1

AN ORGANISATIONAL STUDY
AT
EASTERN CONDIMENTS PVT LTD: cochin
( Submitted to the kerala University, in partial fulfillment of the requirements for the award of Master of
Business Administration)

Submitted by;

MAYA TV

INSTITUTE OF MANAGEMENT AND TECHNOLOGY

(Affiliated to Kerala University)

Submitted to:

Mrs.Deepa

(Assistant faculty and mentor for organisational study)

OCTOBER 2011
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DECLARATION

I hereby declare that the dissertation entitled ‘Organization Study at EASTERN CONDIMENTS PVT
LTD, KERALA’ submitted to INSTITUTE OF MANAGEMENT AND TECHNOLOGY in partial fulfillment of the
requirement for the award of the degree of M.B.A (Master of Business Administration), is a record of original
work done by me under the supervision and guidance of Ms.ANN,HR officer , and the project work has not
formed the basis for the award for any degree or other similar title to candidate of any university.

Place: PUNNAPRA

Date:27/10/2011
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ACKNOWLEDGEMENT

I am deeply indebted to EASTERN CONDIMENTS PVT LTD, for giving me this opportunity to
complete my project work in their esteemed organization.

I express my gratitude to MR JOHN HR MANAGER for granting me permission to complete my

project work at EASTERN CONDIMENTS PVT LTD

I am extremely grateful to Ms.ANN,PROJECT GUIDE, for all her guidance, assistance and support.
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CHAPTER 1

INTRODUCTION
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INTRODUCTION
An organization refers to a social arrangement that pursues collective goals,
controls its own performance, and has a boundary separating it from its environment.
Management is interested in organization mainly from an instrumental point of view.
For a company, organization is a means to an end to achieve its goals - which are to
create value for its stakeholders (stockholders, employees, customers, suppliers,
community).

Organizational studies encompasses the study of organizations from multiple

viewpoints, methods, and levels of analysis . it states how people - as individuals and
as groups - act within organizations which involves the study of the structure and
functioning of its department. Organizing or organization is one of the important
function of the management. Generally, all the organizations are different but, they
have certain common features. They are group of people linked together by formal
and informal relationship, in hierarchical order that are engaged in co-operative
activities and every one has identical boundaries. So the study of people in
organization is important for future manager.
Whenever people interact in organizations, many factors come into play.
Modern organizational studies attempt to understand and model these factors. Like all
modernist social sciences, organizational studies seek to control, predict, and explain.
It is vital to study the structure and functioning of successful organization so
they will guide directorial towards successful and profitable functioning The
swift changes in the field of science and technology has revolutionized the
organizational system. Such changes have become inevitable to achieve the basic
objective of the firm.

a)Objectives of the study

 Primary objectives

1. To study the organizational functions

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2. To know about the structure and functions that carried out

in different departments,specifically taking marketing
department

3. To study the products of the company

 secondary objectives

1. To analyse strength ,weakness, opportunities and threats of the

company

2. To get real time exposure of corporate world.

3. To understand the difference between theoretical &

practical aspects of functioning organization

b) Methodology

This organization study was conducted by collecting information from primary

and secondary data sources. The study was conducted in three phases.
The first phase involved collecting information from various text book,
website etc.
The second phase involved visiting production site of the company.
The main of the visit was to understanding the production process.
The third phase involved interviewing departmental heads and other
staff to understanding the activities of each department.

Primary Source
Primary data are collected through discussions and interviews with officials, also
through direct observation.

Secondary Source
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Secondary data are collected from:

 Company documents &

 Company websites.

c) Scope of the study

• The scope of the study was limited to the corporate office at cochin and
manufacturing unit at Adimali.

• The study mainly concentrated on HR , marketing and production department

of the organisation

e) Limitations of the study

Time constraints has been the main limitation. The company personnel do not
reveal trade secrets, confidential information like marketing, finance.

f) Chapterisation

• Chapter 1 – introduction

• Chapter 2 – industry profile

• Chapter 3 – company profile

• Chapter 4 – organisational structure

• Chapter 5 – objective wise analysis

• Chapter 6 – swot analysis

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• Chapter 7 – findings, conclusion and suggestions

CHAPTER 2
INDUSTRY PROFILE
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HISTORY OF THE INDUSTRY

By 3000 B.C, turmeric, cardamom, pepper and mustard were cultivated in

Harappa and Mohenjo-Daro, in the Indus valley, were of occupied mixed stock
somewhat larger in structure than either the Sumerians of those communities. The bad
club wheat barely sheep and goats from the Iranian plateau and cotton from Southern
Arabia or North East Africa but were held back by their reliance on food water due to
lack of knowledge of irrigation.

Summer bad trade links with the Indus valley via Hindu Kush by 3000 BC and by sea
from 2500 BC thus thinking the Harappa’s with both Sumerians and Egyptian, where
cumin, anise and cinnamon were used for embalming by 2500 BC.

By 1750 BC Harappa civilization had disappeared probably due to flood and tectonic
shift were replaced by the Aryans who invaded via Hindu Kush by 1500 BC. The
Aryans had considerable contact with Babylon from whence the original flood legend
arose be adopted by both the Aryans and the Hebrews and several other civilization.

