1. INTRODUCTION 1.1 INTRODUCTION OF THE STUDYAs part of the MBA
curriculum we have to under undergo a project for a period 10th may
to 9th June in various organization or industrial concerns; which
will provide us a practical exposure in management fields. This
organizational study is aimed at to know detailed knowledge about
the various departments; the study is conducted at K.P.Namboodiris
Ayurvedics , Vadakkekkad in Thrissur District. The Organization
Study includes the structure and functioning of the
organization.Organisation structure is the structured framework
within which the efforts of different people are coordinated to
each other. Organization as the structure refers to the network of
relationship among individuals and position in the organization .It
is blue print of how management will take the various activities
and function to be performed. K.P.Namboodiris Ayurvedics is a
proprietary in India was set up in the year 1925.The company has a
very good administrative, Production and marketing setup backed by
an efficiently set of personal with all the officer facilities, it
has also a very well experienced, skilled and semi skilled work
force, the company is manufacturing and selling a variety of
ayurvedic products like ayurvedics toothpaste, herbal oils,
shampoos etc. K.P.Namboodiris is one of the leading oral care
products manufacturing company, instantly they concentrated on some
generic product like Camphor, Vibhoothi etc. The organization has
changed its production facilities to meet the market demand of the
product, it absorbed latest technology for better efficiency and
through proper strategy planning it can make good sales and also
create a good forward loyalty in the mind of customers.
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1.2
IMPORTANCE OF THE STUDY The study was to have general awareness
of the functioning of the various departments and management of
K.P.Ns. The study helps to analyze each department and to attain
information regarding the strength, weakness, opportunities and
threats of various departments.
The study was conducted to get a practical knowledge about the
working of theorganization.
1.3
OBJECTIVES OF THE STUDY To get an overview about history,
development and present status of K.P.Ns To understand the
organization structure of the company. To study the products
provided by the company. To understand how the different department
of the organization are functioning. To study how the management
control various department.
1.4
SOURCE OF DATA Primary data Primary data is collected through
direct observation of various functions and interaction with
various departmental heads and the employees of the
organization.
Secondary Data Secondary data is collected from official
documents, like company profile, industry profile, organizational
manuals, and from company website.
1.5
LIMITATION OF THE STUDY Full collection of data is not possible
because of unrevealed trade secrets. Respondents opinions are
influenced by many factors. At the time of collecting primary data,
the respondents may not give the true information for achieve the
objective of the stu
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2. PROFILE 2.1 INDUSTRY PROFILE
About FMCG Industry
The Fast Moving Consumer Goods (FMCG) industry primarily deals
with the production, distribution and marketing of consumer
packaged goods, i.e. those categories of products that are consumed
at regular intervals. Examples include food & beverage,
personal care, pharmaceuticals, plastic goods, paper &
stationery and household products etc. The industry is vast and
offers a wide range of job opportunities in functions such as
sales, supply chain, finance, marketing, operations, purchasing,
human resources, product development and general management. Global
leaders in the FMCG segment are Sara Lee, Nestl, Reckitt Benckiser,
Unilever, Procter & Gamble, Coca-Cola, Carlsberg, Kleenex,
General Mills, Pepsi and Mars etc. Performance In India, the FMCG
industry is the fourth largest sector with a total (organized)
market size of over US$15 billion in 2007, as per ASSOCHAM, and can
be classified under the premium and popular segments. The premium
segment (~25%) caters mostly to the higher/upper middle income
consumers while the price sensitive popular or mass segment (~75%)
consists of consumers belonging mainly to the semi-urban or rural
areas that are not, and cannot afford to be, brand conscious. The
market growth over the past 5 years has been phenomenal, primarily
due to consumers growing disposable income which is directly linked
to an increased demand for FMCG goods and services. Indeed, it is
widely acknowledged that the large young population in the rural
and semi-urban regions is driving demand growth, with the
continuous rise in their disposable income, life style, food habits
etc. On the supply side, the wide availability of raw materials,
vast agricultural produce, low cost of labor and increased
organized retail have helped the competitiveness of
players.RVSIMSR, SULUR, COIMBATORE Page 3
At a time when the economy and other large industrial sectors
such as automobiles, aviation and financial services are reeling
from the global slowdown, the consumer goods sector in India has
managed to defy the trend. According to the recent reports by Zeus
Consulting, India's FMCG industry has so far been resilient to the
slowdown in the economy and a dip in consumer sentiment, with most
companies posting double-digit growth in net profits in the first
half of fiscal 2009, backed by healthy sales. As very categorically
said by the Amway India Enterprises managing director and chief
executive, Mr. William Pinckney, I am not saying that our company
[sector] is recession-proof but it is recession-resilient. This
statement on the whole stands strong for most the leading players
in the FMCG sector. While a price hike and cost-cutting were the
first lines of defense in a bid to protect margins, Indian
manufacturers were able to let logic rather than bottom lines
dictate measures, with increased marketing efforts, a well-thought
product mix and new launches helping them emerge unscathed from the
turmoil. The prospects going forward also remain promising. Adi
Godrej, Chairman and MD of Godrej Consumer Products Limited (GCPL)
and Chairman of Godrej Industries feels that the best policy would
be to provide tremendous fiscal and monetary stimuli to the
economy, [stimuli is needed] especially in industries connected
with consumer finance. Once that is done, the economic growth will
come through and that will generally create multiplier factors.
