D.K.S.S.K.N CHIKODI EXECUTIVE SUMMARY The Study conducted on job description with an Title “Study on effectiveness of job description on employees Performance in D.K.S.S.K Factory” The organisation structure and the job titles which are used in the company are studied for comparison with employees duties and responsibilities and their effectiveness in productivity of the employees.. Job Description plays an important role in an organisation, as it guides the organisation in defining the work to be performed by the people. Whenever the recruitment, selection and appraisal is conducted, the Job Description acts as an important resource for guiding newly hired employees in what they are specifically expected to do. Job description is a structured document which contains the elements like job title, short description of job title, BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM 1
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D.K.S.S.K.N CHIKODI
EXECUTIVE SUMMARY
The Study conducted on job description with an Title “Study on effectiveness of job
description on employees Performance in D.K.S.S.K Factory” The organisation structure and
the job titles which are used in the company are studied for comparison with employees
duties and responsibilities and their effectiveness in productivity of the employees.. Job
Description plays an important role in an organisation, as it guides the organisation in
defining the work to be performed by the people. Whenever the recruitment, selection and
appraisal is conducted, the Job Description acts as an important resource for guiding newly
hired employees in what they are specifically expected to do.
Job description is a structured document which contains the elements like job title, short
description of job title, expected background to job and responsibilities of job and main
activities of job.
At the same time it was important for the company to define the new job titles to replace the
existing posts. It had involved much of research work to find out the titles. Some of the
industrial practices were taken as reference and some of the journals from software, articles
and lots of search on internets were also made to find suitable titles. Innovative titles for the
company and to anylyse the effective job description in factory in different department.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM1
D.K.S.S.K.N CHIKODI
Objectives of Study:
To study job description format of employees in various department. Of D.K.S.S.K.N
N Factory.
To study the organization structure working style and the corporate culture followed
To focus the study in the areas of Job Description as a HR Tool
To study how job description helps to do the employees to improve the
productivity & performances
Helping the organisation in forming the new job titles and giving them a valuable
input in terms of recommendations
Need of the Study
This study clear that whether Job descriptions at D.K.S.S.K.N Factory provide an
opportunity to clearly communicate the company direction and where the
employee fits inside of the big picture of factory in various department.
This study shows how Job descriptions set clear expectations for what the
company expects from people
Whether the company is recruiting new employees or posting jobs for internal
applicants, job descriptions tell the candidate exactly what it want in your selected
person.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM2
D.K.S.S.K.N CHIKODI
To visualize Well-written job descriptions help organization employees, who
must work with the person hired, understand the boundaries of the person's
responsibilities.
Limitations of the Study:
The major limitations of the study was time. Within very short span of time the amount of
work that has to be carried out was very vast. And most our work was inclusive of the
confidential documents which were not supposed to be put in the project.
Research Methodology:
Data Source : Primary Data (Field Survey)
Secondary data-Internet,
Area of Research : D.K.S.S.K.N Factory
Research approach : Survey method
Research Instrument : Questionnaire
Sample Plan : Personal Interview
Sample Unit : Department wise employees
Sampling Method : Convenience sampling
Sample size : 100
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM3
D.K.S.S.K.N CHIKODI
IN TRODUCTION
The Study conducted on job description with an Title “ Study on effectiveness job
description on employees Performance in D.K.S.S.K Factory” The organisation structure
and the job titles which are used in the company are studied for comparison with employees
duties and responsibilities and their effectiveness in productivity of the employees. Job
Description plays an important role in an organisation, as it guides the organisation in
defining the work to be performed by the people. Whenever the recruitment, selection and
appraisal is conducted, the Job Description acts as an important resource for guiding newly
hired employees in what they are specifically expected to do.
Job description is a structured document which contains the elements like job title, short
description of job title, expected background to job and responsibilities of job and main
activities of job.
At the same time it was important for the company to define the new job titles to replace the
existing posts. It had involved much of research work to find out the titles. Some of the
industrial practices were taken as reference and some of the journals from software, articles
and lots of search on internets were also made to find suitable titles. Innovative titles for the
company and to anylyse the effective job description in factory in different department
Effective Job Description a Means to Good Business:
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM4
D.K.S.S.K.N CHIKODI
Effectively developed, job descriptions are communication tools that are significant
in organization's success. Poorly written job descriptions, on the other hand, add to
workplace confusion, hurt communication, and make people feel as if they don't know what
is expected from them.
Job descriptions are written statements that describe the duties, responsibilities,
required qualifications, and reporting relationships of a particular job. Job descriptions are
based on objective information obtained through job analysis, an understanding of the
competencies and skills required to accomplish needed tasks, and the needs of the
organization to produce work. Job descriptions clearly identify and spell out the
responsibilities of a specific job. Job descriptions also include information about working
conditions, tools, equipment used, knowledge and skills needed, and relationships with other
positions.
