An

INDUSTRIAL VISIT REPORT

On
PARLE PRODUCTS PVT LTD.
Submitted By
VARUN CHANDRAKANT BAHIRWANI
F.Y. B.B.A (B)
ROLL NO. 02
Guided By
PROF. AJAY JAYSWAL
Submitted To
BHAKT KAVI NARSINH MEHTA UNIVERSITY

Shri Patel Kelavni Mandal College Of Tech And B.Ed

College Road, Junagadh - 362001

1
 PREFACE

Being a student of management stream, I

understand what practical knowledge is worth of and
how much important it is for overall development and
growth of a person. During this industrial visit, I gained a
great understanding about how such great companies
dealt with even greater issues and how they managed to
run such a huge business flawlessly.
This industrial visit to me was not just a
part of syllabus but an opportunity to explore a totally
new dimension of learning about the functioning of such
great companies. Compiling the gained knowledge in this
report has been a pleasure. The report not only includes
details about the great company PARLE but also carries
some research and insights into the functioning of the
company.

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 ACKNOWLEDGEMENT

This report is the sum and substance of

not only my hard work but also of support and guidance
given by my family, friends and teachers who have been
with me through the entire process.
I would like to thank the Public Relation
Officer of Parle Products Pvt Ltd. His guidance helped me
in gaining a better understanding about the whole
business in which Parle was engaged and I am obliged by
the support he showed us towards all the students.
Prof. Ajay Jayswal gave me a hand-
holding support during the process of preparing this
report and I am immensely grateful to him.
I would also like to present my gratitude
to the whole faculty of PKM College who had been with
me all the time and played a handy role in preparation of
this report.

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 DECLARATION

I, the undersigned Varun Chandrakant Bahireani, a

student of F.Y. B.B.A. , hereby declare that the presented
report is my own work. I have presented this report
under the supervision and guidance of Prof. Ajay Jayswal.

The content of this report is unique and has been

gathered after deliberately studying various sources and
references.

Place: Junagadh
Date: 18th March 2019

(Varun Bahirwani)

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 CONTENTS

Sr PARTICULARS PAGE
No NO.
1 PARLE AT A GLANCE
o General Information
o History 06
o Size of the company
o Global Reach
o Achievements
o Organisational Structure
o Others

2 PRODUCTION DEPARTMENT 20
3 FINANCE DEPARTMENT 29
4 MARKETING DEPARTMENT 37
5 HR DEPARTMENT 44
6 FUTURE PLANS 53
7 CORPORATE SOCIAL RESPONSIBILITY 56
8 CONCLUSION 60
9 BIBLIOGRAPHY 65

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6
 GENERAL INFORMATION

Since 1929, Parle has grown to become India's

eading manufacturer of biscuits and confectionery. As
the makers of the world's largest selling biscuit, Parle-G,
and a host of other very popular brands, the Parle name
symbolizes quality, nutrition and superior taste.

An in-depth understanding of the Indian

consumer psyche has helped Parle develop a marketing
philosophy that reflects the needs of the Indian masses.
Parle has made it a tradition to deliver both health and
taste, with a value-for-money positioning that allows
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people from all classes and age groups to enjoy Parle
products to the fullest.

With a reach spanning the remotest villages of

India and major cities across the world, the House of
Parle has become synonymous with trust, globally.

In the history of Indian economy, very few

companies have been able to leave their traits on the
hearts of customers and also retain it for a long time,
Parle is surely one of them.

It’s a brand loved by people of all age groups,

all castes, all religions, perhaps the whole country. Parle
hasn’t confined itself to Indian markets only but has
showed a tumultuous expansion in global markets as
well.

8
HISTORY

9
 In 1928, Mr. Mohanlal Dayal founded the
house of Parle. The first plant was set up in
1929 with 12 workers making confectionary.

Since then the house of Parle has never

looked back and surged new heights ever since.

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 From the decade of 1931 to 1950, Parle created
new benchmarks in the industry. Its products like
Parle-G, Monaco and cheeselings got overwhelming
responses from the market.

Parle-G is the most loved biscuit in the Indian

market even today. This biscuit makes Parle not just a
brand but an emotion. Parle as a company has been
extensively investing in R&D, as a result of which, it has

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expanded its product basket and thus giving its
consumers a great smorgasbord.

