Organization Study Ankita

AN ORGANIZATION STUDY ON NARANJA SAHAKARI SAKKARE KHARKHANE
Internship Report on
ORGANIZATIONAL STUDY AT NARANJA SAHAKARI SAKKARE KHARKHNE

IMAMPUR(BIDAR)
By
Ankita Warad
USN:3VY21BA015
Submitted To
VISHWESWARAYYA TECHNOLOGICAL UNIVERSITY, BELAGAVI
In partial fulfillment of requirement for the award of the degree of
MASTER OF BUSINESS ADMINISTRATION(MBA)
UNDER THE GUIDANCE OF

EXTERNAL GUIDE
INTERNAL GUIDE
MANJUNATH AVALAKKI
Asst. Professor
Department Of Studies in Business Administration
Kalaburgi-585105
DEPARTMENT OF MBA
VISHWESWARAYYA TECHNOLOGICAL UNIVERSITY, BELAGAVI
REGIONAL OFFICE , KUSNOOR ROAD
KALABURGI-585105
(BATCH 2021-23)
DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 1

CERTIFICATE

DECLARATION:
I, ANKITA WARAD , Hereby declare that the internship report entitled ORGANIZATIONAL STUDY
AT NARANJA SAHAKARI SAKKARE KHARKHANE IMAMPUR BIDAR with reference to
“Visverayya Technological University Regional office Kalaburgi” prepared by me under guidance of
MANJUNATH AVALAKKI Faculty of MBA Department Visverayya technological university ,
Regional office Kalaburgi and external assistance by *************
I also declare that this internship work is towards the partial fulfillment of the university regulations for
the award of degree Master Of Business Administration By Visverayya technological university,
Belagavi.
I have undergone internship report for 4 weeks. I further declare that this project is based on the original
study undertaken by me and has not been submitted for the award of any degree from any other
university/Institution.
Place:
Date: Signature of the Student

ACKNOWLEDGEMENT
The satisfaction that accompanies the successful culmination of any task would be
incomplete without maintaining those who made it possible because success is the epitome
of hard work, determination, consultation and dedication. This list of thanks is heartfelt and
only begins to acknowledge those people to whom, one way or the other this owes its
existence.
I express my sincere and heartfelt thanks to my internal guide MANJUNATH AWALAKKI ASSISTANT
PROFFESOR VTU CPGS, Kalaburagi for the valuable guidance
and encouragement throughout the process of study.
I am very thankful to********, HR Manger Naranja sahakari sakkare karkhane Imampur(Bidar) who has
given me permission to carry out the internship in his organization. I am thankful for his guidance and
suggestions in preparing this report.
I would like to express sincere gratitude to Regional Director DR.BASWARAJ GADGAY and DR.
SHAMBHU LINGAPPA B and all teaching and non-teaching staff members and well-wishers whose
ideas, critical insights and suggestions have been valuable in the preparation of the internship project
report.
Last but not the least I would like to extend my whole hearted thanks to my parents,
friends, and well-wishers for their support and encouragement in the completion of this
report.
ANKITA WARAD
(USN 3VY21BA015)

EXECUTIVE SUMMARY
As a part of curriculum , I have undergone project in NARANJA SAHAKARI SAKKARE KHARKANE
Pvt. Ltd. It becomes necessary for a postgraduate student to be well versed with both theoretical
knowledge and practical application in real situation . The organization study is an eye opener regarding
the actual functioning of different departments in an organization. Also inter departmental relationships
and its significance is thoroughly understood during this period.
I studied the theoretical aspect of management principle in the classroom. However here at N.S.S.K. , I
could learn the application of principle. I learnt hoe these principles are applied the implemented in the
organizational setting. The internship is an organizational study. It is aimed at seeking information from
various departments, its history, nature of business, vision, mission, policies, procedures, products,
turnover etc.
Organization study helped to learn the new methods, technology used by the company. It enhances the
knowledge about the company and its competitors and the techniques strategies adopted by them to beat
their competition. Overall it helped in knowing, learning and to study any organization closely. N.S.S.K.
has well established human resource management department which looks after activities related to
employees. There are different sub divisions which mainly deals with industrial relations.
It was a great opportunity for me to go internship training in and how company has coordinated its
departments and in providing timely and comfortable service to public support and the hands on
experience in the organization has become a value addition in my MBA circulum.

TABLE OF CONTENTS
CHAPTER CONTENTS
NO.
1) Introduction the organization and industry
2) Organization Profile
1)Background
2)Nature of business
3)Vision, mission, quality policy
4)Workflow model
5)Product/service profile
6)Ownership pattern
7)Achievements awards if any
8)Future growth and prospects
3) McKenzie’s 7s framework and Porters Five Force model with special Reference
to organization Under Study
4) SWOT Analysis
5) Analysis of Financial Statement
6) Learning Experience

CHAPTER 1:
INTRODUCTION ABOUT THE ORGANISATION AND INDUSTRY
Introduction to sugar industry
IN 1840 the first sugar industry was set up in Batia (Bihar). The first chemically refined sugar appeared
on the scene in India about 2500 years ago from there the technique spread east towards China, west
towards Persia and the early Islamic worlds, eventually reaching the Mediterranean in 13th century.
Sugar was discovered by Western European as a result of the crusades in the 11 th century AD. Crusaders
returning home talked of his “new spice” and how pleasant it was the first sugar recorded in England in
1099.
Before sugar become widely known , our ancestors ate honey and dates, which they also used for
sweetening their food. This can be seen from writings and reliefs from ancient cultivations around the
Mediterranean Sea.
In earlier days sugar manufacturing units are considered as “Part time” industries and not given much
importance to this industry compared to others. But at present , the various of sugar industries have been
changed . It is recognized as one of the most important media in up lifting of the socio-economic of rural
economy.
The sugar industry is basically an agro based industry playing an important role in achieving socio-
economic development of the rural community in particular and of the region in general. It not only
occupies a prominent role in the economy of the rural but at the same time it contributes to the nation.
Sugar industry holds second rank next to cotton textiles in the country and it shows its importance.
It generates employment nearly to 5 lakhs of people directly and indirectly.India produces crystal white
sugar ,khandasari and jaggery. There are about 450 sugar industries working in the country, Among them
120 are in private sector,235 in cooperative sector and 95 are in public sector respectively. In Karnataka
state there are about 40 sugar industries are existing and out of 40, 20 are in private sector,18 are in
cooperative sector and remaining 2 are in public sector. The sugar industries are located in rural areas and
have an intrinsic symbiotic relationship with rural mass. Some sugar industries are having its own Cogen
units which are supplying their surplus power to state grids or to private parties.
Growth of sugar Industry:
On 1st July 1990, the government of India has issued new guidelines for licensing new sugar factories and
the expansion of the existing sugar factories and under this guidelines. The license policy has been made
very liberal so as to establish more sugar industries which helps to enhance the more quantum of sugar
production.
India is the original homeland for sugarcane production and produced jiggery and brown sugar since
ancient times. The modern sugar industries were started coming up around the mid of 19 century and
within a short span, the number of sugar industries had raised from 32(1931-32)to 137(1935-36) . The
production of sugar was also increased at considerable rate with the development of the modern
technology., huge sugar industries have been coming up with huge investments throughout the country.
At present the sugar industries existing in.