INDUSTRY PROFILE
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Food processing industry in India is among one of the biggest sectors known in
terms of production ,growth,consumption,and export. The turnover for this sector
accounts for Rs.250,000crores(USD 69.4billion ) approximately and within it the
value-added food products are estimated at Rs.80,000 crores,which is USD 22.2
billion.This sector covers a wide range of edible items, such as,fruits and
vegetables,spices and condiments,meat and poultry,alcoholic beverages,milk and
milk products,fisheries,grain processing,and plantation. Other consumer goods in the
products in the food processing sector include confectionery items, chocolates and
cocoa products, mineral water, soya-based products, high protein food products,and
so onThe exporting processing zones and food proceesing industries in India are
made 100 percent export oriented by the government of India ever since august
1991 and has also permitted for collaboration both with the the local and global
firms. The estimated FDI in this sector is accounted for Rs.10, 000crores.Some of the
features of food processing industries in terms of export production are as follows
Food processing are built in both the export processing zones as well as the the free
trade zones in India and it has been made 100 percent export oriented
The import of goods enjoy tax free privelage in all kind of goods

India and spices

Indian spices paid important role in the history of various lands discovered or
destroyed kingdoms built or brought down, wars won or lost, treaties signed or flowed
flavours sought or offered. Spices have also played a political role in the history. He
use of spices from the year 1200 and the European preoccupation with the world of
spices was born .The use of spice in food meant money and power, and the desire to
acquire these precious status symbols led to world exploration pan global
communication trade, alliance and war.
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Indian spices also fitted into philosophic concepts of improving health science. It
was understood that they could affect the four humors

(Blood, phlegm yellow bile and black bile) and influence the corresponding moodes
(sanguine, phlegmatic, choleric and melancholic)

a) CURRENT SCENARIO
Within the past one decade, the international trade in spices has grown by leaps
and bounds. As estimated 500.000 tone of spice and herbs values 1500 million US
dollars are now imported globally every year. An impressive 46% of these supply
come from India. India’s exports and spice extracts have made spectacular growth
attaining over 50% of the global market within a short span.
This remarkable achievement is boon of a sea change in the industry scenario.

The Indian share

At present India produce around 2.5 million tonnes of different spice valued at
approximately 3 million US dollar, and hold the premier position in the world.
Because of the varying climate suitable for the spice cultivation almost all spices are
grown in this country. In almost all spices are grown in this country. In almost all the
28 states and six union territories of India, at least one spice is grown in abundance.
No country in the world produces as many varieties of spices as India.
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CHAPTER 4

COMPANY PROFILE
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ABOUT THE COMPANY

INTRODUCTION

The Eastern Group was founded by Mr. M. E. Meeran, chairman of the

group, nearly two decades ago. He started its activities as a business with a wholesale
provision of goods at Adimaly in 1969 named “Eastern trading company”. Eastern
Coffee and Curry Powder established in 1983 as a pioneer in the state to produce
packed curry powders, coffee powder and food products. Eastern Condiments was
established in 1991, as expanded form of eastern Coffee and Curry Powder, and
employing 150 employees where as Eastern Coffee and Curry Powder were
employing 20 workers.

The company exports its products to Saudi Arabia and the United Arab Emirates for
the past few years and now the company exports its products to various parts of the
world like Middle East, the U.K, the U.S.A, Australia, Germany etc.

The production at the initial period was only 100kg per day. In those
days, the process of production was enhanced from grinding to pulverizing and so the
production could also help to preserve the natural taste of the powder. As Eastern
curry powder unit could not meet the increased demand, establishment of Eastern
Condiments with a production capacity of 20 tonnes a day was a absolutely necessary.
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From the initial production capacity of 100kg per day , now it can produce around 78
tonnes per day.

The purity and freshness of Eastern Curry Powders made “Eastern” a house hold
name in India and abroad. Bringing high quality products every day at affordable
prices to the common man for his daily use is the ultimate goal of Eastern group of
companies. Treating the customers with commitment for quality at the right price in
all products is their formula for success.

Eastern Condiments was established in 1991 .100000 Kg of sales was registered in

1991. The company is the leading brands in India and second most popularized brand
in Kerala .The company hold 75% market share and it follow cash and carry method.
The company follows direct distribution and it had 86 routes. Now the company had
1500 employees and the last year turnover was Rs. 450 Cr. The company plan to attain
the target of Rs.1000 Cr by 2012

Various departments in Eastern are;

1.Human Resource Development & Admin

2.Finance and Accounting

3.Production

4.Maintanence

5.Marketing

6.Quality Control & Quality Assurance

7.Purchase

8.Export
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9.IT Department

10.Production Planning and Control

PRODUCT PROFILE

Eastern condiments Pvt . LTD has different varieties of spices, curry powders,
blended curry powders and masala. The different Categories of products are:

Eastern processes and manufacture Spices and blended spice powders. Spices are
procured from the finest plantations in Kerala, India.

DIRECT POWDERS

 TURMERIC POWDER
 CHILLI POWDER
 CORIANDER POWDER
 BLACK PEPPER POWDER

DIRECT SEEDS

 MUSTARD
 CUMIN
 BIG JEERA
 MEETHI

BLENDED MASALA POWDER

 RASAM POWDER
 SAMBAR POWDER
 PICKLE POWDER
 FISH MASALA
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 CHICKEN MASALA
 MEAT MASALA
 BIRIYANI MASALA
 GHARAM MASALA

PICKLE

 MANGO
 TENDER MANGO PICKLE
 GINGER
 GARLIC
 LEMON
 DATES
 PRAWN
 MIXED VEGETABLE

Outsourced product
Company outsource the manufacturing\procurement of the following product.

 TAMARIND
 RICE PALADA
 COCONUT
 GINGELLY OIL

The product is tested in the laboratory prior to acceptance.

The outsourced units are inspected based on established parameters annually.

