Professional Documents
Culture Documents
Objectives of The Study
Objectives of The Study
1) To get an idea about the organization. 2) To familiarize with different management activities. 3) To get an idea about the authority structure and effectiveness of various departments 4) To analyze the strengths, weaknesses, opportunities and threats of the Company. 5) To fulfill the requirement of the curriculum. 6) To study the functional aspects of the departments of KSE LIMITED.
Chapter 1
INTRODUCTION
INTRODUCTION
Kerala Solvent Extraction was registered as a public limited company on 25th September; 1963.The Company was later renamed as KSE Ltd and listed in the stock exchanges of Mumbai, Chennai and Kochi. KSE, a Company having an annual turnover of RS 187 crores, is the largest manufacturer of cattle feed.
It is marketing annually about 1.8 lakh tones of superior quality cattle feed KSE is in the oil extraction Industry for the past 31 years
The Company has secured the National Productivity Award for the year 2001-2002 for being first in terms of production efficiency in the animal feed sector. This is the sixth time in a row that the Company is being selected for this most coveted award. KSE, with a capital base of Rs.36Crores embarks on an expansion to double its Solvent Extraction capacity and add a most modern eco friendly vegetable refining plant.
INDUSTRYPROFILE
INDUSTRY PROFILE
The solvent industry has achieved a phenomenal progress and at present there are 520 units having overall oil cake or oil seed processing capacity of more than 24.6 million tones/year, which included rice bran processing capacity of more than 9.9 million/year. The solvent extraction plays important role in the oil economy. Solvent extraction in India was started in 1945.It had to struggle for more than 20 years to establish itself.
Although Kerala produces 80% of total copra produced in the country, large part of it was sold to other states as copra itself and they were earning good profit when mills in Kerala wasnt able to get enough copra for their daily needs. When oil industry in other parts of the country was thriving, in Kerala it was struggling. So they understood the need for modernization of their mills. At that time Dr.P.S.Loknathan committee setup to study the feasibility of
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starting new industries in Kerala, recommended of establishment of 3 solvent extraction plant in Kerala and it was also proposed that one should be located in Thrissur itself.
By the seeing the performance of the Bombay group an investigation department was assigned to investigate it. Then they found out that they were using expeller mills for extracting oil and was able to reduce the oil content up to 6%. The industries in Kerala later began to follow it.
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COMPANYPROFILE
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COMPANY PROFILE
It was in 1963 Kerala Solvent Extraction Limited now known as KSE Ltd. entered the solvent extraction industry, setting up the very first solvent extraction plant in Kerala. The traditional coconut oil industry in the State was facing a decline then. Though the largest producer of copra in the country. As much as 80% of it, Kerala lacked the infrastructure to exploit the potential of its abundant produce. While the oil industry in other parts of the country was thriving, in Kerala it was struggling. The Dr. P.S Lokanathan Committee, set up to study the feasibility of starting new industries in Kerala, recommended the establishment of three solvent extraction plants. And one of them, in Thrissur district. The oil mill owners in and around Irinjalakuda, who where thinking in similar lines saw the opportunity and took the initiative to establish a solvent extraction unit. Thus was KSE born. On the road to success, there were many hurdles. Initially, the mobilization of capital posed the greatest challenge. The future looked grim. But determination and optimism paid off. The solvent extraction plant went on stream in 1972 and in 1976 a new plant was set up to manufacture ready mixed cattle feed, which was pioneering step. Since then there was no Looking back.
The last three decades have seen KSE emerging as the leader in solvent extraction and ready mixed cattle feed in the country. And through these years of consolidation and diversification, KSE has created a niche for itself. 13
Today KSE commands the resources, expertise and infrastructure to manufacture a range of live stock feed, in high volumes, coconut oil from coconut oil cake, and refined edible oil. Driven by a commitment to high standards of quality, KSE has not only won customer confidence but also national recognition through several awards and accolades.
