CHAPTER - 1

INTRODUCTION
An entrepreneur organizes various factors of production like land, labour, capital, and machinery etc for channelizing them into productive activities. Business activities are divided into various functions; these functions are assigned to different individuals. Various individual efforts must lead to the achievement of common business goals. Organization is the structural framework of duties and responsibilities required of personnel in performing various functions with a view to achieve business goals through organization. Management tries to combine various business activities to accomplish predetermined goals. Present business system is very complex. The unit must be run efficiently to stay in the competitive world of business. Various jobs are to be performed by persons most suitable for them. First of all various activities should be grouped into different functions. The authority and responsibility is fixed at various levels. All efforts should be made to co-ordinate different activities for running the units efficiently so that cost of production may be reduced and profitability of the unit may be increased. According to Koontz and ODonnell, the establishment of authority relationships with provision for co-ordination between them, both vertically and horizontally in the enterprise structure, is the essence of organization. IMPORTANCE OF ORGANIZATION Organization is the mechanism which determines the relationship of various persons. With the help of well defined organization management is able to perform the functions of direction, co-ordination and control. An ill-defined organization plan will not enable the management to make an effective exhibition of its managerial talents to realize business goals. Following are the advantages of a good organization:Helps in optimum utilization of technological innovations The rest of good organization is its success in adjusting to the new and changing situation. The technological improvements are taking place every time and

management is required to make use of them to exist in competitive world. The organization should be flexible to incorporate all new requirements. The adjustment to new changes will require re-scheduling and re-adjusting of duties and responsibilities in the organization. There may also be a need to delegate new powers of making best utilization and technological changes.

Helps in administration An organization provides sound foundation for effective managerial control. Various managerial functions will be effectively performed with the help of an organization. The functions like co-ordination and control require a proper division of various functions and their assignment to suitable persons. An important function of planning will be effective only if there is an organization to implement it. Best plans will fail if these are not executed properly. The assignment of responsibilities among various persons for carrying our different functions will be essential for making the plans effective. There will be a need of proper authority to carry out the functions systematically and effectively. A good organization is an asset to the management. It helps in achieving organization goals through the exercise of effective controls. An organization provides a channel for a better management.

Promotes growth and diversification Area and activities of a business grow if it has a well knit organization. There will be a need for employing more persons whenever expansion and diversification takes place. A flexible organizational structure will enable the employment of more persons without disturbing the working. Additional activities will not put any strain in the management.

Easy co-ordination

Every enterprise has a number of departments and sections. These are assigned different duties of achieving business objectives. There is a need for cocoordinating the working of various segments. A good organization will divide and sub-divide the activities in such a way that the activities of different segments become complimentary. This will bring an automatic co-ordination in the business.

Training and development of personnel A good organization offers an opportunity for the training and development of personnel. A clearly defined authority provides a scope for the use of talent. There will be a sufficient scope to try new ideas in improving the working of the organization. The new entrants get sufficient training in their work. They are attached to experienced persons who guide them on undertaking various jobs. The job training is much better and gives good results as compared to classroom training. A well devised organizational system will provide a sufficient opportunity for the training of new trainees and development of existing staff.

Encourages initiative A good organizational structure will provide sufficient scope for taking initiative. Persons are allowed to try new ideas by improving upon their work. The policies and procedures are laid down for the guidance of managerial personnel. But within these limits people are given freedom to show their talent. The initiative and creativeness encouraged in the organization will make it dynamic and responsive to the new situations. If persons are not encouraged to take new initiatives then the management may not be able to cope with changing business environment. A good organization clearly defines the scope of work of every person and allows them to grow in that sphere.

Better human relations Human relations improve in a good organizational set up. An organization consists of human beings and their satisfaction help in improving human relations. A clearly defined work, authority, responsibility, accountability will enable individuals work

in a free atmosphere. Everybody will know his limitations and will try to remain in that sphere. This will give job satisfaction to employees.

OBJECTIVES OF THE STUDY

The organizational study is to familiarize themselves with the working of various departments for a particular period, so that one can have an exposure to practical side. A. Primary objective

The primary objective of this study is to carry out a departmental study or analysis at Eastern Condiments (P) Ltd Adimali B. Secondary objectives To understand process flow and management of departments in the company To understand how information is used in an organization for decision making at various levels. Two prepare SWOT analysis To study the organizational structure and its hierarchy To understand and get familiar with all the activities in the company To understand the real world situations in an organization and how the principles of management is applied in the organization - To familiarize with the different departments in the organization and their functioning.

METHODOLOGY

Topic An organization study at Eastern Condiments Pvt Ltd Adimaly Period of the study Period of the study one month from 02-05-2011 to30 -05-2011. Area of the study Area of this study is Eastern condiments (P) Ltd, Adimaly Importance of the study The main importance of this study is to familiarize with a business organization and the operation of its departments and also interact with the managers at various levels of the organization hierarchy Scope of the study Internship training will helps management graduates to know about the operations of business co-operations. It is a mean for bridging the gap between theory and practice. To know about the whole organization and it helpful to study in detail.

Assumptions of the study This study is based on the following assumptions The data given by the company officials are true and unbiased The data collected from various secondary sources are true

Techniques of data collection

1. Primary Data : The Primary data for the present study is collected through observation method and discussion with the senior officers of the company. 2. Secondary Data

: Secondary data are those data which has already

been collected. The main

sources of secondary data collection are books, company records, website and journals etc...

Limitations of the study

Following are some of the limitations that faced while during the study -

Cost incurred
The company personnel do not reveal trade secrets, Confidential information like marketing and finance

It was difficult to collect detailed data from each department because of time allowed is very less

Data collection method was another limitation

CHAPTER - 2

INDUSTRY PROFILE

History of the industry

By 3000 B.C turmeric, cardamom, pepper and mustard were cultivated in Harappa and Mohenjo-Daro, in the Indus valley, were of occupied mixed stock somewhat larger in structure than either the Sumerians of those communities. The bad club wheat barely sheep and goats from the Iranian Plateau and cotton from southern Arabia but were held back by their reliance on food water due to lack of knowledge of irrigation. Summer bad trade links with the Indus valley via Hindu Kush by 3000 B.C and by sea from 2500 B.C thus thinking the Harappas with both Sumerians and Egyptian, where Cumin, anise and Cinnamon were used for embalming by 2500 B.C The earliest known recipe for meat in spicy sauce with bread appeared on tablets found near Babylon. In Mesopotamia written in uniform text discovered by the Sumerians and dated around 1700 B.C probably as an offering to the good mar.

