Introduction Final1
Transcript of Introduction Final1
Introduction
Raidco family curry powder factory is a unit of raidco kerala limited it
was set-up under the assistance of national co-operative development
council(NCDC) commissioned in jan 5th 2000, inaugurated by chief minister
of kerala. The co-operative which is the first of its kind in the state and had
confined its area of operation to northern revenue district start from kasergod
to eranakulam. Its head quarters is at kannur. Raidco has manufacturing unit
such as rubber roller machine manufacturing unit, wheat manufacturing
unit , curry powder manufacturing unit, etc, that are placed at different
district in kerala.
The aim of raidco family curry powder unit is to plan a virtual role in
controlling the price of essential commodities especially in the field of food
product it generate about hundred employment directly and five hundred
employment indirectly. The factory has been technical assistance from
CFTRI mysore. The factory has been awarded by ISO 9002 and RIS.
This practical training done during the period of 21 days was the part of
practical full filament of degree master of commerce. The practical training
was a great experience to knew all about the working of the functional area
in raidco kerala limited kannur.
In kannur raidco has curry powder factory and processing unit.
The major products manufacturing at curry powder factory are : chilly
powder, coriander powder, turmeric powder, masala etc, jam, squash, sauce,
etc are manufactured in processing unit. The curry powder industry has
minimum gestation period. The investment in this type of industry will be
comparatively less and technology utilization also less.
Objective of the study
The present study is conducted with the following objectives:
1. To analyze various functions performed by quality control
department in the company.
2. To evaluate the efficiency and effectiveness of quality control.
3. To analyze the quality control process for testing the quality of the
product.
4. To suggest the masseurs for improvement in the quality control
department based on the study.
Importance of the study
The success of every business concern depends partially up on the
quality of the product manufactured by the firm. The study would analyze
the quality control procedure of the company. Manufacturing and improving
the quality through good manufacturing process is an important concept of
the company.
Scope of the study
The study mainly aims analyzing and assessing the efficiency of the
quality control of the company.
Methodology
The present study is based on a single unit, and hence case study approach
is accepted as a general method of study. To evaluate the quality control of
the organization certain procedures are used mainly two types of data is
collected viz, primary and secondary data. Primary data is collected by
interviewing managerial personal and other office staff of the co. The
secondary data is collected from published statements and records of the co.
Limitation of the study
1. Owing to constrains of time a detailed and elaborate study could not
be attempted. So information’s relevant for the study has been
collected as far as possible.
2. The study is the pattern of the case study and hence conclusion is
made on a single unit its generation will have its own limitations.
Layout of the study
The study is divided into five chapters. The first chapter contains an
introduction, objective, scope, importance, and limitations study design and
company profile. The second chapter deals with various departments and its
functions. The 3rd chapter deals with theoretical view of quality control.
Forth chapter deals with analyzes and interpretation of data through
collected data. Chapter five the finding, suggestions and conclusion based
on the study.
Purchase department
Right quality and quantity of material is the responsibility of the purchase
department.
Department which is under the control of the purchase manager is in close
association with quality control department, accounts department and the
stores. Purchase department is responsible for all purchases like raw material
machine parts and also knew machines.
An ISO norms the supplier of row material in an authorized dealer the
management committee in the management review meeting gives the
authorization.
The purchase department is responsible for the timely supply of all items
required in the factory also finding new suppliers, raw material market in
peek season for each items. Comparative study of prize and quality is
according to the present market scenario.
Procedure
Row material comes under mainly two categories A and B
A - Major items.
B - Miner items.
A – Major items
Chilly, coriander, turmeric and raw rice.
Purchase order placed with approved vender for major items. The list of past
supplies has been maintained. Based on the annual production plan.
Seasonal material are purchased in bulk quantity during the crop season are
stored.
B – Miner items
Spices, pulses, boiled rice and salt.
These items need small quantities for the production of massalas purchase
from local market which is approved by the factory manager, after quality
wise comparative analyze in lab by quality control officer.
Steps followed for preparation of purchase order
1 production department will raise quantity required, analying,
a) present stock at store
b) indent from various departments
c) production plan for every month.
2 for major items, purchase department have to set minimum 3 quotations
including samples and follow the procedures mainly below.
a) purchase department will prepare price wise comparative
statement.
b) the quality control department will purchase quality wise
comparative statement.
d) based on the above recommendations purchase department
has to put the statement for approval of factory manager /
managing director.
e) after getting approval from the factory manager /managing
director purchasing department can prepare purchase order
to suppliers.
