Post on 06-Mar-2015
transcript
PROJECT REPORT ON
MAHESH EDIBLE OIL
INDUSTRIES LTD.
SUBMITTED BY:
ASTHA PRAKASH
ANITA SATSANGI
CHANCHAL PRABHAKAR
NUTAN SINGH
KUSUM SINGH
SONALI SRIVASTAVA
ACKNOWLEDGEMENTS
We owe a great many thanks to a great many people who helped and supported us during
the making of this project. My deepest thanks to our guide,
Mr. Vijai Sarup Caprihan,
the Guide of the project for guiding and being a constant support. Thanks and
appreciation to the helpful people at Mahesh Edible Oils Ltd, for their support. Especially
Ms. Manu Dubey, Mr Anup Goyal and Miss Poonam Gupta. We would thank our
Institution, our faculty members and our seniors without whom this project would have
been a distant reality. We also extend my heartfelt thanks to our families and well
wishers.
LIST OF CONTENTS
S .NO. TITLE PAGE
1. LOCATION 3
2. INTRODUCTION 4
3. HISTORY OF MAHESH IDIBLE OILS 6
4. ORGANIZATION CHART 8
5. PRODUCTION DEPARTMENT 9
6. FINANCE DEPARTMENT 10
7. HUMAN RESOURCE DEPARTMENT 11
8. MARKETING DEPARTMENT 13
9. ANNUAL BUDGET 15
10. LIST OF SALES DEPOT 20
11. OPERATIONS AT DEPOT LEVEL 23
12. MANAGEMENT INFORMATION SYSTEM
24
13. SWOT ANALYSIS 26
14. CONCLUSION 28
INTRODUCTIONFrom a humble beginning in 1991 to becoming one of India's most known mustard oil
brands, the history of Mahesh Edible Oil Industries is that of grit and determination.
Founded by Mr. Ram Baboo, Mr. Shiv Kumar Rathore and Mr. Brij Mohan Rathore in
the historic city of Agra. It was first called Mahesh Oil Industries. The addition of two
new partners Mr. Dinesh Kumar Rathore and Mr. Mahesh Kumar Rathore gave this
ambition project a new boost. And of course, a new name MIS. Mahesh Edible Oil
Industries Ltd.
Every since its beginning the company has been producing pure kachhi ghani mustard
oiL and quality mustard cakes for millions of cattle. In fact the founders realized that in
spite of a glut of mustard oil brands and cakes in the market, Indians still yearned for a
brand that they could completely trust. So was formed Mahesh Edible Oil Industries.
To day the company's flagship brand name SALONI is a name synonymous with trust
and purity.
With its manufacturing unit strategically located at Agra. To the surprise of many, it is
the largest mustard oil manufacturing unit in the country. It has a good mix of the modern
and the traditional methods of manufacturing. It has the highest number of traditional yet-
highly mechanized coalhouse working in a completely automatic plant.
In fact the company is known not just for its size but also for its unmatched
infrastructure. State of the art laboratory, the latest equipment and a continuous Up
gradation of its facilities have always been the hallmark of Mahesh Edible Oil Industries
Ltd.
To add to this, a team of trained, qualified and knowledgeable professionals who oversee
the rigorous processes at the laboratory. No wonder their customers are always assured of
quality matching / surpassing with the international standards.
# There are thousands peoples working with them.
# The company has been in operation from last 7years and has attained satisfactory
growth level with each passing year, there has been upwards moving trend in the growth
and profits of the company.
# The visionary drivers of the organization
# The turnover of the company is 250 crores.Due to unprecedented quality and customer
retention.
# The Company has 38 depots across India. There is maximum sale of the comp is
filched from Kolkata and Cuttack.
SALONI-AS PURE AS IT GETS
It is the only most known brand. It is also India's purest kachhi ghani mustard oil. And
that can be proven by its pungent smell. Purity does not mean this. These are absolutely
different USPs of our products and this feature should be used as a special highlight
LOCATION
CORPORATE OFFICE
MAHESH EDIBLE OIL INDUSTRIES LTD.
F-l, Pee Tower, Sanjay Place, Agra-282002
FACTORY
MAHESH EDIBLE OIL INDUSTRIES LTD.
