maintained in each pooling centre. The above documents are brought to

the "uction centre for further wor2s.

Auct on:

There is a separate auction hall with modern facilities to conduct the auction.

The pooling details =ie. every lots? collected from all pooling centres are entered

into computer system. "ll the functions of auction are computerized from the

beginning itself. The division has its own software for this purpose. The /ompany

has developed the first /ardamom "uction software in this field by its software

engineers. "fter entering the arrivals one team chec2s the whole lots with stoc2

registers crop receipts and calculation slips in order to avoid mista2es. "uction

dealers are from all over the world. The dealer license issued by #pices board is

necessary for participating in the auction. %ormally the auction starts at 55.11 "!.The sample of each lot is distributed among the dealers in chronological order.

F5


34/97

D")/'tc6 o% M't"r '&):

The lots are separated on the basis of list of lot separation and stac2ed buyer

wise. " thorough chec2ing is conducted before the dispatch. The dispatch of

materials is accompanied with (nvoices debit notes delivery notes declarations.

P'+."nt:

The due date for disbursing the payment to the planter is on the 75 st day from

the date of auction =as prescribed by #pices 3oard?. I/ommission 3illJ is generated

for each lot for ma2ing the payment. /ommission bill describes the planters name

their /ardamom &egistration %o. *ot %umber uantity pooled 'rice "uction %o.

Date of auction Total "mount of produce deductions li2e grade discount

commission to auctioneers =5 of gross value? insurance charges etc and additions

li2e sample refund. :hen the payment is due the planter must produce his /rop

receipts then the commission bill will be issued to him with payment. /rop &eceipt

is valuable and negotiable.

#ome of the planters are ta2ing advances or loans by pledging their crop

receipts with ban2s private financial institutions and money lenders. One

remar2able thing is that M%(O% 3"%H O (%D(" has formulated a special *oan

for cardamom industry named I'O#T 8"&)$#T *O"%J on security of /rop

receipts hypothecated by the planters and under the guarantee of the "uction

/ompany.

GENERAL HIERARCHY OF AUCTION DIVISION

F7

AUCTION DIVISION

!anager =#tores; "uction?

!anager ="ccounts;"uction?

!anager ="uction;Operations?

#toreHeeper

+unior "ccountants "sst. !anager="uction?

#tore/ler2

Data $ntryOperators

#ales$-ecutives

#tore "ssistants Office "ssistants Office "ssistants


35/97

HIGHLIGHTS OF THE COMPANY

3rand *oyalty

Technology$-perienced personnel in 2ey areasacilitation of uninterrupted supply of raw materials8igh level of ,uality assurance:ide range of prospective customersOnline commodity trading

OBJECTIVES OF THE COMPANY

To maintain the uality of the product.

F


36/97

To uphold highest ethical standards in conduct of our businessTo build lasting relationships with customers based on trust and

mutual benefit.To produce ,uality products as per the world standard

Online commodity trading of cardamom

MANAGEMENT

!"# and its group companies are managed by the 3oard of directors. One

attractive factor is that most of the members in the 3oard of Directors of the

/ompany are planters. They are mostly from Tamilnadu. The affairs of the company

are managed by the !anaging Director. 3oth the +oint !anaging Director and$-ecutive Director actively participate in the administration of the day to day

matters. "ll the members of the 3oard give their support and guidance for the

growth of the /ompany.

The nine members was there in the director board at the time of formation of

the company were

5? T.T. +ose

7? &.HrishnaHumar


37/97

Other Directors

#.!urugesh 3abu

H.) )ishnuram

%. !uthuramalingam'."sho2 Humar '.H !urugesan

POLICIES? PRINCIPLES AND PLANS

The company !as $nterprises *td. believes in the theme and motto of

,uality in services and products. (t has made use of all available opportunities to

e-pand and consolidate its activities. The company has very minimal levels of mediaadvertisement and through its ,uality products and services it is developing its

business. or the new areas of e-pansion also this principle is followed. The

company considers that its satisfied customers as the best medium of advertisement.

"ll its project have the sole motto of I ualityJ.

The brand I!"#J is pic2ing up among the segments of spices including

plantation tourism and !/ which are considered as the core areas. $ven in

$-port mar2et the product of !"# has a competitive edge over others because of its,uality. :ell trained professional people are managing each division.

$ach division is managed by division heads that are specialized in the

respective fields. They are reporting to respective !. The !anaging Director +oint

!anaging Director and $-ecutive Director are controlling the day to day affairs and

they are formulating the plans. The group has presence in the two important tourist

destinations in Herala I ods Own /ountry;The22ady and !unnar. These are being

further developed to international standards. 'lans are made to enter into plantation

tourism and wild tourism. The group is well poised for a fast and wide e-pansion

ta2ing advantage of the opportunities of globalization. (t loo2s at tapping the

international mar2et with ,uality products of our country and also to ma2e available

,uality products from outside to the people here at very economic rates.

