Introduction of Godrej2 New

1.1- INTRODUCTION

Before the liberalization of the Indian economy, only a few companies like Kelvinator, Godrej,

Alwyn, and Voltas were the major players in the consumer durables market, accounting for no

less than 90% of the market. Then, after the liberalization, foreign players like LG, Sony,

Samsung, Whirlpool, and Aiwa came into the picture durables Today, these players control the

major share of the consumer durables market. Consumer market is expected to grow at 13-18%

in 2008-2009. It is growing very fast because of rise in living standards, easy access to consumer

finance, and wide range of choice, as many foreign players were entering in the market with the

increase in income levels, easy availability of finance, increase in consumer awareness, and

introduction of new models, the demand for consumer durables has increased significantly.

Products like washing machines, air conditioners, microwave ovens, physical security systems

were no longer considered luxury items. However, there were still very few players in categories

like vacuum cleaners, and dishwashers Consumer durables sector is characterized by the

emergence of MNCs, exchange offers, discounts, and intense competition. The market share of

MNCs in consumer durables sector is 65%. MNC's major target is the growing middle class of

India. MNCs offer superior technology to the Consumers whereas the Indian companies compete

on the basis of firm grasp of the local market, their well-acknowledged brands, and hold over

wide distribution network. However, the penetration

Level of the consumer durables is still low in India

Indian Consumer durables market used to be dominated by few domestic players like Whirlpool,

Voltas, Allwyn and Kelvinator. But post liberalization many foreign companies have entered into

Indian market dethroning the Indian players and dominating Indian market the major categories

being CTV, REFRIGRATOR, MICROWAVE OVEN WASHING MACHINES. And AIR

CONDITION

India being the second largest growing economy with huge consumer class has resulted in

consumer durables as the fastest growing industries in India. LG, SAMSUNG and GODREJ

companies have been maintaining the lead in the market with LG being leader in almost all the

categories.

The rural market is growing faster than the urban market, although the penetration level is much

lower .The CONSUMER segment is expected to the largest contributing segment to the overall

growth of the industry. The rising income levels double-income families and consumer

awareness were the main growth drivers of the industries.

2.1- INDUSTRY PROFILE

The Consumer Durables industry consists of durable goods and appliances for domestic use such

as televisions, refrigerators, air conditioners and washing machines. Instruments such as kitchen

appliances like microwave ovens were also included in this category. The sector has been

witnessing significant growth in recent years, helped by several drivers such as the emerging

retail boom, real estate and housing demand, greater disposable income and an overall increase

in the level of affluence of a significant section of the population. The industry is represented by

major international and local players such as BPL, Videocon, Voltas, Blue Star, MIRC

Electronics, Titan, Whirlpool, etc.

The consumer durables industry can be broadly classified into two segments: Consumer

Electronics and Consumer Appliances. Consumer Appliances can be further categorized into

Brown Goods and White Goods. The key product lines under each segment were as follows.

Industry Size, Growth, Trends

The consumer durables market in India was estimated to be around US$ 5 billion in 2008-09.

More than 7 million units of consumer durable appliances have been sold in the year 2007-08

with industrial forming the bulk of the sales with 30 percent share of volumes. Washing

machine, refrigerators and Air-conditioners together constitute more than 60 percent of the sales

in terms of the number of units sold.

In the refrigerators market, the frost-free category has grown by 8.3 percent while direct cool

segment has grown by 9 per cent. Companies like LG, Whirlpool and Samsung have registered

double-digit growth in the direct cool refrigerator market.

In the case of washing machines, the semi-automatic category with a higher base and fully-

automatic categories have grown by 4 percent to 526,000 units and by 8 per cent to 229,000

units, respectively. In the air-conditioners segment, the sales of window ACs have grown by 32

percent and that of split ACs by 97 percent.

Since the penetration in the urban areas for these products is already quite high, the markets for

both air condition and refrigerators were shifting to the semi-urban and rural areas. The growth

across product categories in different segments is assessed in the following sections.

Consumer Electronics

The Industrial products production was 15.10 million units in 2008-09 and air condition is

expected to grow by at least 25 percent. At the disaggregated level, conventional Industrial

products volumes have been falling while washing machine and air condition have grown

strongly. Market sources indicate that most major air condition rest have phased out conventional

and have been instead focusing more on air condition The flat segment of Industrial products

now account for over 60 per cent of the total domestic TV production and is likely to be around

65 percent in 2008-09High-end products such as liquid crystal display (LCD)and plasma display

Industrial products grew by 400 percent respectively in 2009–10 following a sharp decline in

prices of these products and this trend is expected to continue. The audio/video player market has

seen significant growth rates in the domestic market as prices have dropped. This trend is

expected to continue through 2009- 2010, as competition is likely to intensify to scale and

capture the mass market.

SECTARIAL GROWTH OF CNSUMER ELECTRONICS

According to industry estimates, the total market for refrigerators in India is around 3 million

units per annum and is growing at 15 percent annually. However, the entry level refrigerators,

which account for nearly 70 percent of the total market, are available at around Rs 7,500-8,000. 

The consumer electronic products division is being looked after by Godrej Appliances which is a

part of Godrej & Boyce. Godrej & Boyce is a privately held company of the group, which

produces security equipment and other such products.

"The segment saw a growth of 7 to 8 percent in 2008, and this year the industry is hopeful of

clocking a growth of 12 to 15 percent," an official from the Consumer Electronics and TV

Manufacturers Association (CETMA) said. The market size, according to CETMA, is estimated

at 4.1 million units for 2009.

INDIAN MARKET OVERVIEW

The washing machine market is valued at Rs. 1500 crore and is growing at the rate of

22% this year (2009-10) compared to last year. The fully automatic and semi-automatic

sub category is growing at the rate of 40% and 17% respectively. Washing machine sales

is cyclical in nature and its sales commences with the onset of monsoon.

Major Players

Some of the major players in the category of washing machine market are:

Whirlpool

LG Electronics India Ltd.

Godrej

Samsung

LG is the leader with 27% of market share

Whirlpool has a market share of 17%

Samsung has a market share of 14%

Godrej has a market share of 13%

2.2-CONSUMER DURABLE

REFRIGETATOR

 The "Refrigerator Industry in India" examines the evolution of

the refrigerator industry in India over the years. It examines the

change in the structure of the industry after the liberalization of

the Indian economy.

It also takes a look at the different types of refrigerators available

in India and examines their characteristics. In addition, the note

explores the characteristics of the refrigerator Industry in India

and the major players in the industry. The distribution channels

used by the major players are also discussed in detail. The note

end a description of the future of the refrigerator industry in India.

Refrigerator industry in India; Structure of refrigerator industry; Competition in refrigerator

industry; Characteristics of refrigerator industry; BPL; Electrolux; Whirlpool India; LG

Electronics; Samsung India, Godrej-GE, Kelvinator, Allwyn, Voltas, replacement market,

production bottlenecks, Electrolux, CFC, Market share, Ecofrig Project, distribution channels,

Tata Energy Research Institute, efficiency standards.

Till the 1980s, players like Godrej, Kelvinator, Allwyn and Voltas controlled almost 90% of the

market. Earlier, the white goods sector was categorized as a luxury goods industry and was

subject to oppressive taxation and licensing. The situation changed after the liberalization of the

Indian economy in the early 1990s. The government removed all restrictions, and now there is no

restriction on foreign investment, and licenses are no longer required. Post-liberalization, a

number of foreign companies entered the market and many domestic players also diversified into

refrigerators. BPL and Videocon, who already had a presence in the consumer electronics

market, leveraged their strengths to enter the durables sector.

In India, refrigerators have the highest aspiration value of all consumer durables, with the

exception of televisions. This accounts for the high growth rate of the refrigerator market. The

refrigerator market has been growing at a rate of about 15% per year, while the consumer

durables industry as a whole has grown at almost 8%. The size of the refrigerator market is

estimated to be 3.5- 4 million units approximately, valued at Rs 50 billion. The domestic

penetration rate of refrigerators is about 9%. The penetration of refrigerators is considerably

higher in urban areas, which account for 75% of the demand, with rural areas constituting the

other 25%. The demand is also higher in the northern and western parts of the country than in the

east. The south also has high demand as the warmer weather of the south requires a refrigerator

running throughout the year. The electrical industry covers a wide range of products which

includes white goods i.e. refrigerators, washing machines, air-conditioners, microwave ovens,

washing machines, etc. The existing production capacity is sufficient to meet the domestic

demand as well as exports. The industry has been delicensed.

Household electrical appliances are now widely used in the country and two technical aspects

specific to these products are safety and quality. Steps have also been initiated to ensure adequate

testing facilities and availability of quality raw materials and components to the manufacturers to

help them in conforming to the specified quality standards. Greater consumer awareness about

the quality and safety of these goods is also expected. For safe disposal of lead acid batteries a

notification under environment protection act has also been issued.

