A Study has been conducted in the area of ORGANISATIONAL STUDY of
Brindavan Agro Industries Pvt. Ltd
Background of the Study
Organization is a set of people working together for accomplishment of common
objective. The roles and responsibilities are clearly stated without any ambiguity.
Then the positions occupied by different individual are presented in the form of
organization chart. Organizational structure is essential for the continuity of
machine and co- ordinates and controls the business activities. Organization helps
management to perform its activities effectively, optimum user of technological
improvement growth and diversification, creativity, effective use of physical
resources and HR.
Need of the Study
This study is taken up to fulfill the requirement of MBA degree of Bangalore
University. The training is undertaken during August 2012 to September 2012 and
the main purpose of the training is to know the application of the theoretical
aspects in our course in the corporate environment and gain firsthand experience
and expose ourselves to corporate policies, ethics, culture, practice, procedures,
and facts about the work culture and the policies of the company.
To understand the organization structure or the hierarchy of the company
To understand the working of various department
To enable us to gain an insight into the corporate world to understand the
various responsibilities and duties carried out by each department
The study is aimed at understanding how an organization practically work in
the real situation
Coca cola is a cola (a type of carbonated soft drink, now known as sparkling
drinks) sold in stores, restaurants and vending machines in more than 200
countries. It is produced by the Coca –Cola Company and is often referred to
simply as Coke. Originally intended as a patent medicine when it was invented in
the late 19th
century by john Pemberton, Coca-Cola was bought out by
businessman Asa Griggs Candler, whose marketing tactics led Coke to its
dominance of the world soft drink market throughout the 20th
The company actually produces concentrate, which is then sold to various licensed
Coca-Cola bottlers throughout the world. The bottlers, who hold territorially
exclusive contracts with the company, produce finished product in cans and bottles
from the concentrate in combination with filtered water and sweeteners. The
bottlers then sell, distribute and merchandise Coca-Cola in cans and bottles to retail
stores and vending machines. Such bottlers include Coca-Cola Enterprises, which
is the largest single Coca-Cola bottler in North America and Western Europe .The
Coca-Cola Company also sells concentrate for fountain sales to major restaurants
and food service distributors.
The Coca-Cola Company has, on occasion, introduced other cola drinks under the
Coke brand name. The most common of these are Thumps Up, Limca which has
cover the major market share in India. However, other exist, including Diet Coke
Caffeine-Free, Cherry Coke, Coca-Cola Zero, Vanilla coke and special editions
with lemon and with lime and even with coffee in different part of world.
1.1 The Indian soft drink market
The Indian carbonated soft drink is estimate at Rs. 1800 cores by value 60% of this
is purely Cola market while the non Cola drinks account for the remaining part.
In Indian swigging a carbonated beverage is s till considered a treat, virtually a
luxury. By world standards, India’s per capita consumption of 3 serving is rock
bottom, less even then our neighbors Pakistan and Bangladesh, where it is four
times as much. In US the per capita consumption is 687 bottles/ year
The fizzy drinks industry logged in a 20% growth in 1995, with estimate sales of
140 million cases (one case= 24 bottles of 300 ml each).
Up from 115 million in the previous year
There are 3, 00,000 retailers stocking soft drinks in India. Soft drinks, which retail
at anywhere between Rs.6 and Rs. 10 are expensive when measured against
purchasing power. According to one study, it takes 1.5 hours of work to be able to
buy a bottle in other countries the norm is five minutes.
Coke is the leader in Indian soft drink market with Pepsi at no.2 and CSBII at no. 3
position North Indian accounts for 35% of all carbonated soft drink sales in our
1.2 Coca Cola in India
The Coca-Cola Company entered India in the early 1950’s. It set up four bottling
plants at Bombay, Calcutta, Kanpur and Delhi. In 1950’s as there were negligible
companies in Indian market therefore Coca-Cola did not face much competition
and they were accepted in Indian market more easily. By the end of 1977 Coca-
Cola had captured more than 45% of market share in India. Then Coca Cola left
India following public disputes over share holding structure and import permit. As
per FERA regulation the company’s operation came to an end in July, 1977.
1.3 Return to India
Coca-cola, the corporate nourishing the global community with the world’s largest
selling soft drink concentrates since 1886, returned to India in 1993 after a gap of
16 years giving new thumbs up to the Indian Soft Drink Market. In the same year,
the Company took over ownership of the nation’s top soft-drink brands and
bottling network. No wonder, our brands have assumed an iconic status in the
minds of the consumers.
Ever since, Coca-Cola India has made significant investments to build and
continually consolidate its business in the country, including new production
facilities, waste water treatment plants, distribution systems and marketing
channels. Coca-Cola India is among the country’s top international investors,
having invested more than US$ 1 billion in India within a decade of its presence
and further pledged another US$ 100 million in 2003 for its operations.
1.4 Product Portfolio
Coca-Cola serves in India some of the most recalled brands across the world.
The acquisition of Thumps Up brought some of the leading national soft drinks
like Thumps Up under its umbrella. Following are the 11 products which played
important role in Indian sparkling drink market are as follows:
Minute Maid Pulpy Orange
Kinley Mineral water
Kinley Club Soda
1.5 Coca Cola system uses
24% of world’s aluminium cans.
17% of world’s Pet resin.
31% of world’s HFCS.
5% of world’s sugar.
30% of world’s Aspartame
1.6 Highlights of Coca Cola
Coca cola is world’s No.1 soft drink brand.