Agra Road, Shamsabad (Agra)
HISTORY OF MAHESH EDIBLE OIL
INDUSTRIES
1990 : Company came into existence as a partnership firm. It had three partners
name.
1) Mr. Ram Babu Rathore
2). Mr. Shiv Kumar Rathore
3). Mr. Brij Mohan Rathore
1991 : Two more directors joined the company.
1). Mr. Dinesh Rathore
2). Mr. Mahesh Rathore
1999 : New market segments larger investment was needed in order to meet the
objectives and goals of the company.
2000 : The company was converted to a public limited company.
2001 : Company increased its capacity by 50% per year.
2003 : Again company got involved in the expansion and modernization of plant.
2005 : Group campaign was conducted for the promotion of the company
2006 : Inaugration of new unit in Shamshabad.
2008 : Launching of new product ‘ Stay Fit ‘ (Refined oil). Started new plant in Kota.
Every year, company growth percentage is approximately 30-32 % in terms of sales
growth.
ORGANISATION CHART
CHAIRMAN ( RETIRED)
Shri Ram Babu Rathore
FINANCE :
DIRECTOR FINANCE
Mr. Brij Mohan Rathore
COMPANY CA
Doogar & Associate
M.D.
Mr. Shiv Kumar Rathore
FINANCE PRODUCTION MARKETING
COMPANY SECRETORY
Ms. Varsha Agarwal
FINANCE MANAGER
(Vacant)
ACCOUNT MANAGER
(Vacant)
FACTORY MANAGER
Mr. Bharat Singh
Sr. EXC. ACCOUNTS
Mr. Rajat Sharma
CASHIER
Mr. Shailendra Sharma
BANKING
Mr. Rahul Dev Sharma
LEGAL (SALES TAX)
Mr. Suresh Chand Sharma
PRODUCTION :
DIRECTOR PRODUCTION
Mr. Mahesh Rathore
CHIEF CHEMIST
Mr. Bharat Singh
CHEMIST
Mr. SP. Singh
DISPATCH EXECUTIVE
Mr. Saurabh Kulshreshta
MARKETING :
MARKETING DIRECTOR
Mr. Dinesh Rathore
MARKETING CONSULTANT
Dr. Vijai Caprihan
MKTG MANAGER
Ms. Dipali Upadhayay
OPERATIONAL MANAGER
Ms.Srishti Shukla
SALES ANALYST
(Vacant)
MRKTG. VICE PRESIDENT
Mr. CBS Rawat
ADMINIS. & OPERATIONS
Mrs. Anshu Tiwari
MIS ANALYST
Ms. Rajni Bimal
CREDIT CONTROL MNGR.
Ms. Poonam Gupta
HR MANAGER - Mr. Adarsh Gautam
HR EXECUTIVE - Ms. Tanvi Trivedi
IT MANAGER - Mr. Vivek Singh
LOGISTIC - Mrs.Sushila Singh
BRAND EXECUTIVE - Mr. Sandip Gupta
LIST OF SALES DEPOT
MAHESH EDIBLE OIL INDUSTRIES LTD. has 42 branch offices throughout the
country. The main head office is at Agra. In Agra the company deals through sales depot.
It does not have any consignee in Agra.
The 42 branch offices of the company are as follows:
STATE CITY
UTTAR PRADESH AGRA
ALLAHABAD
AJAMGARH
BALIA
BAREILLY
LUCKNOW
VARANASI
GORAKHPUR
WEST BENGAL KOLKATA
SILIGIRI
MIDNAPUR
MALDA
KAKDEEP
ASANSOL
ORISSA CUTTACK
BHUBANESHWAR
TRIPURA AGARTALA
BELONIA
BIHAR PATNA
MUZZAFARPUR
BHAGALPUR
DARBHANGA
UTTARANCHAL HALDWANI
JWALAPUR
DELHI NCR
HIMACHAL PRADESH PARWANOO
JAMMU & KASHMIR JAMMU
The most prominent market for ‘SALONI’ oils are:
Varanasi
Ranchi
Kolkata
Tata
In Agra the current sale is 48kl. This is the average sale of the company. But Saloni
believes to aim high and to achieve high. It still aims to achieve a target of 100kl.
