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0 b & rm project report

  2. 2. CONTENTSS.NO NAMEChapter 1 Introduction a) History b) Development c) Current Trends d) Manufacturing Industry in MP and Gwalior (any region)Chapter 2 Topic Introduction Introduction about variables usedChapter3 Research Methodology a) Objective of Study b) Research Design c) Scope of Study d) Hypothesis e) Data Collection f) Review of Literature g) Limitations of Study h) Significance of Study Data Interpretation and AnalysisChapter4 a) data analysis b) Data Interpretation c) Observation Findings d) Hypo-testingChapter5 findings, Suggestion and Conclusion Bibliography AnnexureChapter6Chapter7 References
  3. 3. CHAPTER 1:- INTRODUTIONHistory of ChocolateThe oldest records related to chocolates date back to somewhere around 1500-2000 BC. Thehigh rainfall, soaring temperatures and great humidity of Central American rain forests createdthe perfect climate for the cultivation of the Cacao Tree. During that time, the Mayan civilizationused to flourish in that region. Mayan people worshipped Cacao Tree, believing it to be of divineorigin. They also used to roasted and pounded seeds of the tree, with maize and Capsicum (Chili)peppers, to brew a spicy, bitter sweet drink. The drink was consumed either in ceremonies or inthe homes of the wealthy and religious elite.It is said that the word „Cacao‟ was corrupted by the early European explorers and turned intoCocoa. Even the Aztecs, of Central Mexico, are believed to have acquired the beans throughtrade and/or the spoils of war. In fact, Cacao beans were considered to be so prized by Aztecsthat they started using it as a type of currency. They also made a drink, similar to the one madeby Mayans, and called it „Xocolatl‟, the name which was later corrupted to Chocolate, bySpanish conquistadors. The further corruption of the word, which finally gave it its present form‟Chocolate‟, was done by the English.The origins of chocolate can be traced back to the ancient Maya and Aztec civilizations inCentral America, who first enjoyed chocolate‟ a much-prized spicy drink made from roastedcocoa beans.Throughout its history, whether as cocoa or drinking chocolate beverage or confectionery treat,chocolate has been a much sought after food.Because cocoa beans were valuable, they were given as gifts on occasions such as a childcoming of age and at religious ceremonies. Merchants often traded cocoa beans for othercommodities such as cloth, jade and ceremonial feathers.Chocolate is created from the cocoa bean. A cacao tree with fruits pods in various stages ofripening. Chocolate comprises a number of raw and processed foods produced from theseed of the tropical cacao tree. The seeds of the cacao tree have an intense bitter taste and mustbe fermented to develop the favors. Chocolate contain alkaloids such as the bromine andphenethylamine, which have physiological effects on the body.
  4. 4. Modern ChocolateThe chocolate of today, in the sold form, took its roots in England. It was around mid-1600,when English bakers started adding cocoa powder to cakes. Seeking to make chocolate drinksmoother and more palatable, Johannes Van Houston, a Dutch chemist, invented a technique ofextracting the bitter tasting fat (cocoa butter) from the roasted ground beans, in 1828. With this,he paved the way for the chocolate in its present form.It was in 1847 that solid chocolate, as we know of today, was made by Fry & Sons of Bristol(England), by mixing sugar with cocoa powder and cocoa butter. The first milk chocolate wasmade in 1875, by Daniel Peters, a Swiss manufacturer, by mixing cocoa powder and cocoa butterwith sugar and dried milk powder. The rest, as they say, is history! Today, chocolate is madeacross the globe and liked by almost every person in this world.Chocolate History TimelineFor over 3000 years, chocolate, like gold, has had universal appeal2000 BC, Amazon: Cocoa, from which chocolate is created, is said to have originated inthe Amazon at least 4,000 years agoSixth Century AD: Chocolate, derived from the seed of the cocoa tree, was used by the MayaCulture, as early as the Sixth Century AD. Maya called the cocoa tree cacahuaquchtl… "tree,"and the word chocolate comes from the Maya word xocoatl which means bitter water.300 AD, Maya Culture: To the Mayas, cocoa pods symbolized life and fertility... nothingcould be more important! Stones from their palaces and temples revealed many carvedpictures of cocoa pods.600 AD, Maya Culture: Moving from Central America to the northern portions of SouthAmerica, the Mayan territory stretched from the Yucatán Peninsula to the Pacific Coast ofGuatemala. In the Yucatán, the Mayas cultivated the earliest know cocoa plantations. Thecocoa pod was often represented in religious rituals, and the texts their literature refer tococoa as the god’s foodChocolate has impacted the ways in which some humans worshiped, and expressedtheir values.
  5. 5. 1200, Aztec Culture: The Aztecs attributed the creation of the cocoa plant to their godQuetzalcoatl who, descended from heaven on a beam of a morning star carrying a cocoatree stolen from paradise. In both the Mayan and Aztec cultures cocoa was the basis for athick, cold, unsweetened drink calledxocoatl… believed to be a health elixir. Since sugarwas unknown to the Aztecs, different spices were used to add flavor, even hot chili peppersand corn meal were used.Aztecs believed that wisdom and power came from eating the fruit of the cocoa tree, andalso that it had nourishing, fortifying, and even aphrodisiac qualities. The Aztec emperor,Montezuma, drank thick chocolate dyed red. The drink was so prestigious that it was servedin golden goblets that were thrown away after only one use. He liked it so much that he waspurported to drink 50 goblets every day.The cocoa beans were used for currency… records show that 400 cocoa beans equaledone Zontli, while 8000 beans equaled one Xiquipilli. When the Aztecs conquered tribes,they demanded their payment in cocoa! By subjugating the Chimimeken and the Mayas, theAztecs strengthened their supremacy in Mexico. Records dating from 1200 show details ofcocoa deliveries, imposed on all conquered tribes.1492, Columbus Returns in Triumph From America: King Ferdinand and Queen Isabellawere presented with many strange and wonderful things… the few dark brown beans thatlooked like almonds didn’t get a lot of attention.1502, Columbus landed in Nicaragua: On his fourth voyage to America, Columbus landedin what is now called Nicaragua. He was the first European to discover cocoa beans beingused as currency, and to make a drink, as in the Aztec culture. Columbus, who was stillsearching for the route to India, still did not see the potential cocoa market that had falleninto his lap.1513, A Slave is Bought for Beans: Hernando de Oviedo y Valdez, who went to Americain 1513 as a member of Pedrarias Avilas expedition, reports that he bought a slave for 100cocoa beans. According to Hernando de Oviedo y Valdez 10 cocoa beans bought theservices of a prostitute, and 4 cocoa beans got you a rabbit for dinner.At this time, the name of the drink changed to Chocolatl from the Mayan word xocoatl[chocolate] and the Aztec word for water, or warm liquid.1519, Hernando Cortez Begin a Plantation: Hernando Cortez, who conquered part ofMexico in 1519, had a vision of converting these beans to golden doubloons. While he wasfascinated with Aztecs bitter, spicy beverage [he didn’t like the cocoa drink], he was muchintrigued by the beans’ value as currency. Later, Cortez established a cocoa plantation inthe name of Spain… henceforth, "money" will be cultivated! It was the birth of what was tobe a very profitable business.