India is not only producing international standard quality sugar but also produce power through their
bagasse based on co-gen units. Directly, ethanol and bio fertilizers units are Additional auxiliary units
established by utilizing the by products thus the modern sugar industries are playing a very important role
in generating rural employment and contributing much to the economic growth of farmers in particular
and to the nation in general.
SUGAR IN INDIA:
Sugar is a controlled commodity in India under the essential commodities Act, 1955. The government
controls sugar capacity additions through industrial licensing determines the price of the major input
sugarcane, decides the quantity that can be sold in open market, fixes the prices of the levy quota sugar
and determines maximum stock levels for wholesalers, etc.
India is the largest consumer and second largest producer of sugar in the world. With over 450 sugar
factories located throughout the country, the sugar industry is amongst the largest agro-processing
industries in India, with an annual turnover of Rs150 billion.
India has been known as the original home of sugarcane and sugar. Indians knew the art of making sugar
since the fourth century. However the advent of modern sugar industry in India dates back to mid 1930’s
when a few vacuum pan units were established in the sub-tropical belts of Uttar Pradesh and Bihar.
Until the mid 50s, the sugar industry was almost wholly confined to the states of Uttar Pradesh
and Bihar. After late fifties or early sixties the industry dispersed into Southern India, Western India and
other parts of Northern India.
India is the largest consumer and second largest producer of sugar in the world. The sufficient and well-
distributed monsoon rains; rapid population growth and substantial increases in sugar production capacity
have combined to make India the largest consumer and second largest producer of sugar in world.
It generates employment nearly to 5 lacks of people directly and indirectly India produces crystal white
sugar, khandasari and jaggery. There are about 450 industries working throughout the country. Among
them 120 are in private sector, 120 in corporative sector and remaining 95 are in public sector. The sugar
industries are located in rural areas and have an intrinsic symbiotic relationship with rural mass. Some
units are also in position to supply power to get the grid through biogases based co-generation system.
Type of sectors In India In Karnataka

Cooperative sector 120 18
Private sector 120 20
Public sector 95 02
Total surplus 450 40

INDUSTRY PROFILE:
INTRODUCTION:
Sugar industry is one of the few industries which have contributed much to the growth of rural economy.
Further interestingly, the sugar industries are utilizing the rural resourced and struggled hard to meet the
large demand of sugar within and to meet the increasing energy needs of the country.
Sugar industry is considered as Agro-based industry hence the location of such industries is always
at rural areas. The sugar industry supports 50 million farmers and their families besides direct
employment to the tune of millions of people.
In earlier days the manufacturing process of sugar unit are considered as ‘Part time’ industries and
not given much importance to this industry as comparing to others. But at the present scenario of sugar
industry have been changed. It recognize as one of the most important media in uplifting the socio-
economic structure of rural economy. Now sugar industries are contributing to the nation monthly by
catering the needs of sugar demand but its contributions in the field of manufacturing electricity by
biogases based Co-gen unit, Distilleries, ethanol and Bio-fertilizers units by using its by-products.
It contributes nearly to 20 to 25 percent sugar-cane area and 10 to 13 percent production in the world.
The contribution of sugar industry to India economy is of manifold. It plays a vital role in socio-
economic development of rural areas by mobilising resource and generating employment, transport,
banking and communication facilities. The industry with 1.76
percent weightage in annual industrial production, is providing direct sustenance to about 35 million
farmers, their dependents and a large mass of agricultural labour in sugar-cane
cultivation,harvesting and ancillary activities. Besides, it offers direct employment to over 4 million
rural workmen.With its total turnover of rs.20,000 crore per year the
Indian sugar industry is amongst the largest tax payers to the central and state exchequers contributing
around rs.1800 crore per annum. In addition, it has a potential of earning more than rs,1500 crore
annually in foreign exchange through regular exports.

CHAPTER 2:ORGANIZATION PROFILE

1)Background of the company:
The NARANJA SAHAKARI SAKKARE KARKHANE Ltd is a co-operative venture registered on
27th April 1982 under the Karnataka co-operative society’s act 1959 vide Reg.No.DSK:REG-5/82c-83
with an objective to facilitate farmers to improve their socio-economic conditions. The Govt. of India
have issued Letter of Intent vide No. Li: 193(1989) dated 20th march 1989. The crushing capacity of the
sugar plant is 2500 TCD & co-generation unit of 14 Mw. The plant is located at G.N. Nagar Imampur
village, 14 km away from Bidar.
The location of the factory is very ideal in terms of the following:

An availability of sufficient raw material: the area of operation of the factory covers the entire Bidar
district. The cane availability within the radius of 15-20 km is much and saves transportation cost of cane
from field to factory besides saves the time.
Water Sources: River Manjra, canals, tanks, wells & borewells are providing required quantum of water
for growing cane in the reserved area of the factory which ensures the availability of the cane without any
interruption.
· The required quantum of water to run the factory and for local consumption for employee’s
colonies is met by river Manjra and bore wells.
The activities of the factory were confined only to the development of civil works, landscaping and
building etc since 1982 to 2000.The project was slatted for 18 years due to want of leadership. The
license of the factory was in the verge of cancellation. In such crucial juncture, honourable Sri
Gurupadappa Nagamarapalli, a bold leader and a progressive farmer and the leader of the mass took the
management of the company into his hands. With the association of like minded people he has mobilized
required resources like money, material and man power within a short span of 18 months and started the
commercial production in 2002.
Name of the Factory The Naranja sakkare karkhane Ltd.

Year of establishment Oct 2002
1st crushing season 2500 TCD
Location of the unit 4 kms away from janawada dist. Bidar
Register number Reg.No. DSK-5/82c-83
Address for correspondence The Naranja sahakara sakkare karkhane Ltd.
Imampur Bidar
Objectives of the company:
 To advocate, promote and safeguard the interests of its members in accordance with the
cooperative principles.
 To participate in policy formulation at national and state level.
 To help set agenda for the development and growth of cooperative sugar sector in India.
 To organize meetings, workshops, seminars and conferences on issues relating to cooperative
sugar industry.
 To arrange education and training for the benefit of its members.
2) Nature of business carried:

SUGAR PRODUCTION:
The crushing capacity of the sugar plant is 2500 Tones Crushed per day (T.C.D) and producing export
quality white crystal sugar using the latest technology in the country. The factory is one of the most
advanced plants by its modern technicalities. Robust and reliable equipment of latest design, high
efficiency, and low power consumption have been installed. Factory runs continuously for 6-7 months in
a year.
Due to abundant cane availability in the area of operation, a minimum duration of season of 6 to 7 months
is assured i.e., to say about 6 lakh tones of sugarcane will be crushed during the season and sugar
production will be around 7 lakh quintals. When this is done, the turnover of the company right from
beginning would be Rs.120 crores and after meeting all the obligations, there will be sizable surplus per
year.
POWER GENERATION:
The company has established 14 MW co-gen project to generate power using non conventional energy
fuel i.e., biogases which is a by-product coming out of sugarcane and available in plenty at the location
with the help of high pressure boilers and turbines. At present 8 MW electricity is being generated. Out of
8 MW, 4.5 MW will be used for captive consumption and balance of 3.5 MW will be exported to
K.P.T.C.L at fixed rates as per P.P.A. The additional revenue of Rs. 4 crores will be generated by power
export.
3)VISION,MISSION AND QUALITY POLICY

VISION:
The N.S.S.K LTD. has created around 600 direct employment to local rural folk & created employment
opportunities indirectly to the backward section of the community besides providing an excellent market
for the cane grower.
MISSION:
1. Production of white crystal sugar of international standard.
2. Expanding 2500 TCD sugar plant to 5000 TCD.

3. Expanding co-gen plant to 21 MWTo achieve international standards of excellence in all aspects of
sugar manufacture and diversified business with focus on customer.
QUALITY POLICY
1.maintenance Latest technologies have been adopted to maintain high standard of quality with minimum
cost.
2. Automatic belt conveyers have been employed which helps to save time, cost & man power.
3.Imparting training to the farmers in the field of use of rich quality seeds, economic utilization of water, use
of fertilizers and period of cultivation & harvesting methods, etc in order to grow quality cane of rich
variety which yields more sugar recovery percentage.
4.Continues improvement in quality, health, safety, and environment performance.
5.Compliance of all applicable legal and other requirements.
INFRASTRUCTURAL FACILITIES:
INFRASTRUCTURAL DEVELOPMENT:-
The factory on an ongoing, continuous manner provides infrastructure development support to the
employee’s and the villagers through initiatives like…
 Developing concrete roads
 Giving quarters to employee
 Providing hospital facilities
 Erecting street lights
 Well organized machineries
 Transportation facilities
 Canteen facilities
 Godown facility of storing capacity of 10 lacks quintals
4) Workflow model
The production of sugar involves some process through the white crystal sugar is produced.
1)Growing

