A study onand Awareness of Nirapara Sortex rice , Okkal

A STUDY OF THE EFFECTIVENESS OF DISTRIBUTION CHANNEL OF NIRAPARA

CHAPTER 1 INTRODUCTION

INTRODUCTION The world of business is changing very fast. Therefore the theoretical knowledge alone will not fulfill the needs of business school students. As a management student it is very important to know the activities of any business and also should be know about his specialized area. In view of this fact the scheme of our MBA course provide an opportunity to expose the student to an industry and its operational condition.

The topic of the study is effectiveness of distribution channel of NIRAPARA to identify a preference of Nirapara Rice products with respect to its competitors. This study is conducted to find the effectiveness of distribution channel of the product. The effectiveness of distribution channel study will help the company in taking decisions regarding the promotional campaigns, advertisement strategies and positioning strategies to build more brand distribution strategy among the consumers to compete with big giants in FMCG industry. The task of this study is to deliver a central idea about the company and the offering to the target market. The company discovers different needs and groups in the market place and introduces the product which satisfies these needs. This study helps to find the targets of those needs and groups that it can satisfy in a superior way or not. It is also helpful to find the position of offering, whether the target recognizes the distinctive offering and image. The product should be positioned well and the end result of it is the successful creation of a customer focused value proposition..

OBJECTIVES OF STUDY

PRIMARY OBJECTIVE To analyze the effectiveness of Brand to create a preference of Nirapara products with respect to its competitor.

SECONDARY OBJECTIVE

To understand the role of effectiveness of distribution channel on sales of Nirapara rice products. To identify the competition from the market. To provide suggestions to improve effectiveness of distribution channel.RATIONALE OF STUDYThe study is about effectiveness of distribution channel to create a preference of Nirapara rice products with respect to its competitor. The ethics and effectiveness of effectiveness of distribution channel is highly controversial subject. Measuring of effectiveness of distribution channel possess many challenging questions to those who create, sell and utilize distribution channel. It is a widely accepted fact that distribution is a great force linking the product and consumers.

LIMITATIONS Due to lack of time the area of study limited to PATHANAMTHITTA District. The validity of result depending on information given by respondents. The universe was very large.

CHAPTER 2

REVIEW OF LITERATURE

LITERATURE REVIEW

Channel of DistributionMeans used to transfer merchandise from the manufacturer to the end user. Intermediaries in the channel are called middlemen. Those who actually take title to the merchandise and resell the goods are merchant middlemen. Those who act as Broker but do not take title are agent middlemen. Merchant middlemen include wholesalers and retailers. Agent middlemen include Manufacturer's Representatives, brokers, and sales agents.Whether these exchange processes occur between manufacturers and their suppliers, retailers and consumers, or in some other buyer-seller relationship, marketing channels offer an important way to build competitive advantages in today's global marketplace. This is so for two major reasons: Distribution strategy lies at the core of all successful market entry and expansion strategies. The globalization of manufacturing and marketing requires the development of exchange relationships to govern the movement of goods and services. New technologies are creating real-time (parallel) information exchange and reducing cycle times and inventories. Take as an example Dell Computer, which produces on-command, customized computers to satisfy individual customer preferences. At the same time, Dell is able to align its need for material inputs (such as chips) with customer demand for its computers. Dell uses just-in-time production capabilities. Internet-based organizations now compete vigorously with traditional suppliers, manufacturers, wholesalers, and retailers.Marketing channels always emerge from the demands of a marketplace. However, markets and their needs are always changing. It's true, then, that marketing channels operate in a state of continuous evolution and transformation. Channels of distribution must constantly adapt in response to changes in the global marketplace. This new selling orientation inspired the development of new intermediaries as manufacturers sought new ways to expand market coverage to an increasingly mobile population. The selling orientation required that more intimate access be established to a now more diversified marketplace. In response, wholesale and retail intermediaries evolved to reach consumers living in rural areas, newly emerging suburbs and densely populated urban centers.Relationship marketing is driven by two principles having particular relevance to marketing channel strategy: Long-term, ongoing relationships between channel members are cost-effective. (Attracting new customers costs more than ten times more than retaining existing customers.) The interactive dialogue between providers and users of goods and services is based on mutual trust.

The Role of IntermediariesThis progression from a production to a relationship orientation allowed many new channel intermediaries to emerge because they created new customer values. Intermediaries provide many utilities to customers.. Two principal tasks associated with the sorting function: Categorizing. At some point in every channel, large amounts of heterogeneous supplies have to be converted into smaller homogeneous categories. Breaking bulk. Producers want to produce in bulk quantities. Thus, it is necessary for intermediaries to break homogeneous lots into smaller units.The role intermediaries play in building customer confidence is their most overlooked function. Several types of risks are associated with exchanges in channels of distribution, including need uncertainty, market uncertainty, and transaction uncertainty. Intermediaries create value by reducing these risks.

CHAPTER 3 RESEARCH METHODOLOGY

RESEARCH METHODOLOGYResearch in common parlance refers to a search for knowledge. One can also define research as scientific search for potential information on a specific topic.

