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PROJECT REPORT ON MAHESH EDIBLE OIL INDUSTRIES LTD.

SUBMITTED BY: ASTHA PRAKASH ANITA SATSANGI CHANCHAL PRABHAKAR NUTAN SINGH

KUSUM SINGH SONALI SRIVASTAVA

ACKNOWLEDGEMENTS
We owe a great many thanks to a great many people who helped and supported us during the making of this project. My deepest thanks to our guide, Mr. Vijai Sarup Caprihan, the Guide of the project for guiding and being a constant support. Thanks and appreciation to the helpful people at Mahesh Edible Oils Ltd, for their support. Especially Ms. Manu Dubey, Mr Anup Goyal and Miss Poonam Gupta. We would thank our Institution, our faculty members and our seniors without whom this project would have been a distant reality. We also extend my heartfelt thanks to our families and well wishers.

LIST OF CONTENTS
S .NO. TITLE PAGE 1. LOCATION 3 2. INTRODUCTION 4 3. HISTORY OF MAHESH IDIBLE OILS 6 4. ORGANIZATION CHART 8 5. PRODUCTION DEPARTMENT 9 6. FINANCE DEPARTMENT 10 7. HUMAN RESOURCE DEPARTMENT 11 8. MARKETING DEPARTMENT 13 9. ANNUAL BUDGET 15 10. LIST OF SALES DEPOT 20 11. OPERATIONS AT DEPOT LEVEL 23 12. MANAGEMENT INFORMATION 24 SYSTEM 13. SWOT ANALYSIS 26 14. CONCLUSION 28

INTRODUCTION

From a humble beginning in 1991 to becoming one of India's most known mustard oil brands, the history of Mahesh Edible Oil Industries is that of grit and determination. Founded by Mr. Ram Baboo, Mr. Shiv Kumar Rathore and Mr. Brij Mohan Rathore in the historic city of Agra. It was first called Mahesh Oil Industries. The addition of two new partners Mr. Dinesh Kumar Rathore and Mr. Mahesh Kumar Rathore gave this ambition project a new boost. And of course, a new name MIS. Mahesh Edible Oil Industries Ltd. Every since its beginning the company has been producing pure kachhi ghani mustard oiL and quality mustard cakes for millions of cattle. In fact the founders realized that in spite of a glut of mustard oil brands and cakes in the market, Indians still yearned for a brand that they could completely trust. So was formed Mahesh Edible Oil Industries. To day the company's flagship brand name SALONI is a name synonymous with trust and purity. With its manufacturing unit strategically located at Agra. To the surprise of many, it is the largest mustard oil manufacturing unit in the country. It has a good mix of the modern and the traditional methods of manufacturing. It has the highest number of traditional yethighly mechanized coalhouse working in a completely automatic plant. In fact the company is known not just for its size but also for its unmatched infrastructure. State of the art laboratory, the latest equipment and a continuous Up gradation of its facilities have always been the hallmark of Mahesh Edible Oil Industries Ltd. To add to this, a team of trained, qualified and knowledgeable professionals who oversee the rigorous processes at the laboratory. No wonder their customers are always assured of quality matching / surpassing with the international standards. # There are thousands peoples working with them.

# The company has been in operation from last 7years and has attained satisfactory growth level with each passing year, there has been upwards moving trend in the growth and profits of the company. # The visionary drivers of the organization # The turnover of the company is 250 crores.Due to unprecedented quality and customer retention. # The Company has 38 depots across India. There is maximum sale of the comp is filched from Kolkata and Cuttack.

