organization study ii
TRANSCRIPT
ORGANIZATIONA STUDY ON AL MANHAL
ENTERPRISES
1
DECLARATION
I do hereby declare that the “organization study report of AL MANHAL
ENTERPRISES” is a record work carried out by myself.
I also declare that the report has not been submitted by me or any
other person for the award of any degree, diploma or other similar title of
any university earlier. I understood that detection of any such copying is
liable to be punished any way the college deems fit.
SINO GEORGE
Place : Kasaragod
Date:
2
ACKNOWLEDGEMENT
First lf all, I would like to thank the Almighty, God for the external and
invisible help extended to me for the successful completion of the project. I exprress
my extreme gratitude to all who have helped in one way or other to complete the workd
successfully.
The project report entitled “ORGANIZATION STUDY ON AL MAN HAL
ENTERPRICES” has been done by with the help of my project guide and my lecture
Miss. Swetha K. Gowda In fact I am lucky to have such a faculty as my project guide
for his valuable and practicable suggestions and guidance through out every stages of
my work; I wish to express my sincere gratitude to the founter Mr. Bahadoor
Mohammed Kunhi and the M.D. Aysha Hajjumma. I express my sincere thanks to the
manager of the organization Mr. Ashif for providing me an opportunity to do my
project work in this extremed organization.
Finally I would liek to express my hearty thanks to al my teachers, my
parents and frieends and collegues for encouraging me and for their timely help.
Place:
Date:
3
CONTENTS
Page No.
INTRODUCTION..........................................6
INDUSTRY PROFILE..................................13
COMPANY RPOFILE ..................................16
PURCHASE DEPARTMENT........................32
PRODUCTION DEPARTMENT..................35
FINANCE DEPARTMENT .........................40
HUMAN RESOURCE DEPARTMENT...... 49
QUALITY CONTROL DEPARTMENT 55
MARKETING DEPARTMENT................. 59
SWOT ANALYSIS.......................................72
FINDINGS & SUGGESTIONS....................75
CONCLUSION........................................... 82
BIBLOGRAPHY.........................................83
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INTRODUCTION
5
CHAPTER - 1
INTRODUCTION
INTRODUCTION
In recent years soft drink products have become more popular among different
cross section of population due to increased demand for convenience productg. Among
the soft drink products, particularly cool drinks are the cheapest, cultures, countries
and state people all over the world using colorings. Even though the industry is on
profit, in recent days, the industry is facing many challenges such as non availability of
resources, strong public protest and legal bagging due to environment problem and
health problems created by production of soft drinks. The industrial members have to
overcome this problems, for their successful and survival.
The first marketed soft drinks (non-carbonated0 appeared in the 17th century,
they were made out of water, lemonjuice, sweeten with honey. In 1676, the compagnie
de limonadiers of paris was granted a monopoly for the sale of lemonade soft drinks.
The business world is on consumer era, no company can go ahead, without considering
consumer and without solving their problems, becuse they are the major source of
their income and more over modern business world is highly competitive. Consumer
enjoys prominent role in modern business world is highly competitive. Consumer
enjoys prominent role in modern business world. Consumer is a person who consumes
goods, buys goods for his self consumption. The whole activities which are done by
manufacturing firm or service firm are only for consumer. Every firm gives much
emphasis on consumer servings. The success or failure of a firm depends on its
consumenrs.So it is important for a firm maintaining consumer is regarded as the king
of any business.
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The business is controlled by the controlled by the consumer and their hebavior has
changed from the past, there is a difference in what they were and what they are.
Today’s customers are becoming harder to pelase. So in order to please the customer
the marketer must know the likings and disliking of the customers. Customer
satisfaction is the ultimate goal of the business concern. A marketer must know the
time and the quality of goods or services, a customer may purchase, so the marketer
may store the goods or provide services according to the liking of the customer. Thus
when the performance of amrketer exceeds the expectations of customers is highly
satisfied and delighted.
At present “study of satisfaction and perception towards Hanna soft drinks” got
much importance in marketing. Because in order to identify the area that need
improvement, tocreate brand perception among consumer and maintain customers as a
satisfied one by serving them in are best possible manner, that is consumer retention.
SIGNIFICANCE OF THE STUDY
The present study is basically meant to assess the marketing performance of HANNA
soft drinks, the study is fundamentally an academically oriented one, however the
researcher has attempt to make it useful for the firm as well as the customers. The
study is relevant to the organization in the sense that can prove the quality of the
product, if they are lagging behind and they by retain valuable customers and business
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SCOPE OF THE STUDY
Company can identify the area that needs improvement
Company can generate customer perception towards its products with respect
what the health problem created to public
Company can strengthen their customer relationship by gaining a better
understanding of customer need and change the performance in relation to those
needs.
Company can increase customer loyalty by showing the customer that the
company is care about meeting their needs
Company can take suitable decision based on the findings
Consumers can express their opinion about product and suggestions to
improve performance of HANNA
OBJECTIVES OF THE STUDY
To study and measure the customer satisfaction towards products of
HANNA in local market
To measure market study of HANNA soft drinks.
To Identify the area that needs improvement
To Make clear awareness about soft drink industry.
To know consumers performance towards different attributes of HANNA
To Measure performance of HANNA in its ongoing relationship with
customers
To know consumers preference toward different attributes of HANNA
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METHODOLOGY
This shows now the data was collected from various sources to get more
information relation to the study. Information required for the study was obtained both
by gathering of primary data and relevant socondary data.
PRIMARY DATA
Primary data means data which are collected for first time. Here the primary
data was fully collected through a pre-designed questionnaire and observation method.
The structured questionaire was given to individual consumers to obtain the desired
data.
SECONDARY DATA
Secondary data which are already collected for other purposes. Here secondary
data was collected from business journal and other magazines which was great help to
understand the market situation. Some other sources of secondary data collection are
internet searching, industry profile and company profile.
STATISTICAL TOOLS
The collected data was codes and tabulated in order to organize them for interpretation
the data was analyzed of using percentage method. The satisstical tools used in graphs
and diagrams are pie diagrams, bar diagrams and multiple bar diagram
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SURVAY DESIGN
SAMPLE AREA
The population elected for the study is people from Kasaragod District.
