1. INTRODUCTION
1.1 INDUSTRY PROFILE
Poultry farming is the practice of raising poultry, such as chickens, for the purpose of farming meat or eggs for food.
More than 50 billion chickens are reared annually as a source of food, for both their meat and their eggs. Chickens
farmed for meat are called broilers, while those farmed for eggs are called egg-laying hens. In total, the UK alone
consumes over 29 million eggs per day. Some hens can produce over 300 eggs a year. Chickens will naturally live for 6 or
more years. After 12 months, the hen’s productivity will start to decline. This is when most commercial laying hens are
slaughtered.
The majority of poultry are raised using intensive farming techniques. According to the Worldwatch Institute, 74
percent of the world's poultry meat, and 68 percent of eggs are produced this way. One alternative to intensive poultry
farming is free range farming.
Friction between these two main methods has led to long term issues of ethical consumerism. Opponents of intensive
farming argue that it harms the environment and creates health risks, as well as abusing the animals themselves. Advocates
of intensive farming say that their highly efficient systems save land and food resources due to increased productivity,
stating that the animals are looked after in state-of-the-art environmentally controlled facilities. A few countries have
banned cage system housing, including Sweden and Switzerland. Consumers can still purchase lower cost eggs from other
countries' intensive poultry farms.
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1.2 COMPANY PROFILE
VKS Farms was set out in 2001 as a trading company dealing with agricultural commodities. Soon with their deep
rooted commitment and efforts, they were able to attain the status of multi-food product company dealing with eggs,
chicken.
VKS Farms an inedible name in the Indian Food Processing and exports industry is a business conglomerate with
diverse business interests in the food processing domain. The superior quality of products, business ethics, impeccable
infrastructure and capacity of VKS is well lauded.
Integrated Supply chain across the country that lets VKS bring “only the best” to its customers. With its presence in
both the domestic and international markets, VKS is a name synonymous with the quality products with natural goodness.
A passionate enterprising spirit explored in different domains in the industry. Diverse offerings have been well-
accepted in the global markets, tickling the taste buds of discerning customers worldwide. They continue to make a mark
across the world with superior quality products .Formally known as VKS EXPORTS PVT LTD…
The unstinted efforts of Mr.A.Shivakumar (Managing Director) and Mr.Ashwin Subramaniam (Executive Director)
have been instrumental in making them what they are today – a leading exporter of poultry products and other agro
products in India. The Management is ably backed by a team of professionals, enabling well-coordinated and organized
practices within the company. With a team of resourceful personnel, they believe that they will be able to pave new paths
to progress.
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1.3 ORGANIZATION STUDY
Organizational Study is a tremendous opportunity for the students to undergo and know the practical applications of
the organization.
Education becomes valid when we properly use it for practical purposes and it can be best achieved only through
the gateway of Organizational Study.
This Organizational Study was undertaken at VKS Farms Pvt ltd situated at Coimbatore for a period of 5 weeks
from 20.06.2010 to 23.07.2010. The main business of VKS Farms Pvt Ltd concentrates mainly in the production of broilers
and eggs.
This Organizational Study infers to know about the history of the company, its organizational structure and the
various departments, their functions and achievements.
1.4 AWARDS
Testifying to their exemplary performance in the export of Poultry Products, they have been conferred with the
APEDA export award by the Ministry of Commerce.
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APEDA EXPORT AWARD (Agriculture and Processed food Export Development Authority)
Certificate of Merit (2004-05) was received from Sri.Kamal Nath (Hon’ble Minister of Commerce)
Bronze Trophy (2005-06) was received from Sri.Kamal Nath (Hon’ble Minister of Commerce)
Golden Trophy in Poultry sector as No.1 poultry exporter in our country by APEDA Govt of India for the year
2007-08 & 2008 – 09.
The award was presented to VKS by Mr.Anand Sharma,Union Cabinet Minister for Commerce and Industry in a
function held by Ministry of Commerce Government of India on Delhi on 18th of August 2009.
1.5 VISION & MISSION
VISION
Bringing opportunities to rural India by "Farming to the World"
MISSION
Providing hygienic and excellent quality products,and continue to expand
our markets by discovering new opportunities.