  6. 6. Chocolate affected many cultures and traditions, and even…International economics!1528, Chocolate Arrives in Spain: Cortès presented the Spainish King, Charles V withcocoa beans from the New World and the necessary tools for its preparation. And no doubtCortès taught him how to make Chocolatl.Cortez Inspires a Major Breakthough: Cortez postulated that if this bitter beverage wereblended with sugar, it could become quite a delicacy. The Spaniards mixed the beans withsugar, vanilla, nutmeg, cloves, allspice, and cinnamon. The results were tantalizing,coveted, fashionable, and reserved or the Spanish nobility which created a demand for thefruits of his Spanish plantations. Chocolate was a secret that Spain managed to keep fromthe rest of the world for almost 100 years!It is no secret that Chocolate has enjoyed a reputation as an aphrodisiac ever sinceConquistadores first became aware of the "pagan" ways of the Aztecs [who regardedchocolate as a medicine, but probably not as an aphrodisiac.]1544, Dominican Friars Get into the Swing: Dominican friars bring a delegation ofMayans to meet Philip. Spanish monks, who had been consigned to process the cocoabeans, finally let the secret out. It did not take long before chocolate was acclaimedthroughout Europe as a delicious, health-giving food.The beans were still used as currency. Two hundred beans bought a turkey cock. Onehundred beans was the daily wage of porter, and would buy a hen turkey or a rabbit (theprice has really escalated in 30 years! Three beans could be traded for a turkey egg, a newavocado, or a fish wrapped in maize husks. One bean bought a ripe avocado, tomato, or atamale.1569, The Roman Church Takes a Serious Look at Chocolate: Pope Pius V, who did notlike chocolate, declared that drinking chocolate on Friday did not break The Fast.1579, English Buccaneers Burn Currency: After taking a Spanish ship loaded with cocoabeans, English Buccaneers set it on fire thinking the beans were sheep dung.1585, Chocolate Goes to Market: The first shipment of beans intended for the marketmakes it to Spain.1587, Another Ship Goes Down: When the British captured a Spanish vessel loaded withcocoa beans, the cargo was destroyed as useless.1609, Chocolate is Lauded in Literature: The first book devoted entirely to chocolate,"Libro en el cual se trata del chocolate," came from Mexico.
  7. 7. 1615, Chocolate Comes With the Dowery: Ann of Austria, daughter of Philip II fromSpain, introduced the beverage to her new husband, Louis the XIII, and his French court,too.1625, Cocoa Beans are Currency in Spain too: 200 small cocoa beans were valued at 1Spanish real, or 4 cents.1643, The French Court Embraces Chocolate: When the Spanish Princess MariaTheresa was betrothed to Louis XIV of France, she gave her fiancé an engagement gift ofchocolate, packaged in an elegantly ornate chest.Chocolate was extremely popular with Louis XIV and the members of his Court atVersailles. Louis XIV, The Sun King, reigned for over 74 years [1643 to 1715] and isconsidered to be one of the greatest absolute monarchs. His foresight lead him to appointSieur David illou to manufacture and sell chocolate, which not only created a new incomestream, but also it is said to have inspired erotic pleasures. It was well known that in Louis’72nd year he was making love to his wife twice a day… Chocolate?Chocolate Mania in Paris: The chocolate craze which now included candy took hold inParis and then conquered the rest of France.Chocolate’s reputation as an aphrodisiac flourished in the French courts. Art and literaturewas thick with erotic imagery inspired by chocolate. And the Marquis de Sade, becameproficient in using chocolate to disguise poisons! Casanova was reputed for using chocolatewith champagne to seduce the ladies.1657, Even London Succumbs: Londons first chocolate shop is opened by a Frenchman.London Chocolate Houses became the trendy meeting places where the elite Londonsociety savored their new luxury. The first chocolate house opened in London advertising"this excellent West India drink."1662, Rome Takes Another Look: As chocolate became exceptionally fashionable, TheChurch of Rome took a second look at this bewitching beverage. The judgment: "Liquid nonfrantic jejunum," reiterated that a chocolate drink did not break the fast. But eating chocolateconfections didn’t pass muster, until Easter. Is this where the Easter Bunny makes anentrance?1671, All Troubles Have a Silver Lining: Sometimes people just don’t see it…this timecreativity prevailed! As the story goes, a bowlful of almonds is dropped, and the angry cheftries to "box the ears" of his kitchen boy… but instead he spills a pan full of hot, burnt sugarover the almonds. Meanwhile the renowned gourmet, Duke of Plesslis-Praslin, is waiting forhis dessert!
  8. 8. 1674, A Trendy Coffee House Takes Chocolate To New Horizons: An Avant Guard,London Coffee House called At the Coffee Mill and Tobacco Roll,goes down in the annalsof history for serving chocolate in cakes, and also in rolls… in the Spanish style.1677, Brazil Gets into The Market: By Royal Decree, November 1, 1677, Brazil [later toachieve an important position in the world market] establishes its first cocoa plantations inthe State of Paris.1697, The mayor of Zurich, visits Brussels: Heinrich Escher, mayor of Zurich, drinkschocolate in Brussels and introduces the awe-inspiring concoction to his friends at home…nothing he has ever tasted is even slightly like this brew!1704, The Germans Impose a Tax on Chocolate: Chocolate makes its appearance in Germany, and Frederick I of Prussia reacts by imposing a tax. Anyone wishing to pay homageto its pleasures has to pay two thalers for a permit.1822, The Cocoa Tree becomes an Ornamental Plant: off the west coast of Africa on thePrincipe Island in the Gulf of Guinea, Ferreira Gomes [from Portugal] introduces the cocoatree as an ornamental plant.1913, A new Star is Born: Jules Sechaud of Montreux of Switzerland introduced theprocess for filling chocolates.Chocolate making is an important part of European Cultures…the Swiss, Belgians, French, Italians and GermansAnd now, American Chocolatiers are also making their mark1923, The CMA was Established: The Chocolate Manufacturers Association of the UnitedStates of America (CMA) was organized in.1925, Cocoa is Big Business: The New York Cocoa Exchange, located at the WorldTrade Center, was begun so that buyers and sellers could get together for transactions.1938, World War II: The U.S. government recognized chocolates role in the Allied ArmedForces. It allocated valuable shipping space for the importation of cocoa beans which wouldgive many weary soldiers the strength to carry. Today, the U.S. Army D-rations includethree 4-ounce chocolate bars. Chocolate has even been taken into space as part of the dietof U.S. astronauts. Industrialization brought Chocolate to the masses, yet Chocolate is still considered to be an exceptional indulgence
  9. 9. INDIAN CHOCOLATE INDUSTRY The size of the market for chocolates in India was estimated at 30,000Size of the industry tons in 2008.Geographical distribution Mumbai, Delhi, Kolkata, Bangalore Cadbury has over 70 %share in this market, and recorded a turnoverOutput per annum of over US$ 37m in 2008. The Indian candy market is currently valued at around $664 million,Market Capitalization with about 70% share ($ 461 million) in sugar confectionery and the remaining 30% ($ 203 million) in chocolate confectionery. History The Indian Chocolate Industry has come a long way since long years. Ever since 1947 the Cadbury is in India, Cadbury chocolates have ruled the hearts of Indians with their fabulous taste. Indian Chocolate Industry‟s Cadbury Company today employs nearly 2000 people across India. The company is one of the oldest and strongest players in the Indian confectionary industry with an estimated 68% value share and 62% volume share of the total chocolate market. It has exhibited continuously strong revenue growth of 34% and net profit growth of 24% throughout the 1990?s. The brand of Cadbury is known for its exceptional capabilities in product innovation, distribution and marketing. With brands like Dairy Milk, Gems, 5 Star, Bourn vita, Perk, Celebrations, Bytes, Chock, Delight and Temptations, there is a Cadbury offering to suit all occasions and moods. Today, the company reaches millions of loyal customers through a distribution network of 5.5 lakhs outlets across the country and this number is increasing everyday. In 1946 the Cadbury?s manufacturing operations started in Mumbai, which was subsequently transferred to Thane. In 1964, Induri Farm at Talegaon, near Pune was set up with a view to promote modern methods as well as improve milk yield. In 1981-82, a new chocolate manufacturing unit was set up in the same location in Talegaon. The company, way back in 1964, pioneered cocoa farming in India to reduce dependence on imported cocoa beans. The parent company provided cocoa seeds and clonal materials free of cost for the first 8 years of operations. Cocoa farming is done in Karnataka, Kerala and Tamil Nadu. In 1977, the company also took steps to promote higher production of milk by setting up a subsidiary Induri Farms Ltd., near Pune. In 1989, the company set up a new plant at Malanpur, MP, to derive benefits available to the backward area. In 1995, Cadbury expanded Malanpur plant in a major way. The Malanpur plant has modernized facilities for Gems, Eclairs, and Perk etc. Cadbury operates as the third party
  10. 10. operations at Phalton, Warana and Nashik in Maharashtra. These factories churn out close to8,000 tonnes of chocolate annually.In response to rising demand in the chocolate industry and reduce dependency on imports, Indiancocoa producers have planned to increase domestic cocoa production by 60% in the next fouryears. The Indian market is thought to be worth some 15bn rupee (?0.25bn) and has been hailedas offering great potential for Western chocolate manufacturers as the market is still in its earlystages.Chocolate consumption is gaining popularity in India due to increasing prosperity coupled with ashift in food habits, pushing up the countrys cocoa imports. Firms across the country haveannounced plans to step-up domestic production from 10,000 tonnes to 16,000 tonnes, accordingto Reuters. To secure good quality raw material in the long term, private players like CadburyIndia are encouraging cocoa cultivation, the news agency said. Cocoa requirement is growingaround 15% annually and will reach about 30,000 tonnes in the next 5 years.Brief IntroductionIndian Chocolate Industry as today is dominated by two companies, both multinationals. Themarket leader is Cadbury with a lions share of 70%. The companys brands like Five Star,Gems, Eclairs, Perk, Dairy Milk are leaders in their segments. Untill early 90s, Cadbury had amarket share of over 80 %, but its party was spoiled when Nestle appeared on the scene. Theother one has introduced its international brands in the country (Kit Kat, Lions), and nowcommands approximately 15% market share. The two companies operating in the segment areGujarat Co-operative Milk Marketing Federation (GCMMF) and Central Arecanut and CocoaManufactures and Processors Co-operation (CAMPCO). Competition in the segment will soonlyget keener as overseas chocolate giants Hersheys and Mars consolidate to grab a bite of theIndian chocolate pie.Market capitalizationThe Indian candy market is currently valued at around $664 million, with about 70% share ($461 million) in sugar confectionery and the remaining 30% ($ 203 million) in chocolateconfectionery. Indian Chocolate Industry is estimated at US$ 400 million and growing at 18%per annum. Cadbury has over 70 % share in this market, and recorded a turnover of over US$37m in 2008.