FMCG already seems to be doing quite well and FMCG sector will have
its best year ever in 2009-10, he said. Future Prospects The only
threats to this strong growth trajectory remain the high portion of
unorganized trade, the limited distribution network of new entrants
and the pressure on profit margins due to increasing competition.
But these are likely to be of diminished importance as proportion
of organized trade increases and players invest in improving
distribution. Going forward, the industry prospects remain
attractive, and new graduates can hope to leverage the training and
on-the-job learning at the leading players in various functional
roles, across the Metros as well as the interior heartlands on
India.
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2.2 COMPANY PROFILE2.2.1 Company History: K.P.Namboodiris
Ayurvedics, is a fast growing company based in Thrissur District of
Kerala State. Its branded product Danatadhavanachoornam traces its
beginning to some eight decades back, when its founder K.Pothayan
Namboodiri (K.P.Namboodiri) obtained a unique Ayurvedic formulation
from an erstwhile royal family. After his demise in 1957, K.Raman
Namboodiri, his second son, steered the company and established the
business in the whole of Kerala by competing with Multi-Nationals.
Sri K.Bhavadasan, the third generation of the family, had to take
over the Company in the year 2000 in his early thirties, on the
unexpected and early demise of his father Shri Raman Namboodiri.
The first task of Shri Bhavadasan was to undertake automation to
cater the increasing need of the customers. With a view to meet the
challenges of the future, the company built a state-of-the-art
factory with computer controlled machinery. Now K.P. Namboodiri's
has grown to a corporate level under the able leadership of Shri
Bhavadasan, its Managing Director. Presently K.P.N. Group comprises
of the following:K.P.Namboodiris Ayurvedics b. K.P.N. Products c.
K.P.Namboodiri's Auditorium d. Devaragam Resorts P Ltd. e. Ramco
Herbals P Ltd. f. Pothayan Namboodiri Charitable Trust.
K.P.Namboodiri's has got branches at Coimbatore in Tamil Nadu and
Unjha in Gujarat State. 2.2.2 Areas of Operation and Scope of
Export: The Companys flagship brand Dantadhavachoornam is the
largest selling brand in Keralas tooth powder market with 75 to 80%
share. It has a strong presence in Tamil Nadu and Karnataka with
encouraging acceptance in other States of the country. The product
is also being exported to Middle-East countries. We are exploring
the scope of extending the Export to Europe and other
Countries.
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2.2.3 Research & Development Department: Rightly understood
the scope for ayurveda in personal care products K.P.Namboodiris
set up a well and fully equipped modern Research and Development
Department with substantial investment to aid and speed the process
of further innovations. With a view to fulfil its ambitious brand
extension programme, the company was able to get experienced
Research and Marketing Professionals with lot of success stories to
their credit in Multi-National companies. These measures have
helped the company to gain a clear edge and to consolidate its base
of unstinted customer support. 2.2.4 K.P.Namboodiris Mission &
Vision: Mission of K.P.Namboodiris is to cater the needs of general
public in the field of oral, skin and hair care products with
ayurvedic approach, and other generic products, keeping high
quality at affordable rates and keeping the concept of Back to
nature. It also aims to fulfil the needs of tourism development in
Kerala. The company believes that it is on account of the
dedication of its employees, the trust reposed by generations of
customers, and the uncompromising standards of quality followed all
along; it could gain wide acceptability in the competitive market.
The Companys present turnover is double of that relating to five
years ago. With a definite vision to make the turnover five fold in
another five years period the company is working to introduce new
products/projects, and also to expand the areas of operation
geographically. 2.2.5 How it stands today....: For the last few
decades in Kerala, K.PNs Dantadhavana Choornam is the synonym to
dental care. It is a dominant player in the south Indian market. It
is expanding its base to north India too. Apart being from the
front runner in the toothpowder industry of south India, now it is
being exported to foreign countries such as Germany, Gulf countries
South Africa and Sri Lanka.Instantly they started new products like
herbal oil, shampoo and skin care products. High level of
mechanization along with efficient and loyal work force are giving
the necessary thrust in the production process to meet the
increasing demand from all parts of the globe .