SALONI-AS PURE AS IT GETS


It is the only most known brand. It is also India's purest kachhi ghani mustard oil. And that can be proven by its pungent smell. Purity does not mean this. These are absolutely different USPs of our products and this feature should be used as a special highlight

LOCATION

CORPORATE OFFICE MAHESH EDIBLE OIL INDUSTRIES LTD. F-l, Pee Tower, Sanjay Place, Agra-282002 FACTORY MAHESH EDIBLE OIL INDUSTRIES LTD. Agra Road, Shamsabad (Agra)

HISTORY OF MAHESH EDIBLE OIL

INDUSTRIES
1990 : Company came into existence as a partnership firm. It had name. 1) Mr. Ram Babu Rathore 2). Mr. Shiv Kumar Rathore 3). Mr. Brij Mohan Rathore 1991 : Two more directors joined the company. 1). Mr. Dinesh Rathore 2). Mr. Mahesh Rathore 1999 : New market segments larger investment was needed in order to meet the objectives and goals of the company. 2000 : The company was converted to a public limited company. 2001 : Company increased its capacity by 50% per year. 2003 : Again company got involved in the expansion and modernization of plant. 2005 : Group campaign was conducted for the promotion of the company 2006 : Inaugration of new unit in Shamshabad. 2008 : Launching of new product Stay Fit (Refined oil). Started new plant in Kota. Every year, company growth percentage is approximately 30-32 % in terms of sales growth. three partners

ORGANISATION CHART

CHAIRMAN ( RETIRED) Shri Ram Babu Rathore

M.D.
Mr. Shiv Kumar Rathore

FINANCE

PRODUCTION

MARKETING

FINANCE : DIRECTOR FINANCE Mr. Brij Mohan Rathore

COMPANY CA Doogar & Associate COMPANY SECRETORY Ms. Varsha Agarwal FINANCE MANAGER (Vacant) ACCOUNT MANAGER (Vacant) FACTORY MANAGER Mr. Bharat Singh Sr. EXC. ACCOUNTS Mr. Rajat Sharma CASHIER Mr. Shailendra Sharma BANKING Mr. Rahul Dev Sharma

LEGAL (SALES TAX) Mr. Suresh Chand Sharma

PRODUCTION : DIRECTOR PRODUCTION

Mr. Mahesh Rathore CHIEF CHEMIST Mr. Bharat Singh CHEMIST Mr. SP. Singh DISPATCH EXECUTIVE Mr. Saurabh Kulshreshta

MARKETING : MARKETING DIRECTOR Mr. Dinesh Rathore MARKETING CONSULTANT Dr. Vijai Caprihan MKTG MANAGER Ms. Dipali Upadhayay OPERATIONAL MANAGER Ms.Srishti Shukla SALES ANALYST (Vacant) MRKTG. VICE PRESIDENT

Mr. CBS Rawat ADMINIS. & OPERATIONS Mrs. Anshu Tiwari MIS ANALYST Ms. Rajni Bimal CREDIT CONTROL MNGR. Ms. Poonam Gupta HR MANAGER HR EXECUTIVE IT MANAGER LOGISTIC - Mr. Adarsh Gautam - Ms. Tanvi Trivedi - Mr. Vivek Singh - Mrs.Sushila Singh

BRAND EXECUTIVE - Mr. Sandip Gupta

LIST OF SALES DEPOT MAHESH EDIBLE OIL INDUSTRIES LTD. has 42 branch offices throughout the country. The main head office is at Agra. In Agra the company deals through sales depot. It does not have any consignee in Agra. The 42 branch offices of the company are as follows:

STATE UTTAR PRADESH

CITY AGRA ALLAHABAD AJAMGARH BALIA BAREILLY LUCKNOW

VARANASI GORAKHPUR WEST BENGAL KOLKATA SILIGIRI MIDNAPUR MALDA KAKDEEP ASANSOL CUTTACK BHUBANESHWAR AGARTALA BELONIA PATNA MUZZAFARPUR BHAGALPUR DARBHANGA HALDWANI JWALAPUR DELHI NCR PARWANOO JAMMU

ORISSA TRIPURA BIHAR

UTTARANCHAL

HIMACHAL PRADESH JAMMU & KASHMIR The most prominent market for SALONI oils are: Varanasi Ranchi Kolkata Tata

In Agra the current sale is 48kl. This is the average sale of the company. But Saloni believes to aim high and to achieve high. It still aims to achieve a target of 100kl. Approximately 45% of Agra is yet an opportunity market for the company.

