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Main project

  2. 2. INTRODUCTION Purpose of the project is to study the organization at wide. The study of various departments of the organization etc is to be studied. Internship training report is conducted for the partial fulfillment of the requirement of the degree of Master of Business Administration (MBA) as per the University rule. Internship training is conducted to get experience about the practical application of the management theory. It helps students to combine theory with practical. The scope of the study covers how the organization is working, study of the department in the organization and analyzes the management problem in the organization. Based on the data collected attempt to make a swot analysis and recommend a solution for recovering the management problem in that organization After the Second World War, food industry took quantum leap. This brought in the need for good and quality food products. Products need quality and retain all the nutritious factors. This can be more favorable to the customers at large. Food industry across the globe is turning more and more rice, wheat and oil products. PARISONS Group of companies introduces mainly wheat products to the market. Company also produces some other sub products such as edible oil, vanaspathi, etc. This project contains various departments of the company, the company’s vision, mission, its objectives, findings and suggestions.OBJECTIVES OF THE STUDY: 1. To analyze the working of various departments in the organization. 2. To analyze current status of the industry. 3. To analyze current status and future prospects of the organization. 4. To analyze how is the relationship between management and workers. 5. To study particular management problem in the organization 2 CITY COLLEGE
  4. 4. PROFILE OF THE INDUSTRY The food industry has given us a food supply so plentiful, so varied, so inexpensive,and so devoid of dependence on geography or season that all but the very poorest ofAmericans can obtain enough energy and nutrients to meet biological needs. Indeed, the supply is so abundant that it contains enough to feed everyone in the country nearlytwice over—even after exports is considered. The overly abundant food supply, combinedwith a society so affluent that most people can afford to buy more food than they need, setsthe stage for competition. The food industry must compete fiercely for every dollar spent onfood, and food companies expend extraordinary resources to develop and market productsthat will sell, regardless of their effect on nutritional status or waistlines. To satisfystockholders, food companies must convince people to eat more of their products or to eattheir products instead of those of competitors. They do so through advertising and publicrelations, of course, but also by working tirelessly to convince government officials, nutritionprofessionals, and the media that their products promote health—or at least do no harm.Much of this work is a virtually invisible part of contemporary culture that attracts onlyoccasional notice.SOCIETAL ATTACHMENT: The ways in which food companies use political processes—entirely conventionaland nearly always legal—to obtain government and professional support for the sale of theirproducts. Its twofold purpose is to illuminate the extent to which the food industrydetermines what people eat and to generate much wider discussion of the food industrysmarketing methods and use of the political system.WORLD WIDE RESEARCH: Past 25 years, the nutrition had found that food industry practices are discussed onlyrarely. The reasons for this omission are not difficult to understand. Most of us believe thatwe choose foods for reasons of personal taste, convenience, and cost; we deny that we can bemanipulated by advertising or other marketing practices. Nutrition scientists and practitionerstypically believe that food companies are genuinely interested in improving health. Theythink it makes sense to work with the industry to help people improve their diets, and most 4 CITY COLLEGE
  5. 5. are outraged by suggestions that food industry sponsorship of research or programs mightinfluence what they do or say. Most food company officials maintain that any food productcan be included in a balanced, varied, and moderate diet; they say that their companies arehelping to promote good health when they fund the activities of nutrition professionals. Mostofficials of federal agriculture and health agencies understand that their units are headed bypolitical appointees whose concerns reflect those of the political party in power and whoseactions must be acceptable to Congress. In this political system, the actions of food companies are normal, legal, andthoroughly analogous to the workings of any other major industry—tobacco, for example—in influencing health experts, federal agencies, and Congress. Promoting food raises morecomplicated issues than promoting tobacco, however, in that food is required for life andcauses problems only when consumed inappropriately. As this book will demonstrate, theprimary mission of food companies, like that of tobacco companies, is to sell products. Foodcompanies are not health or social service agencies, and nutrition becomes a factor incorporate thinking only when it can help sell food. The ethical choices involved in suchthinking are considered all too rarely. Early in the twentieth century, when the principal causes of death and disabilityamong Americans were infectious diseases related in part to inadequate intake of calories andnutrients, the goals of health officials, nutritionists, and the food industry were identical—toencourage people to eat more of all kinds of food. We obtained access to foods of greatervariety, our diets improved, and nutrient deficiencies gradually declined. The principalnutritional problems