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Report Final
Report Final
INTRODUCTION
India is the world's second largest producer of food next to China, and has the
potential of being the biggest with the food and agricultural sector. The total food
production in India is likely to double in the next ten years and there is an opportunity for
large investments in food and food processing technologies, skills and equipment,
especially in areas of Canning, Dairy and Food Processing, Specialty Processing,
Packaging, Frozen Food/Refrigeration and Thermo Processing. Fruits & Vegetables,
Fisheries, Milk & Milk Products, Meat & Poultry, Packaged/Convenience Foods,
Alcoholic Beverages & Soft Drinks and Grains are important sub-sectors of the food
processing industry. Health food supplements are another rapidly rising segment of this
industry which is gaining vast popularity amongst the health conscious.
India is one of the world’s major food producers but accounts for less than 1.5
per cent of international food trade. This indicates vast scope for both investors and
exporters. Food exports in 1998 stood at US $5.8 billion whereas the world total was US
$438 billion. The Indian food industries sales turnover is Rs 140,000 crore (1 crore = 10
million) annually as at the start of year 2000. The industry has the highest number of
plants approved by the US Food and Drug Administration (FDA) outside the USA.
India's food processing sector covers fruit and vegetables; meat and poultry; milk
and milk products, alcoholic beverages, fisheries, plantation, grain processing and other
consumer product groups like confectionery, chocolates and cocoa products, Soya-based
products, mineral water, high protein foods etc. We cover an exhaustive database of an
array of suppliers, manufacturers, exporters and importers widely dealing in sectors like
the -Food Industry, Dairy processing, Indian beverage industry etc. We also cover
sectors like dairy plants, canning, bottling plants, packaging industries, process
machinery etc.
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The most promising sub-sectors includes -Soft-drink bottling, Confectionery
manufacture, Fishing, aquaculture, Grain-milling and grain-based products, Meat and
poultry processing, Alcoholic beverages, Milk processing, Tomato paste, Fast-food,
Ready-to-eat breakfast cereals, Food additives, flavors etc.
Kadal Kanny Frozen Foods was established in the year 1982 is International
Standard unit exporting mainly Shrimps and other Marine Products. Kadalkanny Frozen
Foods has been awarded with ISO 9001-2000 for its processing and export of fish and
fishery products. The company is situated in Tuticorin, Tamilnadu state that is located in
the Gulf of Mannar, east coast of India and strategically located very close to the
international sea route and nearby Cape Comorin. Since it is tropical coast, the sea food
available from this region is very delicious. The raw material is collected from major
landing centre from Chennai to colachel down south.
HISTORY
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ABOUT FOUNDER MR. DEVANESAM
His untiring and dedicated work with the ardent help of his cherished sons
enabled the company to scale the new peaks in seafood business and the company has
now attained phenomenal growth touching an annual turnover of Rs. 700 Crore. He has
travelled all over the world and established good relations with his global counter parts
in international sea Food Business and become versatile international Sea Food trader.
EVENTS:
Though the company products have achieved a good Brand Image in the
International markets, we also periodically participate in specialized sea food
International Trade Fairs for better product promotion and market expansion.
AWARDS:
Because of the high quality and good brand image of our products, we have been
awarded the Best Productivity by Government of India for 3 consecutive years. We have
also received Best Export Performance Award several times.
Our products are mainly exported to Japan, United Arab Emirates, European
Union, United Kingdom, United States of America, Far-east & Middle East countries, in
order of preference. Our main motto is to delight our valuable buyers by way of
Production & Marketing of innovative value added products with superior quality.
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With the view to diversifying the activities of the company from production and
export of conventional items of seafood in bulk packing, to value added convenience and
ready-to-eat products in consumer packs for higher value realization. Diamond Sea
Foods exports is a subsidiary company which was acquired by DSF Group of Companies
with an aim to diversify its products and markets to achieve higher unit value realization
and to establish a production unit exclusively to produce value added and ready-to-eat
frozen sea food products in consumer packs.
EXPORT DETAILS
DSF group of companies has every growing global market share in the Export of
Sea Foods – Raw, Block Frozen and as IQF in consumer and bulk packs of Tropical
Marine Products.