Spice Industry Overview

Spice, aromatic, vegetable product used as a flavouring or condiment normally refers to the derivatives from certain herbs like seeds, leaves, bark, root etc. They are used mainly for enhancing taste of the food. The name spice is derived from the word species which was applied to groups of exotic foodstuffs is the middle ages. Spice industry has been witnessing phenomenal growth rate both in the international and domestic sector. The growth in this sector can be attributed to the change in the life style patterns of the consumers all over the world. The shift in the consumption trend towards natural products has also contributed to the increased global demand of spices and culinary herbs. Spice and derivatives market is booming because these product find applications in a number of industries including pharmaceutical, medicine, beverages, food processing, personal hygiene products to name or few developing countries especially in the Asian continent are the major producers of variety of spices. A large percentage of international and domestic trade takes place in

the dried form. India, Indonesia, China are few of the prime producers of a variety of high quality spice and also significant contributors to the global spice.

India and Spices

India has traditionally been known for its spice and culinary herb production. It is one of the largest spice producing and consuming country. Its strategic location, climatic condition, advanced production process and availability of cheap labour makes it advantageous for the producers to ensure large scale production of quality spices and herbs. India is famous for its spice that are widely used in industries like pharmaceutical, neutraceticals, perfumery, toiletry and cosmetics. Indian spice is one of the major suppliers of pepper to a large number of countries.

Spice Business in Kerala

Kerala is a land of spices considering the large variety of spices grown in the state. The most popular among the spices are pepper, cardamom, turmeric, chillies and ginger. pepper known as the king of spices is perhaps to worlds oldest known spice and is cultivated in over 15800 hectares in Kerala, which account for 96%of the total production in the country. There are a lot of opportunities for investors in spice sector and spices board, the care takes of the sector in India is based in the state.

CHAPTER - 3

COMPANY PROFILE
The era of the eastern curry powder began in a small mountain township called Adimaly. The group was founded by Mr. M.E.Meeran started with a dream making food product available to the common man to the right price. The company was established in 1983 and is a leading brand in the south India. The peculiar type of climate fertility of the soil is very suitable for agriculture in high range. Adimali well known for centre of spices. Where the best spices from all over India are sourced and powdered and in most strength conditions packed in consumer packs. The purity and freshness of Eastern Curry Powder made Eastern a house hold name in India and abroad. The company exports the product to kingdom of Saudi Arabia and the united Arabia Emirates for the past few years and now the exports the product to like Middle East UK, USA, Australia and Germany. Today Eastern has grown into favourite in Indian times across the world. Eastern Condiments Pvt.ltd. is a well established name and Kerala largest manufacturer and market leaders with a market share of 70% in Kerala and one of the leading brands in south India. To well equipped factories and overt to million satisfied house hold all over stand and solid evidence of its exceptional reputes. A name that will hold its own for years to come as the worthwhile manufacturer, distributers and exporters of the quality network and the blended spice powders and spices. .

History of the Company

Mr.M.E Meeran the founder and chairman of eastern group started his career as a business man in Adimaly in 1969 named as Eastern Trading Company. He could establish good sales net work in Idukki dist. And the business man in him felt the need for spices powders at the time house hold were sparingly using such powders in their daily cooking.

As years passes they started as an agency business in 1975 named EASTERN AGENCIES at Adimaly where the wholesales shop was located. He had taken

products from in and outside of the state and worked as an agency for trading, the bit shown scope for better prospectus and the present popular eastern condiments was established in 1983 with in a short span of time it could become the market leader in curry powder and the only ISO 22000 certified company and the exported of curry powder in the world wide. The company started functioning only with 25 workers in 1984 in the name of Eastern Coffee and Curry Powder. Now the grown to more than 1500 workers and six production units are in Adimali , Tamil Nadu, Guntoor, Irumalappadi ,Ghaziyabadh and Okkal. The company management and the workers working with the hearts and soul for the achievement of the goal of the company.

Management
The Eastern group is managed by a team of professional and family members. Mr.M.E. Meeran is the chairman and managing director of the company. Board of Directors include Mr. Navas Meeran, Mr. S.M. Muhammad, Mr. M.E. Muhammad and Mr. Firoz Meeran. Mrs. Nabeesa Meeran( w/o Mr. M.E Meeran) plays a key role behind the continuing success of the Eastern Group; She is the manager of the Eastern Public School Adimali.

Awards of Excellence.
Over and above, many awards for excellence, Eastern got the prestigious awards for outstanding expert performance by spices board. Eastern has won so many prestigious awards in the recent years too. The company has got ISO 22000 and the HACCP certification. Eastern was the first company in India to get ISO 22000.Spices boards Best Exporter was got in 1996 continuously for 10 years.

Eastern Group Vision

i.

To the preferred suppliers entering to the basic needs of mass market by providing product of outstanding values through the adoption of global standard add innovative practice.

ii.

To the preferred employer in the industry we one in by providing a challenging work environment and adding value to our people through varied exposure and continuous education

iii.

To be the preferred business partner of our entire share holder by providing them with exemplary benefits.

Mission of The Company

Winning the trust of the customer through commitments to quality at the right price in all our products.

Company Polices

Our policies in to produce pickles and spices powder according to the specification of the customer. This will be achieves by;

 By the involvement of trained and slotted employee further we will continually improve the quality of our products by updating the quality management system based on the customer feedback.

These achievements under this eminent management made during these subsequent years also.

HRD concept fully implemented

Quality circle formed and working effectively and implemented

Enterprise resource planning ERP implemented progress in introgression of operation. Corporate meeting committee held regularly and effectively.

The Eastern Group of Companies

Eastern group of companies is a group with diverse interest and a world leader in Indian spices Eastern has ventured in to various areas like tires, retreads mattresses, garments, packaged food , mineral water , public school and has many more projects in the vision. 1.