KSE had computerized its operations way back. In the year 1999, KSE went on to upgrade its EDP setup further. A custom made ERP software was developed for its units and head office through M/s.R.R.Software Pvt Ltd, Cochin and Online computerization was fully implemented at all its plants. Being custom made for KSE this ERP software, with SQL RDBMS, front end on Visual Basic and Windows NT OS, seamlessly had integrated all functions of the organization viz FA, Inventory, Billing, Payroll, PPC, MIS, Share Accounting etc. The Head office at Iringalakuda has 2 Servers and 40 Nodes running the application. Other units, in all, have about 8 Servers and about 50 Nodes. Their latest plant at Vedagiri, Kottayam has a computerized control room for monitoring, homogenization, size reduction, batching, pelletisation, pellet cooling and aspiring systems.
From a single unit, solvent extraction plant, KSE has grown into a multiunit, multi-product organization. Infrastructure for growth has always been viewed as a priority at KSE. With modern manufacturing facilities spread over three states, KSE caters to a vast belt stretching across Southern India.
With a strong commitment to customers and product quality and being cost competitive, KSE stands poised to meet new challenges.
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GROWTH CHRONICLE
1972
Solvent plant commences operation
1976
Mixed cattle feed production begins
1987
Cattle feed production reaches 180 tonnes & Introduction of computers in the factory and office
1988
A new mixed cattle feed plant starts operation at Swaminathapuram, in daily production capacity of 180 tonnes Tamil Nadu with a
1989
A solvent unit with a capacity of 120 tonnes per day commences operation at the Tamil Nadu plant
1990
Introduction of KS Supreme Pellets, a bypass protein cattle feed in the market
1991
Opens its Palghat branch
1992
Cattle feed manufacturing begins in third party units
1993
Enters export market
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1994
Introduction of feed supplement KS Forte Public issue and listing of shares
1995
Vegetable oil refining plant commissioned KS Supreme - Sunflower Refined Oil launched Calicut branch opens
1996
240 TPD cattle feed commences at Vedagiri, Kottayam Dist., Kerala
1997
Company renamed as KSE Ltd.
1998
Fourth feed production unit at Palghat Launches Dairy project
1999
A modern Childrens' Park and Information Center have been completed at Irinjalakuda for the benefit of the public. Company introduces KS Deluxe Plus the new pellet feed in HDPE bags for Kerala market.
2000
Company starts production and distribution of milk and milk products from Konikkara and Thalaysthu Dairy Units
2003 Started production of cattle feed at edayar leased plant ,kalamasserry 2004 Started a new solvent plant in KIFRA PARK ISO9001:2000 Accreditation for irijalakkuda plant 2005 Cattle feed production capacity at the irijalakkuda unit increased to 210 mts/day 2006 The 200 TDP solvent extraction plant at koratty commenced A branch at coimbatore started for marketing Vesta Ice-Cream Tenth consecutive productivity award 2007 Cattle feed production increased to 295 MTS 2009 Started a new 500 unit cattle plant at Irijalakkuda Unit 2010
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PRODUCTION UNITS
KERALA
1) KSE LIMITED IRINJALAKUDA UNIT 2) KSE LIMITED VEDAGIRI UNIT 3) KSE LIMITED PALAKKAD UNIT 4) KSE LIMITED EDAYAR UNIT, KOCHI. 5) KSE LIMITED KONIKKARA (DAIRY UNIT)
TAMIL NADU 1) KSE LIMITED SWAMINATHAPURAM UNIT 2) KSE LIMITED THALAYATH (DAIRY) 3) KSE LIMITED MODAKURICHI, ERODE
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Kerala's first solvent extraction plant No: 1 in processing coconut oil cake through solvent extraction in India Winner of S.E.A. National Awards and State Productivity and Safety Awards continuously for 14 years including the current year Front-ranker in mixed cattle feed production in India Recognition from Animal Nutrition Society for contributions in cattle feed Manufacturing Kerala's first export mixed cattle feed Tamilnadu productivity council safety award Kerala state productivity council award
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BOARD OF DIRECTORS
CHAIRMAN AND MANAGING DIRECTOR M.C.PAUL
DIRECTORS K.P.JOHN T.C.MATHEW P.D.ANTO Dr. K.C.VIJAYARAGHAVAN JOHN FRANCIS K. T.R. RAGULAL
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VISION
We shall endeavor to maintain leadership through quality products, explore new avenues in product development and marketing, create a stronger bond between the management, work force, dealers and customers, contribute to social development and rural upliftment, and constantly strive for excellence in all spheres of our activities
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PRODUCT PROFILE
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PRODUCT PROFILE
The main products marketed are
A) K.S MASH B) K.S SPECIALMASH C) K.S SUPER MASH D) K.S DELUX PELLETS E) K.S DELUX PLUS PELLETS F) K.S SUPREME PELLETS
2)
3) KEYES FORTE 4) MILK PRODUCTS WHICH INCLUDES A) K.S PAAL. B) K.S GHEE. C) K.S CURD. D) BUTTER MILK. E) VESTA ICE CREAM.
