A

PROJECT REPORT
ON
“TO STUDY EMPLOYEE WELFARE MEASURES BY HINDUSTHAN COCA COLA
BEVERAGES PRIVATE LIMITED AT KALAHASTHRI IN TIRUPATHI”

In partial fulfillment of POST GRADUATION

In
POST GRADUATION DIPLOMA IN MANAGEMENT, TIRUPATHI
Submitted by
VANKIPURAM HARIKA
Under the Guidance of
Ms. RANI (2018 – 2020)

EMERALDS SCHOOL OF BUSINESS,

RAMAPURAM, TIRUPATHI-517501

1
 INDEX
CHAPTER PAGE
NO TITLE NO

COLLEGE CERTIFICATE

COMPANY CERTIFICATE
STUDENT DECLARATION

ACKNOWLEDGEMENT
I Executive Summary
II Objectives of the Study
III Industry Profile
IV Company Profile
V Theoretical Background
VI Research Methodology
VII Data Analysis and Interpretation
VIII Findings
IX Suggestions
X Conclusions
ANNEXURE

BIBLIOGRAPHY

2
 CHAPTER - I
EXECUTIVE SUMMARY

3
 EXECUTIVE SUMMARY

Today many new companies are coming in to existence and because of these the
competition is also growing rapidly. Because of this reason they have to compete with
their competitors constantly. In some industries the new companies may not come into
existence but the competition between the existing companies is growing more and more.
The soft drink industry is mainly suffering with this particular problem. The Companies
have to continuously compete with their competitors to get good, market share and good
profits. To face their competitors they have to know their position and the competitor’s
position in the market. For this, the companies will compare itself with their competitor
that means they will do the comparative analysis in all aspects I was carried out this
project at HINDUSTHAN COCA COLA BEVERAGES LIMITED, KALAHASTHRI. They
are distributor of COCA COLA beverage in the selected area of KALAHASTHRI.

The project title is “TO STUDY COMPARATIVE OF SERVICE PROVIDED BY

HINDUSTHAN COCA COLA BEVERAGES PRIVATE LIMITED IN KALAHASTHRI”.
The duration for this project was of 45 Days i.e. from June 14 to 30 July 2019. In this
period I was survey of 100 outlets and collect from useful data for this project. “ Item by
Item comparison of two or more comparable alternatives, processes, products,
qualification, set of data and systems etc. in accounting for, for example changes in a
financial statements items over several accounting period maybe presented together to
detect the emerging trends in the firms operation and results”. From this we can
understand that Comparative analysis means the comparison between the similar things
(products, place, technologies, living beings and etc.) Regarding the features, nature,
functions, behavior, SWOT, and many other characters is called comparative analysis.
In this comparative analysis the researcher will take any two or more similar products
(That means the functioning of the products are almost same) and compare the common
and the similar features of the products to find out that which the best one is. In
comparative analysis the Company will compare itself with the company which is in the
top position in that industry or which is top in the position in that particular area or
region; from this they can understand their position in that industry. It will be very

4
useful know what is the strength and weakness of the Company and the company will try
rectify the problems in order to increase their performance to reach and to beat out that
other company with whom they are comparing their company.

SOFT DRINK A Soft Drink (also referred to as soda, pop, soda pop or fizzy drink) is
a nonalcoholic beverage typically containing water and a flavoring agent. Many are
carbonated and sweetened, and may contain additional ingredients such as fruit juice.
Small amounts of alcohol may be present, but the level would generally remain under 0.5
of the total volume for the drink to be considered non-alcoholic Soft Drinks are most
often consumed chilled, and sometimes at room temperatures. Common Soft Drinks
include cola, flavored water, sparkling water, iced tea, sweet tea, sparkling lemonade (or
other lemon lime soft drinks), squash, fruit punch, root beer, orange soda, grape soda
cream soda, and ginger ale.

SOFT DRINKS INDUSTRY IN INDIA Soft Drinks Bounces back after a somewhat
subdued performance in 2006 due to a recurrence of the pesticides controversy, soft
drinks sales bounced back strongly to record double-digit volume growth in 2007. With
carbonates growth back on a positive unpaired curve alongside burgeoning sales of
fruit/vegetable juice and bottles water,

Soft drinks showed impressive growth in 2007. Off-trade volumes grew slightly faster
than on trade volumes, driven by higher consumption of packaged and branded soft
drinks at home and on the go. The emergence of supermarkets/hypermarkets, heavy
consumer promotions and various new product launches played a key role in driving off
trade volume growth. Bottled Water and Fruit/vegetable juice continue to be Star
Performers Soft drinks sales in 2007 were propelled by bottled water and fruit/vegetable
juice with their healthier positioning helping to drive sales of soft drinks. While
carbonates posted single digit growth in 2007, rebounding from the pesticides
controversy of 2006, it was bottled water and fruit/vegetable juice that stormed ahead
with high double digit growth rates. Poor municipal infrastructure for tap water has
pushed sales of bulk packaged water to households. Fruit/vegetable juice is growing as a

5
 result of increased consumer expenditure on naturally healthy (NH) beverages. While
functional drinks and RTD tea also posted impressive growth in 2007, they were growing
from a very small base and are yet to achieve a critical mass in terms of establishing a
loyal consumer base. Coca-Cola India and PepsiCo India slip in shares with consumers
showing a growing preference for healthier soft drinks such as bottled water and
fruit/vegetable juice rather than carbonates in 2007, the two carbonates giants suffered a
marginal decline in share.

PEPSICO The summer of 1898, as usual, was hot and humid in New Bern, North
Carolina. So a young pharmacist named Caleb Braham Began experimenting with
combinations of spices, juices, and systems trying to create a refreshing new drink to
serve his customers. He succeeded beyond all expectations because he invented the
beverage known around the world as Pepsi-Cola.

COCA-COLA Dr. John Pemberton, an Atlanta pharmacist, invented Coca-Cola. He

concocted the formula in a three-legged brass kettle in his backyard on May 8, 1885. He
mixed a combination of lime, cinnamon, coca leaves, and the seeds of a Brazilian shrub
to make the fabulous beverage. Coca-Cola debuted in Atlanta‟s largest pharmacy,
Jacob’s Pharmacy, as a five-cent non-carbonated beverage. Later on, the carbonated
water was added to the syrup to make the beverage that we know today as Coca-Cola.
This study focuses on the comparison of Services provided by the PepsiCo and CocaCola
Company. This mainly focuses on the distribution services provided by the both
companies. And this study covers other aspects of the services provided by the both
companies like information of the Refrigerators using by the retailers. And it focuses on
the problems of the retailers what they facing.

6
EMPLOYEE WELFARE MEASURES
INTRODUCTION:-
Employee welfare is a comprehensive term including various services, benefits and
facilities offered to employer. Through such generous fringe benefits the employer makes
life worth living for employees. The welfare amenities are extended in addition to normal
wages and other economic rewards available to employees as per the legal provision. The
basic purpose of employee welfare is to enrich the life of employees and keep them
happy and contented.

Welfare including anything that is done for the comfort and improvement of employees
and is provided over and above the wages. Welfare helps in keeping the morale and
motivation of the employees high so as to retain the employees for longer duration. The
welfare measures need not be in monetary terms only but in any kind/forms. Employee
welfare includes monitoring of working condition, creation of industrial harmony through
infrastructure for health, industrial relations and insurance against disease, accident and
unemployment for the workers and their families.
Employee welfare entails all those activities of employer, which are directed towards
providing the employees with certain facilities and services in addition to wages or
salaries. Employee welfare has the following.

Objectives:
1) To provide better life and health to the employees.
2) To make the employees happy and satisfied.
3) To relieve employees from industrial fatigue and to improve intellectual, cultural
and material conditions of living of the employees.

The basic features of employee welfare measures are as follows:

4) Employee welfare includes various facilities, services and amenities provided to

employees for improving their health, efficiency, economic betterment and social
status.

7
 5) Welfare measures are in addition to regular wage sand other economic benefits
available to employees due to legal provisions and collective bargaining.
6) Employee welfare may be introduced by the employers, government, and
employees or by any social or charitable agency.
7) Employee welfare schemes are flexible and ever changing. New welfare measures
are added to the existing ones from time to time.
The very logic behind providing welfare schemes is to create efficient, healthy,
loyal and satisfied labor force for the organization. The purpose of providing such
facilities is to make their work life better and also to raise their standard of living.

EMPLOYMENT WELFARE
Employee welfare activities benefit not only workers but also the
management in term of greater industrial efficiency.
Employee plays a very important role in the industrial production of the country. The
human resource managers are really concerned with the management of people at work.
It is necessary to secure the cooperation of employee in order to increase the production
and earn higher profits. The Welfare of employee force is possible only when the
workers are fully satisfied with their employer and the working condition on the job. In
the course of time with the introduction of the concept of human resource management
psychological researches convinced them that the worker required something more
important. In addition to providing monetary benefits, human treatments given to
employee play a very important role in seeking their cooperation.