The refrigerator industry is highly competitive which implies a high premium on quality of the

product. Manufacturers of refrigerators have, in general, improved the quality of the product,

especially the reliability of the compressor. In so far as new technology is concerned the concept

of "Frost free" refrigerators has been gaining popularity. Non CFC (Non-Chlro-fluro-carbons)

refrigerators are being manufactured in the country but because of their high initial cost the

demand is sluggish.

AIR-CONDITIONERS

But air-conditioner companies are confident that the hot weather will lead to some cool profits.

Traditionally, air-conditioners have been considered to be “luxury” appliances, and therefore, the

demand for air-conditioners have either come from the institutional segment or from affluent

homes in the top metropolitan cities of India. That’s no longer the case. While easy finance

options have made air-conditioners more affordable, companies are also going that extra mile to

make air-conditioners a “must-have” appliance in more and more middle class India homes of

inputs including steel and plastics have been rising steadily while competition too has Price cuts

as a strategy to increase sales volumes is definitely in the cards of appliance companies. Voltas

India Ltd. became the first player in the air-conditioner market to offer consumers an air-

conditioner in the Rs 10,000 (approx. U.S. $220) price range. Keen on roping in the first-time

air-conditioner buyer, Voltas has launched two models—a 0.6-ton air-conditioner priced at Rs

9,990 (approx. $218) and a 0.8-ton model at Rs 11,000 (approx. $242). For a 0.8-ton air-

conditioner with a remote control, a buyer would have to shell out an additional Rs 1,000

(approx. $22). These models are ideal for families who live in the “chawls” (tenements) and

small-size flats of Mumbai, where the average room size can be 70 to 100 sq ft. Since the peak

temperature in the cities of western and southern India hovers around 35°C, the sub 1-ton air-

conditioners would be more than adequate in terms of cooling power. Clearly the company is not

hoping to garner huge margins from the sales of these air-conditioners but is looking at growing

sale volumes. Growing sales volume is crucial for air-conditioner companies. During the last 4

years, the cost become intense. This has led to a squeeze on margins. On the positive side, a

reduction in excise duties has helped the air-conditioner market to grow rapidly. Last year, the

air-conditioner market grew by 15 percent, and this year companies are confident that market

growth will register an increase of nearly 25 to 30 percent from last year. While the key players

in the popular segment of the air-conditioner market are Godrej, LG, Voltas, and Samsung, the

premium segment is dominated by Japanese brands such as Hitachi, Daikin, and National.

As regards air-conditioners, the split air-conditioning is becoming more popular with export

orders from abroad. Manufacturers are also being encouraged to adopt environment friendly

technology, like, production of non-CFC (Non-Chloro-Fluro Carbons) based air-conditioners.

Technologically the Indian window air-conditioner industry has come a long way and is now at

par with international level. The earlier noise levels of 68 db are now down to 58 db for air-

conditioners using reciprocating compressors and even lower for those fitted with rotary

compressors. The energy efficiency ratio (EER) now being offered is 0.90 KW hr/Tone

compared with earlier figures of 1.2 KW hr/tone. Import of capital goods for the manufacture of

non-CFC refrigerator and air conditioners are being allowed duty free.

WASHING MACHINES

Washing Machines demand in India is increasing with the changing status of women. It is now

one of the basic utilities at home. Most of the women in India are working so there is less time

left with them to do this drudgery work with hands. These types of appliances really help her a

lot by providing swift to the work. The leading names in the sector of washing machines in India

have really lowered the prices of their product thus increasing the sale of washing machines in

India. Their sale further increases during the festival seasons as different companies offer

discount rates and gifts along with washing machines and some of the best deals can be made.

From a very crude look in the beginning it has transformed into very stylish one. Now it ranges

from washing machine to washer dryers with front loading, top loading etc. In earlier times

market for washing machines in India was not very lucrative. But with the introduction of the

Japanese product in the country this sector has got boost. Videocon introduced India's first

washing machine in 1988 in collaboration with Matsushita Electric Industrial Co. Ltd, Japan.

Now there are many brands operating at present in India covering almost all the segments of the

society. 

Godrej is one of the leading brands that has fully automatic and semi automatic washing

machines with different capacities. Godrej prides in having fully automatic, semi automatic and

front-loading washing machine for the cleanest wash. Along with these Hitachi, IFB, Ken star

are also giving the best possible washing machines in India. Most of the machines now have the

facility of both washing and dyers. They wash your clothes and also make them dry. Online

reviews on different types of washing machine help customer to select the best possible product.

Every brand has its service centers in almost all the major cities in India. Service centers are

generally located by keeping in mind the number of consumers in a particular area. They provide

full help in case the appliance does not work well. They contain spare parts of their respective

brand. Washing machine prices vary with different brand and model. Almost all the companies

have the facility to take payment in installments. Loans are also available from different banks to

buy washing machines in India

During the last few years, the market for consumer durables has grown tremendously. It is a fully

automatic segment, which in recent times has been getting the attention of both the

manufacturers as well as the buyers. The customer has now a plethora of world class brands to

choose from. The trends have also indicated a shift from three to four kg capacity machines to

larger ones.

The emerging new technologies in the washing machines are aero power, triple cascade tornado

wash, digital intelligence, unique optical sensor etc. Gradually these new concepts are being

introduced by the companies.

2.3-HISTORY OF FURNITURE INDUSTRY

Example of ancient furniture are extremely rare but there is considerable knowledge of the price

made by craftsmen in china ,India Egypt Mesoptamia,Grece and Rome from pictorial

representation .Bed Tables Chair Stools and other pieces were nearly always made of nature

wood, though veneering was knowing in Egypt,where it was use to produces coffin case of great

durability. To Roman too use veneers, though chiefly for decorative purpose. Bronze was also

use in Roman table, stool, and couch frames. Pompeian wall painting show that plain

undecorated wooden table and benches were standard in kitchens and workshops and that

paneled cupboards were common. Chests for valuable were covered with plates or bound with

iron.

The early Middle age were much poorer in household furnishing of every kind than the Roman

world but in the 14th and 15th century an growing affluence brought a major revival of furniture

making with many new types of cupboards box with compartment and various sorts desk

appearing. The religious house in particular were well supplied with furniture

The growing sophistication in technique brought revolutionary change in the men who made

furniture. Where previously carpenter and joiner had made furniture along with every kind of

building construction in wood ,several circumstance combined to create a new profession that of

cabinetmaker. The most of important technical factor was the introduction ,or reintroduction, of

veneering, first in western Europe, then in Britain ,North America and elsewhere.

India is a land of wonderful and marvelous artistic work of wood. The rich handicraft and

beautiful traditional attributes of art and design have established a reputation of Indian Furniture

Industry in the nation and worldwide. The exceptional designs, rich, compact, and luxurious

trends and, not the least, the supreme quality have given elegance to the furniture segment in the

traditional as well as modern aspect.

The fast emerging concept of standard lifestyle, interior designing, sense of comfort and

architecture has given Furniture Industry an essential ever growing platform and thus

empowering the industry to be termed as great manufacturers and exporters of grand quality

furniture in terms of art, style, technology and beauty. And of course, globalization and media

are also strong factors to give rise to the industry. The strongest factor for this upraise is the huge

investment done by the foreign manufacturers and the credit definitely goes to versatile range of

products by the industry.

The Indian wooden furniture industry is generating approximately a turnover of Rs 3,500 crore

annually. The market of wooden furniture solely owns the share of nearly Rs 60 crore. And as

per one of the survey done recently, the industry is expected to grow by 20 percent in coming

times.

The market development of the industry has enhanced the leading foreign brands to budget in

their confidence and money in Indian Furniture Industry. The world market now feels pleasure

and confident to join hands with Indian Furniture brands, to name few are Godrej & Boyce

Manufacturing Co. Ltd., Furniturewala, Zuari, Yantra, Renaissance, N R Jasani & Company,

Furniture Concepts, Durian, Kian, Millenium Lifestyles, Truzo, PSL Modular Furniture, BP

Ergo, Tangent, Featherlite and Haworth and much more to add to the growth of the industry.

To conclude the vast development and growth of the industry, it can be well quoted that it has

infact become a great pride for the nation to hold a magnificent impact for its fine art and

marvelous work in furniture all over the world. The future is with too many bright colours of

growth miles and miles ahead in terms of unique furniture of all trends to occupy every thought

of decorating or renovating the era for decades and decades. Three cheers for the excellent

growth of Indian Furniture Industry.

. Godrej Group is a name that works with quality and supply Consumer Durable goods like

doors, Almirahs, furniture, home appliances, Industrial Products like chemicals, Real Estate

Projects like Residential Apartments in Bangalore, Pune and Mumbai, Agri Products and so on.