2. ORGANIZATIONAL STRUCTURE
It formally determines the hierarchy within an organization.In other
words,who reports to whome. some companies refer to this as
organization chart. Among the numerous type of organization
management structures, VKS Farms is following functional /hierarchical organizational structure.
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An organization needs a structure for achieving common goals-the functional model is structured hierarchically with a
strong concept of sub-ordination.Most companies in the modern era rely upon this functional/hierarchial model.
The organizational structure with functional focus tries to allocate the available people according to their
roles,forming what is referred to as functional department.Each department usually has a department head with the title of
department manager or something similar.
2.1 BENEFITS
Chain of command is linear and sound.
The human resource abilities are constantly nurtured by tutoring,leadership and guidance.
The development of professional expertise attained by clustering specialists in the present function as a single unit.
Provides an easy path for the employees to grow within the organization upwards in the organizational tree.
2.2 DRAWBACKS
The flow of communication and synchronization between functional departments is complicated.
The speed of resolving problem is slow and inefficient.
Grouping basad on functions results in the lack of broader view from employees resulting in narrowed vision of
overall objective.
In such a model,the purchase department concentrates on purchase,finance department concentrates on finance.
Following is the organizational structure which explains in detail the various functions carried over by the
organization.
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2.3 ORGANIZATION CHART
MD
GM
AGM Acc&Fin AGM
MarketingAGM
ProjectsAGM
TechnicalManager
ITManager
SCM
Asst Manager
HR
Manager Exe
ManagerAcc
ManagerMarketing
Broiler Acc Exe
Breeder Acc Exe
Feedmill Acc Exe
General Acc Exe
Marketing Exe
Marketing Exe
Marketing Exe
Manager Projects
Manager Technical
Farm Incharge
Farm Supervisor
ITExe
ITExe
SCMExe
SCMExe
SCM Exe
SCM Exe
HRExe
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3. DEPARTMENTAL FUNCTIONS
3.1 EMPLOYEES
There are about 1200 employees led by Mr.A.Shivakumar(Managing Director) and S.Ashwin Subramaniam (Executive
Director) with the support team of
Operation
Sourcing
Veterinarian
Meat technologist
Microbiologist
Health & Hygiene personals.
3.2 DEPARTMENTAL FUNCTIONS
They have several departments such as:
Accounts & Finance
Marketing
IT
SCM
HR
Production & Operations
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4. FINANCE DEPARTMENT
VKS has four major divisions in finance.,
Breeder & Hatcheries accounts.
Broiler accounts.
Feedmill accounts.
General accounts.
All the entries are fed into the system through the software, TALLY.
4.1 BREEDER & HATCHERIES ACCOUNTS
4.1.1 BREEDER ACCOUNTS
In each breeder farm there will be line supervisors. They look after the farm and maintain record which includes the
number of birds(opening and closing stock),mortality of birds, etc.
These supervisors give a detailed report to the breeder accountant daily and they receive the report through mobile
phone and finally feed them into the system.
The supervisors need to submit the manual report to the accountant weekly once and they do a cross check with it.
If the entries in the system and manual report differs they have to find out the valid reasons.
4.1.2 HATCHERIES ACCOUNTS
Similarly the line supervisors maintain a detailed manual report about the no of settled eggs, jumbo eggs, crack
eggs etc.
They give the report to the accounts section through mobile phone and finally they feed into the system.
The supervisors need to submit the manual report to the accountant weekly once and they do a cross check with it.If
the entries in the system and manual report differs then they have to find out the valid reasons.
4.2 BROILER ACCOUNTS
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The supervisors maintain the farm report.
It consists of:
The chicks given to the farmer and the delivery Chelan indicating the no of chicks received by him.
No of weeks within which the chicks has to be grown.
Once the growth period gets over the grown birds are given to the traders. The way men go along with the traders to
dispatch the chicks and the no of chicks dispatched are noted .
The weight of the vehicle before and after loading the chicks are noted down known as the weightment slip. It is
signed by the farmer, trader and supervisor.
Based on the filled details in the farm report the broiler accountant has to feed the entries in the system.
The growing charges include:
Std GC
Recovery/incentive
Total growing charges earned
Farmer advance
Weak birds sales
Shortage recovery
Based on the details the net amount payable to the farmer is calculated.