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If I borrow the word of Shri Bhavadasan the present Managing
Director and CEO of the company, The success of Dantadhavana
Choornam lies in the strict adherence to quality along with the
good relationship being maintained with dealers and customers.
Nothing is there is a secret in the success of K.P.Namboodiris
products. It is strongly rooted in ayurveda and is part of glorious
tradition. Its ingredients are natured and preserved by nature. So
its effect is natural and thus without any side effect. 2.2.6
Management of the Company: Management is an activity composed of
some basic functions, for getting the objectives of any enterprise
accomplished with and through the efforts of its personal.
Management becomes essential for directing and unifying the group
efforts to a common purpose. Management acts as a creative and
invigorating force in the organization. It ensures a smooth flow of
work in the organization by focusing on strong pints, overcoming
difficulties and establishing a team spirit. The real thing behind
the success of the company is the sincere dealing with the
consumers. The history and growth of the company prove this. The
management strongly believes that one who uses their toothpowder
for one week will never go for another. The company uses a caption
to show this idea we are always with common people. It is the
advertising slogan of K.P.Namboodiris product. K.P.N still not
practices systematic management techniques. In the beginning stages
the founder and owner, Pothayan Namboodiri himself was the manager
of entire business activities. At that time it was a sole trading,
1957 he handed over the ownership of the company to his son Raman
Namboodiri. Raman Namboodiri made company in to partnership system,
that partner were his family members. After his death, his son
Bhavadasan changed the company in to sole proprietorship system.
The present proprietor Bhavadasan himself control the entire
company activities, He has appointed separate person to manage the
department of accounting, sales, production, and purchasing. A
chartered accountant is auditing the accounts. These are the
arrangements done the company to reduce workload of the
proprietor.RVSIMSR, SULUR, COIMBATORE Page 7
2.2.7 MANAGEMENT TEAMManaging Director General Manager Deputy
General Manager Administrative Officer Production Manager Marketing
Manager : K .Bhavadasan : K.P Unnikrishanan : Narayananunni :
K.P.Raman : Murali : Suresh Divakar
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2.2.8 ORGANISATION STRUCTURE
MANAGING DIRECTOR
GENERAL MANAGER
DEPUTY GENERAL MANAGER
Factory Manager
Director Quality Assurance
Senior Manager System
Marketing Manager
Factory Supervisor
Area Marketing Manager
Team Leader
Department Manager
Sales Representative
(Chart no: 1)RVSIMSR, SULUR, COIMBATORE Page 9
2.3 PRODUCT PROFILEAfter 82 years of business in single product
viz. Danatadhavanachoornam, in variant and different pickings,
K.P.Namboodiris added one more oral product with the name
K.P.Namboodiris Ayurvedic Tooth Paste during 2007. Marketed under
the same popular brand name of K.P.Namboodiris, the tooth paste
also comes in different gramages with revamped logo under the
concept of Stronger, by Nature, reflecting the companys new vision.
Knowing the pulse of younger generation the Company launched
another quality product in tooth paste with the brand name
K.P.Namboodiris Ayurvedic GEL Tooth Paste. These products were well
accepted in the market in a very short time. Our Toothpaste
contains inter alia natural extracts of Black pepper which is
clinically proven for its anti-bacterial powers; Amla-a rich source
of Vitamin C with natural astringent properties; Clove-the
time-tested remedy for toothache etc. K.P.Namboodiris also came out
with generic products like "Dahamukthi", a health drink, and
"Vasana Bhasmam" (scented vibhoothi). The Company was anxious to
extent its services in the areas of hair case and skin care
products. In this process it launched ayurveda based shampoo (both
regular and anti-dandruff) and hair oil during July, 2010. These
products also stood for quality with reasonable pricing and were
well accepted in the market in a very short time. Companys desire
to enter into skin care products was full-filled in October, 2010
when it launched K.P.Namboodiris Ayurvedic Soap in three different
variants Sandal, Sandal + Turmeric, and Sandal + Ramacham.
Customers distinguished these products also by its quality and
price. K.P.Namboodiris has many more products in the pipe line and
hopes the launch in phased manner. In further process of
diversification, the Company entered into an entirely different
area when it inaugurated in February, 2011 its most prestigious
hospitality division Hotel Devaragam in the famous pilgrim centre
at Guruvayoor, Kerala. This division offers all theRVSIMSR, SULUR,
COIMBATORE Page 10
modern comforts of a star hotel in the traditional way providing
well equipped guest rooms and suits, fine restaurant, and
comfortable banquet hall.