Job descriptions provide an opportunity to clearly communicate the company direction
and where the employee fits inside of the big picture.
Whether it is a small business or a large, multi-site organization, well-written job
descriptions will help to align employee direction. Alignment of the people the organisation
employ with its goals, vision, and mission spells success for your organization. As a leader,
organisation assure the interfunctioning of all the different positions and roles needed to get
the job done for the customer.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM5
D.K.S.S.K.N CHIKODI
Job descriptions set clear expectations for what the company expects from people.
According to Ferdinand Fournies in Why Don't Employees Do What They're Supposed to Do
and What To Do About It," this is the first place to look if people aren't doing what the
company want them to do. He says the organisation need to make certain that they clearly
understand its expectations. This understanding starts with the job description.
Job descriptions help to cover all your legal bases.
As an example, for compliance with the Indians with Disabilities Act (ADA), the company
should make certain the description of the physical requirements of the job is accurate.
Whether the company is recruiting new employees or posting jobs for internal
applicants, job descriptions tell the candidate exactly what it want in your selected
person.
Clear job descriptions can help to select preferred candidates and address the issues and
questions of those people who were not selected.
Well-written job descriptions help organization employees, who must work with the
person hired, understand the boundaries of the person's responsibilities.
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D.K.S.S.K.N CHIKODI
People who have been involved in the hiring process are more likely to support the success of
the new employee or promoted co-worker. Developing job descriptions is an easy way to
involve people in your organization's success.
That said, for an effective organization in this decade, job descriptions can slow te
organization working down. They can strangle the organisation success and put people back
into the organizational chart boxes where it has been asking them to break out of for years.
In addition to the updating of regular goals and objectives suggested above, job descriptions
are an integral part of the performance management and evaluation system. They are used to
determine salary increases and bonus eligibility. They are a job reference for determining
how an employee spends her time at work. They provide a measurable focus for energy and
attention.
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LITERATURE REVIEW
4.2 Theoretical Background for Job Description:
Job Description is an important document which is basically descriptive in nature and
contains statement of job analysis. It serves to identify a job for consideration by other job
analysts. It tells us what it should be done, why it should it be done and were it should be
done.
A job description is a written statement of what the worker has to actually does, how
he or she does it, and the job’s working conditions are. The information to write a job
specification includes the knowledge, abilities and skills required to perform the job
satisfactorily.
There is no standard format for writing a job description. However, most descriptions contain
sections that cover
1. Job Identification
2. Job Summary
3. Responsibilities and Duties
4. Authority of incumbent
5. Standard of Performance
6. Working Conditions
7. Job Specifications
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM8
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1. Job Identification:
It contains the information like Job Title which specifies the name of the job such as
supervisor of data processing operations, marketing manager or inventory control clerk. Date
is the date the job description was actually written, and prepared by indicates who wrote it.
2. Job Summary:
The job summary should describe the general nature of the job, and includes only its major
functions or activities. It includes the general statement which gives the flexibility in
assigning the duties.
3. Responsibilities and Duties:
It presents the list of job’s major responsibilities and duties. Duties include establishing the
goals, executing plans and procedures and some strategies.
4. Authority of incumbent:
It also defines the limits of job holders authority, decision authority, direct supervision of
other personnel and budgetary limitations.
5. Standard of Performance:
Some job descriptions contain a standard of performance section. This lists the standards the
employees is expected to achieve under each of job description’s main duties and
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responsibilities. Each duty listed in the job description, should result in a usable set of
performance standards.
6. Working Conditions:
The job description may also list the working conditions involved on the job. These might
include things like noise level, hazardous conditions or heat etc.,
7. Job Specifications:
The job specification takes the job description and answers the question, what human traits
and experience are required to do this well. It shows what kind of person to recruit and for
what qualities that person should be tested. The job specification may b a section of the job
description or the separate document entirely.
4.3 Major Steps of Job Description:
Job analysts have to write the job description after consulting the worker and the
supervisor. After writing the preliminary draft, the job analyst has to get further comments
and criticism from the worker and supervisor before preparing the final draft. The following
modes may be used in writing job description
1. Get the questionnaire filled in by the immediate supervisor of the employee.
2. Job analysts has to complete the job description form by the observing the actual work
being done by the employee and
3. All the information pertaining to the job should be secured from the worker.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM10
D.K.S.S.K.N CHIKODI
Uses of Job Description
Job description has several uses such as:
(i) Preliminary drafts can be used as a basis of productive group. Discussion,
particularly if the process starts at the executive level.
(ii) It aids in the development of job specification, which are useful in planning
recruitment, in training and in hiring people with required skills.
(iii) It can be used to orient new employees towards basic responsibilities and duties.
(iv) It is a basic document used in developing performance standards.
(v) It can be used for job evaluation, a wage and salary administration technique.