4.3 FEEDMILL ACCOUNTS
As per the requirements given by the farm they give an intent to the purchase department.
The purchase department is responsible to give the required amount of feeds within the given time.
The feedmill accountant maintains accounts based on the feed given to the
Pre-broiler starter(PBS).
Broiler starter(BS).
Broiler grower(BG).
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Broiler developer(BD).
They deal with the material requirement planning. The materials required for about a week are purchased.
The opening and closing stock is recorded by the supervisor and they give a daily report to the feed mill accountant and
finally these entries are fed into the system.
4.4 GENERAL ACCOUNTS
They maintain a general account of the number of farms and their respective transactions.
They have either debit/credit note for all the farms.
The mode of payment may be direct cash/cheque.
The transactions are carried through the banks such as ICICI, AXIS, IDBI, SBI ,etc.
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5. PRODUCTION
5.1 SUPPLY CHAIN MANAGEMENT
At VKS their aim to provide quality products is a constant driver of all their
processes. With this focus comes the challenge of identifying and recruiting the best-in-class suppliers for all requirements.
A dedicated Supply Chain Management (SCM) team works round the clock to identify potential suppliers and procure
the required high quality raw materials in a timely manner.
With stringent quality specifications and measures,SCM division is driven to optimise cost and productivity by
sourcing the quality raw materials at the best possible price.VKS provides a lot of support to its chosen suppliers, from
training small manufacturers in know-how to match the high standards, and by making prompt payments in a transparent
manner.
According to the intent received from various departments,the purchase department plays a main role here and prepares
quotation for the raw materials.
The steps followed in the feed purchase are:
Quotation to the suppliers
Selection of the supplier based on the quality and price
Agreement to deliver the raw materials
Transported to the feedmill
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In Pass
Lab testing
Unloaded to the godown
Maintanenece of stock
Delivered to the required places
The feedmill gives maximum amount of profit to the organization. It is the risk of the supplier until it is
unloaded .After that it is the risk of the management. Only limited amount of raw materials are purchased according to the
intent given by respective departments.
5.2 QUALITY
Being an integral part of the food processing industry, they understand the enormous significance attached to quality.
Therefore, they ensure a series of stringent quality control measures to maintain healthy & hygienic products.
Qualified personnel and state-of-the-art labs are available at all factories to make sure that the quality standards are
adhered to.
From live bird processing until delivery, quality remains the Hallmark of their products.
5.3 EXTENT OF MECHANISATION
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The processing unit is fully bio-secured. It has sensors which checks the quality of processed chicken.
Based on the quality the processed chicks are classified into Grade A and Grade B chicken. Grade A chicken are
exported whereas Grade B are used for commercial purpose.
It has a rendering plant which converts the unwanted parts of chicken into dog biscuits. This brings huge amount of
profit to the organization .The profit is nearly about one and half lakhs per day.
5.3.1 BENEFITS
Manual work is reduced.
Time is consumed.
Very efficient and effective.
Quality of the products is improved.
5.4 PRODUCTS
Just as variety is the spice of life, they believed that they need to diversify their ventures and exploit the immense
potential that the food processing industry offers. At the moment, their expertise extends across the following products:
5.4.1 EGGS
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Egg division was started in 2002, in the Namakkal District of Tamilnadu. Within a short span, they have tremendously
developed as the largest exporter of chicken eggs from India and hold 70% of the market share of egg exports from India.
This has largely been made possible by their well-established supply chain and committed efforts to deliver high
quality farm produce.Farm fresh eggs and customer service have won the patronage of customers from as far as the Middle
East, Africa and Asia. In fact, they were among the first to explore new territories across Africa and Asia.
They have the full in-house infrastructure to handle egg exports of any volume. They also produce paper cartons and
moulded paper pulp trays, which are the primary packing materials and the full logistics cold chain to deliver top quality
fresh eggs to all their customers.
5.4.1.1 PACKING
30 eggs laid on paper pulp moulded trays.
12 trays packed in 5 ply strong export cartons.
360 eggs per carton.
5.4.1.2 SHIPPING
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1312 cartons in 40 feet high cube container.
472,320 eggs per 40 ft high cube container.