ABOUT PRODUCTS 2.3.1 ORAL PRODUCTS Gel Tooth pasteK.P.
Namboodiri's trusted and proven oral health care secrets from
ancient cultures that naturally clean and tone modern mouth. With
the invigorating taste of lively mint and herbs, your mouth feels
completely refreshed, ensuring strong tooth.
Tooth powderK.P.Namboodiri's Danatadhavana Choornam (Ayurvedic
Tooth powder) is a combination of time honored medicinal herbs. The
recipe for this tooth powder was discovered from ancient ayurvedic
texts by a royal physician Kochukuttan Thampuran at Kodungalloor
Kovilakam, an erstwhile princely state in Kerala. Danatadhavana
Choornam is still prepared according to these closely guarded
secret formulas. It contained Amla, Pepper, Clove, Bhasma etc...
These special ingredients fight dental diseases, fortify immunity,
strengthen gums, add freshness to breathe and give that beautiful
pearly white luster to teeth.
Tooth pasteGenuine Ayurvedic tooth paste made from ideal natural
herbs to take care of common tooth problems and healthy tooth in a
Natural way...
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2.3.2 GENERIC PRODUCTS DahamukthiDahamukthi is a special
ayurvedic ingredients made it an ideal drink for quenching thirst
the healthy way. It purifies blood and promotes easy digestion.
Since Dahamukthi ingredients are in very fine form medicinal
benefits are fully absorbed in the boiled water.
Karpoor (Camphor)Camphor or Karpoor is well known for its aroma.
In fact K.P. Namboodiri's Karpoor is made to use in religious and
social rituals.
Bhasma (Vibhoothi)The Sanskrit word Bhasma literally means
'disintegration'. Bha means bharatsanam (to destroy), while sma
implies smaran (to remember). Bhasama is thus a reminder to us of
the ephemeral nature of life. K.P. Namboodiri's Vibhoothi is made
from natural rice bran in very fine form with long lasting
perfume.
2.3.3 HAIR CARE PRODUCT Anti Dandruff ShampooK.P. Namboodiri's
Ayurvedic Anti Dandruff Shampoo removes dandruff and protects hair.
Enriched with the goodness of nature, K.P.Namboodiri's Ayurvedic
Anti Dandruff Shampoo gently removes dandruff and prevents
recurrence, without causing any damage to hair. Besides, with tea
tree oil in K.P.Namboodiri's Ayurvedic Anti Dandruff Shampoo your
hair gets an added lift from the synergistic action of tea tree oil
along with other herbs like Amla, Reetha, Shikakai, Bhangra, Aloe
Vera, all working together to provide maximum benefits to your
scalp, and hair.
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Hair Care ShampooK.P.Namboodiri's Ayurvedic Hair Care Shampoo is
a natural shampoo that conditions from deep within, while gently
cleansing and nourishing leaves your hair Strong, Soft and Shining.
It has the perfect balance of natural ingredients like Amla, Henna,
Hibiscus, Bhangra, Aloe Vera to nourish the hair from root to tip
and helps strengthen hair and reducing hair fall.
Hair Care OilK.P.Namboodiri's Ayurvedic Hair Care Oil enriched
with Amla, Henna, Hibiscus, Bhangra, Thulsi, Nilika, Curry leaves,
ensures strong, thick and black hair. K.P.Namboodiris Ayurvedic
Hair Care Oil enriched Coconut Oil with its superior nourishment
properties is the perfect remedy for all your hair problems. It
also fights dandruff besides keeping your hair strong, thick and
black. 2.3.4 SKIN CARE PRODUCT
Turmeric+Sandal SoapAyurvedic Turmeric+Sandal Soap leaves your
skin soft, smooth and glowing. Antioxidant in Turmeric binds free
radicals and slow down cell damage. Turmeric maintain youth by
controlling wrinkle and crease formation on the surface of the
skin. Prepared from pure vegetable oil and natural ingredients like
Turmeric, Sandal, Neem, Aloe Vera and Thulsithis unique soap
provides enhanced protection to skin in addition to making your
skin soft, smooth and glowing.