EMPLOYEE WELFARE A REVIEW:

There are various aspects of employee welfare in India but social security is consider one
main of them in other words we can say social security is one of the pillars on which the
structure of a welfare state rests, and it constitutes the hard core of social policy in most
countries. It is through social security measures that the state attempts to maintain every
citizen at a certain prescribed level below which no one is allowed to fall. It is the
security that society furnishes through appropriate organization, against certain risks to

8
which its members are exposed (ILO, 1942). Social security system comprises health and
unemployment insurance, family allowances, provident funds, pensions and gratuity
schemes, and widows’ and survivors’ allowances. The essential characteristics of social
insurance schemes include their compulsory and contributory nature; the members must
first subscribe to a fund from which benefits could be drawn later. On the other hand,
social assistance is a method according to which benefits are given to the needy persons,
fulfilling the prescribed conditions, by the government out of its own resources. The
present section reviews employee welfare activities in India with particular emphasis on
the unorganized sector. Although provisions for workmen’s compensation in case of
industrial accidents and maternity benefits for women workforce had existed for long, a
major breakthrough in the field of social security came only after independence.

The Constitution of India (Article 41) laid down that the State shall make effective
provision for securing the right to public assistance in case of unemployment, old age,
sickness and disablement and in other cases of underserved want. The Government took
several steps in compliance of the constitutional requirements. The Workmen’s
Compensation Act (1926) was suitably revised and social insurance programmes were
developed for industrial workers. Provident funds and gratuity schemes were introduced
in most industries, and maternity legislation was overhauled. Subsequently, State
governments instituted their own social assistance programmes. The provisions for old
age comprise pension, provident fund, and gratuity schemes. All the three provisions are
different forms of retirement benefits.

CONCEPT OF EMPLOYEE WELFARE:

The concept of labour welfare is flexible and elastic and differs widely with time, region,
industry, social values and customs, degree of industrialization, the general socio-
economic development of the people and the political ideologies prevailing at a particular
time . It is also molded according to the age-groups, socio-cultural background, marital
and economic status and educational level of the workers in various industries In its
broad connotation, the term welfare refers to a state of living of an individual or group in
a desirable relationship with total environment – ecological, economic, and social.

9
Conceptually as well as operationally, labour welfare is a part of social welfare which, in
turn, is closely linked to the concept and the role of the State which is applicable in coca
cola plant. The concept of social welfare, in its narrow contours, has been equated with
economic welfare. As these goals are not always be realized by individuals through their
efforts alone, the government came into the picture and gradually began to take over the
responsibility for the free and full development of human personality of its population.
Labour welfare is an extension of the term Welfare and its application to labour. During
the industrialization process, the stress on labour productivity increased; and brought
about changes in the thinking on labour welfare.

In its broad connotation, the term welfare refers to a state of living of an individual or
group in a desirable relationship with total environment – ecological, economic, and
social. Conceptually as well as operationally, labour welfare is a part of social welfare
which, in turn, is closely linked to the concept and the role of the State. The concept of
social welfare, in its narrow contours, has been equated with economic welfare. Pigou
defined it as “that part of general welfare which can be brought directly or indirectly into
relations with the measuring rod of money” (Pigou, 1962). According to Willensky and
Labeaux, social welfare alludes to “those formally organized and socially sponsored
institutions, agencies and programmes which function to maintain or improve the
economic conditions, health or interpersonal competence of some parts or all of a
population”. As these goals may not always be realized by individuals through their
efforts alone, the government came into the picture and gradually began to take over the
responsibility for the free and full development of human personality of its population.
Employee welfare is an extension of the term Welfare and its application to employee.
During the industrialization process, the stress on employee productivity increased; and
brought about changes in the thinking on employee welfare. An early study under the UN
observed as follows “in our opinion most underdeveloped countries are in the situation
that investment in people is likely to prove as productive, in the purely material sense, as
any investment in material resources and in many cases, investment in people would lead
to a greater increase of the flow of goods and services than would follow upon any
comparable investment in material capital”. The theory that welfare expenditure,

10
especially expenditure on health and education, is productive investment has led to the
view that workers could work more productively if they were given a fair deal both at the
work place and in the community. The concept of employee welfare has received
inspiration from the concepts of democracy and welfare state. Democracy does not
simply denote a form of government; it is rather a way of life based on certain values
such as equal rights and privileges for all. The operation of welfare services, in actual
practice, brings to bear on it different reflections representing the broad cultural and
social conditions. In short, employee welfare is the voluntary efforts of the employers to
establish, within the existing industrial system, working and sometimes living and
cultural conditions of the employees beyond what is required by law, the custom of the
industry and the conditions of the market The constituents of employee welfare included
working hours, working conditions, safety, industrial health insurance, workmen’s
compensation, provident funds, gratuity, pensions, protection against indebtedness,
industrial housing, restrooms, canteens, crèches, wash places, toilet facilities, lunches,
cinemas, theatres, music, reading rooms, holiday rooms, workers’ education, co-operative
stores, excursions, playgrounds, and scholarships and other help for education of
employees’ children.

FEATURES OF EMPLOYMENT WELFARE:

On the basis of the various definitions, the basic characteristics of Employment welfare
work may be noted thus:
1. It is the work which is usually undertaken within the premises or in the vicinity of the
undertakings for the benefit of the benefit of the employees and the members of their
families.
2. The work generally includes those items of welfare which are over and above what the
employees expect as a result of the contract of service from the employers.

3. The purpose of providing welfare amenities is to bring about development of the whole
personality of the worker -his social, psychological, economic, moral, cultural and
intellectual development to make him a good worker, a good citizen and a good member
of the family.

11
4. These facilities may be provided voluntarily by progressive and enlightened
entrepreneurs at their own accord out of their realization of social responsibility towards
employee or statutory provisions may compel them to make these facilities available; or
these may be undertaken by the government or trade unions, if they have the necessary
funds for the purpose.

5. Employee welfare is a very broad term, covering social security and such other
activities as medical aid, crèches, canteens, recreation, housing, adult education,
arrangements for the transport of employee to and from the work place.

6. It may be noted that not only intra-mural but also extra-mural, statutory as well as
non-statutory activities, undertaken by any of the three agencies- the employers, trade
unions or the government- for the physical and mental development of the worker, both
as a compensation for wear and tear that he undergoes as a part of the production process
and also to enable him to sustain and improve upon the basic capacity of contribution to
the processes of production, “which are all the species of the longer family encompassed
by the term ‘Employee welfare’

OBJECTIVES OF EMPLOYEE WELFARE

1. Enabling workers to live richer and more satisfactory lives;

2. Contributing to the productivity of employee and efficiency of the enterprise;
3. Enhancing the standard of living of workers by indirectly reducing the burden on their
purse;
4. Enabling workers to live in tune and harmony with services for workers obtaining in
the neighborhoods community where similar enterprises are situated; 5. Based on an
intelligent prediction of the future needs of the industrial workers, designing policies to
cushion off and absorb the shocks of industrialization and urbanization to workers;
6. Fostering administratively viable and essentially developmental outlook among the
workforce; and
7. Discharging social responsibilities.

12
PRINCIPLES OF EMPLOYMENT WELFARE:
Certain fundamental considerations are involved in the concept of employee welfare. The
following are the more important among them.

1. SOCIAL RESPONSIBILITY OF INDUSTRY

This principle is based on the social conception of industry and its role in the society that
is, the understanding that social responsibility of the state is manifested through industry.
It is assumed that employee welfare is an expression of industry’s duty towards its
employees. Social responsibility means that the obligation of the industry to pursue those
policies, to take such decisions, and to follow those lines of action which are desirable in
terms of the objectives and values currently obtaining in the society. The values of the
Indian community are enshrined in the constitution of the country. Employee welfare is
not embroidery on capitalism or the external dressing of an exploitative management;
rather, it is an expression of the assumption by industry of its responsibility for its
employees (Maurioce Bruce, 1961). Industry is expected to win the co-operation of the
workers, provide them security of employment, fair wage, and equal opportunity for
personal growth and advancement, and make welfare facilities available to them.

2. DEMOCRATIC VALUES

The principle of democratic values of employee welfare concedes that workers may have
certain unmet needs for no fault of their own, that industry has an obligation to render
them help in gratifying those needs, and that workers have a right of determining the
manner in which these needs can be met and of participating in the administration of the
mechanism of need gratification. The underlying assumption to this approach is that the
worker is a mature and rational individual who is capable of taking decisions for
himself/herself.

3. ADEQUACY OF WAGES

13
The third principle of employee welfare is adequacy of wages; it implies that employee
welfare measures are not a substitute for wages. It will be wrong to argue that since
workers are given a variety of employee welfare services, they need be paid only low
wages. Right to adequate wage is beyond dispute.

4. EFFICIENCY

The fourth principle of employee welfare lays stress on the dictum that to cultivate
welfare is to cultivate efficiency. Even those who deny any social responsibility for
industry do accept that an enterprise must introduce all such employee welfare measures
which promote efficiency (Marshall, 1950). It has been often mentioned that workers’
education and training, housing, and diet are the three most important aspects of
employee welfare, which always accentuate employee efficiency. Re-personalization
Since industrial organization is rigid and impersonal; the goal of welfare in industry is the
enrichment and growth of human personality. The employee welfare movement seeks to
bring cheer, comfort, and warmth in the human relationship by treating man as an
individual, with quiet distinct needs and aspirations. Social and cultural programmes,
recreation and other measures designed after taking into consideration the workers’
interests go a long way in counteracting the effects of monotony, boredom, and
cheerlessness.

5. Co-RESPONSIBILITY

The fifth principle of employee welfare recognizes that the responsibility for employee
welfare lies on both employers and workers and not on employers alone (Moorthy, 1958).
Employee welfare measures are likely to be of little success unless mutuality of interest
and responsibilities are accepted and understood by both the parties, in particular the
quality of responsibility at the attitudinal and organizational level.