among Americans shifted to those of over nutrition—eating too muchfood or too much of certain kinds of food. Overeating causes its own set of health problems;it deranges metabolism, makes people overweight, and increases the likelihood of "chronic"diseases—coronary heart disease, certain cancers, diabetes, hypertension, stroke, and others—that now are leading causes of illness and death in any overfed population. Now a day’s food Industry has a wide range scope. Many countries use rice and riceproducts. In India rice production Industries are using various technical methods for largescale production. In India most of the states are using rice. In Kerala main food is rice andrice products. There are several firms situated in the Industrial production of rice and riceproducts. In Kerala, most of the customers can prefer rice with retain all the nutritiousfactors. These Industries make large scale production to the customers at wide. 5 CITY COLLEGE
  7. 7. PROFILE OF ORGANAISATIONORIGINE AND GROWTH: The PARISONS Group has distinguished itself as one of the leading business groupsin Kerala notching up a total turnover exceeding 600 cores. The Group started out as aTrading outlet in Big Bazaar, the business hub of North Malabar in 1982, and has reachedthis distinction during the past decade and a half. The first manufacturing unit wasestablished in 1992, and now the group has a total processing capacity of 600 MT for Wheatflour milling and 380MT for edible oil refining per day. Success of its initial ventures resulted in rapid expansion of wheat flour business withacquisition of several Roller Flour Mills and key Brand names. The activities of thepromoters diversified in to Rubber, Tea Plantation, Infrastructure leasing etc and caused to beknown as distinguished leading business group of Kerala. The ability of the group to acquireclosed milling units and make them profitable ventures with in short span of time resulted inthe group becoming the market leader in Wheat Flour Business. The PARISONS Group with their corporate base in Calicut Kerala are the largestmanufacturers and marketers of two basic food commodities, Wheat Flour and Edible Oils inSouth India. Started in a humble way, PARISONS has reached a stage that it has grown intoa formidable Omni-presence at every phase of the Agro Business cycle including Production,Processing and Distribution. Having made their presence felt in the food commoditiesmarket, PARISONS diversified their activities into Rubber, Tea Plantations andInfrastructure Leasing.LEADERSHIP: The PARISONS Group is the brainchild of its Managing Director, Mr. N. K. Mohammed Ali. 7 CITY COLLEGE
  8. 8. A very resourceful leader and futuristic thinker. His dynamic leadership combinedwith the illustrious efforts of his brothers, Mr. N. K. Ashraf Mr. N. K. Khalid Mr. N. K. Harris has been the motive force behind what PARISONS is today, - “amajor presence in the agribusiness industry." The saga of success of the PARISONS Group started in 1992 when the flagshipcompany The Parisons Roller Flour Mills Pvt. Ltd. was set up in West Hill Calicut. Thecompany owns a 120 TPD Roller Flour Mill is now the market leader in its segment with theultra premium PARISONS Liberty brand of wheat products. The success of this venture ledthe group to acquire several flour mills and key brand names. PARISONS with its richexperience and expertise in the field of food- processing and trading, has well succeeded inplanning, implementing and running of new projects, as well as, taking over sick and ailingunits and making them viable in the shortest possible time. This has led to the emergence ofPARISONS as the largest producers and marketers of wheat products and edible oils. Out ofthe 31 active flourmills in Kerala 4 major flourmills with a total capacity of 600MT ispresently owned by the group. Our presence in the market can be gauged by the fact that 4out of 6 flourmills in Kozhikode District. Plans are on the anvil to revive the operations of a defunct flour mill of 100 TPDcapacity located at Kuttipuram which was already acquired from the KSIDC in 2002. ThePARISONS Group is already a brand presence in South India, especially Kerala with anestablished market, distribution network and high brand equity for its products coming fromits existing four units namely: Parisons Roller Flour Mills (P) Ltd. Yenkey Roller Flour Mills (P) Ltd. Khemka Flour Mills (P) Ltd. Kodandram Roller Flour Mills (P) Ltd. 8 CITY COLLEGE
  9. 9. LOCATION: The PARISONS GROUP, having its corporate office at 6/1183,Kunhipari building,Cherootty Road, Kozhikode, Kerala, India is the largest manufacturer of two basic foodcommodities –Wheat Flour and Edible oil. The name is derived from the name of lateKUNHIPARI the illustrious scion from a well known business family in North Kerala. ThePARISONS GROUP was founded by his industrious four sons. It was started with a humblebeginning as a trading outlet in the business hub of Malabar in the year 1982. The dynamicbusiness expansion started in 1992with setting up of flagship company named The ParisonsRoller Flour Mills Pvt Ltd.ADDRERSS OF THE COMPANY: PARISONS GROUP 6/1183, Kunhipari building, Cherootty Road, Kozhikode, Kerala, India, Pin: 673 032. E-mail: Website: 9 CITY COLLEGE
  11. 11. OBJECTIVES Stimulating demand for appropriate processed foods. Achieving maximum value addition and by-product utilization. Creating increased job opportunities particularly in rural areas. Creating surpluses for exports. Better utilization and value addition of agricultural produce for enhancement of income of farmers. Minimizing wastage at all stages in the food processing chain by the development of infrastructure for storage, transportation and processing of agro-food produce. Induction of modem technology into the food processing industries from both domestic and external sources. Maximum utilization of agricultural residues and by-products of the primary agricultural produce as also of the processed food industry. To encourage R&D in food processing for product and process development and improved packaging. To provide policy support, promotional initiatives and physical facilities to promote value added exports. 11 CITY COLLEGE