F0


38/97


39/97


40/97

The name of I!"#J became more popular in Herala in (ndia and even in

many foreign countries. The !/ products produced and mar2eted by !/

Division had got unavoidable place in every !alayalis heart. The !/ division

began its function as Tea division since 599>. :ith an e-perinece of more than 4

decades in the 'ic2le and #pices industry '"*"T has earned a name in the hearts of

all south (ndians as a trusted and traditional 3rand of ood 'roducts.The products

line is growing day by day with products being added according to the need of the

customers and the mar2et. The determined team effort has led them to bring in

products of international standard. !as $nterprise *td never compromise on

,uality. I!as /haayaJ is the brand name of /o.s many tea blends and grades. I!as

&ice 'owdersJ is the brand of rice powders.

S/"c '& t ") o% M') Product)

5. "ll the products are prepared from carefully selected raw materials and

food grains

7. 'owdered in most modern machines and driers.


41/97

0. The original Herala Taste that never fades.

>. The 'reparation methods of products is the traditional coo2ing methods

of Herala.

=u'& t+

"t '"*"T the prime importance is given for ,uality and hygeine with

consistancy in the taste of products. The factories area certified with 8"//' and is

maintained at international standards. The ,uality is ta2ing care of right form the

procuring of raw material in selection pac2ing materials pac2aging etc.

F9


42/97

PRODUCTS OF MAS ENTERPRISE LTD

!"#"*"

/hic2en !asala!eat !asalaish !asala)egetable !asala#ambar !asala aram !asala

'(/H$*#

!ango pic2els

*imeish/arrot3itter gourdooseberry

$##$%T("* O(*#

3asil

/ardamom

/umin

/elery

/love

Davana

ennel

inger

*emongrass

T$" 'O:D$&

Herala coffee powder Orthodo- Tea

+"!

'ineapple +am!i-ed ruit +am

# "#8

'ineapple #,uash!ango #,uashOrange #,uash

!(N

&asam !i-'ic2le !i-

/M&&L 'O:D$

/oriander 'owderTurmeric powder'epper powder/umin 'owder/ardamom powder /hilli powder /huteny powdervinegar

"LM&)$D(/ '&ODM/T#

!as "yur Tea

!as #heethal Tea

!as reeshma Tea

)atha Tea

'itha Tea

HaphaTea

!asala Tea

91


43/97

PRICES OF PRODUCTS

'&ODM/T# :$( 8T !&'

#"!3"& 'O:D$& 01 ! 9.70!$"T !"#"*" 01 ! 51.11/8(/H$% !"#"*" 01 ! 51.11&"#"! !(N 01 ! 51.11#"!3"& 'O:D$& 511 ! 5>.70'(%"''*$ +"! 511 ! 5>.11

!"% O '(/H*$ 411 ! 0>.01'(%"''*$ '(/H*$ 411 ! >>.11/8(**L 'O:D$& 5H 99.70/O&("%D$& 'O:D$& 511 ! 55.10TM&!$&(/ 'O:D$& 511 ! 57.41

The reputed brands I!as #pices !as /urry powdersJ I!as /haayaJ have

emerged from the factory in the year 711


44/97


45/97

Department profile illustrates the functions and activities of different

departments in !"# $%T$&'&(#$# *TD. This also contains the present details of

different departments.

D"/'rt."nt'& 7't on

Departmentalization is the grouping together of similar and logically related

activities. "n organization consists of various departments. The relationship

between the persons in the department is specified by the department chart. $ach

and every department performs particular function which is necessary for the

smooth functioning of the organization. !as $nterprises *td has the following

Departments6

5. 8M!"% &$#OM&/$ D$'"&T!$%T

7. (%"%/$ D$'"&T!$%T

. $N'O&T D$'"&T!$%T

E. #L#T$!# D$'"&T!$%TF. #TO&$# D$'"&T!$%T

9


46/97

HUMAN RESOURCE DEPARTMENT

94


47/97

HUMAN RESOURCE DEPARTMENT

I8& Department@ as playing a major role in staffing training and helping to

manage people so that people and the organization are performing at ma-imum

capability in a highly fulfilling manner. The 8& Department is e-pected to provide

administrative support for management and employees and provide some counsel to

management in appropriate personnel actions. This assumes timely response to

employee re,uests for information and prompt filing of documents and preparation

of various 8& reports. The forward thin2ing human resource department is devoted

to providing effective policies procedures and people;friendly guidelines and

support within companies. "dditionally the human resource function serves to ma2e

sure that the company mission vision values or guiding principles the company

metrics and the factors that 2eep the company guided toward success are optimized.

