ORGANIZATION STRUCTURE

ORGANIZATION STRUCTURE

BOARD OF DI

EXE.DIRECTOR

MAG.DIRECTOR

WHOLETIME DR

GENERAL MGR

FINAN.MGR

PUR. MGR

PER.MGR

MKT.MGR

QTY.MGR

PRO.MGR

CHIEF.NUTRI ASSTA/C MGR SHARE.DEP T EXE.OFF

SECUTIY.OFF
ASST.MGR

ASST.FIN.MGR

EXE.OFFICER
OFFICER ASST.SALES MGR CUSTOMER SERVICE CHEMIST CLERK

EXE.OFFICER

OFFICER

OFFICE.ASST

OFFICE.ASST SECU. SUPER VISION SALES.EXE LAB.ATTEN

CLERK

CLERK SECU.GUARD OFFICE.ASST SALES SUPERVISOR

CLERK OFFICER

SALES REPRESENTATIVE

ENGINEER

ASST.PLANT.ENGR RR MAINTENANCE FOREMAN

ELECTRICAL FOREMAN STORES OFFICER ELE. SUPERVISOR STORES SUPERVISOR ELECTRICIAN

GODOWN EXE

GODOWN SUPERVISOR

GODOWN ASST STORES CLERK

BOILER OPR

MAIN.OPR ELE.ATTEND WORKER WORKER

ASST.OPR

ASST.OPR

PLANT ATTN

WORKER

SHIFT ENGR

CATTLE FEED OPR SOLVENT OPERATOR ASST.OPR ASST.OPR ASST.OPR REFINING PLANT OPR

WORKER WORKER

WORKER

Chapter 2
HUMAN RESOURCE DEPARTMENT

HUMAN RESOURCE DEPARTMENT

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FLOW OF AUTHORITY
HUMAN RESOURCE MANAGER

EXECUTIVE OFFICER

SECURITY OFFICER

OFFICER

SECURITY SUPERVISOR

JUNIOR OFFICER

SENIOR SECURITY GUARD

SENIOR ASSISTANT

SECURITY GUARD

OFFICE
ASSISTANT

WATCHMAN

CLERK

The Personnel department was seen as a place where the lesser productive employees could be placed with minimal damage to the organization ongoing
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operation. Individuals in the personal department were perceived as those responsible for planning company picnics, vacation schedules and retirement parties. Personnel as an activity were seen as a necessary but unimportant part of the organization. Fortunately things have changed for the better and the status of the personnel department has improved enormously over the years.

Personnel department is the main and most important department of a manufacturing concern.

FUNCTIONS OF PERSONNEL DEPATMENT

1. Recruitment 2. Man power planning 3. Welfare functions 4. Grievance handling 5. Discipline 6. Industrial relations 7. Public relations 8. Job description 9. Job analysis 10. Job specification 11. Training 12. Performance appraisal

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EMPLOYEE SELECTION PROCEDURES

Employees are selected strictly based on their educational qualification, work experience technical know-how and age. Company will do the recruitment by giving ads in newspapers, through employment exchange, and by promoting its on employees based on their performance.

REMUNERATION
There are three types of wage earners: -

A) UNSKILLED BUT PERMANENT WORKERS GETS DAILY B) BADALI WORKERSWAGES ON WEEKLY BASIS

WAGES

C) OFFICE STAFFSALARY ON THE LAST WORKING DAY OF EVERYMONTH

SALARY CONSIST OF
1) BASIC PAY
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2) 3)

FIXED DEARNESS ALLOWANCE VARIABLE DEARNESS ALLOWANCE

ALLOWANCES 1) DEARNESS ALLOWANCE

This is given to permanent employees. D.A is divided into two Classes:a) Fixed DA: Calculated at the rate of 15% of basic salary b) Variable DA: Based on cost of living index published by govt of Kerala

2) CONVEYANCE ALLOWANCE 3) WASHING ALLOWANCE 4.) CANTEEN SUBSIDY 5.) LEAVE & TRAVEL ALLOWANCE 6.) HOUSING SUBSIDY 7) SHIFT ALLOWANCE 8) OVERTIME ALLOWANCE 9) SCHOLORSHIP FOR EMPLOYEES CHILDREN 10) EMPLOYEE WELFARE FUND

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STATUTORY LIABILITIES

1)

PROVIDENT FUND: From the basic salary the company and the employee

channelise 12% into the provident fund a/c equally. Out of the 12% contributed to P.F fund 8.33% are transferred to the pension a/c.

2)

EMPLOYEES STATE INSURANCE: The Company pays about 4.75% of total

salary of employees to E.S.I. The employee pays a contribution of 1.75% of total salary.

3)

GRATUITY: An employee needs minimum 5 years of service to avail this fund BONUS: It varies according to their grades.

4)

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TRADE UNION
In this company there are 4 recognized trade unions like INTUC, CITU, BMS. A committee consisting of Chairman, Managing director, Whole time Executive Directors, General Manager, Works Manager and Personal Manager approve the demands of workers.