Godrej has workforce of approximately 20,000 to fulfill its aim and vision and has left no stone

unturned to reach at the zenith. India with 400 million populations uses at least one product of

Godrej in a day. With one more flag of Godrej Properties in Godrej Group it will really common

Godrej, which is a big name in the Indian consumer goods market, will now be

introducing television sets and plans to capture 10 per cent of the market share the initial year. It

is Godrej Appliances, the consumer goods division of Godrej and Boyce Manufacturing

of Europe who will be jointly introducing the television sets.

LCD manufacturer Boyce has been roped in for this project by Godrej, which has invested a

whooping Rs 1.5 billion. 'It is a joint production development and is being done abroad,' the

COO of Godrej Appliances said. Speaking generally about the industry, George Menezes said

around 10.5 million television sets got in 2007 and this will hike to around 14.7 million units in

2010.

2.4-SHAREHOLDERS

Since its inception, the company in controlled by the GODREJ family based on Mumbai,India.Its

share are not listed of any stock exchange. About one fourth of the company share capital is held

by Pirojsha Godrej foundation, a public charitable trust.

The Group revenue was approximately US$ 1.7 billion in financial year 08/09. Godrej Interior is

the flagship company of the group. The Godrej group can be broadly divided into two major

holding companies, working independently

Combined Sales - Subsidiaries and Affiliates

The Company is one of the largest privately held diversified industrial corporations’ in India.

The combined Sales (including Excise Duty) of the Company, its subsidiaries and affiliates,

during the Fiscal Year ended March 31, 2005, amounted to over Rs. 50,000million (US$ 1,150

million).

2.5-BRANCHES (SALES AND SERVICE) AND BRANDED RETAIL

CHAIN(GODREJ LIFE SPACE):-

Mumbai , Ahmdabad, Bhopal,Dombivali , Indore, Jabalpur , Pune, Raipur, Thane, New Delhi,

Chandigarh, Faridabad, Ghaziabad, Gurgaon, Jaipur, Jalhandhar, Jammu, Kanpur, Lucknow,

Noida, Chennai, Bangalore, Coimbatore, Hyderabad, Kochi, Secundarabad, Trivandrum,

Vishakapatnam, Kolkata, Bhubaneshwar, Guwahati, Ranchi, Patna.

The company has a network of 48 company’s own Godrej Life Space retail, store, more than

2200 wholesale dealers, Dealers and more than 18000 retail outlets.

The company has representative office in Sharjah (UAE) , Nairobi(Kenya), Colombo(Sri lanka),

Riyad(Saudi Arabia), and Guangzhou(China).

EMPLOYEES:-

10700 (including 2000 in sales and service).

BANKERS:-

Central Bank of India, Mumbai, 400 023.

Union Bank of India, Mumbai 400 021.

City Bank N.A, Mumbai, 400 051.

ICICI Bank ltd, Mumbai, 400 021.

State Bank of Patiala, Mumbai, 400 021.

UTI Bank ltd, Mumbai, 400 001.

2.6- COMPANY PROFILE

The Godrej Group was founded by Ardeshir and Pirojsha Godrej in

1897.BackgroundGodrejGroup is one of the largest conglomerates in India, involved in various

industries that include appliances, precision equipment, machine tools, furniture, healthcare,

interior solutions, office equipment, food-processing, security, materials handling and industrial

storage solutions.

Construction and Information technology. Its products include security Systems and Safes,

Typewriters and Word processors, Rocket Launchers, Refrigerators and Furniture, Outsourcing

Services, Machine Tools and Process Equipment, Cosmetics and Detergents, Engineering

Workstations, Medical Diagnostics and Aerospace Equipment, Edible Oils and Chemical,

Mosquito Repellents, Car perfumes, Chicken and Agro products, Material Handling Equipments

Like FORKLIFT Trucks Stackers, Tyre handlers, Sweeping machines, access equipments etc.

The Group is headed by Mr. Adi Godrej & Mr. Jamshyd Godrej. Traditionally, Vikhroli, a

suburb to the North east of Mumbai has been Godrej manufacturing base, but increasingly the

group has moved significant production facilities inland in search of cheaper pastures.

2.7-HISTORY OF COMPANY

1897 - Godrej & Boyce Mfg. Co. Ltd established

1918 - Godrej Soaps Limited incorporated

1961- Godrej Started Manufacturing Forklift Trucks in India

1971- Godrej Agro vet Limited began as an Animal Feeds division of Godrej Soaps

1974 - Veg oils division in Wadala, Mumbai acquired

1990 - Godrej Properties Limited, another subsidiary, established

1991 - Foods business started

1991 - Godrej Agro vet Limited incorporated

1994 - Transelektra Domestic Products acquired

1995 - Transelektra forged a strategic alliance with Sara Lee USA

1999 - Transelektra renamed Godrej Sara Lee Limited

2001 - Godrej Consumer Products was formed as result of the demerger of Godrej Soaps

Limited. Godrej Soaps renamed Godrej Industries Limited

2002 - Godrej Tea Limited set up

2003 - Entered the BPO solutions and services space with Godrej Global Solutions

Limited

2004 - Godrej Hi Care Limited set up to provide a Safe Healthy Environment to

customers by providing professional pest management services

2006 - Foods business was merged with Godrej Tea and Godrej Tea renamed Godrej

Beverages & Foods Limited

2007 - Godrej Beverages & Foods Limited formed a JV with The Hershey Company of

North America and the company was renamed Godrej Hershey Foods &Beverages

Limited

2008 - Godrej relaunched itself with new colorful logo and a fresh identity music

Social Responsibility Godrej has a philanthropic arm that has built schools, dispensaries

and a residential complex for their employees. Trusts established by Godrej continue to

invest in education, healthcare and up liftmen of the underprivileged.

2.8-BOARD OF DIRECTORS

J. N. Godrej (Chairman and Managing Director)

Chairman’s Message

“The corporate landscape is undergoing several sweeping changes and Indian companies across

sectors have begun to pursue growth both within the country as well as overseas. Today, as India

competes in an increasingly globalized economy, the Godrej Group is ready to play a major role

in the Indian growth story”.

Other Board of Director

B. Godrej,

N. B. Godrej,

V. M. Crishna,

K. N. Petigara,

A. Hathikhanavala,

F. P. Sarkari,

P. D. Lam,

K. A. Palia

P. Shah.

Adi Godrej is the current Chairman of the Godrej Group. Godrej & Boyce Mfg. Co. Ltd.

is headed by Mr. Jamshyd Godrej.

2.9-SHAREHOLDERS

Since its inception, the Company is controlled by the GODREJ family based in Mumbai, India.

Its shares are not listed on any Stock Exchange. About one-fourth of the Company’s share capital

is held by Pirojsha Godrej Foundation, a public charitable trust.

The Group revenue was approximately US$ 1.7 billion in financial year 08/09. Godrej Interio is

the flagship company of the group. The Godrej group can be broadly divided into two major

holding companies, working independently

Combined Sales - Subsidiaries and Affiliates

The Company is one of the largest privately held diversified industrial corporations’ in India.

The combined Sales (including Excise Duty) of the Company, its subsidiaries and affiliates,

during the Fiscal Year ended March 31, 2005, amounted to over Rs. 50,000million (US$ 1,150

million).

Branches (Sales and Service) and Retail Showrooms

Mumbai, Ahmadabad, Bhopal, Indore, Jabalpur, Pune, Raipur, New Delhi, Chandigarh, Faridabad,

Ghaziabad,Jaipur,Kanpur,Lucknow,Chennai,Bangalore,Coimbatore,Hyderabad,Kochi,Pondicherry

,Trivandrum,Visakhapatnam,Kolkata,Bhubaneswar,Guwahati,Ranchi,Patna

The Company has a network of 38 Company-owned Showrooms, more than2,200 Wholesale

Dealers, and more than 18,000 Retail Outlets. The Company has Representative Offices in

Sharjah (UAE), Nairobi (Kenya), Colombo(Sri Lanka) and Riyadh (Saudi Arabia).Employees

8,900 (including 2,000 in Sales and Service)

2.10-ACHIEVEMENTS

In 1897, Godrej introduced the first lock with lever technology in India.

In 1902, Godrej made the first Indian safe.

In 1920, Godrej made soap using vegetable oil, which was a huge hit with the vegetarian

community in India

In 1955, Godrej produced India's first indigenous typewriter

In 1989, Godrej became the first company to introduce PUF( Polyurethane Foam)

Introduced India's first and only 100% CFC, HCFC, HFC free refrigerators Awards

GCPL, the Highest Ranked Indian

FMCG in Asia's Hot Growth Companies ‘List by Business Week

Godrej Consumer Products Ltd. has been ranked 14th in The Best Companies to Work

For study. This study was jointly conducted by Business Today, Mercer and Taylor

Nelson Sofres (TNS)

Godrej Consumer Products Ranks 6th in ET-Hewitt Best Employers of India survey

GCPL ranked 15th in Great Places to Work 2006 survey

The Corporate Citizen of the Year Award given by Economic Times.