8uman &esource is the bac2 bone of every organization

FUNCTIONS OF HR DEPARTMENT

The important 8& Department functions are the following6

90


48/97

'romotions

'osition classification and grading

#alary determination

'erformance appraisal review and processing'ersonnel data entry and records maintenance

/onsultation and advisory services to management and employees

'olicy development

Technical policy interpretation

3enefits

8ealth care insurance

*ife insuranceDisability insuranceTraining opportunities

OBJECTIVES OF H


49/97

departmentAs hiring manager for approval and selection contact the chosen

candidates to set up preliminary interviews and interview the candidates.

"lthough most interviews are with the hiring manager or their associates not

all applicants get to meet with the departmentAs hiring manager right away. (t is not

uncommon for a company to filter out those who fail to impress the 8& manager

first. or those select few who ma2e it through the 8& manager schedules

interviews between the departmentAs hiring manager and potential candidates and

follows up with the hiring process to establish the new hire with the company.

R"cru t."nt Proc"dur")

&ecruitment is only one of the steps in the selection process. )acancies

arising in an organization due to various reasons such as resignation termination

death employs promotion or transfer etc. have to be filled by recruitment and

selection.

1< D r"ct r"cru t."nt:

This method is used fre,uently for recruitment. The firm places jobs

advertisements in !alayalam $nglish news papers and T.) media and tries to attract

as much capable people from outside its company services P"n) on Sc6"."The scheme has been formulated for those employees who have retired from

their wor2.

!> M"d c'& n)ur'nc":

The employees are provided with medi;claim policy which gives free

medical insurance to the employee and hisCher family.

(> Tour) 'nd P cn c):Tours and picnics are conducting once in a year which increases the

motivation and initiatives of the employees in addition to the fair and just wages

incentive system.

99


52/97

,> C'nt""n %'c & t "):/anteen facilities are provided to all the employees.

-> Tr'n)/ort't onTransportation is provided to the employees to different destination points

and a very small marginal amount is deducted from their wages or salary.

0> Annu'& M"d c'& C6"c@8u/:The employees are provided with free annual medical chec2;up facilities.

> P"r)on'& Prot"ct #" E u /."nt):'ersonal 'rotective $,uipments li2e head covers and uniforms are also

provided to the wor2ers in the pac2ing section.

TRANSFER

$mployees are transferred to different departments on the basis of their

s2ills.

GRIEVANCE HANDLING

'roblems with employees arise occasionally in every business. Disciplinary

procedures are an aid to good management.

St'nd'rd Gr "#'nc" Proc"dur" 6

E./&o+"" * #") $r tt"n )t't"."nt o% *r "#'nc"8 The employee must give

an account of the grievance in a written statement.

E./&o+"r 'nd "./&o+"" .""t ; hold a meeting with the employee and if

relevant their colleagues. (nform the employee of any decision made and

give them the opportunity to appeal.

DISCIPLINARY PENALTY

!"# provides the wor2ers counselling or training to help resolve the matter

and apply a disciplinary penalty e.g demotion or dismissals (t includes the following

transfer them to another job

fine them e.g.by non;payment of bonuses

suspend them without pay ; this is not very common these days and means

that you lose the employeeAs services for a time

511


53/97

LABOUR RELATIONS

8ere relations between labours and management is good.

GENERAL HIERARCHY OF HUMAN RESOURCE DEPARTNENT

515

E ECUTIVEDIRECTOR

3O"&D O D(&$/TO

/8"(&!"%

!"%" (% D(&$/TO&

+O(%T !"%" (%D(&$/TO&

'$O%%$* !"%" $&

"//OM%T"%T

O (/$"##(#T"%T

$%$&"* !"%" $&=8&D?


54/97

FINANCE DEPARTMENT

517


55/97

FINANCE DEPARTMENT

inance is the life blood of business. inance Department consists of all the

managerial activity of raising funds and its effective utilization. Director of inance

is the head of !"#. 8e decides when and where to ac,uire funds and meet firms

needs. (n addition to this the finance department also loo2s into various things li2e

creation of budget for the coming year to record day today activities 2eeping

financial records ta- payments payment of cash for other purposes underta2e bill

payment etc.(t deals with the principles and methods of obtaining control money

from those who have saved it and of administrating it by those who control it. The

success of finance function depends on how finance is planned at the various levels

of administration under the management.

inancial management is that managerial activity which is concerned with

the planning and controlling of the firms financial resources. (t deals with finding

out various sources for raising funds for the company. The finance department of a

business ta2es responsibility for organising the financial and accounting affairs

including the preparation and presentation of appropriate accounts and the provision

of financial information for managers. The main areas covered by the financial

department of !"# includes 6

51


56/97

1< Boo@ @""/ n* /roc"dur"):

Heeping records of the purchases and sales made by a business as well as

capital spending. These records today are typically 2ept on computer files. 3ut we

still use the term ledger entries to refer to the days when all financial transactions

were carefully recorded in thic2 boo2s =ledgers?.