WORKERS WELFARE ACTIVITIES

The company established a trust known as Employees welfare trust in which 20 Rs is paid both by the employees and the company every month. Additional funds are provided to employees during the death of employee, or in case of employees siblings marriage.

SAFETY MEASURES

FOR SAFETY OF WORKERS AT PLANT, THEY ARE PROVIDED WITH 1) 2)

3)

MASK FIRST AID FACILITY DUST EXTRACTION SYSTEM in plant, which helps to suck the dust arising at

the time of production.

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LEAVE

1) CASUAL LEAVE: 9 DAYS FOR WORKERS AND FOR STAFF IS 11. 2) PRIVILAGE LEAVE: 15 DAYS PER YEAR. 3) SICK LEAVE: UPTO 90 DAYS.

RETIREMENT

Retirement age of employees is 58 years.

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Chapter 3

MARKETING DEPARTMENT

MARKETING MANAGER

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18

The company must design a marketing organization that can carry out marketing strategies and plans. If the company is very small, one person might do all of the research, selling, advertising, customer service and other marketing activities. As the company expands a marketing department emerges to plan and carry out marketing activities.

The most common form of marketing organization is the functional organization in which a functional specialist heads different marketing activities are headed by a functional specialist, a sales manager, advertising manager, marketing research manager, and customer service manager.

Managing the marketing function would be hard enough if the marketer had to deal only with the controllable marketing mix variables. But the company operates in a complex marketing environment consisting of uncontrollable forces to which the company must adopt. The environment produces both threats and opportunities. The company must carefully analyze its environment so that it can avoid the threats and take advantage of the opportunities.

IN THE COMPANY

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The department headed by marketing manager and under him there are two assistant managers one for sales dispatch and other for customer service and sales promotion. The company incurs less advertisement cost. As for the kind of products its advertisement needs a different way of promoting its products. The company gives dealer board to dealers as an advertisement for their product. The other advertisements used are

1) Product pamphlet 2) Notices 3) Cinema slides 4) Cloth banners 5) Wall paintings 6) Yearly calendars.

SELECTION OF DEALER

The field staff under assistant customer service and complaint manager will evaluate the dealer on the basis of his financial capabilities and the scope of demand of products in the area. If the dealer doesnt buy at least one load of cattle feed in row of 3 month, automatically the company will terminate his dealership.

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PRICING METHOD

In the case of oil price is based on Cochin market .the price is based after evaluating of raw material and procurement and storage costs plus profit.

DISTRIBUTION

There are two types of distribution 1) cost. 2)

EX FACTORY RATE --- company need not bear the transportation and insurance RATE AT DESTINATION --- company need to bear the transportation &

insurance cost.

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Chapter 4

PRODUCTION DEPARTMENT

FLOW OF AUTHORITY
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PRODUCTION MANAGER

ENGINEER

ASST. PLANT ENGINEER

MAINTENANCE FOREMAN

ELECTRICAL FOREMAN

STORE OFFICER

GODOWN EXECUTIVES

SHIFT ENGINEER

BOILING OPERATOR

ELECTRICAL SUPERVISOR

STORE SUPERVISOR

OFFICER

MAINTENANCE OPERATOR

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The core of a production system is its conversion sub system, where in workers, materials and machines are used to convert inputs into product and services. This process of conversion is at the heart of production function and is present in some form in all organization .It may be stated that every organization irrespective of its purpose , has a production function where departments and personnel play a central role in achieving the objectives of the organization .

FUNCTIONS

Production process Employee supervision Maintenance of machines Quality assurance Production plan Production control Maintaining a hygiene work place Management of different shifts of employees, Maximizing the production with minimum resource

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In KSE, production takes place in 3 plants.

1) 2) 3)

Solvent Extraction Plant Cattle Feed Plant Refining plant

SOLVENT PLANT

The raw material used by the company in this plant is the re oiled coconut cake having about 8% of oil content .the coconut cake is being put into a slow moving conveyor or belt .The next process is heating up of the cake and after that hexane a product of petroleum would be spread into the cake. The mixture of oil and hexane is known as miscella. The next step is to separate the solvent from the cake and is stored for use. For one tonnes of coconut cake the usage of hexane is 9.19kg.Here 24 hr production takes place and it produces 200 tons per day.

There are 3 shifts

8A.M ---4 P.M 4P.M--- 12 A.M 12 A.M---8 A.M

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CATTLE FEED PLANT

In this plant the company uses different types of cakes according to their availability apart from other material the co. uses coconut cake, sun flower cake, mustard cake , soya been ,wheat ,calcium ,vitamins, cotton seed, phosphate, tapioca ,maize, jowar and other vitamins. Except from the coconut cake all other materials are purchased from other states. Here 24hr production takes place and it produces 650 tons per day.

MMCP TECHNOLOGY

MILLING This is being used for ensuring that all the granules are grinded, screened 3mm sieve. The materials feed into grinder are powered and it passes through the screen provided at the bottom side of the grinding chamber. Two hammer mills at 30 tonnes per hour together are used.