Eastern Mattresses Pvt. Ltd

Eastern mattress Pvt. ltd was set up in 1999 FOR manufacturing rubberized

coir mattresses with a state of the art factory in Thodupuzha. The company produces world class mattresses.

2.

Eastern Aqua Minerals

The Eastern group has set up a new state of the art factory to procedure

packaged water with purity levels meeting international standards. The company was set up in the year 2000 and it is located at Kalady, Kerala. Eastern packaged drinking water is all set to quenches the thrust of millions of people with mineral water on highest purity standards. High quality with control 12.813 testing 3.

Eastern Treads ltd.

Eastern treads ltd, an ISO 9001-2000 certified company entered into the

industry in the year 1986 to manufacture conventional tread. Started as a private limited company and the was changed into a public ltd company under the name eastern treads ltd. The company went for a public issue and shares are listed in Indian stock exchange. 4.

Eastern Retreads Pvt.Ltd.

Eastern Retreads Pvt.ltd setup in 1993 is engaged in re-treading of tires.

Retreads are not only cost effective but they are also dependable, reliable, and safe.

5.

Eastern Clothing Company

Eastern clothing company introduced their brand of shirts called the King

Richard in the year 1999. 6.

Eastern Newton Public School

The Eastern group entered the area of education with setting up of the Eastern Public school at Adimaly. It ensures high quality education from kinder garden to upper primary levels with CBSE syllabus providing all the residential facilities and highly trained teachers.

PRODUCT PROFILE
India is considered to be the home of spices. Spices play a very vital role in the national economy. The purity and freshness of Indian spice and spice powders has

made it a favourite in India and all over the world. Spices are used in many countries as flavouring agent. They improve the flavour and acceptability of cooked food and make them more delicious. Eastern condiment Pvt Ltd has varieties of spices, curry powders and pickles in its product mix. The purity and freshness of Eastern curry powders has made Eastern a household name and it grew to be a leading brand in Kerala. Eastern curry powder export to various counties like Middle East, USA, UK, Australia and Germany. Eastern has grown in to a favourite in Indian home across the world. Excellent quality and right pricing has become the winning formulae of the Eastern group. Eastern curry powder is fast growing in to all India brand with its entry into new market and the introduction of market specific new variants.

Production of Eastern Condiments

Eastern processes and manufacturers spices and blended spice powders. The spices are produced from the finest plantations in Kerala, India. Eastern products are manufactured under controlled conditions to ensure high quality while at the same time retaining the nutrient value, freshness and flavour of spices. Eastern has built capabilities for continuous product development and improvement based on market requirements. Its products are one of Indias finest and processed using world-class machinery in strict adherence to CODCE and HACCP, the highest standard of nutrition and hygiene

Spice Powders
Eastern Turmeric Powders Eastern Chilly Power Eastern Coriander Power Eastern Black Pepper Powder Eastern Ginger Powder

 Eastern Kashmiri Chilli.

Blended Spice Powders

Garam Masala sambar powders Rasam powders Kulambu masala Pickle powders Pav bhaji Channa masala Tandoori masala Chicken masala Chickenfry masala Fish masala Meet masala Biriyani masala Kebab masala Egg curry masala Chat masala And many more in the offering

Other Eastern pickles

Mango Ginger Lemon Gooseberry Mixed veg

 Fish Prawns GarlicTender mango

Beverages
Adimali kappi(coffee) Eastea (tea)

Eastern Rice Based products (for breakfast)

Puttu podi Idli podi Dosa podi Pathiri podi Appam podi Chamba puttu podi

INTERNATIONAL STANDARD ORGANISATION (ISO)

ISO was set up in the year 1987. It is the worldwide federation of standard bodies from 138 countries. Bureau of Indian standards (BIS) represents India in ISO.

MISSION
Its mission is to promote the government of standardization and related activities in the world with a view to goods and services and to develop cooperation in intellectual and economic activities.

ISO SERIES

ISO 9001-2000 ISO 9001-2000 ISO 9004-2000 ISO VERSIONS ISO 14000-for eco friendly products and companies ISO 9000- for the overall quality products ISO 22000- for food safety products

ROLE OF ISO 22000 AS A QUALITY PROCEDURE FOR EASTERN CONDIMENT PVT LTD
Eastern is the first company in India and second in Asia to get the ISO 22000 certification issued by Food Cert Netherland and accredited by RvA, THE first body in the world for food safety accreditation. Eastern got ISO 22000 September 2005. Each department in Eastern gives importance to quality assurance. Before each step of production, the semi finished goods are tested in the laboratory and make sure the quality of the product. Purchase department use the measures of ISO 22000 for purchasing raw materials. for food safety in

ORGANIZATION CHART

CHAIRMAN

VICE CHAIRMAN

VICE PRESIDENT (OP) DIRECTOR TECH

DIRECTOR -F&A DIRECTOR- P&O DIRECTOR IT

EXECUTIVE COMMITTEE
HEAD-PRODUCTION HEAD-PROCURMENT HEAD-MARKETING HEAD- ENGG&TECHNICAL CFO COMPANY SECRETARY

FINACE CONTROLLER

AGM Finance

ASST MANAGER

DY MANAGE R

SR MANAGE R MKTG

MANAGER EXPORTS

SR MANAGER HR & ADMIN

MANAGER

TAXATION

PRDN
OFFICERS

ACNTS ASST MANAGER

MANAGER MKTG KERALA ASST MANAGER OFFICER

OKKAL EXPORT UNIT

SR OFFICERHR OFFICERS

PROD. SUPERS
OFFICERS
ASST MANAGER PRODUCTIO N MPD

SR MANAGER MAINTENANCE

SR.SALES OFFICERS

MANAGE R -PPC

SR OFFICER PURCHASE OFFICERS-IT

SALES TEAM

SR OFFICER PPC OFFICERS- PPC

MANAGER TECHNICAL

DY MANAGER ELECTRICAL

WORK SHOP IN CHARGE

ASST MANAGER MICROBIOLOGY

PRDCTN TEAM

SR OFFICR TECHNICAL

MICRO BIOLOGIST

CHAPTER - 4

DEPARTMENTS

Human Resource Development Department Marketing department Finance Department Production Department Information Technology Department Production Planning and Control Department Purchase Department Maintenance Department Quality control Department Export Department