!< Cr"'t n* ' '&'nc" )6""t 'nd /ro% t 'nd &o)) 'ccount:

inancial statements need to be produced at given time intervals for e-ample

at the end of each financial year. Trial balances are e-tracted from the ledger entries

to create a 3alance #heet showing the assets and liabilities of a business at the year

end. (n addition records of purchases and sales are totalled up to create a 'rofit and

*oss ='K*? account.

(< Pro# d n* .'n'*"."nt n%or.'t on:

!anagers re,uire ongoing financial information to enable them to ma2e

better decisions. or e-ample they will want information about how much it costs to

produce a particular product or service in order to assess how much to produce and

whether it might be more worthwhile to switch to ma2ing an alternative product.

,< M'n'*"."nt o% $'*"):

The wages section of the finance department will be responsible for

calculating the wages and salaries of employees and organising the collection of

income ta- and national insurance for the (nland &evenue.

-< R' ) n* o% % n'nc":

The finance department will also be responsible for the technical details of

how a business raises finance e.g. through loans and the repayment of interest on

that finance. (n addition it will supervise the payment of dividends to shareholders.

ROLES OF FINANCE MANAGER

5. unds raising

7. unds allocation

514


57/97


58/97

(nvoicing preparation of e-port documents filing of various returns monitoring of

debtorspreparation of dayboo2 journals etc and 'repararion of final accounts

reports etc are the main duties in this section.

Msually the following documents are prepared for a e-port consignment.

a? (nvoice

b? 'ac2ing list

c? /ertificate of origin from /hamber of commerce

d? #hipping bill from customs

e? 8ealth certificate

f? 3ill of $-change

g? Other documents = as per *C/ or contract terms?

P&'nt't on D # ) on

"ccounts #ection of 'lantation Division is centralized and using

computerized environment for accounting all transactions in the estates. This section

is headed by "ccounts !anager having thorough e-perience in plantation accounts

and junior accountants office assistants are assisting him in accounting wor2s.

)erification of muster chits and muster rolls field reports preparation of wage

slips preparation of wages registers preparation of ' declarations and statements

updation of stoc2 registers.(nternal audits periodical chec2ing of stoc2s etc are

carried out in this division

BSNL D # ) on

The "ccounts #ection of 3#%* Division consists of an "ccountant data

entry operators and office assistants. #eparate cash boo2 day boo2 vouchers

receipts etc are 2eeping in the Division. This section handles the data entry wor2 of

connections preparation of documents for connections lists and statements stoc2

chec2ing cash receipts and payments ban2 transactions etc.

C'rd'.o. D # ) on

"ccounts section is liable to account all the transactions of /ardamom

Division. "ccounts manager is on the top. +unior accountants cler2 officeassistants etc are under him. The wor2s involved in this section are 3illing

51>


59/97

purchase entries stoc2 entries computer stoc2 updating finalisation of accounts

preparation of day boo2 2eeping vouchers receipts etc

CAPITAL STRUCTURE

The "uthorised /apital of the /ompany is &s.51 11 11 111C; =&s.Ten /rores

only? divided into 5 11 11 111 =One /rore? $,uity #hares of &s 51C; each.

GENERAL HIERARCHY OF FINANCE DEPARTMENT

51E

SHARE CAPITALY"'r A.ount711< 47009111

7114 F>71E111

7110 F>71E111

711> 997099E1

GENERAL MANAGER FINANCE>

F n'nc" contro&&"r F n'nc" M'n'*"r Int"rn'& Aud tor

8ead/ashier

"ccs.!gr"gri

"ccs!gr.

"uction

+unior /ashiers

+unior"ccountants

"udit"ssistants

Data $ntryOperators

Office "ssistants

"ccs!gr

!/

"ccs!gr

$-port

"ccs !gr='lantation?

"ccs!gr

=#pices?