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ORGANIZATION STRUCTURE
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ORGANIZATION STRUCTURE
BOARD OF DI
EXE.DIRECTOR
MAG.DIRECTOR
WHOLETIME DR
GENERAL MGR
FINAN.MGR
PUR. MGR
PER.MGR
MKT.MGR
QTY.MGR
PRO.MGR
SECUTIY.OFF
ASST.MGR
ASST.FIN.MGR
EXE.OFFICER
OFFICER ASST.SALES MGR CUSTOMER SERVICE CHEMIST CLERK
EXE.OFFICER
OFFICER
OFFICE.ASST
CLERK
CLERK OFFICER
SALES REPRESENTATIVE
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ENGINEER
GODOWN EXE
GODOWN SUPERVISOR
BOILER OPR
MAIN.OPR ELE.ATTEND
WORKER WORKER
ASST.OPR
ASST.OPR
PLANT ATTN
WORKER
SHIFT ENGR
CATTLE FEED OPR SOLVENT OPERATOR ASST.OPR ASST.OPR ASST.OPR REFINING PLANT OPR
WORKER WORKER
WORKER
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Chapter 2
HUMAN RESOURCE DEPARTMENT
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EXECUTIVE OFFICER
SECURITY OFFICER
OFFICER
SECURITY SUPERVISOR
JUNIOR OFFICER
SENIOR ASSISTANT
SECURITY GUARD
OFFICE
ASSISTANT
WATCHMAN
CLERK
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The Personnel department was seen as a place where the lesser productive employees could be placed with minimal damage to the organization ongoing
operation. Individuals in the personal department were perceived as those responsible for planning company picnics, vacation schedules and retirement parties. Personnel as an activity were seen as a necessary but unimportant part of the organization. Fortunately things have changed for the better and the status of the personnel department has improved enormously over the years.
Personnel department is the main and most important department of a manufacturing concern.
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REMUNERATION
There are three types of wage earners: -
A) UNSKILLED BUT PERMANENT WORKERS GETS DAILY B) BADALI WORKERSWAGES ON WEEKLY BASIS
WAGES
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SALARY CONSIST OF
1) 2) 3) BASIC PAY FIXED DEARNESS ALLOWANCE VARIABLE DEARNESS ALLOWANCE
2) CONVEYANCE ALLOWANCE 3) WASHING ALLOWANCE 4.) CANTEEN SUBSIDY 5.) LEAVE & TRAVEL ALLOWANCE 6.) HOUSING SUBSIDY 7) SHIFT ALLOWANCE 8) OVERTIME ALLOWANCE 9) SCHOLORSHIP FOR EMPLOYEES CHILDREN 10) EMPLOYEE WELFARE FUND
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STATUTORY LIABILITIES
1)
PROVIDENT FUND: From the basic salary the company and the employee
channelise 12% into the provident fund a/c equally. Out of the 12% contributed to P.F fund 8.33% are transferred to the pension a/c.
2)
salary of employees to E.S.I. The employee pays a contribution of 1.75% of total salary.
3)
GRATUITY: An employee needs minimum 5 years of service to avail this fund BONUS: It varies according to their grades.
4)
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TRADE UNION
In this company there are 4 recognized trade unions like INTUC, CITU, BMS. A committee consisting of Chairman, Managing director, Whole time Executive Directors, General Manager, Works Manager and Personal Manager approve the demands of workers.
SAFETY MEASURES
MASK FIRST AID FACILITY DUST EXTRACTION SYSTEM in plant, which helps to suck the dust arising at
LEAVE
1) CASUAL LEAVE: 9 DAYS FOR WORKERS AND FOR STAFF IS 11. 2) PRIVILAGE LEAVE: 15 DAYS PER YEAR. 3) SICK LEAVE: UPTO 90 DAYS.