14
Totality of welfare the final principle of employee welfare is that the concept of
employee welfare must permeate throughout the hierarchy of an organization, and
accepted by all levels of functionaries in the enterprise.

EMPLOYEE WELFARE AND GOVERNMENT

Welfare of employee one of the major concerns of the Government has been the
improvement of employee welfare with increasing productivity and provision of a
reasonable level of social security.

Social Security There are a variety of laws enacted and schemes established by the
Central/State Governments with a view to provide for social security and welfare of
specific categories of working people. The principal social security laws enacted centrally
are the following:

1. The Workmen's compensation Act, 1923 (WC. Act)

2. The Employees State Insurance Act, 1948 (ESI Act)
3. The Employees' Provident Funds and Miscellaneous Provisions Act, 1953 (EPF & MP
Act)
4. The Maternity Benefit Act, 1961 (MB Act)
5. The Payment of Gratuity Act, 1972 (PG Act) The EPF and MP Act are administered
exclusively by the Government of India through the EPFO. The cash benefits under the
ESI Act are administered by the Central Government through the Employees State
Insurance Corporation (ESIC), whereas medical care under the ESI Act is being
administered by the State Government and Union Territory Administration. The Payment
of Gratuity Act is administered by the Central Government in establishments under its
control, establishments having branches in more than one State, major ports, mines, oil
fields and the Railways and by the State Governments and Union Territory
Administrations in all other cases. In mines and circus industry, the provisions of the
Maternity Benefit Act are being administered by the Central Government through the
Chief employee Commissioner (Central) and by the State Governments in factories,
plantations and other establishments. The provisions of the WC Act are being

15
administered exclusively by State Governments. Programmes of the State Sector
Important programmes undertaken by the State Governments relate to diversification and
expansion of the vocational training programme, improvement in the quality of training
and extension of training opportunities for women, the World Bank-assisted Vocational
Training Project, extension and modernization of employment services, strengthening of
employee administration, rehabilitation of bonded employee, welfare of rural and urban
unorganized employee etc. Social security is the pillar of employee welfare

The concept of social security has been mentioned in the early Vedic hymn which wishes
everyone to be happy, free from ill- health, enjoy a bright future and suffer no sorrow.
The phrase social security is, therefore, a new name for an old aspiration. Today is based
on the “ideals of human dignity and social justice”. Social security is defined as “the
security that society furnishes, through appropriate organization, against certain risks to
which its members are exposed”. These risks are essentially contingencies against which
the individual, who has small means, cannot protect himself. These contingencies include
employment injury, sickness, disablement, industrial disease, maternity, old age, burial,
widowhood, orphan hood and unemployment. Social security is also broadly defined as
“the endeavor of the community, as a whole, to render help to the utmost extent possible
to any individual during periods of physical distress inevitable on illness or injury and
during economic distress consequent on reduction or loss of earnings due to illness,
disablement, maternity, unemployment, old age or death of working member”. Social
security thus provides a self-balancing social insurance or assistance from public funds or
a combination of both. Though social security programmes vary from country to country,
their three major characteristics are: they are established by law; they provide some kind
of cash payment to individuals to replace at least a part of their lost income that our due
to such contingencies as unemployment, maternity, work injury, invalidism, sickness, old
age and death; the benefits or services are provide in three major ways:
1 Social insurance,

2 Social assistance or

3 Public service

16
SOCIAL INSURANCE:

The features of social insurance are:

1) It is financed entirely by or mainly from the common monetary contributions of
workers, employers and the state..
2) The state and the employers make major contribution to this fund, while the employees
pay only a nominal amount.
3) When there is total or partial loss of income, these benefits, within limits, ensure the
maintenance of the beneficiary’s minimum standard of living.
4) Social insurance benefits are granted without an examination of an individual’s need
and without any means test, without affecting the sense of self respect of the beneficiary.
5) These benefits are so planned as to cover, on a compulsory basis, all those who are
sought to be covered. • Social insurance reduces the suffering arising out of the
contingencies faced by an individual –contingencies which he cannot prevent.

Social insurance is different from commercial insurance, for the latter is voluntary and is
meant for the better paid section of the population, and its benefits are in proportion to
the premiums paid; it offers protection only against individual risks and does not aim at
providing a minimum standard of living.

SOCIAL ASSISTANCE:

Social assistance is provided as a supplement to social insurance for those needy people
who cannot get social insurance payments, and is offered after a means test. The general
revenues of the government provide the finance for social assistance payments, which is
made available as a legal right to those workers who fulfill given conditions. Social
assistance and social insurance go side by side. Social assistance programmes cover such
programmes as unemployment assistance, old age assistance, public assistance and
national assistance. Social security is the combination of social assistance and social
insurance. Social insurance, however, falls midway between the two, for it is financed by
the state as well as by the insured and their employers; whereas social assistance is given
gratis to the needy by the state or the community

17
PUBLIC SERVICE:

Public service programmes constitute the third main type of social security. They are
financed directly by the government from their general revenues in the form of cash
payment and services to every member of the community falling within the defined
category. This kind of public service is currently available in a number of countries in the
form of national health service providing medical care for every person in the country,
old-age pension, pension for invalidism, survivor’s pension to every widow or orphan,
and a family allowance to every family having a given number of children. Although
these social security programmes have different characteristics, it is not always easy to
draw a line of demarcation among them. In many cases, two or even three programmes
have common characteristics. Apart from state there are many other agencies which
provide se4curity against contingencies. In many countries trade union have their own
sickness, old-age, unemployment schemes. Saving funds, sickness benefits and old-age
pensions have also been provided by a large number of organizations to their employees.
“The underlying idea of social security measures is that a citizen, who has contributed, or
is likely to contribute to his country’s welfare, should be given protection against certain
hazards”. The 1952 ILO convention on social security (minimum standard) divided.

Employee Welfare Schemes

Organization provide welfare facilities to their employees to keep their motivation levels
high .The employee welfare schemes can be classified into categories viz .statutory and
non-statutory welfare schemes .The statutory schemes are those schemes that are
compulsory to provide by an organization as compliance to the laws governing employee
health and safety. These include provisions provided in industrial acts like Factories Act
1948(safety, health and welfare) 1986, Mines Act 1962.The non statutory schemes differ
from organization to organization and from industry to industry

Statutory Welfare Schemes

18
The statutory welfare schemes include the following provisions:

a) Drinking Water: At all the working places safe hygienic drinking water should
be provided.
b) Facilities for sitting: In every organization, especially factories, suitable seating
arrangements are to be provided.
c) First aid appliances: First aid appliances are to be provided and should be
readily assessable so that in case of any minor accident initial medication can be
provided to the needed employee.
d) Latrines and Urinals: A sufficient number of latrines and urinals are to be
provided in the office and factory premises and are also to be maintained in a
neat and clean condition.
e) Canteen Facilities: Cafeteria or canteens are to be provided by the employer so
as to provide hygienic and nutritious food to the employees.
f) Spittoons: In every work place, such as ware houses, store places, in the dock
area and office premises spittoons are to be provided in convenient places and
some are to be maintained in a hygienic condition.
g) Lighting: Proper and sufficient lights are to be provided for employees so that
they can work safely during the night shifts.
h) Washing places: Adequate washing places such as bathrooms, wash basins with
tap and tap on the stand pipe are provided in the port area in the vicinity of the
work places
i) Changing rooms: Adequate changing rooms are to be provided for workers to
change their cloth in the factory area and office premises. Adequate lockers are
also provided to the workers to keep their clothes and belongings.
j) Rest rooms: Adequate numbers of restrooms are provided to the workers with
provisions of water supply, wash basins, toilets, bathrooms, etc.

NON STATUARY SCHEMES

19
 Many non statutory welfare schemes may include the following schemes:
a) Personal Health Care (Regular medical check-ups): Some of the companies
provide the facility for extensive health check-up.
b) Flexible-time: The main objective of the flex time policy is to provide
opportunity to employees to work with flexible working schedules. Flexible
work schedules are initiated by employees and approved by management to meet
business commitments while supporting employee personal life needs.
c) Harassment Policy: To protect an employee from harassments of any kind,
guidelines are provided for proper action and also for protecting the aggrieved
employee.
d) Maternity & Adoption Leave: Employees can avail maternity or adoption
leaves. Paternity leave policies have also been introduced by various companies.
e) Medi-claim Insurance Scheme: This insurance scheme provides adequate
insurance coverage of employees for expenses related to hospitalization due to
illness, disease or injury or pregnancy.

Employee Referral scheme: In several companies employee referral scheme is

implemented to encourage employees to refer friends and relatives for employment in the
organization.

THA FACTORIES ACT, 1948

The Factories Act is a social legislation which has been enacted for occupational safety,
health and welfare of workers at work places. This legislation is being enforced by
technical officers i.e. Inspectors of Factories, Dy. Chief Inspectors of Factories who work
under the control of the Chief Inspector of Factories and overall control of the employee
Commissioner, Government of National Capital Territory of Delhi

It applies to factories covered under the Factories Act, 1948. The industries in which ten
(10) or more than ten workers are employed on any day of the preceding twelve months
and are engaged in manufacturing process being carried out with the aid of power or

20
twenty or more than twenty workers are employed in manufacturing process being
carried out without the aid of power, are covered under the provisions of this Act.