Flagship brands Goodnight, Cinthol and Ezee selected Super brands by the Super brands

Council

Godrej Sara Lee, the JV between the Godrej Group and Sara lee

Corporation, USA is acknowledged the World's largest mat manufacturers and South

Asia's largest manufacturers of Coils.

Godrej Consumer Products Limited, adjudged as a Business Super brand by the Super

Brands Council.

The Return on Capital Employed and Return on Net Worth ratios of Godrej Consumer

Products - the highest in corporate India.

Godrej Consumer Products was awarded the "Best Managed Workforce" award given by

Hewitt Associates and CNBC TV18.

Godrej Consumer Products features in the Top 25 list of Great Places to Work (survey

conducted by Grow Talent in association with Business World) for four years in a row.

KEYLINE

At Godrej, we have always successfully competed with MNCs in India and abroad and kept the

spirit of enterprise alive. This has been possible for various important reasons. The Godrej name

is synonymous with trust. It is a well-documented fact that ‘trust’ lowers transaction costs,

corruption, and bureaucracy. Thus, ‘trust’ is a source of significant competitive advantage to us.I

firmly believes that our highest standards of corporate governance, modern management and use

of cutting edge technology and long-term, performance-focused strategies will be the key drivers

in future years.

2.11-MILESTONES

Ardeshir Godrej (1868-1936) was the first Indian manufacturer to displace well

entrenched foreign brands from the market. The word GODREJ, etched into the metal of

his locks, became a symbol of self-reliance for the generations that followed.

With each new product Ardeshir changed perceptions of industry in India. He produced

the first finest security equipment, stunned the world by creating soap from vegetable

oils..

On 7th May, 1897, Ardershir Godrej gave up law and took up lock making. Godrej and

Boyce Mfg. Co. Ltd., was established at Lalbaug, Mumbai. This was the holding

company of the Godrej Group. On 3rd March, 1932, it was incorporated with limited

liability. Even though Boyce was a business partner for a limited period only, his name

was retained for legal purposes .To know more about Godrej & Boyce Mfg. Co. Ltd.

The Godrej Name displaced well established foreign brands from the Indian market. The

name 'Godrej' engraved into the shiny metal of the Godrej Locks came to be known as a

symbol of self reliance, trust-worthiness, assertiveness and progressiveness for a new

generation of Indians.

Ardeshir Godrej relentless quest of self-reliance made him explore newer avenues of

opportunities. In the year 1918, Godrej Soaps Limited came into being. In 1920, he

revolutionized the Soap industry by manufacturing the first toilet soap purely from

vegetable oils. For his achievement, Ardeshir Godrej was bestowed with praises from

India and from foreign lands too.

2.12-BUSINESSPROFILEOFGODREJ

Updated: 2009”

Annual Sales

S. No Major Companies Rupees

in Million

US $

In Million

1. Godrej & Boyce Mfg. Co. Ltd. 28,896 718.7

2. Godrej Industries Ltd. 7,143 177.7

3. Godrej Commodities Ltd. 153 3.8

4. Godrej InfoTech Ltd. 203 5.0

5. Godrej (Malaysia) SDN. BHD. Malaysia 61 1.5

6. Godrej InfoTech Ltd.Godrej (Malaysia)

SDN. BHD

99 2.5

7. Godrej InfoTech Ltd. Godrej 6,824 169.7

8. Goldmohur Foods& Feeds Ltd 3,233 80.4

9. Godrej Properties Ltd 1,172 29.2

10 Godrej Hi care Ltd 50 1.2

11. Godrej International Ltd 2,476 61.6

12. Godrej Global Mid East FZE, Sharjah UAE 91 2.3

13. Godrej Consumer Product Ltd 9,914 246.6

14. Godrej Sara Lee Ltd 5,578 138.7

15. Geometric Ltd 3,831 95.3

16. Godrej EFACEC Automation & Robotics

Ltd

72 1.8

17. Godrej Hershey Foods and Beverages Ltd 1,539 38.3

18. Mercury Mfg.co.Ltd 241 6.0

19. Godrej & KHIMJI(Middle East) LLC,

Oman

169 4.2

20. Godrej(Vietnam) Co.Ltd 114 2.8

71858 1787.3

2.13-DIVISION OF GODREJ & BOYCE MFG. CO. LTD.

GODREJ APPLIANCES –

Offerings in the refrigerator, washing machine, air conditioner and microwave oven ranges.

Godrej Appliances made the very first refrigerator in India in 1958. Voted the Most Trusted

Brand, Gold award (Reader's Digest consumer survey) 4 years in a row by its consumers.

And earned the CNBC Consumer Awaaz Award, 3 years in a row. Eon, in the Consumer

World Awards, was chosen as Mera Brand of the year, 2008.

GODREJ PRIMA –

A leading manufacturer of high quality table top beverage Vending Machines for the world

market in collaboration with M/s Veromatic International BV of The Netherlands. They are

also one of India's leading integrated Vending Service providers, using our world class

machines and refreshing beverages to provide a delightful service experience.

GODREJ CONSTRUCTION –

The Construction Department of Godrej & Boyce Mfg. Co. Ltd. has its origin, dating back as

1948. The department has full in-house capacities for Architectural & Structural Design and

Construction of Industrial & Residential Projects. The Construction Department has

developed the entire Pirojshanagar Industrial Garden Township of Godrej Group where the

registered offices and Head Office of the Godrej Group of Companies are located.

Construction Department is accredited with ISO 9001 Quality and ISO 14001 Environmental

Management System. Today the Department renders services from construction to

environment conservation and garden services to pollution control.

GODREJ ELECTRICALS –

Godrej Electrical & Electronics is recognized as one of the leading technology solution

providers in India. This division basically caters to the needs of Indian and global customers

in the area of energy and environment related issues with complete installation and

maintenance. With rapid infrastructural growth, Godrej sensed the need for Green Business

set-up and that's how the Electrical and Electronics division came into existence. They

provide all types of engineering services in the area of electrical, electronics, compressed air

technology, busbar systems, instrumentation, and telecommunication & automation

technology.

GODREJ INTERIO –

Godrej Interio is India's largest furniture brand. They offer the customers home and office

furniture, along with solutions for laboratories, hospitals and healthcare establishments,

education and training institutes, shipyards and navy, auditoriums and stadiums. Are present

across India through 50 exclusive showrooms in 18 cities and through 800 dealer outlets.

GODREJ LOCKS –

The Godrej story began in 1897 with the manufacture of Locks. Since then, Godrej Locks

has set several benchmarks in the locks industry - from the first spring-less lock in 1907 to

the iconic 'NavTal' in 1954 to the Ultra range in 1995 to the revolutionary 3KS in 2007.

From a state-of-the-art manufacturing facility in a suburb of Mumbai, Godrej Locks provides

locking solutions that reach homes, offices and industries. They adhere to global quality

norms and hold ISO 9001, ISO 14001 and OHSAS 18001 certifications.

. GODREJ MATERIAL HANDLING –

Godrej Material Handling (MH) delivers hi-tech material handling equipments to a vast

clientele across the globe. Four decades ago, it turned a new leaf in the history of Material

Handling with the introduction of India's very first Forklift truck. Godrej MH is known

globally not only for its hi-tech engineering capabilities but also respected for its initiation of

labor reforms and its active involvement in philanthropic activities. It's state-of-art 12000

square feet plant located in Mumbai is capable of delivering 100 Forklift trucks every month.

Godrej MH boasts the expertise of developing new models and attachments to suit the

market requirements in a surprisingly short time. The fully computerized Design &

Development department covers an area of over 10000 Sq. Feet. Godrej MH is certified with

quality norms of ISO9001 and ISO14001 by RW- TUV of Germany. Godrej MH has a

strong presence in India and the Middle-East with a service network of 14 branches and 20

dealers.

GODREJ PRECISION ENGINEERING –

Critical custom-built precision engineering equipments for multiple applications.

GODREJ PRECISION SYSTEMS –

Godrej Precision Systems, engaged in the Hi-Tech Aerospace Mfg. Activities, had its

beginning in a small way, back in 1985, with development of critical, high precision

spacecraft components, made out of exotic alloys. Today , Precision Systems is executing

major Aerospace projects involving Precision machining, Precision fabrication, (Welding &

Brazing), Heat Treatment, Surface Treatment, Assembly, Testing & Supply of Complex &

Air worthy Systems. Godrej Precision Systems has amassed a rich experience in successful

development & production of Liquid Propulsion Engines, Defense Systems, Satellite

Components & Assemblies and Dish Antennas with Feed Systems.