SAMPLE SIZE
Sample size means number of persons to be surveyed. Here the sample size
consists of 50 respondents of Kasaragod.
SAMPLING METHOD
The method used in selecting sample is random method.
SURVAY INSTRUMENT
The questionnaire is used as survey instrument
PRE-TESTING
In order to understand the effective of the questionnaire designed, a pretest was
conducted with five respondents, based on the pre-test questionnaire was redrafted.
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LIMITATIONS OF THE STUDY
The study is based on primary data where depended on the information given
by the respondents then it can be based .
The data collection was time consuming.
The required information was collected through questionnaire method any
Limitations relevant to this method are applicable.
Some of the respondents were not express their opinion.
Since sample size was restricted to 50, result may have its own limitations in
Generating data,
The study was conducted in Kasaragod city only
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INDUSTRY PROFILE
12
INDUSTRY PROFILE
THE SOFT DRINK INDUSTRY
The soft-drink industry comprises companies that manufacutre nonalcoholic
beverages and carbonated mineral waters or concentrates and syrups for the
manufacture of carbonated beverages. Naturally occuring bubbling or sparkling
mineral waters have been popular for thousands of years:the ancient Greeks believed
that such waters had medicinal properties and bathed in them regularly; the Romans
established resorts around mineral springs throughout Europe. In the 1500s the village
of Spa in Belgium became famous for its waters, which by the early 1600s were sold,
in bottles, as far away as London The industry is regulated by both federal and
provincial agencies, 3 of the most important being CONSUMER AND CORPORATE
AFFAIRS (responsible for the Consumer Packaging and Labelling Act), HEALTH
CANADA (which administers the Food and Drugs Act) and Environment Canada
(which focuses on environmental matters). The industry is represented by the
Canadian Soft Drink Association in Toronto and by several provincial associations.
The introduction of diet-carbonated beverages has changed the industry’s profile.
Several years ago, in response to increasing consumer diet consciousness, the industry
introducted the first successful sugar-free diet drinksusing the artificial sweetener
cyclamate. But questions were raised about the safety of this additive and, based on
existing scientific data; Health Canada
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banned its use in Canadian commercial FOODS AND BEVERAGES. This
decision, estimates to have cost the industry more than $15 million, was a setback
todiet-drink development. The industry turned to saccharin, but this too was
eventually banned. Now, a new sugar-free additive, asparate aspartame, has
been approved for use in diet soft drinks, and the cyclamate/saccharin situation is
not expected torecur because aspartame consists of amino acides, which occur
naturally. Aspartame-sweetened diet drinks have had a dramatic effect on the
Canadian carbonated-beverage industry. Just before the Saccharin ban in 1977,
diet drinks accounted for abotu 10% of the soft-drinkmarket; following the ban
the diet share dropped to about 2%, consisting of beverages partially sweetened
with small amounts of sugar. In 1982, the first full year that aspartame was used
in Canada, diet drinks increased by 15.2% of total soft-drink sales, while the total
soft-drink industry grew 8%. In 1987 total soft-drink sales increased 5.3% 1986,
while diet soft-drink sales increased by 10.7%. This single development has
encouraged strong growth in the industry.
The market preference is highly regional based. While cola drinks have main
markets in metro cities and northern states of UP, Punjab, Haryana etc. Orange
flovored drinks are popular in southern states. Sodas too are sold largely in
southern states besides sale through bars. Western markets have preference
towares mango-flavored drinks. Diet coke presently constitutes just 0.7% of the
total carbonated beverage market.
The government has adopted liberalized policies for the soft drink trade to give the
industry a boast and promote the Indian brands internationally. Although the
import and manufacture of international brands like Pepsi and Coke is enhanced in
India the local brands are being stabilized by advertisements, good quality and
low coast.
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The soft drinks market till early 1990s was in hands of domestic players like
campa, thumps up, Limca etc but with opening up of economy and coming of
MNC players Pepsi and Coke the market has come totally under their control
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COMPANY PROFILE
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ABOUT THE COMPANY
INTRODUCTION
AL MANHAL ENTERPRICES PVT.LTD is one of the faqmous growing
soft drink company in Kerala. ‘HANNA’ is their brand name and trade mark. The
company mainly produces soft drinks, aerated water and pet soda. ‘HANNA’ is a
popular name in the soft drink market of Kerala and middle East.
The company name AL MANHAL is an Arabic word, which means “Wide
like ocean”. The brand name HANNA also an Arabic word, which means ‘divine
food”. The company was started on 01-10-2001 as a partnership firm with two
partners, and then it converted into sole trading concern. The building was
constructed on 1998 December first week. The company mainly manufactures
three products-soft drinks, aerated water and drinking water. The company formed
uder SSi Act 1951 and registered in FPO (food production organization,
Chennai). The company is located in the rural area of Kasaragod district at
Kodom Beloor Panchayath, Parappally, Kanhangad.
Mr. Bahadoor Mohammed Kunhi is the promoter of the company Firm is started
with an initial investment of Rs. 1crore. The company was getting industrial
subsidy of Rs. 6 lacks from Government. The source of capital is, 60 lacks is
contribution from the partners at (60:40) ratio. Rest of the amount generated as a
logn from KFC and Puchab National Bank.
ALMAN HAL ENTERPRICES is one of the leading marketers of soft drinks in
Kasaragode,
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Kannur, Wayanad, Calicut and Malappuram districts. HANNA soft drink
is an important source of income and their social concern is to provide
employment opportunities for the people who are unemployed in rural
areas.
Since it is a fast growing business firm, it has expansion programmed like
increasing plant capacity and product diversification.
Objectives of the firm
o Profit maximization through customer satisfaction
o Reduced customer complaints
o Utilization of modern machinery
o Giving employment opportunity
Mission of the firm
o Providing healthy drink to society
o Always care on customer health
o Providing quality products at afforedable price in on time
o Providing exployment opportunities to locla people
o Work for social development
Vision of the company
o Build fully automated firm
o Market expansion program all over in south India
o New product development
o Dominate the soft drink industry
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COMPANY PROFILE
Name of the company : AL MAN HAL ENTERPRICES
Date pf commencement : 01-Oct-2001
Brand name & Trade mark : HANNA
Registered in : F P O (Food Product Organization)
: SSI (Small Scale Industries)
Promoter : Bahadoor Mohammed Kunhi
M.D : Aysha Hajjumma.M.