But the main technical disruption came in the

year 1948 when Parle successfully developed world’s
largest oven. 250 FEET LONG OVEN.

Thereafter, Parle continued to develop new

variety of products and expanded its confectionary range

12
with Kismi, Melody, Poppins. Whereas jeffs and
cheeselings also gained a good response from the
market.

As Parle rightly says, ”We are a symbol of

quality, nutrition and trust.” Nielsen survey 2011
declared Parle-G world’s largest selling biscuit.

If any Indian company is considered to have

the greatest legacy, it has to be Parle. It’s a brand closest
to the hearts of people.

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SIZE
Parle is a Large scale industry, probably one of the largest
in the world.

NUMBER OF PRODUCTS MANUFACTURED PARLE.

NUMBER OF PRIVATE MANUFACTURING UNITS.

NUMBER OF CMUs

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TOTAL NUMBER OF EMPLOYEES

AVERAGE NUMBER OF BISCUITS

PRODUCED IN A CMU PER DAY.

These mesmerizing numbers have been improving for

Parle year after year. These numbers have left no doubt
about how big and strong Parle is.

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GLOBAL REACH :

Ever since its inception, Parle has been acquiring huge

market shares vigorously. Parle has been successful in
reaching to even the remotest areas of the nation.

This expansion is not just limited to our nation, rather

Parle has shown such great expansion in foreign
countries as well.

The map shows Parle’s strong presence in over 70

countries worldwide.
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ACHIEVEMENTS

Covering all the achievements of a great company like

Parle is beyond the scope of any report.

Parle has been setting new benchmarks in the industry

ever since its inception.

Some of the historical achievements of Parle are:

1. Parle-G becoming world’s highest selling biscuit.

In 2011, Nelsen survey declared Parle-G to be not

only India’s but world’s highest selling biscuit.

2. World’s largest oven

Parle has always brought radical changes in its

overall functioning and production through proper

17
 use of technology. Parle hence prepared a 250 FT
LONG OVEN, first ever of its kind in the year 1948.

3. Monde Selection Award

Parle became the first Indian brand to win monde

selection food award for four successive years in a
row. This in itself was a great breakthrough for
Indian food industry.

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ORGANIZATIONAL STRUCTURE

BOARD OF
DIRECTORS

CEO

GENERAL
MANGER

HEAD OF
HEAD OF HEAD OF
ADMINISTRATIO
PRODUCTION MARKETING
N

QUALITY
PURCHASE PLANT ACCOUNTING ADMINISTRATIV MARKETING SALES
CONTROL
OFFICER INCHARGE OFFICER E OFFICER MANAGER MANAGER
OFFICER

EMPLOYEES EMPLOYEES EMPLOYEES CLERKS CLERKS EMPLOYEES SALES MEN

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20
INTRODUCTION:

The production function of a business is concerned

with the creation of a product or service. The Production
Department function of a business in concerned with the
creation of a product or service to satisfy consumer needs
and wants.

“Production is a process by which goods & services are

created” as said by E. S. Buffa.

Production management is the process of planning,

organizing, directing, and controlling the activities of the
production function. Production function is the conversion
of raw materials into finished products.

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 Production management is the process of effectively
programming & controlling production. In which the main
activity of converting the raw materials in to semi finished
and to the final product is held.

Production is a crucial aspect of any business. No

matter how much strong your marketing is, a degraded
product cannot excel sales.

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PARLE’S PRODUCT FAMILY:
BISCUITS

23
CONFECTIONARY

24
SNACKS

25
 PULSES

Parle deals in a myriad of products and there is

absolutely no doubt about that.

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PRODUCTION PROCESS:

Parle-G

RAW
BAKING PACKING
MATERIAL

TESTING COOLING

MIXING MOULDING

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 MANGO BITE

SYRUP FORMATION COLOR MIXING

MOULDING HEATING

BRUSHING PACKING

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29
 INTRODUCTION

Finance is the heart of the company. Finance is

needed for every activity to be performed.