HYPOTHESIS

A hypothesis generally means a mere assumption or supposition to be proved or disproved. A researcher conducting this research has to start somewhere. This point of start is called hypothesis. In developing hypothesis, the first task is to set up two statements. The first one is null hypothesis and the second one is the alternative hypothesis. +ve attitude is denoted by H0 and ve attitude is denoted by H1.

H0- DISTRIBUTION CHANEL and Satisfaction level of NIRAPARA rice products is independent.H1- DISTRIBUTION CHANEL and Satisfaction level of NIRAPARA rice products is dependent.

RESEARCH DESIGNIn this research, the researcher used descriptive research design. Descriptive research is used to obtain information concerning the Effectiveness of DISTRIBUTION CHANEL to create a preference of Nirapara products with respect to its competitor. The methods adopted include personal interviews, observation and the use of a research instrument i.e. a structured questionnaire.

DATA COLLECTION METHODSMethodology is the way and design to conduct the study. An important aspect of methodology is data collection. There are two types of data:

PRIMARY DATA SECONDARY DATA

PRIMARY DATA1. Questionnaire: - the questionnaire is the medium for obtaining information by a list of well framed questions deemed to be answered by the respondents.

SECONDARY DATA1. Company manuals2. Journals3. Magazines4. Internet

SAMPLING DESIGN

A sample design refers to the technique or procedure which the researcher would adopt in selecting same sampling units from the population for drawing inferences about the population. If proper procedure is followed to select the sample, definitely the sample will give all dependable information. Due to the lack of time constraint it is difficult to consider the overall population with respect to the study. Therefore, we select a sample from the population and makes studies about the population by studying these samples.

Sampling is necessary for reasons of feasibility. Samples can increase accuracy. Methods of selecting samples are random sampling, stratified random sampling, systematic random sampling, cluster sampling etc. Random sampling is the process of drawing a sample from a population in such a way that each member of the population has an equal chance of being selected sample. For the present study, convenience sampling technique is used.

POPULATIONPopulation or universe is the aggregate of all units possessing certain characteristics on which the sample seeks to draw inferences. Population of the study is outlets of Nirapara products around 420.

SIMPLE RANDOM SAMPLINGThis type of sampling is also known as probability sampling, where each and every item in the population has an equal chance of inclusion. This sampling has been used because, the population is infinite.

Researcher made the research in PATHANAMTHITTA and the population is infinite. This is the population on which the researcher has to make research. But it is not possible to do a census inquiring method because of time limitations. So sampling method is used for making the study.

SAMPLE SIZEIn this study sample size chosen is 100.

SAMPLING PROCEDURE

Sample size was selected using simple random sampling method.

CONDUCTING METHOD

Questionnaire was based as a research instrument whiles this data. Questionnaire is the most common instrument in collecting primary data. It consists of a set of questions presented to customers for the answers.

PRESENTATION OF DATA

Simple percentage sampling method was used for analysis of data. Table, bar diagram and Pie Chart was used to present the data.

VARIABLES UNDER STUDYTHERE ARE TWO TYPES OF VARIABLES:

DEPENDENT VARIABLE INDEPENDENT VARIABLE

DEPENDENT VARIABLE EFFECTIVENES OF DISTRIBUTION CHANEL and saLES to create a preference of Nirapara rice products with respect to its competitor.

INDEPENDENT VARIABLE Quality of Product Brand Image Price Customer Satisfaction Availability Offer Past Experience Media

CHAPTER 4 INDUSTRY AND COMPANY PROFILE

INTRODUCTION TO INDUSTRY PROFILE FMCG has a long history however the Indian FMCG industry began to take shape only during the last fifty year. Today the Indian FMCG industry continues to suffer from a definitional dilemma. In fact the industry is yet to crystallize. Interims of definition and market size, among other the FMCG sector is a corner tone of the Indian economy. This sector, can drive growth, enhance quality of life create jobs and support penetration of technology.

The Indian FMCG industry was also witnessing significant change through the 1990s. Many leading FMCG players such as India Ltd. have been facing several problems on account of increased competition from sellers and regional players and from slow growth across its various product categories. As a result, many of these companies were forced to recoup their product, marketing, distribution and customer service strategies to strengthen their position in the market.

The realization of the customer growing awareness and the need to meet changing requirements and preferences, on account of changing lifecycle also contributed to the formation of customer strategies.

TYPICAL CHARACTERSTICS OF FMCG PRODUCTS Individual products are of small value. But all FMCG products put together account for a significant part of the consumers budget. The consumer keeps limited inventory of these products and prefers to purchase them frequently as and when required. Many of these products are perishable. The consumer spends little time on the purchase decision. Rarely does he/she look for technical specifications (in contrast to industrial goods). Brand loyalties or recommendations of reliable retailer, dealers help to arrive purchase decision. Trial of a new product i.e. Brand.

The FMCG sector also received a boost by government led initiatives in the 2003 budget such as the seating upon of excise of free zone in various parts of the country that witnessed firm moving away from outstanding the manufacturing by investing in the zone.