5.4.1.3 EGG DETAILS
Colour : White and brown eggs. Size : 50 – 55 gms.
Egg yolks are one of the few foods that naturally contain Vitamin D.
The greatest number of yolks found in one chicken egg is nine.
The largest ever recorded chicken egg weighed nearly 12 ounces,and measured 12.25 inches around.
It takes about 4 1/2 pounds of feed for a chicken to produce a dozen eggs.
The colour of the egg shell is not related to quality, nutrients, flavour, or cooking characteristics. White shelled eggs
are produced by hens with white feathers and white ear lobes. Brown shelled eggs are produced by hens with red
feathers and red ear lobes. Brown egg layers usually are slightly larger and require more food, thus brown eggs
usually cost more than white eggs.
5.4.2 CHICKEN
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VKS boasts their strong presence into the broiler integration business. The venture was started primarily to cater to the
rising demands of the domestic and international market. The integration model of growing chicken is a widely successful
one. They own full value chain from parent breeders, hatcheries, and commercial broiler farms, feed mills, chicken
processing plant and retail chain outlets.
They are one of the largest exporters of poultry from India. Chicken exports being their main area of growth focus,
they are planning to extend the reach of Indian Chicken throughout the globe.
The processing plant for exports and domestic market is set up on par with international standards near Coimbatore,
equipped with the best machines in the world to produce highest quality of processed chicken.
5.4.2.1 VARIETIES
Whole Chicken (with or without giblets)
Boneless Breast
Boneless Legs
Drumstick with Skin
Drumstick Skinless
Whole Leg with Skin
Whole Wings
Lollipop
Curry Cut with Skin
Curry Cut Skinless
Skin
Liver
Gizzard
Heart
Hawk
Minced Meat
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5.4.2.2 DETAILS
Chickens are descendants of the red jungle fowl (gallus spadiceus) that lives in Asia.
4,000 years ago, the Egyptians built brick incubators which could hold 10,000 chicks at a time.
More than half of all chicken entrees ordered in restaurants are for fried chicken.
The first Poultry Exhibition was held in the United States on November 14, 1849. There were 219 exhibitors, 1023
birds, and over 10,000 visitors
It is against the law to eat chicken with a fork in Gainesville, Georgia, the 'Chicken Capital of the World.'
5.4.3. Frozen Halal Buffalo Meat:
Renowned for its quality and richness, the Indian buffalo meat is fast gaining preference all over the world. We started our buffalo meat operation in the year 2006. The meat is slaughtered in the best slaughterhouses and packed from the best-maintained pack houses in Uttar Pradesh. Care is taken to see the best food safety is ensured and packing measures are followed. We produce de-boned and de-glanded frozen buffalo meat, which is exported to Middle East and African destinations. Buffalo meat is hygienically packed in different cuts with visual lean of 98%, frozen @ -40C for exports in production facilities which are on par with international standards.
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5.4.4 SALT:
We started trading salt from the year 2000 to African and Middle Eastern countries. In 2006, we set up our own salt refinery at Tuticorin, Tamil Nadu with a capacity of 3000 tons per month and now expanding to 6000 tons per month . The plant manufactures refined iodized and non-iodized salt. Trusalt has gained prominence as a renowned salt brand in India. Besides this, we also serve a variety of export and local market requirements.The raw salt is procured from well-maintained salt pans in Tuticorin through a strong procurement programme. The plant is installed with the most contemporary machinery to produce the best quality iodized and non-iodized salt. An experienced and professionally qualified team oversees the operations.Packing:
1kg, 2lb, 500gms, 1lb,5kg, 25kg and 50 kg.
Product
Iodized refined free flow salt (table Salt)
Non iodized refined free flow salt
Fine powered salt
Brand : Trusalt
Trusalt is a naturally free flowing iodized salt.
Trusalt is treated and packed at the most hygienic state-of-art and sophisticated salt refinery.
Trusalt is a terrific flavor enhancer, helping to reduce bitterness and acidity.
Trusalt brings out the true flavor in the food.
Add Trusalt to your food to stay healthy naturally.