  12. 12. MISSION The continued pursuit of excellence in relation to the quality of its products, reliability of supply and building of close links with its vast clientele. To strive hard to uphold its reputation as leader in F.M.C.G. To abide by rigorous ethical and legal standards in our strategies and in our day-to- day business activities. To diversify into other segments. To generate a climate of loyalty and mutual respect among our employees. To sustain long standing relationship crucial for onward march with focus on accelerated growth and development. 12 CITY COLLEGE
  13. 13. VISION To be a premium Company with a clear focus in future. To develop market opportunities by creating new and innovative products. To become the market leader in Agribusiness and provide the world markets with healthy food. To employ path breaking technology in all our ventures. Aspire for, and achieve, leadership in existing areas of operation. Simultaneously, raise resources and capabilities to move into new areas 13 CITY COLLEGE
  16. 16. S.W.O.T. AnalysisSTRENGTH • Availability of good quality raw materials. • Latest technology is used for production. • Company is eco friendly and socially committed. • Co-ordinal relationship between management and employees. • Finished quality products. • Powerful marketing strategies. • Efficient distribution network • Good relationship with trade unions • Good customer relationship 16 CITY COLLEGE
  17. 17. • Good communication. • 100% capacity utilization.WEAKNESS • Low quantity of power and lack of power generation facility. • Inadequate investment planning • Lack of good advertisement facilities. • Lesser diversification of businessOPPORTUNITY • To use latest technologies to the production process. • Steady growth of the products. • Good demand for customer product. • To develop new and improved products. • Globalization and liberalization polices open new opportunities to the firm.THREAT 17 CITY COLLEGE
  18. 18. • The company can face some marketing problems by competitive firms• Season will affect the raw materials. PRODUCT PROFILE 18 CITY COLLEGE
  19. 19. PRODUCION Production is the process, developed to create a collection of input elements. i.e.Energy, capital, material, manpower such as labors used to produce output such as thefinished goods in proper quantity and quality.WHEAT PRODUCTS: Wheat and wheat products forms part of the staple diet of almost all Indians. In thefield of wheat products, PARISONS group is the largest manufacturer in South India.PARISONS LIBERTY brand is the only one brand, which is available through out Keralaand it is the market leader in this segment.Major wheat products are: Maida 19 CITY COLLEGE
  20. 20. Atta Sooji Bran.Maida or Wheat Flour: It is mainly used in Bakery and Pasta industry. In Bakery industry maida is used formaking Breads, Cakes, Pastry, Naan etc., and while in Pasta industry it is used to makeSpaghetti, Macaroni, Cannelloni, Vermicelli, Noodles etc. It is also used for making Parathasand Halwa.Atta or whole wheat: Atta is used throughout the country to make Chapathis, Roti and Puries. It is one ofthe largest selling flour in the country.Wheat Semolina or Sooji: Wheat Semolina or Sooji is mainly used in Pasta industry to make Macaroni,Raccioir, Farfalle etc. It is also for Sweet making, Kesri rawa making and Upma making.Bran: Wheat Bran is mainly used for poultry feed and cattle feed industries as raw material.EDIBLE OIL: Edible Oil being the most necessary ingredient next only to wheat flour for makingfood products consumed by people, it was thought fit that diversification into trading andprocessing of edible oil and its trading as a natural choice. PARISONS is the first and oneand only manufactures of refined edible oil in Kerala. 20 CITY COLLEGE
  21. 21. Palmolein is the common people’s cooking medium, it is mainly used for cookingpurposes at homes, bakeries and hotels. The group has also entered the retail market in a bigway PARISONS Liberty Gold Palmolein brand is a premium brand in the market. Palmoleinis available in 15 kg tin, 15 kg jar packing, 1 litre and half litre & 200 ml saches. PARISONS also manufactures Palmoil in the brand name, Kerala Palmoil which isalso used for cooking purposes.VANASPATHI AND SPECIALITY FATS: Here again PARISONS is the one and only manufacturers of Vanaspathi inKerala.For manufacturing vanaspathi it has set up a state of the art most modern Hydrogenplant with Belgian technology for the fist time in India. Vanaspathi is an alternate cookingmedium for tasty preparations. It is mainly used in homes , hotels and other cateringindustries for cooking purpose. For the preparation of Biriyani & Ghee Rice vanaspathi is anintegral part and Parisons Liberty Vanaspthi is the most preferred choice for that extraflavour it gives to cooking these delicious preparations. Parisons Agrotech manufacturesVanaspathi. We have two brands of vanaspathi. As far as the sales is concerned Parisons Libertyhas already become on of the leading brands in north Kerala.It has now opened a new Depoat Ernakulam to enter the southern markets more effectively, where its presents is limited 21 CITY COLLEGE
  22. 22. now. The group has got sales points at Kakkanchery, Kuttippuram & Angamali, shortlyTrivandrum will also become a sales point.BAKERY SHORTENING: PARISONS group is the first and one and only manufacturer in Kerala of Specialtyfats or Bakery Shortening. It is used in the Catering ,Confectionery & Bakery industry for thepreparation of bakery items. Within a short period of introduction with quality andPARISONS groups goodwill support it has captured a major share of North Kerala market.With the introduction of new products it hopes to capture a good part of south Kerala marketalso and become a market leader in this segment.There are 4 brands of specialty fats manufactured by PARISONS: Prisons Chakra Dream 22 CITY COLLEGE