A job description enables the manager to frame suitable questions to be asked during an
interview. It is particularly helpful when the application form is used as a tool for eliminating
the unfit personnel. According to Zerga. Who analyzed 401 articles on job description about
30 years ago, a job description helps us in:
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D.K.S.S.K.N CHIKODI
i) Job grading and classification;
ii) Transfers and promotions;
iii) Adjustments of grievances;
iv) Defining and outlining promotional steps;
v) Establishing a common understanding of a job between employers and
employees;
vi) Investigating accidents;
vii) Indicating faulty work procedures or duplication of papers;
viii) Maintaining, operating and adjusting machinery;
ix) Time and motion studies;
x) Defining the limits of authority;
xi) Indicating case of personal merit;
xii) Facilitating job placement:
xiii) Studies of health and fatigue
xiv) Scientific guidance
xv) Determining jobs suitable for occupational therapy
xvi) Providing hiring specifications: and
xvii) Providing performance indicators.
Job description helps top executives, especially when they jointly discuss one another's
responsibilities, Overlapping or confusion can then be pointed out: questions can be raised
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D.K.S.S.K.N CHIKODI
about the major thrust of each position, and problems of structure can be identified. A job
description becomes a vehicle for organizational change and improvement.
Some companies have more than one job description for each job; a detailed version may
be used in training and in evaluating a job, while a shorter version may be used in planning
and hiring of management.
Components or contents of Job Description: A job description contains the following data:
(i) Job identification, or Organisational Position which includes the Job title, alternative
title, department, division, plants and code number of the job, The job title identifies and
designates the job properly, The department. Division. etc,. Indicate the name of the
department where it is situated - whether it is the maintenance department, mechanical shop.
etc, The location gives the name of the place, The portion of job description gives answer to
two important questions: to what higher level job is this job accountable; and who is
supervised directly'!
(ii) Job summary serves two important purposes, First it provides a short definition
which is useful as an additional identification information when a job title is not adequate.
Second it serves as a summary to orient the reader towards an understanding of detailed
information, which follows. It gives the reader a "quick capsule explanation" of the content
of a job usually in one or two sentences, 27
(iii) Job duties and responsibilies give a comprehensive listing of the duties together
with some indication of the frequency of occurrence or percentage of time devoted to each
major duty. It is regarded as the heart 'of a job, It tells us what needs to be done'! how it
should be done'! And why it should be done'! It also describes the responsibilities related to
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the custody of money, the supervision of workers and the training of subordinates.
(iv) Relation to other jobs : This helps to locate the job in the organization by indicating
the job immediately below or above it in the job hierarchy. It also gives an idea of the
vertical relationships of work flow and procedures.
(v) Supervision : Under it is given the number of persons to be supervised along with
their job titles. and the extent of supervision involved.- general, intermediate or close
supervision.
vi) Machine, tools and equipment define each major type or trade name of the
machines and tools and the raw materials used,
(vii) Working conditions usually give us information about the environment in which u
job holder must work. These include cold. heat, dust, wetness, moisture. Fumes , odour, oily,
conditions. etc. obtaining inside the organization.
(viii) Hazard s gives us the nature of risks to life and limb, their possibilities of
occurrence, etc.
Developing job Descriptions or Guidelines for Writing a Job Description:
Opinions differ on how to write job descriptions. Some experts are of the view that these
should be written in detail and in terms of work flow, other!! Fee that these should be written
in terms of goals or results to he achieved. in other words as performance : standards (or what
is popularity known as "management by objectives"). The prevalent thinking is that job
descriptions should be written in terms or duties and responsibilities i.e. in terms of functions
of functions performed.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM14
D.K.S.S.K.N CHIKODI
Job descriptions arc written by Personnel Department or its representatives.
Although there is no set way of writing a job description, the following pattern is fairly
typical, and used by many companies”
i) A paragraph is allocated to each major task or responsibility,
ii) Paragraphs are numbered and arranged in a logical order, task sequence of
importance
iii) Sentences are begun with an active verb, e.g. “types letters," "interviews the
candidates," "collects, sorts out. routes and distributes mail"
iv) Accuracy and simplicity are emphasized rather than an elegant style.
v) 'Brevity is usually considered to bl.' important but is largely conditioned by the
type of the job being analyzed and the need for accuracy,
vi) Examples of work performed are often quoted and are useful in making the job
description explicit.
vii) Job descriptions. Particularly when they arc used as buses for training often
incorporate details of the faults which may be encountered in operator tasks
and safety check points.
viii) Statements of opinion, such as “dangerous situations are encountered,” should be
abided.
ix) When job description are written for supervisory jobs, the main factors (such as
meaning cost control etc.) are identified and listed. Each factor is then broken
down into a series of elements which a note on the supervisor’s responsibilities.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM15
D.K.S.S.K.N CHIKODI
The British Institute of Management Publication adds four more guidelines’
i) Give a letter, concise and readily under stable picture of the whole job.
ii) Describe in sufficient detail each of the main duties and responsibilities; .
iii) Indicate the extent of direction received and supervision given,
iv) Ensure that a new employee understands the job if he reads the job description
Limitations of job Description :
In any use of job descriptions. it should be remembered that these descriptions are not
perfect reflections of the job, "The object of a job description is to differentiate it from other
jobs and set its outer " limits,"
Further, executives tend to carry work patterns with them into new jobs thus modifying
the job drastically.