ANNUAL BUDGET
PROPOSED BUDGETRY CONTROL SYSTEM 1. There will be 2 types of budget as under:i. ii. Master Budget Operational Budget

a. Sales Budget b. Production Budget c. Raw Material Budget d. Packing Material Budget e. Stores Budget f. Expenditure Budget Direct Cost- Variable & Fixed Indirect Cost - Variable & Fixed Administrative Cost Budget Selling & Dist. Cost Budget Finance Cost Sales Promotion Budget

DETERMINITION OF KEY FACTORS AFFECTING THE BUDGET The key factors which shall determine the budget are:1. Sales Based on Market Demands 2. Seed Crop Availability 3. National Economic Condition i.e. Govt. Policy related to Import & Export DETERMINITION OF ANNUAL SALES FOR SALES BUDGET Presently the whole economy of the company depends upon sales hence it is the key factor for the budget. PROCEDURES FOR DETERMINIG SALES BUDGET Sales data will be collected from various depots area wise, party wise and sales components wise

Each depot shall provide sales information category wise as under in quantities:1. Retailers 2. Wholesalers 3. Distributors 4. Depot Consignee

SALES THROUGH RETAILERS The VSM shall provide sales target area wise with monthly & yearly breakup. These will be checked & confirm by the immediate senior officer. These data will be

cross checked by data available in the computer for previous year. On satisfaction these will form the budget of retail sales for the year. SALES THROUGH DISTRIBUTORS Area Business Executives will provide the details of targeted sales for their areas distributor wise. These data provided by ABE shall be confirmed & verified by the Area Sales Manager or where there is any Regional Business Manager, he shall confirm the budget.

The following is the chain of sales management:VP SALES Regional Sales Manager (RSM) Area Sales manager (ASM) Sales Officer (SO) Area Business Executive (ABE) Van Sales Man (VSM) SALES THROUGH WHOLESELLERS The In charge of Wholesale business relating to various areas shall provide details of targeted sales. SALES THROUGH CONSIGNEE The senior person handling the consignees shall provide the details of targeted sales.

PREPARATION OF FINAL SALES BUDGET

The EDP Incharge (Computer) shall receive all budget details provided by the above chain. He shall assure that all the budgets are confirmed and verified by the above mentioned senior officer. He shall then work out packing wise detail of targets from previous year actual packing wise details. The increase in target shall be apportioned on pro data basis. The yearly sales budget will have monthly breakup of targeted sales.

HUMAN RESOURCE FUNCTION

The recruitments are currently being carried out all over India. The company is in the process of launching Stayfit refined and mustard oil and for that they are building up a team. The major recruitments are being carried out with the aid of Naukri.com. First, all the resume are shortlisted, then interviews both telephonic, and face to face, are carried out. The senior most post is that of the RSM, or the Regional Sales Manager. The RSM supervises one region. The ASM or the Area Sales Manager is the second most senior post after RSM. Next is the Sales Officer and under the SO, is the ABE or Area Business Executive. Along with the salary, the employees are also given other incentives like Provident Fund, Insurances, Bonuses, TA which is Travelling Allowance and DA, i.e. Dearness Allowance. TA is exclusive of the salary and it is provided when the employee has to travel for more than 30 kilometers. On the other hand, DA is included in the salary. Bonus is a tool to motivate employees to give their best performance. It is based on the salaries of employees and their performance. Incentives up to Rs. 300 are provided to employees who work very hard so as to encourage their performance. CCA or City Compensation Allowances are provided to employees who live in metropolitan cities.