4 of top 5 brands are owned by the Coca Cola Company.
Coca sells more than 1 billion drinks a day.
Coca Cola employs more than 55000 people all over the world.
1.7 Technology Used:
Coca Cola uses best available technology for the following process
Cleaning of empty bottles
Filling of bottles
Packaging or Casing
These all process is integrated with each other with help of automatic machines
which are automatically maintained by computer tools or software like CAM
(Computer Aided Machine). Cleaning of bottle4s are maintain by various critical
steps like PSF Filtration, ACF Filtration, 5 Micron Treatment, Chemical dosing,
Chlorination and RO Water Treatment. Latest technology capping machine are use
to maintain the air pressure in a bottle. Well maintain labs in each bottling plant to
check the quality standards by taking regular sample from each batch which on
process. Before filling, strength of bottle is check with the help of pressure and
Carbon Dioxide. Best possible transport are use to maintain the RTM.
1.8 Manufacturing process
Figure : Flow chart of aerated water (Pet) manufacturing process
1.9 Product Quality:
Throughout all of their operations in India, stringent quality monitoring takes place
covering both the source water we use as well as our finished product. All of the
water used for beverage manufacturing conforms to drinking water standards,
making it safe and ensuring that it meets the highest international standards,
including BIS and EU standards for drinking water. We also test for traces of
pesticide in groundwater to the level of parts per billion. This is equivalent to one
drop in a billion drops.
Blowing Rinser Filler Capes
The Coca-Cola Company takes great pride in the fact that we take every precaution
to ensure that our products are world-class and safe for all our consumers.
Testing for pesticides in finished soft drinks is complex and often produces
unreliable and unrepeatable results. For this reason, The Coca-Cola Company
thoroughly treats and tests each of the separate ingredients of its soft drinks before
they are combined to make a finished soft drink. This is an accurate and reliable
way to ensure our soft drinks remain safe.
Technology to test finished soft drinks for pesticides is evolving, however, and The
Coca-Cola Company is currently sponsoring research at one of the world’s leading
laboratories – Central Science Laboratories in the United Kingdom – to develop
the appropriate technology and robust protocols with the objective that will enable
finished soft drinks to be tested for pesticide content in the future.
i. Power: During the peak season around 35,000 crates are being required daily
for this the electricity which is required is (units) 1238440 KWH and in
amount it is Rs. Lac. 57.28 per annum Where rate per unit is 4.63 which is
made available by the nearest electricity board. The company also maintains
sufficient generators for uninterrupted flow of work during power cuts.
ii. Diesel: It is required for generators, Material handling vehicles the unit of
diesel required in a year is 1132960 KWH and kwh/ltr is 3.23 and the amount
per litre is Rs. /KWH is 8.75 it is made available from the nearby depots of the
public sector oil companies such as M/s. Indian Oil Corporation Ltd., M/s.
Bharat Petroleum corporation ltd., M/s. Hindustan Petroleum Corporation ltd.,
iii. Fuel (Furnace Oil) for boiler: it is required for the R.J.B bottles after being
used they are collected and the crates are being sent back to the company they
are not in the condition to be used again so they are washed with the help of
the boiler quantity which is required in a year is 299.33 Kilo ltr total amount is
Rs. Lac 48.22 (approx.) and the Rate/ Kgs. 20.15 (approx.) and the some part
is also required in the preparation of the syrup.
iv. Fire Briquette: These are the wooden logs with some chemical on it and are
used for the boiler and in the preparation of the syrup the Quantity required in
the year is 100.17 kg (approx.) , the total amount (approx.) is Rs. Lac 3.99 and
the rate/ Kgs. is 3.98
v. Transportation: The chemical and other raw material required in the
manufacturing of the aerated water reached the company site and then the
crates of aerated water are being transported by trucks, which are generally
hired from the private parties.
vi. Other Items of cost of Production: The Company makes provisions for other
items of cost of production such as repairs and maintenance, administrative
and selling, depreciation which is as per the company’s act on straight line
bases, deduction for ash/moisture, etc.
1.12 Socially conscious company:
Coca-Cola believes that its business should bring benefit and refreshment to
communities wherever it operates. In India as well, Coca-Cola provides
extensive support for community programs across the country.
Total No. of Consumers based on Age Group
5 to 15 15 to 25 25 to 35 35 to 45 45 to 55 55 to 65 65 to 75
It support community-based primary education projects for marginalized
children in slums and villages, benefiting 50 schools, thousands of students,
over 500,000 villagers and over 10,000 slum dwellers, as well as several
villages near Coca-Cola bottling plants.
It is partner with NGOs as well as the Red Cross to provide free medical
facilities and information to tens of thousands of underprivileged people in
seven states in India as well as several villages near Coca-Cola bottling
By 2004, the company had created a Rainwater Harvesting (RWH) potential
(both inside as well as outside the plant) of 1.42 million cubic meters
(MCM), which is approximately 72% of the groundwater used by CBO’s.
Further the company plans to become "Water Positive" organization (w.r.t to
groundwater used by CBO’s) by 2006. To achieve the same, company plans
to install RWH structures inside the plants as well as outside the plants.
1.13 Users of coca cola:
Figure1. 3: Age wise users of coca cola
INTRODUCTION OF BRINDAVAN AGRO INDUSTRIES
Brindavan Agro Industries Ltd. a well known soft Drink manufacturing Company
under the Franchise agreement with Coca-Cola it was founded by Shri Gulab
Chand Ladhani (managing director) in 1993 at Agra it was the first manufacturing
plant set up by the coca cola under the franchise agreement after its come back
with a gap of 16 years giving new thumbs up to the Indian soft drink market. BAIL
is continuously growing with increasingly diversified projects.