RETIREMENT
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Chapter 3
MARKETING DEPARTMENT
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MARKETING MANAGER
SALES EXECUTIVE
SALES EXECUTIVE
SENIOR ASSISTANT
SENIOR ASSISTANT
OFFICE ASSISTANT
OFFICE ASSISTANT
CLERK
CLERK
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The company must design a marketing organization that can carry out marketing strategies and plans. If the company is very small, one person might do all of the research, selling, advertising, customer service and other marketing activities. As the company expands a marketing department emerges to plan and carry out marketing activities.
The most common form of marketing organization is the functional organization in which a functional specialist heads different marketing activities are headed by a functional specialist, a sales manager, advertising manager, marketing research manager, and customer service manager.
Managing the marketing function would be hard enough if the marketer had to deal only with the controllable marketing mix variables. But the company operates in a complex marketing environment consisting of uncontrollable forces to which the company must adopt. The environment produces both threats and opportunities. The company must carefully analyze its environment so that it can avoid the threats and take advantage of the opportunities.
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IN THE COMPANY
The department headed by marketing manager and under him there are two assistant managers one for sales dispatch and other for customer service and sales promotion. The company incurs less advertisement cost. As for the kind of products its advertisement needs a different way of promoting its products. The company gives dealer board to dealers as an advertisement for their product. The other advertisements used are
1) Product pamphlet 2) Notices 3) Cinema slides 4) Cloth banners 5) Wall paintings 6) Yearly calendars.
SELECTION OF DEALER
The field staff under assistant customer service and complaint manager will evaluate the dealer on the basis of his financial capabilities and the scope of demand of products in the area. If the dealer doesnt buy at least one load of cattle feed in row of 3 month, automatically the company will terminate his dealership.
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PRICING METHOD
In the case of oil price is based on Cochin market .the price is based after evaluating of raw material and procurement and storage costs plus profit.
DISTRIBUTION
EX FACTORY RATE --- company need not bear the transportation and insurance RATE AT DESTINATION --- company need to bear the transportation &
insurance cost.
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Chapter 4
PRODUCTION DEPARTMENT
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FLOW OF AUTHORITY
PRODUCTION MANAGER
ENGINEER
MAINTENANCE FOREMAN
ELECTRICAL FOREMAN
STORE OFFICER
GODOWN EXECUTIVES
SHIFT ENGINEER
BOILING OPERATOR
ELECTRICAL SUPERVISOR
STORE SUPERVISOR
OFFICER
MAINTENANCE OPERATOR
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The core of a production system is its conversion sub system, where in workers, materials and machines are used to convert inputs into product and services. This process of conversion is at the heart of production function and is present in some form in all organization .It may be stated that every organization irrespective of its purpose , has a production function where departments and personnel play a central role in achieving the objectives of the organization .
FUNCTIONS
Production process Employee supervision Maintenance of machines Quality assurance Production plan Production control Maintaining a hygiene work place Management of different shifts of employees, Maximizing the production with minimum resource
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1) 2) 3)
SOLVENT PLANT
The raw material used by the company in this plant is the re oiled coconut cake having about 8% of oil content .the coconut cake is being put into a slow moving conveyor or belt .The next process is heating up of the cake and after that hexane a product of petroleum would be spread into the cake. The mixture of oil and hexane is known as miscella. The next step is to separate the solvent from the cake and is stored for use. For one tonnes of coconut cake the usage of hexane is 9.19kg.Here 24 hr production takes place and it produces 200 tons per day.
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In this plant the company uses different types of cakes according to their availability apart from other material the co. uses coconut cake, sun flower cake, mustard cake , soya been ,wheat ,calcium ,vitamins, cotton seed, phosphate, tapioca ,maize, jowar and other vitamins. Except from the coconut cake all other materials are purchased from other states. Here 24hr production takes place and it produces 650 tons per day.
MMCP TECHNOLOGY
MILLING This is being used for ensuring that all the granules are grinded, screened 3mm sieve. The materials feed into grinder are powered and it passes through the screen provided at the bottom side of the grinding chamber. Two hammer mills at 30 tonnes per hour together are used.
MIXING The raw material will be mixed thoroughly by using horizontal mixer. Capacity of this mixer is 6m.