Provident Fund is a contribution of both employee plus company. It is a small unit of the salaries of the employers or some contribution done by the company. PF is 12% of Basic Salary. An ABEs salary package consists of Gross salary: Rs. 8600 plus DA, Conveyance, phone bill etc. A Sales Officers salary is Rs. 11600 plus TA, DA. An ASMs salary is Rs.16000-19000 and the other benefits depends on the persons capabilities. An RSMs salary ranges between Rs. 20000-30000. There is also a post of the HR executive. The HR executive solves grievances regarding salary, expenses, market problems etc. LEAVE PROCEDURE Legally, employees get 12 leaves in 365 days, or a year. If the employee has a genuine reason the salary is not cut. Leaves: Casual leave: 6 Sick leave: 6 Earned leave: 5 Total leaves per year: 27. If a person decides to resign, he is asked questions so as to why he wants to leave the job. He is given a certain amount of time where he has to wind up all his pending work. If an employees performance level goes down, he is given a warning letter and a one month trial. If his performance continues to go down, he is asked to leave the job, or is fired. If an employee dies or gets seriously injured, his family is given Rs. 1 lakh according to the Insurance Act. Also, additional funds are also given from the Welfare Fund. PERFORMANCE APPRAISAL The performance appraisal process is carried out on a quarterly basis. The employees are given increments based on their work performance. The highest increment that can be

given is 20%. Bonus is also given during Diwali time. Bonus is grossly 8.33% of the yearly salary of a person.

FINANCE FUNCTION

All the work related to money is performed by the software Tally. After opening a company, these are the following steps to be taken to manage the Finance Department: 1. CAPITAL- How much capital is required to start and run a business.
2. RAW MATERIAL PRICEMENT- After the capital is planned out; they purchase

the raw material. 3. MANUFACTURING- A lot of expenses have to be dealt with like

Workers salary General expenses Office Expenses Maintenance expenses

Then the Cost Sheet is prepared.

Entry in the account book of the company: Cash A/c Dr.

To Capital A/c

Purchase A/c

Dr.

To Cash A/c

First the Journal is prepared, followed by Ledger, Trial Balance, Final Accounts and then the Balance Sheet.

4. Another important task is placing the right person according to the right job. 5. The product passes through different processes. 6. Then the product is marketed. 7. The distributors then distribute the product and add the minimum profit on the product price.

The input product is Mustard seed. The primary product extracted from it is Oil, and the by product is Cake. Selling and Distribution rate Advertisement Distribution Plus minimum profit of commission- Rs.1

So, total price turns out to be Rs. 75 per liter.

BALANCE SHEET A. Sources of funds 1. Shareholders of funds 2. Share Capital 3. Reserve and Surplus Sub total Loan funds 1. Secured loans 2. Unsecured loans _____

Sub total

______

B. Application of funds C. 1. Fixed Assets Less: Depreciation Sub total Capital work-in-progress Net block Investments Current Assets, Loans 1. Inventors 2. Sundry Creditors ______ ______

3. Cash and bank balance 4. Loans and advances

Sub total

_______

Less: Current liabilities and miscellaneous expenditure

Total

______

Profit and loss as on 31st March

MARKETING FUNCTION

The price of the product is packed according to all the processes that take place right from production till the end. The money spent on packaging is also included under the actual cost. The Market price does not remain the same all

the time. The price in the market fluctuates according to the demands of the customers.

Schemes: Some special schemes are provided to the consumers so as to increase their sales. 5% discounts Buy product and get another small item free Buying more quantity decreases the cost

Promotional schemes to attract customers: Advertisements shown on T.V. and in newspapers Pamphlets and brochures Hoardings and posters By hiring attractive salesmen

Mahesh Edible Oil is available in bottles and pouches. Saloni Kachi Ghani Pure Mustard Oil is Awl's gift to consumers who loves high pungency mustard oil. Its made from finest quality mustard. Saloni Kachi Ghani Pure Mustard Oil is made from the first press of the mustard in the traditional way by slowly crushing the best mustard seeds in a temperature controlled environment to retain its pungency and natural properties. Its high pungency level enhances the taste of the food cooked in it and helps stimulate your appetite. It also helps in keeping pickles fresh for a longer duration while retaining their traditional flavor. Saloni Kachi Ghani Mustard Oil is available in:

15 kg Tinz 15 kg Jar 10 kg Jar 5 Ltr Jar 2 Ltr Jar 5 Ltr Mtk 2 Ltr Mtk 5 Ltr Tin 2 Ltr Tin 5 Ltr Pet jar 2 Ltr Pet jar 1 Ltr Bottle 500 ml Bottle 200 ml Bottle 1 Ltr Pouch 500 ml Pouch 200 ml Pouch 100 ml Pouch

Saloni Kachi Ghani Mustard oil is targeted primarily at those customers who want the goodness of mustard oil but with less pungency

Mustard Oil Cakes


The by-product of mustard seed extractions, known as oil-free cake, is put to diversified uses such as fertilizer and animal feed. Mustard oil cake in particular, is used primarily for feeding animals and poultry due to its high protein content. 10-15 liter jars are mainly preferred by Jammu and Kashmir and north india. Products market depends from area to area. In U.P., people prefer pouches but in the north east, the people are mostly non-vegetarian so they buy jars and one liter bottles. The market share is as follows:

West Bengal 20% share Jharkhand 80% Banaras 75% Agra- 60% North east - !5% In places like Agartala and Belonia, people cannot afford big jars and so they buy 200 ml bottles.

STAYFIT - AS PURE AS IT GETS

MANUFACTURING FACILITIES : The company believes that to produce the best Soya bean refined oil, one needs the best seeds. Therefore, the process of manufacturing begins with a meticulous choosing of the best seeds available in the market. Will need more info here-- To keep them 100% natural, these seeds are crushed in extractor (machine) and processed step wise in a well-equipped lab. The result is the most pungent Soya bean refined oil. To retain the purity of the oil, the company under no circumstances, allows the use of naked human hand. The process of packaging is another task where there are no compromises. For it plays a major role in preserving the quality, nutritional and health properties. That's why the owners have taken it on themselves to manufacture the packaging material, under their supervision and before their eyes.

MEDIA CORNER

PRINT ADS TV ADS NEWS CLIPPINGS NEWSLETTERS

SWOT ANALYSIS

STRENGTHS: The Major strength of Stayfit is its quality. All the customers are 100% satisfied and this is the only reason why we are working with the distributors from past years and still they are attached with us.

WEAKNESSES: We withdraw rates immediately which actually disturb the market. Rate is also major problem in various areas. The following are the main weaknesses of the company: Prices are very high in comparison to other competitive brands. Penetration of the product is not very good. The quality is unquestionable but the availability of the product is poor. Sales and promotion is very poor or not well in Agra. We hardly see any hoarding except for in remote places. Dealers are not given any attractive incentive therefore they do not take any personal interest in selling the product.

OPPORTUNITY: For Stayfit the biggest opportunities are the upcoming market that caters to the households. All opportunities can be grabbed by customer focus. In Agra current sale of the company is very good. In future the company aims to achieve a target of 100 percent. THREATS: The company is currently facing threats against various competitors like FORTUNE, DEEP JYOTI, RUCHI STAR, NATURE FRESH &CHAMBAL etc.

MEASURES TO INCREASE SALES

They should give regular Q.P.S schemes in gaps between two months. (E.g.:April to May, gap two months then Aug to Sep.)

For undeveloped market they could give some special discounts, consumer offer scheme & dealers meeting, gifts, supports. For E.g.:- In any weak area (undeveloped) market, they can provide special support like Discounts & schemes.

For undeveloped market retailers salesmen may give some gifts like T-Shirts, cap, pen & Bags (Stayfit should be written on that).

Advertisement materials need to be supplied properly on time. Advertisement through wall painting, hoardings & in local news channel.

CONCLUSION

Mahesh Edible Oil Industries Limited has been built on the foundations of honesty, reliability and trust. Their aim is to provide their customers with superior service and products, which stems from their dedication to quality assurance. They understand the importance of quality relationships with customers and suppliers. They believe in long-term win-win associations and are committed to the growth of the mustard oil producing industry. They aim to achieve their objectives through excellence in customer satisfaction, competitive costs, efficient distribution structure and healthy sales & operation planning process. They are confident that their deep-rooted philosophies will propel them into the forefront of the mustard oil producing industry in the region.