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FIG 1.2: MARINE PRODUCTS EXPORTS IN TONS
LIST OF PRODUCTS
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Vannamei Peeled Deveined Tail On
Squid Whole Thondi - (Sepiateuthis)
Squid Whole (Loligo Spp)
Squid Whole Semi Needle
Squid Whole Needle
Squid Whole Cleaned (Loligo Spp)
Squid Whole Cleaned Semi Needle
Squid Whole Cleaned Needle
Squid Tube Thondi - (Sepiateuthis)
Squid Tube White (Loligo Spp)
Squide Tube Semi Needle
Squid Tube Needle
Squid Fillet Thondi - (Sepiateuthis)
Squid Fillet Semi Needle
Cuttle Fish Whole (Sepia Spp)
Cuttle Fish Whole Cleaneds
Cuttle Fish Whole Cleaned IQF
KANNI (F)
KANNI (F/PUD)
SUN (F)
KANNI (BT/USA)
KANNI HLV
KANNI IQF-PDTO
KANNI PDV
MADONNA
HANA EBI (F)
NATURAL FREAH (BT/V/USA)
WHITE ANGEL (W)
HERB SHRIMPS (V)
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MAHA RAJA PROGRESS (V)
NOBASHI
PRODUCTS MARKETED:
Shrimps
Lobster
Cephalopods (Squid, Cuttle fish & Octopus)
Crabs
Fishes in Block Frozen
IQF and cooked forms.
Currently, in the pipeline is an IQF plant with sophisticated technology and automated
blanching & cooking machine to add value to our products with hygienic International
Standards.
1.5 COMPETITORS
ANGELPLUS FOODS
SEA-EX GOLD MEMBER
INDIA - We are specialized in Frozen seafood trading since 1995. Major products are:
Cooked and Raw Vannamei, Black Tiger, Pink, White, Flower shrimps (HOSO, HLSO,
PD, PDTO), Salad Prawns (solenocera spp, Aristeus alcocki), Squid, Cuttlefish, Baby
Octopus, Grouper, Ribbonfish (Hair tail), Skipjack, Yellow fin tuna, Sardine, Indian
Mackerel, Tilapia, Croaker etc.
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REEFBERRY FOODEX PVT. LTD. (FOODEX GROUP)
SEA-EX GOLD MEMBER
INDIA -Seafood Exporters. Products include various forms of Pomfrets, Groupers,
Snappers, Spanish mackerel, King Fish, Hilsa, Kati, Ribbonfish, Croakers, Corvina,
Lizard Fish, Barracuda, Sea Bream, Bull Eye, Bombay Duck, Japanese Threadfin Bream,
Cat Fish, Tongue Sole, Indian Halibut, Trevally, Indian Mackerel, Scad, Horse
Mackerel.
ANAND EXPORTS
SEA-EX BASIC MEMBER
INDIA - We can arrange supply of many varieties of frozen sea foods for the
international market. Main products are Frozen shrimps, cuttle fish, squid, octopus and
fish items such as Reef cod, Ribbon fish, Croaker, eel, sole, white snapper, stingray,
Yellow fin Tuna, skipjack tuna etc
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VIGHNESHWARA ENTERPRISE
SEA-EX BASIC MEMBER
INDIA - Seafood trader based in Kochi, south India, we bring with us 3 decades of
experience in processing, marketing and consultation in seafood industry. We deal with
reliable packers across India and abroad who can supply quality seafood at affordable
prices. We deal in all fresh and frozen seafood items for our valued customer, and serve
customers across the globe. Yellowfin Tuna Loins (Thunnus albacares), Skipjack Tuna
(Katsuwonus pelamis), Indian Mackerel (Rastrelliger kanagurta), Octopus (Octopus
vulgaris), Cuttlefish (Sepia officinalis), Squid (Loligo vulgaris), Leatherjacket Fish
(Aluterus monoceros), White Pomfret (Pampus argenteus), Vannamei Shrimp, PUD
Shrimps (Metapenaeus dobsoni), Black Tiger Shrimps, Pomfrets, Reef Cod, Grouper,
Thondi Squid, Bagai, Sea Caught Shrimps
MOTTO:
To seek, to strive, to strike and not to yield is the motto of company. The company
marches and aspires to capture the principal position in the export of Sea foods in India.