FUTURE STATUS OF THE INDUSTRY

Assoc Ham has indicated that FMCG industry will face challenges. Prices are expected to have impact on profits like never before. The FMCG sector which was beginning to diversely affected to as the FMCG as it did not exceed 1.5% of growth rate in the part four years began to witness a solve revival in 2015.

INTRODUCTION TO THE INDUSTRY

Rice IndustryRice is a grain belonging to the grass family. It is related to other grass plants such as wheat, oats and Barley which produce grain for food and are known as cereals. Rice refers to two species (Oryzasativa, Andoryza Glaberrima) of grass, native to tropical and sub tropical southeastern Asia and to Africa, which together provide more than one fifth of the calories consumed by humans. The plant, which needs both warmth and moisture to grow, measures 2-6 feet tall and has long, flat pointed leaves and stalk bearing flowers which produce the grain known as rice. Rice is rich in genetic diversity, which thousands of varieties grown through out the world. Throughout history rice has been one of mans most important foods. Today, this unique grain helps to sustain two-thirds of the worlds population. It is life to thousands of millions of people. It is deeply embedded in the cultural heritage of their societies. About four fifths of the worlds rice are produces by small scale farmers and are consumed locally. Rice cultivation is the principal activity and source of income for about 100 million houses holds in Asia and Africa.

Some important facts about rice in India scenarios areas:-

The potential to export is the main source of income for families in India. Farms cover over-half land and almost three-quarters of that land is used to grow the two major grains: rice and wheat. India is the second leading producer of rice produced in the world produced only by China, Indias annual rice production is around 85-90 million tons. Annual consumption is around 85 million tons. In Asia rice is cultivated in seasons, winter and summer.

Food Corporation of India purchases around 20% to 25% of the total production in the country both under levy from the rice and paddy from he farmers at minimum support prices announced by the government.

CURRENT SCENARIO

Food is one of the basic necessities of human beings. No one in the world can survive without food. Rice is one of the important food items of the people in the world. It is obtained by processing paddy. Rice is intimately involved in the culture as well as the food ways and economy of many societies. More than half of the population of the world depends upon rice for their daily nutrition. At present there are 111 paddy-cultivating countries in the world including India. Almost 90% of world rice grows in Asian countries. China, Thailand, India, Japan, Bangladesh and Indonesia etc are the leading producers of rice in the world. China is the largest producer of the rice in the world. India is the major producer of agro commodities in the world. Since independence the food grain portion in India has increased almost four-time. India rank first in the production of tea and sugarcane, and second in rice, milk, and vegetable production. Rice is the staple food of India and more than 90% of the people in southern part of India consume rice as their ma in food.WORLD WIDE RICE PRODUCTION

Rice cultivation is the principal activity and source of income for millions of households around the globe, and several countries of Asia and Africa are highly dependent on rice as a source of foreign exchange earnings and government revenue. Rice is the second largest produced cereal in the world. At the beginning of the 1990s, annual production was around 350 million tons and by the end of the century it had reached 410 million tons.

Production is geographically concentrated in Western and Eastern Asia. Asia is the biggest rice producer, accounting for 90% of the world's production and consumption of rice. China and India, which account for more than one-third of global population supply over half of the world's rice. Brazil is the most important non-Asian producer, followed by the United States. Italy ranks first in Europe. The world's major rice-producing countries - including the two most populous nations, China and India - have emphasized the importance of continuing to develop new rice varieties to guarantee Asia's food security and support the region's economic development.

Today, rice is grown and harvested on every continent except Antarctica, where conditions make its growth impossible. The majority of all rice produced comes from India, China, Japan, Indonesia, Thailand, Burma, and Bangladesh. Asian farmers still account for 92-percent of the world's total rice production. More than 550 million tons of rice is produced annually around the globe. In the United States, farmers have been successfully harvesting rice for more than 300 years. There are thousands of strains of rice today, including those grown in the wild and those which are cultivated as a crop.

RICE IN INDIA

Rice is grown in many regions across India. For about 65% of the people living in India, rice is a staple food for them. Rice is essential to life in India. It is a part of nearly every meal, and it is grown on a majority of the rural farms. Some important facts about rice in Indian Scenario are as: Agriculture is the main source of income for families in India. Farms cover over half the land and almost three-quarters of that land is used to grow the two major grains: rice and wheat. India is the second leading producer of rice in the entire world, preceded only by China. India's annual rice production is around 85-90 million tons. Annual consumption, is around 85 million tons. In India, Rice is cultivated in both seasons - Winter and Summer. West Bengal, Uttar Pradesh, Andhra Pradesh, Punjab, Tamil Nadu, Bihar, Orissa, Assam, Karnataka and Haryana are the major producing states. More than 50% of total production comes from the first four states. Food Corporation of India purchases around 20 to 25% of the total rice production in the country both under levy from the rice mills and directly in the form of paddy from the farmers at Minimum Support Prices announced by the Govt. More than 4000 varieties of rice are grown in India. India is the world's largest exporter of Basmati rice to Saudi Arabia and other Middle East Countries, Europe, and the United States. India has the potential to export one million tons of Basmati rice. Major destinations for Indian non-basmati, white/parboiled rice are Bangladesh, Indonesia, Philippines, Nigeria, South Africa, Ivory Coast, and other African countries.