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We have recently forayed into the broiler integration business. The venture was started primarily to cater to the rising demands of the domestic and international market. The integration model of growing chicken is a widely successful one. We own full value chain from parent breeders, hatcheries, and commercial broiler farms, feed mills, chicken processing plant and retail chain outlets.
We are one of the largest exporters of poultry from India. Chicken exports being our main area of growth focus, we are planning to extend the reach of Indian Chicken throughout the globe.
The processing plant for exports and domestic market is set up on par with international standards near Coimbatore, equipped with the best machines in the world to produce highest quality of processed chicken.5.5 OPERATIONS
5.5.1 VKS BROILER DIVISION OPERATIONS
5.5.1.1 GRAND PARENT (GP) & PARENT LINES
Vks makes a purchase of day old Grand Parent chicks from other companies .Parent lines are reared by experts with
scientific management processes in a bio-secure environment.
With a keen understanding and insight of requirements,Parent lines are reared to deliver improved feed conversion
rate (FCR), increased productivity, better performance and adaptability of the chicken to Indian environmental conditions.
The experts add further value to help achieve better quality chicken meat and eggs.
5.5.1.2 BREEDER
BROILER OPERATION
GRAND PARENT
FARMS AND HATCHERY
BREEDER FARMS & BROILER
HATCHERY
BROILER FARMS
FEED MILL
PROCESSING UNIT AND
RETAIL OUTLETS
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They raise generations of birds, selecting the best chickens and breeding them with other great chickens, in order to
develop lines of chickens that have the best attributes.
They know that when they breed two chickens together that both have white feathers, then they will most likely get
offspring that also have white feathers. By selecting the best chickens in each generation, they eventually develop of whole
group of chickens that have those important traits. They use only natural methods and never use genetic modifiers, like
cloning.
The Breed varieties include:
COBB 400
HUBBARD
C& M CLASSIC
ROSS
5.5.1.3 HATCHERY
It has leased hatcheries to ensure continuous supply of chicks to the farmers in specific regions. This consistent focus
helps in improving the hatching capacity significantly. The state-of-the-art hatcheries help produce and deliver the
healthiest chicks with maximum potential for growth and optimum feed conversion rate (FCR).
Further, uniformity in bird size is taken care along with adaptability and livability. Team of experts ensure that the eggs
are hatched in fully computerized temperature and humidity controlled state of the art setters.
5.5.1.4 FEED MILL
Poultry feed being the major input in the poultry production accounts for 70% - 80% of the total production cost. With
the poultry industry in India ready for a rapid growth, availability and cost can become critical influencing the production
costs and the overall quality of the product. With this keen understanding and foresight, it ensures highest quality of feed in
a timely manner and in adequate quantities.
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VKS has three feedmills. Feedmills are automated with inbuilt facility to store maize and soya in steel silos. The
finished product and other ingredients are further safely stored in the godowns. The feed produced meets the highest
hygiene and environmental standards.
The feed ingredients include Soya,Corn,Soya oil,dry fish, Premix and various other items. Nearly 30 type of
ingredients are used and the proportion mix and feed varieties for chicks at various stages.
The stages include:
Pre-broiler starter
Broiler starter
Broiler grower
Broiler developer
The quality parameters for Soya are,
The Maximum allowed moisture content is 10%
The silica and sand in the supplies cannot exceed 2%
The expected protein content is 48%
The damage to the supplies cannot be more than 2%
The maximum allowed immature seeds in the supply is 2%
The quality parameters for Soya Meal are,
The silica and sand in the supplies cannot exceed 1%
The maximum allowed fiber is 6%
The expected protein content is 48%
The maximum allowed Urease activity is 0.2 units
Accepted protein solubility is 75%
The supply should be free from Citrinin, Afllatoxin B1, Ochratoxin
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5.5.1.5 BROILER FARMS
Poultry farming in India has changed dramatically over the past two decades. With independent poultry farming
concepts, the sector has moved into a well organized network of integrated farming also known as contract farming.The
Indian poultry farmers today find great relief and satisfaction in this model.
The integrated / contract farming model is gaining significant amount of popularity and acceptance among poultry
farmers. This model protects and retains the interests of both the farmer and the integrator. The popularity of this model is
influenced by the fact that the integrator takes most of the risks as opposed to an independent farmer. The integrator takes
full responsibility of providing day old chicks, feed, medicines and supervision to the farmers.