MIXING The raw material will be mixed thoroughly by using horizontal mixer. Capacity of this mixer is 6m.

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COOKING
The steam for cooking is produced using 3million tonnes boiler. The mixer or homogeniser carry out a strong mixing while the mash is moved forward and added with dry saturated steam. The cooking is carried out at a temperature of 80degree Celsius using a high pressure dry saturated steam.

PELLETING
The pellet mill dye by rotating drags the mixture of mash and steam towards the roller, which press it and consequently compel it to pass through the hole of the dye. It increases the density of the mixture, which together with heat generated by the saturated steam facilitates the extraction of the pellet. Two pellet machines are there with 15million tonnes per hour capacity each.

REFINING PLANT
In this plant oil is refined according to the seasonal demand. Here two types oil are refined

1) Solvent Extracted oil 2) Sunflower oil

Here 20 tons per day is produced. The oil so produced will be colorless and odorless so it is not used for household consumption. The main users of this oil are oil millers, industries who use this as an ingredient for its product.

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Chapter 5

SWOT ANALYSIS

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STRENGTH

1) Experience in the field over 25 years

2) Leadership in the market 3) Reputation & brand image of the co. & consistent quality of its products

4) Good network of dealership

5) Capable marketing personnel

6) Financial strength of the company

7) Acceptability of the feed & its quality standards in the market

8) Fully computerized plant 9) Efficient employer employee relationship

10) Excellent infrastructure for manufacturing products.

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WEAKNESS
1) As industries are importing cheaper oils which affects the demand of solvent extracted coconut oil. 2) Inadequate promotional activities for dairy products. 3) Stagnant numbers in cattle population affecting market growth in future

OPPORTUNITIES
1) Expanding its distribution areas

2) Growing demand of its products

THREATS

1) Competition from other manufactures of organized and unorganized sectors

2) Probable entry of foreign entities

3) Indirect control by government over price of milk

4) Import of cheaper oils for industrial consumption leading to fall in demand for solvent extracted coconut oil

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SOCIETAL ETHICS
PROPER DISPOSAL OF WASTES THEREBY CONTROLLING ENVIRONMENT POLLUTION PROVIDING DIRECT AND INDIRECT EMPLOYMENT 25 LAKHS donated to Tsunami Relief fund

10 LAKHS DONATED TO EARTHQUAKE RELIEF FUND OPENING OF K.S PARK Childrens Park and Information Centre has been opened for the benefit of the public

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SUGGESTIONS

1)

Use of more board display advertisement.

2)

Reference group should be formed to educate consumers.

3)

Give timely rest to workers in order to produce consistent performance.

4)

To increase the productivity to meet the growing demands.

5)

Providing proper safety equipments to protect them from hazards.

6)

Company can earn more profit by expanding the market.

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CONCLUSION

KSE, a Company having an annual turnover of Rs. 187 Crores, is the largest manufacturer of cattle feed. It provides employment to around 1500 numbers directly and another 5000 indirectly. Its shares are being listed in three stock exchanges in Cochin, Chennai and Mumbai. The Company commenced its production in the year 1972.

It is marketing annually about 1.80 lakh tones of superior quality cattle feed. KSE had successfully launched its Vesta Brand Ice Cream which has been well accepted in the market for its matching international quality standards. KSE plans to add more ice cream production units across Kerala in the coming years to serve all pockets.

KSE is in the oil extraction Industry for the past 31 years. It is having two solvent plants with processing capacity of 100 tonnes per day. The Company has also a chemical oil refining plant of 20 tonnes per day.

The Company has secured the National Productivity Award for the year 2001-2002 for being first in terms of production efficiency in the animal feed sector. This is the sixth time in that the Company is being selected for this most coveted award.

It is pertinent to note that in the Kerala industrial scenario, where many Companies are closing 33

down, either due to labour unrest or due to other economic reasons, KSE continues to commence new ventures each year and run them successfully. The Company is having six Units at different locations. The relation with the labour Unions of all these Units is very warm and cordial.

KSE, with a capital base of Rs. 36 Crores embarks on an expansion to double its Solvent Extraction capacity and add a most modern ecofriendly vegetable refining plant. The Company has already identified Six Acres of land in the KINFRA Small Industries Park, Koratty for this expansion.

In the first phase the Company plans to install one 200 MT per day solvent plant for processing Oil Cakes and also a 100 MT per day physical refining plant. Both these plants will be of international standard using most modern technologies, where the process loss is kept to the minimum. The project will generate direct employment to 125 and indirect employment to another 500 numbers. In the second phase, a 100 MT per day oil fractionation unit will also be added.

As a pioneer in the solvent extraction industry, leader in cattle feed manufacture, and an emerging force in ice cream and a resourceful new entity in dairy development and milk products, KSE is determined to move with the times, taking on new challenges, achieving new milestones.

BIBLIOGRAPHY
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REFERENCE BOOKS Marketing Management Human Resource Management Production and Operation Management Philip Kotler Ashwathappa .K. Ashwathappa. K.

WEBSITE WWW.KSELIMITED.COM

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