  11. 11. Size of the industryThe size of the market for chocolates in India was estimated at 30,000 tonnes in 2008. Bars ofmoulded chocolates like amul, milk chocolate, dairy milk, truffle, nestle premium, and nestlemilky bar comprise the largest segment, accounting for 37% of the total market in terms ofvolume. The chocolate market in India has a production volume of 30,800 tonnes. The chocolatesegment is characterized by high volumes, huge expenses on advertising, low margins, and pricesensitivity.The count segment is the next biggest segment, accounting for 30% of the totalchocolate market. The count segment has been growing at a faster pace during the last threeyears driven by growth in perk and kitkat volumes. Wafer chocolates such as kit kat and perkalso belong to this segment. Panned chocolates accounts for 10% of the total market. Thechocolate market today is primarily dominated by Cadbury and Nestle, together accounting for90% of the market.Major Players Cadbury‟s India Limited Nestle India Gujarat Co-operative Milk Marketing Federation Cocoa Manufactures and Processors Co-operative (CAMPCO) Bars Count Lines Wafer Panned Premium Cadbury‟s Dairy Milk & Variants 5-Star, Milk Amul Milk Chocolate Treat Perk Gems, Tiffin‟s Temptation & Celebrations Nestle Milky Bar & Bar One.Latest developments Chocolate-lovers may soon find their chocolate dearer if the problems plaguing the industry continue. Raw material costs have risen by more than 20 % in the last few years. Although retail prices have not increased, a rise in input costs will force the manufacturers to consider a price hike.The Bigger players in the country such as Cadbury, which leads the Rs 2,500 crore chocolate markets in India with a share of 72%, will find it easier to absorb the surge in input costs as it has products at various price points in the market, said industry experts. Cadbury may also opt for a price hike, albeit marginal, if the current trend continues. Indian Chocolate Industry?s Margin range between 10 and 20%, depending on the price point at which the product is placed. The input costs in India are under check owing to the 24% decline in the prices of sugar. The World?s Leading manufacturer of high quality cocoa and chocolate products Barry Callebaut, has announced the opening of its first, state-of the art, Chocolate Academy in Mumbai, India in July 2007. According to the analysis of the international market intelligence provider Euromonitor, the relatively small Indian chocolate market with volumes of about 55,000 metric tonnes
  12. 12. of chocolate and compound per year is expected to grow on average per year by around 17.8% between 2008 and 2012.Ferrero the Italian confectionery giant of $8 billion has planned up for a new production facilityin Maharashtra with an investment of over $125 million to whip up some of its popular brandsthat include Rocher and Kinder.CADBURY
  13. 13. Cadbury, the global leader in the chocolate confectionery market, began in 1824 when ayoung Quaker named John Cadbury opened up a shop in Birmingham. John sold coffee, tea,drinking chocolate and cocoa at his shop. Believing that alcohol was a main cause of poverty,John hoped his products might serve as an alternative. He also sold hops and mustard. Like manyQuakers John had high quality standards for all of his products.By 1842 John was selling 11 kinds of cocoa and 16 kinds of drinking chocolate. Soon John‟sbrother Benjamin joined the company to form Cadbury Brothers of Birmingham. The Cadburybrothers opened an office in London and received a Royal Warrant (one of many) asmanufacturers of chocolate and cocoa to Queen Victoria in 1854. Six years later the brothersdissolved their partnership because of John‟s failing health and the death of his wife. They leftthe business to Johns sons George and Richard. John devoted the rest of his life to social workand died in 1889.George and Richard continued to expand theproduct line, and by 1864, they were pulling aprofit. Cadbury‟s Cocoa Essence, which wasadvertised as "absolutely pure and thereforebest," was an all-natural product made withpure cocoa butter and no starchy ingredients.Cocoa Essence was the beginning of chocolateas we know it today. The brothers soon movedtheir manufacturing operations to a largerfacility four miles south of Birmingham. Thefactory and area became known as Bournville. Packing room at Cadburys Bournville factory..Interesting Facts about Cadbury Cadbury was the first company to include pictures instead of printed text on chocolate boxes. GeorgeCadbury didn‟t want to take mothers away from their children, so he developed acompany rule that women had to leave work when they got married. Each married woman wasgiven a bible and a carnation as wedding gifts. In1886 Cadbury became one of the first firms to have dining rooms with kitchens and foodfor sale. Aminiature metal animal (elephant, penguin, owl, fox, duck, squirrel, rabbit or turtle) wasgiven away with specially designed cocoa tins in 1934. In the same year, Cadburys tokens,which came with packs of cocoa, could be redeemed for lamps, kettles and saucepans. Somany children joined Cadbury‟s Coco cub Club that it had 300,000 members in 1936. Cadbury‟sWorld Visitor Center opened in 1990, welcoming 400,000 visitors in its first year. Cadburylaunched a Get Active program in 2003, helping 10,000 teachers get in shape.Cadbury Design ProcessThe Brief:
  14. 14. This is the first stage of the Cadbury Design process when the customer,for example theBrand Manager, discussed the requirements for a new brand design with the designer. Itmight be a new presentation for an existing Cadbury brand, an entirely new design conceptfor a new product or point of sale material to support a brand promotion.Design:The designer will then produce either some black and white scamps of rough ideas todiscuss with the customer. Alternatively the ideas may be presented in colour as a markervisual with numerous alternatives being devised in order to achieve the best finished design. Designs could also be produced on computer using an Apple Macintosh which gives thedesigner a great deal of flexibility to make subtle changes without having to prepare a newmarker visual.Mock-Ups:Once a visual has been produced it may be necessary to produce mock-ups which arevisuals made up to look like the real thing. They are usually very highly finished and may besuperior in quality than the actual final printed design. Mock -ups would be needed if a newproduct concept or packaging was going be assessed by a consumer market research groupprior to launch or a pack was needed for photography for inclusion in a seasonal catalogue.Cadbury Design Process cont.Art work:Production of artwork which is the final design, featuring all the necessarytext and other information required by the printer, is the next stagein the process. Artwork is produced mainly on computer and ofteninvolves the scanning of very highly finished illustrations prepared byhand by skilled artists. Once complete, the printer is given the informationon a computer disk together with a colour laser for reference alongwith the photographic transparencies.Print:The printer will produce proofs of the item to be printed so that theCadbury design team can check it in great detail to correct any errors oromissions ensuring that the colour matches the specification. Once aproof has been approved the material will be printed, which in one printof, for example, the packaging for a Crunchie bar, can amount to overseveral million impressions.Photography:For part of the specific design process, photography may be required andthis may involve a studio shot or shooting on location.Cadbury Corporate Design
  15. 15. Design is a visual means of communicating a companys corporate identity to a wide range oftarget audiences. A clear, well planned corporate identity helps to position the company andset it apart for the competition. To be successful, a corporate identity programme must reflectaccurately the whole personality of a company and its brands. Reality must always match theexpectations created by the visual elements.The well established Cadbury corporate designtoday with the script logo and corporate colours so prominent on livery, signs, stationery,printed material and the brands themselves is a visual statement of the Companys authoritywithin the confectionery market. Both the design and execution emphasise the high qualitystandards extending through every aspect of the Company operation.The Earliest Steps Towards a Cadbury Corporate IdentityFrom 1906, Cadbury had painted livery on its delivery vans. But the first move towards aconsistent identity was the registration of the Cadbury Tree symbol in 1911. Resembling astylised cocoa tree interwoven with the Cadbury name, this device was used on various itemssuch as presentation boxes, catalogues, tableware and promotional items. It was alsoimprinted onto the aluminium foil used to wrap the moulded chocolate blocks. The CadburyTree symbol was used consistently from 1911 until 1939 and again immediately after thewar. Many of the older Bournville workers and pensioners have vivid recollections of thissymbol.The Cadbury Tree symbol has been perpetuated in the design of the distinctive logofor Cadbury World, the visitors centre at the UK factory,which offers visitors a uniquechocolate experience.Cadbury Corporate Design TodayThree long established elements - the unique script logo coupled with the glass and a halfsymbol and thepurple and gold house colours are the key components of the corporate design, the visualexpression ofCadbury Limited today. Benefits of the consistent corporate identity can be summed up as:• Memorability and distinctiveness• Assurance of quality• An established and consistent house logo - a unifying element that helps significantly topersuade customers to sample a new line.The complete Cadbury logo is used on company signs, livery, letterheads and brochure.Brand Promotion cont.Eating chocolate first appeared on the Cadbury listings in the 1840s