'To avoid such problems_ care must be exercised in writing a job description to make it
as accurate as possible, and at the managerial or professional levels, it should be reviewed
and discussed after the job, jobs tend to be dynamic, not static. and a job description can
quickly go out of date, Therefore. Jobs should be constantly revised and kept up-to-date, and
the personnel and the other departmental heads should be apprised of changes,
Both supervisors and subordinates should understand,) the uses to which a job
description would be put so that appropriate information is recorded by them. The relevant
parties should agree that a jab description fairly reflects the job; otherwise job evaluation
and job performance review would seem to unfair.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM16
D.K.S.S.K.N CHIKODI
NEED OF THE STUDY
This study clear that whether Job descriptions at D.K.S.S.K.N Factory provide an
opportunity to clearly communicate the company direction and where the
employee fits inside of the big picture of factory in various department.
This study shows how Job descriptions set clear expectations for what the
company expects from people
Whether the company is recruiting new employees or posting jobs for internal
applicants, job descriptions tell the candidate exactly what it want in your selected
person.
To visualize Well-written job descriptions help organization employees, who
must work with the person hired, understand the boundaries of the person's
responsibilities.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM17
D.K.S.S.K.N CHIKODI
LIMITATIONS OF THE STUDY:
The major limitations of the study was time. Within very short span of time the amount of
work that has to be carried out was very vast. And most our work was inclusive of the
confidential documents which were not supposed to be put in the project.
OBJECTIVES OF STUDY:
To study job description format of employees in various department. Of
D.K.S.S.K.N Factory.
To study the organization structure working style and the corporate culture followed
To focus the study in the areas of Job Description as a HR Tool
To study how job description helps to do the employees to improve the
productivity & performances
Helping the organisation in forming the new job titles and giving them a valuable
input in terms of recommendations
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM18
D.K.S.S.K.N CHIKODI
INDUSTRY PROFILE
India has been known as the original home of sugar and sugarcane. Indian mythology
supports the above fact as it contains legends showing the origin of sugarcane.
India is the second largest producer of sugarcane next to Brazil. Presently, about 4
million hectares of land is under sugarcane with an average yield of 70 tones per hectare.
India is the largest single producer of sugar including traditional cane sugar sweeteners,
khandsari, and Gur equivalent to 26 million tones. Even in respect of white crystal Sugar,
India has ranked No. 1 position in 7 out of last 10 years.
Traditional sweeteners Gur & Khandsari are consumed mostly by the rural population
in India. In the early 1930’s nearly 2/3 rd of sugarcane production was utilized for production
of alternate sweeteners. Gur & khandsari. With better standard of living and higher incomes,
the sweetener demand has shifted to white sugar. Currently, about 1/3rd sugarcane production
is utilized by the Gur & khandsari sectors. Being in the small scale sector, these two sectors
are completely free from controls and taxes which are applicable to the sugar sector.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM19
D.K.S.S.K.N CHIKODI
The advent of modern sugar processing industry in India began in 1930 with grant of
tariff protection to the Indian sugar industry. The number of sugar mills increased from 30 in
the year 1930 -31 to 135 in the year 1935-36 and the production during the same period
increased from 1.20 lakhs tones to 9.34 lakhs tones under the dynamic leadership of the
private sector.
The era of planning for industrial development began in 1950-51 and Government lay
down; targets of sugar production and consumption, licensed and installed capacity,
sugarcane production during each of the Five Year Plan periods. The targets and
achievements during various plan periods are given below.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM20
D.K.S.S.K.N CHIKODI
GROWTH OF INSTALLED CAPACITY OVER THE YEARS:
Year No. of factories in operation Installed capacity (L/tones) Actual sugar production
(L/tones)
1950-51 139 16.7 11.0
1955-56(I) 143 17.8 18.9
1960-61(II) 174 24.5 30.2
1965-66(III) 200 32.3 35.4
1973-74(IV) 229 43.1 39.5
1978-79(V) 299 59.1 58.4
1985-86(VI) 339 72.7 70.2
1990-91(VII) 377 98.5 120.5
1995-96(VIII) 415 127.6 164.3
1999-2000 423 161.8 182.0
2000-2001 437 168.2 185.1
2001-2002 433 176.8 185.3
2002-2003 453 180.0 201.0
2003-2004(E) 461 185.0 170.0
2004-2005
2005-2006
190
200
205.0
220
192.0
210.0
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM21
D.K.S.S.K.N CHIKODI
E-Estimated
The small size new units licensed by the government were supported with a scheme
of announced on 25th November, 1975 known as Sampth committee Incentive. It provides r
percentage of free sale quota to both new sugar factories and expansion in existing in existing
units. This I to a mushrooming growth of relatively small sized sugar units in the county.