60/97


61/97

BALANCE SHEET

MAS ENTERPRISES LIMITED? VANDANMEDU? IDU I DIST? ERALA

BALANCE SHEET

P'rt cu&'r) (185(85

(185(850

(185(85- (185(85, SOURCES OF FUNDS

#hare 8oldersA und6

#hare /apital 997099E1 F>71E111 F>71E111 47009111

&eserves and #urplus 7F9>0EE54 771541


62/97

is the depression in the /ardamom (ndustry. The price of /ardamom in 7117;14

season was around &s. F01 per Hg. 3ut the prices are slashed down by around >1

and reached an average price of &s.


63/97


64/97

of raw materials and component parts into finished products may be called

production

'roduction management refers to the application of management principles

to the production function in a factory. (n other words production management

involvement application of planning organizing directing and controlling to the

production process.

PRODUCTION PROCESS

!anufacturing section comprises of production activities of !/ division.

This is highly invested area of the Division. " modern factory with well established

production line hi;tech machineries pac2aging machines storages ,uality control

lab hygienic and clean highly s2illed labourers availability of raw materials

power and other infrastructures etc are some of the specialities of production. This

section co;ordinate all the activities involved in the production from the point of raw

materials to the point of finished goods.

actory manager is responsible for all production activities. 'roduction

supervisors foreman technician cum electrician and wor2ers are supporting him to

run the production line smoothly. One /hemist and her assistant are wor2ing in the

,uality control lab. They are analyzing each lots sample in the lab in order to 2eep

the ,uality of the product. urthermore it is 8"//' certified unit so the premises

are 2eeping very clean and in hygienic condition. "ll wor2ers have special uniform.

This unit is strictly following the conditions prescribed in 8"//' !anual.

'eriodically the samples from this factory are analyzing at #pices 3oards *ab.

The first step in production ta2es place both at )andanmedu and Theni where

the raw materials =chilly turmeric coriander? needed are purchased in bul2 are

cleaned roasted crushed powdered and pac2ed and dispatched to vandanmedu for

further pac2ing. The distribution is handled by the company itself.

!as $nterprises *td deals with production and pac2ing of curry powders

!asala instant pic2le powder and the processing of pic2les. The company at Theni

has a production capacity of around 71 tones per day. rom the production point of

view latest techni,ues are used in preparing powders. #tatutory ,uality parameters

are employed in every sphere of production. To ensure that the spices reach the

consumer in a fresh condition at a minimal cost the company follows international pac2ing standards to protect preserve and present its products. /ompany ta2e

557


65/97

special care in the production process. /ompanys products are ,uality chec2ed in

each of its production process. They are hygienically pac2ed to avoid all types of

contamination. /ompanys e-cellent ,uality and variety has made us one of the

most demanding company in the spice industry. They are accepted by a long list of

worldwide clients for ,uality and purity.This company is a fine blend of man and

machine. The in;house production department and ,uality department are e,uipped

with high;tech e,uipment to play best ,uality products well in time. They company

have our own pac2aging and distributing unit to offer our service according to the

volume of consumption and demand.

urther They have in their possession a well e,uipped chemical labortary

which has been approved by government of (ndia. /ommitted to spearhead the

industry with comprehensive range of (ndian masalas company rely on cutting

edge technology along with age;old techni,ues to blend traditional use with

contemporary usage. Dedicated towards offering provide cost effective solutions to

clients they ascertain to periodically review their machines and add new ones which

become instrumental in handling bul2 production deadlines within the stipulated

time frame. The company deals with the production and pac2ing of curry powders

masala instant pic2le powder and the processing of pic2le. or ensuring pure ,uality

and freshness the regular chec2ing of ,uality is maintained. or production and

,uality chec2ing imported machineries and e,uipments are used for proper ,uality

chec2ing. The ,uality is chec2ed in each stage of its production.

/ompanys infrastructure is divided into a range of departments with clearly

earmar2ed function such as6

/ultivation

De hus2ing

:innowing

rinding

&oasting

'ac2aging

rom production point of view trained staff and latest techni,ue are used in

preparing powders. 'rocedures li2e steam sterilization are followed to maintain

hygiene statutory ,uality parameters are employed in every sphere of production to

ensure that the spices reach the consumer in a fresh condition at a minimal cost.

55


66/97

The company follows (nternational #tandards for its production and pac2ing.

or bul2 pac2ing the )"//M;'"/ system is used where in products are pac2ed in

vacuum. Thus protecting the powders from fungal infection moisture o-idation etc.

or ensuring ,uality the company directly purchases the raw materials from

the farm. They will not ta2e any raw material that contains any type of impurity

content or ma2e any health problem to the users. The raw material is chec2ed with

the help of well developed uality.

GRADING

uality assurance of products starts from the raw material acceptance.