  16. 16. and from the outset, the packs were decorative. Chocolate for eatingwas a novelty and the packs were designed to tempt the customers totaste this new product. Two of the earliest pictorial labels were basedon engravings of Victoria and Albert and of the Birmingham Town Hallwhich was opened in 1834. Both labels had the Cadbury Brothersdesignation and therefore date from after 1847.Tremendous strides in the eating chocolate market were made possible fromthe mid 1860s, following the introduction of the cocoa press by Richard andGeorge Cadbury. Many new kinds of chocolate were produced, not only morerefined forms of plain chocolate in blocks but the first chocolate assortments,fruit fondants covered with chocolateAt first the chocolate assortment boxes featured small pictures suitable forchildren to cut out and paste in their scrapbooks. The pictures, ready printedin sheets, were sold by European printers. These soon gained popularity withthe Victorians particularly, as gifts, opening up new design possibilities forthe company.Richard Cadbury introduced ambitious and attractive designs from his own paintingsfor gift boxes. He used his children as models and sometimes depicted flowers or scenesfrom holiday journeys. Chocolate boxes were designed with their after use very muchin mind, becoming increasingly elaborate. Designs ranged from the pastoral to the romanticand from the floral to opulent silk-lined caskets and rich velvet jewel boxes.The Victoriansdelighted in these elaborate chocolate boxes and their popularity continued, although theirappearance was transformed to meet changes in taste, until their disappearance during thesecond world war and the period of austerity which followed.When chocolate boxes returnedin the early 1950s their design style was functional and more suitable to mass production.Although there is still a demand for the special boxes for gift occasions, the extravagantdesigns of the earlier days have totally disappeared.At the turn of the century, Cadbury commissioned a local artist, CecilAldin, to produce a series of posters and press advertisements which areamongst the finest examples of early advertising. Classics within theadvertising field, these posters were used on sites throughout the countryand the artwork formed the basis of early magazine campaigns. Theearliest ones promoted the virtues of Cadbury cocoa, with illustrationsrelated to topical events, many quite humorous.The Gorrell Commission Better Standards of DesignCadburys design awareness was well illustrated by the companys response to the GorrellCommission
  17. 17. which was set up the Government in 1931 to promote better standards of design throughoutBritish industryto help combat competition from foreign imports.The famous artists series of chocolate boxes was introduced in 1932with illustrations by artists of the calibre of Dame Laura Knight,Arthur Rackham and Mark Gertler. Unfortunately these did notprove to be overwhelmingly popular with the British public!Design of Key BrandsUnlike many companies whose product branding is paramount and there is no mention of thecompany name apart from the discreet name with the address, Cadbury policy has alwaysbeen to use the Cadbury brand prominently on all its products. Cadbury chocolate is theunifying element across the product range and as such the Cadbury brand represents Cadburychocolate in all its different forms.In the 1950s, at the time when the Cadbury script logo wasfirst used on the chocolate bar packs, the Cadbury name was featured prominently across therange. This policy enabled the lesser known brands to gain through clear association withCadbury and its top brand Cadbury Dairy Milk.In the 1960s, more money was available forproduct promotion; television advertising was a well established element in the marketingmix and the strength of the brand was the key. The Cadbury name was still featured but lessprominently.From the late 1980s "Cadburyness" became an important property for all brandsand the Cadbury name returned to prominence.Today, the Cadbury brand is the world‟sleading international brand in chocolate and is a crucial element in the pack design for allproduct packaging.Key BrandsEvery Cadbury brand, for example, Cadbury Dairy Milk, Milk Tray, and Cadbury Roses hasits own individual design style and colour which relates to market position and customerperception. Changes in the design of all Cadbury brands are made from time to time to keepthe presentation up-to-date without sacrificing continuity.Cadbury Dairy MilkCadbury Dairy Milk is Australias number one seller in the moulded chocolate market.Launched in 1905, it is a milk chocolate favourite throughout the world. In productdisplay, pack colour is noticed first, then shape and finally the detail. The Cadburyregal purple used for Cadbury Dairy Milk packaging is now synonymous with Cadburychocolate.When first launched Cadbury Dairy Milk had a parcel wrap with a pale mauve colourand red script. The purple and gold colours were established in 1920. Cadbury DairyMilk packaging design has evolved over the years with subtle changes to the clearlydefined purple and gold livery of this market leader.The Cadbury script logo was introduced into the design in 1952 and the final element, thefamous glassand a half symbol, so successfully used in advertising, was incorporated in the 1970s.Cadbury Milk TrayMilk Tray has maintained its popularity in a changing world since the milk chocolateassortment made with the famous Cadbury Dairy Milk chocolate was first introduced in
  18. 18. Australia in the early 1930‟s.The name Tray is derived from the way in which the originalassortment was delivered to the shops.Originally, Milk Tray was packed in five and a halfpound boxes, arranged on trays from which it was sold loose to customers.The half pounddeep-lidded box with the traditional purple background and gold script was introduced inthe late 1930‟s. Its purple and gold pack was stylish but without frills, positioning Milk Trayas the assortment for everyday not just special occasions.Milk Tray has been available inpack sizes of 125g,250g, 500g and 750g in a single designed pack from 1930 to 1998. In1998 Milk Tray pack design extended to 6 new designs, including the heart, stars, zodiac,bow and teddy bear graphics over all pack sizes. These graphics emphasise how appropriateMilk Tray is as a gift at various occasions and reflects changes in consumer preference.Cadbury RosesDesigned to compete in the twist-wrap chocolate market, Cadbury Roses is the currentnumber one boxed chocolate brand in Australia.Examination of the Cadbury Roses pack overthe years shows that the main changes have been in the rose itself, the introduction of theCadbury script logo and in the descriptive label device. Today the key design features areundoubtedly the eye catching blue packs and tins and the distinctive red and yellow roses.BarlinesThis range of chocolate bars, includes a wide variety of brands which compete in differentsectors of the snack market. Barlines are very much an impulse purchase so the packagingmuch be eye-catching to grab the consumers attention. The design of the packaging relatesto their individual core values, market positioning, specific consumer appeal and brandpersonality.FlakeFlake is by far the most unique and luxurious milk chocolate bar in the market place. Itstrendy and chicappearance appeals to a young female market.TimeoutTimeOut was launched into the Australian market in March 1995 and was the onlysuccessful entrant in the Top 5, amidst 10 year old established brands.Amidst the hecticlifestyle of the 90‟s, TimeOut is the perfect mental pause to see people through the day.Cherry RipeCherry Ripe is a unique blend of cherries and old gold chocolate.The „irresistible‟ and „playful‟ appeal of Cherry Ripe places the brand in its own category, noother chocolate bar is similar both in taste and in character.PicnicPicnic is the fun and rugged product amongst the Cadbury bar portfolio, both in appearanceand taste. The ingredients (peanuts, wafer, caramel, rice crisps and chocolate) make Picnic a