2)Harvesting
3)Crushing
4)Purifying Juice
5)Evaporator
6)Centrifuge
7)Drying and Cooling.
PRODUCTION PROCESS:
Brief Description of Manufacturing Process of Sugar:
Cane from the fields is weighted and put into trucks after grading the cane by manually. Then the graded
cane is dumped by tilting mechanism into cane carrier. Cane is passed through various preparatory
devices like leveller, cutter, and shedder for preparation of cane.
The prepared cane is fed onto milling tandem in which juice is extracted and biogases is sent as fuel for
boiler. The juice is screened and weighed then heated in juice heaters up to 65 degrees Celsius. Then to
the juice, milk of lime and SO2 gas is added and again heated in juice heaters up to 105 degree Celsius.
Then the juice is fed to clarifier where juice and mud thus separated is sent to filter station for separation
of mud.
The separated mud is sent to bio earth yard for the manufacture of bio-fertilizer. The supernatant clear
juice is fed to Evaporators for concentration.
The concentrated juice is known as syrup which is clarified in syrup clarification system and is then sent
to suspiration. The sulphated syrup is sent to Pan Floor for crystallization process.
The N.S.S.K Ltd. is following three and half massecuite boiling system in pan boiling for crystallization
stage. The massecuites are cured in high-speed centrifugal. Sugar and molasses are separated.
Sugar is dried and weighed and sent to godown for storage. Molasses is sent to storage tanks.
AREA OF OPERATION:
It is a area of operation entered up to 50 Dm of radium factory site in bidar district.
 Bidar
 Basavakalyan
 Bhalki
 Hallikhed
It is a normal practice that the state government allots sugarcane area to each sugar factory depending on
the crushing capacity of the plant .Generally the sugarcane will be produced in the reserved area in
emergencies the cane will also be produced from other areas also with due permissions from the
competitive activities.
The factory sell the sugar as per the government releases the orders in open market. The levy sugar fixed
by the government has to sell according to the allotment made by the government as a fixed quantum and
rates.
PRODUCT PROFILE:
1)SUGAR:

BAGASSE:
Bagasse is the dry pulpy fibrous material that remains after crushing sugarcane or sorghum stalks to
extract their juice. It is used as a biofuel for the production of heat, energy, and electricity, and in the
manufacture of pulp and building materials For every 10 tons of sugarcane crushed, a sugar factory
produces nearly three tonnes of wet bagasse. It's challenging to use this by product directly as a fuel
because of the high moisture content, typically 40–50 percent. Instead , bagasse is typically stored prior to
further processing.
For electricity production, the bagasse is stored under moist conditions. Under these conditions, the
bagasse undergoes a mild exothermic process as the residual sugars slightly degrade.
For paper and pulp production, the bagasse is normally stored wet so as to facilitate the subsequent
removal of any remaining sugar as well as the short pith fibres. These fibres would impede the paper
making process.
MOLASSES:
At present molasses has been sold to nearby distilleries for manufacturing industrial alcohol. The N.S.S.K
already has been prepared DPR for establishing a distillery unit of 35 kl capacity besides Ethanol plant

20kl capacity .Both are waiting for administrative approval from government will be utilised for their
own distillery and Ethanol plants.
To make molasses, sugar cane is harvesting and stripped of leaves or mashing . The juice is
extracted ,usually by cutting, crushing. The juice is boiled to concentrate it promoting sugar content. The
result of this second boiling is called sugar extraction, and has a slightly bitter state. The third boiling of
the sugar syrup yields dark, viscous blackstrap molasses, known for its robust flavour.
Molasses made from sugar beets differs from sugarcane molasses, only the syrup left from the final
crystallization stage is called molasses.
N.S.S.K.has planned to set up bio fertiliser unit into order to meet best utilisation of available press mud
for manufacturing quality fertilizers.
REFINING:
Refining further purifies at raw sugar. It is mixed with heavy syrup and then centrifuged in a process
called “affination”. Its purpose is to wash away the sugar crystal outer coating, which is less pure than the
crystal interior. The remaining sugar is then dissolved to make syrup,about 60% solids by weight.
After filtering any remaining solids,the clarified,syrup is decolorised by filtration through activated
carbon.As in a sugar mill the sugar crystals are separated from the molasses by centrifuging. Additional
sugar is recovered by blending the remaining syrup with the washing from affination and again
crystallizing to produce brown sugar.A major resides of the sugar production ,is the residue from the
treatment of sugarcane juice by filtration accounting for 2% of the weight of sugarcane crushed. It is also
called sugarcane filter press mud, sugar cane press mud.
Procedure for sale:

The organisation undertakes selling activity in method:
1)Free sale:
It is done with the country. Hence company will invite tenders from different buyers at a 10 day notice.
The sugar is sold that buyer who bids highest price. The tenders are called periodically. If the rate is not
satisfactory the tender will be cancelled. In free sale sugar is being done to bulk purchases on the basis of
pf tenders ,these bulk purchases then all the purchased sugar to retailers.
2)Levy sale:
It also done within the state of Karnataka and being sold to the government of Karnataka on levy basis.
The government than distributes outlets at pre-determined reasonable price.
3)Export:
Government of India framed a policy to export sugar. The factories are expected to take prior permission
from concerned authorities before exporting their products.
6)Ownership pattern
The NSSK Company is a cooperative society in which the boards of directors are elected by shareholders.
Among the directors one will be the chairman and another will be the vice-chairman .Their term is 3
years. Chairman will be elected from the board of directors every year. Chairman and board of directors
will decide the policy matters of the factory. Managing director will be appointed by Govt.of
Karnataka .The chairman will be the chief executive.
Administration department:
Administration department is the main department in the organisation in there is total number of 71
employees are working in this department NSSK Ltd is divided into 8 sections and they are as follows.
Share section, Time and labour welfare, Purchase section ,store section, Telephone operating ,Sales
section, securities, account and cash.
Share section-The share section is one of the important sections because more than half of the total
authorised capital is collected from shareholders according to low the factories authorised share capital is
Rs.20 crore at present the number of shareholders are 15641 and capital collected from the shareholders
is Rs.88.26 lakhs .The NSSK mainly issues 5 types of shares, they are
A-producer member
B-Government
C-ordinary member
D-Co-operative societies
E-Nominal members
SHARE VALUE: The face value of the each share 250 rupees shares admission fee-10 rupees
Finance department:
Company was able to get the working capital finance to the extent of Rs.42.52 crores. The bankers of the
company have expanded their co-operation in leasing working capital requirement which enable the
company to make payments of cane bills of the formers the company has paid Rs.700MT as first
instalment for the cane supply during the year .Finance department pay role calculation and crediting
salaries ,maintaining complete books of the accounts and internal auditing.
7)ACHIEVEMENTS/AWARDS IF ANY

ORGANISATION STRUCTURE
EXECUTIVE DIRECTOR
Sl NAME Designation
no
.
1 D.K SIDRAM CHAIRMAN
2 BALAJI CHAVAN VICE CHAIRMAN
3 B.S.APARANJI MANAGING DIRECTOR
4 V.B.ARUNKUMAR CHIEF ENGINEER
5 LOKESH C.G. CHIEF CHEMIST
6 SOMSHEKHAR PATIL GM(CANE)
7 R.S.GOWRE CHIEF ACCOUNTS
OFFICER
8 HAWAGIRAO BIRADAR CDO
9 S.P. ACHARYA MANAGER CO-GEN
10 SANTOSH BIRADR CANE MANAGER
11 RAJU KAMLEKAR OFFICE SUPERDIENT

8)FUTURE GROWTH AND PROSPECTUS

EXPANSION OF COMPANY BUSINESS :
Our directors are pleasures to inform that the company has been permitted for the enhancement in cane
crushing capacity from 3500 T.C.D. to 4500 T.C.D. from the government of Karnataka in the global
investors meeting held during the season 2001-02 and achieved the sizeable production despite initial
troubles in setting of modern sugar cum co generation plant. Further over company has undertaken
expansion scheme to overcome operation problems in the farms of construction additional go down
capacity of up gradation of boiler, sugar soils, additional molasses tanks, additional staff quarters and
such other allied facilities.
ETHANOL PROJECT:
Our board directors has received letter of intent from government of Karnataka to take up distillery unit.
Further our decision and approval given in the 7th annual general meeting to establishment a ethanol
project, the name of the company got the N.S.S.K.LTD. and implementation of distillery /ethanol
projects, commenced by appointing M/s vasantdata sugar institute, pure as a consultant for the said
project. However this decision had to be dropped as no financial institution /bankers come forwarding for
financing the project , due to loss is incurred by the company during the company during 2002-03 and
depressing sugar scenario.