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COOKING
The steam for cooking is produced using 3million tonnes boiler. The mixer or homogeniser carry out a strong mixing while the mash is moved forward and added with dry saturated steam. The cooking is carried out at a temperature of 80degree Celsius using a high pressure dry saturated steam.
PELLETING
The pellet mill dye by rotating drags the mixture of mash and steam towards the roller, which press it and consequently compel it to pass through the hole of the dye. It increases the density of the mixture, which together with heat generated by the saturated steam facilitates the extraction of the pellet. Two pellet machines are there with 15million tonnes per hour capacity each.
REFINING PLANT
In this plant oil is refined according to the seasonal demand. Here two types oil are refined
Here 20 tons per day is produced. The oil so produced will be colorless and odorless so it is not used for household consumption. The main users of this oil are oil millers, industries who use this as an ingredient for its product.
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Chapter 5
SWOT ANALYSIS
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STRENGTH
2) Leadership in the market 3) Reputation & brand image of the co. & consistent quality of its products
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WEAKNESS
1) As industries are importing cheaper oils which affects the demand of solvent extracted coconut oil. 2) Inadequate promotional activities for dairy products. 3) Stagnant numbers in cattle population affecting market growth in future
OPPORTUNITIES
1) Expanding its distribution areas
THREATS
4) Import of cheaper oils for industrial consumption leading to fall in demand for solvent extracted coconut oil
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SOCIETAL ETHICS
PROPER DISPOSAL OF WASTES THEREBY CONTROLLING ENVIRONMENT POLLUTION PROVIDING DIRECT AND INDIRECT EMPLOYMENT 25 LAKHS donated to Tsunami Relief fund
10 LAKHS DONATED TO EARTHQUAKE RELIEF FUND OPENING OF K.S PARK Childrens Park and Information Centre has been opened for the benefit of the public
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SUGGESTIONS
1)
2)
3)
4)
5)
6)
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CONCLUSION
KSE, a Company having an annual turnover of Rs. 187 Crores, is the largest manufacturer of cattle feed. It provides employment to around 1500 numbers directly and another 5000 indirectly. Its shares are being listed in three stock exchanges in Cochin, Chennai and Mumbai. The Company commenced its production in the year 1972.
It is marketing annually about 1.80 lakh tones of superior quality cattle feed. KSE had successfully launched its Vesta Brand Ice Cream which has been well accepted in the market for its matching international quality standards. KSE plans to add more ice cream production units across Kerala in the coming years to serve all pockets.
KSE is in the oil extraction Industry for the past 31 years. It is having two solvent plants with processing capacity of 100 tonnes per day. The Company has also a chemical oil refining plant of 20 tonnes per day.
The Company has secured the National Productivity Award for the year 2001-2002 for being 51
first in terms of production efficiency in the animal feed sector. This is the sixth time in that the Company is being selected for this most coveted award.
It is pertinent to note that in the Kerala industrial scenario, where many Companies are closing down, either due to labour unrest or due to other economic reasons, KSE continues to commence new ventures each year and run them successfully. The Company is having six Units at different locations. The relation with the labour Unions of all these Units is very warm and cordial.
KSE, with a capital base of Rs. 36 Crores embarks on an expansion to double its Solvent Extraction capacity and add a most modern ecofriendly vegetable refining plant. The Company has already identified Six Acres of land in the KINFRA Small Industries Park, Koratty for this expansion.
In the first phase the Company plans to install one 200 MT per day solvent plant for processing Oil Cakes and also a 100 MT per day physical refining plant. Both these plants will be of international standard using most modern technologies, where the process loss is kept to the minimum. The project will generate direct employment to 125 and indirect employment to another 500 numbers. In the second phase, a 100 MT per day oil fractionation unit will also be added.
As a pioneer in the solvent extraction industry, leader in cattle feed manufacture, and an emerging force in ice cream and a resourceful new entity in dairy development and milk products, KSE is determined to move with the times, taking on new challenges, achieving new milestones.
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BIBLIOGRAPHY
REFERENCE BOOKS Marketing Management Human Resource Management Production and Operation Management Philip Kotler Ashwathappa .K. Ashwathappa. K.
WEBSITE WWW.KSELIMITED.COM
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