I. Health
II. Safety
III. Welfare facilities
IV. Working hours
V. Employment of young persons
VI Annual Leave with wages etc.

EMPLOYEE PROVIDENT FUND AND MISCELLANEOUS

PROVISIONS ACT, 1952
EMPLOYEE PROVIDENT FUNDS SCHEME

(1) The Central Government may by notification in the Official Gazette frame a Scheme
to be called the Employees' Provident Funds Scheme for the establishment of provident
funds under this Act for employees or for any class of employees and specify the
establishments or class of establishments to which the said Scheme shall apply and there
shall be established as soon as may be after the framing of the Scheme a Fund in
accordance with the provisions of this Act and the Scheme.

(1A) The Fund shall vest in and be administered by the Central Board constituted under
section 5A.
(1B) Subject to the provisions of this Act a Scheme framed under sub-section (1) may
provide for all or any of the matters specified in Sch. II.

(2) A Scheme framed under sub-section (1) may provide that any of its provisions shall
take effect either prospectively or retrospectively on such date as may be specified in this
behalf in the Scheme.

THE MINIMUM WAGES ACT, 1948

MINIMUM RATE OF WAGES

21
(1) Any minimum rate of wages fixed or revised by the appropriate government in
respect of scheduled employments under section 3 may consist of –
(i) a basic rate of wages and a special allowance at a rate to be adjusted at such intervals
and in such manner as the appropriate government may direct to accord as nearly as
practicable with the variation in the cost of living index number applicable to such
workers (hereinafter referred to as the "cost of living allowance"); or
(ii) a basic rate of wages with or without the cost of living allowance and the cash value
of the concessions in respect of suppliers of essential commodities at concession rates
were so authorized; or
(iii) an all-inclusive rate allowing for the basic rate the cost of living allowance and the
cash value of the concessions if any.

(2) The cost of living allowance and the cash value of the concessions in respect of
supplied of essential commodities at concession rate shall be computed by the competent
authority at such intervals and in accordance with such directions as may be specified or
given by the appropriate government.

APPRENTICES ACT, 1961

HEALTH, SAFETY AND WELFARE OF APPRENTICES.

Where any apprentices are undergoing training in a factory, the provisions of Chapters
III, IV and V of the Factories Act, 1948 (63 of 1948), shall apply in relation to the health,
safety and welfare of the apprentices as if they were workers within the meaning of that
Act and when any apprentices are undergoing training in a mine, the provisions of
Chapter V of the Mines Act, 1952 (35 of 1952), shall apply in relation to the health and
safety of the apprentices as if they were persons employed in the mine.

PROCEDURE FOR FIXING AND REVISING MINIMUM WAGES

22
(1) In fixing minimum rates of wages in respect of any scheduled employment for the
first time under this Act or in revising minimum rates of wages so fixed the appropriate
government shall either -

(a) Appoint as many committees and sub-committees as it considers necessary to hold

enquiries and advise it in respect of such fixation or revision as the case may be or

(b) By notification in the Official Gazette publish its proposals for the information of
persons likely to be affected thereby and specify a date not less than two months from the
date of the notification on which the proposals will be taken into consideration.

(2) After considering the advice of the committee or committee appointed under clause
(a) of sub-section (1) or as the case may be all representations received by it before the
date specified in the notification under clause (b) of that sub-section the appropriate
government shall by notification in the Official Gazette fix or as the case may be revise
the minimum rates of wages in respect of each scheduled employment and unless such
notification otherwise provides it shall come into force on the expiry of three months
from the date of its issue :

Provided that where the appropriate government proposes to revise the

Minimum rates of wages by the mode specified in clause (b) of sub-section (1) the
appropriate Workmen's Compensation Act, 1923

EMPLOYER'S LIABILITY FOR COMPENSATION

(1) If personal injury is caused to a workman by accident arising out of and in the course
of his employment, his employer shall be liable to pay compensation in accordance with
the provisions of this Chapter
Provided that the employer shall not be so liable - (a) in respect of any injury which does
not result in the total or partial disablement of the workman for a period exceeding three
days;

23
(b) In respect of any injury, not resulting in death or permanent total disablement, caused
by an accident which is directly attributable to - (i) the workman having been at the time
thereof under the influence of drink or drugs, or

(ii) The willful disobedience of the workman to an order expressly given, or to a rule
expressly framed, for the purpose of securing the safety of workmen, or
(iii) The willful removal or disregard by the workman of any safety guard or other device
which
He knew to have been provided for the purpose of securing the safety of workmen,

(2) If a workman employed in any employment specified in Part A of Schedule III

contracts any disease specified therein as an occupational disease peculiar to that
employment, or if a workman, whilst in the service of an employer in whose service he
has been employed for a continuous period of not less than six months (which period
shall not include a period of service under any other employer in the same kind of
employment) in any employment specified in Part B of Schedule III, contracts any
disease specified therein as an occupational disease peculiar to that employment, or if a
workman whilst in the service of one or more employers in any employment specified in
Part C of Schedule III, for such continuous period as the Central Government may
specify in respect of each such employment, contracts any disease specified therein as an
occupational disease peculiar to that employment, the contracting of the disease shall be
deemed to be an injury by accident within the meaning of this section and, unless the
contrary is proved, the accident shall be deemed to have arisen out of, and in the course
of, the employment :

Provided that if it is proved, - (a) that a workman whilst in the service of one or more
employers in any employment specified in Part C of Schedule III has contracted a disease
specified therein as an occupational disease peculiar to that employment during a
continuous period which is less than the period specified under this sub-section for that
employment, and

24
(b) That the disease has arisen out of and in the course of the employment; the
contracting of such disease shall be deemed to be an injury by accident within the
meaning of this section:
Provided further that if it is proved that a workman who having served under any
employer in any employment specified in Part B of Schedule III or who having served
under one or more employers in any employment specified in Part C of that Schedule, for
a continuous period specified under this sub-section for that employment and he has after
the cessation of such service contracted any disease specified in the said Part B or the
said Part C, as the case may be, as an occupational disease peculiar to the employment
and that such disease arose out of the employment, the contracting of the disease shall be
deemed to be an injury by accident within the meaning of this section.

(2) If a workman employed in any employment specified in Part C of Schedule III

contracts any occupational disease peculiar to that employment, the contracting whereof
is deemed to be an injury by accident within the meaning of this section, and such
employment was under more than one employer, all such employers shall be liable for
the payment of the compensation in such proportion as the Commissioner may, in the
circumstances, deem just.

(3) The Central Government or the State Government, after giving, by notification in the
Official Gazette, not less than three months' notice of its intention so to do, may, by a like
notification, add any description of employment to the employments specified in
Schedule III, and shall specify in the case of employments so added the diseases which
shall be deemed for the purposes of this section to be occupational diseases peculiar to
those employments respectively, and thereupon the provisions of sub-section (2) shall
apply In the case of a notification by the Central Government, within the territories to
which this Act extends or, in case of a notification by the State Government, within the
State as if such diseases had been declared by this Act to be occupational diseases
peculiar to those employments.

25
(4) Save as provided by Sub-sections (2), (2A) and (3), no compensation shall be payable
to a workman in respect of any disease unless the disease is directly attributable to a
specific injury by accident arising out of and in the course of his employment.

(5) Nothing herein contained shall be deemed to confer any right to compensation on a
workman in respect of any injury if he has instituted in a Civil Court a suit for damages in
respect of the injury against the employer or any other person; and no suit for damages
shall be maintainable by a workman in any Court of law in respect of any injury - (a) if
he has instituted a claim to compensation in respect of the injury before a Commissioner;
or

(b) If an agreement has been come to between the workman and his employer providing
for the payment of compensation in respect of the injury in accordance with the
provisions of this Act.
4. AMOUNT OF COMPENSATION. - (1) Subject to the provisions of this Act, the
amount of compensation shall be as follows, namely :- (a) where death results an amount
equal to fifty from the injury cent of the monthly wages of the deceased workman
multiplied by the relevant factor; or an amount of fifty thousand rupees, whichever is
more;

PAYMENT OF GRATUITY ACT, 1972

The Act provides for the payment of gratuity to workers employed in every factory, shop
& establishments or educational institution employing 10 or more persons on any day of
the preceding 12 months. A shop or establishment to which the Act has become
applicable shall continue to be governed by the Act even if the number of persons
employed falls bellows 10 at any subsequent stage.

All the employees irrespective of status or salary are entitled to the payment of gratuity
on completion of 5 years of service. In case of death or disablement there is no minimum
eligibility period. The amount of gratuity payable shall be at the rate of 17 days wages
based on the rate of wages last drawn, for every completed year of service.

26
 IMPORTANT BENEFITS

The important benefits of welfare measures can be summarized as follows:

a) They provide better physical and mental health to workers and
thus promote a healthy work environment.
b) Facilities like housing schemes, medical benefits, and education and recreation
facilities for workers families help in rising the or standards of living. This
makes workers to pay more attention towards work and thus increases their
productivity.
c) Employers get stable labor force by providing welfare facilities. Workers take
active interest in their jobs and work with a feeling of involvement and
participation.
d) Employee welfare measures increase the productivity of organization and
promote healthy industrial relations thereby maintaining industrial peace.
e) The social evils prevalent among the labors such as substance abuse, etc. are
reduced to a greater extent by the welfare policies. Satisfied employees
contribute to the development and growth of the organization. Organization
provides welfare facilities to their employees to keep their motivation levels
high. The employee welfare schemes can be classified into two categories viz.
statutory and non statutory welfare schemes. Statutory welfare measures are
compulsory by law while non-statutory welfare measures are provided
voluntarily by the organization.