Location : Kallanthol-Parappally
Kodom-Beloor Punchayath
Kasaragod (Dist), Kerala - 571672
Head Office : Bangalore
Nature of Business : Manufacture of soft drinks, Aerated Water&
Per Soda
Insurance : United India Insurance Company
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ORGANIZATION CHART
MANAGING DIRECTOR
FINANCE MANAGER PRODUCTION MANAGER MARKETING
MANAGER
ACCOUNTANT SUPERVISOR DISTRIBUTON
AGENT
WORKERS
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RAW MATERIAL DETAILS
SOFTDRINKS
ESSANCE
LEMON 16 TYPES OF ESSANCE MIX
ORANGE 7 TYPES OF ESSANCE MIX
COLA 4 TYPES OF ESSANCE MIX
2. CITRIC ACID
It is used in lemon and orange
3. REFINED SUGAR
4. CARBON DIOXIDE
5. HI FLOW POWDER
6. CARBON
7. FILTER PAPER
8. LABEL
9. CASE BOX/LAMINATION PAPER (LDP SHRINK PAPER)
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RAW MATERIAL PURCHASE DETAIL
ESSANCE
It is purchasing from das enterprises Mumbai, They are importing the essence
from dam am-Saudi Arabia
Citric acid, Hiflow powder and Carbon
These are purchasing from mchveer chemicals Bangalore and refined sugar is
purchasing from tender agents-Mangalore. The carbon dioxide is supplied by
Keerthy Ace rated company from Goa. The filter paper and the cork is
purchasing from Mumbai and Hydrebad. The label is printing from swami-
offset printers sivakasi and the lamination paper is purchasing from Madaras.
Raw materials used in the products of the
1. Water
2. Carbon dioxide
3. Cork
4. Label
5. Cases/ldp-paper
Aerated Water
1. Water
2. Perform
3. Cork
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4. Label
5. Cases/Paper
Bottle making process
1. Perform rotate machine
It is machine wih Six-Heaters help to heat perform. These heaters are arranged
in a systematic manner in the machine.
2. Blowing machine
It is a semi automated machine adjusting as per the perform types.
Process in Blowing machine
Put heated form into mould in blowing machine. Then heats perform at 250
degree celsius. And passing air into the heated perform for shaping the perform into the
bottle.
3. Cooling tower
This is used for the purpose of cooling the machine
4. Compressor
It is used for passing the air into the perform for making bottle.
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MATERIALS IN BOTTLE
1. Perform
Types Bottles
54gm 21 ltr & 1.5 ltr
48gm 1.5 ltr
28-26-24 gms 500ml
24gm Two grads,ie,Drinking water &
Aerated Water
2. CORK
MATERIAL PURCHASE SYSTEM
Company is following a systematic material purchasing method.
Material stock is recording in stock register.
Ordering level
Ordering of material is on the base eof production. A minimum stock is always
keeping for meeting the production.
TERM OF PURCHASE
Payment system
Company is using DD and cheque for clearing suppliers account.
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Suppliers Credit System
Suppliers are giving maximum one month credit period.
PURCHASE PROCESS
Most of the raw materials are directly purchasing from the manufacture.
Some of the items are purchasing from Agengs
COST OF MATERIAL
Perform
Types Price
2 ltr & 1.5 ltr Rs. 5
500ml Rs. 3
300ml Rs. 2.60
CORK
Types Price
Soft drinks & aerated water 65 ps/piece
Drinking water 35 ps/piece
Label
Types Price
2 ltr 35 ps
500ml 25 ps
35ml 15 ps
Product is producing as batches. Every batch has a batch number
including manufacturing date. It is used for product identification
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MACHINE DETAILS:
Product making machinery
Machines are purchased from Bangalore, Coimbatore and Bombay. So most of
the machines are purchased from Smith Industries Bangalore.
Bottle Making Machine
Bottle making process is started at 2006. Before that company was buying the
bottle perform from Hyderabad & assembled from Palakkad. Machine is purchased
from Gujarat.
Laminated Machine
Laminated Machine is using for packing the product. Prchased from Saravana
Enterprises Cochin.
PRODUCTION CAPACITY:
Company is making the products as batches. One batch contains 2000 bottles.
The maximum production capacity in a day is four batches. Normally the company is
producing two batches. So it is varies based on the demand of the product.
Water requirements
Company is using bore well water for production. Maximum 7000 liter’s
water is required for production in a day.
Source of water
In the beginning stage company was using the well wter up to the
year 2002 after the company is using bore well water.
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MACHINE DETAILS:
Product making machinery
Machines are purchased from Bangalore, Coimbatore and Bombay. So most of
the machines are purchased from Smith Industries Bangalore.
Bottle Making Machine
Bottle making process is started at 2006. Before that company was buying the
bottle perform from Hyderabad & assembled from Palakkad. Machine is purchased
from Gujarat.
Laminated Machine
Laminated Machine is using for packing the product. Prchased from Saravana
Enterprises Cochin.
PRODUCTION CAPACITY:
Company is making the products as batches. One batch contains 2000 bottles.
The maximum production capacity in a day is four batches. Normally the company is
producing two batches. So it is varies based on the demand of the product.
Water requirements
Company is using bore well water for production. Maximum 7000 liter’s
water is required for production in a day.
Source of water
In the beginning stage company was using the well wter up to the
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year 2002 after the company is using bore well water.
Powering requirements
Company is using power from the separate transformer, which provided by the
Electricity Board as per minimum guarantee system. Company have a generator, it is
using in power break time. Production process can continue with thehelp of this
generator except bottle macking machine.
ESSENCE MIX STORAGE
The maximum storage period of the essence mix is 48 hrs before production.
And the product life is for 6 months.