  23. 23. Premier No.1 Golden Puff Parisons Chakra, Dream & Premier No.1 bakery shortenings are used for preparationof ordinary bakery items like Breads, Cakes, Cookies, Biscuits etc. and Golden Puff isespecially used in the preparation quality Puffs. Margarine, a new product, specially forPastries & Cakes will be introduced shortly in the market by PARISONS.Specialty fats are available in 15 kg Bib, 15 kg Tin & 15 kg Jar. 23 CITY COLLEGE
  24. 24. FUNCTIONAL AREAS FUNCTIONAL AREASCOMMODITY TRADING What began in 1982 as a small business of general merchants and commission agentsfor food grains and wheat flour products in the name of N K Mohammed Ali and Brothershas grown into one of the big trade houses in the market and it can be traced now in the mostrespected names of traders in big bazaar of Kozhikode. 24 CITY COLLEGE
  25. 25. Edible refine oils and wheat flour products like Aata, Sooji, Miada ,Rava being veryfast moving food commodities in trading the volume of trade handled by this firm hasincreased multifold within a short span of time. This partnership firm can control the groups’well knit marketing network of dealers and distributors spread all over KERALA. Yetanother partnership concern in the name and stale of PARISONS EXPORTS Inc. does theinternational sourcing of basic raw materials in key food of food products of edible oils andgrains..FLOUR MILLING Having established a study food hold in trading activity the group embarked onstrategic business expansion mission and setup its first flour mill of PARISONS ROLLERFLOUR MILLS Pvt Ltd at West Hill, Kozhikode in 1992. Consistent progress is beingattained in this activity and the group presently owns armada of flour mills spread acrossdifferent districts in the state of Kerala from Trivandrum Flour Mill P Ltd in Trivandrum Dt.,Kodandram Roller Flour Mills P Ltd. Angamaly in Ernakulam Dt., Khemka Flour Mills PLtd., at Chungam West Hill, in Kozhikode Dt. Etc. All the milling plants are running withmachinery of state of the art technology.VEGETABLE OIL REFINING After establishing after market leaders in wheat flour products it was vegetable oilrefining activity waiting for the group to get on with next. In its verification plan the grouplaunched vegetable oil refining plant at west hill Kozhikode in the name of PARISONSARISTECH Pvt Ltd in the year 1996. Ever increasing demand for the refined oil products ofthe company like refined bleached and deodorized palm oil, Vanaspathi etc. in the brandname LIBERTY GOLD prompted the group to increase its refining capacity as a result ofwhich a different unit in the name of PRISONS FOODS Pvt Ltd was established in KINFRAfood park at Kakkanchery in 2001. 25 CITY COLLEGE
  26. 26. INFRASTRUCTURE LEASING In the continues foray of the group in different types of business the idea of setting upof Storage Tanks Farm in cochin Port trust area come to mind by sheer necessity. Theinconvenience of associate companies in the vegetable oil refining activities to depend onother parties for storage purpose could be alleviated. The group garners substantial amount ofrental income by leasing out additional storage capacity in the infrastructure facility to otherinterested parties.ECO TOURISM Promotion of ecotourism is an activity going by side of Agriculture in BeautifulEstate and Plantations in the Hilly areas of KERALA state like Mananthavady in WayanaduDistrict .The group own vast area of rubber plantation and Tea Estate. The different locationsof the areas are at KK road Mundakkayam in Kottayam Dt, Chirakkara Dt, Talappuzha,Tatamala, etc. in Wayanadu Dt. Which are the places making our State “Gods OwnCountry”.RUBBER PLANTATION The Group entered in to plantation segment by acquiring 1665acres of Rubber Estateand processing facilities located in beautiful part of Kerala state at KK Road, in Idukkidistrict. The estate comprises of two divisions namely BOYCE Divisions andPERUVANDANAM Division. Of this area 1400 acres of land is presently cultivated. About200 acres of non cultivable Land is having rich deposit of SILICA About 30 acres of landconsists of the roads buildings and other infrastructure facilities. The estate has drying yardsmoke house for the total area and crepe factory to produce crepe rubber. Spurred by theincreased level of prices of raw rubber the Company is poised to show impressive results. 26 CITY COLLEGE
  27. 27. EXPORTS The Export Division of the Group was set up with its corporate headquarters atCalicut. It is engaged in trading of edible oils after packaging. The firm purchases the oilsfrom other Group Units who are major importers. A Cochin office was also set up to speedup the import operations of the group.Our exports division caters to the needs and requirements of all our overseas buyers. Over theyears, we have experienced continuous growth both in terms of physical and volume ofproduction allowing us to be one of the most competitive exporters in India. 27 CITY COLLEGE
  28. 28. QUALITY CONTROL, SAFETY PROCEDURES AND ENVIONMENTAL POLICY FUTURE EXPANSION PROGRAM Government of India has realized the necessity of participation of private sector indeveloping infrastructure facilities like (1) Development of ports (2) Leasing out Port assets(3) Construction/installation and operation of cargo births, container terminals (4)Warehousing (5) Container freight stations (6) Storage facilities etc. The promoters of thegroup have in their mind a passionate desire to improve the existing infrastructure facilities atBEYPORE PORT of Kerala 28 CITY COLLEGE