Today a Brindavan agro industry is the top manufacturing unit in India. The group
has entered into a wind mill project in Karnataka and Rajasthan where the power
generation is being done from the natural resources and recently BAIL is going in
the hotel business tying up with the country inns & suites this is the upcoming
project of the Brindavan agro industries ltd.
manufacturing buisness Power buisness Infrastructure
Cold drink & juices
Wind mill project set
up in Karnataka and
Hotel in agra with
the tie up with
country inn hotel.
Figure2.1: Business Activities of the Group
2.1 The Promoter
Brindavan Agro Industries Ltd. is promoted by experienced entrepreneur.
BAIL’s Board is constituted with eminent personalities having experience in
technical, financial and administrative matter. The directors of the company are as
1) Mr. Gulab Chand Ladhani
2) Mrs. Kaushalya Devi
3) Mr. Paritosh Ladhani
4) Mrs. Alka Ladhani
2.2 Bail future plans
Brindavan agro industries is a top manufacturing unit dealing in many diversified
Now the group is planning to make their own portal on the internet to
provide end to end consumer services.
The Group is in the process setting up a new plant in at Kosi Mathura road
to manufacture the juices such as Maaza, Minute Maid pulpy orange at bail
as right now they are purchasing it from other manufacturing units .
The Group is in the process of setting up new hotel in Agra with the
collaboration with the country inn.
MAJOR BRANDS OF COCA-COLA IN INDIA
5. Diet coke
7. Minutemadenimbu fresh
8. Minute maid Pulpy orange
9. Kinley Water
10. Kinley Club Soda
“I WANT MY THUNDER" "THUMPS UP TASTE THE
Thums Up is a leading carbonated soft drink and most trusted brand in India.
Originally introduced in 1977, Thums Up was acquired by The Coca-Cola
Company1993. Thums Up is known for its strong, fizzy taste and its confident, mat
ure anduniquely masculine attitude. This brand clearly seeks to separate the men
from the boys. Glass PET Can200ml, 300ml, 600ml, 1.2L, 2L, 330ml
"DHIKAWE PE MAT JAO APNI AKHAL LAGAO”
Worldwide sprite is ranked as the No. 4 soft drink & is sold in more than
190countries.In India, Sprite was launched in year 1999 & today it grown to be one
of the fastest growing soft drinks, leading the clear lime
category. Today Sprite is perceived as youth icon, why? With a strong appeal to
youth, Sprite has stood for a straight forward and honest attitude. It‟s clearcrisp
refreshing taste encourages the today’s youth to trust their instincts,
influence them to be true to whom they are and to obey their thirst.
“KUCH BH1 HO SAKTA HAI MASTI KA APNA TASTE”
Internationally Fanta - The orange drink of The Coca-Cola Company is seen asone
of the favorite drinks since 1940's. Fanta entered the Indian market in
the year 1993.Over the Years Fanta has occupied a strong market place and is
Identified as "The Fun Catalyst”. Perceived as a fun youth brand, Fanta stands
for its vibrant color; tempting taste and tingling bubbles taste that not just uplifts
feelings but also helps free spirit thus encouraging one to indulge in the moment.
This positive imagery is associated with happy, cheerful and special times with
friends. Glass PET Can200ml, 300ml, 600ml, 1.2L, 2L, 330ml
“JUST TAKE IT EASY”
“Lime „n‟ Lemoni” Limca, Derived from “nimbu” + “jaisa”.. Hence “lime sa”.
Limca has been lived up to its promise refreshment and has been the original thirst
choice of millions of consumers for over 3-decades.Born in 1971 has remained
unchallenged as the No.1Sparkling Drink in the cloudy lemon segment.
Glass PET Can200ml, 300ml, 600ml, 1.2L, 2L, 330ml
ORGANIZATION STRUCTURE AND ORGANIZATION CHART
The design of an organization at structure is a critical task of the top management
of an organization. It is the selection of whole organization. It refers to
organizational arrangement and relationships. It prescribes formal relationship
among various positions and attitudes. Arrangement about reporting relationship,
how an organization members are all part of organization structure.
Operations are mainly classified into four:
MARKET & OFFICE WORKING OF THE CCI IN AGRAREIGION
(2) Mr. Ajay Shrma4.
(2) Mr. Krishn Veer
FUNCTIONAL DEPARTMENT OF THE
1. Human Resource Department
The HR department performs the role of recruiting the efficient employees and
financial consultants for the company. It gets the resume of applicants and
processes it to check for its eligibility criteria, after that put that resume for the
further processing of selection.
2. Marketing Department
Marketing department takes care of the marketing of all the products of the
company. It helps in the increase of the business. It plays the major role in making
the people aware of their product. It concentrates on making the strategies of how
to increase the sales of the products.
3. Sales Department
Controlling the sales force that brings the business to the company. Maintain the
regular flow of information about the product. These are sales manager only who
see after the acquiring and maintaining their agents.
4. Finance Department
This department keeps the proper track record of all the transactions taking place.