MAINTENANCE SYSTEM
Maintenance is the set of activities which help keep plant, machinery and other
facilities in good condition. Company is following Break-down maintenance system.
So the company always keeps their machines in good conditions. Employees are
trained for maintenance work. They can do the operations in smooth manner
PRODUCTION COAST
SOFT DRINKS (LEMON, ORANE, COLA)
Type Cost
2 ltr Rs. 25
1.5 ltr 24
500ml 12
300ml 7
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It includes agent’s commission except tax. The Company is paying the tax at
20% as per VAT.
PET SODA
Type Cost
1.5ltr Rs. 16
500ml Rs. 6.50
VAT rate at 20% is included in cost
AERATED WATER
Type Cost
1 Ltr Rs. 6
Including VAT
QUALITY ENSURING TECHNIQUE
Quality refers to the sum of the attributes or properties that described a product.
It is high bolding in features of the modern product market. Modern market is
highly competitive, the existence of product is difficult especially in the food
industry. Customer’s have a great awareness of their health, “who can make the
product difficulty with high quality they can survive the market”, this policy
following the company. So the company always cares about the quality of a
product. I every stage of production process it is doing very systematically, and
also great care about the quality of raw materials using for production.
Different quality ensuring techniques are using in different stages of
production. Follwing are techniques;
1. Bricks meter/Refractor meter
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2. TQM
3. HP
4. Calibration meter
5. Inspection
6. Sample keeping
1. Brisk meter/Refractor meter
It using for testing the sugar leverl of the product. IT helps to keep the
sugar in a accurate level.
Normal sugar level of the products
Product Levels
Cola 11
Lemon 12
Orange 11
If the sugar level is noticing higher/owner has the normal point, it is re leveling
into the accurate level from volumetric machine.
2.TQM (Total Quality Management)
total Quality Management is implementing in the company forensuring the
quality of the product. Employees are participating in quality measurement.
Quality analyzing is doing in every stages of production system. It is also
implementing in raw material purchasing system. Every employee has their on
role in TQM.
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3. PH- Meter
It used for checking the purity of water. It is the meter used for checking the
acidity base in the water. The normal acidity in the water is ‘zero’ level, that
indicates the purity of the water. If the water acidity base indicate higher than
the ‘zero’ level, its not to be with the purified water. So filtered bleaching
powder is used for purifying water.
3. Calibration meter
It is another meter for using to check the purity of the water.
4. Inspection
Periodic inspection is conducting by the ‘food inspector’ from punchayath with
out prior information and inspection is also coducting under FPO (food product
organization) Chennai. For ensuring the quality of the product.
5. Sample keeping
Company always keeps sample product from every batch of six month. The
purpose of this sample keeping is to ensure the product will not have any
damage wit in six months, because the products life is six month.
WASTE DISPOSAL SYSTEM
The company is having a provision for the disposal of waste. For the disposal of
waste, facilities are available near to the unit. There is small tang for dumping of
solid waste such as bottles etc. and there is a separate tank for paper waste. The
liquid waste is going out side through the pipe line.
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PURCHASE DEPARTMENT
Company is following a systematic material purchasing method. Material stock
is unregistered a minimum stock is always kept for meeting the production needs.
Company using DD or for clearing suppliers A/c. suppliers one giving month
credit period. Most of the raw materials are directly purchasing from the
manufacture and some of the items are purchasing from agents.
Suppliers of Raw Materials
Citric Acid Hiflow and carbon:- these are purchasing from Mahaveer
chemicals Banglore
Essence:- It is purchasing from Das enterprises Bombay. They are
importing the essence from (Daman) South Arabia.
Refined sugar:- Sugar is purchasing from tender/agents-Mangalore
Filter paper:- It is purchasing from Bombay
Cork and Preform:- Purchasing from Hyderabad & Bombay
Label:- Label is printing from swami off set Sivakasi
Co2:-It is purchasing from Keerthi Enterprises Goa
Laminated paper:- It is Purchasing from Madras
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Purchase Procedure1. Issue of order:- The purchase order is issued to the recommended vender. This purchase GM/MD prepares purchase order.
2. Receipt of invoice:-
The purchase department receives the invoice copy of the party. It contains details regarding terms of payment, dispathc details etc...
Checking in invoice
The purchase department checks the invoice with the purchase order in respect of materials, quality, price etc. and sent it to the stores.
4. Arrangement for the collection of the material
Purchase department arranges for the collection of materials and delivers to the
stores.
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PRODUCTION DEPARTMENT
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INTRODUCTION
Production is a process by which goods and services are created. It is
considered to be a crucial role in any industrial organization. In the production
process raw material are converted into finished products. The production
system receives input in the form of raw material, capital, utilities and
information. These inputs are converted into desired products and services.
Workers, material and machinaries are used for converting inputs into outputs.
The firm follows a clear and systamatic production system. The production
quantity varies as per the demand.
PRODUCT PROFILE
AI MAN HAL ENTERPRICES mainly producing three products,
They are
1.SOFT DRINK
LEMON
ORANGE
COLA
2. PET SODA
3. AERATED WATER
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The production processes start from borwell. First of all water comes from the
Borwell though motor and it goes to the tank. After these water goes to the sand
filter with the help of motor. Sand filter is used for water filtration purpose. Then
the water shifter to the carbon filter. It is another method used for water
purification purpose. Next these water moves to the cartidge filter, micro filter and
ultraviolet filter respectively. These are the filters used also for water purification
purpose. After all these process filtered water store in sub tank. The tank contains
5000litres of water.
From the sub tank, water goes through pipeline to the agitator tank. In this same
time on other hand water also move to the chilling machine for cooling process.
There is gas cylinder which contains Co2. The cold water and Co2 directly goes to
the cabonator is used to mixing Co2 and cold water then it moves to the filling
machine. Air compressor is used for operating the filling machine.
In the Agitator tank suger and water are mixed and heating. AFter that it goes to the
candiman tank, which is used for the filteration purpose and the water directly goes
to the esence tank. Here the essence is mixed. After this process essence syrup
moves on the volumatric machine.