Ramacham+SandalAyurvedic Ramacham+Sandal Soap brings the
richness of pure vegetable oil and Vetiver (Ramacham) to cool your
skin and whole body. Vetiver, one of the most cooling herbs in
Ayurveda, is used as high end perfume and it has wonderful effect
on body and mind. Revitalise your body with K.P. Namboodiris
Ayurvedic Ramacham+Sandal soap made from Ramacham, Sandal, Neem,
Aloe Vera and Thulsi in Vegetable Oil.RVSIMSR, SULUR, COIMBATORE
Page 13
Turmeric Fairness CreamNew K P Namboodiri's Turmeric Fairness
Cream for Faster, Longer lasting natural fairness for all skin
types, Traditionally proven K. P Namboodiri's Turmeric Fairness
Cream is enriched with natural time tested herbs: Turmeric which is
a natural anti-oxidant and an excellent fairness incorporating
herb, Licorice is well known for its sun protection activity and
Wheat germ oil a natural source of Vitamin E and imparts skin glow,
nourishing and moisturizing.
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3. BUSINESS LEVEL FUNCTION 3.1 PURCHASE DEPARTMENTPurchase
department also known as Material Department. This material
department concerned with both raw material and finished goods. In
K.P.N the purchase section is managed by the production manager for
purchase working under the material division manager. They use to
purchase the raw materials needed from the distributors. The
company purchase Liquorices, Amla, Clove from different suppliers
both from inside and outside Kerala. They consider mainly quality
and availability of the material. The raw materials like ginger etc
are purchase from local suppliers. The company keeps purchase
register and day book perfectly. The batch number, serial number,
and data are noted while buying these materials. The material are
used during the production are from stores. When the stock of each
material reaches reorder level, a purchase order is given to the
firm from which the materials are purchased. In the company
material control department is divided in to three sections are
purchase section, store section and dispatch section. All these
sections contribute the material control department. The purchase
section deals not only the raw materials also the packing material
and miscellaneous. The purchase manager gets the full freedom to
take decisions.
3.1.1 FUNCTIONS OF PURCHASE DEPARTMENTIn every organization
purchase department is very necessary. Actually purchase department
is considering as the primary department in any organization,
because the raw materials, that are needed to our production
function is provided only through purchase department. Mainly these
departments purchase the raw materials, packing material processing
material and other miscellaneous item. This department will help to
ensure that purchased products are met specified use by
implementing proper inspection and test activities by Quality
Control department. The main function of the purchase department
was the supply of right material of right quantity in right time at
right place.RVSIMSR, SULUR, COIMBATORE Page 15
The purchase department puts almost care in the purchase of raw
materials. Many of the materials are the agricultural by products
and re seasonal in availability. The raw material amount was more
than half of the expenditure of the company. The prices of raw
material fluctuate with the seasonal times as well as with off-
season. The price of Cardamom and pepper show difference with
seasonal change.
3.1.2 OBJECTIVES OF PURCHASE DEPARTMENT The main objective of
purchase department is ensuring the supply right quantity and right
quality of material at right time and right place. Right time will
increase the delivery rating of the material. Right quantity
materials increase the quality of the material. Maintains the right
price difference. Ensuring mutually beneficial supplier
relationship.
3.1.3 DEPARTMENT CHART PURCHASE MANAGER
STORE KEEPER
ASSISTANT STROE KEEPER
WORKERS
(Chart no: 2)RVSIMSR, SULUR, COIMBATORE Page 16
3.3.4 FLOW CHART FOR PURCHASE PROCESS
W.I.PSupplier Supplier
Supplier
R.M
R.M
Supplier
Supplier
Supplier
W.I.P(Chart no: 3)
3.1.5 MODE OF PURCHASEHere K.P.N. Purchase raw materials are a
bulk and with demand. The material like cardamom, Karpoor, pepper
etc will purchase, when the price become low. And that stored on
the ware houses. But in case of Menthol and other smell extracts
are purchased with their demand, otherwise it may lose its
qualities. Generally within 2 weeks a purchase is done.
3.3.6 MODE OF TRANSPORT OUT SIDE KERALAK.P.N.D has their
transportation facility .For the nearest state like Tamilnadu and
Karnataka Companys vehicle will carry the function. In other state
like Punjab, Gujarat, Delhi etc their suppliers will make facility.
For this state road as well as, sea transport has been used. They
have a branch on Ahmadabad; through this branch also hey carry the
purchasing.
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INSIDE KERALAFor inside Kerala companys vehicle will use. Here
the mode of transportation is road.
3.1.7 SUPPILERS A VEES CO.LTD, Thrissur EXLIXIR Extracts,
Ernakulum MUGRAI Brothers, Delhi GREET Herbals, Chennai
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3.2 PRODUCTION DEPARTMENTProduction is the process of which raw
materials and other inputs are converted in to finished goods.