Approximately 45% of Agra is yet an opportunity market for the company.
ANNUAL BUDGET
PROPOSED BUDGETRY CONTROL SYSTEM
1. There will be 2 types of budget as under:-
i. Master Budget
ii. Operational Budget
a. Sales Budget
b. Production Budget
c. Raw Material Budget
d. Packing Material Budget
e. Stores Budget
f. Expenditure Budget
- Direct Cost- Variable & Fixed
- Indirect Cost - Variable & Fixed
- Administrative Cost Budget
- Selling & Dist. Cost Budget
- Finance Cost
- Sales Promotion Budget
DETERMINITION OF KEY FACTORS AFFECTING THE BUDGET
The key factors which shall determine the budget are:-
1. Sales – Based on Market Demands
2. Seed – Crop Availability
3. National Economic Condition i.e. Govt. Policy related to Import & Export
DETERMINITION OF ANNUAL SALES FOR SALES BUDGET
Presently the whole economy of the company depends upon sales hence it is the key
factor for the budget.
PROCEDURES FOR DETERMINIG SALES BUDGET
Sales data will be collected from various depots area wise, party wise and sales
components wise
Each depot shall provide sales information category wise as under in quantities:-
1. Retailers
2. Wholesalers
3. Distributors
4. Depot Consignee
SALES THROUGH RETAILERS
The VSM shall provide sales target – area wise with monthly & yearly breakup.
These will be checked & confirm by the immediate senior officer. These data will be
cross checked by data available in the computer for previous year. On satisfaction
these will form the budget of retail sales for the year.
SALES THROUGH DISTRIBUTORS
Area Business Executives will provide the details of targeted sales for their areas –
distributor wise. These data provided by ABE shall be confirmed & verified by the
Area Sales Manager or where there is any Regional Business Manager, he shall
confirm the budget.
The following is the chain of sales management:-
VP SALES
Regional Sales Manager (RSM)
Area Sales manager (ASM)
Sales Officer (SO)
Area Business Executive (ABE)
Van Sales Man (VSM)
SALES THROUGH WHOLESELLERS
The In charge of Wholesale business relating to various areas shall provide details of
targeted sales.
SALES THROUGH CONSIGNEE
The senior person handling the consignees shall provide the details of targeted sales.
PREPARATION OF FINAL SALES BUDGET
The EDP Incharge (Computer) shall receive all budget details provided by the above
chain. He shall assure that all the budgets are confirmed and verified by the above
mentioned senior officer. He shall then work out packing wise detail of targets from
previous year actual packing wise details. The increase in target shall be apportioned
on pro data basis.
The yearly sales budget will have monthly breakup of targeted sales.
HUMAN RESOURCE FUNCTION
The recruitments are currently being carried out all over India. The company is in the
process of launching Stayfit refined and mustard oil and for that they are building up a
team. The major recruitments are being carried out with the aid of Naukri.com. First, all
the resume are shortlisted, then interviews both telephonic, and face to face, are carried
out. The senior most post is that of the RSM, or the Regional Sales Manager. The RSM
supervises one region. The ASM or the Area Sales Manager is the second most senior
post after RSM. Next is the Sales Officer and under the SO, is the ABE or Area Business
Executive.
Along with the salary, the employees are also given other incentives like Provident Fund,
Insurances, Bonuses, TA which is Travelling Allowance and DA, i.e. Dearness
Allowance. TA is exclusive of the salary and it is provided when the employee has to
travel for more than 30 kilometers. On the other hand, DA is included in the salary.
Bonus is a tool to motivate employees to give their best performance. It is based on the
salaries of employees and their performance. Incentives up to Rs. 300 are provided to
employees who work very hard so as to encourage their performance. CCA or City
Compensation Allowances are provided to employees who live in metropolitan cities.
Provident Fund is a contribution of both employee plus company. It is a small unit of the
salaries of the employers or some contribution done by the company. PF is 12% of Basic
Salary.
An ABE’s salary package consists of Gross salary: Rs. 8600 plus DA, Conveyance,
phone bill etc.
A Sales Officer’s salary is Rs. 11600 plus TA, DA.
An ASM’s salary is Rs.16000-19000 and the other benefits depends on the persons
capabilities.