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Chapter 4

ORGANISATION STRUCTURE
ORGANISATION CHART

BOARD OF DIRECTORS

CHAIRMAN VICE CHAIRMAN VICE PRESIDENT (OP) DIRECTOR - TECHDIRECTOR -F&A DIRECTOR- P&O DIRECTOR- IT

EXECUTIVE COMMITTE

HEAD-PRODUCTION HEAD-PROCURMENT HEAD-MARKETING HEAD- ENGG&TECHNICAL CFO COMPANY SECRETARY

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FINACE
CONTROLLER
AGM
Finance

DY
ASST MANAGER MANAGER

SR MANAGER MANAGER SR MANAGER MANAGE TAXATION

MKTG HR & ADMIN R PRDN ASST
EXPORTS MANAGER
OFFICERS
SR PROD.
MANAGER OFFICER- SUPERS
MKTG HR OFFICERS

OFFICER OKKAL ASST

EXPORT OFFICERS MANAGER
ASST UNIT PRODUCTION
MPD
MANAGER SR MANAGER
MAINTENANCE

MANAGER
SR.SALES SR OFFICER
-PPC
OFFICERS PURCHASE
DY
MANAGER WORK
MANAGER
TECHNICAL SHOP IN
SR OFFICER ELECTRICAL
SALES TEAM CHARGE
PPC OFFICERS-IT

ASST MANAGER
OFFICERS- PPC MICROBIOLOGY

PRDCTN TEAM
SR OFFICR
TECHNICAL

Awards Won

The eastern group has won many prestigious awards for its outstanding
performance by Spices Board India for 8 consecutive years from 1998 to 2004-’05.
Mr.M.E.Meeran, Chairman of Eastern Group was awarded as the “Best Business Man
Of The Year” by Business Deepika (leading business journal in Kerala) in 2007-2008.
He is also the award winner of “Best Entrepreneur Of The Year” by Mangalam
Publications. The company has also won the FACT MKK NAIR MEMORIAL
PRODUCTIVITY award for the year 1995-’96.
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The company has got ISO 22000 and the HACCP certification. Eastern was
the first company in India to get ISO 22000 certificate. Every award has been a
stepping stone for achieving greater heights and look forward for higher goals. The
foresight of the chairman is the guiding light for the blazing track of the group.

VISION OF EASTERN GROUP

To be the preferred supplier:-Catering to the basic needs of the mass market by

providing products of outstanding value through the adoption of global standard and
innovative practice.

To be a Preferred Employer in the Industries:-We are provides a challenging work

environment and adds value to our people through diverse exposure and continuous
education.

C) EASTERN GROUP OF COMPANIES

Eastern Group of Companies is a group of companies with diverse interests

and a world leader in Indian spices. Eastern has ventured into various areas like tyre
retreads, mattresses, garments, packaged foods, mineral water and public school and
has many more projects in its dream. The detailed description of each company is
given below;

1. Eastern Curry powders

The company has provided their consumers with consistently high quality powders
and blends. Eastern Condiments operates from two modern factories situated in the
Western Ghats of South India
 Natural Spice Powders
 Eastern turmeric Powders
 Eastern Chilli Powder
 Eastern Coriander powder
 Eastern Black Pepper Powder
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 Eastern Curry Powder

2) Sunidra Mattresses
Sunidra mattresses Pvt.Ltd. was set up in 1999 to manufacture rubberized coir
mattresses with a state of the art factory in Thodupuzha. The popular brand of
rubberized coir mattress manufactured by Sunidra Mattresses Pvt.Ltd.is slowly
growing to be a market leader in the country. Sunidra has own the ISO 9001-2000
certificate.
Sunidra is made of rubberized coir sheets that are produced from 100% natural
latex without any added waste. These rubberized coir sheets are air permeable and
have natural breathing qualities, it doesnot cause any allergies and also recyclable.

3)Eastern Aqua minerals

Eastern Aqua Mineral, a recently launched company was set up in the year
2002.Eastern Aqua Mineral entered the area of packaged drinking water with the state
of srt plant located at Eranakulam district. Eastern packaged drinking water of highest
purity standard ,high quality with control,1286 testing facilities and quality product
with international standards. It is available in convenient sizes. Eastern packed
drinking water is also priced attractively in keeping with Eastern’s view of bringing
high quality products to the common man at the right price.

4) Eastern Public School

The Eastern group entered the area of education with the getting up of the
Eastern Public School. Mrs. Nabeeza Meeran has been the Principal of Eastern
Public School. This school ensures a high quality education from kindergarten to
primary levels with C.B.S.E syllabus providing all the residential facility residing at
the heart of Idukky District

5) Eastern Treads Ltd.

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Eastern Treads Ltd. Is a public company engaged in the manufacturing of

quality procured tread, cushion, bonding gum and black vulcanizing cement. Its
branches all over India has been showing consistent high performance and growth.
The factory has annual turnover of 12 crore and it is located at Oonnukal,
Kothmangalam. The company has a processing capacity of 12 tonnes of cold rubber
per day with nation wide market network. This company is in the service industry for
retreading tyres and the service plant is located at Vazhakulam. The company services
by retreading of used tyres on an average basis of 1500 tyres per month.

6)King Richard Shirts

King Richard, a brand of men's wear from Eastern Clothing Company was set
up in 1999. This brand was targeted at middle class. King Richard Includes all the
trends of colour combinations and designs of fashion shirts and trousers with a view to
meet the aspiration of working class with a quality ready wear at responsible price in
the international styles.
This factory has the production capacity of 15,000 shirts per month. Top quality
fabrics are used in the manufacture of King Richard brand shirts (utilizing 100% of
cotton from India and European brands like Bergamo, Brembana, Italian fabric etc.).
This brand usually comes out mostly formal and casual styles; but also makes small
numbers of semi-casual styles.