VISION:
MISSION:
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1.7. OBJECTIVES OF STUDYING THE ORGANIZATION
VALUES:
Over the past decade in particular, there has been increasing focus and debate
worldwide on the guiding principles which should form the basis of the control and
direction of the company.
Good Corporate Governance is defined as follows:
“ The goals, according to which a company is managed and the major
principles and frameworks which regulate the interaction between the company's
managerial bodies, the owners as well as the other parties, who are directly influenced by
the company's dispositions and business (in this context jointly referred as the company's
stake holders). Stakeholders include employees, creditors, suppliers, customers and the
local community. DSF Group of companies' remains committed to the general principles
of good corporate governance including transparency, accountability, openness, integrity
and responsibility.
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CHAPTER 2
STRUCTURE OF THE ORGANIZATION
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2.2 NUMBER OF EMPLOYEES
Initially the industry are been started with the 125 employees. At present the
industry runs with the total employee 1500. The workers numbers are been changed on
the daily basis of the wages.
Some Department Heads may even continue their teaching duties, working with
students and preparing lessons. They receive good remuneration and work normal office
hours.
A Department Head usually performs many of the following tasks:
Setting budgets
Translating strategic goals
Proposing departmental changes
Managing staff
Conducting research
Adhering to statutory compliance
Managing resources
Attending and hosting meetings
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RESPONSIBILITIES OF DEPARTMENT HEAD:
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CHAPTER 3
FUNCTIONAL DEPARTMENTS OF THE ORGANISATION
Here all the activities will be done under the control of the finance manager.
Mostly in every organization the expenses will somewhat in an equal ratio. But in this
Company 90% expenses is for purchasing and the remaining 10% is for the other
administrative expenses. These accounts will be maintained by the finance department.
Nearly five to seven employees are working in this department to maintain the accounts.
The following are some of the activities taken place in the finance department.
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3.2 MARKETING DEPARTMENT
The marketing department must act as a guide and lead the company's other
departments in developing, producing, fulfilling, and servicing products or services for
their customers. Communication is vital. The marketing department typically has a better
understanding of the market and customer needs, but should not act independently of
product development or customer service. Marketing should be involved, and there
should be a meeting of the minds, whenever discussions are held regarding new product
development or any customer-related function of the company.
In this company the marketing activities will look after by the marketing manager
and the entire control will be with the Managing Director of the Company. The vehicles
of the company will be sent to various districts to collect the sea materials. There they
will purchase them by bargaining. A fixed rate of amount will be fixed by the MD of the
company and the marketing manager should not exceed the fixed rate. Then after the
completion of entire production and storage activities, the products are exported to
various countries in different brand names.
The products are exported to Japan by using the sea route. First it reaches
Srilanka and then from there it will be sent to Japan. For that they will get a letter of
credit. Totally it will take 40 days to move the products from Tuticorin to Japan.
In case of unexpected incidents, the company can claim the amount. These activities will
be done by the Marketing Manager.
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3.3 HUMAN RESOURCE DEPARTMENT
PERFORMANCE APPRAISAL:
Performance appraisal takes into account the past performance of the employees
and focuses on the improvement of the future performance of the employees.
Performance appraisals of Employees are necessary to understand each employee’s
abilities, competencies and relative merit and worth for the organization. Performance
appraisal rates the employees in terms of their performance.
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ABSENTEEISM:
The employees are allowed to take leave for two days in a month. And if they
are staying in the hostel, they can take leave for three days in a month. They should get
prior permission from the HR manager before taking leave. The reason for absenteeism
must be written in the leave form and that must be duly signed by the Manager. Basically
two letters will be marked for the employees for their un informed leave.
A means Double Loss of Pay
L means Single Loss of Pay
In case of any emergency, the employees can take leave by informing to the manager
over telephone.
COMPENSATION:
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The employees are given adequate salary according to their skills, abilities,
experience, working capacity etc. In addition to the salary, they are provided with Bonus,
PF, Workmen Compensation Policy, ESI, and Gratuity.
The bonus will be provided to the employees after one year from the date of
joining and it must be given at 8.33%. The Gratuity will be provided after 5 years. It
must be calculated as basic pay *15/26*no of years.
The lower level labors will be provided with daily wages of Rs.300 to Rs.500.