  29. 29. PARISONS GROUP has just entered into the buswiness of coconut oil with its ownliberty branded pure quality oil which is most favored cooking medium of Keralaits.Intensive programs are in the pipeline to boost up this business not only in and around thehome state but also to Gulf countries. Brand building finds a place in the list of future activities as an intensive marketingactivity for TEA producer in the own estates of the group. Plans to establish chain of SuperMarkets of different products of own brand bye ways of franchisee business are alsocontemplated seriously. COMPANY STATUSPARISONS GROUP gets ISO- 9001:2000 Certification and HACCP certificate (Kerala GovtQuality Certification). QUALITY CONTROL We at Parisons believe quality is of paramount importance in customer satisfaction.Our commitment to quality starts right from the procurement of raw materials and continuestill the final products are packed for delivery. Our ultimate objective is to bring continuousdevelopment by incorporating the latest technology that help us in achieving better quality. Our incomparable state-of-the-art infrastructure consists of well-equipped and high-tech plants to cater to the increased demand of our products. Our range of products is testedand quality checked by our in house labs provided with latest state of the art equipment. Wehave in-house facilities for bulk packing to small packing and all the operations areperformed in dust free and hygienic conditions. We believe in competing with ourselves and this encourages us to increase ourmanufacturing potentials and to augment them from time to time. We are a customer drivencompany and aim to achieve "total client satisfaction" through timely delivery, right qualityand competitive prices of the products. 29 CITY COLLEGE
  30. 30. SAFETY PROCEDURE PARISONS Group has separate fire and safety officers. They are well trainedcrew. Safety procedures of PARISONS Group match the industry standards. It follows strictsafety procedures laid down by its manuals. Safety awareness is considered as a prime areafor employee training. ENVIRONMENTAL POLICY PARISONS Groups of companies aware of their commitment to the society.A healthy environment is inevitable for sustained development. This company’s proceduresare environment friendly. This company uses modern equipments for monitoring ambient airquality. MAJOR MANUFACTURING UNITPARISONS FOODS Pvt. Ltd. The escalating demand for the Group’s edible oil brands prompted PARISONSGroup to increase its refining capacities. Moreover the Group had to devote the entire 30 CITY COLLEGE
  31. 31. capacity of the first unit for refining of edible oils though the unit was intended for themanufacture of Vanaspati also. A second unit for edible oil refining was set up under a newCompany PARISONS FOODS Pvt Ltd. This 150 TPD Plant was commissioned in theKINFRA Food Park, Kakkanchery, Malappuram District and the company started productionby the end of the year 2001. The capacity of this unit has been expanded from 150TPD to300 TPD by May 2003. Later in 2004, an additional plant was commissioned in the factory to fractionateRBD Palmolein from RBD palm oil, which helped the concern to avoid importing of CrudePalmolein, which had become unviable due to customs duty structure. This plant has aninstalled capacity of 300 TPD. PARISONS Liberty, Coconut Tree, Chakra and K Brand, household names today, arethe products of these manufacturing units. As three out of 4 units are concentrated in Calicutsetting up of a unit in Kuttippuram has the locational advantage, the major consumer ofwheat products in Kerala being the Malappuram District. Raw materials for the mills arebought in bulk by rakes from centers in UP, Haryana and MP. By the revival of the unit the PARISONS Group will be having 5 milling units inKerala with a capacity of 700 tones adding luster and glory to their fame as the largestmanufacturers of wheat products and edible oils in South India. MILLING CAPACITY – WHEAT BASED PRODUCTS: 31 CITY COLLEGE
  33. 33. MNAUFACTURING MANUFACTURING SL.NO LOCATION OF ACTIVITY ACTIVITY CAPACITY 1 PARISONS AGROTECH PALM OIL 80 TPD PRIVATE LIMITED REFINING 2 PARISONS AGROTECH VANASPATHI 25TPD PRIVATE LIMITED MANUFACTURING PALM OIL 3 PARISONS FOOD PRIVATE 300 TPD REFINIG LIMITED 4 PARISONS FOOD PRIVATE FRACTIONING 300 TPD LIMITED TOTAL 705 TPD Unswerving commitment to quality has helped the company to consolidate a largeand loyal clientele and the company now moves ahead with the global market in itsperspective. Backed by a strong force of dedicated employees, PARISONS is all geared toforge ahead in the new millennium. 33 CITY COLLEGE
  36. 36. The Human Resource department deals with the planning, organizing, directing andcontrolling of the human element in an organization and in their training, development andmaintenance. With the increase in the size of business, manpower has become the most vital factorin business. Personnel management is a specialized branch of management that deals withpeople. Human beings are the principal asset of a business or industry. People are the mainsubject matter of personnel management and it is its business to educate employees, line andstaff and supervisors to place a high value of the dignity and work of the individual humanbeing.Human Resource Management is that part of total management of an organization whichspecifically deals with human resources in respect of(a) Their procurement.(b) Their development in terms of skill, knowledge and attitude.(c) Their motivation towards the attainment of organizational objectives by creating andmaintaining an organizational climate conclusive to such development. The group has well experienced and quality workers in each unit. In the productionprocess all units are similar so they need the same amount of man power. All employees arewell qualified and show their ability I their respective fields. The employees are recruited viacontractors, personal contract or by advertisement in news papers. even though they have adefinite training schedule, there is no need to give special training as the elements of trainingprescribed will be incorporated by the employee on his own has he becomes familiar with hiswork. Each division forwards their manpower requirements to HR division. A requisitioncan be routed by a line manager through the divisional head to GM, HR. The HR divisionsstudies and analyses manpower requirements and puts its comments on each position. Aftercompilation of all the requirements with HR comments these are forwarded to the manpowercommittee. The manpower committee which comprises of members of Top management, HR 36 CITY COLLEGE