In addition, the integrator brings yield to the independent farmer. Last but not the least, farmers are assured of
considerable earnings Good Manufacturing Practice (GMP), and technical know-how which leads to higher productivity.
The farm is automatically controlled through advanced climate control systems. Optimal temperatures and humidity
levels are programmed into the system and it maintains the conditions round the clock. In addition, the entire feeding and
watering systems are fully automated.
5.5.1.6 PROCESSING UNIT
Vks farms boasts of integrated processing infrastructure on par with the integrated processing units.With its own
grand parents and parent breeders,hatcheries and feedmill that supplies to the commercial broiler farms,vks has exceptional
control over the entire chain of process.The chicken from entire broiler farms is then processed in the central processing
unit.
The processing unit is fully equipped with the requisite machinery throughout the entire processing chain to ensure
productivity and hygiene. Thorough cleaning methods,personel hygienic wears and professional practices are enforced in
the processing unit to ensure hygienic process. The semi-automated unit enables to process meat of any volumes.
The processing unit also includes semi-automated packing facility that ensures proper packaging of the product with
the large storage capacity that is suited for various types of storage.VKS could leverage on the bulk dispatch seamlessly.
The processing hygiene and quality are the buzzwords that are achieved by various meticulous process and methods
followed. The chicken is slaughtered as per the halal rates.
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5.5.1.7 RENDERING PLANT
Rendering is a process that converts waste animal tissue into stable, value-added materials. Rendering can refer to any
processing of animal byproducts into more useful materials, or more narrowly to the rendering of whole animal fatty tissue
into purified fats like lard or tallow. Rendering can be carried out on an industrial, farm, scale.
The majority of tissue processed comes from slaughterhouses, but also includes restaurant grease and butcher shop
trimmings, expired meat from grocery stores, the carcasses of euthanized and dead animals from animal shelters. This
material can include the fatty tissue, bones, and offal, as well as entire carcasses of animals condemned at slaughterhouses,
and those that have died on farms (dead stock), in transit, etc. The most common animal sources are beef, sheep, and
poultry.
The rendering process simultaneously dries the material and separates the fat from the bone and protein. A rendering
process yields a fat commodity (yellow grease, choice white grease, bleachable fancy tallow, etc.) and a protein meal (meat
& bone meal, poultry byproduct meal, etc.).
Rendering plants often also handle other materials, such as slaughterhouse blood, feathers and hair, but do so using
processes distinct from true rendering.
Edible rendering processes are basically processing operations and produce lard or edible tallow for use in food
products. Edible rendering is generally carried out in a continuous process at low temperature (less than the boiling point of
water). The process usually consists of finely chopping the edible fat materials (generally fat trimmings), heating them with
or without added steam, and then carrying out two or more stages of centrifugal separation. The first stage separates the
liquid water and fat mixture from the solids. The second stage further separates the fat from the water. The solids may be
used in food products, pet foods, etc., depending on the original materials.
Alternative process cooks slaughterhouse offal to produce a thick lumpy stew which is then sold to the pet food
industry to be used principally as tinned cat and dog foods. Such plants are notable for the offensive odour that they can
produce and are often located well away from human habitation.
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5.5.1.8 RETAIL OUTLETS
The processed and whole chicken are sold in the retail shops.They have ventured into retailing through their retail
outlets VKS Farms Pvt Ltd..Having incepted it in Coimbatore, today they are in the process of setting up an entire chain of
poultry integration from poultry bird to retail outlets.VKS has several retail outlets situated at various places such as
Coimbatore and Pollachi.
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5.5.2 POULTRY OPERATION FLOW:
Grand Parent day old chick purchase
Grand Parent Brooding
Parent Brooding
Broiler
The poultry operation has to undergo all these stages to produce broiler chicken and enlarge its market .The broiler is
sent to both the processing and also retail units.
During the Grand Parent brooding and parent brooding feed is supplied from the feedmill.They undergo growing,laying
and hatching.
Brooding is for 6 weeks,growing from 6 to 10 weeks and laying from 17 to 68 weeks.