Supreme production units produce high quality products which
undergo various stringent quality tests. Also advanced technology
is used for producing goods. In this department manual and or
machine operations are performed to concert the raw materials into
finished goods. In production department a good layout is
maintained. Layout involves the allocation of space and the
arrangement of equipment I such a manner that the overall operating
costs are minimized. The materials are transferred through a
service of operations arranged in an ordered sequence. Production
department is one of the important departments in the firm because
without production no company can exist. The production is run
under the control of production manager. For controlling the
production it has to increase the production through better
utilization of raw materials and there by decrease the cost of
production. These important activities are done under the
leadership of production manger. Production simply means generation
of goods and services to satisfy needs. It involves conversion of
input into output. Maximum utilization of recourses and reduce cost
of production is the two main objectives of production
department.
3.2.1 FUNCTIONS OF PRODUCTION DEPARTMENT Planning daily
production according to annual target. Submitting plan to
government and getting approval. Monitoring actual production and
checking any deviation is there. Making revision plans according to
actual production. Maintenance of plants.
Ensure maximum utilization of resources.
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Page 19
3.2.2 DEPARTMENT CHART
PRODUCTION MANAGER
ASSISTANT MANAGER
SUPERVISORS
WORKERS
(Chart no: 4)
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Page 20
3.2.3 PRODUCTION PROCESS DIAGRAM
HEATING
GRINDING
MIXING
FILLING
PACKING
COUNTING
TRANSPORT TO STORE
(Chart no: 5)RVSIMSR, SULUR, COIMBATORE Page 21
3.3 STORES DEPARTMENTStores department is very important to
arrange different items of materials in a systematic manner. Store
department is working with purchase department and production
department. The materials are during the production from the
stores.K.P.Ns generally stores materials for the next two weeks.
The stock regarding various materials are recorded on a book that
is kept in stores department called stock book. The particulars
regarding the issue of materials and their quality are recorded in
this book. When the stock of each material reaches the reorder
level, a purchase order given to firm from where the materials are
purchased. Stores recorded for materials provide information
relating to receipt and issue. Proper storage is essential for
material cost control.
3.3.1 FUNCTIONS OF STORES DEPARTMENTThe main function of store
section is to ensure the availability of raw materials, packing
material and to maintain finished goods. The company maintains a
simplest and efficient procedure for the functions of the store.
The production is based on the sales target. These sales targets
are given to the production department prepare the first raw
materials to be purchased. The first name purchased requisition
received from the production department by the stores section
reduce the opening the stock of raw materials in the godown. The
new first raw materials are developed name as material intend. The
materials intend is given to purchase section. The store authority
keeps the daily stock account in the stock register. The vouchers
related are filed in a proper manner.
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DISPATCH SECTIONDispatch section is another section attached to
the stores department. It is a section where order of sales is
received and dispatching of goods sold is done. The opening stocks
of goods are taken at morning. Sold goods are reduced from the
stores and the fresh stock is added. The closing stock is taken at
the evening. As per the receipt of sales order form, the section
authorities prepare delivery Chelan and forwarded to the store
section for loading goods to vehicle. Based up on the order bills
were taken in to three copies, one copy is signed and it is filed,
second one is signed and given to the driver. The third copy is
given to financial department. The book kept in dispatch section
daily outward book. The content of this book are the name of
purchaser quantity, price dispatch date, signature complaint if any
voucher number of order form. Delivery Chelan and bills are
filed.
3.3.2 DEPARTMENT CHART
STOCK KEEPER
ASSISTANT STORE KEEPER
WORKERS
(Chart no: 6)
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3.3.3 PROCESS FLOW CHART
SUPPLIER RAW MATRIALS PURCHASE DEPARTMENT RAW MATERIAL STORE
DEPARTMENT
RAW MATERIAL QUALITY CONTROL
RAW MATERIAL PRODUCTION SECTION
(Chart no: 7)
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Page 24
3.4 MARKETING DEPARTMENTMarket is a root word in the term
marketing. The word market is derived from the Latin word marcutus.
It means merchandise, trade or a place where the business is
conducted in ordinary language, the term market means a place where
goods are bought and sold. Market is a battle field where the
marketing battle takes place. In market there have customers who
are willing and able to spend money to satisfy their needs. There
are competitors as well as restrictions at every turn like rocks in
stormy sea. The term market can be mathematically defined as
follows; Market = People + Purchasing Power + Persuation In the
word of Philip Kotler, marketing is the human activity directed at
satisfying needs and wants through an exchange process Marketing is
the crucial deciding point at which activities of an organization
meet the approval or disapproval of customers from every walk of
life. Traditionally, marketers have played role of middlemen,
changed with understanding customer needs and transmitting the
voice of the customer to various functional areas in the
organization, who they acted upon these needs. Marketing management
is a business discipline which is focused on the partial
application of marketing techniques and management of a firms
marketing resources and activities. Rapidly emerging force of
globalization have compelled firms to market beyond the borders of
their home country making international marketing highly
significant and an integral part of firms marketing strategy.