PRODUCTION OF RICE IN KERALA

Rice is the main food of Kerala. At least in every Kerala household rice is being consumed twice a day. The average production of paddy in Kerala is established by the Govt. at 20 Lakhs MT, out of which 30% is being produced in Kuttanad and Palakkad.

With the increase in output of paddy in these districts there happened progressive growth in the establishment of paddy processing mills or rice mills in these areas. There are about 170 modern rice mills in Kerala out of which 83 major rice mills are located in Ernakulam district. Aluva, Kalady, Koovapady panchayath tops in the matter of having more rice mill units. There are about 41 rice mills running as small-scale industry units in these areas.

PADDY CULTIVATION IN KERALA

Paddy is cultivated in almost all districts of Kerala. Rice production has experienced continuous decline in area over 2 decades. Rice Production touched around 14 lakh tones in the mid seventies. Even at its peak level internal production was hardly sufficient to meet 50% of states requirement. Consequent to the enormous pressure, where high value crops like Coconut, Banana, Pineapple and Rubber have exerted, area under paddy has declined from its peak coverage of 8.81 lakh hectares in mid seventies to 3050 hectares in 1999-2000.

The production of rice is declining every year. This itself is an indication of the problems faced by the cultivators of Kerala. If proper measures are not being taken to overcome this situation, then this sector will be abolished from the state within no time. The main problems concerning these cultivators are high cost of cultivation and less return for their products; the products from other states are also affecting them adversely.

The following table shows the trends in area under paddy cultivation in Kerala from 1991-1992 to 1999-2000. In the table the production of rice is declining every year.

In Kerala rice is considered as the best food for Keralites. Government estimates the average annual production of paddy in Kerala. at 20 lakh metric tones. In this Kuttanad and Palakkad alone produces 30% of the annual production. Paddy cultivation in Kerala alone has its own contribution with 26% of cropped area. It works out to more than 99% of the production of cereals and 91.1% of the seasonal crops in the State. But in the recent years many small cultivators who has land less than 1 acre has stopped production of rice due to rise in cost of cultivation and less profit.

COMPANY PROFILE

COMPANY PROFILEK.K.R Groupwas set up in 1976 by Mr. K.K. Karnan, a man who set out with the vision to bring quality rice into the traditional homes of Kerala in South India. A venture which started out with traditional method of boiling, sun drying and milling, grew into one of the most modern rice processing houses in India with the latest world-Class technology today. KKR Mills boasts of a state- of the-art plant with the highest levels of technology in the world, ensuring products that meet the most stringent quality and hygienic standards.TheK.K.R Group is now all set to become a name to reckon within foods. The group has plans to set up a food park with facilities to process and manufacture a wide range of food products like spices, pickles and other products for world markets.The factory of KKR Mills is located in the green, pollution-free Okkal Township, near Kochi in Kerala in South India. This facility is equipped with the latest technology in the world for every aspect of processing of paddy-right from destoning, cleaning, drying, de-husking, bran-removal, polishing and finally sorting. This infrastructure of around 25 crore of rupees in one of the largest in India.KKR Mills is the only rice mill in South India to use the Z-sortex machine capable of optical inspection for quality control. This machine scans every grain of rice and removes discolored, broken and immature rice, ensuring that only rice that meets the specification calibrated in the computer is selected for packaging. The result - beautiful rice of even size, color and bran that is a feast for the eyes and a wholesome meal.Nirapara - the brand name in which KKR Mills markets rice, is today the largest selling brand in Kerala and has become a household name.The KKR Group is now all set to become a name to reckon within foods. The group has plans to set up a food park with facilities to process and manufacture a wide range of food products like spices, pickles and other products for world markets.Present Status of the IndustryToday the production of milled rice average 698 billion pounds (355 million kilograms) every year. Milling is the process of removing the layers of kernel and adding a coat of glucose and tale for glossy finish. The process rice contains about 8% proteins and small amounts of facts. In India the main rice producing states are Kerala, Tamil Nadu and Andhra Pradesh etc. There are various varieties of rice available like Matta, Vadi, Jyothi, Karanthi etc. At present there are 3 paddy cultivating countries in the world including India. Almost 90% of the world rice grows in Asian countries. China, India, Japan, Bangladesh and Indonesia etc are the leading producers of rice in the world china, the largest producer of the rice in the world. Rice is one of the important food items of the people in the world. The average production of Kerala is estimated by Government at 20 lakhs MT out of which 30% is being produced in Kuttanadu and Palakkadu. There are about 155 modern rice mills in Kerala and out of which 70 majority of rice mill located in Ernakulam district, Aluva.Food is one of the basis necessities of human being no.1 the world can survive without food. Rice items of the people in the world. It is obtained by processing paddy. People of Kerala mainly depend upon rice for their daily meals. In he case of productivity also Kerala contributes a major part of Indian economy.FUTURE SCOPE OF THE INDUSTRYIn western countries rice is used primarily in breakfast meals after native to potatoes. It is used not only as grain but in other forms as well East Asian people grind it into flour for rice cakes and pastry. The Japanese ferment the grain to make cakes a strong rice bear in china and India rice appears in many processed food including certain breakfast cereals, paddy food, snack foods, frozen foods and flour rice is an excellent source 43 MT of Carbo Hydrates, nourishing substance that provide the body with energy. People of Kerala mainly depend upon rice for their daily meals. Most of the South Indias daily means is rice therefore vast future in industry.