COMPETITORS INFORMATION
The company has many competitors in the market because the condiments
industry it also small scale industry. So the company faces competitors mainly from
three different states like
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Kerala - Melam, Priyam, Saras, Bramins, Ruchi, Double Horse

Karnataka -M T R

Tamilnadu – Shakthi

Food safety management system

Eastern company has established documented , implemented and maintained
an effective food safety management system and update it when necessary in
accordance with the requirements of this international standard ISO 22000:2005 and
HACCP

The company has

 Ensured that the food safety hazards that may be reasonable expected to occur
in relation to products within the scope of the system are identified evaluated
and control in such manner that the product of the organization do not directly
or indirectly, harm the consumer,
 Communicated appropriate information through out the food chain regarding
safety issues related to its products,
 Communicated information concerning development implementation and
updating of the food safety management system throughout the organization to
the extent necessary to ensure the food safety required by this international
standard, and
 Evaluated periodically and update when necessary the food safety management
system to ensure that the system reflects the organizations activities and
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incorporates the most recent information on the food safety hazards subject to
control

FOOD SAFETY POLICY

Eastern Condiment pvt Ltd is committed to supply safe and hygienic spice
powder, masala powders, pickles rice and coffee powder to our customers through
control of food safety hazards in the raw materials using greatest process hygiene
system to the expectations of our customers by complying with statutory and
regulatory requirements.

LEGAL FRAMEWORK OF THE ORGANISATION

Eastern Condiments Pvt Ltd is incorporated under THE COMPANIES ACT

1956 on 26th Feb 1991 having its registered office at P. B no:15 Eastern Valley
Adimali. The Authorized share capital of the company is Rs 35, 00,000/- divided into
3500 shares of Rs 1000 each.

INTERNATIONAL ORGANISATION FOR

STANDARDISATION (ISO)
ISO was set up in the year 1987. It is a worldwide federation of standard bodies
from 138 countries. Bureau of Indian Standards (BIS) represents India in ISO.
MISSION
Its mission is to promote the government of standardisation and related activities in
the world with a view to facilitate international exchange of goods and services and to
develop co-operation in intellectual, scientific, technological and economic activities.
ISO Series
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 ISO 9000-2000
 ISO 9001-2000
 ISO 9004-2000
1. It is first developed and published in 1987, revised in 1994 and 2000.
2. It consists of 3 basic documents (9000,9001 and 9004
3. It is a means to demonstrate quality assurance of product or services
4. It is the most popular among over 13000 standards issued ISO since 1987
5. Indian version is IS/ ISO 9000 series standards

ISO VERSIONS

 ISO 14000 for eco-friendly products and companies

 ISO 9000 for the overall quality products
 ISO 22000 for food safety products

Eastern is the first company in India and the second company in Asia got ISO 22000
Certification.

Eastern got ISO Certification in the year 2000-20005.The Organisation shall ensure
the following basic requirements for the implementation of ISO 2200.

 The food safety hazards that may be reasonable expected to occur i relation to
products within the scope of the system are identified, evaluated and controlled in
such a manner that the products of the organisation do not directly or indirectly harm
the consumers.
 Communicate appropriate information through the food chain regarding safety
issues related to its products.
 Communicate information concerning development, implementation and
updating of food safety
 Evaluate periodically and update.
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CHAPTER 5 DEPARTMENT PROFILE

HUMANRESOURCE DVT &ADMIN DEPARTMENT

Man power or human resources or people at work of an organization
consists at all individuals engaged in any of the organization activities regard less
of levels

Personal management is that part of the process of management which is

primarily concerned the human aspects of an organ. Its purpose is to establish and
maintain good personal relations at all levels of an organization. Without efficient
use of human resources, management can never accomplish organizational
objectives. Personal management is also called personal administration, labour
management, and manpower management.

Administration or Human resource is defined as “it is the sum total of

inherent abilities, acquired knowledge and skill represented by the talents and
aptitudes of the employed person “.According to Edwin. B. Flippo, personal
management has defined as “the planning, organizing, directing and controlling of
the pro development, compensation, integration and maintenance of people for the
purpose of controlling the organizational, individual and social goals.”

DEPARTMENT CHART
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Vice President Operations

Senior manager H R

Senior officer H R &

Administration

H R Officers

1. DUTIES OF HUMAN RESOURSE DEPARTMENT

The responsibility of human resource department is mainly to keep the records

of attendance of staff and workers. It also includes records of various leaves taken
by the employees and management staff, calculations of salaries, Provident Fund,
bonus of employees, records of their entry in to the service, issue of memos and
other service rule related matters.

2. CLASSIFICATION OF WORKERS

1) Senior workers

2) Junior workers

3) Piece rate workers

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4) Daily wage workers

5) Technical workers

6) Apprentice

3. RECRUITEMENT AND SELECTION

Recruitment is one of the step in the selection process. Vacancies arising in

an organization due to various reasons such as resignation, termination death,
employee promotion, transfer have to be filled by recruitment and selection.

A) DIRECT RECRUITMENT
In Eastern frequency uses this method for recruitment. The firm places job’s
advertisement in Malayalam English news papers and local T.V.channels and tries
to attract as much capable people from outside its company services.

B) INTERNAL RECRUITMENT
Several post are filled from among the internal candidates

Whenever vacancies arise efficient and skilled workers from the rank and file of
the company are promoted and appointed in the company.

Besides, evictees, local candidates who belong to surrounding have preference

in subsequently arising vacancies.If they have prescribed qualification and experience
the company may give special preference to them.

4. EMPLOYEES

The Adimaly branch of the company has 3division( Masala powder, Marketing
and Administration). There are 1500 employees working in the company.

5. TRAINING
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The company will prepare yearly training schedule based on ISO 22000. The
will give the job training for the employees. All management staffs put under training
particular subject has to submit the report to the Factory manager about the training.
Based on the evaluation of the ranking is poor, he will be given further training.
Individual rewards for training are kept and maintained properly.

6. PROMOTION AND TRANSFER

Those workers have required qualification and eligibility are promoted to

supervisory cadres. Transfer is two types. They are internal transfer and external
transfer. Employees transferred to different departments on the basic of their skill.

7. WAGES AND SALARY

Me workers are paid into two system.

i. Piece rate system

ii. Salary System

9. RETIREMENT

The company will undertake some disciplinary action of faults from the
employees. The disciplinary action includes loss of pay and suspension.