GODREJ PROCESS EQUIPMENT –

Godrej Process Equipment is a leader in fabricating unit static equipment for process

industries. Established in 1976, Godrej Process Equipment manufactures the entire range of

process equipment for end-users in core industry segments like Refineries, Petrochemicals,

Fertilizers, Oil & Gas, Chemicals, Pharmaceuticals and Power around the world.

GODREJ SECURITY SOLUTIONS –

Offer diverse security product solutions including technologically advanced sphere-like

cameras with analytics, substance detectors (bomb, bullets, narcotics...), X-ray baggage

scanners, biometrics and access control systems, Burglary and fire resistant safes, Road

blockers, Marine Solutions etc. Their products are tested stringently at leading testing

laboratories i.e. SP Test in Sweden, VDS Test in Germany and the Underwriters Laboratory

in the United States. Their plant in Mumbai is rated as one of the finest and largest factories

in India.

GODREJ STORAGE SOLUTIONS –

Godrej Storage Solutions is a leader in the field of racking and storage systems with

products ranging from slotted angle shelving, selective pallet racking to integrated man-less

intelligent warehousing solutions. With prompt manufacturing, project management,

distribution and sales support system, they deliver efficient solutions to industrial and

institutional segments.

GODREJ TOOLING –

Godrej launched its state-of-the-art tool room way back in 1935. Constant innovation

ensures that even today Godrej Tooling is one of India's most advanced tool room. They are

an IMS (ISO 9001, ISO 14001 & OHSAS 18001) certified unit catering to entire tooling

solutions and reaching out globally. Manufacture custom-built, high quality tooling that

caters to a wide cross section of players in the automobile sector, amongst others. Are highly

experienced in Pressure Die Casting Dies, Thermo-compression Moulds, complex and large

sheet metal tooling for Auto Panels and Progressive Dies. Infrastructure includes 39 CNC

Machines, 140 Conventional Machines, 50 designers, 350 trained associates and total team

strength of 500. Companies like Honda Cars, Honda Motorcycles, Toyota, Suzuki, Mahindra

& Mahindra, Tata Motors, etc. are some of their prestigious clients.

GODREJ PRIMA –

Godrej AV Solutions, in association with some of the world's most recognized names in

business conferencing, brings a spectrum of hi-tech conferencing solutions. Their

association with internationally reputed companies like Panasonic, Tandberg, Polycom,

Crestron, Extron, and BenQ gets the customer the best in the industry from a single source.

It is this trust, backed by the commitment to nurture long-term customer relationships, along

with prompt after-sales service that has enabled it to forge ahead in the field of AV

Solutions as a reliable and comprehensive technology provider.

2.14-COMPETITOR OF GODREJ

1. Physical System

Gunnebo India pvt

Methodex

Syntax

Nexus

S.S. Communication

2. Electronic System

Panasonic

Samsung

whirlpool

Honey well

LG

Euro vigil Electronic Security Solution

Eureka Forbes Ltd

Hi Safe Security System

3. Doors

Kalsi Automatic Door System (P) Ltd

Tasido Wooden Door Co Ltd

Furntech Interiors Private Ltd

Jindal Overseas

2.15-LOCATION

GODEREJ & Boyce Mfg .Co. Ltd

Registered Office, Head Office and Mumbai branch

Pirojshanagar, Vikhroli, Mumbai (400079), India

EAST

Kolkata, Bhubaneswar, Guwahati, Ranchi, Patna

WEST

Mumbai, Ahmadabad, Bhopal, Dombivli, Indore, Jabalpur, Pune, Raipur, Thane

NORTH

New Delhi, Chandigarh, Faridabad, Ghaziabad, Gurgoan, Patna, Jalandhar, Jammu, Kanpur,

Lucknow, Noida

SOUTH

Chennai, Bangalore, Coimbatore, Hyderabad, Kochi, Secunderabad, Trivandrum,

Visakhapatnam

REGISTERED OFFICE:

Pirojshanagar, Eastern Express Highway,

Vikhroli (East), Mumbai 400 079.

Phone : 022 -2518 8010, 2 518 8020, 2 518 8030

Fax : 022-2518 8074, 2 518 8066

website : http:www.godrejinds.com

FACTORIES:

Vikhroli Pirojshanagar, Eastern Express Highway,

Vikhroli (East), Mumbai 400 079.

Phone : 022 - 2 518 8010, 2 518 8020, 2 518 8030

Fax : 022 - 2 518 8066/2518 8064

VALIA BURJORJINAGAR,

(DTA & EOU) Plot No. 3, Village Kanerao,

Taluka - Valia, District Bharuch,

Gujarat 393 1 35.

Phone : 02643 - 2 70756 to 2 70760

Fax : 02643 - 2 70018

WADALA L.M. NADKARNI MARG,

Near M.P. T. Hospital,

Wadala (East), Mumbai 400 037.

Phone : 022 - 2 415 4816/2414 8770

Fax : 022 - 2 414 6204

NEW DELHI : Delhi 4th Floor, Delite Theatre Building,

4/1, Asaf Ali Road, New Delhi 11 0 002.

Phone : 011 - 2 326 1 066

Fax : 011 - 2 326 1 088

KOLKATA BLOCK GN, Sector-V,

Salt Lake City, Kolkata 700 091.

Phone : 033 - 2 357 3555

Fax : 033 - 2 357 3945

CHENNAI

New No. 1 5, (Old No. 1 7-A),

2nd Street, Jeevarathnam Nagar,

Adayar,

Chennai 600 020.

Phone : 044 - 4266 6605

Fax : 044 –

2.16- PRODUCT PROFILE

CONSUMER PRODUCTS

Appliances

Locks

Furniture

Security Equipment

Audio Visual Solutions

Typewriters

Vending

Soaps & Personal Care

Foods Air Care

Household Insecticides

Housing

Pest Management

Services

INDUSTRIAL PRODUCTS

Storage Solutions

Automated

Warehousing

Material Handling

Equipment

Process

Equipment

Precision

Components &

Systems

Machine Tool

Service

Electrical &

Electronics

Tooling

IT Solutions

PLM Solutions

Medical

Diagnostics

Agro Products

Chemical

Construction

Material &

Services

Lawkim Motors

Industrial Products

Consumer Product

CHEMICAL & COMMODITIES

Godrej Industries

Chemicals

Vegetable Oils

FMCG

Godrej Consumer Products

Keyline Brands UK

Rap idol South Africa

Godrej Global Mideast FZE

Godrej SCA Hygiene Limited

Godrej Hershey Foods & Beverages

Limited

Nutrient

Godrej Sara Lee

AGRI Godrej Agro vet

Animal Feeds

Goldmohur Foods and Feeds

Golden Feed Products

Higashimaru Feed Products

Oil Palm

Agriculture Inputs

Godrej Aadhaar

Nature's Basket

Integrated Poultry Business

Plant Biotech

SERVICES

Godrej Hire Care (Pest Management Services)

Godrej Global Solutions (ITES)

Godrej Properties

A)Physical Security Product

Record Protecting Equipment

Burglary Resisting Safes

Vaults Equipments

B) Electronic Security System

Access control Systems

Electronic Alarm systems

Electronic safes

Perimeter Security

Remote Surveillance

Surveillance Systems

Video Doors Phones

C) Doors

Fire Doors

Wooden Doors

Security Equipment Division

Physical Security Product

Electronic Security System Doors

PHYSICAL SECURITY PRODUCTS

1. Defender plus Safes

A range of seven safes with varying storage capacities for protection of Cash and Valuables

against Burglary & Fire.

Features

Armored with a double duty compound of ultra hard aggregates for protection from fire

& burglary.

Oxyacetylene torch, drill and hammer resistant protection offered.

Thick outer shell for complete protection.

High quality nitrocellulose paint for scratch-free and attractive finish.

.3. Record Room Doors

Features

Multiband door frame fabricated from prime steel and suitable reinforced along its

periphery.

Lined with Godrej unique Non-conducting fire-resisting compound for insulation against

intense heat.

High quality nitro-cellulose paint is applied in char brown colour with stipple finish.

Bolting achieved by 4 shooting bolts at the front end, with additional 4 solid bolts welded

to the lock case on the hinged side.

Popular Safes

Features

Fully welded multiband body.

Heavy plate door hinged on strong pivots in solid-steel bearing blocks.

A twelve tank anti-corrosion and scratch-resistant treatment.

Multi-coat paint finish, on a rust-inhibiting primary coat.

Available with a coin slot option, with a removable and lockable flap for day and night

options.

ELECTRONIC SECURITY SYSTEM

1. CCTV

Features

Both IP and Analog Cameras are available.

DVR & NVR for recording.

Wide Range of display optics from high resolution CRT monitors to high definition

plasma displays.

Remote Surveillance.

2. E Laptop Safe

Features

Audit trail facility. Provides records of the last 500 transactions on the safe.

Battery operated, with provision for a mechanical override.

Early low battery warning.

Non-volatile memory ensures that passwords and programming settings are not erased

during battery drain or removal.