Then the bottles is kept on coveyers which help to reach filling machine. After the
essence bottle is filled with gas
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and water. Then corked by workers and it is transfered to the checking
department. After checked labeling the bottle the last process is packaging and
then casea are moved into the store room.
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FINANCE DEPARTMENT
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FIANNCE
Finance is the scares. It is also the most important aspects of the business.
Therefore, finance requires proper planning and control to achieve the objectives
of the organization. Financial management is needed for the proper functioning of
the organization. Efficient management is needed on funds; we have to use every
rupee in a proper manager. The financial management is always thinking how we
can use our money for getting maximum return and for achieving the
organizational goals.
The company is following the normal financial year. That is from the April first
to Maqrch 31.
INITIAL INVESTMENT
The company was starting with an initial invest of rupees 1 crores. Initially the
company started as a partnership firm and then it converted into sole trading
convern.
SOURCE OF CAPITAL
The capital contributed by the partners in the ration of 6:4. 60 lakh was the
contribution of partners and Rs 40lkah is coming from KFC (Kerala Financial
Corporation and Punjab National Bank.
ACCOUNTING PROCEEDURE
Day book
Purchas day book
Sales day book
Line sales register
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Ledger stock register
Production register
Creditors day book
Payrool
Sales return book
Purchase return book
I so register
Debtors book
Bank register
Accounting software
Trail balance
Manufacturing and profit an loss account
Balance sheet
EXPLANATION
Day book
It is used for recording the daily transaction. All day to day expenses and
incomes are recording in these books.’
Sales bookIt is used for recording the sales details. It includes all customers transactions.
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Purchase day book
It is used for recording raw materials purchase details. That include all the
suppliers transactions.
Line sales register.
It is used for the line Sale. Two LIne register are keeping, one is in the
organizations and the other is keeping in the line sale vehicle.
Ledger
It is used dfor the purpose of recording the transactions in a separate account.
Stock register
Stock register is used for recording the raw materials details. Purchase and
production details of the raw materials are recording in these books.
Production register
It is like a stock register, finished goods details are recording in this book. The
produced quantity of finished goods and how much quantity is going for sales, all
dettails are recording in the production resigter.
Creditor’s day book
It is used for recording the creditor’s details. All purchasing transaction are
recording in these books.
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Payroll
It is used for recording the employees remuneration, and payment details.
The payment of the employees are preapred by using the Microsoft excel software.
Sales retgurn book
It is for recording the sales return of the product
Purchase return book
It is used for recording the purchase return of the product
ISO register
It keeps for ISO certification. It is the book used for keeping systematic
recording of the activities of the organization. It is essential for ISO purpose.
Debtor’s book
Itr is used for recording all the customer’s transaction details.
Bank register
It is used for recording all transaction connected on bank.
Accounting software
The company is following the computerized accounting system. The
comapny is using the latest tally software erp-9 for this purpose.
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Trail balanced
It is used for verification purpose. It helps to check accuracy of the
account.
Manufacturing trading and profit and loss account
It shows the financial result of the business. It is preparing based on the
trial balance.
Balance sheet
It is prepared in the end of the financial year. It shows all the asset and
laibilities of the business.
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BUDGET PREPARATION
the company is preparing the budget in two terms. That is for annual
budget and monthly budget. The company is operating the business on the
bases of this budget.
AUDITING
The company follows the annual auditing system with the help of a chatted
account
BAD DEPTS
The company had 40% bad depts in the first two years most of them are the
hotels. Now the company follows strict credits policy. Currently the company
had only 2% bad depts.
Cost of sales
Telephone charge
Transportation cost
Carriage
Commission
Discounts
Wages
Food and accommodation
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EFFECTS F VAT (VALUE ADDED TAX)
The company has a tax exemption as per SS (Small Scale Industry up to
2008. But after the incompletion of vat in Kerala, the company wants to pay the
vat at the rate of 12.5% as per the new budget of the government. In the year
2006 the tax rate is increased at 20% on soft drink and 12.5% on pet soda. The
increasing rate is following from June 2006.
VAT PAYMENT SYSTEM
Purchase vat/input vat
The company is paying the purchase vat at different percentage at different
product. That is at 12.5% and 4%
Sales vat and output vatThe company paying the purchase vat at 20% and 12% level. So the
company can deduct the vat from the sales vat. If materials in purchasing from with the Kerala.
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Trading & Profit and loss a/c for the Year ended 31st March 2010
Particulars Amount Paprticulars AmountTo Op. Stock 3758256.00 By Sales 13516230.00“Purchase 8125503.00 “ Closing stock 3845200.00“Direct Expenses 1743784.08“Gross Profit c/d 373386.92
-------------- -----------------17361430.00 17361430.00 ---------------- -----------------
“Establishment 2895327.69 “Gross Profit b/d 3733886.92expense “InvestmentNet Profit 894740.89 Subsidy written off 56181.66
proportionately-------------- ---------------3790068.58 3790068.58
Balance Sheet for the year ended 31st March 2010
Liabilities Amount Assets AmountCapital a/c 4336911.11 Fixed Assets 4129551.23Reserves & 224726.63 Sundry Debtors 341252.00SurplusLoans &Advance 2695712.27 Stock in hand &
work in progress 3845200.00Term Loan 911918.00 Cash & BankSundru Creditors 115420.00 balance 168684.78
----------------- ---------------8484688.01 8484688.01
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HUMAN RESOURCE DEPARTMENT
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HUMAN RESOURCE DEPARTMENT
Human resourse department basically aims at contributing human efforts
though personnel employed in the organization towards achieving the objectives
of the organization, and these should come out willingly with dedication and
high degree of morale amongst the employees. Human resource department
should be viewed as a part of strategic managerial function in the development
of business policy in which it place both a determining and incorporate and
enabling a development role of the individual employee. Human resource
department opens channels of communication to build trust and commitment. Its
policies sure goal oriented with participative style.
WORKING TIME
The company opens its working in the morning 8.30 am and closes at 5.30
pm. During the summer season the company operates in two shifts to meet the
demand.
Man power detailsAt present the company having 170 employees. In which 70 female and
100 male workers are including. All the employees of the company from the local place, expect the office staffs.