$-perts have been appointed to ensure the ,uality of products. "ll products are

prepared from carefully selected ,uality raw materials.

PRODUCTION PROCESS CHART

CRUSHING AND PO3DERING

Towards crushing and powdering the materials micro pulverizers and

hammer mills are used. These machines ensure more production and ,uality byretaining the freshness and taste of the products.

554

/hilli /oriandesTurmeric K #pices

/leaning Drying &oasting

'owdering!i-ing

'ac2ing

!ar2eting


67/97

COOLING

/ooling the rice powder should be done in a controlled environment. "

room is designed for a humidity free cool air. The hot product transferred from the

dryer is brought in to contact with cool dry air in this specially designed room. The

product will be ready for pac2ing within a span of 40 minutes.

(n ordinary production setup the cooling process will ta2e nearly 4 to >

hours. (f due to bad weather or such conditions the air is humid and the ,uality of

the powder will be adversely affected. There are the chances if germs and funguses

which attac2 the material under cooling. "s specially designed humidity free cooling

environment is used here the time of production is minimized and the ris2 of attac2

of foreign particles is eliminated.

CLEANING AND 3ASHING

*atest technology e,uipments have been installed to obtain speedy and

timely production. The rain washer machine that we have installed is made up of

stainless steel and capable of washing large ,uantity of rice with lesser time. (t

removes chass dust and other particles from the rice.

STEAMING

This process is intended to remove un;identified germs and to ensure the

softness for the final product. :ashed rice is being 2ept in the stainless steel

steaming chamber for


68/97

small pac2ets only.

=UALITY CIRCLES =C>

(t was ,uality circles which gave birth to T !. uality circles are a

voluntary group of employees whose assignment is to identify problems formulate

solutions and presently their results to the management with suggestions for

implementation. "lthough simple in concept successful implementation of ,uality

circle programmed re,uires a massive effort on the part of management. The support

structure usually consists of steering committee of top management officials

facilitators circle leaders and members.

TOTAL =UALITY MANAGEMENT T=M>

uality is considered a by;product of the manufacturing system that is each

individual process has some variation that will lead to the production of some

defective parts if the defective resulting rate is to high compared to established

,uality standards ,uality standards ,uality inspectors will identify and send them

for rewor2.

" more enlightened approach to ,uality emphasizes building ,uality in to the

product by studying and improving activities that effect ,uality from mar2etingthrough design to manufacturing. This new approach is referred to as Total uality

!anagement. (n !as $ntrprise *td point of view ,uality is very important that is

why they received many /ertificates for ,uality li2e ISO 45518!555 8azard

"nalysis /ritical /ontrol 'oint = HACCP ? and (#O 77111 etc. These certificates are

the symbol of total ,uality management. (t is a company where Total uality

!anagement is fully implemented.

PRODUCTION COST BUDGETING

'roduction cost budgeting is basically the planning process for a firmAs long

time production costs. (t is very important for a manufacturing firm because6

55>


69/97

(t helps in allocation of resources

(t helps in analyzing the profitability of the production activities

(t helps in analyzing the future cash flows from the production activities

GENERAL HIERARCHY OF PRODUCTION DEPARTMENT

3AREHOUSING

The company has an in plant warehouse and a field warehouse. (n in plant

warehouse the company stores the entire materials produced in the factory from the

55E

MANAGER FACTORY>

M"*(TL/O%T&O**$&

'&ODM/T(O%#M'$&)(#O

O&$!"%

T$/8%(/("%

:O&H$

/8$!(#T


70/97

in plant warehouse the materials are moved to the field warehouse from which the

materials move to the retailers producers retail chains and industrial sites.

STRUCTURE OF 3AREHOUSE

55F

!anufacturer

(n 'lant :arehouse

ield :are house

'roducers&etail /hains

(ndustrial #ites &etailers


71/97

MAR ETING DEPARTMENT

MAR ETING DEPARTMENT

559


72/97

The mar2eting management process involves developing objectives that

promote the long;term competitive advantage of a firm. The first step in the

mar2eting management process is to develop the firmAs overall strategic plan. The

second step is to establish mar2eting strategies that support the firmAs overall

strategic objectives. *astly a mar2eting plan is developed for each product.The

mar2eting e-perts are fre,uently studying the mar2et changes competitors

strategies etc and informing the mar2et condition to the management at right time to

ta2e right decision.