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6. MARKETING
It focuses primarily on the selling or promotion of a product,and not determining new customer desires as
such.Consequently,this entails simply selling an already existing product,and using promotion techniques to attain the
highest sales possible.
This orientation may suit scenarios in which a firm holds dead stock,or otherwise sells a good that is in high
demand,with little likelihood of changes in consumer tastes diminishing demand.
6.1 DETAILS
Sales is done through traders.
SUGUNA,SHANTHI,VENCOFF are considered to be the greatest competitors to the organization.
Advertisements are done through newspapers and television.
The products are marketed in the Middle East,African countries and far Eastern countries.
7. HUMAN RESOURCE MANAGEMENT & IT
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7.1 HUMAN RESOURCE MANAGEMENT
To maximize the return on investment from the organizations human capital and minimize financial risk.It is the
responsibility of the human resource managers in a corporate context to conduct these activities in an effective,legal,fair
and consistent manner.
7.1.1 FUNCTIONS
It maintains all the details of the employees working in the organization.It involves various functions such as,
Recruitment & selection.
Training.
Performance evaluation.
Promotions/transfer.
Industrial & employee relations.
Record keeping of all personal data.
Compensation,bonuses,etc.
7.1.2 ACTIVITIES
Experienced candidates are recruited.
If any fresh candidates are recruited they are trained by their respective higher authorities.
The company provides all the statutory allowances like ESI,PF.
Insurance scheme is provided for all the employees.
Working hours-9.00 A.M to 6.00 P.M.
Transport facilities are provided for all the employees incase if they go for any official work.
A special allowance is provided in the organization for the mobile phones.
Performance appraisal is done for the effective work of the employees.
Increment is given based on the achievements done by the employees.
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7.1.3 HRIS
The HR function consists of tracking existing employee data which traditionally includes personal histories, skills,
capabilities, accomplishments and salary. To reduce the manual workload of these administrative activities, organizations
began to electronically automate many of these processes by introducing specialized Human Resource Management
Systems. HR executives rely on internal or external IT professionals to develop and maintain an integrated HRIS.
Currently Human Resource Management Systems encompass:
Payroll
Work Time
Benefits Administration
HR management Information system
Recruiting
Training/Learning Management System
Performance Record
Employee Self-Service
7.1.4 VEHICLE INSURANCE
Vehicle insurance provides financial cover against damage caused to an insured automobile that occurs due to
accident,fire or theft.It also covers financial liability against damage caused to another person’s property in the event of an
accident.Nearly every country lays down specific rules to regulate vehicle insurance within its purview. The personal
driving record,type and age of the vehicle,mileage and area are the useful factors that determine policy premium.
7.2 INFORMATION TECHNOLOGY
The term Electronic Data Processing is one that is infrequently used in modern computing.Originally coined in an era
in which the idea of storing and processing data on computers could be entertained by only the largest of businesses,EDP is
now a reality of daily life for the vast majority of businesses, around the globe. Infact,the term has since been updated
variously to the better known terms ‘IT’(Information Technology) and ‘IS’ (Information Systems).While the EDP itself
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may be regarded by many as quaint in today’s electronic world,the issues and problems involved in electronic data
processing are faced by businesses large and small everyday.
Most businesses use computers,and the vast majority engage in electronic data processing of some variety-usually in
processing data inorder to provide goods and services in a timely manner.
Being time intensive,electronic data processing can present a major drain on the resources of an enterprise.
7.2.1 ENTERPRISE RESOURCE PLANNING(ERP)
The programming of data processing systems evolved into standardized routines and packages of enterprise resource
planning (ERP) software. On the whole, these ERP systems have their origin on software that integrates information from
different applications into one universal database.
The linkage of its financial and human resource modules through one database is the most important distinction to the
individually and proprietary developed predecessors, which makes this software application both rigid and flexible.
Customized ERP is maintained with separate module and softwares for each department.Softwares are designed using
VISUAL BASIC & SQL SERVER.
ERP delivers a single database that contains all data for the software modules,which would include:
7.2.2 SUPPLY CHAIN MANAGEMENT
Order to cash,inventory,order entry,purchasing,supply chain planning,supplier scheduling,inspection of products.
7.2.3 FINANCIALS
General ledger,cash management,accounts payable,accounts receivable.