It maintains the record of all the insurance policies being issued and their premium
Market-Product Focus Marketing and Product Objectives
The Coca Cola Company is successful in selling many of its products, however,
there still be aspects that can be further improved. The first of these areas is that
there are many products that are not as well known as the major brands of
beverages, the well know Coca Cola, Sprite, Nestea, and Power Ade. One of our
objectives is to promote the lesser-known products under Coca-Cola Enterprises to
be more successful. In the next two years (by 2008), it is plan that an 100% sales
increase will occur in such products as, Full Throttle, Hi-C,
And Disney’s Hundred Acre Woods. In order to achieve these goals we plan to
Focus more attention to the advertising of such products. The result of this will be
an increase in sales for Coca-Cola Enterprise
s, an increase in Coca Cola’s
market share, as well as a decrease in sales for other competitors. A second
objective is to reposition Coca-Cola to be a healthier product. This is because
consumers today are looking to lead healthier lives, choosing substitution goods.
Coca Cola has many different drinks, such as Minute Maid, and many different
types of fruit juice beverages. These products contain many vital nutrients, such as
Vitamin C. They have also received a health check from the Heart and Stroke
Foundation, which the Coca Cola Company supports financially. It is planned for
such information to be released to the public and by 2008; Coca Cola Enterprises
would be repositioned as a healthier company
in the consumers’ minds. It is planned that by 2008, a
regarding favorite beverages will reveal that Coca Cola Enterprises‟ products
rank number one among the vast majority of consumers.
The Coca Cola Company spends a great deal of their time and effortsfocusing on
the advertising of there well known drinks such as Coca Cola Classic, Coke Zero,
Sprite, etc. In fact within the past couple of months coke zero has come up with
two separate promotions. One was that upon purchase of any Coca Cola product
you receive a mini 241mL can of Coke Zero, and currently upon purchase of a
Coke Zero you get your name entered in a draw to win either a Maple leafs Jersey
or a Maple Leafs Sweatshirt. Also you see television ads for Coca Cola Classic,
with the polar bears, and sprite. In relation to Pepsi and Kraft, this positioning is
different because few of our products are widely known whereas most of Pepsi’s
and Kraft’s are.
Molson Coors is actually similar to Coca Cola in the current positioning
because they as well focus on a few products. We are going to change our focus
this year. Coca Cola in the eyes of many people is seen as an unhealthy
beverage. This year we are going to try to promote the healthier side of Coca
Cola. We will not change the recipe for any products but simply promote are less
known products with more effort. As well we are trying to get Coke to replace
coffee, because of this we are going to be promoting the energy aspect of coke
.People drink coffee to give them energy for the day and we want them to drink a
Coca Cola product instead. These smaller less known brands will hopefully
become more widely known. We are also going to be focusing on the healthy
products, promoting the diet, low calories and juice drinks. In relation to Pepsi and
Kraft, we are actually positioning our products closer to the way that they are. The
positioning of Molson Coors will become less similar as we promote more and
Product 1: Full Throttle
Drink Type: Energy Description: Full Throttle gives its drinkers a quick boost of
energy that is provide through ingredients, including ginseng extract, caffeine,
taurine,guarana extract, and vitamin B. This drink is also available sugar-free.
Product 2: Hi-C
Drink Type: Juices/Juice Drinks Description: A brand of fruit juices that includes
Hi-C Drink Box, Hi-C Blast, and Hi-C Sour Blast that is enjoyable in any
circumstance. Real fruit made, real fruit flavor, and is fortified with 100% vitamin
C. Available in a wide variety of flavors to accommodate all. Flavors include: I-C
Blast: Fruit Punch, Wild Berry, Raspberry Kiwi, and Blue Watermelon. I-C Sour
Blast: Wild Cherry, Green Apple, and Strawberry-
C Drink Box: Flash‟ Fruit Punch, Smashin‟ Wild Berry, Orange Lavaburst,
Grabbin‟ Grape, Blazin‟ Blueberry, Torrential Tropical Punch, Shoutin‟
Orange Tangergreen, Wild Cherry, Poppin‟ Lemonade, Boppin‟ Strawberry, and
Strawberry Kiwi Kraze,
Product 3: Coca-Cola Zero
Drink Type: Soft Drink Description: A new drink fashioned after the most popular
and biggest-selling soft drink in history, as well as the best-known product in the
world, Coca-Cola. Coca-Cola Zero provides its consumers with all the great taste
of Coca-Cola Classic but with no calories.
Product 4: PowerAde Option
Drink Type: Sports Description: An adjustment to the original PowerAde.
PowerAde Option provides all of the great taste and hydration as the original
PowerAde, but with80% less calories. PowerAde Option provides all of the
essential electrolytes and vitamin B that is lost through sweat. Available in Black
Cherry, Lemon, and Strawberry.
Product 5: Nestea Light
Drink Type: Tea Description: Nestea is a unique blend of tea and fruit flavors that
provides are freshing sensation. Nestea Light is fashioned similarly, preserving all
of the flavors, however, with significantly less calories. Flavors available are
Lemon, Peach, and Tangerine.
Product 6: Dasani
Drink Type: Water Description: A bottle of pure, essential, and refreshing water.
Deliciously quenches your natural thirst
Product Safety & Quality
The global nature of our business requires that the Coca-Cola system has the
highest standards and processes for ensuring consistent product safety and quality
from our concentrate production to our bottling and product delivery.We measure
key product and package quality attributes to ensure our beverage products in the
marketplace meet Company requirements and consumer expectations. Consistency
and reliability are critical to our product quality and to meeting global regulatory
requirements and Company standards.