27
 INDUSTRY PROFILE

A BRIEF INSIGHT - THE FMCG INDUSTRY IN INDIA

Fast Moving Consumer Goods (FMCG), also known as Consumer Packaged Goods
(CPG) are products that have a quick turnover and relatively low cost. Consumers
generally put less thought into the purchase of FMCG than they do for other products.

The Indian FMCG industry witnessed significant changes through the 1990s. Many
players had been facing severe problems on account of increased competition from small
and regional players and from slow growth across its various product categories. As a
result, most of the companies were forced to revamp their product, marketing,
distribution and customer service strategies to strengthen their position in the market.

By the turn of the 20th century, the face of the Indian FMCG industry had changed
significantly. With the liberalization and growth of the Indian economy, the Indian
customer witnessed an increasing exposure to new domestic and foreign products through
different media, such as television and the Internet. Apart from this, social changes such
as increase in the number of nuclear families and the growing number of working couples
resulting in increased spending power also contributed to the increase in the Indian
consumers' personal consumption. The realization of the customer's growing awareness
and the need to meet changing requirements and preferences on account of changing
lifestyles required the FMCG

28
Producing companies to formulate customer-centric strategies. These changes had a
positive impact, leading to the rapid growth in the FMCG industry. Increased availability
of retail space, rapid urbanization, and qualified manpower also boosted the growth of the
organized retailing sector.

HLL led the way in revolutionizing the product, market, distribution and service formats
of the FMCG industry by focusing on rural markets, direct distribution, creating new
product, distribution and service formats. The FMCG sector also received a boost by
government led initiatives in the 2003 budget such as the setting up of excise free zones
in various parts of the country that witnessed firms moving away from outsourcing to
manufacturing by investing in the zones.
Though the absolute profit made on FMCG products is relatively small, they generally
sell in large numbers and so the cumulative profit on such products can be large. Unlike
some industries, such as automobiles, computers, and airlines, FMCG does not suffer
from mass layoffs every time the economy starts to dip. A person may put off buying a
car but he will not put off having his dinner.

Unlike other economy sectors, FMCG share float in a steady manner irrespective of
global market dip, because they generally satisfy rather fundamental, as opposed to
luxurious needs. The FMCG sector, which is growing at the rate of 9% is the fourth
largest sector in the Indian Economy and is worth Rs.93000 cr. The main contributor,
making up 32% of the sector, is the South Indian region. It is predicted that in the year
2010, the FMCG sector will be worth Rs.143000 cr. The sector being one of the biggest
sectors of the Indian Economy provides up to 4 million jobs. (Source: HCCBPL, Monthly
Circular)

29
 A BRIEF INSIGHT - BEVERAGE INDUSTRY IN INDIA
In India, beverages form an important part of the lives of people. It is an industry, in
which the players constantly innovate, in order to come up with better products to gain
more consumers and satisfy the existing consumers.

BEVERAGES

NON-
ALCOHOLIC
ALCOHOLIC

NON-
CARBONATED
CARBONATED

COLA NON-COLA NON-COLA

Fig 2.0 BEVERAGES IN INDIA

The beverage industry is vast and there various ways of segmenting it, so as to cater the
right product to the right person. The different ways of segmenting it are as follows:

 Alcoholic, non-alcoholic and sports beverages.

 Natural and Synthetic beverages.
 In-home consumption and out of home on premises consumption.
 Age wise segmentation i.e. beverages for kids, for adults and for senior citizens.
 Segmentation based on the amount of consumption i.e. high levels of
consumption and low levels of consumption.

30
If the behavioural patterns of consumers in India are closely noticed, it could be
observed that consumers perceive beverages in two different ways i.e. beverages are a
luxury and that beverages have to be consumed occasionally. These two perceptions are
the biggest challenges faced by the beverage industry. In order to leverage the beverage
industry, it is important to address this issue so as to encourage regular consumption as
well as and to make the industry more affordable.

Four strong strategic elements to increase consumption of the products of the beverage
industry in India are:

 The quality and the consistency of beverages needs to be enhanced so that

consumers are satisfied and they enjoy consuming beverages.
 The credibility and trust needs to be built so that there is a very strong and safe
feeling that the consumers have while consuming the beverages.
 Consumer education is a must to bring out benefits of beverage consumption
whether in terms of health, taste, relaxation, stimulation, refreshment, well-
being or prestige relevant to the category.
 Communication should be relevant and trendy so that consumers are able to find
an appeal to go out, purchase and consume.
 The beverage market has still to achieve greater penetration and also a wider
spread of distribution. It is important to look at the entire beverage market, as a
big opportunity, for brand and sales growth in turn to add up to the overall
growth of the food and beverage industry in the economy.

31
COMPANY PROFILE

COMPANY PROFILE

Glimpses On The Birth Of Coca-Cola

John Smyth first introduced the refreshing taste of Coca Cola in Atlanta. It was May of
1886 when the pharmacist caramel syrup in a three legged brass kettle in his backyard.
He first “distributed “ the new product carrying Coca-Cola in a jug down the street to
Jacobs Pharmacy. For five cents, consumers could enjoy a glass of Coca-Cola at the Soda
Fountain. Whether by design or accident carbonated water was teamed with the new
syrup producing a drink that was proclaimed “ Delicious” And Refreshing.

32
Dr. Pemberton partner and bookkeeper frank M Robinson, suggested the name and
panned Coca cola in the unique flowing script that is famous worldwide today. Mr.
Robinson thought “ the two C,S would look well in advertising.”

By 1886, sales of Coca-Cola averaged nine drinks per day. That first year, Dr Pemberton
sold 25 Gallons of syrup, shipped in bright red wooden kegs. Red has been a distinctive
color associated with the No-1 soft drink brand ever since. For his effort, Dr Pemberton
grossed $5o and spent $73.96 on advertising.

In 1891, Atlanta entrepreneur, Asa G. Candler had acquired complete ownership of the
Coca-Cola business. With in four years, his merchandising flair helped expand
consumption of Coca-Cola every state and territory. In 1919 Coca Cola Company was
sold to group of inventors for $25 million. Robert W.Woodruff became president of the
Coca Cola in 1923, and his more then six decades of leadership took the business to
unrivalled heights of commercial success making Coca Cola an institution the world
over.

Soft Drink Market In Present Scenario

The soft drink market all over the world has been witnessing a throat cut battle between
two major players: coca cola &Pepsi, since very beginning. The thirst quenchers are
trying hard to have the major piece of the apple of overall carbonated soft drink market.
Both the players are spending energies in building capacity, infrastructure, promotional
activities etc.

Coca cola, being 11 years older than Pepsi, has been dominating the scene in most of the
soft drink market of world and enjoying the leadership in terms of the share.

33
But the coca cola people are finding it hard to deep away Pepsi, which has been
narrowing the gaps regularly. The two are posing threats for each other in every nook and
corner of the world. While coca cola has been earning most of the part of its red and
butter through beverages sales but Pepsi has a multi product port folio with a handsome
portion from the same business.

Both the competitors have a distinct vision and properties about the Indian soft drink
market. though having so much difference and distances with each other ,they both
consider India a huge potential market ,as per capita consumption here is a mere three
serving annually against the world average of 80.therefore ,they are putting in their best
effort to woe the India consumer who has to work for 1.5 hour to buy a bottle soft drink
in comparison to the international norms of 5 minutes, a major hurdle to cross over for
both the athletes or getting no.1 position.

Coca cola is well with its 53 bottling sites throughout the country giving it an edge over
competition by processing a well built and distribution set up. On the other hand , Pepsi,
with 2 more years in India , has been able to set an image of winner this time in India
and get the pulse of India soft drink The soft drink giants are Leaving on stone unturned
and her for the Long terms. Coca cola has been penetrating the market through its
wide product range with a determination to change consumption pattern of soft drink in
India. Firstly, they upgraded the whole industry by introducing 300 ml bottles, which in
turn had given the industry a booming growth of 20% as compared to the earlier 5%.
They want to develop a Coca culture and are working on a strategy to offer soft drink in
every possible package. In Coca cola cap, the idea of competition has not come from
Pepsi, but from the other beverages such as Tea, Coffee, Nimbu Pani, and Water etc.

Pepsi is quite aggressive in its approach to Indian consumer. They are desperately
working on the strategy to be winners in the hot cola war between two big banners.
According to Pepsi philosophy, it’s the madness encourages executive to think, to conjure
up those creative tactics to knock the fizz out there competition. Pepsi had plumbed a

34
large on the visibility of its blue red and white logo. They have been going with
aggressive marketing by putting Sachin Tendulker, Akshay Kumar, and now Shahrukh
Khan in their advertisement to endorse their brand, the role models for its targeted
consumer the teenagers. They have increased the fizz in the market place by introducing
the dispensers called Fountain Pepsi and has been enjoying a lead over its rival there.