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RECRUITMENT
Company is using external sources for the recruitment process. If any
vacancy is arises in the organization it is advertise in the news paper and call for
application. The company always forces the right person of the job.
SELECTION
The company is selecting the right candidates from the application.
NORMAL PROCEEDURE FOR SELECTION
Scrutinize the application received.
Interviews.
Final selection.
Placement
Training
TRAINING
There is no such training for the managers and the office workers. But
induction training is given the works. The methods used in the organization is on
the jon training. The workers are trained by the supervisors with in the
organization itself.
ELIGIBILITY FOR APPOINTMENT
One mus tbe a citizen of India and must have attained 18 years of age.
One must be sound health, active habits and free from any bodily
defects or infirmity rendering him unfit for the post.One must satisfy the appointing authority of his character.
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TIME KEEPING SYSTEM
A systamatic recording system is following in the organization muster roll
is used for recording employee’s attendance.
LEAVE RULES
Company as a specific leave terms. Casual leave is following maximum
our days in the months. Sic leave: it is allowing in the base of employees health.
ABSENTEEISM AND LABOUR TURNOVER
There is no absenteeism and labor turnover because workers get enough
satisfaction from their job. In most case management is in the rested to knowing
workers grievances and they take measures to solve these problems.
Grievance handling procedure
Managing director as a direct relationship with most of the employees. If
the employee as any dis satisfaction of the work they can informed that to the
managing director. The company is always asking the work satisfaction of the
employees and should solve the employee’s problem.
payment system
The company is keeping minimum wage policy
Time wage system is following
Remuneration is paying in monthly
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Job satisfaction
Employees are satified their job. They are fully committee and
enthusiastic. Employees are contributing their roles for achieving the
organization goals.
Job evaluation
Job evaluation is doing from the managing director.
Motivation
Employees are getting maximum freedom in the organization. They are
involving in all activities of the firm, they are highly motivated people.
Management is protecting the employees rights and needs. Employees ideas are
considering for achieving the orgnaizational goals. Management is using y-
theory for motivation.
Salary and increment
The company provides fair wages to all the employees of the organization.
The company is increasing employees salary according to the profit margin in
every year.
Management information system(MIS)
Computer systems are using for recording daily transaction, account
keeping, according employees details, payments, etc....separate software is using
for the this purpose.
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WELLFAIR ACTIVITIES
o Canteen and rest rooms
o Safety and thelth measures
o Providing uniforms
o sick leaves
o National and festival holydays
o Bonus is giving three times in any year (Ramazan, Onam, Vishu)
BEHAVIOURAL ASPECTS OF EMPLOYEES
Initiative
Willingness
Punctuality
Discipline
Obedience
Commitment
Relationship with others
Innovative
Dynamism
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QUALITY CONTROL DEPARTMENT
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Quality Control Department
One of the major achievements of the industrial revolution has been the
ability to mass-produce goods to uniform quality. In recent years poor quality
has been causing problems to industry owners.
Quality refers to the sum of attributes or properties that describe the product.
There are generally expressed in terms of specific product characteristics.
Customers have a great awareness of their health “who can make the product
differently with high quality they can survive the market”, this polity following
the company. So the company always cares about the quality of the product. In
every stages of the production process, it is doing very systematically, and
alsogreat care about the quality of raw materials using for production.
Quality measuring Techniques
Quality measuring techniques are as follows
1. Brisk meter/Refractor meter
It is using for testing the sugar level of the product. It helps to keep the
sugar in accurate level.
Normal Sugar level of the products
Product Levels
Cola 11
Orange 11
Lemon 12
If the Sugar level is lower or higher than the normal point, it is relieving in
to normal point for using volumetric machine.
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2. Total Quality Management
TQM is implementing in the company for ensuring the quality of the
product. Employees are participating in quality measurement. Quality
analyzing is doing in every production process. Each employees has their own
role in TQM.
3. PH meter
It is used for checkcing the purity of the water. It is the water used for
checking the acidity base in the water. Normal acidity of the water is “seven”
that indicates the purity of the water. If the water acidity base is higher than the
“seven” It is not be the purified water. Filtered bleaching powder is using for
purifying purpose.
4. Calibration meter
It is another meter for using wate rpurification.
5. Inspection
Periodic inspection is conducting by Food inspector and Factoryh inspector
without prior information. Inspection is also conducting under FPO (Food
Processing Organization).
6. Sample K eeping
Company always keeps for sample product from every batch. The purpose
of this sample keeping is to ensure the product will not have any damages within
six months. Expiry date of the product is 6 months.
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Material handling equipments
There are mainly used one equipments in the production. It is called
conveyers and for handling the material they have 3 vehicles such as 2 tempos
and one jeep.
CERTIFICATES
The company has 2 certificates
1. FPO
2. ISO
Waste Disposal System
The company has a provision for the disposals of waste facilities are
available to near the unit. Small tank for dumping of solid waste such as bottles
etc and there is a separate tank for paepr waste. The liquid waste is going
outside through pipeline.
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MARKETING DEPARTMENT
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INTRODUCTION
Marketing can be defined as the performance of business activities that
direct the flow of goods and services from producer to customer. Marketing is
human activity directed at satisfying neds and wants through and echange
process. It also indicates creation and retention of customer and satisfaction of
human needs of the society. It is about winnings votes from customer in the
market place. Marketing is every where. Formally or informally people and
organization are engaged in vast number of activities that could be called
marketing. Good marketing has become an increasingly vital ingredient for
business success. And marketing profoundly affects our day-to day lives.
IMPORTANCE OF MARKETING
Financial success depends on marketing ability. Finance, operations,
accounting, and other business functions will not really matter if there is not
sufficient demand for product for services. So the company can make a profit.
Marketing manager make a major decisions such has that features to designed to
new product, what price to ffer to customer, where to sell product, and how much
to spend on advertisement or sales.