Under the policy of licensing, Government initially permitted small sized new
units of 1250 capacity only and later on increased the minimum economic size of plant to
2500 TCD. Similarly capacity expansions initially allowed up to 3500 TCD only were
subsequently raised to 1 TCD and finally these expansion limits were withdrawn in 1990.
As a result, the industry has grown horizontally with an all India per unit
average capacity of 500 TCD. As against this, this has been consolidation and move towards
larger per unit capacity I over the world, as would be evident from the following table
Statement Showing Distribution Of Sugar Mills With Cane Crushing Capacity And
Sugar Production Per Unit In Various Countries
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D.K.S.S.K.N CHIKODI
Country No. of units Average cane crushing
per day (tones)
Average cane crushing
per unit (tones)
Thailand 45 10307 140540
Australia 28 9216 183321
Brazil 213 9168 64018
South Africa 13 6877 137769
Mexico 67 4749 71015
Colombia 10 4590 214900
Cuba 156 4229 45538
Hawaii 9 4111 44111
Mauritius 16 3195 42970
India 430
*Based on 1998-99
2527 35000
Source: High Power Committee
Government enacted the Sugar Development Fund Act & Rules which provide for levy of.
Per qtl. Of sugar known as Sugar Development Fund (SDF). The SDF is utilized for granting
term loans to sugar mills for modernization and grants of research projects in the sugar r
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D.K.S.S.K.N CHIKODI
besides creation of buffer stocks as and when required to ensure price stability. A number of
I are in the process of expanding their capacities and modernizing their plant with the
assistance: from SDF.
Government delicensed sugar sector in August, 1998. It is now open to
entrepreneurs to set up r mills without a license but at a distance of 15 kms away from the
existing factory. Sugar unit’s r free to expand their capacity and also put up higher capacity
new units. This should help to consolidate and expand their capacities wherever cane
potential exists
PRESENT POSITION
I Indian Sugar industry am the second largest agro-processing industry in the country.
No. of sugar factories established 507
Total Capital Employed Rs. 50,000 Crores
Total Annual Turnover Rs. 25,000 Crores
Total Payment to Cane growers Rs. 18,000 Crores
Contribution to Central & State Exchequers Rs. 17,000 Crores + 800 Crores
Direct Employment: Rural Educated 5.00 Lakhs
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM24
D.K.S.S.K.N CHIKODI
Farmers / Families involved in Sugarcane (7.5% of
Rural Population)
45 Million
In global sugar economy, the Indian sugar industry has achieved a number of milestones.
Largest Sugar Producer in 7 out of 10 years.
Second Largest Area under Cane/Cane Production.
Amongst the cost-effective industries with its field cost (Sugar cane) being the second
lowest, despite small land-holdings and low productivity
Fourth efficient processor of sugar despite low capacity of its sugar plants as
compared to very large-size plants in other parts of the world.
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D.K.S.S.K.N CHIKODI
POLICY:-
The present policy of partial decontrol 10% of production by each unit is
supplied for public distribution system i.e. as levy sugar at Govt. notified prices admittedly
below 20% of the actual cost of production. The levy sugar is I to the public irrespective of
their economic status. The balance 90% is sold in the free market against monthly\issued by
the Government. This policy has been continuing since 1967-68 except for brief periods of
de-control me during the years of surplus production and accumulated sugar stocks.
Government announces the Statutory Minimum Price (SMP) for sugarcane every year based
on recommendations of the Commission for Agricultural Costs and Prices (CACP). In the
year 3-04, Government announced Rs. 73.00 per quintal linked to a basic recovery of 8.5%.
For every 1% increase in recovery, the grower gets a premium of Rs.0.85./qtl. In actual
practice, the sugar pays much higher prices than SMP
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM26
D.K.S.S.K.N CHIKODI
COMPANY PROFILE
The farmers in this are were very eager to have sugar factory. Most of the villages in
Chikkodi, Raibag, and Athani Taluk have fertile land and are situated near by Krishna River.
The founder Shree Chidanand B. Kore and chief promoter Shree shantappa Y. Mirgi felt it
necessary to start the factory in this area and the factory was registered by the support of
shareholders on 5th March 1969.
The factory is located 10 Kms away from Chikodi town in Belgaum District.
INDUSTRIAL LICENSE NUMBER
1) The Factory was got industrial license number for its original project as
1-25/N-250/CC dated 16/10/1970.
2) For the fist phase expansion factory got industrial license number LI-450 (82) dated
05/07/1982 for the 2000 TCD.
3) For the second phase of expansion factory industrial license number as LI-408(92)
dated August 1992 for the 3500 TCD.