CHAPTER 3:
MCKENSY’S 7S FRAMEWORK PORTERS FIVE FORCE MODEL WITH SPECIAL
REFERENCE TO ORGANIZATION UNDER STUDY
MCKENY’S 7s model of organization study

Waterman, peters and Philips (1980), working for
management consultancy Machesney, developed a rather
similar approach. They suggested that there were seven aspects in
an organization that needed to harmonize with each other, to
point on the same direction like the needless of seven
compasses. If each aspect supports the others than the
organization can be said “Organized”. As each of these aspects
can be titled with a word beginning with s this web has become
known as 7s model.
THE SEVEN ELEMENTS CATEGARISED AS BEING HARD OR SOFT IN NATURE:
Hard Elements Soft Elements

Strategy Shared values
Structure Skills
System Style
Staff
1)Hard Elements:

The hard elements of the MCKinsey 7s model comprise of strategy,structure, and systems. The hard
elements of the model are easier to identify, more tangible in nature, and directly controlled by the
leadership and management of the organization.
1)STATERGY: Strategy is the method of director and the action that company adopts to achieve its
objective in competitive solution. A strategy explains what the objective of the organization are go about
to achieve its objective. Strategy means planning for the allocation of firms scarce resources overtime to
reach identified goals. The company will be aiming at gaining a sustainable advantage over competition
through quality products. It is also tries to improve its position in the minds of customers.
 Finance strategy: financial strategy of an organisation is essentially concerned with procurement
and utilisation of fund.
1)Cost management and reduction - reducing production and operating costs to increase profit
margins.
2)Revenue enhancement and growth - identifying new revenue streams or improving existing
ones to increase overall revenue.
3)Working capital optimization - efficiently managing the company's current assets and
liabilities to maintain financial stability.
4)Debt management and financing - making informed decisions about borrowing and repaying
debt, and choosing the most appropriate financing options.
5)Investment planning and allocation - making smart investments in equipment, technology,
and other assets to improve competitiveness and growth.
6)Risk management and insurance - identifying and mitigating potential financial risks, and
securing insurance coverage to protect against potential losses.
7) Capital structure optimization - maintaining an optimal mix of debt and equity to ensure
financial stability and maximize returns.
8)Performance measurement and reporting - regularly monitoring financial performance,
tracking key metrics, and reporting results to stakeholders.
 Marketing Strategy:The company’s marketing strategy always consider the following aspects to
satisfy the customer requirement and customer retention
1)Branding - Creating a strong, recognizable brand that differentiates the sugar products from
competitors.
2)Product differentiation - Offering unique sugar products that cater to specific consumer needs or
preferences.
3)Price differentiation - Offering a variety of sugar products at different price points to cater to different
consumer segments.
4)Promotion - Using advertising, sales promotions, and public relations to increase consumer awareness
and drive sales.
5)Distribution - Establishing a strong distribution network to reach consumers and ensure product
availability.
6)Customer loyalty - Building long-term relationships with customers through customer service and
after-sales support.

7)Market segmentation - Identifying and targeting specific consumer segments with tailored marketing
campaigns and products.
8)Digital marketing - Utilizing digital channels such as websites, social media, and email to reach
consumers and promote products.
9)Sustainability initiatives - Emphasizing sustainability efforts, such as reducing waste and using
environmentally friendly practices, to appeal to eco-conscious consumers.
 HR Strategy: HR strategy is used to articulate the organization intends to do about the human
resource management policies and practices now and in the longer term.
1)Human capital management: obtaining, analysing and reporting on data that inform the
direction of value adding people management, strategic, investment and operational decisions.
2)Corporate social responsibility: commitment to managing the business ethically in order to
make a positive impact on society and the environment.
3)Organization development: The planning and implementation of programmes designed to
enhance the effectiveness with which an organisation functions and responds to change.
4)Learning and development: Providing an environment in which employees are encourage to
learn and develop.
5)Employee relations: defining the intentions of the organization about the objectives and
change the ways in relationship management with employees and their trade unions.
6)Understanding the customer: The organization always tries to understand the requirement of
the customers. In the process the customers feedback is collected and analysed the requirement.
Accordingly, the promotional strategies are designed.
7)One stop solution: The organization always tries to offers wide range of products to their
customers. Various ranges of products are made available under one roof. The organization also
plans and designs various innovative strategies to market its products.
8)Promotional strategies: The organization has the continuous promotional activities lines up to
the customers. This would attract the customers towards the factory. Even attractive promotional
strategies have been launched in the mid week. This also increases the sales and revenue for the
organization. This is long run would make the customer loyal.
2)STRUCTURE:
Structure is the skeleton of the whole organizational entity stands for more durable organizational
arrangements and relationship. A structure of N.S.S.K. deals with the line and levels of staff that
operate in factory. Capital structure: It refers to the mix of debt and equity used to finance the company's
operations.
 Finance Structure:
1)Working capital: It refers to the funds necessary to meet day-to-day operations of the company.
2)Cash flow management: It refers to the process of managing the inflow and outflow of cash to ensure
the company's financial stability.
3)Capital expenditures: It refers to the funds used to purchase long-term assets such as land, buildings,
and equipment.

4)Debt financing: It refers to the funds obtained through loans, bonds, or other debt instruments.
5)Equity financing: It refers to the funds obtained through the sale of ownership interests in the company.
6)Dividend policy: It refers to the company's policy on distributing its profits to shareholders.
7)Tax planning: It refers to the strategies used to minimize the company's tax liability.
8)Financial forecasting: It refers to the process of estimating future financial performance based on
historical and projected data.
9)Risk management: It refers to the process of identifying and assessing potential risks to the company's
financial stability, and implementing measures to mitigate or manage those risks.
 HR Structure:
1)HR department: responsible for all human resource functions such as recruitment, training, and
benefits administration.
2)Recruitment and staffing: responsible for identifying and attracting job candidates, and
selecting the best-qualified individuals for open position.
3)Training and development: responsible for providing employees with the skills and knowledge
needed to perform their jobs effectively.
4)Employee relations: responsible for promoting positive relationships between employees and
management.
5)Compensation and benefits: responsible for designing and administering employee

compensation and benefit programs.
6)Performance management: responsible for evaluating employee performance and providing

feedback to support individual growth and development.
7)Compliance: responsible for ensuring the company complies with all relevant laws and
regulations, including those related to labor, employment, and human rights.
8)Employee engagement: responsible for promoting a positive workplace culture and improving
employee satisfaction and retention.
9)Succession planning: responsible for identifying and developing internal candidates to fill
critical roles in the future.
10)Diversity, equity, and inclusion: responsible for promoting a diverse, equitable, and inclusive
workplace environment.
 Marketing Structure:

The marketing structure of Naranja Sugar Industry can vary depending on the size and nature of
the organization.
1)Sales Department: responsible for direct sales to customers, managing the distribution network,
and conducting market research.
2)Marketing Department: responsible for developing and implementing marketing strategies,

advertising and promotion activities, and product development.
3)Customer Service: responsible for managing customer inquiries and complaints, as well as
maintaining customer relationships.
4)Distribution Network: responsible for delivering the product to customers and ensuring its
availability in the market.
5)Supply Chain Management: responsible for sourcing raw materials, managing production
processes, and ensuring timely delivery of the product.
6)Pricing and Finance: responsible for setting prices, managing budgets, and ensuring
profitability.
 Organizational hierarchy:
The N.S.S.K. has a flatter organizational hierarchy that is supported by learning and progressive
organizations with lesser managerial levels in between and more access to the senior management
and leadership, the employees feel more secure and confident and also have higher access to
information. Moreover, the flatter hierarchy also allows quicker decision making process for
N.S.S.K. and increases organizational commitment in the employees.
 Inter departmental coordination:
The N.S.S.K. has high coordination between different departments. The company’s departments
often from inter department teams for projects and tasks that require multiple expertise. All
coordination between different departments is effective and organized. The N.S.S.K. has a
systematic process for initiating and monitoring coordination between departments to ensure
smooth work operations and processes and goal attainment.
 Internal team dynamics:
N.S.S.K. encourages teamwork and team oriented tasks. Where jobs require individual attention
and scope, the company also assigns individual responsibilities and job tasks. However , all
employees at N.S.S.K. are expected to be team players who can work well with and through other
members. The N.S.S.K. are supportive of all members and work in synch with synergy towards
achieving the broader team objectives and goals under the N.S.S.K. designed strategy and values.
 Centralization v/s decentralization:
The N.S.S.K. has hybrid structure between centralization and decentralization. Like many
progressive organizations, N.S.S.K. largely supports decentralized decision making. Job roles at
N.S.S.K. are designed to be carried out with responsibility, and employees often set their goals
with mutual coordination and understanding with the supervisors.