  19. 19. texturally interesting eat.Picnic is widely recognised by its Red and Yellow packaging and allround has an easy going and down to earth nature, which appeals to a male audience.CrunchieCrunchie has been a strong performer in the Cadbury stable of brands in Australia over thelast 20 years.Crunchie can be characterised by its upbeat and gregarious nature. It is a trulyamazing product with the honeycomb centre, which melts in your mouth and provides a greatuplifting feeling.The Gift MarketThe traditional gift seasons are Christmas and Easter, with sales of boxed chocolates,selection packs,novelties and eggs, but there is a whole sequence of celebrations such asmothers day, Valentines day or other potential gift giving occasions.In this area Cadburyproducts must not only stand out from the chocolate market competition they mustalso compete with the rest of the increasingly innovative gift market.ChristmasChristmas is an important chocolate buying time particularly in relation to boxedchocolates. Thirty percent of all boxed chocolates bought at Christmas time.Pack designs for boxed chocolates and the ever expanding range of Christmas noveltiesmust be eye-catching, innovative with different ideas linking with the brand design andtarget.EasterIn this the second largest chocolate giving season, Easter eggs make up 10% of all chocolatesales. Within the Cadbury range there is something for every member of the family.Design and presentation of Easter gifts is almost as important as the chocolate product itself.The psychology of matching the presentation of Easter eggs to particular consumer targets isa major consideration and the Cadbury design teams are experts in this field.History Of Nestle CompanyIt was in the 1860s that Henri Nestlé, a pharmacist, developed a food specifically for babies whocould not breast feed. He first used this successfully on a premature infant who couldnt tolerate
  20. 20. his mothers breast milk. This product saved the childs life and people soon began to see thevalue of it. Soon, Farine Lactée Henri Nestlé was being sold all over Europe.In 1905 Nestlé merged with a condensed milk company. By the early 1900s they had factories inthe United States, Britain, Germany and Spain. With the outbreak of World War I, there was agreat demand for these products. By the end of the war Nestlés production more than doubled.Unfortunately, after the war, contracts dried up and the buying public went back to getting freshmilk. In response to this, Nestlé streamlined their operation and reduced their debt. By the 1920sthe company had expanded its operation with chocolate being its number two selling product.Then World War II broke out and Nestlé immediately felt the effects. Their profits dropped from$20 million a year before 1938 to under $6 million a year by 1939. In spite of this, Nestlé begansetting up factories in developing countries expecting a turn around by the wars end. Ironically,the war was responsible for Nestlé introducing one of its most popular products, Nescafé instantcoffee, which was the number one drink of the United States military.The end of World War II, just as Nestlé predicted, was the beginning of a great phase of growthfor the company. Nestlé acquired many other companies during this time. In 1947 they mergedwith Maggi, Crosse & Blackwell in 1960, Libbys in 1971 and Stouffers in 1973.By the mid 1970s, Nestlés growth in the developing world offset their slowdown in the moredeveloped countries like the United States. By the mid 1980s they had acquired severaladditional companies, the biggest of which was the American company, Carnation.After the mid 1990s, because of the breakdown of trade barriers, Nestlé enjoyed what wasprobably their biggest growth in history. Their acquisitions included the giant company RalstonPurina, which mainly sells pet food.In spite of Nestlés diversification, they are and will always be mostly known for their everpopular chocolate bars and drinks such as Nestlés Crunch Bar, which is now also made into anice cream bar, Nestlés Quick, which is a chocolate flavored powder to put in milk, NestlésCarnation, another popular chocolate drink, the Kit Kat Bar, Smarties, Nestlés Maxibon, NestlésExtreme and a host of other products, a list that would take days to go through.In closing, it should be pointed out that a lot of Nestlés success was a stroke of good luck. Itseems that a man named Daniel Peter figured out exactly how to combine milk and cocoa
  21. 21. powder. The result was milk chocolate. Well, Peter just happened to be a good friend of HenriNestlé. Peter started the company, but ultimately Nestlé took it over as was destined to happen.IntroductionMost of us love chocolate in one form or another and every week a typical UK citizen spendsaround £1.80 on it. Amazingly, UK consumers have a choice of over 5,000 chocolate linesavailable from 150,000 outlets. Because it is so widely and readily available, we tend to takechocolate for granted, and few of us probably ever consider what is involved in producing it.This case study looks at the massive, complex worldwide operations that ensures that chocolateproducts are on the shelves of retail outlets 365 days a year. We tend to treat this achievement asroutine. In reality,it represents a triumph for careful planning and meticulous organisation.We don‟t know who first discovered that cocoa beans could be turned into a drink, but we doknow that by 600AD the Mayan people living in what is now Mexico were growing cocoa in thejungles of Yucatan.In the 16th century the Spaniards invaded South America, quickly learned the secrets of makingchocolate as a drink and started shipping back cargoes of cocoa beans. By the 18th century,chocolate-based drinks were popular in British high society. In the mid-19th century an Englishcocoa manufacturer,Joseph Storrs Fry, tried mixing cocoa butter with sugar and cocoa paste andinvented the world‟s first solid blocks of chocolate.The UK has long been a major manufacturer(and consumer) of chocolate products. All over the world you will find prominent brandsfirst developed in the UK e.g. Smarties, Dairy Milk, Aero and of course Kit Kat (the UK‟sNumber 1 selling confectionery brand since 1985).Three producers dominate the chocolatemarket. Cadbury with around 28% while Mars and Nestlé each have around 24%. Sales of milkchocolate (96%) predominate, with plain and white chocolate accounting for about 2% each.Boxed chocolates such as Quality Street make up 15% of the confectionery market. Blocks andbars like Kit Kat and Yorkie account for 65% and bitesize chocolates e.g. Smarties andRolo make up 10%. Easter eggs are another big seller, accounting for 5% of the market.The UK‟s chocolate industry is over 150 years old. Chocolate manufacture provides steadyemployment and job security for tens of thousands of employees in manufacturing locations likeYork and Birmingham. The industry also generates jobs in marketing,administration, transportand storage. Chocolate sales are an important source of income for many retailers.Resources needed for productionAll goods and services depend on resources for their production,these are known as factors ofproduction. One key factor is enterprise:the risk-bearing associated with any business. In thepast, many firms owed their existence to perhaps just one person, who set it up.Nowadays, withthe growth of companies, business risk tends to be born by shareholders, whilst managersexercise day to day control.Manufacturing, marketing and distributing a product for worldwideconsumption involves a huge amount of careful planning A) DEVELOPMENT:-
  22. 22. Capabilities: - For us, capabilities are the skills, knowledge, behaviours and experience a person needs to do his or her job. At Cadbury, we have developed a comprehensive approach to developing our people and ensuring we have the right people and skills to meet our current and future business needs. We identify and describe in detail the capabilities we need in our jobs, and we assess our peoples current skills and provide opportunities for development. We offer on-the-job assignments, executive education and coaching. We actively nurture existing talent and increase our pool of managers with global capabilities by providing opportunities to gain international experience and development. Our aim is to improve individual skills and transfer learning and knowledge as well as enhance teamwork and build networks across the company. Learning and development:- At Cadbury, learning and development is about providing opportunities for our people to enhance their capabilities and to realise their full potential. We view learning and development as a shared responsibility between the Company and our individual employees, with the Company providing the resources and individuals providing the essential motivation and commitment. We design learning and development activities to help in this. These focus on increasing the knowledge, experience, skills and behaviours of individuals and teams. Part of our line managers responsibility is to identify the training needs of his or her direct reports, match those needs to training and development opportunities and ensure that learning is transferred back into the workplace.B) CURRENT TRENDS:- Differentiated marketing We would go for different offers for each age group. As we will split our segment into three different groups. That is from age 5 – 10, 11 – 20, and 21 – 60.We will offer a milk chocolate coated with nuts for children‟s and it would be packed in an attractive wrapper for children‟s with characters such as Spiderman, batman, Barbie and etc.We will offer another products like brown chocolate coated with nuts that has a low c a l o r i e a n d i s f o r c h o c o l a t e l o v e r s a n d m a t u r e a g e p e o p l e a s t h e y a r e m o r e d i e t conscious will be offered white chocolate coated with nuts. MARKET DEMOGRAPHICS Market demographics help the company to divide the market into groups based on variables such as age, gender, family size, income, education and occupation. And indifferent geographic units such as nations, regions and countries we will discuss in detail each of them.