COST OF THE PROJECTS
a) The factory spent Rs. 337.00 lakhs as its original project.
b) For the first phase of expansion the factory incurred cost of Rs. 349.00 lakhs
c) For the second phase of expansion the factory spent of Rs. 2700.00 lakhs.
BELGAUM INSTITUTE OF MANAGEMENT STUDIES (MBA) BELGAUM27
D.K.S.S.K.N CHIKODI
FACTORY STRUCTURE
Shree DKSSKN. as one of the best working co-operative sugar factories in our state
commencing it first production during the year 1974-75 with an initial capacity of 1250
TCD. It had expanded its capacity in 2 phases during 1984-85 and during 1994-95. The
present crushing capacity is 3500 TCD; through crushing capacity are 3500 TCD and daily
crushing on an average 4500 TCD.
AIMS & OBJECTIVES OF THE COMPANY
The object of the society is to encourage proper development of Agricultural
Industrial amongst members on Co-operative lives by promotions of principal and methods
of co-operative and joint forming methods so as to secure best merits of modern large scale
agriculture production to the owners of lands and for this purpose.
a) To encourage self help, thrift and co-operate amongst members.
b) To acquire lands either by way of purchase or otherwise for cultivation of Sugar-cane and
other cost and for erection of building, go downs staff quarters etc and for installation of
machinery’s.
c) To manufacture Sugar Jogger and their by products out of Sugar-cane grown and
supplied by members of the society and other and to sell the same to the best advantage.
d) To undertake such other activities as are identical and conductive to the development of
the society etc.
e) To acquire and install machinery for the utilization of by products and buy raw materials
and sell finished products is the course of utilizing and marketing the by products.
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D.K.S.S.K.N CHIKODI
f) To organize the internal working system of the company as per McKinney’s 7s
framework.
ADMINISTRATION DEPARTMENT
The most of work of the department is future planning as a standardization of time
and work and dealing with other companies.
The work of administration department is conceptual decision taking with the
permission of Chairman, Director, M.D, and Senior Manager.
ENGINEERING AND QUALITY CONTROL DEPARTMENT
In DKSSKN the engineering department looks after mechanical, civil construction,
improving production method. Quality control department checks the quality incoming raw
material, work in progress and finished goods. Simplifying of work and power generation
and also deals with good working condition, maintenance of go down, installation of
machinery etc.
CANE DEPARTMENT
In DKSSK cane department deals with registration of Sugar Cane with growers, good
quality maintenance, developing high yields varieties and also term loans and subsides to the
farmers who are growing sugar cane for this company and now giving seeds of sugar cane to
grow variety sugar cane and this department has consultant to consult sugar cane and I/P.
STORES DEPARTMENT
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D.K.S.S.K.N CHIKODI
This department deals with storage of raw materials and issues the same to those who
require it stores necessary materials for production, codification for materials and issuing
them whenever required and it consists 110 employees.
ACCOUNTS/FINANCE DEPARTMENT
The DKSSKN Chikkodi Sugar Company’s growth in terms of turnover and
profitability besides investment in the block of assets and working capital has been
satisfactory over a period of time. Unless proper accounting of the various transitions of the
company taking place out systematically, the real control on the various functional areas of
the company will be lost to the management.
All the transactions of the company will be accounted on accrual basis only except
where deviations are permitted by the management through its accounting policies.
MAIN FUNCTIONS ARE AS FOLLOWS
Registration and scrutiny of sale orders pertaining to equipment and spare parts.
Preparation and submission of invoice to customers for payment
Accounting of sales and sales realization.
Receipt of cash, cheque and bank drafts etc and issue of official receipts for the same.
Follow up or watch of transfer or receipt of funds to and from regions or district
offices.
Operation of bank accounts.
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D.K.S.S.K.N CHIKODI
Maintenance of journal, expense ledger, and general ledger.
Preparation of trail balance, profit and loss account, and balance sheet.
DKSSK HAS A SOME DEVELOPMENTAL PROGRAMMES FOR
CANE
The unit is undertaking cane development programmers which will be a part will be a part of
its activities they are
1) Loans are provided to formers to take up new variety of cane activities.
2) Subsidies are provided to farmers.
3) Pressmud and by products is supplied to farmer on fertilizers free to work.
PROCESS DEPARTMENT
Process department is given integral part of the organization. It looks after work of
different process of sugarcane into the consumer sugar.
PROCESS OF CANE
Cane will be crushed in five mills. Juice will be transferred to boiling stations. In the
boiling station for the purpose of purification Sulphur and lime powder will be added
proportionality.
BY –PRODUCT OBTAINED AND USED FOR
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D.K.S.S.K.N CHIKODI
The following by products are obtained from the process
1) Molasses: Molasses is used in alcohol industry as chief raw material and for feeds
manufacturing.
2) Pressmud: Presumed is used for fertilizers.
3) Begasse: Begasse is used in paper factory for manufacturing paper and cardboard and
used for boilers for fairing purposes.