7.2.4 PROJECT MANAGEMENT
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Costing,billing,time and expense,performance units,activity management.
7.2.5 HUMAN RESOURCES
Human resources,payroll,training,time and attendance,benefits.
7.2.6 CUSTOMER RELATIONSHIP MANAGEMENT
Sales and Marketing,commissions,service,customer contact.
The entire control is with the IT department.They give Access control to various departments as per the authority
levels for process execution.They have the main server and they have the rights to access or deny any process.
8.APPLICATION OF R& D
The development of R & D division is in process.They have the on-field trial units. The main focus of this is to bring out
the best performance in the broiler, broiler breeder and layer birds with particular focus on improving feed conversion rate
(FCR). Feed conversion rates are aimed for an optimum economic feeding regime and developing appropriate & pre-
eminent management practices from time to time.
In addition, they achieved standardization of nutritional specification for the breed for different seasons, build up
dressing and breast meat yield percentages. Also, they have effectively increased meat production in broiler birds and
maximized layer productivity with highly saleable eggs.
Broiler chickens may often get joint disorders because their legs cannot bear the heavy bodies.It is generally not suited to
small free range homestead flocks which results in mortality.
Inorder to avoid this various proportion mix of medicines and feed are identified which resulted in the reduction of
mortality birds.
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9. FUTURE PLANS
9.1 GP OPERATIONS
Brooding capacity-6200 sq.feet of cage shed in bio-secured area.
Growing shed-10600 sq.feet of cage shed in bio-secured area.
Laying shed-3 nos each shed 10000 sq.feet.
9.2 PELLET FEEDMILL
Broiler feed capacity-400 MT per day.
Breeder & Grand Parent feed capacity-110 MT per day.
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10. SWOT ANALYSIS
10.1 STRENGTH
Largest exporter of table eggs.
Holds 70% of the egg export share.
Recipient of best exporter of poultry products from Government for three consecutive years.
Technological skills of the employees
Production Quality.
Development of variety of brands.
10.2 WEAKNESS
Large amount of investment in the project which results in the late payment to the suppliers.
The IT sector is not much advanced.
10.3 THREATS
Changing customer preferences.
Threat of new entrants into the market.
Technological advances.
Change in Government policies.
Increase in Tax.
10.4 OPPORTUNITIES
Globalisation as a wide opportunity to enlarge the company as a whole.
Frequent introduction of new products.
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11. FINDINGS,SUGGESTIONS & CONCLUSION
11.1 FINDINGS
They are motivating the employees by giving higher allowances.
There is a good relationship between management and employees.
VKS produces and exports high quality products.
Provides excellent service to the customers.
The company does not have canteen facility within the campus.
11.2 SUGGESTIONS
Punch card can be followed to record the attendance.
Canteen facilty can be improved.
To make more advertisements.
Advanced technologies can be adopted in the IT sector.
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CONCLUSION
Thus the organizational study highly helped me in knowing the practical aspects of management in all departments
such as production department, finance department; purchase department etc, of the company technical knowledge gained
in these processes will be helpful to me when an industry is set up. Also various control techniques; each department
activity will be helpful in managing the organization, product and customers effectively. I came to know about the service
rendered by the company to their customers and also I came to know about the selection process of the employees in the
organization. Moreover I came to know about that how performance of the employees is measured.
Hence the study gives a bird’s eye view of how an industry should be maintained to achieve its objective.
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12.BIBLIOGRAPHY
Rao V.S.P, “Human Resource Management”, 2nd Edition, Excel Books, New Delhi, 2005
Saravanavel.P, Sumathi.S, “Production & Materials Management”, 3rd Edition, Margham Publication, Chennai,
2009.
Nair .K.G,”Production and Operations Management”, 2nd Print, Tata Mc Graw Hill Publishing Company.Ltd.New
Delhi, 1997
Pandey I.M, “Financial Management”, 5th Edition, Vikas Publishing House Private Limited, New Delhi, 2007.
Philip Kotler.D, “Marketing Management”, 5th Edition, Tata Mc Graw Hill Publishing Company Ltd,New
Delhi,1998.
www.vksfarms.com
www.google.com
www.wikipedia.com
www.purelineinside.com
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