An RSM’s salary ranges between Rs. 20000-30000.
There is also a post of the HR executive. The HR executive solves grievances regarding
salary, expenses, market problems etc.
LEAVE PROCEDURE
Legally, employees get 12 leaves in 365 days, or a year. If the employee has a genuine
reason the salary is not cut.
Leaves:
Casual leave: 6
Sick leave: 6
Earned leave: 5
Total leaves per year: 27.
If a person decides to resign, he is asked questions so as to why he wants to leave the job.
He is given a certain amount of time where he has to wind up all his pending work.
If an employee’s performance level goes down, he is given a warning letter and a one
month trial. If his performance continues to go down, he is asked to leave the job, or is
fired.
If an employee dies or gets seriously injured, his family is given Rs. 1 lakh according to
the Insurance Act. Also, additional funds are also given from the Welfare Fund.
PERFORMANCE APPRAISAL
The performance appraisal process is carried out on a quarterly basis. The employee’s are
given increments based on their work performance. The highest increment that can be
given is 20%. Bonus is also given during Diwali time. Bonus is grossly 8.33% of the
yearly salary of a person.
FINANCE FUNCTION
All the work related to money is performed by the software Tally.
After opening a company, these are the following steps to be taken to manage the Finance
Department:
1. CAPITAL- How much capital is required to start and run a business.
2. RAW MATERIAL PRICEMENT- After the capital is planned out; they purchase
the raw material.
3. MANUFACTURING- A lot of expenses have to be dealt with like
Worker’s salary
General expenses
Office Expenses
Maintenance expenses
Then the Cost Sheet is prepared.
Entry in the account book of the company:
Cash A/c Dr.
To Capital A/c
Purchase A/c Dr.
To Cash A/c
First the Journal is prepared, followed by Ledger, Trial Balance, Final Accounts
and then the Balance Sheet.
4. Another important task is placing the right person according to the right job.
5. The product passes through different processes.
6. Then the product is marketed.
7. The distributors then distribute the product and add the minimum profit on the
product price.
The input product is Mustard seed.
The primary product extracted from it is Oil, and the by product is Cake.
Selling and Distribution rate
Advertisement
Distribution
Plus minimum profit of commission- Rs.1
So, total price turns out to be Rs. 75 per liter.
BALANCE SHEET
A. Sources of funds
1. Shareholders of funds
2. Share Capital
3. Reserve and Surplus
Sub total _____
Loan funds
1. Secured loans
2. Unsecured loans
Sub total ______
B. Application of funds
C. 1. Fixed Assets
Less: Depreciation
Sub total ______
Capital work-in-progress
Net block ______
Investments
Current Assets, Loans
1. Inventors
2. Sundry Creditors
3. Cash and bank balance
4. Loans and advances
Sub total _______
Less: Current liabilities and miscellaneous expenditure
Total ______
Profit and loss as on 31st March
MARKETING FUNCTION
The price of the product is packed according to all the processes that take
place right from production till the end. The money spent on packaging is also
included under the actual cost. The Market price does not remain the same all
the time. The price in the market fluctuates according to the demands of the
customers.
Schemes: Some special schemes are provided to the consumers so as to
increase their sales.
5% discounts
Buy product and get another small item free
Buying more quantity decreases the cost
Promotional schemes to attract customers:
Advertisements shown on T.V. and in newspapers
Pamphlets and brochures
Hoardings and posters
By hiring attractive salesmen
Mahesh Edible Oil is available in bottles and pouches.
Saloni Kachi Ghani Pure Mustard Oil is Awl's gift to consumers who loves high
pungency mustard oil. It’s made from finest quality mustard. Saloni Kachi Ghani Pure
Mustard Oil is made from the first press of the mustard in the traditional way by slowly
crushing the best mustard seeds in a temperature controlled environment to retain its
pungency and natural properties. Its high pungency level enhances the taste of the food
cooked in it and helps stimulate your appetite. It also helps in keeping pickles fresh for a
longer duration while retaining their traditional flavor.