RESPONSIBILITIES

3road responsibilities of !ar2eting Department6

5. ocus on the /ustomer

7. !onitor the /ompetition

. /ommunicate (nternally

E. !anage a 3udget

F. Mnderstand the &O(

9. #et the #trategy 'lan the "ttac2 and $-ecute

MAR ETING SECTION OF DIVISIONS

A*r 'nd Auct on d # ) on

The !ar2eting Department of "gri Division is a strong networ2 with

talented sales personnel. !ar2eting !anger is at the top of this section. There is a

strong group of mar2eting team behind him to boost up the sales. $ach sales

e-ecutive has to report to his "rea #ales !anager. The mar2eting team is the bac2

bone of the agri division. The chain of branches agencies and dealers help the

division to sell the products easily and ,uic2ly. !edia advertisements are also

enhancing the mar2eting strategies.

(n !ar2eting department of "uction Division there is a special mar2eting

team for canvassing the planters.

571


73/97

FMCG D # ) on

" team of 54 sales e-ecutives under the control of !ar2eting !anager are

behind the growth of this division. The mar2ets of !/ products of the company

not only cover the local mar2ets but also national and international mar2ets. The

turnover this division is increasing drastically every year.$ven if the competition in

mar2et is very tuff the /ompany widens its mar2et. %ow one dealer I!Cs "mar

"genciesI is the all Herala dealer of I'"*"TJ brand. The company has direct root

sales besides the sales to dealers.

BSNL D # ) on

!ar2eting #ection of 3#%* Division consists of sales e-ecutives and a

!ar2eting manager. These sections mainly concentrate on sales of 3#%* products

or services. (t is also an effective advertising tool for mar2eting other products of the

/ompany. Technical services are providing by the mar2eting team The group

directly distributes the products to retailers in Herala. The company has its own

vehicles. The companys own vehicle senior sales e-ecutive sales e-ecutive sales

assistant drivers do the wor2.

The various sales techni,ues consist of6;

&oute #ales

actory resh Outlet

(nter /ompany #ales

$-port #ales

PROMOTION TOOLS

enerally major sales promotion tools are used to promote sale of a

product .!ajor #ales 'romotion tools of !"# are6

5. S'./&":

" small amount of a product offered to consumers for trail.

7. Cou/on:

575


74/97

/ertificate that gives buyers a saving when they purchase a specified

products.


75/97

:ith an aim to 2eep valuable clients satisfied they ma2e sure that their

comprehensive range is processed using optimum ,uality raw material sourced from

our own farms. These are then grounded finely and pac2aged in airtight duple-

bo-es to retain their aroma and freshness with a clear mention of the nutritional

content. They ensure to offer customized solutions as per the re,uirements provided

by their clients. urther !"# have a team of customer care e-ecutives who lend a

patient ear to customer feedbac2s as well as complaints. $ffective customers

communication channels were established related to products and services

information en,uiries contracts and customers feedbac2 including customers

complaints. To ensure customer satisfaction company6

'rovide products and services that meet international standard.

/ontinue ongoing dialogue with customers to determine needs.

/ontinually improve products and services ,uality.

/ontinually improve business systems so they are more responsive to

customer needs.

COMPETITORS

")T'OO+"!$*"!3&"8!(%

%(&"'"&"

MAR ETING APPROACH

#pea2ing about the companys customer friendly mar2eting approach IThey

have various customer oriented programmes where the customer decides the

advantages of products over other competitors.

STRATEGY

"t present the company has got a big mar2et share in Herala and a

comparatively good portion in other states and abroad. (t is already playing as a

!ar2et leader in selected 'roducts. The main strategies are6

&apid penetration strategy

'rompt supply

57


76/97

The main benefits of strategy of !"# are the following6

!ore thrust on ,ualityMn;matched taste(nnovative methods of production:ide product range/ustomer oriented8igh margin to Dealers!ore advertisementTraditional proportion/onsumer satisfaction surveys/redit facilities for dealers

#pot delivery3ul2 purchase benefits

574


77/97

PURCHASE DEPARTMENT

PURCHASE DEPARTMENT

The purchasing department will be responsible for providing the materials

components and e,uipment re,uired to 2eep the production process running

570


78/97

smoothly. The 'urchasing Department processes all the re,uests for materials and

items re,uired for the 'roduction.

'erformance of a manufacturing firm always depends on the efficiency of its

purchase department. The various raw materials need for production is purchased by

this department. (f the materials are purchased at right time at the right ,uality from

the right suppliers it results in production of materials as per the re,uest of inventory

control section.

DIVISION OF PURCHASE

(n !"# the purchase can be done in five small divisions. The purchase

Department is divided into small groups because of convenience. The divisions in purchase department is given below6

5. 'ac2ing division

'ac2ing division mainly deals with purchase of pac2ing materials.

7. &aw materials division

The raw materials for production are purchased by this department.

The rawmaterials are purchased from Theni Tamil %adu


79/97

i-ed asset are also purchased by corporate purchase department.