However, N.S.S.K. is also centralized in making sure that supervisors oversee, and approve of the
various efforts and tactics that employees choose to ensure that they are aligned with the
organizational strategy ad values.
 Communication:
N.S.S.K. has a developed and intricate system for ensuring communication between employees
and different managerial levels. The communication system at N.S.S.K. enhance the overall
organizational structure. The systematic , defined and organized communication allows an easy
flow of information and ensures that no organizational tasks and goals are compromised because
of a lack of communication, or misunderstandings.
3)SYSTEMS:
A system refers to the formal processes and procedures to manage the organization including the
management control system, performance management system, budgeting, resource allocation system,
information system and distribution system.
The N.S.S.K. has fully fledged ERP(Enterprise resource planning)system in place ,ERP is a software
package developed for optimum use of resources of an enterprise in planned manner ,ERP integrates the
entire enterprise into a single unit , which has significantly added to efficiency in job order processing ,
production planning , managing income materials and delivery schedules. N.S.S.K.needs to focus on the
following areas – Improve internal processes, such as risk management, Customer Relationship
Management (CRM),and data visualization across the organization.
 Finance system
1)Funding: The industry relies on funding from various sources such as banks, financial
institutions, and government grants.
2)Crop financing: Farmers receive loans to finance their sugarcane crops.
3)Mill financing: Sugar mills receive loans to finance their operations, including the purchase of
equipment, raw materials, and the construction of infrastructure.
4)Sales and marketing: Sugar mills sell their products to wholesalers, retailers, and other end-
users. They may also export their products to foreign countries.
5)Revenue generation: The industry generates revenue from the sale of sugar and by-products
such as molasses and bagasse (sugarcane residue).
6)Repayment of loans: The industry repays its loans from the revenue generated from its
operations.
 HR System:
1)Recruitment Management: Automates the process of posting job openings, screening resumes,
scheduling interviews, and tracking applicants through the hiring process.
2)Onboarding: Streamlines the process of bringing new employees on board, from gathering
necessary paperwork to assigning tasks and providing orientation.
3)Performance Management: Enables managers to evaluate employee performance, set goals, and
provide regular feedback.
4)Payroll and Benefits Administration: Automates payroll processing and benefits management,
including calculation of taxes and deductions, tracking of time off requests, and updating
employee benefits information.
5)Employee Self-Service: Gives employees access to their own HR information, such as pay
stubs and benefits information, and allows them to submit requests, such as time off, through a
secure portal.
6)Time and Attendance Tracking: Allows employees to clock in and out, track hours worked, and
manage time off requests, while providing managers with real-time visibility into employee
attendance.
7)Training and Development: Facilitates employee training and development through tracking
employee progress, assigning training materials, and providing reporting on training completion.
 Marketing System:
1)Procurement: Sugarcane is sourced from farmers and then processed into raw sugar.
2)Refining: Raw sugar is further processed into white sugar, which is then packaged and stored.
3)Distribution: White sugar is transported to wholesalers, retailers, and other distribution

channels, such as supermarkets and online marketplaces.
4)Promotion: The sugar industry engages in marketing and promotional activities to increase
demand for its products. This may involve advertising, public relations, and other forms of
marketing communication.
5)Sales: The final stage of the marketing system is the actual sale of sugar to consumers. This can
be done through various channels, including retail stores, online marketplaces, and direct-to-
consumer sales.
SOFT ELEMENTS
4)SKILLS: Skills are the abilities and competence of the employees of the organization. It says about
the knowledge and creativity embedded among the people of the company. A training action plan is
prepared by HR department for teams in all functions as well team members.
Types of Employees skills

1)Technical skills: Knowledge of sugar production processes, machinery, and equipment maintenance.

2)Agricultural skills: Understanding of crop cultivation, soil science, plant nutrition, and pest
management.
3)Operational skills: Ability to manage the day-to-day operations of the sugar factory, including
production scheduling, inventory management, and cost control.
4)Safety skills: Awareness of safety protocols and procedures, knowledge of emergency response
procedures, and ability to use personal protective equipment.
5)Leadership skills: Ability to manage and motivate teams, delegate responsibilities, and provide
direction and guidance to employees.
6)Communication skills: Effective communication with coworkers, supervisors, and customers.
7)Problem-solving skills: Ability to identify and resolve problems quickly and efficiently.
8)Financial skills: Knowledge of budgeting, financial management, and cost control.
9)Analytical skills: Ability to analyze data and make informed decisions based on the results.
10)Adaptability skills: Ability to adapt to changing circumstances, processes, and technologies.
TECHNICAL SKILLS OF AN EMPLOYEES
1)Process Knowledge: Understanding of the various stages involved in sugar production and their
optimization.
2)Equipment Maintenance: Ability to troubleshoot and repair complex machinery and equipment used in
the industry.
3)Quality Control: Knowledge of industry standards and the ability to maintain quality in the production
process.
4)Safety Awareness: Understanding of safety regulations and procedures to ensure a safe work
environment.

5)Team Management: Ability to lead and manage a team of workers to ensure efficient production and
minimal downtime.
6)Chemical Analysis: Knowledge of the chemical processes involved in sugar production and the ability
to conduct and interpret chemical tests.
7)Record Keeping: Ability to maintain accurate records of production, inventory, and safety.
8)Adaptability: Ability to adapt to changing market demands, production requirements, and new
technology.
NON TECHNICAL EMPLOYEES SKILLS:
1)Communication: Effective communication is critical in any industry, but especially in the sugar
industry where non-technical employees may need to communicate with people at all levels of the
organization and with customers.
2)Customer service: Non-technical employees who interact with customers must possess strong customer
service skills and be able to handle customer inquiries and complaints in a professional and effective
manner.
3)Organization and time management: Sugar production is a complex and time-sensitive process, and
non-technical employees must be able to manage their workload effectively and meet deadlines.
4)Attention to detail: Non-technical employees must be meticulous and pay close attention to detail, as
even small errors can have significant consequences in the sugar industry.
5)Teamwork: Many non-technical employees work in teams, and it is important for them to be able to
collaborate effectively and build strong working relationships with their colleagues.
6)Adaptability: The sugar industry is constantly evolving, and non-technical employees must be able to
adapt to change and handle new challenges as they arise.
7)Problem-solving: Non-technical employees must be able to identify and resolve problems quickly and
efficiently, often with limited resources and time.
SKILLS 0F MANAGEMENT
1)Technical knowledge: Understanding of sugar production processes and the latest technologies used in
the industry.
2)Financial management: Ability to manage the financial aspects of the business, such as budgeting,
forecasting, and decision-making.
3)Agricultural management: Understanding of agriculture practices and the ability to manage the
cultivation of sugarcane crops.
4)Supply chain management: Ability to manage the procurement of raw materials and the distribution of
final products.
5)Risk management: Understanding of potential risks and the ability to develop strategies to mitigate
those risks.
6)Employee management: Ability to lead and manage a workforce, including recruitment, training, and
performance evaluation.
7)Strategic thinking: Ability to develop and implement long-term strategies that will ensure the success
and growth of the business.
8)Marketing and sales: Understanding of marketing and sales techniques and the ability to promote the
products and services of the sugar industry.
9)Negotiation skills: Ability to negotiate contracts, prices, and terms with suppliers, customers, and other
stakeholders.
10)Communication skills: Strong verbal and written communication skills, allowing for effective
communication with employees, customers, and other stakeholders.
RECRUITMENT OF SKILLS
 Knowledge of sugar production processes and industry regulations.

 Understanding of labor laws and HR practices.