In case of a total battery failure, a 6V adapter, connected from outside, can be used.

Body of the safe is made of prime quality steel, and is of single plate, multi bend

construction.

3. Eagle Electronic Burglar and Fire Alarm System

Features

Three Zones with one dedicated fire zone.

Range of detectors and sensors such as Magnetic door sensor, Motion sensor, Vibration

sensors, Glass break sensor, Panic switch (Hand operated or foot operated), Smoke

detectors (Photo thermal, Photoelectric or Heat).

Facility to connect output devices such as Hooter / Paging speakers.

Audio-visual alarm indications.

Speaker wire cut detection for all sensors and Hooters / Speakers.

Option of an Automatic Telephone Dialing (ATD) facility, can call up pre-fed numbers in

case of an alarm.

4. Video Door Phone

Features

Extremely elegant and aesthetic.

Camera with IR / Night Illumination facility.

Door Bell Chime.

Two way audio Communications..

Camera with strong outer casing.

Volume / Brightness / Contrast Adjustments.

6. Door Frame Metal Detector

Features

Multi-Zone - minimum 9 real detection zones.

Automatically calibrates itself up to Environmental Conditions.

Light indicators at side panels and control panel.

Automatic Sensitivity Program selects the correct sensitivity for a specific weapon or a

recognized test object.

Graphic zone display.

Easy-to-mount and assemble walk through metal detector (15 minutes).

DOORS

1. Flush Doors

Features

Flush Doors are powerful decorating accessories

They compliment a wide variety of interior decors

These doors provide the utmost in convenience and versatility

They accentuate interiors with the beauty & refinement of natural wood.

3.1- ORGANISATIONAL STRUCTURE

ORGANIZATIONAL STRUCTURE

BRANCH COMMERCIAL MANAGER

Sr. MANAGER Sr.MANAGER Sr.MANAGER Sr.MANAGER Sr.MANAGER

INTERIO APPLIANCE SEC.EQUIPMENT MATERIAL LOCKS

HANDLING EQP

DEPUTY DEPUTY DEPUTY DEPUTY DEPUTY MANAGER

MANAGER MANAGER MANAGER MANAGER

DEPUTY DEPUTY

DEPUTY DEPUTY MANAGER MANAGER

MANAGER MANAGER

SALE SERVICE

EXECUTIVE

FINANCE ADMINISTRATIVE

MANAGER EXECUTIVE

4.1- HUMAN RESOURCE MANAGEMENT

VICE PRESIDENT

AREA MANAGERHR

REGIONAL MANAGERHR

NORTH ZONE HR

WEST ZONE HR

SOUTH ZONEHR

EAST ZONE HR

PRESIDENT

HUMAN RESOURCE

Human Resource basically works for the welfare of the employees. It acts to organize the

manpower and work to increase productivity of the employees. Basically Human Resource

performs the functions of Recruitment, Hiring, Induction, Training and development,

Performance appraisal of the employees. Human Resource studies and involves in inter life cycle

of the employee from his joining the organization to till his end from the organization

ABOUT PEOPLE OF H.R. DEPARTMENT

H.R. manager are high experienced in the HR jobs they are very efficient in their work. They do

all kinds of HR activities such as recruiting, training, fixing salary etc…… and their

qualification is M.B.A in HR. usually we find in every godrej sector only one HR manager

caring out their jobs.

POLICIES OF H R DEPARTMENT

The main objective of H.R department in godrej is:-

Peace among employees in the work place

Better co-ordination in the working environment

Motivational activities

Sense of belongingness

Recognition of work

Carrier & self development of employees & consultants

SOURCE OF RECRUITEMENT

Consultancy Services:

For top level management, employees are recruited through private consultants. They are

usually appointed as Departmental Managers.

Walk-ins:

This is the main source through which Godrej recruits its employees. People seeking job usually

themselves approach the HR department for job vacancy. Employees usually selected from this

source are appointed at the entry level as team members.

Employee Referrals:

This is the other main source through which employees are selected. Candidates who have

given their previous employer as referrals are first interviewed and from their previous

employer, opinion is taken about their behaviour and performance in the job. If they receive a

positive opinion from their previous employer they are selected.

Campus Recruitment:

Young people bring new ideas and fresh enthusiasm. Therefore Godrej some of the reputed

educational institutions to hire some of the most talented and promising students as its

employees. Selection Procedure The following is the selection procedure that the HR department

practices to hire its employees.

Interview:

For entry level jobs, the candidates are interviewed by a HR person. They are asked a few

basis questions about their education, previous work experience if any, languages known

etc. This is done to evaluate the candidate’s ability to communicate freely and also other skills.

Psychometric Tests:

For higher and top level jobs, candidates are asked to answer a few questions which basically

test their sharpness, analytical ability, ability to handle stress, presence of mind etc. This is

done as Managers are required to work under stress all the time and still maintain a cool

head to make some vital decisions.

Group Discussion:

In campus recruitment students are involved in a Group Discussion, where they will be given a

topic on which the group has to deliberate, discuss and arrive at a solution or a decision which is

accepted by the whole group. Along with the G D they are also given a written aptitude test.

Finally a formal interview will be conducted to assess the overall skills of the student.

Induction

New employees selected will be given a 13 day induction and training program. They

will be given information about the company’s business, different departments etc. They

will be informed of their roles, duties and responsibilities. They will also be informed about the

HR policies and rules of the company. The new employees will be on probation for a

period of 6 months. After this period the HR period along with the department manager will

review the performance of the employee. If the employee’s performance is good and

encouraging, the employee’s services will be confirmed.

Compensation & Rewards

The employees are rewarded suitably with attractive pay packages. The salary of an employee

includes basic pay. HRA, special allowance, PF, ESI, Medi claim etc. Annual bonus will be

given at the time of Diwali. The employees and their dependents are also entitled for medical

treatment in recognised hospitals with cashless hospitalisation with which the company has tie-

ups.

Leaves and other rules

An employee during his probationary period is entitled for 7 days of leave. A confirmed

employee is entitled for 30 days of leave in a year. There is only one type of leave the employees

can take which is known as All Purpose Leave (APL).All the employees will be given identity

cards which they have to wear and also swipe while at the time of entering and leaving the Store.

Performance Appraisal

The HR department conducts performance appraisal of all the employees annually in the month

of April. Based on their performance increments will be given in their pay. In addition to this if

an employee achieves or exceeds the target given to along with their team members will be

provided with attractive cash and other incentives.

Training & Development

Future group has its own training division for all its employees, known as ‘Future Learning &

Development Limited’ (FLDL). All the employees are given training for 20 days in a year spread

over different periods. ‘Gurukool’ which is a part of FLDL gives training to all the employees

on various skills like team work, dedication discipline improving customer service etc to make

them more knowledgeable and productive.

4.2-MARKETING DEPARTMENT

ORGANISATIONAL STRUCTURE

PRESIDENT

VICE PRESIDENT

NORTH ZONALMANAGER

SOUTH ZONAL MANAGER

EAST ZONALMANAGER

WEST ZONALMANAGER

ZONAL MARKETINGMANAGER(PATNA)

REGIONAL HEADMANAGER

AREA HEAD MANAGER

MARKETING

Marketing is an important strategy by which Godrej is advertising its business. Godrej has its

own marketing strategy at each level of its business. Following are different level organization

marketing structure o Godrej

This dept is responsible for the marketing of the store in different media like Television,

Newspaper, and Holdings etc. the authorized person has to visit different companies and has to

look after for tie-ups etc. The executives arranges rally’s

Store level-store manager

Zonal level-zonal manager

Head office level-head of marketing(Mumbai)

POLICIES OF MARKETING DEPARTMENT

To attract customer through their advertisement.

To make know about their business

To make heir about their products & goods

To make know about their offers

To make know about their different facilities

To provide customer satisfaction

To build customer relationship

MARKETING IN GODREJ

Godrej aims to re launch products across categories to revive demand and enhance consumer

recall. In some cases, the products will only be repackaged and re launched with a new

marketing strategy; in others, the brands will be extended to some new product categories. New

pitch: The consumer goods major has hired Bollywood actor Hrithik Roshan to endorse its

flagship soap brand Cinthol the Company has lined up major initiatives for its soap business.

STORE LEVELMANAGER

With 11% market share in value terms, Godrej is the second largest soap maker after Hindustan

Unilever.

Godrej plans a complete makeover of its flagship soap brand Cinthol and has hired Bollywood

actor Hrithik Roshan as a pitchman. The brand, which was launched in 1952 as the first

Deodorant soap in the country has been through several changes since then. It was initially

positioned as a male centric product but later it was repositioned as family soap but now, the

company plans to pitch it as a youth-centric brand, along with launching new products under the

same brand name.