3 quality of each purchase is fired on the basis of
a) Requirement for the marketing department
b) Production plan by production department
c) Availability of row material by purchase department
d) Quality of raw material by quality control department.
4 for approving new venders for major item there after or quotation should
be placed before MRC also with the vender feed back report to the audit
team which is formed with the the consent of managing director for vender
approval.
4 for minor items the purchase officer with approval of managing director
can add new venders in the supplier list.
If there are any immediate requirement the department has the authority to
pass all the procedures and order for item telephonically. In such cases the
supplier should be a regular supplier who believed to supply good quality
material. The purchase order in this case can be send later; purchase
department should also representative for authorization and ratification
required for the purchase from board of directors.
Stores department
Store department releases required items for representative departments
whenever it demands, always keeping the minimum stock level for all raw
materials.
Store department reports to the purchase department when ever the stock
level reaches to minimum level. Purchase department transfer these items to
the stores.
Production and maintenance department reports there requirement in ‘Goods
Requisition Notes’ to the stores department. After getting this note, the
stores department issues the item with ‘Goods Issue Note’ it also release
finished goods to the dispatch deportment when ever supply order comes
from the dealer.
The important function of the stores department is checking and clearing the
row material come into there godown on purchase order. After receiving the
material the stores department prepares goods received notice.
Ware house
There is four different ware house is there in the factory. They are;
1. Large raw material ware houses(spices)
2. Temperature and humidity controlled where houses for miner spice as
and food products.
3. Two packing material ware houses are located in various areas.
All the ware houses are kept in accordance with food materials storage
standards all ware houses are kept in accordance with HACCP
regulations.
Items including in stores
1. Row materials like spices, coriander etc.
2. packing material
3. Consumer stores
4. Consumer spares.
Place of purchase
Chilly - Karnataka and AndraPredesh
Coriander - Rajasthan and Tamil Nadu
Turmeric - Salem (Tamil Nadu)
Wheat - Punjab
Species - Purchased from local market.
Mode of payment
Minimum of one month credit level is the payment method.
Wastage is in a small level as pre-cleaning time of coriander and polishing
of wheat clearing in an ordinary manner. Fifteen days credit is allowing to
the suppliers.
Production department
Organization wealth is determined by production. Production is a process or
set of procedures to be executed in order to convert or transform a set of
inputs in to a pre-determined set of outputs in accordance with the objectives
assigned to production system.
Production is the center one in the organization as it directly with finance,
marketing and personal. Production of goods and services is a broader one.
In general production is equated with manufacturing which is a myopic
interpretation. Fundamentally they look alike.
Mainly four types of production departments are widely using. They are
product layout, processing layout, group layout and stationary layout.
According to the nature of production suitable production methods is using.
In this firm productions of row materials related to different products and
their production in different so machines are located as process layout.
The production processes of row materials are given below:
1. Drying (optional for chilly, coriander and rice)
Drying enables to reduce moister content. Drying is carried out in the
sun light or the dryer at the temperature of about 65-70 degree
Celsius.
2. Pre cleaning (for coriander and rice – done manually).
3. Roasting (optional for masalas)
4. Grinding
5. Blending (for masalas) blend each of them per ratio
6. Sieving (sieve each item with its particular sieves in the sifter)
7. Packing (packed item in polyethylene/polyester/poly laminate
pouches)
8. Weight checking (checking the pouches as per the sampling plan).
The main type of material used
1. Chilly
2. Coriander
3. Turmeric
4. Wheat
5. Spices.
The main machines using in the factory are;
1. Drying machine
2. Roasting machine
3. Grinding machine
4. Sifter
5. Packing machine.
Maintenance type
Preventive maintenance schedule is using. Schedule checklist prepared for
the maintenance. Expedition action is taken for breakdown maintenance so
that it should not effect the production.
Machinery and method of using
The fineness may be different for different products
- chilly and coriander are grinned at 500 microns
- turmeric is grinned at 300 microns
- masalas and puttu podi are at 719 microns
- appam podi at 300 microns
- wheat at 425 microns
100gm, 200gm and 500gm will be packed by using packing machines at 1kg
, 2kg will be packed by manual labors.