OBJECTIVES OF THE COMPANY To stimulate consumer to make purchase. To introduce new product. To encourage existing customer to buy more. To be more competitive in the market. To create more sales in the off season. To promote export business. To introduce quality control technique for improving the quality of product. To provide service to society through Janaseva.ECONOMIC OBJECTIVES Increase profit. Decrease cost. Production of goods and services. Creating more customers. Innovations.SOCIAL OBJECTIVES Quality goods and services. Reasonable Price. Provision of employment. Utilization of resources properly. Welfare of the employees.

EXPORTSThe KKR group are mainly involved in the manufacture of quality rice and rice products. The products are sold under the brand name NIRAPARA. The capacity of the plants of the KKR group is 225 MT per day.NIRAPARA rice and rice products are exported to UAE, USA, Canada, UK, Switzerland, France, Australia, New Zealand, Singapore etc

MANUFACTURINGThe factory of KKR Mills is located in the green, pollution-free Okkal Township, near Kochi in Kerala in South India. This facility is equipped with the latest technology in the world for every aspect of processing of paddy-right from destoning, cleaning, drying, de-husking, bran-removal, polishing and finally sorting. This infrastructure of around 25 crore of rupees in one of the largest in India.KKR Mills is the only rice mill in South India to use the Z-sortex machine capable of optical inspection for quality control. This machine scans every grain of rice and removes discolored, broken and immature rice, ensuring that only rice that meets the specification calibrated in the computer is selected for packaging. The result - beautiful rice of even size, color and bran that is a feast for the eyes and a wholesome meal.

KKR GROUP OF COMPANIES S.N.Rice Mills KKR Mills KKR Flour Mills KKR Agro Mills Pvt.Ltd. KKR Food Products S.N. Agro Products S.N.Tile Works Five Star Metals Pvt Ltd. KKR Products&Marketing Pvt.Ltd. Lotus Rural Development Society KKB Fencing Co. LLC, Dubai, UAE Bik -Maark International Marketing (P) Ltd. Bik -Maark Builders & Realtors (P) Ltd.MANAGING DIRECTOR- Mr. K.K. KarnanBOARD OF DIRECTORS: Mr. K.K. KarnanMr. Biju KarnanMrs. Ammini Karnan

CAPITAL OF THE COMPANY ( Financial Highlights)This mill has a capital of Rs. 130 crores in 2010.

PRODUCTION UNIT

PRODUCTION UNIT

OKKAL CHELAMATTAM

The Nirapara rice mills consist of 2 production units. Two units are related to rice and 1 unit is powder items. Both are situated in Kalady.

ORGANIZATION STRUCTURE

CHAIRMAN

SupervisorLab Assist.ProductionVehiclesDriverPurchaseAssistantExport AssistantQuality ChemistMicro BiologistHUMAN RESOURCE DEPARTMENTPRESIDENT VICE CHAIRMAN

AccountFinanceQC DeptExportMarketing

Asst. ManagerCost AccountSthCentralNorth

Asst. MgrAsst.MgrAsst.MgrFood & RiceAccount

OperatorsWorkers

TSMTSMTSMSr. Accountant

CashierHelpersAccountant

TSETSETSEAccount

*TSM- Territory Sales Manager *TSE- Territory Sales ExecutiveData EntryBank Asst.

PRODUCT PROFILE

PRODUCT MIX

PRODUCTS Rice Rice Flours Wheat Flours Spices Pickles

PRODUCT LINEThe KKR Group is now all set to become a name to reckon within foods. The group has plans to set up a food park with facilities to process and manufacture a wide range of food products like spices, pickles and other products for world markets.A. RiceSingle Matta RiceIdli Rice

Rose Matta RiceJyothi Rice

Payasam RiceJaya Rice

Matta Broken RiceCherumani Rice

Ponni RiceVita Rice.

B. Rice Flours Idly Powder Appam/Idiyappam Powder Dosa Powder Chemba Puttu Powder Puttu Powder (White) Pathiri Powder Rice Powder

C. Wheat Flours Broken Wheat RavaD. Spices Red Chilli Powder Chicken Masala Coriander Powder Fish Masala Turmeric Powder Meat Masala Sambar Powder Curry Powder Rasam Powder PicklePowder Black Pepper Powder Garam MasalaE. Pickles Ginger Pickle Garlic Pickle Mango Pickle Kadumanga Pickle Goose Berry Hot Time Bitter Ground While Line Mixed Vegetable Vadukpuli Line Wild Mango Irumbenpuli(Karam Bula) Hot & Sweet Mango Tindra Pickle Lololica Coconut Chutney Sweet 17 Coconut Chutney Powder Promose Chutney Powder Idli Chutney Powder

MARKET SHAREOut of the total sales, 95 % in Kerala and in India 75%. Export is about 65%.COMPETITORS Double Horse Rice 10% Periyar Rice- 5% Pavizham Rice- 10% Nirapara Rice- 75%

FUTURE PLANThe future plan of the company is that they are intended to making new nutritious food for children and old age people and also special healthy food product for youth their motive is sale of these product in out of India hence they prepared to export these items in all countries. For producing the food products the company collected the raw materials or items from the selected farms only, that farms in always kept the quality of products and retain the standard of them moreover they intended to establish one park for food things means all types food grains is store themselves and cultivated them vide areas in various type of agriculture.