  24. 24. MALANPUR FACTORY PRODUCTS RANGE These are as following:- 1) Intermediate 2) Liquid milk chocolate 3) Panned chocolate 4) Gems 5) 5-star 6) Perk 7) Ultra perk 8) Eclairs MALANPUR VALUES There are elements in which Malanpur has to be the best. This does not mean that itignoresthe other areas, which are central operating values, in which Malanpur has toexcel. They are:- 1) Quality 2) Hygiene 3) Productivity 4) Material efficiencyCHAPTER 2:- TOPIC INTRODUCTION
  25. 25. A) Impact of Autonomy and perceived organizational support on Job satisfaction:- 1) AUTONOMY:- - Freedom to do the work as one sees fit; discretion in scheduling, decision-making, and means for accomplishing a job. - The degree to which the job gives the worker freedom and independence in scheduling work and determining how the work will be carried out. o Facets of Autonomy Studies have recognized three types of job autonomy that can positively influence job satisfaction -- work method, work scheduling and work criteria. Work method autonomy refers to the degree of freedom that workers have in going about their work, such as the kind of spreadsheet software an employee prefers to use. Work scheduling autonomy refers to the level of control employees have in scheduling, sequencing or timing their work activities, such as a choice of working from home versus workplace attendance. Work criteria autonomy indicates the degree to which workers can chose to modify the standards used for evaluating performance. For instance, employees can chose whether "deadlines" or "accuracy" better explain their work performances.2)Perceived organizational support:-
  26. 26. Research on perceived organizational support began with the observation that if managers are concerned with their employees’ commitment to the organization, employees are focused on the organization’s commitment to them. For employees, the organization serves as an important source of socioemotional resources, such as respect and caring, and tangible benefits, such as wages and medical benefits. Being regarded highly by the organization helps to meet employees’ needs for approval, esteem, and affiliation. Positive valuation by the organization also provides an indication that increased effort will be noted and rewarded. Employees therefore take an active interest in the regard with which they are held by their employer. Organizational support theory (OST: Eisenberger, Huntington, Hutchinson, & Sowa, 1986; Rhoades & Eisenberger, 2002; Shore & Shore, 1995) holds that in order to meet socioemotional needs and to assess the benefits of increased work effort, employees form a general perception concerning the extent to which the organization values their contributions and cares about their well-being. Such perceived organizational support (POS) would increase employees’ felt obligation to help the organization reach its objectives, their affective commitment to the organization, and their expectation that improved performance would be rewarded. Behavioral outcomes of POS would include increases in inrole and extra-role performance and decreases in stess and withdrawal behaviors such as absenteeism and turnover. Although there were relatively few studies of POS until the mid 1990’s, research on the topic has burgeoned in the last few years. Rhoades and Eisenberger’s (2002) meta-analysis covered some 70 POS studies carried out through 1999, and over 250 studies have been performed since. The meta-analysis found clear and consistent relationships of POS with its predicted antecedents and consequences.Processes Underlying Perceived Organizational SupportThe meta-analysis of research on POS, carried out by Rhoades and Eisenberger (2002) indicatedthat three general categories of favorable treatment received by employees (fairness of treatment,supervisors support, and rewards and job conditions) are positively related to POS, which, in turn, isassociated with outcomes favored by employees (e.g., increased job satisfaction, positive mood, andreduced stress) and the organization (e.g., increased affective commitment and performance andreduced turnover). OST specifies mechanisms responsible for these associations, allowing stringenttests of the theory.Attribution Processes Contributing to Perceived Organizational SupportPOS is assumed to be a global belief that employees form concerning their valuation by theorganization. Based on the experience of personally relevant organizational policies and procedures,the receipt of resources, and interactions with agents of the organization, an employee would distillthe organization’s general orientation toward her.According to OST, the development of POS is encouraged by employees’ tendency to assign theorganization humanlike characteristics (Eisenberger et al., 1986). Levinson (1965) suggested thatemployees tend to attribute the actions of organizational representatives to the intent of theorganization rather than solely to the personal motives of its representatives. This personification ofthe organization, suggested Levinson, is abetted by the organization’s legal, moral, and financialresponsibility for the actions of its agents; by rules, norms, and policies that provide continuity andprescribe role behaviors; and by the power the organization exerts over individual employees. Thus,
  27. 27. to some degree, employees think of their relationship with the organization in terms similar to arelationship between themselves and a more powerful individual.OST maintains that employees use attributional processes similar to those used in interpersonalrelationships to infer their valuation by the organization. Gouldner (1960) reasoned that favorabletreatment would convey positive regard to the extent that the individual receiving the treatmentconsidered the act to be discretionary. From this perspective, an employee would infer higher regardfrom favorable treatment if the treatment appeared discretionary rather than the result of suchexternal constraints as government regulations, union contracts, or competitive wages paid byalternative employers (Eisenberger et al., 1986; Shore & Shore, 1995). Accordingly, the positiverelationship between POS and favorable job conditions was found to be six times greater when thepresence of those conditions were attributed to the organization’s discretion rather than to externalconstraints (Eisenberger, Cummings, Armeli, &, Lynch, 1997).Thus, the organization’s discretion is important for determining the extent to which differenttreatments most impact POS. For example, union workers might receive excellent wages andbenefits. However, if these benefits resulted from difficult contested negotiations, employees wouldconsider the benefits to have been provided involuntarily, and the benefits would have little influenceon POS. This suggests that organizations should not automatically conclude that well-treatedemployees will have high POS. Favorable treatments that organizations provide to employees mustbe perceived as voluntary if they are to influence feelings of support. To the extent that theorganization effectively conveys favorable treatment as discretionary, POS will be enhanced.Correspondingly, unfavorable treatment that is perceived to be beyond the organization’s control willhave a less negative effect on POS. For example, management could attribute a lower annual payraises to low profits associated with weak economic conditions. By shifting the responsibility for thecutbacks from the organization itself to external circumstances over which the organization had littlecontrol, the deleterious effect of the cutbacks on POS would be reduced.The importance of the discretion attribution for employees’ attitudes toward the organization haspractical implications. In extensive consulting with a large retail sales organization, we found thatmost salespeople reported a high level of stress at work. When we investigated more closely, wefound these employees generally attributed their stress to the nature of sales jobs, leading them tobelieve that there was little that the organization could do to alleviate the stress. Because stress wasan aspect of the job that employees believed the organization could not control, the salesemployees’ POS was not adversely affected by this unfavorable job condition. According to the salesemployees, improvements in other features of the job that the organization could control, such asmore weekend days off and higher pay, were more important to them. Thus, some unpleasantaspects of one’s job are taken for granted by employees and not blamed on the organization.Employees are practical; they are generally concerned with improving working conditions andbenefits that management can readily change.Reciprocation of Perceived Organizational SupportResearchers reporting positive relationships of POS with affective commitment and performancehave often assumed employees felt obligation to be an underlying process. However, only recentlyhas felt obligation been directly assessed as a mediator of POS-outcome relationships. Consistentwith organizational support theory, Wiesenberger et al. (2001) reported that felt obligation mediatedthe relationships of POS with affective commitment, in-role performance, and extra-role
  28. 28. performance.To the extent that the POS-felt obligation association is due to the norm of reciprocity, the strength ofthis association should be influenced by employees acceptance of the reciprocity norm as a basisfor employee-employer relationships. Employee exchange ideology refers to employees belief that itis appropriate and useful to base their concern with the organizations welfare and their work efforton how favorably they have been treated by the organization (Eisenberger et al., 1986). Employeeswith a high exchange ideology showed stronger relationships of POS with felt obligation to theorganization (Eisenberger et al., 2001), job attendance (Eisenberger et al., 1990), and extra-roleperformance (Ladd, 1997; Witt, 1991). Mediation of POS-outcome relationships by felt obligation,together with the moderation of these associations by employee exchange ideology, indicates thatreciprocity is a basic mechanism contributing to POSs associations with various behavioraloutcomes.Fulfillment of Socioemotional NeedsSimilar to the needs-fulfilling role served by perceived support from friends and relatives in everydaylife (Cobb, 1976; Cohen & Wills, 1985), organizational support theory supposes that POS meetsneeds for emotional support, affiliation, esteem, and approval. According to Gouldner (1960), theobligation to reciprocate favorable treatment increases with the benefits value, including thebenefits relevance to the recipients specific needs. Therefore, the obligation to repay POS withenhanced performance should be greater among employees with high socioemotional needs.Accordingly, police patrol officers having higher needs for approval, esteem, emotional support, oraffiliation showed a stronger relationship of POS with DUI arrests and issuance of speeding tickets(Armeli et al., 1998).Additional evidence of POSs socioemotional function comes from findings that POS was negativelyassociated with strains experienced in the workplace (Cropanzano et al., 1997; Robblee, 1998;Venkatachalam, 1995), that POS lessened the relationship between nurses degree of contact withAIDS patients and negative mood (George et al. 1993), and that perceived support within theorganization, as opposed to support from family and friends, reduced the negative relationshipbetween British pub employees receipt of threats and violence and these employees experiencedwell-being (Leather et al., 1998). Thus, POS may be especially helpful in reducing the traumaticconsequences of stressors at work.Contribution of POS to Performance-reward ExpectanciesAccording to organizational support theory, the relationship between performance-rewardexpectancies and POS should be reciprocal (Eisenberger et al., 1986; Shore & Shore, 1995).Favorable opportunities for rewards would convey the organizations positive valuation of employeescontributions and thus contribute to POS (cf. Gaertner and Nollen, 1989). POS, In turn, wouldincrease employees expectancies that high performance will be rewarded. Consistent with theseviews, the meta-analysis by Rhoades and Eisenberger (2002) found that opportunities for greaterrecognition, pay, and promotion were positively associated with POS. Additional research is neededconcerning the mediating role of reward expectancies in the relationship between POS andperformance.3)Job satisfaction –