Saloni Kachi Ghani Mustard Oil is available in:
15 kg Tinz
15 kg Jar
10 kg Jar
5 Ltr Jar
2 Ltr Jar
5 Ltr Mtk
2 Ltr Mtk
5 Ltr Tin
2 Ltr Tin
5 Ltr Pet jar
2 Ltr Pet jar
1 Ltr Bottle
500 ml Bottle
200 ml Bottle
1 Ltr Pouch
500 ml Pouch
200 ml Pouch
100 ml Pouch
Saloni Kachi Ghani Mustard oil is targeted primarily at those customers who want the
goodness of mustard oil but with less pungency
Mustard Oil Cakes
The by-product of mustard seed extractions, known as oil-free cake, is put to diversified
uses such as fertilizer and animal feed. Mustard oil cake in particular, is used primarily
for feeding animals and poultry due to its high protein content.
10-15 liter jars are mainly preferred by Jammu and Kashmir and north india.
Product’s market depends from area to area. In U.P., people prefer pouches but in the
north east, the people are mostly non-vegetarian so they buy jars and one liter bottles.
The market share is as follows:
West Bengal – 20% share
Jharkhand – 80%
Banaras – 75%
Agra- 60%
North east - !5%
In places like Agartala and Belonia, people cannot afford big jars and so they buy 200 ml
bottles.
STAYFIT - AS PURE AS IT GETS
MANUFACTURING FACILITIES :
The company believes that to produce the best Soya bean refined oil, one needs the best
seeds. Therefore, the process of manufacturing begins with a meticulous choosing of the
best seeds available in the market.
Will need more info here-- To keep them 100% natural, these seeds are crushed in
extractor (machine) and processed step wise in a well-equipped lab. The result is the most
pungent Soya bean refined oil. To retain the purity of the oil, the company under no
circumstances, allows the use of naked human hand.
The process of packaging is another task where there are no compromises. For it plays a
major role in preserving the quality, nutritional and health properties. That's why the
owners have taken it on themselves to manufacture the packaging material, under their
supervision and before their eyes.
MEDIA CORNER
PRINT ADS
TV ADS
NEWS CLIPPINGS
NEWSLETTERS
SWOT ANALYSIS
STRENGTHS:
The Major strength of “Stayfit” is its quality. All the customers are 100% satisfied and
this is the only reason why we are working with the distributors from past years and still
they are attached with us.
WEAKNESSES:
We withdraw rates immediately which actually disturb the market. Rate is also major
problem in various areas. The following are the main weaknesses of the company:
Prices are very high in comparison to other competitive brands.
Penetration of the product is not very good. The quality is unquestionable but
the availability of the product is poor.
Sales and promotion is very poor or not well in Agra. We hardly see any
hoarding except for in remote places.
Dealers are not given any attractive incentive therefore they do not take any
personal interest in selling the product.
OPPORTUNITY:
For “Stayfit” the biggest opportunities are the upcoming market that caters to the
households. All opportunities can be grabbed by customer focus. In Agra current sale of
the company is very good. In future the company aims to achieve a target of 100 percent.
THREATS:
The company is currently facing threats against various competitors like FORTUNE,
DEEP JYOTI, RUCHI STAR, NATURE FRESH &CHAMBAL etc.
MEASURES TO INCREASE SALES
They should give regular Q.P.S schemes in gaps between two months. (E.g.:-
April to May, gap two months then Aug to Sep.)
For undeveloped market they could give some special discounts, consumer offer
scheme & dealers meeting, gifts, supports.
For E.g.:- In any weak area (undeveloped) market, they can provide
special support like Discounts & schemes.
For undeveloped market retailers salesmen may give some gifts like
T-Shirts, cap, pen & Bags (Stayfit should be written on that).
Advertisement materials need to be supplied properly on time.
Advertisement through wall painting, hoardings & in local news channel.
CONCLUSION
Mahesh Edible Oil Industries Limited has been built on the foundations of honesty,
reliability and trust. Their aim is to provide their customers with superior service and
products, which stems from their dedication to quality assurance.
They understand the importance of quality relationships with customers and suppliers.
They believe in long-term win-win associations and are committed to the growth of the
mustard oil producing industry.
They aim to achieve their objectives through excellence in customer satisfaction,
competitive costs, efficient distribution structure and healthy sales & operation planning
process. They are confident that their deep-rooted philosophies will
propel them into the forefront of the mustard oil producing industry in the region.