INVENTORY MANAGEMENT AT BRINDAVAN AGRO INDUSTRIES
Inventory management at bail plays an crucial in role in the proper functioning of
the organization as it’s an manufacturing unit so the whole function depends on the
proper management of the inventory in the organization. The techniques which are
followed by the bail are the A B C system in which the product which consist of
high investment comes in the group A and these are bought in the less quantity as
at bail the base or the concentration came in the group A, Performers, carbon
dioxide comes in the group B and salt, sugar, crowns comes in the group C. The
another technique which is used at bail is the Economic order Quantity (EOQ) the
inventory is managed by maintaining the three level that is minimum level,
maximum level and the re-order level.
Raw Material procurement, storage & Issue Procedure
PURPOSE: To ensure that the quality and integrity of raw material and final
products are maintained during storage ensures & maintain the quantity for
Raw material procurement produces for new item
There are several techniques to proceed the material which is being used ain the
manufacturing at the first approval by the coca cola India. It approved the new item
than supplier send sample for the same stock and then these samples are being
checked in their labs. Then after approval of the samples they create the demand
and made the availability of the bin and then define the minimum, maximum and
the reorder level.
DESCRIPTION: All ingredients and material must be stored to protect their
integrity and eliminate the possibility of the deterioration, contamination, or cross
contamination. They should be stored separately in cool, clean, insect free and
rodent proof areas. Free from microbiological contamination and on clean, dry
pallets in good repair.
Material should be clearly labeled and stored away from each other and in rooms
separate from ingredients to ensure proper identification and to avoid
contamination. Proper first in first out (FIFO) stock rotation of all ingredients and
material should be practiced.
Receive the material bill and check for gate entry stamp.
Verification of the bill, then the entry is allowed with the bill
The trucks are being send with the helper for the weighing
Receive the weighing step
Labours are called to unload the trucks
Representative takes the sample and make the entry to the sample register
Send sample register and sample to QA department for QA checks
Receive QA remarks if ok, go for unloading, otherwise reject as per QA
Unload the material and stock properly
After unloading again send the vehicle for weighing and receive weighting
Prepare GRA accordingly and maintain stock ledger
Send excise bill copy to excise department
GRA along with bill to be send to QA department for quality remarks
Receive signs GRA from QA department and send it to PM for approval
Make GRA entry to bill register
Send bills to accounts departments along with labour bills for payment.
Cash management at bail
The corporate headquarter at gurgaon control the activities and decision making for
the entire company as a whole. Departments of finance looking after the purchase
accounting related activities also the regional offices competent and exercised
personnel are appointed. The finance department is headed by Mr. Sablok, a
chartered accountant with his wide and varied experience he is guiding the
activities of the department. The company determines its cash level by minimum
and optimum cash balances. It is determined on the bases of cash outflow and
salary dates. Cash budgeting is done in the company on monthly bases. The cash
flow statement is prepared for capital and revenue operation through cash from
operation, flow of cash and working capital changes. The finance department is
responsible for overall cash management operations. Their responsibilities includes
ensuring cash sufficiency, avoiding overdrafts, assuring cash operations in
accordance with the approved budget and making cash flow analysis. The cash
management has helped the company in elimination of delays in receipt of funds
the head office, considerable reduction in inter-office transfer of funds, elimination
of difficulties in accounting and idle pockets. To control cash flows the company
periodically reviews and seek reports about cash availability and its requirement,
mobilising collection and staggering payments, by disposing off each cash of
payment on merit by comparing the actual expenditure with budgeted figures and
taking corrective action, and by maintaining minimum cash balances.
Cash flow management at bail
a) Payment to suppliers
Suppliers of stores and spares after delivering the materials to the factory
send their bills to company for payment. The bills sent to the purchased
department are forwarded to the finance department who actually
processes the payment. Before releasing the payments finance
department ensures that:
1) There is a valid purchase order for the material.
2) Whether a copy of delivery/memo challan is attached to the bill.
3) The delivery of memo contains sign of “received” by the stores department
for the said material.
4) The material is of given standard quality and quantity.
If the above mentioned points are ensured then the finance department will
release the payment to supplier on due date.
b) Payment for expenses:
Expenses of miscellaneous nature are always incurred by the company, on account
of say, purchase of stationary, petrol expense, telephone expenses, postal expenses,
etc. the payment of these are made by the finance department. Thus, the dual
checking by two departments is established which is one of the important requisite
of internal control.
The other internal controls as regard payment for expenses are as follows:
a) Purchase of stationary
Before making payment to suppliers the finance department ensures that:
1. Whether some authorised person from the purchase department has received
the goods supplied.
2. Whether the order issue to the supplier has been approved by the head of
3. Whether the rates changed are as per the rates approved.
b) Control of branch expenses:
Branches have to maintain proper books of accounts as regards to
expenditure incurred by them to meet the various administrative expenses.
At the beginning of every financial year a budget for the year’s total expense
under various heads of expenditure is prepared by the regional manager and
put to the finance department in charge for approval. The finance chief after
due deliberations, approves the budget and a copy of the sanctioned budget
is sent to the respective branches.