NEW TECHNOLOGYThe KKR group is all set to enter the food processing industry on large scale bringing in the work latest technology and machines. In every new area of achieving, attention to purring and hygiene that meet the highest world requirement is the focus of the grow.NEW PRODUCTThe KKR group is looking at venture in food processing and presenting with a large scale investment on a food technology park in over 12 crore of land located in a pollution free environment friendly green area besides spices, rice and wheat product. The group has plans to manufacture an international product range like Past presents, source squashes, fruit based foods, pickle, juices, coconut based food etc.NEW MARKETToday NIRAPARA group has centered the Middle East markets and farest AMERICA and EUROPE. Today is not far before the KKR group makes in food in the international markets and with the presence and commitment of the group it is indeed a dream that will true before long.NEW COMPANY OF KKR GROUPThe KKR group company started in own new firm, known as BIK MAARK company in 18months ago. They are making imported food products and food supplements like SWEET SEVENTEEN FOR U.VISIONTo provide total consumer satisfaction through continuous improvement in products process and services, develop and motivate employee on going HRD program.MISSIONThe mission of the company is that to distribute the high quality products to the people, further they want to satisfy the consumer.

DISTRIBUTION CHANNEL OF NIRAPARA PRODUCTS NIRAPARA

KKR GROUP OF COMPANIES DISTRIBUTORS

RETAILERS

CUSTOMERS

DEPARTMENTS

PRODUCTION DEPARTMENT PURCHASE DEPARTMENT ACCOUNTS DEPARTMENT FINANCE DEPARTMENT MARKETING DEPARTMENT EXPORT DEPARTMENT QUALITY CONTROL DEPARTMENT HUMAN RESOURCE DEPARTMENT

PRODUCTION DEPARTMENTProduction department deals with the process of producing a particular product that means converting inputs in to output. It is the major functions involving in the production. It includes all physical commodities to be used to manufacture the final product.

Functions of Production Department Evaluate and approve manufacturing, equipment process, testing and test equipment. Establish point of inspection and test of selected points in the production process. Assure that purchased material confirms to the requirement of purchase confirm to the requirement of purchase order and specification. Perform inspection and test the selected points in the production process. Collect and analysis, inspection and task date, provide information and process and product quality level. Control the handing preservation and packing of material and equipment from receipt shipment of the final product.

PURCHASE DEPARTMENTThe purchase department plays a very important role in an organization because purchasing habit is to every vital factor concerning the manufacturing, quality, cost efficiency and prompt. This function is to procure materials, suppliers, services, machines and tools at the most favorable terms consistent with maintaining the desired quality. Purchasing is the most important function of materials management. At the moment an order is placed for the purchase of materials; a substantial part of companies finance is committed which affects cash position of the company. Purchase department looks after all purchase including raw materials.

Functions of Purchase Department Purchase requisition or identify for material. Exploring the source of supply and choosing the supplier. Purchase order. Receiving and inspecting materials. Checking and passing of bill for payments.

ACCOUNTS DEPARTMENTAccounting is a language of business the basis function of accounting is communicating the result of the business operation to various in it. Accounting department deals with recording, classifying, and summarizing of business transactions which are of a financial character and are expressed in terms of money.

Functions of Accounts Department Manage all accounts and cost work. Checking the work done by the book keeper so as to ensure that all financial transactions. Effective cash Management. Preparing Trading Profit and Loss Account and Trial Balance. Passing adjusting and rectifying entries. Keeping accounting records to comply with legal requirement under income tax act, sales tax act, company law account. Stock verification, product pricing.

FINANCE DEPARTMENT Finance department is one of the important in any organization. Finance department any organization is responsible for all financial activities.

Functions of Finance departmentThe NIRAPARA mill maintains a clear and perfect accounting system. The main activity of the finance department is working capital management, preparation of financial statement such as balance sheet, profit and loss account etc. The Finance Department carry out all activities pertaining to long term and short term requirements of the operation using purchase bill, maintaining the account of contracts, sub-contracts, income tax deductions.The auditor manages the matters relating to tax. He also files the returns to the tax authorities. The industry is selling their products both for cash and credit. Credit period is two to three months.