“We will also introduce hand wash and shower gels under the (Cinthol) brand,” said Hoshedar

K. Press, executive director and president. In the 1980s, Cinthol was a leading brand with market

share in double digits and was endorsed by popular celebrities such as Vinod Khanna and former

Pakistani cricketer Imran Khan. According to AC Nielsen, in August, Cinthol had a 2.5% share

in the Rs6,000 crore annual soap segment. “Cinthol enjoys a good brand equity among

consumers, which doesn’t reflect in its market share.

The repositioning will positively boost growth,” says Sameer Deshmukh, an analyst at IL&FS

Invest smart Securities Ltd. Godrej is relaunching another soap brand, Fair Glow, with a new

look and the initiative will be supported by significant advertising. Godrej is, however,

withdrawing the Vigil brand that was relaunched recently. “We tested the soap in the market

after its relaunch but it didn’t do well, so we decided to withdraw it,” said Press. The soap

segment contributed around 64% of Godrej revenues of Rs758 crore in 2008-09. Godrej is

revamping its hair color business as well. It plans to introduce a powder version of Renew, its

premium hair colour cream. “Several consumers find powder hair colour more convenient and

the move is aimed at providing consumers more convenience,” said R.K. Sinha, the company’s

COO, marketing and operations.

While Godrej has an overall share of 36% in the Rs780 crore annual hair colour market, Renew

only has a 1.1% share. While its Godrej hair dye powder is the leading product in the hair

colorant market with a 27% share, the premium segment is still dominated by multinational

brands, such as L’Oreal. Despite its multiple product plans, Godrej says overall advertising

spending for the year will be comparable with last year’s. It had spent Rs53 crore in advertising

and promotion in 2006-07.

4.3-LOGISTIC DEPARTMENT

Logistics is concerned with getting the products and services where they are needed and when

they are desired. It is difficult to accomplish any marketing or manufacturing without logistical

support Logistics involves the integration of information, transportation, inventory, warehousing,

material handlings and packaging.

Distributor

Retailer

Asst.Dist logistics Executive

Logistic Executive

SupplierHelper

Dist logistics officer

The operating responsibility of logistics is the geographical positioning of raw materials, work-

in-progress and finished inventories minimizing the cost as much as possible. It is through the

logistics process that materials flow into the vast manufacturing capacity of an industrial nation

and products are distributed through marketing channels to consumers.

Definition as per council of logistics management “logistics is the process of planning,

implementing and controlling the efficient, effective flow and storage of goods, services and

related information from the point of origin to the point of consumption for the purpose of

conforming to the customer requirements “Goals of logistics are to achieve a targeted level of

customer service at the lowest possible total cost. Logistics involves detailed and complex work.

However, implementing best practice of logistics has become one of the most exciting and

challenging operational areas of business and public sector management.

LOGISTIC OF GODREJ

Logistic is a very important department in Godrej. It is responsible for procuring the stock of all

the products of the different department. The logistic department receives the goods from

warehouse. The warehouse of Godrej is located in Patna, Bihar.

The logistic department receives the stock of different goods and verifies the quality and quantity

of goods with the particular given in the ‘Goods Received Statement’ which it receive along the

stock.

Then it checks for any damage in the stock receives. If there is no damage in the stock, after

recording it in the ‘Stock Inward Register’ dispatch the goods to the respective departments

taking the signature of the department manager.

On the other hand if there is a damage or if the goods do not match the details given in the

‘Goods Received Statement’ it enter in the ‘Stock Outward Register’ and send it back to the

warehouse along with the Goods Returned.

The logistic department receives two trucks load of stock every day. It is the respective

Departmental Manager who place an order to the Zonal Head office trough E-mail for stock of

goods when they feel that the stock has to be replenished

4.4-CUSTOMER SERVICE DESK (CSD)

Customer Service Desk is a platform where in Customer service representatives are employed by

many different types of companies to serve as a direct point of contact for customers. They are

responsible for ensuring that their company’s customers receive an adequate level of service or

help with their questions and concerns. These customers may be individual consumers or other

companies, and their service needs can vary considerably

POLICIES

All customer service representatives interact with customers to provide information in response

to inquiries about products or services and to handle and resolve complaints. They communicate

with customers through a variety of means by telephone, by e-mail, fax, regular mail; or in

person. Some customer service representatives handle general questions and complaints,

whereas others specialize in a particular area.

Many customer inquiries involve routine questions and requests. For example, customer service

representatives may be asked to provide a customer with their credit card balance, or to check on

the status of an order. However, other questions are more involved, and may require additional

research or further explanation on the part of the customer service representative. In handling

customers’ complaints, they must attempt to resolve the problem according to guidelines

established by the company. These procedures may involve asking questions to determine the

validity of a complaint; offering possible solutions; or providing customers with refunds,

exchanges, or other offers, like discounts or coupons. In some cases, customer service

representatives are required to follow up with an individual customer until a question is

answered or an issue is resolved.

Some customer service representatives help people decide what types of products or services

would best suit their needs. They may even aid customers in completing purchases or

transactions. Although the primary function of customer service representatives is not sales,

some may spend time encouraging customers to purchase additional products or services.

Customer service representatives also may make changes or updates to a customer’s profile or

account information. They may keep records of transactions and update and maintain databases

of information.

Most customer service representatives use computers and telephones extensively in their work.

Customer service representatives frequently enter information into a computer as they are

Speaking to customers. Often, companies have large amounts of data, such as account

information, that is pulled up on a computer screen while the representative is talking to a

customer so he or she can answer specific questions.

Customer service representatives also usually have answers to the most common customer

questions, or guidelines for dealing with complaints. In the event that they encounter a question

or situation to which they do not know how to respond, representatives consult with a supervisor

to determine the best course of action. They generally use multiline telephone systems, which

may route calls directly to the most appropriate representative. However, at times, they must

transfer calls to someone who may be better able to respond to the customer’s needs.

In some organizations, customer service representatives spend their entire day on the telephone.

In others, they may spend part of their day answering e-mails and the remainder of the day

taking calls. For some, most of their contact with the customer is face to face. Customer service

representatives need to remain aware of the amount of time spent with each customer so that

they can fairly distribute their time among the people who require their assistance. This is

particularly important for those whose primary activities are answering telephone calls and

whose conversations are required to be kept within a set time limit. For those working in call

centers, there is usually very little time between telephone calls. When working in call centers,

customer service representatives are likely to be under close supervision. Telephone calls may be

taped and reviewed by supervisors to ensure that company policies and procedures are being

followed.

Job responsibilities also can differ, depending on the industry in which a customer service

representative is employed. For example, those working in the branch office of a bank may

assume the responsibilities of other workers, such as teller or new account clerk, as needed. In

insurance agencies, a customer service representative interacts with agents, insurance companies,

and policyholders. These workers handle much of the paperwork related to insurance policies,

such as policy applications and changes and renewals to existing policies. They answer questions

regarding policy coverage, help with reporting claims, and do anything else that may need to be

done. Although they must have similar credentials and knowledge of insurance products as

insurance agents, the duties of a customer service representative differ from those of an agent as

they are not responsible for seeking potential customers. Customer service representatives

employed by utilities and communications companies assist individuals interested in opening

accounts for various utilities such as electricity and gas, or for communication services such as

cable television and telephone. They explain various options and receive orders for services to be

installed, turned on, turned off, or changed. They also may look into and resolve complaints

about billing and other service.

4.5-FINANCE DEPARTMENT

FINANCE FUNCTION STRUCTURE

` GROUP CFO

ACCOUNT LEGALACCOUNT

TAX

RISK FP & A

INVESTORS RELATION

LEGAL

TREASURY SECRETARIAL

POLICIES OF FINANCIAL DEPARTMENT

Maintaining grooming standard

To speed up cashier efficiency

To provide customer service under cash stile’s (cash counter’s)

To prepare different report

OBJECTIVE OF FINANCE DEPARTMENT

Timely payment of all employees and establishment payments.

Timely and accurate booking of all the expenditure.

100% compliance of legal requirement.

Improved services.

GOALS

Profit maximization

Wealth maximization.

Mission.

Line of business that is steel making.

The department plays a very important role in dealing with money related matters . the main

objective of this department is to see the utilization of the resources like men, materials and

machines.

POLICIES It is the custodian of resources.

It contains a treasury function which deals with money flow, it can either be inflow or

outflow or earning profits. Inflow means either coming from loans or capital. Outflow

may be either in the form of expense or purchase of assets.

Preparation of master budget.

Maintenance of the accounting record.

Preparation of final accounts.

Payment of cash management.

Internal audit.

Preparation of profit and loss account.

Preparation of balance sheet.

Preparation of different types of budget.

PROCESS

All accounts like cash, bank, sales and loans will be maintained by finance department. The

closing of accounts is done on yearly basis. The financial year is from April to march of

succeeding year. The main responsibility of accounts department is to fund from time to time.