HUMAN RESOURCE DEPARTMENT

HUMAN RESOURCE DEPARTMENT

Human resource is the important asset of every company. It is the back bone of every organization. The success and failure of every company depends upon its human resource. It is a fact that the people are vital for the effective operations of a company as human effort and brains are the main driving force behind the organization. Personal management function should not be confused with the personal department of an organization. Personal management function is performed by all managers at various levels in the organization. Generally personal department is assumed the operative function of employment, training and development and remuneration etc. These functions are performed by human resource department. Employment of competent and specialized persons at vausrios level is one important reason for the continuous success of Eastern. Moreover employment of women at certain key areas of operations avoids unreasonable labour problems to an extent. The key factor in the growth of Eastern is good and healthy employer-employees relationship. More than 1400 employees are working with one heart and institution, where 80% comprises women workers. OBJECTIVES OF HUMAN RESOURCE DEPARTMENT Manpower planning Recruitment Training and development Wage and salary administration Grievance redress Personal counselling Compensation and benefits Performance evaluation

RECRUITMENT AND SELECTION

Recruitment is only one of the steps in the selection process. Vacancies arising in an organization due to various reasons such as registration, termination, death, employees promotion or transfer etc have to be filled by recruitment and selection.

Recruitment procedures
A) Direct method In Eastern this method is frequently used for recruitment. The firm places jobs advertisements in Malayalam, English news papers and T.V media tries to attract as much capable people from outside its company service. B) Internal recruitment Several posts are filled from the internal candidates. Whenever a vacancy arises, efficient and skilled workers from the rank and file of the company are promoted and appointed in the company. Besides, evictees, local candidates who belong to surrounding panchayath have preference in subsequently arising vacancies.

SELECTION 1) Test are conducted only for senior position 2) Interview TRAINING The company will prepare yearly training schedule based on ISO 22000 TRANSFER Employees are transferred to different departments on the basis of their skills PROMOTION

Those workers having required qualification and eligibility are promoted to supervisory cadres. PERFORMANCE APPRAISAL Eastern is following a special type of system for appraising the workers that is KRA system i.e., the KEY RESULT AREA. Here the performance of individual employee is evaluated by his superior officer. The officer will evaluate the employees performance on the basis of result produced by them and gives a report to the board for a particular period of time. If the board is satisfied he/ she will forward it to the top management by recommending incentive or promotion WAGE AND SALARY The workers are paid in two systems; Piece rate system Under piece rate system of payment, wage is paid on output and not on time. Production goes up when wage are paid in according to piece rate system. This mode of payment prevails in the packing section

Salary system This mode of payment is applicable for the rest of the workers, which also includes the loading and unloading workers. NON MONITARY BENEFITS The company provides a lot of non monitory benefits to their employees. Some of them are as following 1. Transportation Transportation is provided to the employees to different destination points and a very small marginal amount is deducted from their wage or salary.

2. Personal protective equipments Personal protective equipments like head covers, aprons and uniforms are also provided to the workers in the packing section. 3. Medical insurance The employees are provided with medi-clime policy, which gives free medical insurance to the employee and his/her family. 4. Pension scheme The scheme has been formulated for those employees who have retired from their work. 5. Annual medical check up The employees are provided with free annual medical check up facilities 6. Canteen facilities Canteen facilities are provided to all the employees where they get free food 7. Tours and picnics Tours and picnics are conducted once in a year which increases the motivations and initiatives of the employees in additions to the fair and just wage incentive system. For the effective administration and working of the company, weekly meetings are

organized to discuss various issues and working of the company. The chair man and the managers of department heads are in the meeting GRIEVANCE AND REDRESSAL Generally grievance means any factor involving wage, working hours or condition of working environment. In Eastern all work as family and all workers are free to make know his supervisor if he has any grievance. The company has kept some persons in the company itself where the employee can directly come and tell his problems in any case. And it will slowly reach the management. For this the company also conduct

some training programs and meetings where the employee can speak about any problem he has in the company.

STRUCTURE OF HR DEPARTMENT

VICE PRESIDENT

SENIOR MANAGER HR & ADMINISTRATION

SENIOR OFFICER

OFFICERS

MARKETING DEPARTMENT

MARKETING DEPARTMENT
Marketing is the core of all management functions. One of the important reasons behind the success of the company is the marketing strategy compared to their rivals. The system followed by Eastern is very unique and it has been very effective. They deal with the wholesalers and retailers directly at their door step with the help of around 100 vehicles going through many routes covering the entire state Average sale of Eastern is 1700 ton kg\month in normal season. During special season like Onam its sales increases by 2200 ton kg\month. Price rate of products changes according to different season. OBJECTIVES MARKETING DEPARTMENT

Developing marketing strategies Capturing marketing insights Building strong brand image Delivering value to consumers DIRECT SALES This peculiar feature of Eastern curry powders helped it to vary from order companies. The group directly distributes the products to retailers in Kerala. The company has around 100 vehicles which go on around 78 routs covering the entire state. Marketing department has 450 workers in Kerala market. A sales executive, sales assistant and driver will be on each van to go for the sales

The various sales techniques consist of; Route sales Factory fresh outlets Intercompany sales Export sales Company has four depots, which are at Kozhikode, Kottayam, Trivandrum, and Trissur. Sales target is fixed only after looking the previous 3 months sale. More sales are done in Kottayam (Dts) .The sales executives for each route give the orders to be dispatched to each sale depot. He also takes care of the billing and cash transactions. After making a sale, a sale invoice is made and the summary is given to the cash department. The assistant places the order to different shops After the delivery of goods, the vans return and by verifying the order form, the stock is checked. The accounts are maintained on a weekly basis. The company has around 40000 retailers. Mainly cash transactions are undertaken and credit facilities are entitled to only around 200 parties. On every Monday following the production week, the producers are distributed from the groups sale depot to every retailers by companys own vehicles. A string of van carrying freshly powdered spice is a common sight on the mountains. This is one of the important advertisement techniques of the company. The advertisement through these vehicles has no additional cost. There are hundreds of vehicles carrying freshly powdered spices distributing across the state. It gives maximum publicity and advertisement to the company and the brand. The meeting of the sales executive are held every week after they return from their different routes. Here, every aspect of the weekly sales will be discussed, and any problem arising can be bought to the notice of the management. By direct distribution the company has achieved a lot of benefits. Some of them are as follows;