  29. 29. A key factor for employee productivity and business growth -- is a frequently studied subjectacross the disciplines of psychology, sociology, economics and management sciences. A Eurofound study, "Measuring Job Satisfaction in Surveys," found that the degree of perceivedworkforce autonomy is often the most important and positive predictor of job satisfaction.Autonomy can conceptually enhance four different aspects of job satisfaction -- commitment,involvement, performance and motivation in the workplace.The definition of job satisfaction has visibly evolved through the decades, but mostversions share the belief that job satisfaction is a work-related positive affective reaction. Thereseems to be less consistency when talking about the causes of job satisfaction. Wexley andYukl (1984) stated that job satisfaction is influenced by many factors, including personal traitsand characteristics of the job. To better understand these employee and job characteristics andtheir relationship to job satisfaction, various theories have emerged and provided the vitalframework for future job satisfaction studies. Early traditional theories suggested that a singlebipolar continuum, with satisfaction on one end and dissatisfaction on the other, could be used toconceptualize job satisfaction. Later revisions of the theory included a two-continuum model thatplaced job satisfaction on the first scale, and job dissatisfaction on the second (Brown, 1998).These later theories focused more on the presence or absence of certain intrinsic and extrinsic jobfactors that could determine one‟s satisfaction level. Intrinsic factors are based on personalperceptions and internal feelings, and include factors such as recognition, advancement, andresponsibility. These factors have been strongly linked to job satisfaction according toO‟Driscoll and Randall (1999). Extrinsic factors are external job related variables that wouldinclude salary, supervision, and working conditions. These extrinsic factors have also beenfound to have a significant influence on job satisfaction levels according to Martin and Schinke(1998).Theories of Job SatisfactionThere are numerous theories attempting to explain job satisfaction, but three conceptualframeworks seem to be more prominent in the literature. The first is content theory, whichsuggests that job satisfaction occurs when one‟s need for growth and self-actualization are metby the individual‟s job. The second conceptual framework is often referred to as process theory,which attempts to explain job satisfaction by looking at how well the job meets one‟sexpectations and values. The third conceptual group includes situational theories, whichproposes that job satisfaction is a product of how well an individual‟s personal characteristicsinteract or mesh with the organizational characteristics. Each of the three theoretical frameworkshas been explored and reviewed by countless scholars and researchers, and the purpose of thischapter is not to provide an exhaustive review of job satisfaction theories. Instead, a highlight ofthe main theories and theorists from each framework will be offered, to provide clarity, relevanceand direction to this study of job satisfaction.
  30. 30. Content TheoriesWhen discussing human needs, growth, and self-actualization, one cannot look far beforeFinding Abraham Maslow and his “hierarchy of needs”. Maslow‟s (1954) traditionalist views ofJob satisfaction was based on his five-tier model of human needs. At the lowest tier, basic lifeSustaining needs such as water, food, and shelter were identified. The next level consisted ofPhysical and financial security, while the third tier included needs of social acceptance,Belonging and love. The fourth tier incorporated self-esteem needs and recognition by one‟sPeers, and at the top of the pyramid was reserved for self-actualization needs such as personalAutonomy and self-direction. According to Maslow, the needs of an individual exist in a logicalOrder and that the basic lower level needs must be satisfied before those at higher levels. Then,Once the basic needs are fulfilled, they no longer serve as motivators for the individual. TheMore a job allows for growth and acquisition of higher level needs, the more likely theindividualIs to report satisfaction with his or her job. Furthermore, the success of motivating peopleDepends on recognizing the needs that are unsatisfied and helping the individual to meet thoseNeeds.Building on the theories of Maslow, Frederick Hertzburg (1974) suggested that the workitself could serve as a principal source of job satisfaction. His approach led to theaforementioned two-continuum model of job satisfaction where job satisfaction was placed onone continuum and job dissatisfaction was placed on a second. Hertzberg‟s theory recognizedthat work characteristics generated by dissatisfaction were quite different from those created bysatisfaction. He identified the factors that contribute to each dimension as “motivators” and“hygienes”. The motivators are intrinsic factors that influence satisfaction based on fulfillment ofhigher level needs such as achievement, recognition, and opportunity for growth. The hygienefactors are extrinsic variables that such as work conditions, pay, and interpersonal relationshipsthat must be met to prevent dissatisfaction. When hygiene factors are poor, work will bedissatisfying. However, simply removing the poor hygienes does not equate to satisfaction.Similarly, when people are satisfied with their job, motivators are present, but removing themotivators does not automatically lead to dissatisfaction. Essentially, job satisfaction depends onthe extrinsic characteristics of the job, in relation to the job‟s ability to fulfill ones higher levelneeds of self-actualization. Hence the two continuum model of Hertzbergs Motivator-Hygienetheory.Process TheoriesProcess theories attempt to explain job satisfaction by looking at expectancies and values(Gruneberg, 1979). This theory of job satisfaction suggests that workers‟ select their behaviorsin order to meet their needs. Within this framework, Adams‟ (1963) and Vroom (1982) havebecome the most prominent theorists. J. Stacy Adams‟ suggested that people perceive their job asa series of inputs and outcomes. Inputs are factors such as experience, ability, and effort, whileoutcomes include things like salary, recognition, and opportunity. The theory is based on thepremise that job satisfaction is a direct result of individuals‟ perceptions of how fairly they aretreated in comparison to others. This “equity theory” proposes that people seek social equity inthe rewards they expect for performance. In other words, people feel satisfied at work when theinput or contribution to a job and the resulting outcome are commensurate to that of theircoworkers.According to Milkovich and Newman (1990), this social equity is not limited to others
  31. 31. within the same workplace, and the equity comparisons often reach into other organizations thatare viewed as similar places of employment.Vroom‟s (1964) theory of job satisfaction was similar in that it looked at the interactionbetween personal and workplace variables; however, he also incorporated the element ofworkers‟ expectations into his theory. The essence of this theory is that if workers put forthmore effort and perform better at work, then they will be compensated accordingly.Discrepancies that occur between expected compensation and actual outcome lead todissatisfaction. If employees receive less than they expect or otherwise feel as if they have beentreaded unfairly, then dissatisfaction may occur. Conversely, overcompensation may also lead todissatisfaction and the employee may experience feelings of guilt. The compensation does nothave to be monetary, but pay is typically the most visible and most easily modified element ofoutcome. Salary also has significance beyond monetary value and the potential to acquirematerial items, and Gruneberg (1979) notes that it is also an indication of personal achievement,organizational status, and recognition.Vroom‟s theory also goes one step further to incorporate an individual‟s personaldecision making within the work-place. Vroom (1982) explained that employees would chooseto do or not do job tasks based on their perceived ability to carry out the task and earn faircompensation. To illustrate and clarify his ideas, Vroom generated a three-variable equation forscientifically determining job satisfaction. Expectancy is the first variable, and this is theindividual‟s perception of how well he or she can carry out the given task. Instrumentality is thesecond variable of the equation, and this refers to the individual‟s confidence that he or she willbe compensated fairly for performing the task. Valence is the third variable, which considersthe value of the expected reward to the employee. In Vroom‟s formula each variable is given aprobability value, and when all three factors are high, workers will be more satisfied and havemore motivation. If any of the factors are low, work performance and employee motivation willdecline.Situational TheoriesThe situational occurrences theory emerged in 1992, when Quarstein, McAfee, andGlassman stated that job satisfaction is determined by two factors: situational characteristics andsituational occurrences. Situational characteristics are things such as pay, supervision, workingconditions, promotional opportunities, and company policies that typically are considered by theemployee before accepting the job. The situational occurrences are things that occur after takinga job that may be tangible or intangible, positive or negative. Positive occurrences might includeextra vacation time, while negative occurrences might entail faulty equipment or strainedcoworker relationships. Within this theoretical framework, job satisfaction is a product of bothsituational factors and situational occurrences.