“Financial management may be defined as that area or

set of administrative functions in organization which relate
with arrangement of cash and credit so that the
organization may have the means to carry out its objective
as satisfactory as possible”

According to Howard & Opton,

“Financial management is the area of business
management devoted to a judicious use of capital and a
careful selection of sources of capital in order to enable a
business firm to move in the direction of reaching its
goals”.

According to J.F. BRADLERY,

30
 “The term FINANCE can be defined as the
management of the money through an organization where
it can be a corporation, school, bank or government
agency.”

According to JOHN J. HAMPTON,

“Finance department provides base for the company.

No company can run without sufficient finance. Finance is
the essence of any business, it is known as “Life blood of a
business”.

SOURCES OF FINANCE

In Parle Products the capitalization includes both the

aspect that is short term & long term. Generally long term
funds they raise from bank. But incase if bank does not give

31
them that amount then they initiate process of private
placement.

1) LONG TERM SOURCES:

Equity share capital, debentures, long term loans etc.

Generally, capital invested for 10 or more years is called
long-term capital.

2) SHORT TERM SOURCES:

Advances from commercial banks, public deposits,

trade credits etc. Such, capital is generally for less than 3 to
5 years.

Mainly, they are procuring loan from co-corporations

Bank of India and they are paying 4% of interest annually.
They are procuring loan from STATE BANK OF INDIA at 4 %
annually.

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 Parle Products is also the largest private limited
company of India. It hasn’t offered its shares to the public
yet. Managing the functioning of such a huge company
without public offerings is an epitome of extraordinary
financial management.

This is one of the many things which separates Parle

from others.

DECISION AREAS UNDER FINANCIAL MANAGEMENT

1) INVESTMENT DECISION :
The business gets cash, mainly from sales. It also gets
cash from other sources. It gets long term cash from equity
shares, debentures, term loans from financial institutions,
etc. it gets short term loans from banks, dealer deposits,
etc.

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2) CAPITAL BUDGETING :
Capital budgeting is very important decision in financial
management. It is related to selection of proper project
which gives maximum profit and less risk.

3) CAPITAL STRUCTURE :
Capital structure is the ratio between owned capital
and borrowed capital. There must be a balance between
owned capital and borrowed capital.

4) WORKING CAPITAL MANAGEMENT :

A capital which requires meeting the day to day
expenses is called working capital. The management of
working capital is also one important part of financial
management.

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5) DIVIDEND POLICY DECISION :
The dividend policy decision is also important decision
in financial management. It is important decision of
company which gives considerable effect.

6) ANALYSIS OF RISK & RETURN :

In the economy risk associated in many type of
investment. It is one type of uncertainty in concern to the
profit. At the time of investment company should analysis
the risk & return properly.

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FINANCIAL DETAILS OF PARLE

Operating Revenue Over INR 500 cr

EBITDA -51.30 %

Networth -1.71 %

Debt/Equity Ratio 0.00

Return on Equity 14.22 %

Total Assets 22.31 %

Fixed Assets 3.67 %

Current Assets 24.40 %

Current Liabilities 45.67 %

Trade Receivables 18.92 %

Trade Payables 84.14 %

Current Ratio 1.14

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37
 INTRODUCTION

Marketing is a comprehensive term and it includes

all resources and a set of activities necessary to direct and
facilitate the flow of goods and services from producer to
consumer in the process of distribution.
“Marketing is a total system of business, an ongoing
process of:

1. Discovering and translating consumer needs and

desires into products and services (through planning and
producing the planned products),

2. Creating demand for these products and services

(through promotion and pricing),

3. Serving the consumer demand (through planned

physical distribution) with the help of marketing channels.

4. Expanding the market share even in the face of tough

competition.

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DISTRIBUTION CHANNEL OF PARLE

PARLE PRODUCTS PVT DISTRIBUTOR/

C & F AGENT RETAILER CONSUMER
LTD. WHOLESALER

39
PROMOTION STRATEGY

ADVERTISEMENT

“Advertisement is a paid form of any non personal

presentation of goods, services, or idea by an identified
sponsor.”

“Advertisement main object is to offer its product to

the public and to aware the people about their product.”

Parle is famous for its unique style of advertising and

promoting its products.

The Parle-G girl Neeru Deshpanday has become one

of the most famous advertising figures. She has been on
the cover of Parle-G for over 60 years now.