 They can deal with the wholesalers and retailers directly at their door step The company can avoid the role of intermediaries in the distribution of the product. It helps to avoid unnecessary commission, brokerage and other related expenses The can maintain a good relationship with the wholesalers and retailers The companys own vehicle undergoing distribution aids to give an important mode of advertisement in addition to the other media advertisement. Eastern Condiment has entered in to world market in the recent years. In India it is capturing both urban and rural markets. In Kerala it is the market leader with more than 70% market share to almost all its products. In Tamil Nadu and Karnataka the company holds 20% share and it is gaining strength. It is also to be noted that 50% of the market is still using home made products, 505 of the market is still untapped. So there is lots of growth potential for the economy. PRICING Eastern is the price leader in Kerala market. And its products have higher price when compare with other products. But it is accepted because of its quality and good will. COMPLAINT HANDLING It is done on a weekly basis by the sales representatives as they are meeting the retailers and customers directly and the complaints are collected. Later it will be reported in the weekly meeting. PROMOTIONAL ACTIVITIES Company introduces some promotional measures like card scheme to motivate their retailers. It uses advertisement for promotional activities. They also some tours and give awards to some of the retailers. Company is conducting dealers meet in a year. Now the company is giving more importance for the promotions of EASTEA. Sales target is fixed once in a 6 month and is hoping for 10% growth every year.

STRUCTURE OF MARKETING DEPARTMEMT

BOARD OF DIRECTORS

DGM MANEGER

SALES ADMNI.STAFFS

MANAGER

ASSISTANT MANAGER SR.SALES EXECUTIVES SALES TEAM

FINANCE DEPARTMENT

FINANCE DEPARTMENT
Finance refers to money cash or fund available to carry out business operators. Its an important functional area of business. Its the life blood of every business. Finance dept. deals with planning, organizing directing and controlling financial activities like procurement and utilization of fund and distribution and distribution of earning to owners. The monthly profits of the company is around 20 corers and turnover of the company per month is 48 corers

Functioning of Finance Department

The success of finance function depends on house finance is planned. The inflow and out flow of funds should be properly meet and so that funds become available for payments when it becomes full due. Financial dept. of the company constitutes the accounts and administration and cash mgt.

Some important functions of finance department

1. Monitoring the process of budget achievement providing taxation pinning and advisory service to the company. 2. Evolve an audit manual. 3. Advising management on funds, utilization and implementation 4. Preparation of corporate plans annual plans and budget 5. Preparation of financial statements and thus identifying the financial strength and weakness of the firm by properly analyzing and interpreting the financial statements. Finance and cost functions are headed by the director finance and accounts, IT-Internal auditing section etc, are the major auditing gangs giving their upper hand for the smooth functioning of finance dept.

6. Olden days Tally was used for the various financial operations but now Eastern have their own software ORION specially made for the financial purpose. The authorized share capital of the company is Rs. 35, 00,000/- divided in to 3500

shares of Rs. 1000 each. In the previous year New Vernon Bharath Investors had invested Rs.45 crore for 15% of its share. The company has a daily working capital of Rs.3 crore and the banking partners is FEDERAL BANK. The monthly profit of the company is around 20 crores and turnover of the company per month is 48 crores.

STRUCTURE OF FINANCE DEPARTMENT

BOARD OF DIRECTORS

FINANCE CONTROLLER

AGM

FINANCE

MANAGER

ASSISTANT MANAGER

SENIOR OFFICER OFFICERS

PRODUCTION DEPARTMENT

PRODUCTION DEPARTMENT

Production is a process of converting input in to output. Technically speaking, a production is concerned with step by step process of raw material into finished goods. For a manufacturing concern like Eastern, production department plays very important role. OBJECTIVES A) Design of the product B) Design of the production system C) To ensure production according to the plan and requirement.

FUNCTIONS OF PRODUCTION DEPARTMENTS

a) Product selection and design b) Process selection c) production planning d) quality control e) inventory control f) plant layout and material handling g) cost control The first step in the production takes place both at Adimaly and Theni where the raw material (chilly, turmeric, coriander) needed are purchased in bulk are

cleared, roasted, crushed, powdered and packed and dispatched to Adimali for further packing. The distribution is handled by the company itself

Eastern Condiment deals with production and packing of curry powders, masalas, instant pickle powder and processing of pickles. The company has a production capacity of 12 tons per day. The company at their has a production capacity around 20 tons per day. From the production point of view, latest techniques are used in preparing powders. Producers like steam sterilization are followed to maintain hygiene. Statutory quality parameters are employed in every sphere of production. To ensure that the spice reach the consumer in fresh conditions at a minimal cost, the company follows international packing standards to protect, preserve and present its products. For bulk packing, the VACCUPAC system is used where in products are packed in vacuum, thus protecting the powders from fungal infection, moisture, oxidation etc. Production function performs according to instructions from the PPC. PPC gives monthly indent which is converted in to weekly plans by the production department. A stock of goods for 3 days production is kept with the department in case of contingencies. In production a normal waste of 2 % to 5 % is expected. All details regarding production are given to PPC daily. The department has 14 vehicles for the purpose of transferring raw materials. The department has around 750 workers. The production is dependent on the skill and experience of the workers. The productivity is around 75%. QUALITY ASSURANCE The company follows stringent hygienic measures which are applied with regular laboratory testing. The Indian spices board with their spice house certification has recognized the companys obsession with quality and hygiene. Eastern has also achieved the highest ranked approvals for quality, the Hazard Analysis Critical Control Point (HACCP), ISO 9002 certification and ISO 22000 certification.