AUDIT: Consists of

1. Internal audit which is only for department.

2. External audit which consists of outside experts.

The closing of accounts is done on yearly basis in the month of March or April. The main

responsibility of accounts department is to arrange funds timely.

Profit and loss accounts and balance sheets are prepared at the end of accounting period. The

final accounts are communicated to the share holders after this final auditing is done by the audit.

PROFIT-LOSS ACCOUNT  Mar’10 Mar’09 Mar’08 Mar‘07 Mar ' 06

Income

Operating income 814.42 811.94 724.65 655.39 742.63

Expenses

Material consumed 524.78 577.76 409.35 443.25 496.65

Manufacturing expenses  80.64 78.16 66.27 57.06 51.28

Personnel expenses 105.83 82.93 79.58 62.66 67.35

Selling expenses 52.17 57.01 49.09 39.89 41.60

Administrative expenses 37.64 51.87 45.82 36.33 40.44

Expenses capitalized - -6.26 -7.49 -6.73 -5.38

Cost of sales 801.05 841.47 642.63 632.46 691.93

Operating profit 13.37 -29.52 82.02 22.93 50.71

Other recurring income 62.54 77.99 35.48 68.26 33.08

Adjusted PBDIT 75.91 48.47 117.50 91.20 83.79

Financial expenses 60.42 58.51 38.28 39.02 24.31

Depreciation  28.39 26.46 25.47 24.26 22.59

Other write offs - - - - -

Adjusted PBT -12.90 -36.50 53.75 27.92 36.89

Tax charges  -0.80 -2.83 2.22 2.23 14.99

Adjusted PAT -12.10 -33.67 51.53 25.69 21.90

Nonrecurring items 92.89 53.26 56.28 52.59 49.30

Other non cash adjustments 0.44 -1.51 1.00 -0.22 -0.08

Reported net profit 81.23 18.08 108.81 78.06 71.12

Earnings before

appropriation

375.11 342.45 382.02 315.16 271.94

Equity dividend 47.64 39.97 39.97 29.19 24.32

Preference dividend - - - - -

Dividend tax 7.91 6.79 6.79 4.96 3.41

Retained earnings 319.55 295.69 335.25 281.01 244.21

BALANCE SHEET

  Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06

Sources of funds

Owner's fund

Equity share capital 31.76 31.98 31.98 29.19 29.19

Share application money - - - - -

Preference share capital - - - - -

Reserves & surplus 978.07 981.05 1,009.73 363.17 319.25

Loan funds

Secured loans 204.19 232.82 249.48 330.92 249.11

Unsecured loans 343.42 368.14 186.19 136.77 78.03

Total 1,557.44 1,613.99 1,477.38 860.05 675.58

Uses of funds

Fixed assets

Gross block 615.13 578.55 558.22 542.58 536.40

Less : revaluation reserve 12.86 14.10 16.71 18.26 22.91

Less : accumulated depreciation 338.82 314.68 291.74 273.03 255.68

Net block 263.45 249.77 249.77 251.30 257.81

Capital work-in-progress 21.98 24.84 4.94 17.49 5.22

Investments 1,147.62 1,148.08 775.48 485.67 371.35

Net current assets

Current assets, loans & advances 447.12 450.67 815.76 384.28 274.37

Less : current liabilities & provisions 322.73 263.23 379.25 294.70 255.36

Total net current assets 124.40 187.44 436.50 89.57 19.01

Miscellaneous expenses not written - 3.86 10.68 16.02 22.19

Total 1,557.44 1,613.99 1,477.38 860.05 675.58

Notes:

Book value of unquoted investments 595.80 617.75 645.23 393.51 264.05

Market value of quoted investments 1,942.23 757.25 333.66 340.22 488.76

Contingent liabilities 64.40 106.28 124.54 111.03 91.25

Number of equity shares outstanding (Lacs) 3176.25 3197.59 3197.59 2918.52 486.42

4.6- ADMINISTRATION DEPARTMENT

Store administration comes under Store Manager its functions are store maintenance, House

Keeping, Security etc. Store manager has to control all the activities within the store. He has to

communicate all the departmental managers and assistance departmental managers regarding any

new offers, regarding their targets etc. Sore manager has to see the operation at the store is being

performed in coordination and cooperation he has to communicate with the corporate office

regarding any changes being applied at the store.

ABOUT PEOPLE OF MAINTENANCE DEPARTMENT

The job of maintenance is reduce wastage, prevent the accident, maximum utilization of resource

of organization, safeguard the documents & good’s etc… the qualification of employees in

department is diploma in electronic & electrical, job, I.T.I.

POLICIES OF MAINTENANCE DEPARTMENT

To ensure there is no electrical cutoff in the workplace.

To ensure there is no thief in workplace.

To ensure regular check of machine.

To ensure safeguard of documents & good’s.

To ensure cleanliness in the workplace.

To ensure there is no wastage of any wastage.

To improve the efficiency of work.

To avoid accidents in the workplace

5.1-SWOT ANALYSIS

Strength:

The Company has got wide range of branches within the country.

The Company has wide range of product line.

Godrej having better Sales after services.

The Company has their respectable and believable brand name.

Company having large number of customer with higher satisfaction.

The management is trained and efficient & the network of service centers is good in

all states.

Weakness:

The Company does not go for advertising, which is one of the biggest disadvantage of

Godrej.

Its emphasis more on the advertising of office automation & primary division.

The company is focusing many security products at a same time.

Manpower is less at sale officer level so that it affecting directly on the way of sale.

The effective selling schemes are not available like payment on installments

Opportunities:

Godrej has more opportunities to grow as it has earned good name in security sector.

Technical up gradation time to time is also one of the opportunities

Godrej can focus on big project like construction.

Where there is a great demand of security equipments.

Threat: The growing competition in the security sector is threat for all manufacturing companies.

So it is also threat for Godrej to stand in the market with the higher position.

Large number of competitors.

Job hopping of employees.

Increasing number of firms & it’s entry in the market.

VISION, MISSION & CORE VALUES

5.2- Vision

Godrej is guided by a singular vision: to lead the digital convergence movement.

We believe that through technology innovation today, we will find the solutions we need

to address the challenges of tomorrow. From technology comes opportunity for

businesses to grow, for citizens in emerging markets to prosper by tapping into the digital

economy, and for people to invent new possibilities.

It’s our aim to develop innovative technologies and efficient processes that create new

markets, enrich people’s lives and continue to make Godrej a trusted market leader

5.3-Mission

Godrej Mission is to operate in existing and new businesses which capitalize on the

Godrej brand and corporate image of reliability and integrity.

Godrej objective is to delight our customer both in India and abroad.

We shall achieve this objective through continuous improvement in quality, cost and

customer service.

We shall strive for excellence by nurturing, developing and empowering our employees

and suppliers.

We shall encourage an open atmosphere, conducive to learning and team work.

5.4-Core Values

Commitment to Quality

Customer Orientation

Dedication & Commitment

Discipline

Honesty & Integrity

Learning Organization

Openness & Transparency

Respect/Care & Concern for People

Teamwork

Trust

6.1- FINDINGS

The company’s main strength is its detected Human resource.

Godrej is strongly committed to environment protection and energy conservation.

Godrej concentrate on Modernization and up gradation of technology.

Good inter personal relationship exist between the employees there by resulting in sound

working atmosphere.

The company ensures all sorts of satisfying measures for employees.

The company takes care of employee welfare that in turn high employee satisfaction.

The company is giving continues training to employees.

6.2-SUGGESTIONS

The company should diversify its operation into other related area.

The company has to venture into more coverage and advertising to make the services

aware among the customers.

Research and development wing should be strengthened.

6.3-CONCLUSION

With the above project on Godrej specifically on its product division our entire group has got a

great deal of knowledge about the company Godrej and its consumer related products chain.

Godrej is one of the leading company of our country and one of the forward moving MNCs of

the business world and I am enjoyed making the project report with full of information and

pictorial representation of its products.

At the end of the project I analyzed deeply over the data of my study and I reached on this

conclusion that there is huge need of security equipments in market. The Government &Private

(Industrial) sector players always in need of electronic security equipments those can give a

support to safe operations in the organization with high accuracy. Through the evaluation of the

project the need of security always be there in the market just the market players have to emerge

with latest technologies with less cost to the customer &best quality products A change in

segmentation and targeting of a different genre of consumers apart from its traditional market

can open up new avenues of customer base.

BIBLIOGRAPHY

BOOKS

Phillip Kotler(2007) ‘Marketing Management’ Twelfth edition. Published by darling Kindersley India pvt ltd. pp 315 - 332

S.A. Chunawalla ,K.C .Sethia (2006) Foundation of Advertising and Sales Promotion

Himalaya publishing house, pp 18-59,115-137

JOURNALS AND MAGAZINES 

Business Today

Godrej Manuals

WEBSITES

www.godrej.com

www.google.com

www.answers.com