LABOUR WELFARE FACILITIES

The company provides a lot of non-monitory benefits to their

employees. Some of them are as follows:

1. Transportation
2. Canteen facilities
3. Personal Protective Equipments.
4. Medical Insurance.
5. Pension Scheme
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6. Annual Medical Check- up

7. Tours and Picnics.

FOOD SAFETY OBJECTIVES OF HR DEPARTMENT

 To provide at least 12 hrs training to every employee yearly about food

safety..
 To ensure provide induction training new employees within two weeks from
date of joining

WOMEN EMPOWERMENT:

Eastern Condiments gives preference for women as their workers. Around 80% of
workers are women

MARKETING DEPARTMENT
Marketing deals with identifying and meeting human and social needs. One of the
shortest definitions of marketing is “meeting needs profitably”. L. e. marketing is a
drive to turn a private or social need into profitable business opportunity. Marketing
being the most important it is concerned with analysing the market , discovering the
opportunities , formulating marketing strategies , developing the special strategies
and tactics, proposing a budget and establishing a set of control. More than a
company department , the marketing is a orderly and insightful process for thinking
about and planning for markets.

MARKETING FUNCTIONS
 Developing marketing strategies
 Capturing marketing insights
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 Connecting with dealers & consumers

 Building strong brand image

 Delivering value to customers

PRODUCT DISTRIBUTION CHANNELS

 Factory fresh outlets
 Whole sellers
 Retailers

MARKETING STRATEGY
Company follows push and pull strategy in the case of marketing.
Merchandise strategy is also followed.

TARGET ACHIVEMENT METHODS

Increments and spif are given based on the performance of the sales executives

MARKETING PRODUCT LINE

 Spice powders
 Pickles & pickle powders
 Rice flower
 Tea & coffee

CUSTOMER BENEFICIAL & SATISFACTION

IDENTIFICATION METHODS
 Yearly conducting dealers meet
 Customer satisfaction details collected from dealers
IDENTIFICATION OF CUSTOMER EXPECTATION
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 Through SMRI – Professional survey team

 Through dealers

CUSTOMER ORDER RECEIVE AND FOLLOW UP

The orders receive from dealers in weekly once.

MARKETING TOOLS & TECHNIQUES

The various sales techniques consist of:-

1. Route Sales
2. Factory Fresh Outlet

3. Inter Company Sales

4. Export Sales

DEMAND ANALYSIS
The average percentage of three constitutive months plus 5 % of the average
sales.

METHODS OF OVERCOMING COMPETITORS

There is no stiff competition faced by the company, that’s 70% market share
belongs to companies product. The total number of competitors of local market is 187

MARKET SEGMENTS
The company’s product mainly segmented on the basis of geographical,
cultural and customer features.

The main responsibility of marketing department is to ensure the receipt of good

quality material to the consumer as and when required. The main aim of marketing
department is to supply good quality products at a reasonable price.
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Eastern following direct supply of its products to retailer and retailer sold product
to consumer.

ADVERTISEMENT & SALES PROMOTION

 NEWS PAPER
 TELEVISION
 DISCOUNT

PRODUCT PUBLICITY

Mainly through advertisement

CUSTOMER RETAIN MANAGEMENT

Eastern products are already branded. The company give more importance to
quality of the products, so the products already have regular customers

MARKETING DEPARTMENT STRUCTURE

Senior Marketing
Manager

Administrative Marketing manager

Staffs

Assistant Manager
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Senior Sales

Executive

Sales Executive

Driver Stock Assistant

The Marketing Department headed by Senior Marketing manager and

followed by Administrative Staffs, Marketing Manager, Assistant Manager, Senior
Sales Executive, Sales Executive, Driver and Stock Assistances.

FINANACE AND ACCOUNTS DEPARTMENT

OBJECTIVES OF FINANCIAL DEPARTMENT

Financial statement are prepared by the firm. The generally accepted

principle and procedure are followed to prepare these statements. The basic objective
of financial statement is to assist decision making.

1) To provide reliable financial information about economic resources

and obligation of a business enterprises.

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2) To provide financial information that assist in estimating the

earning potential of the enterprise.

3) To provide other needed information about change in economic

resources and obligation.

4) To disclosed to the extent possible other information relation to

the financial statement that is relevant to statement users.

FUNCTIONS OF FINANCE DEPARTMENT

1. To create budget among financial year.

2. To record day to day financial transaction.

3. Keep and maintain financial recorded.

4. Tax payment and pay of cash for other purpose.

All details are collected via the orion software. So when a data regarding
production or sales or cash etc. Is entered in the respective department the finance
department will get it via the software.

The finance department will check wether the information entered is correct.

The daily collection made by the sales staff is deposited in The federal bank
account. All deposited money come under same Account.

The daily collection made by the sales staff is deposited in the federal bank
account.
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The cash turnover of eastern condiment will come around 200 per year.
Currently the organization has a loan of Rs. 40Crores. External audit is done every 6
month, 3crores require as Eastern daily working capital.

Company adopt E- filling system for sales tax payment earlier. Now
Eastern condiment expecting 40crores investment from Malaysia Company.

The internal audit is also done in the organization. Finance has two
divisions sale tax and income tax return filling. Sales tax is filed monthly through e-
filling from Adimaly office.

STRUCTURE OF FINANCE DEPARTMENT

C F O

Finance controller Company secretary

AGM Finance

Dy. Manager

Senior Officers
 36

Officers

The finance department comes and or the C F O. The department headed by

Company Secretary and Finance Controller, AGM Finance, Dy. Manager, Senior
officer and Officers

d) PRODUCTION PLANNING AND CONTROL

DEPARTMENT
Production planning and control is the department which plans everything
regarding production. It find out what is to be produced when where quantity and it
even informs the purchase department about what raw materials is to be purchased or
production.