Marketing managers are often responsible for influencing the level,
time and composition of customer demand accepted definition of the
term. In part, this is because the role of marketing manager can
vary significantly based on a business size, corporate culture and
industry context. For example in a large consumer products company,
the marketing manager may as the overall general of his or her
assigned product.
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Traditionally marketing analysis was structured into three
areas: Customer analysis Company analysis Competitors analysis (so
called 3Cs analysis) It has become fashionable in some marketing
circles to divide into certain five C. Customer analysis Company
analysis Collaborator analysis Analysis of the industry context.
Department analysis is to develop a schematic diagram for market
segmentation, breaking down the market into various constituent
group of customer, which is called customer segments or market
segmentations. Marketing managers work to develop detailed profiles
of each segment, focusing on any number of variables that may
differ among the segment:
Demographic Geographic Psychographic Behavioral Needs benefits
Other factors Marketers also attempt to trick these segments
perceptions of the various products in the
market using tools such as perceptual mapping.
3.4.1 KEY CONCEPTS OF MARKETING DEPARTMENT Product Pricing
Promotion Distribution Service RetailPage 26
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3.4.2 OBJECTIVES OF MARKETINGThe basic objective of marketing is
to satisfy human wants. The other important objectives of marketing
are as follows. Increasing consumption Creation of goodwill Cost
reduction Price stability Profit through customer satisfaction
Ensure growth Providing wide choice of goods Improving quality of
life Retaining customers
3.4.3 SCOPE OF MARKETING DEPARTMENT Understanding customers
needs and wants Study of buyer behavior Product planning and
development Distribution channel Marketing information and demand
forecasting Consumer satisfaction
3.4.4 MAJOR CUSTOMERS Kaipilly Brothers,Thrissur Delta Traders,
Guruvayoor Milka Traders , kunnamkulam Trade Line, Ernakulam
Malabar Traders, Trivandrum
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3.4.5 COMPETITORS Dabur Colgate Himalaya Dhathri etc...
Unilever
3.4.6 DEPARTMENT CHART
Marketing Manager
Sales Executives
Sales Representives
Sales Representives
Sales Representives
Southern Zone
Middle Zone
Northern Zone
(Chart no: 8)
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3.4.5 MARKETING PROCESS DIAGRAM (CHANNEL)Products
Area Distributors
Sub Distributors
Retailers
Consumers
(Chart no: 9)
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3.5 FINANCE DEPARTMENTFinance department handles companys
monitory transactions. The finance department has a team of
professionals which regularly review the companys practices and
converts personal skills into efforts to continually improve the
financial statement of the company. Through effective management
practices and creative ideas, financial department team strives to
build a working environment that enables to use financial resources
and capabilities to serve customers better. The finance department
staff shares the companys dedication to customers better. The
finance department staff shares the companys dedication to customer
satisfaction. The staff structure may include the following team
members: Finance Director Deputy Finance Director Accountants
Finance Specialists and Cashiers
3.5.1 FUNCTIONS OF DEPARTMENT Preparation of monthly journal,
ledger, and trial Balance. Preparation of Half yearly consolidation
of ledger. Link schedule preparation. Profit and loss preparation
Balance sheet preparation.
3.5.2 BOOKS OF ACCOUNTS Day Book Sales Register Purchase
Register Ram materials Stock Register Salary and Wage Payment
Register Finished Goods Stock Register Cheque Outward Register
Dealers Cheque inward RegisterRVSIMSR, SULUR, COIMBATORE Page
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Cheque for Collection Register Provident Fund Register Stamp
Register Dealers Book Fixed Deposit Register Supporting
Documents
3.5.3 DEPARTMENT CHART OF ACCOUNT SECTION
Managing Director
General Manager
Deputy General Manager
Internal Auditors
Administrative Officer
Senior Accountant
Junior AccountantsRVSIMSR, SULUR, COIMBATORE Page 31
3.6 HUMAN RESOURCES DEPARTMENTLabor is an important element of
business. An effective utilization of labor will help the company
to achieve the goal easily and company must provide more facilities
and benefits to labors, personnel management is concerned with
increasing the effectiveness of human performance in real sense. It
is concerned with the optimum use of the human resource in an
effective manner to achieve the organizational goal. In K.P.Ns
human resource considered as the important asset of the company.
The major portions of workers are located in the production section
and others are in office section. Human Resource Development is a
framework for the expansion of human capital within an organization
or in a municipality, region, or in nation. HRD is a combination of
training and education, in a broad context of adequate health and
employment of training and education, in a broad context of
adequate health and employment policies that ensure the continual
improvement and growth of the individual, the organization, and
then national human fullness.