The company ensures that superior standards are at every level- right from processing raw materials to packing the final product. Old methods of powdering

using new technology are what the company believes in wooden spatulas are use to mix the powders and huge aluminium vessels are used to roast spices, grinding is done at required temperature, using micro pulverizes and the unique flavour lock technique, so that the oils in the spices are conserved , giving out the right flavours.

Production flow chart

Chillies, coriander, turmeric &spices

Cleaning

Drying

Roasting

Mixing

Powdering

Packing

Marketing

STRUCTURE OF PRODUCTION DEPARTMENT

BOARD OF DIRECTORS

DIR MANUFTRG

PRODTN HEAD

MGR PDTN

SR .SUPER

AST MGR PDTN

RSTG SUPR CHLSED PKL

POWG SUPR

HND PKG SUPR

MACH PK SUPR

INVR DIPTH SPR

WORKERS

PLNT OPR

MACH OPER WORK ERS

WORKER S

WORKE RS

WORK ERS

INFORMATION TECHNOLOGY DEPARTMENT

INFORMAION TECHNOLOGY DEPARTMENT

Artificial intelligence is necessary for development of mankind. Today the term information technology has bellowed to encompass many aspects of computing and technology, and the term is more recognizable than ever before. The information technology umbrella can be quite large, covering many fields. IT professionals perform a variety of duties that range from installing applications to designing complex computer network and information data bases DUTIES THAT OFFICIALS PERFOEM IN IT DEPARTMENT

A) Data management B) Computer networking C) Computer engineering D) Data base system design E) Software design F) Management of information system G) System management or system administration

OBJECTIVES OF IT DEPARTMENT

a. Ensure the protection and security of data b. Minimize duplication of effort, services and resources c. Eliminate inefficient and costly redundancy d. Eliminate non compatible standards and architectures

e. Identify obstacles for departments wanting to move computing operations to the division of information technology and solve it immediately

The whole organization is computerized. All the departments are connected via networks. Both local and wide area networks are use. Eastern uses oracle based software called ORION, which has been customized to suit the needs of their particular organization. The networking is done through a BSNL base line. It uses windows 7 as the operating system The company has a good IT team for implementing the ERP (Enterprise Resource Planning) which was started in the year 2001 and was centralized in the year 2005. ERP enables fast transactions and systematic in all its functions. ERP also helps in generating MIS reports which help in decision making. The package used in ORION 7.4 and ORION 10.x (centralized data base). The package is provided by 3 i InfoTech technologies Chennai. Intranet in provided among the various offices at Thenni, Adimali, Chennai, Bangalore, Hyderabad and Ernakulam. The network main server is situated at Ernakulam and all the different divisions have their own domain to connect to the main server. The Eastern Condiment Pvt Ltd is a fully computerized company. Licensed softwares are used in Eastern. In which 120 machines are connected using four servers. They are; Data base server Application server Domain server Backup server The extent of computerization is done mainly on to considerations; considering the amount of data accuracy needed

The company has centralized data base password control to restrict unauthorized access. IT department has a powerful back up facility. In each system a separate folder is created for backup facility .Client user saves data into this folder. The user can access data only when he knows the particular password and login ID.

STRUCTURE OF INFORMATION TECHNOLOGY DEPARTMENT

Board of directors

IT Mangers

Senior Officers

Officers

PRODUCTION PLANING AND CONTROL DEPARTMENT

PRODUCTION PLANNING AND CONTROL DEPARTMENT

Production planning and control is the department which plans everything regarding production. It find out what is to be produced, when, what quality and it even informs the purchase department about what raw materials to be purchased for production PPC regulates stock inflow and out flow with the help of ORION software so the amount stock will be readily available They make plans according to the data provided by the marketing department. Based on this, they give instruction to purchase department and the production department. Production is according to the requirement and will depend on the seasonal demand. The monthly production of Eastern is 240000 tons. This is based on monthly demand. Every sales executive gives the order from retailers. Based on this PPC give instruction to both production and purchase

OBJECTIVES OF PPC DEPARTMENT

Increase profitability of the company

Quality control Maximize output with minimum input Minimize cost Coordination between men and machines

 Establish routs and schedule of work Ensure operations are run efficiently and as planned Optimize the use of resource, material, machines etc.
PROCEDURE
They make plans according to the data provided by the marketing department for the coming period). Based on this they give instructions to purchase department and production department. They plan for 3 months later it divided on monthly basis and finally supervisions in production scheduling on weekly basis. Production is according to the basis of the requirements and will depend on seasonal demand. The total number of employees in this department is 25.

STRUCURE OF PPC DEPARTMENT

BOARD OF DIRECTORS

PRODUCTION HEAD

MANAGER PPC

SR OFFICER

OFFICERS

PURCHASE DEPARTMENT

PURCHASE DEPARTMENT
Performance of a manufacturing firm always depends on the efficiency of its purchase department. The various raw materials needed for the production is purchased by this department. If the materials are purchased at right time at the right quality from the right suppliers it results in production of materials as per the request of inventory control section OBJECTIVES OF PURCHASE DEPARTMENT To provide uninterrupted flow of materials and service for company operations To find reliable alternative source of supply To buy at the most economic order quantities To buy the best value, a combination of right quality at the best price with the best supplier service PURPOSE AND SCOPE OF PURCHASE DEPARTMENT To lay down a procedure for purchase and to evaluate suppliers rate and develop them so as to select suppliers on the basis of the ability to meet the quality requirements. The scope involves; purchase of raw materials , items such as dry chillies, coriander, turmeric, cumin, fenugreek, fennel, rice, fruits and vegetables, preservatives, salt etc and outsourced etc, purchased at Eranakulam, Adimali, and Theni Registration of potential suppliers evaluation and develop of existing suppliers To maintain good relations with vendors

PURCHASING PROCEDURE A) Evaluation of existing suppliers for raw materials This is the first step in the purchasing procedure. The evaluation of the suppliers is mainly done on the basis of rating them. There are mainly three methods they are; types of rating

QUALITY RATING SUPPLY RATING DELIVERY RATING

QUALITY RATING Quality rating is done on the basis of the quality of the raw materials before purchasing it. The raw materials are tested by the quality control department and make sure that the raw materials are of best quality and non hazardous SUPPLY RATING The supply rating checks the suppliers time. The rating is done on the basis of ability to supply the raw materials at right a quality technique; the maximum mark

given is 15, which is given to the supplier who supplies the raw materials on or before the prescribed time. The total mark is calculated on 70 and it is given to the accepted suppliers DELICERY RATING This is calculated on the basis of the correct time of the delivery of the materials

A) Registration assessment of potential suppliers B) Purchasing order C) Purchasing

D) Verification of the purchases products

DIVISION OF PURCHASE In Eastern the purchase can be done in five small divisions. The purchase department is divided into small groups because of convenience. The five divisions in purchase department are given below.