OBJECTIVES OF PURCHASE DEPARTMENT

$ffective efficient economical purchasing support

$thical conduct

$liminate waste fraud K abuse

!a-imize competition

$conomic ,uality of purchased materials supplies K services

$conomic delivery of purchased materials

$ffective planning

$ffective controls

$ffective public relations

GENERAL HIERARCHY OF PURCHASE DEPARTMENT

" 'urchasing !anager is an employee within a company business or other

organization who is responsible at some level for buying or approving the

ac,uisition of goods and services needed by the company. " 'urchasing !anager

57E

GENERAL MANAGER

PURCHASE MANAGER

ASST PURCHASE MANAGER

OFFICE STAFF


80/97

may oversee the ac,uisition of materials needed for production general supplies for

offices and facilities e,uipment or construction contracts.

RESPONSABILITIES OF PURCHASE MANAGER

" 'urchasing !anagerAs responsibilities may include6

#ee2ing reliable vendors or suppliers to provide ,uality goods at

reasonable pricesreviewing technical specifications for raw materials components

e,uipment or buildings

determining ,uantity and timing of deliveriesThe purchase of items =3lac2 pepper /ardamom /oriander etc? are ta2en

care of by this department. (tems such as chilly powder turmeric powder and oilier

spices are received by this department as per stoc2 transfer from Theni Tamilnadu.

The purchase department is authorized to do.

5? &egistration of potential suppliers.

7? $valuation and development of e-isting suppliers.

57F


81/97

E PORT DEPARTMENT

E PORT DEPARTMENT

579


82/97

!as $nterprises *imited is the leading e-porter of spices especially (ndian

reen /ardamom. The /ompany e-ported /ardamom =different grades? 3lac2

pepper reen pepper /urrypowders !asalas #pices arcinia Different types of

pic2les !asala Tea "yurvedic tea (ndian Tea etc to #audi "rabia M"$ Huwait

3ahrain atar +apan #weden "ustria )ietnam.

$-port Division started its activities in the year 599F with first e-port

consignment made to +apan. (t was a turning point of the /ompany. $-port division

lifted up the /ompanys name and reputation internationally. /ardamom was the

material in the first consignment to +apan. Then the division drastically developed

and now become a main division of the /ompany. The e-port consignments are

complicated than local sales. The ris2 involved in the e-port consignments are more.

/ommercial ris2s and political ris2s are involved in e-port consignments.

%ow $-port /redit uarantee /orporation gives protection and guarantee on

payment to e-porters. The $-port license from #pices 3oard and (mport $-port

/ode =($ /ode? from +D T are essential for e-porting the spices. !oreover this

the /ompany hold I#pice 8ouseJ certificate from the #pices 3oard. 8"//'

certificate is issued to the /ardamom rading and /leaning #ection of $-port

Division. This unit is the first unit in (ndia who secured the 8"//' certificate. The

following are the $-port rades of /ardamom =according to its size?

5? #uper +umbo or Fmm and above

7? " $3="lleppey reen $-tra 3old? B Emm and "bove


83/97

"ccounts #ection.

The following table shows the turnover ,uantity of cardamom e-ported to

various countries for the last 0 years

E9/ort o% C'rd'.o. d %%"r"nt *r'd")> Y"'r $ )"

Lear uantity $-ported =in Hgs?

7115;7117 5 11 EE77117;711< 5 9> 540

711 99 011

In#"ntor+ 'nd D")/'tc6 S"ct on o% E9/ort D"/'rt."nt

'urchase of material from the auctions planters and dealers cleaning and

grading pac2ing storing etc are the activities of this section. There are two cleaning

and grading centres B one at )andanmedu and other at 3odinay22annur B under this

section. 3oth grading centres are well e,uipped with modern e,uipments pac2aging

machines blowers etc. !anager=$-ports? are liable for this sections functions.

:hen a foreign order received the process of arranging the materials and pac2ingmaterials cleaning and grading =if necessary? pac2ing preparation of dispatch

documents etc are carried out in this section. The physical stoc2 registers bin cards

stoc2 issue note gate pass delivery notes and declarations etc are maintaining in

each grading centres. /ompanys all e-ports are made through /ochin 'ort or

"irport. The consignment is either by sea or by air as per the direction from the

buyer. ( O method is using for valuing e-port closing stoc2. /losing stoc2

verifications are held twice in a year.

Account) S"ct on o% E9/ort D"/'rt."nt

"ccounts section is headed by "ccounts !anager and supported by +unior

"ccountants Data $ntry operators and other staff. (nvo

os on massenterprices- spices.doc

Documents