Coca Cola on the other hand, has been working on the saying ‘slow and steady wins the
race’, side by side retailing to every more of its competitor. They have produced the
shield of Thums Up with a handsome Markey share in Indian soft drink market.
Countering Pepsi’s international commercial that used two chimpanzees to cock a snoop
at coke. Thums Up has been positioned now very near to that young image of Pepsi and
giving it a tuff time.

These cool merchants have put everything on fire .if coke get the status of the official
drink of wills world cup, Pepsi blushed as nothing official about it. as Thumps up
projected as ‘sare jaha se accha’, Pepsi was passionate enough with ‘freedom to be’ and
now the “yeh dil mange more”. When Thumps up came with thunder blast.

The Coca -Cola company is the world" leading manufacturer and distributor of
non-alcoholic beverage concentrates and syrups, with world headquarters in Atlanta,
Georgia. The company and its subsidiaries in nearly 200 countries around the world
manufacture and sell over 230 other company soft drink brands.
By contract with the Coca-Cola Company and it's local subsidiaries, which employs
nearly 34,000 people around the world, local businesses are authorized to bottle
and sell company soft drinks within the local boundaries and under conditions that ensure
the highest standards of quality and uniformity.
 Company's objectives

35
Company's mission must be turned in to specific objectives for each level of management
in a system known as management by objectives the most common objectives are:
 Profitability
 Sales growth
 Market Share
 Improvement
 Risk Diversification
 Innovation
 Satisfy the customer

HISTORY OF SOFT DRINKS

Problem at that time was how to cure all these disease, since no remedy was present at
that time. It was a big question for American people. So in 1885 Mr. John Paimwarlion
who lives in Antonica made a drink and registered it as TRENCH WINE COLA. In the
beginning this drink was made with mixture of cocaine and alcohol but later on it is
named as COCO-COLA. A new brand named PEPSI COLA in the year 1887.

 Indian History
Around 1948 the first branded soft drink in the Indian market. This soft drink was named
as Gold Spot. Before Coco-Cola entered the country to dominate the scene in 1950, Parle
Exports Pvt.Ltd. was the first Indian company to introduce a lemon soft drink. This drink
was known as Limca and it was introduced in 1970. However before this they had
introduced Cola Pepine which was withdrawn in face of tough competition from
Coca-Cola.
In the year 1977 Coca-Cola left Indian market and this brought in an opportunity for
various Indian companies to show their caliber. At this time a new soft drink was
introduced by Parle products and this was color. This drink was introduced with mighty
saying "happy days are here again". As if happy days went away with Coca-Cola. There
was another company named pure drink, which introduced the soft drink named Campa -
Cola along with arrange and lemon flavours.

36
Just after this many more companies entered the soft drink market. A soft drink name
double. I had been introduced by a company Morden bakers. Another company Mohan
meakins also came up with a Soft drink named Mary & puch up, Mc Dowell came with
thrill.,. Push and Sprint.

Previously there was no competition in the Indian soft drink market but with all
companies coming in the Indian market a huge competition was place with college
advertisements. But in the year 1988 Pepsi was given permission to sell its soft drinks in
the Indian market by the Government of Indian. Coca Cola also come back in the year
1993.

 Coca-Cola in India
The Coca-Cola Company entered India in early 1950, it setup four bottling plants at
Bombay, Calcutta, Kanpur and Delhi.

In 1950, as were negligible companies in the Indian market therefore Coca-Cola did not
faced much competition and they were accepted in Indian market more easily. The brand
was accepted by all age group. The full credit must go to coca-cola for making soft
drinks popular in Indian by end of 1977.Coca-Cola had captured more than 45% of
market share in India Then Coca-Cola left Indian following public regulations the
company was required to Indianise or close operation come to an end in July 1977.

Coca-Cola come back in the year 1993 after liberalization and was launched at Agra with
the slogan "Old wave have come to Indian again". At the time parle was the leader in the
soft drink market and had more than 60% of the total shore in soft drink. Coca-Cola
joined hands with Parle and to enter India after 17 years. By striking a 40 million deal
with Parle. Coke almost made a clear sweep and made its good as " To become all time
all occasion drink not a special treat beverage."

HISTORY OF COCA COLA COMPANY

37
In the year of 1990, over one hundred years after the soft drink was invented, the Coca-
Cola company opened up a museum like building which was designed to be a tribute to
its famous soft drink product. It is also said to be a tribute to the countless number of
consumers who drink Coca-Cola. The world of Coca-Cola, as it is called is located in
Atlanta, Georgia right amidst the tourist district. And, its tribute to the soft drink is
because it is so popular that it is now served daily in nearly two hundred countries.

Having the museum located in Atlanta is fitting because long before anyone had ever
heard of Coca-Cola, a doctor by the name of Johan Stythe Pemberton, who was a
druggist in Atlanta, mixed up his own concoction of medicinal syrup in May in the year
of 1886, Dr. Pemberton used Africa.

Kola Nut extracts and coca leaves, which are both strong stimulants, in his potion. The
result was Q thick caramel colored syrup. The purpose of the potion was to be an
effective tonic which would help a person's brain and nerves function better.

True or not, it has been said that a customer came into the pharmacy
one day complaining or a headache. He asked for a glass of Coca-Cola to be made with
carbonated water instead of plain water and the carbonated version of the soft drink was
the born.

The first year, in 1886, Dr. Pemberton sold twenty five gallons of his syrup which earned
him total revenue of just fifty dollars. By the next year, because of he is poor health
condition, he began to sell off his company. Five years later, man by the name of Asa
G. Candler, had acquired total control of the Coca-Cola became a patented product in the
United States?

Its popularly would not stay within the United States for long, though, because in the year
of 1906, Cola-Cola was bottled in Cuba and in Panama. Bottling operations were soon
started in Hawall the next year, then in the Philippines, France, Belgium, Bermuda,

38
Colombia, the Honduras, Italy, Mexico, Haiti, and Burma in later years. By the year of
1940, the famous soft drink was bottled in forty country.

THE BOTTLING SYSTEM

The day Coca Cola reach consumers and customer around the world through a vast
distribution network made up of local bottling companies. These bottlers are locate
around the world, and most are independent business. Using concentrates and beverages
bases produced by the Coca Cola company, our bottling partners package and market
products, distributes them to more than & million customer and more than 2 million
vending machines around the world.

The Coca Cola Company is committed to assisting its bottlers with the function of an
efficient bottling operation. Quality contract, ministered constantly by the company is
necessary to produce high quality soft drinks.

TRADE MARKS

Our trademarks are our most valuable assets. The trademark “Coca-Cola” was registered
with the U.S. patent and trademark office in 1893, followed by “Coke” in 1945 the
unique contour bottle, familiar to consumers every when, way granted registration is a
trademark by the U.S. patent and trademark office in 1977, in honor awarded to few other
packages. In 1982, the Coca Cola Company introduced Diet Coke is U.S. consumer
marking the first extension of me company’s most precious trademark to another product
later years saw the introduction DP additional products bearing the Coca Cola name
which now EMCON passes a powerful line of six Coal products.

Today, the world’s favorite soft drink Coca Cola the world best known and most admired
trademark; recognized by more than 90 percent of the world population.

39
PRODUCT ADVANCEMENT

In 1985, a new Cola emerged from laboratory research. Through internal evaluation and
thousand by blind taste tests, consumer said they preferred it over both Coca Cola and its
primary competition. As a result, in April 1985, the company proudly introduced the new
taster of coke the first change in the secret formula since my product way created in
1886.

The launch of Coke with the new taste took place in the United State and Canada.
Consumer respected with an unprecedented and new famous out pouring of loyalty and
offering for me original formula of Coca-cola returned & Coca-Cola classic. In 1986,
Coca-Cola classic became and still remains, the nation’s top-selling soft drink.

MISSION OF THE COCA-COLA COMPANY

The mission of the Coca-Cola Company is to increase share-owner value over time. The
company accomplished the mission by working with its business partners to deliver
satisfaction and value to customers and consumers through a worldwide system of
superior brands and services, thus increasing brand equity on a global basis.

GUIDING PRINCIPLES OF COCA-COLA INDIA

1) We will conduct ourselves and our business activities with the highest standards
of honesty integrity and professionalism.

2) We will recognize the positive contributions that we make as individuals and team
members to produce our business success.

3) We will encourage a learning environment where people can constantly grow,

develop and contribute.

4) We will strive for excellence and seek continuous improvement in everything we

do.

40
 5) We will respect all stakeholders, including employees, partners and suppliers and
instill them with a passion to deliver the highest quality goods and service.

6) We will foster initiative and creativity by empowering individual to attain well-

defined objectives.

VISION OF COCA-COLA INDIA

Provide exceptional strategic leadership in the Coca-Cola India System-resulting in

consumer and customer preference and loyalty, through Coca-Cola’s commitment to
them, and in a highly profitable Coca-Cola Corporation branded beverages system.

MISSION OF COCA-COLA INDIA

Create consumer products, services and communication customer service and bottling
system strategies, processes and tools in order to create competitive advantage and
deliver superiors value to:
 Consumer as a superior beverage experience.

 Consumers as an opportunity to grow profit through the use of finished drinks.

 Bottlers as an opportunity to grow profits and volume.

 Suppliers as an opportunity to make reasonable profits when creating real value-

added in an environment of system wide teamwork, flexible business system and
continuous improvement.

 Indian society in the form of a contribution to economic and socio development.