1. Packing division
Product mainly deals with purchase of packing materials. Packing materials are purchased from Leeths, Reliance, and Omni

2. Raw material division

The raw materials for the production are purchased by this department. The raw materials are purchased from Theni, Tamil Nadu, Guntur, Andra Pradesh

3. Mechanical purchase division

It is focused on purchasing of machinery items and their parts. Machineries are purchased from Ernakulam.

4. Electrical purchase division

It is deals with purchasing of electrical components 5. Automotive purchase division The automobile equipments are purchased from TVS, Automobile Eicher etc.

STRUCTURE OF PURCHASE DEPARMENT

Board of Directors

AGM Purchase

Asst Managers

Senior Officers

Officers

MAINTANANCE DEPARTMENT

MAINTENANCE DEPARTMENT
Maintenance department of Eastern are responsible for keeping the plant and equipments in good condition. Maintenance Department of Eastern has four sections 1 electrical 2 Mechanical 3 Stores 4 Automobile OBJECTIVES OF MAINTENANCE DEPARTMENT a. Optimize the use of available funds, personnel and facilities and equipment through the effective maintenance

management methods b. Systematically identify maintenance needs and deficiencies and capital improvement needs at all field stations c. Enable preparation of service maintenance and construction budget request using systematic, standardized procedure d. Monitor an document corrective actions , project expenditure and accomplishment

FUNCTIONS OF MAINTENANCE DEPARTMENT

1 PREVENTIVE FUNCTION

Preventive function done to avert break downs, improve efficiency of working to keep a routine monitoring of the machineries. There is a routine maintenance schedule and the preventive maintenance is done according to it. This is done in weekly or monthly basis according to the condition of the machine.
2 BREAKE DOWN MAINTENANCE

This is done to restore the machine back to the work if it undergoes a break down. It is done according to the priority of the machine. This is done in minimum possible time, so that production of the plant is not affected.

STRUCTURE OF MAINTENANCE DEPARTMENT

BOARD OF DIRECTORS

Tech . head

Maintenance Mngr

Automobile in charge

Maintenance Team

Workers

QUALITY CONTROL DEPARTMENT

QUALITY CONTROL DEPARTMENT

Functions of this department is to ensure that the quality objectives of the firm are relevant to meet the requirements of the product quality and are periodically measured and compared against product quality requirement. A major purpose of this department is to ensure that the quality policies of the firm one are conformity with the objectives of this department. Company had a well equipped laboratory with all facilities which costs Rs. 4 crore. Before packing each sample of products is tested in the lab will pack only if they get the good quality certification from the lab. And if any products are returned by the customers will be tested and find out the reason for rejection.

OBJECTIVES OF QUALITY CONTROL DEPARTMENT

To bring down the total afla toxin level of chilly and chilly based products

To establish testing facilities to pesticide residue To maintain the quality according to the customer requirements To maintain the quality in accordance with the ISO 22000

DUTIES OF QUALITY CONTROL DEPARTMENT

To ensure that the assurance budget are not exceed In charge of quality assurance department In charge of day to day quality check To retain ISO certification by undergoing audit periodically Develop and implement quality policy, update it periodically and get them approved by the board. The company follows stringent hygiene measures which are applied after regular laboratory testing. The Indian Spices House

certification has recognized the companys obsession with quality and hygiene. The quality is ensured through 3 segments, microbiology, chemical test and instrumentation.

STRUCTURE OF QUALITY CONTROL DEPARTMENT

HEAD TECHNOLOGY ENGINEERING

&

TECHNICAL MANAGER

ASST MANAGER MICROBIOLOGY

SENIOR OFFICER TECHNICAL

MICROBIOLOGIST

EXPORT DEPARTMENT

EXPORT DEPATRMENT
Eastern foods started exporting in the year1995. Today the company exporting its products to almost all Gulf countries, and to the different parts of the world, where the company has its own distributions. The company exports above 100 tons per month OBJECTIVES OF EXPORT DEPARTMENT Conduct research to find out right market Devise marketing strategies for the target market Understand the legal and regulatory issues

For exporting the Eastern condiments have a branch at Okkal in Kerala where special packing for exports is done and where stuffing of goods is also done. The rest of the procedural work is done at Adimali. Major export destinations for the company are Middle East, USA, Australia and UK. The company is also planning to enter like Japan and other European countries. The major portion of the export is into Dubai. Each container has a capacity of 12 tons and monthly 50 containers are exported. In the international market the product is marketed through distributors on commission basis Eastern Condiment Pvt Ltd is always maintaining high quality and effective distribution in the overseas market too. The company has well equipped laboratory with qualified and specialized chemist for quality checking. For exporting the Eastern Condiments have branches at Okkal and Irumalappadi in Kerala. Stuffing and packing is carried out here itself. The rest of the procedures related to exports are done at Adimali. The exporting is increasing year by year. The export had 50% growth in the previous years. The company is doing exports through shipment. Company uses its vehicles to send products to Cochin seaport.

Time required for transportation

- Dubai 5 to 7 days

- Gulf - USA - Europe

15 days 1 month 30 days

For export Eastern has import and export codes. It also has spice board registration for exporting spices. Each country has its own specifications and requirements for the export product which has to be meet by the company before exporting. All exports are done through Cochin seaport. Each container which is exported will be checked before dispatch. About 500 products are exported. Some items like pickles are meant only for export and are not available in the local market. The export division of Eastern had a 50 % growth in last year. The turnover from exports alone for the company was 50 corers. All the transactions are done in Dollars only, including for Middle East and other countries ACHIEVEMENTS Eastern is the leading exporter of condiments from India. Eastern has received the spices board award for the best exporter continuously for the last 11 years.