The branches have to prepare a detailed expenditure known as petty cash
abstract statement on fortnightly basis. Copy of this statement has to be sent
to finance department at head office at gurgaon. The finance department at
head office thoroughly checked the expense statements with supporting
vouchers. Whether there are deviations from the laid down standard or limits
for expenses then such vouchers are put up to general manager, marketing
for special approval. A statement is also prepared giving details of amount
spent under the various heads of expenses and this is compared with the
amount budgeted for the particular head of income. If the deviations are high
then the branch manager may be asked to give proper explanation
2012 2011 2010 2009 2008 2007
Particulars Mar2012007 Mar 2006 Mar 2005 Mar 2004 Mar 2003 Mar 2002
SOURCES OF FUNDS :
Share Capital 3.17 3.17 3.17 3.17 3.17 3.00
Reserves Total 16.14 14.31 11.66 9.67 7.45 8.52
Equity Share Warrants 0.00 0.00 0.00 0.00 0.00 0.00
Equity Application Money 3.25 3.25 0.00 0.00 0.00 0.00
Total Shareholders Funds 22.56 20.73 14.83 12.84 10.62 11.52
Secured Loans 20.92 18.77 11.35 5.99 6.26 2.11
Unsecured Loans 9.10 11.27 11.09 10.73 7.50 5.01
Total Debt 30.02 30.04 22.44 16.72 13.76 7.12
Total Liabilities 52.58 50.77 37.27 29.56 24.38 18.64
APPLICATION OF FUNDS :
Gross Block 85.33 82.38 57.36 44.64 33.25 23.94
Less : Accumulated Depreciation 31.33 23.06 16.23 11.17 7.05 5.93
Less:Impairment of Assets 0.00 0.00 0.00 0.00 0.00 0.00
Net Block 54.00 59.32 41.13 33.47 26.20 18.01
Lease Adjustment 0.00 0.00 0.00 0.00 0.00 0.00
Capital Work in Progress 0.00 0.00 0.00 0.00 0.00 0.00
Producing Properties 0.00 0.00 0.00 0.00 0.00 0.00
Investments 0.00 0.10 0.00 0.00 0.00 0.00
Current Assets, Loans & Advances
Inventories 3.77 4.30 5.24 5.85 2.70 1.58
Sundry Debtors 0.54 0.65 0.35 0.14 0.08 0.08
Cash and Bank 6.35 6.88 7.79 14.26 9.15 5.51
Loans and Advances 2.31 1.32 1.81 4.53 4.64 1.84
Total Current Assets 12.97 13.15 15.19 24.78 16.57 9.01
Less : Current Liabilities and
Current Liabilities 4.76 13.22 11.65 22.53 13.51 8.20
Provisions 0.85 0.91 0.47 0.57 0.42 0.29
Total Current Liabilities 5.61 14.13 12.12 23.10 13.93 8.49
Net Current Assets 7.36 -0.98 3.07 1.68 2.64 0.52
Miscellaneous Expenses not written
0.07 0.03 0.05 0.07 0.09 0.11
Deferred Tax Assets 3.23 3.86 0.23 0.00 0.54 0.00
Deferred Tax Liability 12.08 11.56 7.21 5.66 5.09 0.00
Net Deferred Tax -8.85 -7.70 -6.98 -5.66 -4.55 0.00
Total Assets 52.58 50.77 37.27 29.56 24.38 18.64
Contingent Liabilities 0.00 0.00 0.00 0.00 0.00 0.00
STRATEGIC FOCUS AND PLAN
The world is changing all around us. To continue to thrive as a business over the
next ten years and beyond, we must look ahead, understand the trends and forces
that will shape our business in the future and move swiftly to prepare for what's to
come. We must get ready for tomorrow today. That's what our 2020 Vision is all
about. It creates a long-term destination for our business and provides us with a
"Road map" for winning together with our bottling partners.
Our Road map starts with our mission, which is enduring. It declares our purpose
as a Company and serves as the standard against which we weigh our actions and
To refresh the world...
To inspire moments of optimism and happiness...
To create value and make a difference It is our mission at Coca Cola to
refresh and completely satisfy the world .We will give and provide supreme
quality for an affordable price. We will be consistent in and true in what we
do well. We will work to our potential and always seek out the best in
everything we do. One hundred percent commitment is what we will provide
to consistently get better. We will always treat our customers, our associates,
our employees, and anyone we interact with, with the utmost respect,
honesty and integrity. It is our mission, to give all people hope and
inspiration in all that they do. It is our mission…to make a difference.
Our vision serves as the framework for our Road map and guides every aspect of
our business by describing what we need to accomplish in order to continue
achieving sustainable, quality growth.
People: Be a great place to work where people are inspired to be the best they can
Portfolio: Bring to the world a portfolio of quality beverage brands that
Anticipate and satisfy people’s desires and needs.
Partners: Nurture a winning network of customers and suppliers, together we create
mutual, enduring value
Planet: Be a responsible citizen that makes a difference by helping build and
support sustainable communities
Profit: Maximize long-term return to share owners while being mindful of our
Productivity: Be a highly effective, lean and fast-moving organization It is our
vision to make a bottle of Coca Cola available within arm’s reach of every person
on the world. We also strive to maximize the return to stockholders, as efficiently
as possible. We look to provide a great work environment with positive and
successful attitudes. We will always be providing all people with the opportunity to
purchase a large variety of beverages that will fulfill a person’s required desire. It
is our vision to promote good ethics and responsibilities to the public eye to create
a better Earth. We are always looking to grow as a company and continue to build
a winning network. It is our vision to be a fair and responsible organization that
treats its business partners and customers well.