 Ability to source, screen and evaluate job candidates.
 Excellent communication and interpersonal skills.
 Ability to negotiate and offer competitive compensation packages.
 Ability to create job descriptions and post them on various platforms.
 Familiarity with various recruitment methods, such as online job boards, campus recruiting, and
employee referrals.
 Strong time-management and organization skills to manage a high volume of applicants.
 Ability to assess candidate fit for a role based on skills, experience, and company culture.
 Knowledge of various assessment tools and techniques for evaluating candidate potential and
performance.
CAREER GROWTH
1)Management positions: As employees gain experience and demonstrate their leadership
abilities, they may have the opportunity to move into higher-level management positions, such as
plant manager, production manager, or operations manager. These roles typically require a deep
understanding of the sugar production process and the ability to oversee and coordinate the work
of others.
2)Cross-departmental experience: Working in different departments within the company can
provide employees with a broader understanding of the sugar industry and increase their
versatility and value to the organization. For example, an employee in the production department
could gain experience in quality control, sales, or research and development.
3)Continuing education and training: The sugar industry is constantly evolving, and employees
who stay current on new technologies and best practices can increase their marketability and
advancement potential. Pursuing additional education, attending industry conferences and
workshops, and participating in online training programs can all help employees stay up-to-date
and enhance their skills.
4)Networking: Building relationships with industry professionals can be valuable for career
growth. Networking can help employees stay informed about new developments in the industry,

learn about job opportunities, and connect with mentors and other professionals who can provide
guidance and support.
5)Performance and initiative: Ultimately, career growth in Naranja's sugar industry will depend on
an individual's performance and initiative. Employees who consistently perform at a high level
and demonstrate a commitment to continuously improving their skills and knowledge will be more
likely to advance in their careers.
5)STYLE:
Style refers to the leadership of top management and the overall operation style of the organization, style
imports the norms that people follow and how they work and interact with each other and customers. The
leadership style depends upon the organization culture that is in practice.
EFFECTIVE LEADERSHIP STYLE:

1)Transformational leadership: A transformational leader inspires and motivates employees to
work towards a common vision.
2)Servant leadership: A servant leader places the needs of employees and customers first and
works to empower and develop those around them.
3)Collaborative leadership: A collaborative leader works with employees and stakeholders to

create a collective sense of ownership and responsibility for the organization's success.
4)Strategic leadership: A strategic leader takes a long-term view and focuses on the development
of plans and initiatives that will benefit the organization in the future.
 COOPERATION AND LEADERSHIP
Cooperation and leadership are important aspects of success in the sugar industry. Cooperation
among workers, growers, and other stakeholders can lead to increased efficiency and improved
productivity. Effective leadership can ensure that the organization runs smoothly and achieves its
goals. Strong leadership can also foster a positive workplace culture and drive innovation within
the industry. Additionally, cooperation and leadership can help to resolve conflicts and promote
sustainable practices in the sugar industry.
 MOTIVATION STYLE

1)Incentive-based motivation: This style involves offering rewards or bonuses to employees who
meet or exceed performance expectations. This can include monetary bonuses, paid time off, or
other tangible rewards.
2)Job security motivation: Providing a stable work environment and job security can be a
powerful motivator for employees in the sugar industry. This can include offering competitive
salaries, benefits, and opportunities for growth and advancement.
3)Team-based motivation: Encouraging teamwork and collaboration can help build a positive and
supportive work environment. This can include creating cross-functional teams, providing
opportunities for team-building activities, and recognizing the contributions of individual team
members.
4Recognition and praise motivation: Acknowledging the achievements of employees can be a

powerful motivator. This can include regular feedback and recognition, as well as more formal
awards and recognition programs.
5)Empowerment motivation: Allowing employees to take ownership of their work and make
decisions can help increase motivation and engagement. This can include providing opportunities
for training and professional development, as well as giving employees the autonomy to make
decisions and solve problems.
6)STAFF:
The staff of a sugar industry can vary depending on the size and scope of the company.
 Plant Manager
 Process Engineers
 Maintenance Engineers
 Safety and Environmental Manager
 Quality Control Manager
 Supply Chain Manager
 Accounts Manager
 Human Resource Manager

 Sales and Marketing Manager

 Laboratory Technician
 Operators and Technicians
 Administrative and Support Staff
FINANCE DIVISION OF EMPLOYEES STAFF
The finance division of an employee staff in the sugar industry can have several key
responsibilities, such as
1)Budgeting and forecasting: Prepare and monitor the company's budget, including revenue,
expenses, and capital expenditures.
2)Financial reporting: Prepare and analyze financial statements, including balance sheets,
income statements, and cash flow statements.
3)Accounts payable/receivable: Manage the company's accounts payable and receivable

processes, including invoicing, payment processing, and reconciling accounts.
4)Cost control: Analyze and control costs in various areas of the business, including raw
materials, labor, and overhead.
HR DIVISION OF EMPLOYEES STAFF
1) Recruitment and staffing: sourcing and hiring new employees, managing the recruitment
process, and ensuring the company has the necessary workforce to meet its goals.
2)Employee relations: managing employee relations, addressing employee issues and

complaints, and promoting positive employee morale.
3)Compensation and benefits: determining employee compensation packages, including salary

and benefits, and administering these programs.
4)Training and development: designing and implementing training programs to help

employees grow and develop their skills.
5)Performance management: managing the performance appraisal process, providing feedback

to employees, and working with managers to ensure employees are meeting expectations.
6)Compliance: ensuring the company is in compliance with all relevant labor laws and
regulations.
7)Employee engagement: developing programs to enhance employee engagement and improve

the overall workplace culture.
TYPES OF EMPLOYEES
 Sugar cane farmers and farm workers

 Factory workers in sugar production plants
 Maintenance technicians and mechanics
 Lab technicians for quality control and testing
 Management and administrative staff
 Sales and marketing personnel
 Financial and accounting personnel
 Research and development staff
 Safety and environmental specialists
 Loading and transportation workers
CAPABILITY AND CAPACITY
Capability of the Naranja sugar industry would depend on various factors such as the technology used,
the size and scale of operations, the availability of raw materials, and the expertise and efficiency of its
workforce. It would also be influenced by the demand for sugar in the market and the level of competition
from other sugar producers.
Capacity of the sugar industry can vary greatly depending on several factors, such as the size and
location of the industry, the technology used, and the demand for sugar
7)SHARED VISION:

Integrity, commitment, passion, selflessness, speed together constitutes the “shared values”. The
organization has built a successful business model based on its core values, vision and mission. It doesn’t
have to change much in the shared values segment. One area where it can focus more is – sustainability.
Investors are putting a lot of stress on Environmental, Societal, and Governance issues, so it can bring
more transparency by using the Triple Bottom Line concept in its financial reporting.
 Core values
The core values of N.S.S.K. are defined and communicated to foster a creative and supportive
organizational structure that will allow employees to perform optimally, and enhance their motivation and
organizational commitment. The core values at N.S.S.K. include:
 Creativity
 Honesty
 Transparency
 Accountability
 Trust
 Quality
 Heritage
The Sugar Industry also ensures that all its activities and operations are conducted with high ethical and
moral standards.
 Corporate Culture
The industry encourages an inclusive culture that celebrates diversity. The corporate culture at N.S.S.K.
also encourages innovation and creativity by allowing independence for growth to individuals and teams
–thus helping them refine their careers as well as personalities. Lastly, the corporate culture at the Sugar
Industry also has a supportive leadership which works towards increasing employee motivation and job
satisfaction by giving way to visibility and accessibility.
 Task alignment with values

It ensures that all its job tasks and roles are aligned with the core values that the company
propagates. This means that all activities, tactics, and strategic tactics employed by the sugar
industry will reflect its core values, and will not deviate away from these. This is to ensure a
consistent, and reliable brand image, as well as an honest organizational culture. In the event of

organizational change, the company will continue to ensure that all change management
processes and methods incorporate the core values so that the organizational culture is
consistently maintained, and systematically changed if need be.
PORTERS FIVE FORCE MODEL:
MARKET COMPETITORS:
 Mahatma Gandhi Sahakara sakkare Karkhane Ltd. Bhalki
The crushing capacity of this factory is 2500 TCD . It recent sugar recovery is 1.76 and
produced 10.52 tonnes.
 Bidar sahakari Sakkare Karkhane Ltd. Hallikhed.
The crushing capacity of this factory is 3500 TCD.
 Bhavani Khandasari Sugar Industry, Baroor, Bidar
 Bhalkeshwar Sugar Industry Ltd. Bajolga, Tq. Bhalki Dist. Bidar.
BARGAINING POWER OF SUPPLIERS:

The N.S.S.K. can strengthen its position against suppliers by decreasing the dependency on one or a few
suppliers. It will increase its price sensitivity. Developing the long-term contractual relationships with
suppliers from different regions not only lowers their bargaining power but also allows to improve its
supply chain efficiency. A detailed cost-benefit analysis is determine its feasibility. Diversification of the
product lines can also help the organization reduce the suppliers’ power in the market.
BARGAINING POWER OF BUYERS
It can be done by introducing new products, targeting new market segments and adopting the product
diversification strategies. Marketing and promotional strategies can also be helpful in this regard.
Building loyalty by embedding innovation and offering excellent customer experience can raise the
switching costs, which will ultimately reduce their bargaining power. N.S.S.K.is Sweet Enough can
adopt these strategies to strengthen its competitive positioning in the market.