  37. 37. and General Manager meets every alternate month to discuss and assess the requirement putforwards to all divisions. Based on that committee’s recommendations the HR divisionprocesses these positions. The requirement and selection process for Kerala positions arecompleted within one month, where as for outside Kerala it takes at least two month. The H.R dep. takes care their employees by providing provident fund, ERS, gratuityand looking after medical needs of their employees and families at present the administrationpurchase and human resource department is headed by one manager except in administrationwhere he is assisted by two others there are total of almost 36 people working under him.RECRUITMENT: Recruitment function is concerned with discovering the sources of man powerrequired and tapping these sources. Workers are recruited on the basis of sanctioned strengthin each department employees are selected according to their skill and ability.ORIENTATION: All employees of PARISONS group will undergo an orientation program prior to thestart of regular work. This envisages making the organization, its rules, guiding principlesand culture transparent and known to all employees in the concern. During orientation everyemployee would receive a detailed job description an explanation about the nature andessentials of the job in perspective. Clarification if any can be made during the orientationprogram.TRAINING: The organization understands the necessity of developing skills relevant for every job.Hence all employees would undergo minimum of sixty hours of training. That covers areassuch as salesmanship. Managerial skills, communication skills and all round personalitydevelopment .If the department as certain that additional training program is inevitable, anemployee may be asked to undertake further training.PERFORMANCE MANAGEMENT: 37 CITY COLLEGE
  38. 38. There would be a development plan for each employee based on the employeeperformance appraisal. This would be conducted from time to time.STRATEGIC H R MANAGEMENT: It may be understood as the process of formulating, implementing andevaluating business strategies to achieve organizational objectives analysis as theenvironment, formulation of strategies, implementation of strategies evaluation and controlare the phase in the strategic management process. In the company Human Resourcemanagement has taken a good part.HR PLANNING: It is the process of an organizations future demand for and supply of, the righttype of people in the right number. The Human Resource Department can initiate therecruitment and selection. Human Resource Planning is a subsystem in the totalorganizational planning. Human Resource planning variously called man power planning,personal planning or employment planning. Human Resource planning is significant as ithelps to determine future personal needs.DISPUTES: It is a smoothly going concern. In future any disputes are found, the HRD is efficientto recover the disputes. In this concern Trade Union are not to be active. 38 CITY COLLEGE
  40. 40. ASSISTANT ASSISTANT AREA SALES MARKETING MARKETING MANAGERS MANAGER MANAGER Marketing refers to all the activities involved in the creation of time and placeutilities. Being South India’s Largest wheat product producers, PARISONS group producersa vide variety of brands of Maida, Atta and Oil along with bread shortening.MARKETING AND SALES: Forecasting, New product concept, Advertising and promotion, Pricing, Graphic design,THEIR LEADING BRANDS IN WHEAT PRODUCTS ARE:LibertyChakraCoconut treePremier No.1Golden BellIn refined vegetable oil prisons’ have branded their products under the name of PARISONSLiberty (palmolein). Liberty is their premium brand .The remaining brands are all in sale inthe respective places where they are produced At Present to aid their marketing and sales, they have their own trucks for theirtransport of their goods produced ensuring fast and speedy dispatch, they ensure the qualityand quantity of their goods produced so as to upkeep their premium. They also havecompetitive pricing for their products. they have a selected ad budget. 40 CITY COLLEGE
  41. 41. Their products are given maximum ensuring through FM Radio. This is because, theirproducts are mainly used by bakers and grocers who use them in bulk who would not be ableto view PARISONS ads shown in the TV. But FM radio is available everywhere. For thehouseholds, they do advertise in the television as well Apart from this their major expanse in marketing also goes in for professional andbrand building activities such as:ADVERTISEMENT: The word advertising originates from the Latin word ‘advertise’ which means tolearn. Advertising is a multi dimensional activity. Advertiser entrant the task of executingtheir advertisement message through approval created advertisement campaign to theadvertisement agencies make use of many professional and free lancersto create advertising. Advertising can often be instrumented in “opening the extend ofadvertises line product explaining the position of the company in the industry and its policiestowards”.The company has been advertising its product through various channels in a significant way.Advertising is a big business and rank among the top industries of the world. The growth ofadvertising industry in any country is in direct relation to the level of business activity andhealth of its economy.They have retail counters at big bazaar. They also have direct representatives for marketstudy. They also outsource professionals for conducting surveys for specific purposes.Marketing department is headed by marketing manager, who is assisted by two assistantmanagers.BRANDING: Brand name is the part of a brand that can be spoken including letters words andnumbers. Brand mark is a part of the brand which appears in the form of a symbol or design.Branding means giving a name to the product by which it will become familiar to the public.PACKAGING & LABELLING: 41 CITY COLLEGE