MARKETING DEPARTMENTMarketing all round us in one form or another is close to every individual. The activity of marketing is of the people, and by the people. Marketing plays an important role in society by helping us satisfy our needs and wants and by helping organizations to determine what to produce.Product : Rice.Price : Rs.220 and 280.Promotion : Advertisement, Coupon, Offers like Extra Gram Free.Functions of Marketing Department1. Local Area Sales2. Rural Marketing3. Inter State (Bangalore, Mumbai, Chennai, Delhi, Goa, Pune, Kanpur)4. Exports( Europe, UK, USA, & all the Middle East Countries)ADVERTISEMENTThrough TV channels, newspapers and Magazines.RESPONSIBILITIES OF SALES EXECUTIVES Collect order from different shops. Fix the driver root for sale. Identify complaints. Give information about and stock keeper Inform about which more sale has.

EXPORT DEPARTMENTKKR Group and mainly invaded in the manufacturing of quality rice and rice product, the products are sold under the brand name NIRAPARA the capacity of the plant of the KKR group is 225 MT per day 60% of sales in the NIRAPARA products are in foreign market NIRAPARA products are exported to 14 countries including all middle east countries and Europe, UK, Singapore etc.

Functions of Export Department Identify the export potential. Assure the export quality. Proper delivery of goods.

QUALITY CONTROL DEPARTMENTKKR Group gives much importance to ensure the quality of product. So the company has a well established Quality Control Department. The company has a department with most modern machinery to ensure quality products. The company ensures the quality product at every stage pf production from receiving of raw materials till packing of product.Quality Policy of KKR GroupManufacturing and marketing a ground food products meeting international quality standards is the commitment of KKR Group. Corporate Social Responsibility of KKR Group of Companies Ltd : Contribute midday meal for poor students in Janaseva at Aluva. Conduct child homes to take care of the orphans. Giving employment to the local people in the unskilled area. K.K.R offers numerous facilities in the education sector.The main precaution taken by the company in the matter of pollution control: Company working under the strict rules of environmental protection status. Keep environment friendly surroundings. Disposal of wastes

HUMAN RESOURCE DEPARTMENTThe most valuable asset of an organization is the human resource. Performance and productivity of an organization directly related to the performance of employees in the organization. The HR manager of the KKR group control human resources of the company. The management has maintained a good relation with the employees of the organization. Human resource is the most important asset of an organization. There effective management is to determine the success of business. The KKR group has efficient human resource department.Human Resources department deals with recruitment of employees. Such as inviting application conducting interview selection of interview training to the employees. The company has maintained a record regarding the every employees in the organization.Purpose The purpose of this procedure is to establish a system for the personnel and administrative activities of the institute.Scope This procedure is applicable to the general administration, competency requirements, selection, induction, training and performance appraisal, of the employee(manpower planning, recruitment, attendance, leave and salary administration, registration and recruitment).

Responsibility HR Manager is responsible for implementation of this procedure.Personnel PoliciesRecruit the right kind of personnel with defined competency and provide required training to up-to-date them for achieving the mission and quality objectives set for the institute.RECRUITMENT AND SELECTION Man power requirement needed for smooth functioning organization. This requirement are identified required person is selected for the job. This is done by personal department.SOURCE OF RECRUITMENT1. Internal source2. Direct Recruitment by advertising in newspapers3. Employee referenceSELECTIONThe job profile is communicated to the consultants and biodatas of candidates are invited. The screening of biodatas is completed first by the concerned HR departments and then they concerned Functional Head. The HR department conducted the preliminary interview. The final interview is conducted by a panel consisting of the concerned Functional Head and in case of key position also by the Chairman and MD.Training Training is given to all the office, factory and sales staff. Training is arranged with the help of external training personnel. Find out the weakness of the staffs from the appraisal from and arrange training to improve the skill. Arrange training in time to time in the topics relevant to the performance requirement changing trend in business and office formalities. Arranging training on the basis of the recommendation given by the staff in the appraisal form.Induction The purpose of induction is to induct personnel into the organization and to familiarize with the function of various departments the employee is given induction schedule based on which he/she has to understand the basic function of all the relevant departments.PromotionPromotion on the basis of performance for managers/executives and for the workmen on the basis of experience and the promotional policy. The policy provides for promotion from one grade to another to the next grade.Performance AppraisalThe purpose is to evaluate the performance of each employee during the previous years and to identify the training required for further improvement on the performance appraisal form. At the end of training and probation period the employees performance is evaluated. Overall performance found to be good he/she is placed. If the performance in training is unsatisfactory further improvement training is required.WELFARE ACTIVITIESCompany provides various type of statutory and non-statutory benefit to workers:1. Canteen2. Rest room3. Dressing room4. Drinking water facilities5. Mess facility6. Mobile phone allowance7. First aid8. Mask, glouse9. AccommodationWORKING TIME For Office Staffs 9.00 AM to 5.00 PM For Workers 8.00 AM to 5.00 PM

CHAPTER 5ANALYSIS AND INTERPRETATION

1. What is the nature of outlet?Itemnumberpercentage

NIRAPARA4242%

EASTERN3434%

BOTH2020%

NONE44%

TOTAL100100%

2. How long you being the customer of NIRAPARA.? PeriodsnumberPercentage

Below 1 year1515%

1-5 years4040%

6-10 years 2020%

above 10 years1515%

Total100100%

3. How frequently would you expect the distributor vehicle to supply you?

periodNumberPercentage

Daily 00

Alternative days1919%

Weekly7070%

above a week11%

Irregularly00%

Total100100%

4) Whats your opinion about the package and protection during NIRAPARA delivery?