It is also used as fuel for producing Electricity. It is used for running High pressure
boilers.
PURCHASE DEPARTMENT
Purchasing procedure vary considerably according to the needs of the organization and
authority delegated to purchase managers the success of organization is based on
effective inventory management system and UN interrupted production schedule. This is
achieved with adequate purchasing function.
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D.K.S.S.K.N CHIKODI
OBJECTIVES
1) To receive purchase requisition from the stores department production centers or any other authorized sources.
2) To invite quotations from a number of suppliers.
3) To make arrangements for the purchase of appropriate quantities at any given times.
4) To ensure the purchase of the correct quality under trade or brand name by sample, description.
5) To follow up the orders placed.
6) To receive incoming suppliers, verity quantity test and inspect them.
7) To arrange for the storage and issue of materials.
SOCIAL AND WELFARE ACTIVITY
It also known as personal department which deals with the workers or employees. In
this department the main role is its sets the wage rate of workers, total house of work. It also
attends to the problems of the workers and also solvers turn.
The following are the facilities given to the employee or workers.
1) Half an hour’s rest interval.
2) Canteen facilities.
3) Weekly holiday (Every Sunday)
4) 15 days holiday in a year.
5) 12 days casual leave in a year
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D.K.S.S.K.N CHIKODI
6) 12 days sick leave in a year
7) Medical treatment
8) Provident fund
9) Employees pension
10) Death come retirement relief fund.
11) Sport and recreation facilities etc.
POLLUTION CONTROL PROGRAMMED
To arrest fly ashes and dust emerged out of boilers the factory has installed a machine
called dust controller. Further the factory has installed efficient treatment plant to neutralize
the efficient by using lime.
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D.K.S.S.K.N CHIKODI
SWOT ANALYSIS
STRENGTHS:
Well established since long time.
Strong network from all aspects-location, transport, and infrastructure.
Good financial supports whenever needed are provided by both State and Central Governments
Located in the heart of the city
Concept of Multi joint-products
New power plant which is constructing now is needed for future growth.
WEAKNESS:
Absent of motivating incentives.
Lot of training required for all levels of employees.
Company employees lacking in skills, ability, and knowledge.
OPPORTUNITIES:
They can obtain training
Frame proper policies and procedures
Restructuring of man power
Re-engineering.
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D.K.S.S.K.N CHIKODI
THREATS:
Other units
Competition
Decrease in Sugar growth.
Diversified resources such as raw materials due to many sub unit initialization.
MC KINSEY 7S MODEL
The 7-S model of Mc Kinsey is a Value Based Management (VBM) model that
describes how one can holistically and effectively organize a company. Together these
factors determine the way in which a corporation operates.
The first three elements are strategy, Structure and system are considered as hardware
of success, the meet four elements are style, staff, skills, and shared values/super ordinate
goals are the software of any company.
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Structure Syste
msStrateg
yShared
ValuesSkills
StaffStyle
D.K.S.S.K.N CHIKODI
According to the 7’s Model
1) STRATEGY
The way in which a business aims to improve its position in relation to its
competition is embodies in its strategy or the way of doing something in an organization.
In DKSSK, introduce new technologies and products strategies importance in
time with national objective to improve quality reliability of products there by attaining the
international standards.
2) SYSTEM
System refers to how the production system, distribution, information system
and security system is maintained in its company.
a. Production System
The process of production consisting of input of sugar cane and output of the sugar.
b. Distribution System
The distribution system of the precuts produced is in the following way:
Direct sales are made with in the state and outside the state.
Indirect sales are made outside the country and the depot sales are also made.
The producers are also sold directly to the consumers or sold to the wholesales.
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D.K.S.S.K.N CHIKODI
c. Information system
Structure of information system
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CHAIRMAN
MANAGING
SENIOR GENERAL
HEAD OF THE DEPARTMENT
SECTION
D.K.S.S.K.N CHIKODI
d. Security System
The DKSSKN has strict Security system.
In the maintenance of accounts after the record have been closed, the records are
kept in the room and closed the room is opened only with permission of higher authority. If
the visitors went to inter they have to take prior permission with the authority and after
entering they are not suppose to go any dept other then the department from whom they took
the permission.
3) STRUCTURE
The general admission of the company is carried out by the following departments
and these are downwards communication in the company. The information flows from the
top level of management to the lower levels.
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D.K.S.S.K.N CHIKODI
ORGANIZATION CHART
.
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Go down Sectio
n
Computer
Sales GM (Dis
t)
Engineerin
g
Store (Keeper
)
Medical Office SPDT
Chief A/C
Office
HRO/P
Production
Chief Chemi
s
Dist Chemis
Co- Gen Salary Cane
A/cSales wage
Safety
Welfare
Legal Section
Board of Management
Board of Director
Secretary
Est sectio
n
Meeting Section
Inward & Out Ward Section
Share
Section
D.K.S.S.K.N CHIKODI
4) STYLE :
The style which is portrayed to outside world is derived from the style and behaviors
exhibits inside organization. The internal style of the organization effects new staff feels
thinks and does their jobs. Therefore an organization is reflection of its structure.