41
42
43
 CHAPTER – II
OBJECTIVES OF THE STUDY

44
OBJECTIVE OF THE STUDY
 To know about the employee welfare system in coca-cola
 To study the impact of welfare system on the performance of employees
 To study the satisfaction level of employees regarding welfare system of coca-
cola
 To investigate the problems of retailers with regards to products of Coca cola
Company

SCOPE OF THE STUDY: The study aims at finding out the satisfaction level of employees
about the various measures provided by the organization. And identify the areas where
it can be improved, so that it can improve the performance of the employees which
leads to productivity.

1.2 STATEMENT OF THE PROBLEM

The statement of the study is about the welfare measure of employees in KKR Group of
Companies. The manufacturing done in this company depends mainly on the efficiency of the
employees for full automation is not practicable, the workers are provided with different facility so as
to motivate them. This study undertaken in order to understand the different welfare measures
provided by the company, gather the opinion of the employees about these facilities and also to
know the reasons for their dissatisfaction if any

45
46
REVIEW OF LITERATURE

47
In a study by Rao et al. (1991) on Motivation and Job Satisfaction: An Empirical
Examination on a sample of 300 respondents in a small scale industry showed that an
insignificant percentage of employees were satisfied with their work (12 percent),
majority of the employees were dissatisfied with their work (48.25 percent) and many of
them preferred to remain neutral on this count (39.75 percent). Those who were satisfied
with their work were working in a work environment that was somewhat better than the
others and were handling jobs that were quite challenging. Those dissatisfied with their
work found their jobs disinteresting, heavy and burdensome, laborious, and oppressive
nature of work.

The study of Reddy and Rajendran (1993) on Organizational Commitment and Work
satisfaction among Industrial Workers, attempted to determine the organizational
commitment and work satisfaction of 200 workers in two public and private sectors. The
findings of the study revealed that majority of the workers experienced high level of job
satisfaction, while others experienced moderate and low level of job satisfaction.

Hague (2004) found that Indian academicians are deriving only a modest degree of job
satisfaction and there seems to be a growing discontentment among teachers towards
their job despite the different plans and programmes started for their benefit.

A study by Sharma and Jyoti (2006) titled Job Satisfaction Among School Teachers
conducted on a random sample of 120 equally represented government and private school
teachers in Jammu city (at primary and secondary school levels) revealed that the degree
of job satisfaction secured by teachers is not high and the reason lies in insufficient pay.
Unless the physical needs, which require money, are satisfied, an employee will not be
tempted to achieve higher order needs.

Panda (2001) in the paper titled Job Satisfaction of Dotcom Employees - An Indian
Experiment studied job satisfaction among a sample of 150 executives at various levels
(from Managers to Vice Presidents) of dotcom companies, spread over six cities in India
- New Delhi, Mumbai, Calcutta, Bangalore, Hyderabad and Chennai. A majority of the

48
respondents were satisfied with the job they were doing (73 percent), and a majority was
also found to be dissatisfied with the company in which they are working (75 percent).
The researcher further explained that the nature and content of the job is the driving force
behind satisfaction, whereas apprehensions and operational problems leading to doubts
about long-term survival of the company are indicators of dissatisfaction.

Rahad (1995) investigated factors related with job satisfaction in the article titled Factors
Related with Job Satisfaction of Village Extension Workers in Training and Visit System.
240 village extension workers in the Amravati division of the Vidorabha region in
Maharashtra State formed the sample of the study. Findings revealed that a majority of
109 the respondents were moderately satisfied about their job (70.42 percent), while the
proportion of highly satisfied respondents was rather small (16.25 percent).

Maheshwari and Gupta (2004) in their study on Professional Satisfaction of Home

Scientists Working in Krishi Vigyan Kendras of India measured the professional
satisfaction of home scientists working in Krishi Vigyan Kendras of India. Their research
was conducted in 170 Krishi Vigyan Kedras of India, with a sample of 90 training
associates in home science. The findings of the study indicated that half of the training
associates were satisfied with their profession, while a fairly large number (42.2 percent)
were found partially satisfied. Only few training associates were in the category of high
satisfaction (4.5 percent) and dissatisfaction (3.3 percent).

49
50
 RESEARCH METHODOLOGY
RESEARCH DESIGN
First, a secondary research was conducted, keeping in mind the topic of study, to gain
a clear insight of the topic .For this, I consulted many books, manuals and theories.
This helped me in designing and framing the right kind of questions. The proper
design helped in selection of relevant questions for the study .The following questions
was then proposed to be studied, under descriptive research which helped me in
analysis.

SELECTION OF RESPONDENTS
Our respondents had attended the following training programmes.

1. ISO- 9000 awareness programme.

2. Workers Education Programme.

3. Supervisory Development Programme.

We met only those participants who were working either in “ A shift, B, shifts or in “
General” shift. To meet the participants who were in “C” shift, “B” shift or in “ General”
shift. To meet the participants who were in “ C’ Shift at that time, was not possible for us.
(“C Shift” is from 11.30p.m. to 7.30 a.m.)

We took interview of those with whom we could meet at work place. We took 30
interviews from participants and thereby filled Part -I Schedules. Alongwith which we
took interview of D.Os. Internal Faculties, etc. by filling Part –II Schedules.

DESCRIPTIVE METHODS
Tool is an instrument, which is used in all types of work. In this study our tool were two
types of schedules. One schedule was used for the trainees or participants and another
one was used for the Trainers, D.Os etc. As we had to evaluate the training. Just after
framing the schedules, Pilot Study was conducted for the purpose of pre-testing. Then

51
both the schedules were finalized. we separately met both types of people and before
taking interview, rapport was established for effective communication and coordination.

During the interview, interviewees were observed and I also talked on some out- of –
topic matters so that interview became interest and interviewees showed their interest.

We tried our best for cultivating such feelings among the interviewees that they and their
performance of any such activities were not being questioned and the confidentiality
would be secured.

Analytical tools

For the representation of analysis of the research various analytical tools like bar
diagrams, pie charts and line graphs have been used; these analytical tools have really
proved to be of great help for the purpose of study for which % (Percentage) method has
also been utilized.

SOURCES OF DATA

Primary source
Primary source of data collection is used under the study, questionnaire were
prepared to conduct the study

Sample space
Employees including executives and non-executives of Hindustan Coca Cola are
distributed questionnaire. (100 questionnaires)

Secondary source
Secondary source of data collection was done to gain a clear insight of the topic. The
research was conducted from various books, journal, and manuals for conducting
primary research.

The information was mainly obtained from three sources.

a. PRIMARY DATA: Informal conversations were the source of information regarding
the training methods already followed and identification of the training needs of the
workers.

52
b. SECONDARY DATA: Information regarding the new methods that can be
implemented was collected based on book research.

C. OTHER INFORMATION: other important data was collected from Internet,

companies Websites and few search engines.

53
54
 EMPLOYEE WELFARE DATA ANALYSIS & INTERPRETATION

1) Are employee welfare schemes necessary for an employee?

Table No – 1

Sl.No Description No. of Responds % of Respondents

A Yes 90 90%
B No 10 10%
Total 100 100%

Above the table presents the opinions of sample respondents on the statement that
90% employees are agreed YES and remaining 10% employees are not agreed NO that
the employee welfare scheme necessary for an employee.

Chart No – 1

% Respondents

100 90
90
80
70
60
50 % Respondents
40
30
20 10
10
0
Yes No

55
 2) Does the company provide the bus allowance?

Table No – 2

Sl.No Description No. of Responds % of Respondents

A Yes 0 0%
B No 100 100%
+Total 100 100%

Above the table presents the opinions of sample respondents on the statement that 100%
employees are disagreed No that the company provide bus facility for employee.

Chart No – 2

% Respondents

120
100
100

80

60 % Respondents

40

20
0
0
Yes No

56
3) If not the company provide the vehicle allowance?

Table No - 3

Sl.No Description No. of Responds % of Respondents

A Yes 100 100%
B No 0 0%
Total 100 100%

Above the table presents the opinions of sample respondents on the statement that
100% employees are agreed yes that the company provide bus facility for employee.
.

Chart - 3

% Respondents

120
100
100

80

60 % Respondents

40

20
0
0
Yes No

57
4) How employees feeling about the organizational environment?

Table No - 4

Sl.No Description No. of Responds % of Respondents

1 Good 20 20%
2 Average 50 50%
3 Poor 30 30%
Total 100 100%

Above the table presents the opinions of sample respondents on the statement that
20% is good, 50 % is average and remaining 30% poor that the employees employee
feeling about the organization.

Chart – 4

% Respondents

60
50
50

40
30
30 % Respondents
20
20

10

0
Good Average Poor

58
5) Does the company provide quarter for all the employees?

Sl.No Description No. of Responds % of Respondents

A Yes 80 80%
B No 20 20%
Total 100 100%

Above the table presents the opinions of sample respondents on the statement that
80% employees are agreed Yes that the company provide bus facility for employee

Chart – 5

% Respondents

90 80
80
70
60
50
% Respondents
40
30 20
20
10
0
Yes No

59
6) Does the company give (or) issue bonus, incentives etc.. to motivate the
employees

Sl.No Description No. of Responds % of Respondents

A Yes 80 80%
B No 20 20%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that
80% Aged employees are not agreed and 20% of the are not agreed that the company gives
(or) issue bonus incentives ect to motivate the employee

Chart – 6

% Respondents

90 80
80
70
60
50
% Respondents
40
30 20
20
10
0
Yes No

60
7) Were the employee welfare programs influence over the employee performance?