The middle level employees who look after the clerical works will be given Rs.20000
and later on it will increase at the range of thousands. The top level managers will be
given an adequate salary of Rs.50000 to Rs.200000.
The recruitment process is one of the critical processes since the success of any
organization lies on the hands of the employees. While recruiting the employees, the
Managing Director, the HR Manager, the manager of the field in which the candidate
belongs to will be present there.
The lower level labors will be recruited through advertising, canvassing, issuing
notice and giving pamphlets. The existing employees of the company will be sent to do
this kind of canvassing work. Van will be arranged by the company itself.
They concentrate the rural areas to gather more labors to the company. They will
be selected according to their educational qualification and physical evaluation. Mostly
they will be appointed for the pre-processing work, settling and grading.
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The middle level and the top level employees will be recruited through
advertising in television, newspaper, references etc. The applications from various
applicants will be received and filtered. While selecting them, experienced persons will
be given first priority. At the time of selecting the employees, they will evaluate on the
basis of experience, package and whether they will work for long term.
Individual Objectives – help employees in achieving their personal goals, which in turn,
enhances the individual contribution to an organization.
Organizational Objectives – assist the organization with its primary objective by
bringing individual effectiveness.
Functional Objectives – maintain the department’s contribution at a level suitable to the
organization’s needs.
Societal Objectives – ensure that an organization is ethically and socially responsible to
the needs and challenges of the society.
In this company, training will be given to the employees when they are in need of
that. The newly appointed employees will be given training for just 2 days. Since the
process is very easy to learn, it may not require more number of days to train the
employees.
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The training will be given by the existing employees who are well experienced in
that work. The clerical works will be trained by the superiors. And these training will be
under the control of the manager only. Thus it is very easy for the employees to develop
themselves and to increase their efficiency.
STRESS:
Stress is anything that poses a challenge or a threat to our well-being. Some
stresses get people going and they are good for them. Without any stress life would be
boring and would probably feel pointless.
In this company the lower level employees will not face much stress since they
will do the same work every day. The labors who used to do the cleaning, settling,
grading will do the same thing. New or difficult works will not be allotted to them since
they are less educated. The middle level employees are given the data entry work and
they will not be stressed by over work. Whenever the availability of sea materials is
adequate then the labors are allotted work on shift basis. Moreover they will be given
adequate compensation for the work done.
The HR Manager is the only person who is loaded with more number of works.
The level of stress is very high for him. The following are some of the reasons behind the
stress.
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RECORD KEEPING:
In this company the records are stored and maintained manually. All the
information regarding the employees will be recorded. Record keeping includes the
following records.
Visitors pass details: the details of the people who entered inside the
company will be stored and maintained.
Absentees list: the list of absentees will be collected from all the
departments and verified by the manager.
Performance sheet: the performance of the employees will be evaluated
by the superior and the HR Manager. Their level of performance will be
noted in the separate sheet for their salary fixation.
Remarks: the remarks of all the employees will be entered by a particular
in charge.
Thus earlier all these above information are stored and maintained manually. But
nowadays they are entering all the information in the system for their future reference
and easy maintenance.
QUALITY CONTROL:
Quality control, or QC for short, is a process by which entities review the quality
of all factors involved in production. Quality control emphasizes testing of products to
uncover defects and reporting to management who make the decision to allow or deny
product release.Controls include product inspection, where every product is examined
visually, and often using a stereo microscope for fine detail before the product is sold
into the external market. Inspectors will be provided with lists and descriptions of
unacceptable product defects.
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This company recognizes the importance of new world trends in food safety
measures and has established ultra-modern in-house testing laboratory for raw material
control, process control and product control.
It has also implemented the Hazard Analysis Critical Control Point (HACCP)
which emphasizes food safety. Our plant is approved by EU and USFDA. Apart from
these quality assurance systems, we are periodically monitored by Export Inspection
Council (Govt. of India) to ensure the compliance of HACCP & SSOP Programmed.
It has strict quality control team to guarantee reliable product quality for each
batch. Our company also concentrates on customer satisfaction, food safety measures,
fast response, product development etc.
This Quality control team will make random checking. They will check whether
the raw materials are of high quality. If the quality is low then they will return the raw
materials to the seller from whom they purchase it.