THREAT OF SUBSTITUTE PRODUCT:
 The N.S.S.K. S Sugar Industry is Sweet Enough can reduce the Threat of Substitute Products or
services by clearly emphasising how its offered service is better than the available substitutes.
 It should provide convincing reasons to the customers by offering a better experience and high
value for money.
 It can raise switching costs by working on loyalty.
 Lastly, it can improve the quality, maximise value for money and set strong differentiation
basis to discourage customers from using the substitute product.
THREAT OF NEW ENTRANTS:
 Existing regulations support the entry of new players.

 Consumers can easily switch to another factory due to weak service loyalty.
 Shares value investment is high.
 Building a distribution network is easy for new players.
 The N.S.S.K. Is Sweet Enough can also an investment in research and development
activities, get valuable customer data and introduce innovative services to set strong
differentiation basis.

 CHAPTER 4: SWOT ANALYSIS
The SWOT analysis provides information which is helpful in matching the firms resources and
capabilities to the competitive environment and helps to formulate suitable strategies. The N.S.S.K. Ltd
has been viewed from the point of SWOT analysis. The following observation are come out is
STRENGTH:
Firm strength are its resources and capabilities that can be used as the basis of firm development in the
competitive advantage. The strength of N.S.S.K. are as below
 It is located in the ideal place where good infrastructure are required of quality of sugarcane is
available.
 It has adopted modern hi-tech plant and machineries.
 High production efficiency.
 Power generation and export power.
 Awareness has been given to farmers to produce quality cane.
 Scientific storage methods of sugar and molasses.
 Latest technologies have been adopted to maintain high standard of quality with minimum
maintenance cost.
 FINANCE STRENGTH
 High sales and revenue

 Strong operating margins
 Low debt-to-equity ratio
 Abundant cash reserves
 Significant market share
 Investment in R&D
 HR STRENGTH:
WEAKNESS:
 Worker payment is not regularly.
 High labour turnover rate.
 Rigid promotion procedure in the organisation.
 No scheme offered.
 No computerised department.
OPPORTUNITIES:
The external environmental analysis is revealed that the new opportunities for growth of profit
are kept open. Such opportunities are follows.
 The expansion of crushing capacity from 2500T.C/D. to 4000-5000T.C./D depending up on the
availability of sugarcane in district.
 Expansion of existing 8 MW co-gen unit to 21-28MW.
 Establishment of distillery, Ethanol and bio fertilizers units.
 The above programmers will increase the revenue of the company to the maximum.
 Non established of the programs to motivate and develop effective manpower.
THREATS:
 Government policies are not so encouraging for promotion of sugar factories.
 Rigidity in sugar sales policies of government of India is not congenial for quick sales realization
which effects the economy of the industry on one hand and the stock laying in godown is losing is
quality and colour due to delayed releases orders issues by central Governments.
 Levy of purchase tax sugarcane and rigid policy of government of purchases tax into internet.
 Due to uncertain rainfall procurement of raw material is being affected .

CHAPTER 5: ANALYSIS OF FINANCIAL STATEMENT

Table showing Statement of profit and loss is on 2019 to 2021
01/04/2020 01/04/2019 01/04/2018
Particular To To To
31/04/2021 31/03/2020 31/03/2019
Statement of profit and loss
Disclosure of revenue from operations
Disclosure of revenue from operations
for other than finance company
Revenue from sale of products 136,29,08,038 102,40,08,026 62,53,44,551

Revenue from sale of services 0 0 0
Total revenue from operations other than 136,29,08,038 102,40,08,026 62,53,44,551
finance company
Total revenue from operations 136,29,08,038 102,40,08,026 62,53,44,551

Other income 1,03,53,567 6,58,90,275 1,16,63,467
Total revenue 137,32,61,605 108,98,98,301 63,70,08,018
Expenses
Cost of materials consumed 126,44,88,064 106,54,59,534 84,83,74,123
Changes in inventories of finished
-33,84,30,361 -23,61,99,727 -40,45,80,317
goods, work-in-progress and stock-in-
trade
Employee benefit expense 8,77,82,593 8,43,75,048 6,98,47,547
Finance costs 37,30,68,629 30,35,40,835 16,31,31,644
Depreciation, depletion and amortization
Expenses

Depreciation expense 8,64,47,002 9,58,87,191 4,40,37,587

Total depreciation, depletion and 8,64,47,002 9,58,87,191 4,40,37,587
amortization expenses
CSR expenditure 0 0 0
Other expenses 1,98,82,606 3,14,69,907 2,44,23,930
Total expenses 149,32,38,533 134,45,32,788 74,52,34,514
Total profit before prior period items,

-11,99,76,928 -25,46,34,487 -10,82,26,496
exceptional items, extraordinary
items and tax
Total profit before extraordinary items -11,99,76,928 -25,46,34,487 -10,82,26,496
and tax
Total profit before tax -11,99,76,928 -25,46,34,487 -10,82,26,496
Tax expense [Abstract]
Deferred tax -3,11,05,452 -5,90,17,453 -6,26,85,479
Total tax expense -3,11,05,452 -5,90,17,453 -6,26,85,479
Total profit (loss) for period from -8,88,71,476 -19,56,17,034 -4,55,41,017
continuing operations
Total profit (loss) for period before -8,88,71,476 -19,56,17,034 -4,55,41,017
minority interest
Total profit (loss) for period -8,88,71,476 -19,56,17,034 -4,55,41,017
Earnings per equity share [Abstract]
Basic earnings per equity share [INR/shares] -1.8 [INR/shares] -4 [INR/shares] -0.92
Diluted earnings per equity share [INR/shares] -1.8 [INR/shares] -4 [INR/shares] -0.92
Table showing balance sheet as on 2019 to 2021
31/03/2021 31/03/2020 31/03/2019
Balance sheet [Abstract]
Equity and liabilities [Abstract]
Shareholders' funds [Abstract]

Share capital 49,35,69,800 49,35,69,800 49,35,69,800

Reserves and surplus -50,40,24,430 -41,52,73,763 -21,96,56,729
Total shareholders' funds -1,04,54,630 7,82,96,037 27,39,13,071
Share application money 0 0 0
pending allotment
Non-current liabilities [Abstract]
Long-term borrowings 247,33,98,598 235,93,48,444 216,00,73,679

Other long-term liabilities 9,44,33,522 13,69,00,094 9,33,96,361
Long-term provisions 0 0 0
Total non-current liabilities 256,78,32,120 249,62,48,538 225,34,70,040
Current liabilities [Abstract]
Short-term borrowings 124,35,28,105 140,11,27,211 80,30,24,464

Trade payables 45,10,66,167 13,66,88,501 47,36,02,258
Other current liabilities 25,74,27,923 8,29,47,080 6,62,36,362
Short-term provisions 2,62,45,768 3,31,82,924 2,30,01,690
Total current liabilities 197,82,67,963 165,39,45,716 136,58,64,774
Total equity and liabilities 453,56,45,453 422,84,90,291 389,32,47,885
Assets [Abstract]
Non-current assets [Abstract]
Fixed assets [Abstract]
Tangible assets 241,46,67,088 247,02,09,854 248,12,10,917
Intangible assets 0 0 0
Total fixed assets 241,46,67,088 247,02,09,854 248,12,10,917
Non-current investments 8,09,07,372 8,09,07,372 4,50,07,372

Deferred tax assets (net) 26,78,50,661 23,67,45,209 17,77,27,755
Long-term loans and advances 5,51,342 5,51,342 2,42,932
Other non-current assets 62,36,602 27,94,394 1,06,890
Total non-current assets 277,02,13,065 279,12,08,171 270,42,95,866
Current assets [Abstract]
Current investments 0 0
Inventories 133,76,30,368 99,92,00,007 76,30,00,280
Trade receivables 5,62,54,847 10,82,29,082 8,22,57,927
Cash and bank balances 4,07,61,994 5,56,67,747 3,61,43,574
Short-term loans and advances 23,92,20,200 16,46,78,647 20,17,19,399
Other current assets 9,15,64,979 10,95,06,637 10,58,30,839
Total current assets 176,54,32,388 143,72,82,120 118,89,52,019
Total assets 453,56,45,453 422,84,90,291 389,32,47,885