SCOPE OF MARKETING
Under standing the customer needs and wants
Study of buyer behavior
Product planning and development
Price policies
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DistributionPromotionMarketing information and demand forecastingConsumer satisfactionMarketing Audit
Product
Consumer is the king in the modern market. Every company is focuses to
make the goods which can satisfy the customer. Who ever can make the better
product based on the consusmer taste and preferences, they can survive in the
market. Product is a key element in the market and company generally offers
products and services of susperior quality. A new or improved product will not
necessarily be successful unless the product is priced, distributed, advertised and
sold properly.
Pricing
Pricing policy is the policy adopted to determine the price of a product.
The general pricing policy adopted by the company is cost plus pricing, which
means the computation of price by adding a certain percentage of profit to the
cost of the product per unit.
Price is the one of the elements of the marketing mix that produces
revenue. Prices are perhaps the easiest elements of the marketing programme to
adjust; product features, channels and even promotion take more time. Price also
communicates to the market the company’s intend value positioning of its
product or brand. A well desgined and product can commend a price premium
and reap big profits.
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Company’s Pricing Policy
The company is following the going rate pricing policy from initial stage.
The company imitating Coca-Coal and Pepsi’s for fixing the price.
Prices of the Products
Soft drink (Lemon,Orange,Cola)
TYRE M.R.P.
2 Litr 48
1.5 Ltr 43
500ml 20
300ml 12
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Aerated water
TYPE M.R.P.
1.5 Ltr 25
500ml 10
Mineral Water
TYPE M.R.P.
1 Ltr 12
Distribution channel
The company mainly following four types of distribution channels.
But the company always likes to keep the direct distribution channel, because
the organization know the market condition, demand and customer preferences
from the market and also work for the increase of the sales
1 2 3 4
Company Company Company Company
Agent Wholesalers Agents Retailer
Wholesalers Retailer Retailer Customer
Retailer Customer Customer
Customer
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Marketing strategy
Marketing strategy is a set of objectives, policies and rules that guides
overtime the forms marketing efforts. AL MAN HAL ENTERPRICES adopted
the marketing strategy by following the market leader at a distance.
Market segmentation
Market segmentation is the grouping of buyers on the basis of location,
income, age, education, sex. Etc., So as to enhance satisfaction to consumers and
profit to the marketer. Here in AL MAN HAL ENTERPRICES they have no
such market segmentation but they adopt the segmentation strategy of
undifferentiated marketing that is the marketer does not differentiate between
different types of customers.
Competitors
AL MAN HAL ENTERPRICES faces a lot of competittion in the field of
soft drinks. Their main competitors are COCOCOLA, PEPSI, TOPICAL etc.
Marketing mix
It is the combination of various elements, that is; product, price place and
the promotion.
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Commission and profit margins of Agents and wholesalers
Soft drinks
RETAILERS
TYPE DISTRIBUTION PRICE M.R.P.2 ltr Rs. 43 Rs. 48
1.5 ltr Rs. 38 Rs. 43
500ml Rs. 16.50 Rs. 20
300ml Rs. 9.5 Rs. 12
Per Soda
TYPE DISTRIBUTION PRICE M.R.P
1.5 ltr Rs. 18 Rs.25
500ml Rs. 7.50 Rs.10
Aerated water
TYPE DISTRIBUTION PRICE M.R.P.1 Box Rs. 83 Rs. 95
(12 Pieces)
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COMMISSION TO WHOLESALEERS AND AGENTS
The company is providing commission to the wholesalers at 5-10% and
agents at 10-15% on the base of distributed price.
Place
Place is the area where the products are physically distributed at the right time.
AL MAN HAL ENTERPRISE distributes its products mainly in five districts of
Kerala. They are
Kasaragod, Kannur, Wayanad, Malappuram & Kozhikode.
Promotion
Promotion consists of all activates aimed at inducing and motivating customers
to buy the product. It includes advertising, public relations, personal selling and
sales promotions.
Public Relation
Public reation includes all the non sale communication. The business has with
their various audiences. It consists of both communications with general public
and press relations. For the public relation AMHE sponsors prizes, awards and
program like ganmela, tournaments etc.......
Personal SellingIt is the oral presentation in conversation with one or more prospective
pruchasers for the purpose of making sales. AMHE has also adopted personal selling by the marketing manager and sales man.
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SALES PROMOTION
Sales promotion means all those activities which are directed towards promoting
sales. They are mainly concentrated on three kinds of sales promotion they are;
Consumer promotion
Dealer promotion
Sales force promotion
In NAME consumer promotion schemes are like samples, premium offer etc.....
SALES
Dealer promotion schemes are like price deals, free goods, advertising materials, buying allowances, specialty advertising. Sales force promotion schemes are like bonus to the sales forces, sales meeting and conferfences. Company has following different types of promotional activities. That are, giving advertisement in news papers, visual medias, magazines, mouth publicity, creating publicity through giving sponsorship to the sports and cultural events tocrate the product demand.
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ADVERTISEMENTS
Advertising
Advertising is a paid form of non persnal presentation and promotion of
ideas, goods and services by an identified sponsor. In order to promote the sale
or reputation of this product AL MAN HAL ENTERPRICES adopted product
advertisements.
Advertising agency
Advertising agency of AL MAN HAL ENTERPRICES is MEDIA
LINKS, CALICUT.
Caption
“Quench your thirst with HANNA”
“ Enjoy up to the final drops”
Television channel
Visual medias are the mass advertising area. Customers can esily
understand about the product through visual medias with the help of the product
adds. It is the best way of presenting about the product. A customer is attracting
on Adds. Modern market is consumer oriented, so most of the companies are spending crores of rupees in advertisement. The purpose is presenting the
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product features in a nice and attractive manner to the customer. The company is using different popular visual media for advertisement. They are:
CHANNELS
Doordarshan, Asianet, Kairali, Jeevan and Surya
Asianet
HANNA was sponsoring the ‘Super six’, It is Musical programme in Asianet channel.
Kariali
Currently the company is giving advertisement in Kairali channel.
THEATERS
The company is theater for attracting all levels of people.