FOCUS ON THE MARKET
Focus on needs of our consumers, customers and franchise partners
Get out into the market and listen, observe and learn
Possess a world view
Focus on execution in the marketplace every day
Be insatiably curious
Our goals at Coca Cola involve both financial and non financial targets that we
will be striving for. We know that it is vital to list out our goals and planed route of
action to complete these goals. First off, the non-financial goals, we aim to make
Coca Cola appear healthier and lower risk. Coca Cola has received a bad
reputation that is not fully justified. We have many other products that are healthy
and it is our goal to advertise these products and make them more popular so the
people can be satisfied. Also we will be looking to replace coffee. Obviously we
are not looking to replace it completely but rather promote the energy side of some
of our beverages and let it be known that some our products can have the same
effect that coffee has. Advertising more is something else that we will be looking
to do. Many people are unaware of everything we have going on at Coca Cola and
we aspire to spread the knowledge so that more people can enjoy what we have to
offer. Furthermore, we set as a goal for the world to know why Coke is better than
Pepsi and thus strive to put this in the minds of society so they can purchase our
product more often. One financial goal that we are setting is at least 100% sales
increase over the next two years targeted for our lesser know products. This fits in
to our other goal of constantly increasing profit and financially growing as a
Coca Cola is an extremely recognizable company. Popularity is one of its
superior strengths that are virtually incomparable. Coca Cola is known very
It’s branding is obvious and easily
recognized. Things like, logos and promos shown on t-
shirts, hats, and collectible memorabilia.
Without a doubt, no beverage company compares to Coca Cola’s social
popularity status. Some people buy coke, not only because of its taste, but
because it is widely accepted and they feel like they are part of something so
big and unifying.
At the other end of the spectrum, certain individuals choose not to drink
coke, based solely on rebelling from the world's idea that coke is something
of such great power. Overwhelming is the best word to describe Coca Cola's
popularity. It is scary to think that its popularity has been constantly growing
over the years and the possibility that there is still room to grow.
If you speak the words “Coca Cola”, it would definitely be recognized all
around the world.
Money is another thing that is strength of the company. Coca Cola deals
with massive amounts of money all year. Like all businesses, they have had
their ups and downs financially, but they have done well in this compartment
and will continue to do well and improve. The money they are earning is
substantially better than most beverage companies, and with that money,
they put back into their own company so that they can improve.
Another strength that is very important to Coca Cola is customer loyalty.
The80/20 rule comes into effect in this situation. Eighty percent of their
profit comes from 20% of their loyal customers. Many people/families are
extremely loyal to Coca Cola. It would not be rare to constantly find bottles
and cases of a product such as coke in a house. It seems that some people
would drink coke religiously like some people would drink water and milk.
This is an improbable feat. Customers will continually purchase these
products, and will probably do so for a very long time.
If two parents were avid Coca Cola drinkers, this will be passed down do
their children as they grow loyal to the company. With Coca Cola’s ability
to sell their product all over the world, customers will continue to buy what
they know and what they like…Coca Cola products.
Coca Cola is a very successful company, with limited weaknesses. However they
do have a variety of weaknesses that need to be addressed if they want to rise to the
next level. Word of mouth is probably a strength and weakness of every company.
While many people have good things to say, there are many individuals who are
against Coca Cola as a company, and the products in which they produce. Word of
mouth unfortunately is something that is very hard to control.
While people will have their opinions,
you have to try to sway their negative views. If bad comments and views areput
out to people who have yet to try Coca Cola products, then that could produce a
lost customer which shows why word of mouth is a weakness. Another aspect that
could be viewed as a weakness is the lack of popularity of
many of Coca Cola’s drinks. Many drinks that they produce are extremely
Popular such as Coke and Sprite but this company has approximately 400different
drink types. Most are unknown and rarely seen for available purchase. These
drinks do not probably taste bad, but are rather a result of low profile or
nonexistent advertising. This is a weakness that needs to be looked at when
analyzing their company. Another weakness that has been greatly publicized is the
health issues that surround some of their products. It is known that a popular
product like coke is not very beneficial to your body
and your health. With today’s constant shift to health products, some products
could possibly loose customers. This new focus on weight and health could be a
problem for the product that are labeled detrimental to your health.
Coca Cola has a few opportunities in its business. It has many successful brands
that it should continue to exploit and pursue. Coca Cola also has the opportunity to
advertise its less popular products. With a large income it has the available money
to put some of these other beverages on the market. This could be very beneficial
to the company if they could start selling these other products to the same extent
that they do with their main products. Another opportunity that we have seen being
put to use before is the ability for Coca Cola to buy out their competition. This
presents itself in the world of business. However, with Coca Cola‟
s power and success, such a task is not impossible. Coca Cola has bought out a
countless number of drink brands. An easy way to turn their profit into your profit
is too buy out their company. Even though this may cost a vast amount of money
initially, in the long run, if all goes to plan, it results in a large profit. Also, the
company will no longer need to worry about this product being part of the
competition. Brand recognition is the significant factor affecting Cokes
competitive position. Coca Cola is known well throughout 90% of the world
population today. Now Coca Cola wants to get there brand name known even
better and possibly get closer and closer to 100%. It is an opportunity that most
companies will ever dream of, and would be a supreme accomplishment Coca Cola
has an opportunity to continue to widen the gap between them and their
Despite the fact that Coca Cola dominates its market, it still has to deal with many
threats. Even though Coca Cola and Pepsi control nearly40% of the entire beverage
market, the changing health-consciousness attitude of the market could have a
serious effect on Coca Cola. This definitely needs to
be viewed as a dominant threat. In today’s world, people are constantly trying
to change their eating and drinking habits. This could directly affect the sale of
Coca Cola’s products. Another possible issue is the legal side of things. There
are always issues with a company of such supreme wealth and popularity.