Various working capital ratios used by me are as follows:
 Liquidity ratios
 Turnover ratio
Liquidity Ratios
The particular liquidity proportion estimations a business venture's capability to fulfill the
speedy - phrase liabilities (significantly much less than 365 days) when and bearing in mind
that they're anticipated. Liquidity proportions create the association amongst coins and
different present property to provide a proportion of the undertaking's liquidity.The
fundamental proportion for estimating a venture's liquidity are:
Current ratio:
This extent is the association among the arrangements of current resources and state of the art
liabilities. These statements are chosen via the contemporary assets and present day liabilities of
the need. Current Ratio = Current Assets
Current Liabilities
Table showing current ratio
Source: Annual report of N.S.S.K. Ltd for the year 2019-2021
Parameters 2018-19 2019-20 2020-21
Current Assets 118,89,52,018 143,72,82,120 176,54,32,388
Current Labilities 136,58,64,773 165,39,45,716 197,82,67,963
Ratio 0.87 0.86 0.89
Graph showing Current Ratio; -

Current
Ratios
0.895 0.89
0.89
0.885
0.88
0.875
0.87
0.87
0.865
0.86
0.86
0.855
0.85
0.845
2018-192019-202020-21
Interpretation Data:
From the table it is clears that the company is maintaining current ratios, the ratios were 0.87,
0.86 and 0.89 in the year 2019, 2020 and 2021 respectively.
Quick Ratio:
Measure the flexibility of a company to pay all of its outstanding liabilities once they return
due with only assets which will be quickly born-again to money.
Quick Ratio = Current Assets – Inventory – Prepaid expense

Current Liabilities
Table showing quick ratio
Parameters 2018-19 2019-20 2020-21
Current Assets 118,89,52,018 143,72,82,120 176,54,32,388

Less: Inventories 76,30,00,279 99,92,00,007 133,76,30,368
Current Labilities 136,58,64,773 165,39,45,716 197,82,67,963
Ratio 0.31 0.26 0.21

Graph showing Quick Ratio: -

Quick
0.35
Ratios
0.31
0.3 0.26
0.25 0.21
0.2
0.15
0.1
0.05
0
2018-192019-202020-21
It is clear from the table that the acid test ratio was more than the standard in the year 2019,
2020 and 2021 the ratio is 0.31, 0.26 and 0.21 respectively. This decrease is only because of
changes in provisions.
(4.3)Current Assets Turnover Ratio:
Current Assets Turnover Ratio indicates that the current assets are turned over in the form of
sales a greater number of times.
Current Assets Turnover = Net sales
Ratio Total Assets
Table showing current assets turnover ratio
Parameters 2018-19 2019-20 2020-21
Net sales 62,53,44,551 102,40,08,026 136,29,08,038
Current assets 118,89,52,018 143,72,82,120 176,54,32,388

Ratios 0.52 0.71 0.77

Source: Annual report of N.S.S.K.Ltd for the year 2019-2021
Graph showing Current assets turnover Ratio: -
Current assets turnover

0.9
ratio
0.77
0.8 0.71
0.7
0.6
0.52
0.5
0.4
0.3
0.2
0.1
0
2018-192019-202020-21
It is clear from the table that the Current turnover ratio is increasing in the year 2019, 2020
and 2021were is 0.52, 0.71 and 0.77 respectively.
Inventories Turnover Ratio:
Inventories turnover ratio is that the number of times an organization has sold and
replenished its inventory over a particular quantity of time.
Inventories Turnover Ratio = Net sales
Inventories
Table showing inventories turnover ratio
Parameters 2018-19 2019-20 2020-21
Net sales 62,53,44,551 102,40,08,026 136,29,08,038

Inventories 76,30,00,280 99,92,00,007 133,76,30,368
Ratios 0.81 1.02 1.01
Graph showing Inventories turnover Ratio: -
Inventories turn over

1.2 ratio
1.02 1.01
1
0.81
0.8
0.6
0.4
0.2
0
2018-19 2019-20 2020-21
It is clear from the table that inventories turnover ratio was more than the standard in the year
2019, 2020 and 2021 the ratio is 0.81, 1.02 and 1.01 respectively. This decrease is only
because of changes in provisions.
Current Liabilities to Total Assets Ratio:
Current liabilities to = Current liabilities
Table showing current liabilities to total assets ratio
Parameters 2018-19 2019-20 2020-21
Current Liabilities 136,58,64,773 165,39,45,716 197,82,67,963

Total Assets 389,32,47,885 422,84,90,291 453,56,45,453
Ratio 0.35 0.39 0.43
total assets ratio Total assets
Graph showing current liabilities to total assets ratio

Current liabilities to total assets ratio
Graph showing current liabilities to total assets ratio
Current liabilities to total assets

0.5 ratio
0.43
0.45
0.39
0.4
0.35 0.35
0.3
0.25
0.2
0.15
0.1
0.05
0
2018-19 2019-202020-21
From the table it is clears that the company is maintaining current liabilities to total assets ratio, the
ratios were 0.35, 0.39 and 0.43 in the year 2019, 2020 and 2021 respectively.
Sales to Fixed Assets Ratio:

This proportion differs from big business to industry. An expansion in this proportion way
that slack trading or automation has been utilized. A lower on this proportion way that
obligation and offers blast or property stay utilized seriously. Assuming my current day
possessions increment having a relating development within benefits, it'll display that my
effort is developing.

Sales to fixed = Sales

assets ratio Fixed assets
Table showing sales to fixed assets ratio
Parameters 2018-19 2019-20 2020-21
Sales 62,53,44,551 102,40,08,026 136,29,08,038
Fixed Assets 248,12,10,917 247,02,09,854 241,46,67,088
Ratio 0.25 0.41 0.56
Graph showing sales to fixed assets ratio
Sales to fixed assets

0.6
ratio 0.56
0.5
0.41
0.4
0.30.25
0.2
0.1
0
2018-192019-20 2020-21
From the table it is clears that the company is maintaining sales to fixed assets ratios, the
ratios were increasing year to year are 0.25, 0.41 and 0.56 in the year 2019, 2020 and 2021
respectively.




Organization Study Ankita

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AN ORGANIZATION STUDY ON NARANJA SAHAKARI SAKKARE KHARKHANE

ORGANIZATIONAL STUDY AT NARANJA SAHAKARI SAKKARE KHARKHNE

VISHWESWARAYYA TECHNOLOGICAL UNIVERSITY, BELAGAVI

In partial fulfillment of requirement for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION(MBA)

UNDER THE GUIDANCE OF

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 1

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 2

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 3

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 4

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 5

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 6

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 7

Type of sectors In India In Karnataka

Private sector 120 20

Total surplus 450 40

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 8

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 9

CHAPTER 2:ORGANIZATION PROFILE

The location of the factory is very ideal in terms of the following:

Name of the Factory The Naranja sakkare karkhane Ltd.

Objectives of the company:

2) Nature of business carried:

3)VISION,MISSION AND QUALITY POLICY

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 11

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 12

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 13

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 14

Procedure for sale:

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 16

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 17

8)FUTURE GROWTH AND PROSPECTUS

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 18

MCKENY’S 7s model of organization study

Hard Elements Soft Elements

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 19

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 20

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 21

5)Compensation and benefits: responsible for designing and administering employee

6)Performance management: responsible for evaluating employee performance and providing

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 22

2)Marketing Department: responsible for developing and implementing marketing strategies,

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 23

2)Crop financing: Farmers receive loans to finance their sugarcane crops.

3)Distribution: White sugar is transported to wholesalers, retailers, and other distribution

Types of Employees skills

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 25

6)Communication skills: Effective communication with coworkers, supervisors, and customers.

8)Financial skills: Knowledge of budgeting, financial management, and cost control.

10)Adaptability skills: Ability to adapt to changing circumstances, processes, and technologies.

TECHNICAL SKILLS OF AN EMPLOYEES

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 26

NON TECHNICAL EMPLOYEES SKILLS:

 Knowledge of sugar production processes and industry regulations.

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 28

 Understanding of labor laws and HR practices.

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 29

EFFECTIVE LEADERSHIP STYLE:

3)Collaborative leadership: A collaborative leader works with employees and stakeholders to

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 30

4Recognition and praise motivation: Acknowledging the achievements of employees can be a

DEPARTMENT OF MANAGEMENT STUDIES VTU CPGS KALABURAGI . PAGE 31

 Sales and Marketing Manager