  32. 32. B) VARIABLES USED:- Details of independent variable. Job Autonomy: The degree of autonomy on the job is widely regarded as an important determinant of jobs satisfaction. This can be measured consisting of 10 survey questions. Perceived organizational support:-the degree of perceived support on the job can be measured consisting of 10 survey question. Details of dependent variable. Job Satisfaction: Overall job satisfaction will be measured consisting of 10 survey questions.CHAPTER 3:- RESEARCH METHODOLOGY A) OBJECTIVE:- To measure the impact of Autonomy & perceived organizational support on job satisfaction. To explore the relationship on job satisfaction with job autonomy & perceived organizational support.
  33. 33. B) RESEARCH DESIGN:- Sample size A sample size of 100 employees will be used to collect data. Sampling technique Convenient samplingC) SCOPE OF STUDY:- 1) To identify the employees level of satisfaction upon that job. 2) This study is helpful to that organization for conducting further research. 3) It is helpful to identify the employer’s level of satisfaction towards welfare measure. 4 This study is helpful to the organization for identifying the area of dissatisfaction of job of the employees. 5) This study helps to make a managerial decision to the companyD) HYPOTHESIS:- There is no significant impact of perceived organizational support & job autonomy on job satisfaction.
  34. 34. E) DATA COLLECTION:- 1. Details of instrument. Questionnaire consisting of 6 survey Q. of job autonomy and 10 survey Q. of job satisfaction. 2. Reference of the scales: A) A scale on job satisfaction was used which is developed by Scott Macdonald Peter Macintyre, which could be used in a wide range of occupational groups. B) The scale was significantly related to work place factors such as job stress, boredom, isolation and danger of-illness or injury. C)F) REVIEW OF LITRETURE:- Gupta & Joshi (2008), concluded in their study that Job satisfaction is an important technique used to motivate the employees to work harder. It had often said that, "A HAPPY EMPLOYEE IS A PRODUCTIVE EMPLPOYEE." Job satisfaction is very important because most of the people spend a major of their life at their work place. Khan (2006), reveals in his study hat Hoppack brought Job satisfaction to limelight. He observed Job satisfaction in the combination of psychological & environmental circumstances that cause person to fully say, "I am satisfied with my job
  35. 35. Velnampy (2008), in his study "Job Attitude and Employees Performance of Public Sector Organizations in Jaffna District, Sri Lanka" concluded that job satisfaction does have impact on future performance through the job involvement, but higher performance also makes people feel more satisfied and committed. It is a cycle of event that is clearly in keeping with the development perspective. Attitudes such as satisfaction and involvement are important to the employees to have high levels of performance. The results of the study revealed that attitudes namely satisfaction and involvement, and performance are significantly correlated.G) LIMITATION OF STUDY:- The study conducted is limited to 2 organizations only. The study conducted with the precincts of one department of organization only. Time and money was major limitation, which may have affected the study. Some of the respondents were reluctant to share information with us.H) SIGNIFICANCE OF STUDY:- THIS STUDY HELPS IN UNDERSTANDING THE HUMAN BEHAVIOUR. THIS STUDY HELPS IN IDENTIFYING THE IMPACT OF AUTONOMY ON JOB SATISFACTION. THIS STUDY HELPS IN KNOWING THE IMPORTANCE OF AUTONOMY AT WORKPLACE.
  36. 36. CHAPTER 4:- DATA INTERPRETATION AND ANALYSIS A) DATA ANALYSIS:- The value of multiple correlations is .89501 Regression Variables Entered/RemovedModel Variables Variables Entered Removed Methodd 1 ja_total, . Enter ai os_totalmension0a. All requested variables entered.b. Dependent Variable: js_total Model SummaryModel Adjusted R Std. Error of the R R Square Square Estimate aD 1 .494 .244 .224 5.59352imension0a. Predictors: (Constant), ja_total, os_total
  37. 37. b ANOVAModel Sum of Squares Df Mean Square F Sig. a1 Regression 738.440 2 369.220 11.801 .000 Residual 2283.981 73 31.287 Total 3022.421 75a. Predictors: (Constant), ja_total, os_totalb. Dependent Variable: js_total CoefficientsModel Standardized Unstandardized Coefficients Coefficients 95.0% Confidence Interval for B B Std. Error Beta T Sig. Lower Bound Upper Bound1 (Constant) 14.393 5.501 2.616 .011 3.429 25.357 os_total .343 .148 .240 2.314 .023 .048 .638 ja_total .385 .103 .389 3.751 .000 .181 .590a. Dependent Variable: js_total
  38. 38. B) DATA INTERPRETATION:- R-square- .244 ANOVA :- .0003 Organizational support :- .638 Job autonomy:- .590C) HYPO-TESTING:- The accuracy of the hypothesis is up to .244. The hypothesis is rejected that is there is significant impact of perceived organizational support & job autonomy on job satisfaction. There is significant impact of perceived organizational support on job satisfaction. There is significant impact of job autonomy on job satisfaction.
  39. 39. CHAPTER 5:- FINDING SUGGESTIONS AND CONCLUSION:- According to result of research the organization should provideorganizational support & job autonomy to the employees for their jobsatisfaction. As the result shows that there is significant impact of perceivedorganizational support & job autonomy on job satisfaction of theemployees, therefore up to some extent the autonomy at work place &organizational support should be provided to the employees.The autonomy at work place & organizational support plays animportant role in motivating the employees of the organization.Therefore manager should think for providing these 2 factors at the workplace.REFERENCES:-Armeli, S., Eisenberger, R., Fasolo, P., & Lynch, P. ( 1998). Perceivedorganizational support and police performance: The moderating influence ofsocioemotional needs. Journal of Applied Psychology, 83(2), 288-297Cobb, S. ( 1976). Social support as a moderator of life stress. PsychosomaticMedicine, 38, 300-314Cohen, S., & Wills, T.A. ( 1985). Stress, social support and the bufferinghypothesis. Psychological Bulletin, 98, 310-357Eisenberger, R., Armeli, S., Rexwinkel, B., Lynch, P. D., & Rhoades, L. ( 2001).Reciprocation of perceived organizational support. Journal of Applied Psychology,86(1), 42-51Eisenberger, R., Huntington, R., Hutchison, S., & Sowa, D. ( 1986). Perceivedorganizational support. Journal of Applied Psychology, 71(3), 500-507
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