INTERNSHIP REPORT AN

ORGANISATION STUDY CONDUCTED AT

UNITED BREWERIES LIMITED NELEMANGALA

SUBMITTED TO BANGALORE UNIVERSITY IN PARTIAL FULFILLMENT OF REQUIREMENT FOR THE AWARD OF DEGREE IN

MASTER OF BUSINESS ADMINISTRATION

SUBMITTED BY CHANDRASHEKAR.N REG NO. 111NCMA011

UNDER THE GUIDANCE OF PROF D.S. GOPALAKRISHNA

DEAN10/15, SUNKADAKATTE, MAGADI MAIN ROAD, VISHWANEEDAM POST,

BANGALORE- 560091

.

INDUSTRY PROFILE

Top players in beer industry are United Breweries ltd, SABMiller, InBev , Carlsberg etc.

More than 80 per cent of the market is controlled by the two players, UB and SAB Miller.

Looking from the industry perspective, the Indian beer industry has been witnessing steady growth of 10% per year over the last ten years.

COMPANY PROFILE The UB Group was founded by a Scottish gentleman Thomas

Leishman in 1915. The company used to manufacture beer at that time and took its initial lessons in manufacturing beer from South Indian based British breweries.

In August 1947, Vittal Mallya became the company's first Indian director. A year later he became the Chairman of the Group.

United Breweries came into limelight by manufacturing bulk beer for the British troops, which was transported in huge barrels.

In 1950s and 60s, the group expanded rapidly and made several acquisitions. McDowell was added as one of the Group subsidiaries.

VISION AND MISSION OF THE COMPANYVision To create one force i.e, to build an integrated, committed,

competent team of work force to perform and there by retain the leadership position in the business by meeting the consumer expectations

MISSION We constitute a large, global group based in India. We

associate with world leaders in order to adopt technologies and processes that will enable a leadership position in a large spectrum of activities.

We will always be the partner of choice for customers, suppliers and other creators of innovative concepts.

We recognize that our organization is built around people who are our most valuable asset

ORGANIZATIONAL STRUCTURE

BOARD OF DIRECTORS

CHAIRMAN

MANAGING DIRECTOR

PRESIDENT

CENTRALISED MARKETING

DERT

ASSITANT VICE PRESIDENT

GENERAL MANAGER(TECH) OR

HEAD BREWER

MANUFACTURING

QUALITY

ENGINEERING

COMMERCIAL

FINANCE AND ACCOUNTS

STORES

PERSONNAL AND ADMINISTRATION

PRODUCTS Kingfisher premium Kingfisher Strong Premium Kingfisher Strong Kingfisher Draught Kingfisher ULTRA Kingfisher BLUE Kingfisher Red Kingfisher Bohemia Zingaro Super Strong London Pilsner Premium Strong UB Export . UB Export Strong Kalyani Black Label Strong Bullet

FUNCTIONAL DEPARTMENTS

Commercial department Finance department General engineering and maintenance

department Production department Marketing department Human resource department

COMMERCIAL DEPARTMENT

Commercial department helps in collecting the information of the vendors.

The department has the authority to issue orders for the purchases of all the materials and services and oversight of purchasing.

The mission of purchase department is to provide business support and customer service.

FINANCE DEPARTMENT

Arranging and disbursement of funds; inter group, inter unit, head office, suppliers, governmental and statutory payments etc.,

Maintenance of books of accounts and records Internal and external audit Compliance with income tax, sales tax, excise duty and

other statutory provisions and procedures Final reports presentation

GENRAL ENGINEERING AND MAINTENENCE DEPARTMENT

Planning and carrying out preventive, predictive and breakdown of the plant.

Spare parts management and tooling management. Analyze the down time and review maintenance

schedules and checklist. Control of inspection, measuring and test equipments

installed on process equipments.

PRODUCTION DEPARTMENT

To follow up the daily production schedule as per the plan.

To maintain the ethical standards and safety of employees.

To maintain production cost as low as possible. To upgrade technical efficiency of production. To maintain integrated relationship with all other

department. To maintain the quality of the product.

MARKETING DEPARTMENT

To study customer need and wants in well defined market segments

To satisfy customer wants as the business exists only due to existence of customer demands

Increase of sales and revenueTo distribute the products in time

HUMAN RESOURCE DEPARTMENT

Daily review of attendanceSalary and wagesStatutory returns such as PF, ESI and TDS.Recruitment of workers.Performance appraisal.Training and workers development programs.Safety and security in the organization

MCKINSEY 7S MODEL

SWOT ANALYSIS

STRENGTHS Highly qualified and efficient staff management. Brand building through endorsements , conducting

fashion shows etc. Good industrial relations. Market capitalization. It is the FIRST Best Company in the entire beer

industry.

WEAKNESSES

High sales of beer is only during the seasons.Decreasing skilled work force due to retirement.Lower level of resistance towards change among

employees/ workers.Government controls on advertisements,

manufacturing capacities, distribution, retail and pricing, heavy excise duties and taxes pose a challenge to the organizations.

OPPORTUNITIES Ban on arrack by the government leads to the high sales

of beer. Company can think of exporting its products to African

countries.

THREATS Future or potential competition from already

established market participants. Growing competition from foreign companies. SAB Miller is attracting the semi urban consumers falling

in the age group of 25-30. Excise duty and stringent norms has an adverse impact

on the growth. The higher railway freight has pushed up cost of raw

materials and inputs such as sugar and all these add to cost of production.

FINDINGS Lack of good supervision The gunny bags in which the barley/malt is packed are

torn because of which the wastage of raw material is more and is spoiled too.

The “place of collecting the bottles should be made separate from the bottling hall”. We can avoid dirt coming from outside, wastage of time and helps in selecting unbroken bottles.

WORKERS ISSUES They require recreation facilities. They should be provided with the safety equipments

CONCLUSION UB Ltd is the well known organization with the brand

“Kingfisher”, famous for beer especially India. Company is having larger market for its product. The aim of the UBL is also to increase the sales. I can conclude that mild drinking is good for health but it should not be made as habit.

SUGGESTIONS Supervisors may be placed in the warehouse and for

godown. The workers should be strictly instructed with the

properly framed working rules since majority them are casual labourers.

Measures may be taken to avoid the bottling wastes in to warehouse. If possible the warehouse may be separated from bottling hall.

There must install exhaust fans in the bottling unit. Measures may initiated to bring in fresh air for the benefit of workers to ensure good health.

The doors/ entrances of the warehouse may be widened so that more than one truck may be loaded at a time in the same place.

LEARNING EXPERIENCE UNITED BREWERIES is considering its employees as the asset

of the companies growth. I learnt the various managerial skills, Time management,

Decision making, Coordination, and execution, and communication skills. I learnt from the employees the co-operation, commitment and decision in work environment.

Hence it is a golden opportunity to interlink what I have learned in the classroom with practical functions of an organization.

As the hospitality business is increasing it is directly related to the beer market because beer is much used in hospitality industry like hotels, pubs, resorts etc.

THANK YOU