OpinionnumberPercentage

Very Good 3232%

Good4343%

Average2020%

Bad 33%

Very Bad22%

Total100100%

5) Do you get supply as per demand?OpinionNumberPercentage

Yes7424%

Neutral2525%

No11%

Total100100%

6) How you feel about the pricing of the products?

OpinionNumberPercentage

Very high 3030%

High5050%

Average1212%

Low88%

Very low00

Total100100%

7) Do you think that weather will affect the storage of products? OpinionNumberPercentage

yes1515%

Neutral55%

No8080%

Total100100%

S

8) How do you feel about the commission scheme OF NIRAPARA?

OpinionNumberPercentage

Highly satisfied 00

Satisfied 4040%

Average2020%

Dissatisfied 2828%

highly dissatisfied 1212%

Total100100%

9) Rate the consumer preference of coca cola products (1,2,3,4,5)

ITEMOVERALL RANK

RP4

CP 3

PICKLE2

RICE5

10) How do you feel about the relationship with Distributor/seller?

OpinionNumberPercentage

Highly satisfied 5050%

Satisfied 3030%

Average146%

Dissatisfied 66%

highly dissatisfied 00

Total100100%

.

CHAPTER 6 FINDINGS AND SUGGESTIONS

FINDINGS

The study reveal that majority of the consumers perception that recognition of brand is not an important thing only the price and quality is important.

Availability of the product in the shop is the major criteria while selecting a brand if it is not available customer will chose another one and may be stick on in that product

The study reveals the majority of the customers know about nirapara products and the logo of the company.

Most of the outlets of NIRAPARA having coverage.Customer are satisfied with the availability of products in the Peak sales seasonA few Outlets conveyed that the products supplied are near expiry.Most of the customers expressed that the schemes given by NIRAPARA are such is good.Customers are satisfied with the commission provided by nirapara.The most outselling product of NIRAPARA is RICE.

SUGGESSIONS

In the present synario shows that the impact of television advertisements is very low , so make concentration on other advertisement areas like conducting food fest , trade shows, shop advertisements, and online advertisements.

Most of the customers recommended that they need more value added products from nirapara.

Now a days the customers are preferring dealer point service, so increase the number of dealers to avoid the shortage of products.

Take proper step to avoid duplication of product in market and understand the increasing or decreasing trend of close substitute products

CONCLUSION

CONCLUSION The marketing study helps to have an overall idea about marketing. It helps to identify the functions of Marketing. Also it enables the researcher to know about the effectiveness of distribution chanel, companys position and competitors in the market. It is very useful to the researcher to know about the future of rice industry. Nowadays brand image is vital part in every business. Many of the organization spend a huge amount of money for brand building. In this competitive world, the organization believes that effectiveness of distribution channel is the main factor to determine the sale of their product. The study has reveal that Nirapara is having great demand and an they are in the top market.

BIBLIORAPHY

BIBLIORAPHY

1. PHILIP KOTLER, GARYAMSTRONG; PRINCIPLES OF MARKETING, PRENTICE HALL OF INDIA PVT: LTD, 9TH EDITION.

2. KOTHARI C.R, RESEARCH METHODOLOGY SECOND EDITION, VISHWA PRAKASHAN PULISHERS, NEW DELHI-2003.

3. L.R.POTTI; QUANTITATIVE TECHNIQUES,YAMUNA PUBLICATIONS,2002

4. SARAVANAVEL P; RESEARCH METHODOLOGY, KLYANNI PUBLICATIONS, NEW DELHI 1995. 5. www.nirapara.com6. www.riceindia.com

ANNEXURE

EFFECTIVENES OF NIRAPA DISTRIBUTION CHANAL QUESTIONNAIREQuestionnaireOutlet name:Owner name: Address:Phone no: 1) What is the status of your outlet

a) nirapara b) eastern c) Sharedif B Whya) Supply problem of nirapara b) Any other problem

2) How long you being the customer of nirapara?a) Below 1 year b) 1-5 yearsc) 6-10 years d) above 10 years

3) How frequently would you expect the distributor vehicle to supply you? a) Daily b) Alternative days

c) Weekly d) above a week

4) Whats your opinion about the package and protection during NIRAPARA delivery?

a) Very Good b) Good c) Average

d) Bad e) Very Bad

5) Do you get supply as per demand?

a) yes

b) Neutral

c) No

6) How you feel about the pricing of the products?

a) Very high b) High c) Average

d) Low e) Very low

7) Do you think that weather will affect the storage of products?a) Yes b) neutral c) no 8) How do you feel about the commission scheme OF NIRAPARA? a) Highly satisfied b) satisfied c) average d) Dissatisfied e) highly dissatisfied 9) Rate the consumer preference of cNIRAPARA products (1,2,3,4,) a) RICE POWEDER c) CURRY POWEDER b) PICKLE d) RICE10) How do you feel about the relationship with Distributor/seller?

a) Highly satisfied b) satisfied c) Average

d) Dissatisfied e) highly dissatisfied

11)Suggestions..................................................................................................................