PPC regulate stock inflow and out flow with in help of orion soft ware
so the amount of stock readily available.

With the help of orion they getting a statement based on that statement
they can also manually check the amount of the stock and production made.

All 5 production location are handled from adimaly It self they make
plans according to the data provided by the marketing department.

Based on the information from the marketing department give

instruction to the purchase department and production department. They plans for 3
 37

months later it divided on monthly basics. Finally super visors of production

scheduling on weekly basics.

Production is according to the requirements and will depend on

seasonal demand. Production plan for maximum 3 month and festival seasons.

PRODUCTION PLAN

The production department prepares monthly production plan. This

production plan is based on the report of marketing department. Based on this report
the production target, the production plan will be prepared. At the end of the month,
the production department analysis the production details for the month. The company
being an ISO-22000 certified one, they should maintain daily shift report and monthly
production report.

WORKING HOURS

Production of the company is in 3 shifts of 8 hours. There are 700

employees are working in the factory.

PRODUCTION CAPACITY

They installed production capacity of this factory is 200 tonnes per

month.

OBJECTIVES

 Determining the nature and the magnitude of various input

actors to produce the desired output.
 To co-ordinate labour, machines and equipments in the most effective and
economic manner.
 38

 Ensuring smooth flow of material by eliminating bottlenencks, if any in

production.
 Utilisation of under employ resources.
 To manufacture the desired output of right quality and quality at right
time.

WORK INSTRUCTION

All skilled and unskilled workers engaged in space handling aria wear uniform,
caps, aprons, and hand gloves. Casual lady workers are engaged in packing wear
house coats, hand gloves and caps.

PRODUCTION DEPARTMENT

Production function performs according to instructions from the production

planning and control department. Production planning and control function give
monthly indent which is converted in to weekly plans by production department. A
stock of goods for 3 days production is kept with the department. In production
expected normal loss is 2% to 5%. Al details regarding production is given to
production planning and control department

daily basic.

The production department consist of 700 workers and 16 vehicles for

transferring of raw materials. The productivity is around 75%.

FUNCTIONS OF PRODUCTION DEPARTMENT

The activities production area includes various stages of operation until

dispatch. The products marketing largely based on the production capacity of the firm.
The has set up a well-built production department under a production in charge and a
 39

plant supervisor. As a food industry, the production aria must be clean and hygiene as
ISO 22000 requirement. The production operation in to production area is carried out
as per production plan. Ingredients will be moved operation wise to each machine and
production inspection is arried out subsequently. Plant supervisor does allocation of
work and he will ensure that the material will allotted to each machine and process
inspection is carried out subsequently.

Plant supervisor does allocation of work and he will ensure that the

material will allotted to each machine for achieving production plan. Work instruction
have been given to the concerned depending upon the production plan.

STRUCTURE OF PRODUCTION DEPARTMENT

Head Production

Production Manager

Assistant Manager
MPD

Senior Supervisor

Supervisor
 40

Worker

The Department Headed by Head of the Department. Followed by

Production Manager, Assistant Manager M D P, Senior Supervisor, Supervisor,
Worker.

MAINTENANCE DEPARTMENT

Preventive maintenance schedule has been prepared and implemented.

Suitable Checklist prepared for the maintenance. It is carried out on the bases of
intimation received from the production department. Expedition is taken for
breakdown maintenance. So that it should not effect the production. Breakdown chart
shoes the details of maintenance.

Maintenance Department of Eastern are responsible for us keeping the good

condition of the plant and equipments in good condition. Maintenance department is
divided into 3 namely

1) Electrical
2) Mechanical
3) Automobiles

There is both break down and preventive maintenance. All machine

expect some critical maintenance machine are maintained by the department itself.
Rest of the maintenance work given for contract work. Preventive maintenance is
done based on past experience and recruitment.

STRUCTURE OF MAINTANANCE DEPARTMENT

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Board of Directores

Functional Head

Divisional Head

(Machinery & Automobile)

Maintenance Engineers

Supervisors

Maintanance Department is headed by Board of Directores and followed by

functional Head, Divisional Head, Deputy Manager, Maintanance Enginers and
Supervisors.

FSTL (food Safety Team Leader)

ISO 22000-2005 requires that a person irrespective of his other takes in the
organization shall be incharge of the entire system of the ISO 22000-2005.
 42

He shall make sure that the system of ISO is working according to order and
is properly documented.

All the responsibilities of the FSTL is also mentioned in the guideline ISO
22000-2005.

PURCHASE DEPARTMENT
The head of Purchase Department of Eastern curry Powder factory is AGM
Purchase. Purchase department is responsible for all the purchase related to the factory
which is included raw materials, machine parts, and new machines.The purchase
system starts from the intend in the prescribed format given by the respective
department according to their requirement. As per ISO the supplier of raw materials
should be an authorised supplier. The management committe in the management
review meetings gives the authorization. Purchse Department should be responsible
the timely supply of all items required in the factory. It should all so find new
supplires, raw materials, market, comparative study of price and quality and present
marketing scenario. The main purchase office is at Ernakulam. Row material
purchase from Gundar (Chilly, Coriander) Adimaly (spices), Theny(vegitable and
other items).

PURCHASE PROCESS

Marketing department will give a statement of required material to

Production Planning and Control. Production Planning and Control will design a
material requirement plan they will make a weekly indent for purchase. It will be
given to purchase department purchase. Department will invite quotation for the
above material.
 43

Purchase is based on the predetermined standards specification will given to

suppliers. Before purchase sample will be received from supplires and it will be tested
in the case of approved suppliers direct purchase is accepted. In the case of new
suppliers two trial purchase is done to text their performance, company is maintaining
approved list of suppliers payment is made with a month through bank.