  42. 42. Packaging is one of the elements of marketing mix. The significance ofpacking has increased these days because of severe competition in the market and rise in thestandard of living of the people. The products are packed by air tight and attractive wrapper. Labeling is an integral part of packaging. It gives verbal information about theproduct and the seller.PRICING: Pricing could hold some objectives like profit maximization, product status,survive to the competition etc. To stabilize the product price to the market at large. Pricingshould be affordable to the customers.PRODUCT POSITIONING:Position stands with the selection of a segment in witch to complete. If a product is up to theconsumers expectations, it will enjoy a strong position in the market.CONSUMER BEHAVIOUR:Market consist of buyers, hence it is the behavior of buyers. Business enterprise withouthaving consumer understanding, cannot fulfill its obligation of consumer satisfaction themarketing department must study the wants, needs, preference, and buying behaviorCHANNELS OF DISTRIBUTION:The product has been developed, produced, and price is determined. The next step isdistribution- to bring it to the market and delivered to the customer. Manufacturer Wholesaler Retailer ConsumerTRADEMARK: Trademark is the legal term when a brand name or a brand mark is registeredand legalized, it becomes a trademark. The trademark of PARISONS Group of Companies isunder PARISONS.SALES: 42 CITY COLLEGE
  43. 43. The term "Sales" is used to refer to the channels through which a product is sold in themarket place. Often, a distinction is made between wholesaling and retailing channels.Wholesaling refers to those functions of gathering products, breaking lots into smaller unitsand distributing to retailers. Retailing refers to the location where the end customer candirectly purchase the product.The sales department looks into various activities in connection with both domestic andexport sales, delivery after sales etc. this section is under the direct control and supervision ofthe sales in charge. 43 CITY COLLEGE
  45. 45. ADMINISTRATIVE AND FINANCE DEPARTMENT FINANCE AND A/C’s DEPARTMENT MANAGER MANAGER ASSISTANTS AND CLERICAL STAFF Finance is an important aspect of business, one of the factors of production. Todayeconomy revolves around money. Finance is concerned not only with effective and efficientutilization of funds. It is vital for the existence of any firm. It is also considered as the lifeblood of an organization. Financial management is very effective in an organization for thesmooth working. For this a special officer is appointed as the finance manager. He isconcerned with procurement of funds and effective utilization of collected funds. Theimportant functions of the finance manager is the collection of the money from customers,payment to the creditors, daily banking of collection and keeping of all records, filling ofreturns payment to advertiser, forecasting of future finance and their availability and so manyactivities related with the finance. The most important function of the accounts department is the preparation of thefinancial statements. Two basic financial statements are prepared for the purpose of externalreporting.1. Balance Sheet2. Profit and Loss account. These statements are recorded in the company’s annual report. For internalmanagement purposes, i.e., planning and controlling, much more information that containedin the public financial statements is needed. The objective of financial statements is to assistin decision-making. 45 CITY COLLEGE
  46. 46. FINANCE: General accounting, Accounts receivable, Accounts payable, Credit, Cost accounting, Budgeting. The PARISONS flour mills was commenced with initial invest of Rs.13 lakh withlong term loan from Kerala State Industrial development Corporation(KSIDC).Rs.24 lakhwere raised by issuing shares and rest as unsecured loans. The group does banking business with most commonly The Federal Bank where theyhave a c/c account with an L.C limit. Apart from them ,they also have business relation withUnion Bank, State Bank Of India(SBI), UTI(AXIS) Bank, State Bank Of Travancore(SBT)and they also have KSIDC for two projects.PAYMENT OF WAGESThe cash department deals with the payment of wages of the workers.PURCHASE OF OFFICE STATIONARY An indent for material is sent to the cash department for the purchase of officestationary. The materials required by the departments are purchased by the cashdepartment and are their send to the particular departments. The indent for material afterthe purchase is there after documented.CONVENTIONS The financial statements are prepared under the historical cost convention inaccordance with accounting standard, that was relevant to the Companies Act of 46 CITY COLLEGE
  47. 47. 1956.Accounts are maintained on accrual basis, except in following cases which aremaintained as cash basis. • Insurance claim • Investment on income tax refund • Dividend from shares 47 CITY COLLEGE