Somebody is always trying to find fault with the best and take them down. Coca
Cola has to be careful with lawsuits. Health minister could also be looked at as a
threat. Again, some people may try to exploit the unhealthy side of Coca
Cola’s products and could threaten the status and success of sales. Other
threats are of course the competition. Coca Cola’s main competition being
Pepsi, sells a very similar drink. Coca Cola needs to be careful that Pepsi does not
grow to be a more successful drink. Other product such as juices, coffee, and milk
are threats. These other beverage options could take precedent in
some people’s minds over Coca Cola’s beverages and this could threaten the
potential success it presents again.
EXTERNAL MARKETING ENVIRONMENT(PEST ANALYSIS)
Political Analysis for Coca-Cola
Non-alcoholic beverages fall within the food category under The FDA. The
government plays a role within the operation of manufacturing these
products in terms of regulations. There are potential fines set by the
government on companies if they do not meet a standard of laws. The
following are some of the factors that could cause Coca-Cola company's
actual results to differ materially from the expected results described in their
underlying company's forward statement:-
Changes in laws and regulations, including changes in accounting standards,
taxation requirements, (including tax rate changes, new tax laws and revised
tax law interpretations) and environmental laws in domestic or
Changes in the non-alcoholic business environment. These include, without
limitation, competitive product and pricing pressures and their ability to gain
or Maintain share of sales in the global market as a result of action by
Political conditions, especially in international markets, including civil
unrest, government changes and restrictions on the ability to transfer capital
across borders. Political structure and legal considerations also have
impinged on Coco-Cola company’s strategies. Governments of some Arab
nations boycotted Coca
Cola’s products due to a political dispute and discontented with the
for maintaining distributors in Israel.
Technological Analysis for Coca-Cola
Some factors that cause company's actual results to differ materially from
the expected results are as follows:
The effectiveness of company's advertising, marketing and promotionalprogr
ams.The new technology of internet and television which use special effects
for advertising through media. They make some products look attractive.
This helps in selling of the products. This advertising makes the product
attractive. This technology is being used in media to sell their products.
Introduction of cans and plastic bottles have increased sales for Coca-Cola
asthese are easier to carry and you can bind them once they are used.
As the technology is getting advanced there has been introduction of new
machineries all the time. Due to introduction of this machineries the
production of the Coca-Cola company has increased tremendously then it
was few years ago
Coca-Cola has six factories in Britain which use the most state-of the-art
drinks technology to ensure top product quality and speedy delivery.
Europe's largest soft drinks factory was opened by CCE in Wakefield,
Yorkshire in 1990. The Wakefield factory has the technology to produce
cans of Coca-Cola faster than bullets from a machine gun
Findings and Conclusions
Most retailers in rural areas, as well as in urban area are satisfied with the
I n r u r a l a n d u r b a n a r e a , mo s t l y r e t a i l e r s s e l l t h e
p r o d u c t o f t h a t company whose chilling equipment they have.
In mostly area, company does not replace the company’s damages
while its competitor “Pepsi” replaces the damage items.
All soft drink products are highly sold in summer season.
Different schemes offered to the different major outlets.
This has created a jealousy factor among them.
Availability of racks is less in urban area.
A l mo s t i n e v e r y a r e a , mo s t l y r e t a i l e r s h a v e t h e i r o w n c
h i l l i n g equipment.
A unique and recognised brand - Coca-Cola is among the most recognised
trademarks around the globe.
Quality - consistently offering consumers products of the highest quality
Marketing - delivering creative and innovative marketing programmes
Global availability - Coca-Cola products are bottled and distributed
The Coca-Cola Company has built internal and external structures to support
the delivery of its business goals
Suggestion and Recommendations
Company should have direct communication with retailers in rural
area as well as in urban area. Company should open separate section, in their
office, for direct communication with the retailers.
C o m p a n y s h o u l d p r o v i d e p r o p e r i n f o r m a t i o n o f t h e
c o m p a n y schemes. So that retailers get more benefit from the schemes.
Company should provide more facilities, to the retailers, like
their competitor “Pepsi”.
C o m p a n y s h o u l d p r o v i d e m o r e c h i l l i n g e
q u i p m e n t s a n d merchandising material to the retailers of
all area. Especially to the retailers who cannot buy their own
chilling equipment but has a very good sale.
The company should lay emphasize on the advertisement of
Limca,Fanta, Maaza, Thums up and sprite.
Company should give more facilities to the retailers who sell only the coke
Company should send his mechanic, on time, to repair the chilling
Company should provide proper training to the salesman.
Company should take consideration of the behaviour of the
Company should provide more chilling equipment to the retailers
of rural area.
The Coca-Cola Company has built internal and external structures to support
the delivery of its business goals.
The regional structure is the best way of supporting this growth, allowing
attention to local requirements while at the same time building on a clear
strategic direction from the centre.
A culture of innovation, teamwork and partnership means that the Company
has a firm foundation of relationships and open communication channels on
which to build its growth.
It gave good amount of exposure mainly because after being trained,
trainees were given an opportunity to carry out the process there
g o o d u n d e r s t a n d i n g o f b e h a v i o u r o f customers when placed in
www.cocacolaindia.com.................................…….Website of the Company