3.6.1 OBJECTIVE OF HR DEPARTMENT To maintain the optimum
manpower required to sustain the growth of the organization. To
motivate and manage human resource and train them to ensure their
personal and organization development.
3.6.2 FUNCTIONS Organization human resource planning and
development Retirement and selection Wage and salary administration
Employee records maintaining Performance appraisal Welfare program
Job evaluation Handling employee grievances Handling the legal
issued within and outside the organization.RVSIMSR, SULUR,
COIMBATORE Page 32
3.6.3 DEPARTMENT CHARTHR Manager
HR Executives
Office staffs
Trainer
Workers (Chart no: 11)
3.6.4 EMPLOYEE STRENGTHThe company totally has nearly 150
employees Female employees: 95 Male employees: 55
3.6.5 TIME SCHEDULE OF WORKOffice timing: 9.30am to 5.00 pm
There hasnt any shifting work schedule. Leave /month: 2 casual
leaves (excluding Sunday & holiday)
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3.6.6 ALLOWANCES FOR WORKERSBonus: With every national festival,
like Onam & vishu etc Other allowances: PF, GPF, GRATUITY,
SAFTEY ALLOWANCES etc.
3.6.7 SELECTION PROCEDUREIn K.P.Ns the employees are selected by
face to face interview method. there have an interview panel
include; Managing Director General Manager Internal Auditor
Functional Areas Managers For that
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4. SWOT ANALYSISA scan of the internal and external environment
is an important part of the strategic planning process.
Environmental factors internal to the firm usually can be
classified as strengths (S) or weaknesses (W), and those external
to the firm can be classified as opportunities (O) or threats (T).
Such an analysis of the strategic environment is referred to as a
SWOT analysis.
Strengths: characteristics of the business, or project team that
give it an advantage over others
Weaknesses (or Limitations): are characteristics that place the
team at a disadvantage relative to others
Opportunities: external chances to improve performance (e.g.
make greater profits) in the environment
Threats: external elements in the environment that could cause
trouble for the business or project
The SWOT analysis provides information that is helpful in
matching the firm's resources and capabilities to the competitive
environment in which it operates. As such, it is instrumental in
strategy formulation and selection. The following diagram shows how
a SWOT analysis fits into an environmental scan.
Aims of SWOT Analysis Reveal the competitive advantages of the
firm. Analyze the prospects for sales profitability and product
development. Prepare the company to overcome problems Allow for the
development of contingency plans.
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K.P NABOODIRIS SWOT ANALYSISSTRENGTH Building value for
customers and operational efficiency has put the company on a
profitable track. Experienced and long term serviced management and
employees. High quality products. WEAKNESS Low advertisement. It
has limited branches. OPPORCHUITIES Goodwill of the company is an
opportunity for growth. Nowadays the masses are coming back to the
natural products. So there is a high scope for ayurveda. THREATS
Competition from both domestic as well as international
markets.
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5. OBSERVATIONS, RECOMMENDATION & CONCLUSION 5.1
OBSERVATIONS K.P Namboodiris Ayurvedics, is a fast growing company
in Kerala, India with interest in personal care and health care
products. Building on a legacy of quality and experienced for over
eight decades, today. The organization structure of the company is
well equipped. K.P.Namboodiris has used its wealth of knowledge and
research, in natural ayurvedic products, to formulate a range of
personal care products like oral care, skin care, hair care and
generic products. Each department have a head and the activities of
each departments are coordinated properly for achieving the
organizational goal.
5.2 RECOMMENDATIONS Improve product quality and give proper
awareness to people. In these days the company is facing very tough
competition. So for more publicity the company has to increase the
level of giving advertisement.
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5.3 CONCLUSIONThe study in K.P.Namboodiris has enabled me to
understand the various needs of an organization, how an
organization of a corporate nature functions and how important it
is to have a right relationship between employee and employer or
the management. This organization study help me that to understand
the practical side of the company. In 1925 the company started by
Shri Pothayan Namboodiri of Kolathappali Mana. After his death his
second son Raman Namboodiri took total control of the business.
Under his leadership the business drew step upward curve in the
business. This study has improved my confidence by its successful
completion to undertake such in the future.
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BIBLIOGRAPHY BOOKS 1) Philip Kotler &Gray Armstrong (2008),
Principle of Marketing- Pearson, 12th Edition,2) V.S.P.Rao (2006),
Human Resource Management-Excel Books, 2nd Edition 3) R.Paneersevam
(2005), Production and Operation Management, PHI Learning Private
Ltd
WEBSITES www.k.p.namboririsayurvedics.com
www.kpnamboodiris.com
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