DOCUMNETATION PROCEDURE
All negotiations regarding the export procedures are done through banks. The goods are dispatched at the Cochin seaport and the company meets the expenses from the point of dispatch to the boarding point and the documents are handed over the bank. The overseas distribution gives a purchases order to the company upon the confirmation of the order with prices the documents such as invoice, packing list are prepared and shall be approved by export manager and those documents are sent to C & F agent along with the purchase order of the overseas buyer. On receipt of those documents the C &F agent sends it to the customers authorities and obtains permission for stuffing. According by the information regarding availability of vessel is communicated to the company. Based on the information given by C & F agent, information about the stuffing is given to the central excise authorization for stuffing

i.e., the house stuffing procedure. After stuffing, the details of shipments are sent to the overseas buyer for their information It is ensured that the C & F agent for onward submission to the bank prepare the following documents and submit to the Director under copy to the manager (exports) for verification and records of export marketing department Invoice Packing list Bill of lading Bill of exchange Certificate of origin Health certificate On receipt of the above original documents, it will be verified and approved by director before presentation to the bankers. The document copies received by manager (exports) shall be verified and signed by his/her before taking as records. The documents are handed by over to the bank for negotiation and the bank after negotiation sends the documents to our overseas buyers bank. Copies of the documents are maintained.

STRUCTURE OF EXPORT DEPARTMENT

BOD

Export Mnger

Mngr: Pcking Division

Officers

Officer

Junr: Officers

Supervisors

Supervisors

Officer

Workers

CHAPTER - 5

SWOT ANALYSIS
STRENGTHS 1. In Kerala Eastern is the market leader with more than 70% market share to almost all its products.

2. Eastern is the largest exports of spice powders in consumer pack from India that export mainly to middle East, U.K, Australia and Germany. Presently the company is exporting 60% of its products.

3. company has got ISO 9001-2000 and 22000 certification

4. First company in India and second company in Asia to get ISO 22000

5. Eastern was selected as second among most popular brand in Kerala by the Dhanam Business survey in 2011

6. Direct distribution in 40000 shops in Kerala

7. Fully computerized departments it enables them easy handling of transactions and documentations

8. HACCP- Hazardous Analysis Critical Control Point Certificate issued by food cert Bv Netherland

9. Company is promoting Mohanlal Taste Buds as their second brand

10. Orders are more in export. So Eastern is the leading exporter 11. Best spice export award from spice board for the last 10 year

12. Strong relation between the organization and employee at all level is the major for the success of the company

13. Company focus on relationship marketing. 14. Complaint handling done in an efficient manner.

15 Eastern consist of well qualified and skilled managers and employees

16

98% of sale is ready cash sale

17 Well established quality control lab helps to check raw material at all level

WEAKNESS

1. Lack of research in marketing level is another weakness of the company

2. Consumers are not much aware about ISO 22000 certification.

OPPORTUNITIES 1. Extend the market to other countries also 2. Extend the product line (instant gravy mix) like the other rival. 3. Attract foreign investment for further development 4. Participation in international food fest

5. Possibility of get listed as a public limited company 6. Change in the life style of people a good sign for ready make food industry 7. The North India market can expect more growth in future 8. Starting a spice garden will give more opportunities to the company 9. Competitions in the market also give another opportunity to the company THREATS 1. Upward trend in material price

2. Unexpected climate change

3. Change in consumer attitudes and preference

4. High competition in the local, national, and export market

FINDINGS

Eastern curry powder is a household name in India and is the largest exporter of Spice powders in consumers. Pack from India those exports mainly to Middle East, U.K, U.S.A, Australia & Germany.

Presently the company is exporting 60% of its products.

 The total number of employees in the company is above 2000 The company won prestigious award for the outstanding export performance by spices board India, for ten consecutive years.

>

The company has well organized and coordinated organizational structure.

The companys own vehicles undergoing distribution aids to give an important mode of advertisement.

The company has fully computerized departments.

The company ensures high quality and taste to all its products.

The company have around 200 vehicles for the delivering purpose.

The company always tries to maintain good customer relationship.

The companies have better chance to extend the market to other countries also.

Now the company began to face competition in the local, national and export market.

 Eastern is not supporting any political activities inside the company (trade union activities)

SUGGESTIONS

The company can try to extend the market to other foreign countries also.

The company can always take up new measures to face the competition to remain in the market leaders. E.g.; gives training to sales executives,

promotion of new products like Eastea..

The company can make available pickles in the local market in bottle mode.

Since there is high competition in the local, national and export market the company should try to maintain quality, taste and better customer relations in the future also

Company can reduce its price in local market in order to attract more local consumers.

Company can improve salary system which is better as compared to current system

Company can concentrate on some training and development programs for employee development.

Give proper awareness about ISO standards among consumers this will help to improve product image

CONCLUSION

CONCLUSION
The study concluded at Eastern Condiments Pvt Ltd which is one of the pioneer in spices and food related industry and the market leader in variety of packaged curry powders in south India. It was a general study regarding all functions and aspect of Eastern Condiments pvt ltd, and giving more importance to H.R, Marketing, Finance, Production, and Export & entrepreneurship development program. It is found that a cordial relationship is maintained between all departments for the smooth functioning and achievement of the organizational goal of maintaining the market leadership and companys image. Eastern has achieved these enviable heights mainly due to the hard work and commitment of quality besides bringing a good product at right prices to the consumers. The study helped me to understand that how the company identifies the right taste of the consumers and how it become leading brand of spice powders in consumer pack from India .I was also able to understand some of the opportunities and threats of the company in the organization study. Being a student of M.B A , the internship entitled An organization study at Eastern Condiments Pvt Ltd , has benefited me with so much of confidence and awareness, so as to be able of myself to work in a firm .The study gave me an opportunity to experience and improve my practical knowledge about an organization.

BIBILIOGRAPHY

Vroom, V.H (1964), Work and Motivation Koontz and ODonnell, Essentials of Management www.eastern.com Wikipedia