  49. 49. PURCHASE DEPARTMENT PURCHASE DEPARTMENT MANAGER MANAGER ASSISTANCE AND CLERICAL Purchase of goods is a never ending process as long as a factory is in operation. Thepurchase department coordinates with the other departments in the firm and does thepurchase of any commodity procured by them the following process is followed by thepurchase manager while making a purchase: • Preparation of Indent. • Receipt of offers and quotations. • Evaluating the offer technically. • Commercial tabulation of offer. • Getting technical confirmation from indenters. • Technical and commercial negotiation. • Placing the order. • Order confirmation from suppliers. • Dispatch of material by suppliers. • Receipt of material by stores. • Issue of goods receipt note. • Confirmation by factory or intender.PURCHASE PROCESS: 49 CITY COLLEGE
  50. 50. Whenever there is a requirement for raw materials, the purchase department isinformed by the production department through an indent for raw material. Purchase is madefrom approved suppliers only. A purchase order is issued to the supplier detailing the productspecification, date of delivery, price and verification requirements, acceptance criteria,statutory and regulatory requirements, trace ability requirements etc. The purchase orders arereviewed by purchase department for adequacy and correctness as the requirements beforecommunication to the suppliers.PROCEDURE FOR RAW MATERIAL RECEIVING: Raw material received by the company by supplier’s name, item, description,vehicle number, and load number, quantity as per supplier declaration. The incoming rawmaterials are inspected by the security in charge of load will not be accepted and thesupplier’s are duly informed. The material should inspected by the quality control officer’s ofthe time of the Acceptance and ensure the right item should be received from the supplier.The verification should be recorded in the relevant register. The verification is satisfactorythe load should be kept the Warehouse. The inventory, ware housekeeper should be enteredthe amount of raw materials received in the respective stores ledger.RECORD MAINTAINED IN THE PURCHASE DEPARTMENT: • Purchase requisition • Purchase Order • Supplier assessment sheet and ratesRECORDS REQUIRED FOR TRANSPORTATION: • Sale bill or invoice • Delivery note. 50 CITY COLLEGE
  52. 52. LEGAL DEPARTMENT The legal department has a legal adviser, who assists the firm on their legal issues thelegal adviser place the role of a company representative who indirectly pulls the strings inlow on legal issues. They meet up with other members of the legal system and advocate thegroup on their decision making regarding the legal issues concerned with their operations.THEY DEAL WITH ISSUES REGARDING: • Tax maters • Customs issues • Labor issues • Acquisition documentation • Environmental issues • Revenue from buildings owned • Depts. To the company 52 CITY COLLEGE
  54. 54. PRODUCTION AND WAREHOUSING DEPARTMENT PRODUCTION DEPARTMENT PRODUCTION MANAGER Production function of a business is concerned with the creation of a product or aservice. It is the process which converts the raw materials into finished products, required tosatisfy customer needs and desires. Production function operates primarily to satisfy customer demands relating toquality, quantity, price and most importantly the timing of delivery of the product asscheduled in the orders.It must permits production activities to operate in an economical and efficient mannerbecause cost of production is a vital factor in facing the market competition and is ensuringnormal profit or return on investment. This department is individually controlled by each plant separately .this is becauseeach factory ahs got its own production requirements with its own production process andcapacity. Also the plants are located throughout Kerala making centralized productions verydifficult PARISONS has an effective day out of machinery. The machines work around theclock 24 hours a day the plant at Kozhikode was set up in 2000 its capacity hasincrease from 80 tons to 120 tons per day, making it one of the biggest plants in kerala the 54 CITY COLLEGE
  55. 55. plant is build in a four story building. It is in such a way that expansion of capacity can bedone easily it is placed in an area of three acres in west hill, Chunkam touch in the nationalhighway making transportation easier CHAPTER-IV SUMMARY 55 CITY COLLEGE
  56. 56. FINDINGS Company is using outdated machinery for the rice production. Lack of proper advertisement. Good managerial efficiency in very face of the company. Good relation between employer and employee. Quality of row material is not sufficient to compare with other competing company. Improper planning leads to wastage of material. 56 CITY COLLEGE
  57. 57. SUGGESTIONS Appoint experienced and efficient employees to the organization. Proper advertisement should be adopted. Prevent unnecessary wastage of material. Implement new machinery in the factory. Expansion of warehousing. 57 CITY COLLEGE
  58. 58. CONCLUSION All the employees of the organization are contributing their best. PARISONSsuccessfully maintains cordial relationship to every employee. At present, the growth of thePARISONS is rapid as its expansion is a continuous process. In the earlier chapters we saw how the business activity is going on inPARISONS Group of Companies. Earlier chapter deals with the industry profile andcompany profile. Then we go through different departments in PARISONS Group ofCompanies and saw how each department is important in the organization functioning.Disclose the strength and weakness of the company in next pages and we go to the findingsand suggestions. 58 CITY COLLEGE
  60. 60. BIBLIOGRAPHY PARISONS Group annul report 2007 Monthly news letters of the company Brochure of the company Marketing management (PHILIP KOTLER) 60 CITY COLLEGE
  61. 61. 61 CITY COLLEGE