Sl.No Description No. of Responds % of Respondents

A Yes 80 80%
B No 20 20%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that
80% Aged employees are agreed and 20% of the are not agreed that the employers welfare
programs influence over the employee performance.

Chart – 7

% Respondents

90 80
80
70
60
50
% Respondents
40
30 20
20
10
0
Yes No

61
8) are the employee refreshment like Tea, Snacks should be providing?

Sl.No Description No. of Responds % of Respondents

A Yes 90 90%
B No 10 10%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that 90%
employees are agreed and 10% of they are not agreed that the employee refreshment like
Tea, Snacks should be provide

Chart - 8

% Respondents

100 90
90
80
70
60
50 % Respondents
40
30
20 10
10
0
Yes No

62
9) What do you feel about the quarter facility?

Sl.No Description No. of Responds % of Respondents

1 Very much 10 10%
2 Satisfied 20 20%
3 Dissatisfied 70 70%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that
10% very much and 20% satisfied, 70% dissatisfied that the employee feel above the
quarter facility.
chart – 9

% Respondents

80 70
70
60
50
40 % Respondents
30
20
20 10
10
0
Very much Satisfied Dissatisfied

63
 10) Does the company provide education facilities for the employees children?

Table – 10

Sl.No Description No. of Responds % of Respondents

A Yes 90 90%
B No 10 10%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that
90% employees are agreed and 10% of the are not agreed that the company provides
education facility for all employee children.

Chart – 10

% Respondents

100 90
90
80
70
60
50 % Respondents
40
30
20 10
10
0
Yes No

64
11) How your satisfaction level you medical facility?
Sl.No Description No. of Responds % of Respondents
1 Very High 20 20%
2 Medium 30 30%
3 Low 50 50%
Total 100 100%

From the above table, out of 100 sample respondents 20% of the employees feel very
high, 30% of the employees feel medium and the remaining 50% of the employees
felt dissatisfied.
Chart - 11

% Respondents

60
50
50

40
30
30 % Respondents
20
20

10

0
Very High Medium Low

65
12) How is the drinking water facility?

Table – 12

Sl.No Description No. of Responds % of Respondents

1 Good 20 20%
2 Better 30 30%
3 Poor 50 50%
Total 100 100%

From the above table, out of the 100 sample respondents 20% of the employees feel
good, 30% of them feel better and remaining 50% of the employees felt poor.

Chart - 12

% Respondents

60
50
50

40
30
30 % Respondents
20
20

10

0
Good Better Poor

66
13) Are satisfied with the salary?

Table – 13

Sl.No Description No. of Responds % of Respondents

1 Very much 20 20%
2 Satisfied 50 50%
3 Not Satisfied 30 30%
Total 100 100%

From the above table out of the 100 sample respondents 20% of the employees feel
very much, 50% of employees of the employees feel satisfied and the remaining 30%
of the employees feel not satisfied.
Chart – 13

% Respondents

60
50
50

40
30
30 % Respondents
20
20

10

0
Very much Satisfied Not Satisfied

67
 14) Is/are training program useful for you In your company ?

Table – 14

Sl.No Description No. of Responds % of Respondents

A Useful 90 90%
B Not useful 10 10%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that
90% employees are useful and 10% of the employees are not use ful that the training
programs are useful for you in your company.

Chart – 14

% Respondents

100 90
90
80
70
60
50 % Respondents
40
30
20 10
10
0
Yes No

68
 15) The organization encouraging potentiality of the employee through some
education facilities like games. Cultural programs etc..

Table – 15

Sl.No Description No. of Responds % of Respondents

A Yes 90 90%
B No 10 10%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that
90% employees are agreed and 10% of the employees are not agreed that the
organization encouraging potentiality of the employee though some education facility like
games, cultural programs.

Chart – 15

% Respondents

100 90
90
80
70
60
50 % Respondents
40
30
20 10
10
0
Yes No

69
 16) How do you feel about the organizational encouragement through cultural
programs and games?

Table - 16

Sl.No Description No. of Responds % of Respondents

1 Satisfied 20 20%
2 Somewhat satisfied 50 50%
3 Not satisfied 30 30%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that
20% satisfied 50% somewhat satisfied 30% not satisfied that the feel about the
organization encouraging though some cultural programs and games.

Chart – 16

% Respondents

60
50
50
40
30
30 % Respondents
20
20
10
0
Satisfied some what Not satisfied
satisfied

70
 17) How do rate security measures of the organization in various departments?

Table – 17

Sl.No Description No. of Responds % of Respondents

1 Good 30 30%
2 Average 50 50%
3 Poor 20 20%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that
30% good 50% average 20% poor that the rate security measures of the organization in
various deportments.

Chart – 17

% Respondents

60
50
50

40
30
30 % Respondents
20
20

10

0
Good Average Poor

71
 18) How is the employer-employee relationship in the organization?

Table – 18

Sl.No Description No. of Responds % of Respondents

1 Good 30 30%
2 Average 50 50%
3 Poor 20 20%
Total 100 100%

Above table presents the opinions of sample respondents on the statement that
30% good 50% average 20% poor employee – employee realization ship in the
organization.

Chart – 18

% Respondents

60
50
50

40
30
30 % Respondents
20
20

10

0
Good Average Poor

72
20) Do you satisfied with overall welfare facilities provided by the company?

Table – 20

Sl. No Description No. of Responds % of Respondents

1 Satisfied 20 20%
2 Average 60 60%
3 Dissatisfied 20 20%
Total 100 100%

From the above table out of the 100 sample respondents 20% of the employees feel
Satisfied, 60% of employees of the employees feel Average and the remaining 20%
of the employees feel Dissatisfied.

Chart – 20

73
 % Respondents

70
60
60
50
40
% Respondents
30
20 20
20
10
0
20-40 40-60 80-100

74
CONCLUSION

 Organization welfare facilities & Programs good

 More number of the Employees satisfied with the Fringe benefits.

 Medical Facilities to the Employees in the organization somewhat good.

 Drinking Water Facilities Good.

75
  70% of the Employees were satisfied with the salary provided by the company.

 Training programs were useful to the employees.

 Rest Rooms / Shelter Facilities are good.

 Employee’s satisfaction about provident fund & Gratuity average.

 Employees want more improvement in welfare programs and facilities.

 Employee relationship with management is good.

 Compensation for accidents to the Employees Average.

SUGGESTIONS

 In my opinion more number of Employees was satisfied by the welfare

measures provided by the company. Remaining of the employees was not
satisfied. They suggested further improve welfare activities.

 In the organization more number of Employees was satisfied with the Fringe
benefits. Increase the Fringe benefits remaining employees also feel Satisfy.

76
 Organization provided medical facilities to the employees. 65% of the
employees satisfied. Remaining 35% employees some what satisfied. So
provide the more medical facilities to the Employees.

 Drinking water facilities good continue this type of water facilities.

 Majority of employees are satisfied with the Training activity. Hence I can
found maximum satisfaction. Some of the employees suggested for further
improvements.

 Organization should improve the Educational facilities to the children as well

as increase provident fund gratuity.

 More number of the employees is satisfied with work environment.

Remaining of the employees want to change in work environment.

 50% of Employees are not totally convinced about compensation for accidents
company need to take a steps to win there confidence.

77
QUESTIONNAIRE
Employee Name:
Designation :
Department:

78
1) Are employee welfare schemes necessary for an employee?
a) Yes b) No ( )
2) Does the company provide the bus allowance?
a) Yes b) No ( )

3) If not the company provide the vehicle allowance?

a) Yes b) No ( )

4) How employees feeling about the organizational environment?

a) Good b) Average c) Poor ( )

5) Does the company provide quarter for all the employees?

a) Yes b) No ( )

6) Does the company give (or) issue bonus, incentives etc.. to motivate the
employees
a) Yes b) No ( )

7) Were the employee welfare programs influence over the employee performance?
a) Yes b) No ( )

8) are the employee refreshment like Tea, Snakes should be providing?

a) Yes b) No ( )

9) What do you feel about the quarter facility?

a) Yes b) No ( )

10) Does the company provide education facilities for the employees children?
a) Yes b) No ( )

79
11) How your satisfaction level you medical facility? ( )
A. Good B. Average C. Poor

12) How is the drinking water facility? ( )

A. Good B. Average C. Poor

13) Are satisfied with the salary? ( )

A. Good B. Average C. Poor

14) Is/are training program useful for you in your company?

a) Yes b) No ( )

15) The organization encouraging potentiality of the employee through some

education facilities like games. Cultural programs etc..
A. Yes B. No

16) How do you feel about the organizational encouragement through cultural
programs and games? ( )
A. Good B. Average C. Poor

17) How do rate security measures of the organization in various departments?

( )
A. Good B. Average C. Poor

18) How is the employer-employee relationship in the organization?

A. Good B. Average C. Poor ( )

19) What do you feel about the library? ( )

A. Good B. Average C. Poor

20) To which percentage the welfare facilities are providing? ( )

80
 A) 20-40 B) 40-60 C) 60-100

BIBLIOGRAPHY
 Hindustan Coca Cola Beverages Pvt. Ltd. Intranet Services.

81
 VSP RAO (TEXT BOOK)

 BUSINESS TODAY (MAGAZINE)

 www.hradvice.com

 www.human-resources.careerbuilding.com

82