HR AUDIT:
A Human Resources Audit is a comprehensive method (or means) to review
current human resources policies, procedures, documentation and systems to identify
needs for improvement and enhancement of the HR function as well as to ensure
compliance with ever-changing rules and regulations.
An Audit involves systematically reviewing all aspects of human resources,
usually in a checklist fashion. The purpose of an HR Audit is to recognize strengths and
identify any needs for improvement in the human resources function. A properly
executed Audit will reveal problem areas and provide recommendations and suggestions
for the remedy of these problems.
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This company has a regular audit. Everything will be audited and checked
periodically. They have two audits.
Internal
External
Internal audit means the existing people working in the company will check them.
The finance department will do the auditing work. He will check all the administrative
expenses, miscellaneous expenses etc. The HR Manager will allocate some employees to
check the work done by the other employees. They will act for the favor of the HR
Manager. Thus it will happen in the internal audit.
External audit means some other team will visit the company and do the audit.
The company will be audited by two teams. They are as follows.
EU : European Union
This team will visit the company each and every year and it will audit.
Mostly it will concentrates on the HR department. Whether the records are maintained
properly and the performance of the company has increased or not will be checked out. If
all the records are perfect then it will issue a certificate.
BRC : British Retail Consortium
This team will conduct two different audits. Tesco audit and Ethical audit.
This audit will be done once in three years. The following are some of the items which is
considered while doing this audit.
Age / Proof
ID Card
Health Card
Employees Profile
Wages
Full and Final Settlement.
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If any one of the above records is not maintained properly, then they will not give
proper authority to market the company products. This BRC audit is done for getting
authorization to market the products internationally.
HR INFORMATION SYSTEM:
The information of the company will be stored and maintained in the system. For
this purpose, they use particular software. The main advantage of using this is they can
store and retrieve lot of information whenever they are needed. This HR information
system is still in progress in this company.
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WELFARE ACTIVITIES:
Welfare includes 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.
This company has also done many welfare activities for their employees. Without
the welfare activities, employees will lose the interest in working. The following are
some of the welfare activities provided to the employees.
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3.4 PRODUCTION DEPARTMENT
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CHAPTER 4
APPLICATION OF MANAGEMENT CONCEPT
STRENGTHS:
Business strengths are its resources and capabilities that can be used as a basis
for developing a competitive-advantage. Strengths include:
Patents
Strong brand names.
Good reputation among customers.
Cost advantages from proprietary know-how.
Exclusive access to high grade natural resources.
WEAKNESSES:
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OPPORTUNITIES:
The external environmental analysis may reveal certain new opportunities for
profit and growth. Such opportunities include:
An unfulfilled customer need.
Arrival of new technologies.
Loosening of regulations.
Removal of international trade barriers.
THREATS
Changes in the external environmental also may present threats to the firm.
Threats include:
Emergence of substitute products.
New regulations.
Revising the salary
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CHAPTER 5
FINDINGS AND SUGGESTIONS
5.1 FINDINGS
Frozen food is generally associated with being a natural rather than a processed
product. Associations that people make with chilled seafood are more negative.
Two factors influence consumers’ perceptions of frozen seafood: - attitudes
towards frozen foods in general. - what they perceive to be the intrinsic qualities
of seafood (e.g. that it is delicate, has a subtle flavor, is easily spoiled).
The negative issues raised for frozen seafood from this research relate to its
texture, taste, appearance and shelf life.
Across categories of frozen seafood, coated seafood is considered the most
acceptable frozen category because it is the most familiar. Ready meals follow
this. For the majority of consumers the shape, color and solidity of frozen natural
seafood, particularly finfish, seem unnatural.
The most common interpretation of the term ‘frozen-at-sea’ is that the fish is
frozen as soon as it’s caught or at least soon after, ensuring it is ‘fresher’.
Products most commonly associated with ‘frozen-at-sea’ are natural fillets/steaks
and shellfish. The consensus is that ‘frozen-at-sea’ products would command a
premium price.
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5.2 SUGGESTIONS
The following are my suggestions to make the HR department more effective.
The following are the things which are very effective in the company
Welfare activities.
Recruitment and selection process.
Infrastructure facilities.
Medical facilities.
Quality control system.
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5.3 CONCLUSION
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