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This girl is going to remain face of Parle for an even longer
time. It is undoubtedly one of the most loved ad campaigns
ever.

Not only this, Parle is famous for many of its TV

commercials as well.

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 SALES PRAMOTION
Sales promotion is referred to the promotional
activities. The main objectives of sales promotions are as
follows:

 Providing information
 Increase in sales
 Reducing seasonal decline
 To keep the memory of existing product

FOR PRODUCT POLICY:-

Citizens of India are not very conscious of their diet.
Instead of exploiting this habit, Parle keeps a strong focus
on the quality of their products and thus gives superior
quality food.

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 PRICING POLICY
“Decision concerning price to be followed for a
period fame may be called as Price Policies.”

In this money oriented economy price of any product

plays a vital role. Parle gives full attention to the fixation of
reasonable prices.

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44
 INTRODUCTION

H.R.M. is mainly concerned with human beings within

the organization. The main aim of H.R.M.department is to
keep smooth relationship between the employers and
employees in the organization.

The H.R.M of Parle., is efficient one. There is the good

environment in the company.

In “The Practice of Management”, Peter F. Drucker

observes, the sources capable of enlargement can only be
human resources”

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 TIME KEEPING SYSTEM

An organization must decide its working hours and shifts

very carefully because it has a direct effect on the performance
of the employees. The working hours should not be more which
would be very stressful for employees. I

In Parle. The perfect balance between working shifts is seen.

 PRODUCTION WORKERS:
8:00 A.M. TO 4:00 P.M.
4:00 P.M. TO 12:00 A.M.
12.00 A.M. TO 8.00 A.M.

 OFFICE HOURS;
 8:00 A.M. TO 12:00 P.M.
 2:00 P.M. TO 5:00 P.M.

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 RECRUITMENT

Recruitment is the most important of H.R.department, it is

process of reaching for prospective employees and simulative
encouraging them to apply for the job in the organization.

There are mainly two sources of recruitment:

1) Internal sources

2) External sources

Internal sources means to select the required person from the

company itself. While External sources means to recruit the person
from the outside of the organization through advertisement,
employee’s agencies, and other professionals.

The Parle., is mostly worked on external sources. They adopted

following policy:

1. MINIMUM QUALIFICATION
A. For Staff:- Graduation

B. For Production: - Graduation, I.T.I.

C. For Operation: - S.S.C., I.T.I.

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 2. AGE LIMIT:
Minimum age is 21 years and Maximum age is 58 years .

SELECTION

 Following are the selection policies used by the Parle Product

A. Application blank
B. Interviews
C. Psychological test
D. Reference checking
E. Final selection
F. Induction
After going through all the above quoted steps the companies get
the best person for the required job.

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 TRAINING AND DEVELOPMENT

TRANING:

Training programmed is a systematic programmed, which designed

tons, insight theories, experience of opportunities. Training increases
the knowledge and skill of employees. This company uses method of
training like the following,

 ON THE JOB:-
In this training method they give job instruction, job rotation
coaching, appreciation, versatile and organization training etc.

 OF THE JOB:-
Off the job training considers lectures, conference, case studies,
rule playing, audio-visual, and discussion etc.

DEVLOPMENT:

The scope of development are divided in to three catagories:-

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 1) Knowledge development

2) Skill development

3) Attitude development

WAGES AND SALARY

All the member of Parle. and the workers and employees expect a
reward in a monthly from the organization for which he is working.
This amount is called as salary of wages. The salary is on the basis of
performance of the staff. Wages are paid according minimum wages.

Wages can be paid according to 3 systems. These systems are:

1. Time or day wage system.

2. The piece wage system.
3. Fixed rate system.

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 Today, the number of employees in the unit is 75 to 100 including
managerial person, office staff and remaining workers who get their
salary on 5th day of particular month in the company.

The workers are working from 8 am to 7 pm daily in return of 11

hours job, they get minimum 2,500 to 50,000 maximum.

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EMPLOYEES SERVICES & BENEFITS

Employee’s benefits and services are also known as NON-

MONETARY WAGES. This is one type of compensation, which is given to
the employees for encouragement and stimulation in their work.

Modern business accepts this thing that is as follows. And similarly

PARLE follows it.