NEWS PAPERS
Mathurbumi, Madhyamam, Kerala Koumudi and Deshabhimani
MAGAZINES
College magazines and othe rmass published magazines
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PUBLICITY PROGRAMMES
Printing notices to the cultural and sports events with product
advertisement giving sponsorship to different program
BANNER
FLEXI BOARDS
VEHICLE BOARDS
ADVERTISING BOARDS
COLLEGE CANTEENS AND HOSPITAL CANTEENS
Products are supply in college canteens and hospital canteens. It helps
to getting the publicuty of the product to youth and all class of the
society.
FOCUSING IN MARRIAGE FUNCTGIONS
The product have a high demand in marriage functions are or
ganizing in luxuries manner. HANNA can get a high demand
in mar riage functions. The company is focusisng in marriage
functions with the help of local personal agene who have more
relationship in the area. The company is giving commission for this agents.
COMPLIMENTARY GIFTS
The company is giving complimentary gifts to
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the dealers and agents for sales promotion. It helps to motivate them to work for the increment of sales. The complimentary gifts are like Bags, Calendars, Diarys, T-shirts, Pen boxes and Clocks.
EFFECT OF ADVERTISEMENT
The company getting the positive results from the advertisement. The
company can create product awareness in the minds of the customer through
advertisement.
Feed back
Organization is calling periodic customers meeting. That includes
Wholesalers, Retailers and Agents meeting. The company is providing food and
other allowances to the customers in the meeting. The purpose of the meeting is
tomotivate the customers and consider their preferences for producing the goods.
The customer’s feedbacks of the products are collecting from the meeting
CUSTOMER PREFERENCE
The company is considered the customer preference for production
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SWOT ANALYSIS
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SWOT ANALYSIS
STRENGTH
High demand in rural areas
Customized production
Quality product
Direct sales
Commissions and discount schemes
Time supply
Location
WEAKNESS
Low production capacity
Semi automated plant
Lacks of expansion
OPPORTUNITY
Growth and prosperity
Fully automated plant
Increase of production capacity To be a market leaders
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THREATS
Competition from global soft drink companies
Complimentary scheme of competitors
MISSION
Providing the healthy drink to the society
The company always emphasis to produce quality products
Providing employment opportunity to the people
Work for social development
VISSION
Build fully automated technology
Expand the market share
New product development Dominate the soft drink industry
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FINDINGS&SUGGESTIONS
74
FINDINGS
The main findings of this project are listed below.
LACK OF PRODUCTION CAPACITY
This is one of the main problems of the company. The company does not have
sufficient production capacity so that the company failed to supply enough
quantity of product according to the demand. So the company should take
necessary steps to increase the production capacity.
LACK OF THE PROMOTIONAL ACTIVITIES
This is the another problem of the company. The company’s current promotional
activities are not enough to make the sufficient demand. So company should
concentrate more on creating demand.
LACK OF MARKET EXPANSION
This is too a problem of the company. Currently the company has market share
in only three districts in Kerala. So the company must take steps to expand the
market not only in Kerala but in the whole nation.
SEMI AUTOMATED PLANTThe company is currently operating with a semi automated plant and
machinery. This result in higher productioncost and low profit. The company is planning to change into fully automated plant with increased production capacity.
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After the analysis and interpretations the following are the findings about study
1. There is an efficient management in firm
2. Soft drink industry have good future.
3. Hanna is the most favourite soft drink among the consumers.
4. The main objective of the firm is to ensure quality product at
reasonable price
5. Lemon and Orange is the most movable product so greater,
concentration is needed on cola.
6. Distribution of Hanna product is limited in five districts in Kerala
7. The production capacity of the firm is inadequate
8. The firm is on growth stage.
PROBLEM OF DISTRIBUTION SYSTEM
Currently the company is distributing in only five districts in Kerala. The
company’s product has huge demand in South Kerala. But due to the lack of
good distribution system, the company has failed to supply products according to
the demand.
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YEAR BASE PRODUCTION OF PET SODA
Year Pet Soda 1.5 ltr 500ml
2006-2007 18000 22000
2007-2008 28000 34000
2008-2009 35000 39000
2009-2010 42000 45000
YEAR BSE PRODUCTION OF SOFT DRINKS
Year 2 Ltr 1.5 Ltr 500Ml 300Ml
2006-2007 200000 150000 70000 50000
2007-2008 300000 230000 100000 75000
2008-2009 380000 280000 120000 90000
2009-2010 410000 300000 150000 110000
MARKET SHARE OF THE HANNA SOFT DRINKS IN KASARAGOD
Name of the Company % of Share
Hanne 65
Pepsi 25
Coca cola 10
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FUTURE PLANS OF AL MAN HAL ENTERPRICES
Company likes to expand its plant and already bought land in front of current location. The comapny is likes to expand its plant with fully automated technology and also epands its production capacity. Company has an idea for start to make bottle cork, perform and laminated box with in the firm.
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SUGGESTIONS
More promotional activities are needed. The company should give more information about the prod
ucts to the consumers through advertisement and other promotional activities.
The company should conduct a market survey that will help the company to understand the consumer needs so that it can produce the product according to the demand
The plant capacity and storage capacity must be increased at the earliest
Performance appraisal method should be improved Recreation and other facilities to the employees must be in
creased
Work over load of the employees must be redused
The company should adopt the professional management system. The efficient management can itself guarantee success.
The company can open the exclusive showrooms in every districts in Kerala. It helps to know the market demand and make the product awareness in the society. The company can directly control the business through these showrooms.
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CONCLUSION
The company’s product has high demand inMalabar area especially in Kasaragod district. The company should expand their market all over in Kerala. The company’s product has higher demand that what they are capable to produce. So the company should expand their production capacity with fully automated technology. If the company is opening the exclusive showrooms in every districts within Kerala, the company can seize more market demand. The last year financial statements of the company shows that it is yeielding more profit in every year which is a positive sign.
Here I conclude this report wishing all the very best fortunes to ALMAN HAL ENTERPRISES. Once again I express my gratitude towards the Manager and the staff.
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BIBLIOGRAPHY
Marketing Management - Philip Kotler & Kevin Lane Keller (12th Edition)
Personal Management - C.B. Memorial & S.V. GankerFinancial Management - I.M. PadneProduction Management - K.Aswathappa & K. Shridhara Bhatt
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