Purchase of machining a vehicle and its spare parts are done from Adimaly
itself. Majour purchase is done through brokers spices are purchased from local
market purchase department is always advised to keep some additional stock for
emergency stock is kept in Theny ware house.

STRUCTURE OF PURCHASE DEPARTMENT

AGM Purchase

Assistant Manager

Sr. Officers

Officers
 44

The purchase department come under AGM Purchase followed by Assistant

manager, Sr officers and officers.

a) EXPORT DEPARTMENT

Exporting is the process of earning money by selling products in foreign

country.

In Eastern’s started its exporting in 1994. At the very beginning eastern

products are exported to UAE, UK etc. Now eastern is exporting its products into
middle east, USA, Australia, UK and expecting market in Japan and other European
countries.

The exporting container is staffing in Okkal.

The Gulf count countries are the main market for currypowder and pickles.

In the market Gulf market the main competitors are Mehra (Pakitan
Product)

Eastern is exporting so containers monthly to various exporting countries.

The exported products are distributed through distribution a commission basic.

Time required for transportation

Dubai - 5 to 7 days

Gulf - 15 days

USA - 1 month

Europe - 20 days

Each country has his own specification and requirement for the export
product which has to be met. Each container which is exported will be checked.
 45

All exports are done through the Cochin part.

About 300 products of eastern exported some items are not available in the
local market.

The export division of eastern had a 50% growth last year. The transaction
are done is dollars only.

ACHIEVEMENTS

1)Eastern is the leading exporter of condiments from Indian

2)Eastern has received the spices Board Awards for best exporter

continuously for the last 10 years.

STRUCTURE OF EXPORT DEPARTMENT

Head International

Mgr Exports Export unit Okkal

Sr. Officers Mgr Exports

Officers Officers

Supervisors

Workers
 46

Supervisors

Workers

The export department is headed by Head International. It is followed by Mgr

Exports and Exports unit Okkal. Mgr Exports is followed by DyManager,Sr.Officers,

INFORMATION TECHNOLOGY DEPARTMENT

The whole organization is computerized and connected with optical fiber

cable. Eastern uses oracle based software called orion. Which has been customized to
suit the needs of this particular organization. This software has been developed by
31.The networking is done through a BSNL lease line and line and it has 3 mbps
speed. The currently the organization has only 1 lease line, but they will get 2 more
lease line to make the system fool proof at all time. So the organization will have a
total at 3 lease line in the near future.

The net work’s main server is situated in Ernakulam and all the different divisions
and co-operate offices have their own domains to connect to the main server. So all
the plants and deposits offices co-operate offices of eastern condiments is connected
via network and since the entire system is computerized, all data is to be entered
through the oracle software, which enable quick share of information every where all
the data from purchase to sales is entered into the oracle.

ERP(Enterprise Resource Planning) is also very much alive in this system. ERP
enables fast transaction and in being systematic in all this system. ERP enables fast
 47

transaction and in being systematic in all its function. ERP also helps in generating
MIS Report which will help in decision making.

The main advantage of using IT is an organization is to make information readily

available so in eastern also information re readily available and this make decision
making much faster and accurate and since the software is oracle based, there is no
security issues also.

The organization had made tremendous investments in developing its IT

Department which can be seen frpm the fact last year alone Eastern invested 3 crores
here. The department now proving palmtech for sales staff. It will make data more
accurate and help to save time.

The organization system are using mirrow hard disk and company planning to
introduce Gulf connection of the networking system separate internal mail server is
provided. The package used in orion 7.4 orion 10x (Centralized Data Base).

Objective of Information Technology Department

1)To be in search of latest technologies for system improvement

2)To provide the data processing facility in terms of hardware and software procure
for various department of Eastern condiments as well as Eastern groups.

STRUCTURE OF INFORMATION TECHNOLOGY

DEPARTMENT

Manager IT
 48

Dy. Manager

Assistant Manager

Sr. Officer

Officer

The information Technology Department come under Manager IT and

followed by Dy. Manager, Assistant Manager, Sr. Officer and Officers.

QUALITY CONTROL &QUALITY ASSURANCE

DEPARTMENT

Those activities which assure that quality creation is performed in such

manner that the resulting product will in fact perform its intended function.

One of the major department of Eastern condiments private limited is

quality control department. Eastern brought up a good control technology this
department has a no. of responsibility towards the working of the company. This
department is also good part in selecting raw material, which is going to use for
production.
 49

The Quality Control Departments got two main certificate ISO 9001-
2001 for quality management and ISO 2000-2005 for good safety management. The
quality control department divided into 2 segments.

FOOD MICROBIOLOGY

Food microbiology lab was first fully automatic microbiology laboratory in

India. The lab was fully furnished and equipments imported from finance. Amount
investment in lab around Rs. 3 crore and highly dedicated workers

 Helpful to know the contaminants included in the raw material

 Highly for research purpose and fast output.

FOOD MICROCHEMISTRY

Food micro chemistry lab checks the chemical contamination in the raw
material purchased and products of eastern condiments.

Eastern is currently on an aggressive growth path and is in the process of

transforming itself a highly mechanized, quality conscious organization.

CERTIFICATES

HACCP – Certificate issue by food cert BY Netherlands. Accredited by RVA

the first body in the world for food safety accredition

ISO 22000-2005: Eastern is the first company in India to get the ISO-22000
certification.