5) SHARED VALUES/ SUPER ORDINATE GOALS.
Shared values is refers to company policies. In Chikkodi Sugar Company limited the following policies are maintained.
Quality policy
Environment policy
T.P.M. Policy [ Total productivity management]
Quality Policy
Quality leading to customer satisfaction shall be the top priority, this shall be
achieved by complying to the requirements of the quality management system and
continuously improve its effectiveness
Environment Policy
The DKSSKN is committed to comply with the requirement of relevant environment
regulation and the standards by implementing environment management system and
continually improve its effectiveness.
Total productive Management policy
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D.K.S.S.K.N CHIKODI
The DKSSKN is committed in maximizing limited is committed in maximizing
overall plants effectiveness to make Chikkodi Sugar Company a World class company
through total productive manufactured by
Promoting automates maintenance culture.
Involving all employees and building culture.
Minimizing the losses and reduced the cost
6) STAFF
Good hard working citizen play essential role in the development of nation. The
employee is responsible for the success or failure of company.
The company has totally 1000 workers are working is the company.
They are divided as follows
No. Of workers
1) Permanent worker 330
2) Seasonal workers 279
3) Consolidated worker 60
4) Daily wage worker 150
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819
Company is paying salary of 60,00,000 per month to its workers.
7) SKILLS
Skills here refer to how the training will be given to the employees and employees.
The training will be given in 2 months they are
a) On the job
This is one of the oldest method, under this method, the individual place is on the regular job
and taught the skill necessary to perform that job on the job training has the advantage of
giving first hand knowledge and experience under the actual working conditions. This
training is given to employees.
b) Off the job
In this methods trainee is separated from the job situations and his attention is focused upon
learning the material related to his future job performance. There is an opportunity for
freedom of expression for the trainees.
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D.K.S.S.K.N CHIKODI
PRODUCT PROFILE
PROCUREMENT
The factory obtains the sugarcane, which is required from more then 1000 farmers
and by the company farms and others raw materials which are required for the operation is
taken from the vendor there vendors will be evaluated on the basis of price and quality and
then the required raw materials will be taken for the efficient vendors.
The transport of sugar came from farmers to the factory will be engaged throng
Lorries which will be taken through bidding at the time of harvesting and also farmers
themselves supply by their own bullock carts or by tractors.
CANE WEIGHMENT
There are 12 outlaying weigh bridges situated round about Chikkodi for delivering
the sugarcane from the farmers.
Double check has been provided over the weighment of cane transported from
outstations.
OPERATION
The sugarcane which is carried by Lorries or other will be directly fed to the machine
where the initial process starts. At the starting point these are knives which cut sugar care.
After this in the next step there is sharp cutter which cuts the sugarcane bunches into
very small piece. Then it will go to trade marbs (a series of rollers used for crushing purpose)
for crushing. Then the juice produced will be going to further next process and there Bagsse
will be left out. Then they add flocculent [used for mud setting] milk sanitation etc and then
after it will go through pans and Mesquite for this Mesquite they will add sodium Hydro
Sulphite (to bleach the mesquite) and it will be separated out end the molasses will be send to
distillery and they white sugar will be bagged.
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BY PRODUCTS OF SUGAR MANUFACTURER
The chief by products of sugar manufacturing are
1. Bagsse
Bagsse is the by product of sugar left behind after cursing of sugarcane. It is used as a
fuel in the sugar factory boiler. Excess Bagsse finds use as raw materials in paper
manufacturing industry.
2. Molasses
Molasses is a by product of sugar refining chiefly used for alcohol production. The
entire molasses output is routed to the distillers unit which is maintained by the organization.
3. Pressmud
Pressmud is the by product generated by cane juice filtration during sugar
manufacture, currently. Pressmud is used as a fertilizer in sugarcane cultivation.
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D.K.S.S.K.N CHIKODI
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FLOW CHAR OF SUGAR MANUFACTURING
Bagging
Molasses
Dispatching
Boiler to mane cite
Surplus syrup to vacuum pans
Dry chaff fed into boilers as fuel
Weighted cane – Hauled to crushing yard
Cane unloaded on to the carrier
Cane cut into pieces
Crushed in successive mills
Juice treated with lime and surplus & heated
Subsider
Clear juice
Filter cake used as manure
Sucm
Clear juice
Evaporates
Concentrated Syrup
Centrifugal
Power Alcohol
Sugar
Portable Alcohol
D.K.S.S.K.N CHIKODI
THE FOLLOWING STATEMENT SHOWING YEARLY SUGAR-CANE CRUSHED, PRODUCTION, AND AVERAGE.
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