The batch number, MRP, manufacturing date, expiry date in sealed
manually.
Production capacity
200 tones / month are the production capacity. The utilization of the capacity
is 100 tones / month.
Types of machines
There is mainly eight types of machines are involved in process they are:
1. Grinding machine : for grinding purpose
2. Huller machine : using for polishing the wheat
3. Sifter machine : for sieving purpose
4. Packing machine : for 100gm, 200gm, and 500gm (above 500gm
done manually
5 Pre-cleaner : using for cleaning the coriander
6 Roaster
7 Drier
8 Mixer.
All machines are purchased from Ahamedabad and Gujarat with one year
guarantee.
Power
Factory has HT connection. Under it they have to pay 25,000 minimum with
a limited units upon it they have to pay unit/paisa. Ordinarily company has
50,000 Rs / month for power.
Quality control department
Quality control is a name given to the collection of
management technique and devices used to manage, monitor and control all
this steps in the production of a product of desired quality. Quality control
has more than a paper empire, it is more than a set of statistical formulas and
tables for acceptance and control. Indeed it is more than a departmental unit
responsible for quality control.
In this raidco family curry powder unit has a good
quality control department, as its product is related to food item, that is why
giving more importance to these quality aspects. This quality control
department testes samples of row materials from suppliers, row material
purchased samples from production area also random checking of finished
goods. The quality control department should draft the specifications for row
materials aspects ISO norms.
Row materials are inspected individually by visual inspection and then by
physical analyzes. --------------- Well as chemical analyzes are tested and
weights of finished pouches are also checked. This test is carried out for
each batch in case of chilly, coriander, turmeric, rice powder and curry
powder.
Awards
1. ISO 9002
2. BIS
These two, ISO 9002, BIS are awarded that the organization goal all ready
for quality work.
Quality policy
1. To supply food products as per customers and legal requirements.
2. To assure timely delivery of materials as per the agreement with in the
dealers/agents and continue improvement of effectiveness of quality
management system
3. The company will deliver the best value for the money of the
customers.
4. To ensure the quality of the product the co follows modern
technologies.
Quality objectives
1. Assuming the product as per specifications
2. Maintaining and improving quality through good manufacturing
process
3. To stimulate an aggressive quality consciousness among all company
together.
Finance / accounts department
Source of finance
1. Shared capital
2. Deposit from dealer
3. Deposit from staff
4. NCDC loan
5. State government
6. Cash credit
These are the sources of finance
Policies of accounting
1. Fixed assets are valued at cost of acquisition less depreciation
2. Depreciation on fixed asset is calculated and provide on straight line
method 10% depreciation is charging
3. Investment is valued at cost
4. Valuation of inventories of finished goods is at cost
All types of ledgers and registers are keeping
Share capital 7 crore
1 20,000 ‘A’ class share of Rs 500 /each 1,00,00,000
2 20,000 ‘B’ class share of Rs 100 /each 20,00,000
3 58,000 ‘C’ class share of Rs 1000 /each 5,80,00,000
7,00,00,000
Paid up capital
No of members Class No of shares Value Amount
1056 A 3023 500 15,11,500
398 B 407 100 40,700
1 C 37123 1000 3,71,23,000
3,86,75,200
1. more than 1 crore from NCDC loan
2. more than 50 lakhs from District Co-operative bank loan 1,50,00,000
in the capital for land, building and machinery charging 10% of
depreciation
Turn over
2003-2004: Rs 2,32,00,000
2004-2005: Rs 2,42,00,000
2005-2006: Rs 2,08,00,000
Purchase amount
2003-2004: Rs 2,17,00,000
Auditor
Assistant registrar of Co-operative bank is the auditor for the
organization. The auditor is appointing according to the rules of the co-
operative sector
Marketing / sales department
Marketing is social and managerial process by witch individuals and
group obtain what they want and need through creating, offering, and
exchanging products of value with other. This marketing includes the
concepts of exchange concepts, product concept / service concept ,
production concept, network concept, sales concept, and satisfactory
concept and relation ship concept. Marketing comes clear only when all
this concepts comes there.
Marketing is certain and delivery of standard of living of customers.
RAIDCO FAMILY CURRY POWDER UNIT has a very good
marketing and sales department. They are doing there marketing all over
Kerala in a systematic way and also planning to market there products in
Gulf countries also. Marketing department working in good systematic
way that gives them good result.