STRUCTURE OF QUALITY CONTROL

DEPARTMENT
 50

A G M Technical

Quality Manager

Assistant Manager

Chemist Microbiologist
 51

CHAPTER 6

SWOT ANALYSIS

SWOT ANALYSIS

STRENGTH
 52

 largest exporter of spice powder in consumer pack from India that export
mainly to Middle East, USA, UK, Australia, (60% of its products
with presence in 10 countries

 Award for outstanding export performance by spice board India for 8

consecutive years(1997 98-2007 08)
 Direct distribution in 40000 shops in Kerala and is a direct sales Direct sales
company owns vehicles under going distributive aids to give an important
mode of advertisement
 Good brand name.
 ISO 22000-2005 for food safety management system with the credit of being
the First company in India and second company in Asia to get the
certification
 HACCP- Hazardous analysis critical control point certificate issued by food
cert BV Netherland.
 Well established quality control lab help check raw material at all level.
 The whole organization have a computerized network with Fully
computerized dept so easy handling of transaction and documents
 In Kerala, Eastern is the market leader with more than 70% market to
almost all its products Eastern was selected as second among most popular
brands in Kerala by the Dhanam Business Survey in 2008.

 About 80% of the workers are women. The company make more
concentration on women empowerment
 Good relation maintaining with retailers and customers.
 Availability of a skilled labours at factory.
 Order are more in export eastern is the leading exporter of condiments.
 Strong relation between the organization and employee at all level is the
major reason for the success of the company.
 Company focus on relationship marketing.
 Complaint handling is done weekly basic.
 53

 Eastern consist of efficient and well – qualified staff and management.

WEAKNESS

 Company doesn’t maintain public relation department separately.

 Lack of research in marketing level.
 Location of factory is not suitable for easy transportation.
 While bearing the name Eastern, the consumers are having only the image of
curry powder and they are not aware of other product.
 Consumers are not aware about the ISO certificate.
 Company not paying much attention making consumers aware of ISO 22000

OPPORTUNITY

 Attract foreign investment for further development.

 Participation in International exhibitions and food fest.
 Possibility of getting listed as a public Ltd, company.
 Extend product line (instant gravy mix) like other rivals.
 Extent market to other countries also.
 Availability of pickles in local markets
 Starting of exclusive showrooms in different parts of state.
 Starting a spices garden it gives two opportunities :
 Can be used for research activities.
 Can be promoted as a tourist centre
 Vegetable marketing company is already well known among huge, so a
branded vegetable shop is an opportunity.
 54

 Around 50% of the households are still using home made product so company
can expect more growth in future.
 Food needs is physiological need so their no delay in the market condition.
 Change in the life style of people a good sign for ready make food industry.
 Company need more focus of foreigners market. The unexplot foreign market
help to increase its revenue in export.
 The north India market can expect more growth in future.

THREAT

 High competition in local national export market due to the low investment
requirement for the entering this industry.

 Each year hundreds of new curry powder companies are arising in whole
market.
 Upcoming retailers and their product.
 Unexpected climate change.
 Change in consumer attitudes and preferences.
 Upward trend in material price.
 55

Chapter 7

FINDINGS, CONCLUSION AND

SUGGESTIONS

FINDINGS
During the organisational study the reasearcher has made the following
finding.
i) Industry
The industry off the eastern condiment Pvt. Ltd. Adimaly which is the
part of the food processing industry. The history of the curry powder dates
back to 3000 BC.
 56

11)Company
The organisational study in eastern condiment Pvt. Ltd. Adimaly revealed
the history, profile and current position of eastearn condiment Pvt. Ltd. M. E.
Meeran founded the eastearn group nearly two decades ago. The group
started its activities by venturing into wholesale trading subsequently the
group diversified its business.

iii) Products

Eastern condiments Pvt. Ltd. Manufactures, curry masalas, pickles,

curry powder under the brand name Eastern.

ii) Departments
The eastern condiment Pvt. Ltd. Adimaly has nine department namely
Human Resource Department, Production Planning Department,
Production Department, Purchase Department, Quality Control Department,
Export Department, I. T Department, Marketing Department, and Finance
Department.

CONCLUSION
Eastern condiments Pvt.Ltd is an ISO22000-2005 company. This organization
is second in the world among curry powder industry. Company aim is 1000crore
turnover in coming 3years. For that company establishes 5 plants. It is notable that
company want to make production unit in Dubai. But company set up a packing unit
at Dubai. These are sign off on emerging multinational company. Because
organizational functions are running satisfactory for the state like Kerala is a greatest
achievement.
 57

The study conducted at Eastern Condiments Pvt. Ltd., which is

one of the pioneer in Condiment industry and the market leader in variety of
packaged curry powders in South India. It was a general study regarding all
functions and aspects of Eastern Condiments Pvt. Ltd., and giving more
importance to Human Resource, Marketing, Finance, Production, and Export &
E.D.P. It is found that a cordial relationship is maintained between all
departments for the smooth functioning and achievement of the organizational
goal of maintaining the market leadership and company’s image. Eastern has
achieved these enviable heights mainly due to the hard work and commitment of
quality besides bringing a good product at right prices to the consumers.

The study helped me to understand that how the company identifies the right
taste of the consumers and how it became the leading brand in south India and
largest exporter of spice powders in consumer pack from India. I was also able to
understand some of the opportunities and threats of the company. . In the
organization study the researcher had gone through a detailed study on the
implementation of ISO 22000 Certification.

Being a student of MBA, study entitled ‘An organizational study at Eastern

Condiments Pvt. Ltd.’ has benefited me with so much of confidence and
awareness, so as to be capable of myself to work in a firm. The study gave me an
opportunity to experience and improves my practical knowledge besides my
theoretical knowledge about an organization.
 58

SUGGESTIONS

 Intensity of advertisements need to be improved

 Company should maintain public relation department separately

which is not functioning at present.
 59

 Company not paying much attention to make consumers aware of

ISO 22000.thus it should also be given priority.
 60

BIBLIOGRAPHY
1) Kotler Philip ”Marketing Management”,Prentice Hall of India

2) Kothari C R, ”Research Methodology”, Now Age International(P) Limited

New Delhi-2005.