 Canteen facility
 Uniforms facility
 Medical facility
 Cultural activities
 Transport facility

Thus we can know that and agree to say that company take keen
interest in development of their employees and workers. Because they
consider their employees and workers as the member of same family.

The company providing contain facility so there is no wastage of

time for a lunch and after finish their lunch then they directly join to
their work.
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53
FUTURE PLAN

Parle Products Pvt Ltd. has achieved great success

in establishing good brand food items, image, prestige and
reputation over the consumers and also in market.

Parle is strongly indulged in expansion of its

production capacity as the demand for its products
increases in the sub-continent as well as in the foreign
countries. Company is actively amalgamating new CMUs
for reaching a higher consumer base at a capital light
model.

 To cover the most of market of FMCG product by

increasing their production capacity.
 To earn more profit.

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 Plan to increase exports.
 To get more and cheaper production.
 To launch new products.
 To discover new markets.
 To increase market share and stand against stiff
market competition.

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56
 CSR in the changing times, has become a
platform for all companies to show their gratitude towards
the society. As a part of CSR , various companies take
initiatives for the betterment of a larger group of society.

Companies realize that all the growth and success

they have achieved is only and only because of the society.
Hence, they impart their part duly and this in return benefits
a large group of society.

Parle understands the significance of CSR and thus

has taken various initiatives.

INITIATIVES:

1. Design for Change

Parle believes children have the power to make a

difference. Through Design For Change, we create an
environment where they can feel, imagine and share
the changes they'd like to make in their communities. It
is considered one of the largest children's movements
57
 in the world, and addresses topics such as education,
employment, environmentalism, health and more.

2. Olympic Gold Quest

Parle maintains that the success of tomorrow, begins

today. Through the Olympic Gold Quest, Parle support
Indian sportspersons who have the potential to win
medals at the Olympics. In a bid to build an
international reputation for our athletes, it works to
bring about a positive change in the perception of
sports in the country.

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3. Parle MTV Junkyards

Parle encourages teenagers to create the spaces they

want to enjoy. Through the Parle MTV Junkyard Project,
it mobilizes the youth to take a stand on local
sanitation. The program supports the Prime Minister's
Swachh Bharat Campaign and has been awarded Gold
at the Appies Asia Conference as one of the most
effective CSR activities across Asia.

Such social campaigns set Parle apart from all other

companies. This is the reason why it is loved by all of
us.

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60
 Parle incorporated by Mr. Mohanlal Dayal is a journey
which has inspired and enthralled myriads. As we now
know, it was started during the British Rule. Thias in itself
brings a lot of obstacles at the start. Parle had to fight
against the imported bristish goods which was not an easy
task.
Parle did not only fight hard and increased its
revenues, but also invoked a feeling of ‘SWADESHI’ in the
Indians. Parle is the company with one of the greatest
legacy. May it be Mohanlal sir or his successors, all of them
gave greatest importance to their core values and never
surprassed their ethics. This is what great heritage can do.
There is no doubt that Parle as a brand has left its traits
in our hearts. Rather it has become part of our lives and we
cannot live without it.
There is a lot to learn from this magnificent journey of
Parle.
i believe that we must learn from each and every thing,
no matter how subtle it is. And this prolific journey of Parle
gives us a bundle of precious eruditions which we must
always remember and implement them in our lives.

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KEY LEARNINGS:

 Always stick to your core values

and ethics.
 Keep innovating and researching,
there is always a better way to do
something. This attitude helped
Parle develop world’s largest oven.
 Stay strong in all difficulties,
success just a step after the
greatest obstacle.
 Every failure brings with it a seed
of equivalent success.
 Everything is possible. If Parle can
establish it, we can too.

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63
 In this wonderful process of creating this report, the
knowledge and wisdom of many sources was brought
together and compiled in a lucrative manner.

FOLLOWING ARE THE INVALUABLE SOURCES:

BOOKS:
Growth and structure of Industry BY - B.S. shah

Principle of Management BY- B.S. shah

O.C.M. by GSEB

WEBSITES:
www.parleproducts.com

www.wikipedia.org/parle

www.youtube.com/parle

www.iifl.com/parleproducts

These sources helped me initiate the report and with their

mention, I end my report with great satisfaction.

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 PARLE

PURE GENIUS

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