Raidco has the marketing area all over Kerala. Through dealer network
company has district wise area representatives under this they have taluk
wise area distributors.
Distributors – Relations
Four area sales offices are there, located in Kannur, Calicut, Kottayam
and Trivandram. It has good marketing system through its dealer, which
comes around 14 menbers.
Company is adopting ‘Direct to retailers’ system in one district (Wynad)
on experimental basis. Sales representatives are responsible to submit
monthly sales report to marketing department. Company is supplying
according to the order by respective dealer through prescribed ordering
form. If order received verbally or telephonically a written statement is
made and order requirement are agreed before there acceptance.
Goods are supplying as per order with in week using dealer network. For
this purpose marketing department is desired to start regional godown to
stock the goods.
Promotion policy
Advertisement program covers different media like Television, News
papers, Magazines, Theaters and also Railway station platform, Wall
paints, Banners, Stickers, and Hoardings etc.
Advertising agency = Idea world
Sales promotion method includes company items to dealers. Dealers may
give cash discount up to 4% to 10% for ready payment. The company also
adopts other attractive scheme in festival season.
Pricing
Price of the product changes from each batch. The pricing of the products
based on the rest of the production.
According to this method only ‘RAIDCO FAMILY CURRY POWDER’
doing there marketing and sales in Kerala.
Feed back
Company appoints district wise sales representatives for immediate feed
back. Marketing manager conducting an area sales meeting for knowing
sales of the product and complaint from customers, area sales representatives
are in close contact with sub dealers and retailers for recognizing the
customer preference, complaints goods replaces immediately by marketing
department.
In addition to the marketing department conducts sales meeting in every
month to analyze the sales in this meeting the Marketing manager will give
necessary instructions to the sales representative.
Competitors
1. Mangala Curry powder
2. Amma Curry powder
3. Eastern Curry powder
4. Saras Curry powder
5. Rani Curry powder
6. Panda Curry powder
7. Diners Choice Curry powder
Among this Raidco comes under first five
Company is giving 15 days credit policy only for those giving bank
guarantees. Company is now in growing stage, day by day company’s
market share is increasing although there are a lot of competitors are there
while this unit was establishing, again Raidco is showing a good
performance. Now company is aiming to come among leading 3 positions in
curry powder market.
Human resource department
Factory has 50 causal workers and 20 permanent employees.
SHIFT OR WORIKING HOURS
1st shift 6.00 am To 2.00 pm
2nd shift 2.00 pm To 10.00 pm
General shift 9.00 am To 5.30 pm
3rd shift (if necessary) 10.00 pm To 6.00 am
General shift is only for ladies. Other shift only gent’s workers are working.
Tea brake is there for 10 minutes 2 times and half an hour lunch breaks.
Trade unions
KCEU - Kerala Co-operative Employ Trade Union(CITU)
KCEF - Kerala Co-operative Employ Front (INTUC)
Recruitment policy
The head office situated in Kannur under take the placement. Recruitment is
done through Advertisement-Written test – Interview- Selection.
Probation period is up to one year. Recruitment is also from the educational
institution like industrial training institute. Continues training schedule is
giving.
On-the-job training is given for employees. Individual records for training
are kept and maintained properly. Evaluation is on the basis of ranking.
Wage and salary
Administrative department is responsible for wage and salary. Wage and
salary is giving according to the kerala state rules. LD clerk grade employ
are given to pay scale of Rs.3295/- in probation period after that these will
get Rs.80/- additional and 38% dearness allowance. Apprentice trainee will
be given a stipend of Rs.1090/- casual workers according to factory act men
Rs.75/- day woman also driven Rs.70/-day also an additional amount of one
day wage for a week.
Bonus, PF, Allowances
Bonus 8.33% is, and giving up to 20% in the profitable year. Provident
found deduction of 12% from salary, pention benifites deduction of 12%
from salary. Employee is getting medical allowance of Rs 100, production
worker get Rs 300 as uniform allowance and 20 washing allowance.
RETAIRMENT AND TRANSFER OF EMPLOY
Age for retirement in 58 years will be given PF and pension Fond.
Transfers: punishment transfer, requested transfer and general transfer.
General transfer is normally performed in April or May.
Three types of leave allotted to the workers.
- 15 casual leaves
- Earned leave of 20 days in the ratio of 18:1 and medical leave of ten
days.