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CHAPTER 1

INTRODUCTION

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Introduction
The study was conducted at Nambiyattukudy Modern Rice Mill Koovappady, who are
well known with their brand name Pavizham. They are the major marketer of rice and rice
products inside Kerala. The products are sold in other parts of India and the products are
being exported to other countries including Europe, US, and Gulf countries like Dubai.
The manufacturing unit has been the most modern technology in rice milling and has
imported the machinery from China, and Japan. The company is being treated as the
provider of the rice of the traditional taste of Kerala. The company provides superior
quality products at affordable price.
The purpose of the study is partial fulfillment of the degree of Bachelor of Business
Management and to understand the practical functions of the organization.

OBJECTIVE OF THE STUDY


For the effectiveness of the study, the objects are classified under two heads
. They are:

Primary Objectives
Secondary Objectives
Primary objectives

1.

To understand the working of various department of the organization.

2.

To understand the structure of the organization


Secondary objectives

1.

To find out the dealers attitude towards PAVIZHAM RICE

2.

To find the duties and responsibilities of different department heads.

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3.

To find out the market position of the PAVIZHAM RICE

4.

To know Pavizham products.

5.

To find out the strengths, weakness, opportunities and threats of the organization

6.

To know the future plans of the organization.


SCOPE OF THE STUDY
The study entitled An organization study of PAVIZHAM RICE has the following scope.

The study attempts to understand the performance of different department

The working condition in the organization

Qualify the assurance of the products

Financial position of the company

Market position of the company


LIMITATIONS OF THE STUDY

As the main source of data is secondary reliability is limited.


The study depends mainly on the information provided by the top management.
The employees of various departments were not able to spend enough time for the

researcher since it affects their work schedule.


The interpretation and analysis may not be accurate because of the limited
experience of the researcher.

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CHAPTER 2
PROFILES

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MARIAN ACADEMY OF MANAGEMENT STUDIES

INDUSTRY PROFILE
Rice, common name for about 19 species of annual herbs, of the grass family. Common rice is the
only species of importance to human beings. It is native to south-east Asia and has been cultivated
for more than 7,000 years. It thrives in areas of considerable warmth and moisture and reaches a
height of about 1m (3 ft), with flowers bearing six stamens and a solitary pistil. The fruit, a grain,
is produced on a nodding of the stalk. When the grain is ripe, Rice resembles the oat plant. The
white endosperm is enclosed by a layer of bran surrounded by a brown husk.
Rice grains are extensively used as human food; rice constitutes the principal food of half the
human race. It is primarily consumed after processing as polished rice. The bran or germ which
comprises 10% of whole rice is removed during the polishing process.. White rice, which is rice
from which the nutritious bran has been removed, is an inferior food. A diet of white rice causes
such deficiency diseases as Beriberi. Recognition of the nutritional value of the rice bran has led to
some increase in the consumption of brown rice, which is the rice grain from which the bran has
not been removed. Brown rice is a very good source of manganese and also a good source of other
minerals like magnesium and selenium. Almost 11 nutrients are lost during the processing of white
rice. Process to get polished white rice from brown rice destroys 80% thiamin, 67% niacin, 90%
vitamin B6, 60% iron, half of phosphorous and manganese and all of essential fatty acids and
dietary fiber. According to law in United States fully processed polished white rice should be
enriched with thiamin, niacin and iron, however this enrichment cannot replace the loss of around
11 nutrients and are not the same as found in the original version.
Brown rice is unpolished rice; i.e., the bran layer of the grain is not removed through polishing as
is done with white rice. Thus, it is more nutritious than polished rice and is becoming popular
among health conscious people. Modern researches have confirmed the beliefs of ancient oriental
folk physicians that eating brown rice is a source of serenity and tranquility. It has been shown to
contain all the elements need for the maintenance of good health
Rice contains mostly Starch as high as 72% on w/w basis. Due to the high starch content, it is
the most favored raw material for alcoholic beverages since centuries in different parts of the
world.

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Different varieties of Rice has different aromatic component in it, which becomes the main source
of wine making & produces wine with specific aroma & name. It is Sake in Japan & Tanimura
in Philippines. Vodka the famous drink of Russia is made from rice as well.
Apart from wine, rice can be good source for other alcoholic beverages, now with depleting
Crude Petroleum reserves world over, Ethanol is seen as alternative fuel & rice can be best
source.
The changed dietary habits of the new generation have appeared to increase the risk of coronary
heart disease and heart attacks especially in over weight people. Common features of a metabolic
syndrome include visceral obesity (the apple shaped body), low levels of protective HDL
cholesterol, high triglycerides, and high blood pressure.
Lately realizing this Govt. of India has put this industry under Ministry of Food Processing to
specially focus on to increase its consumption as food.

International scenario
Rice is the second largest produced cereal in the world. At the beginning of the 1990s, annual
production was around 350 million tons and by the end of the century it had reached 410 million
tons. Production is geographically concentrated in Western and Eastern Asia. Asia is the biggest
rice produce, accounting for 90% of the worlds production and consumption of rice. China and
India, which account for more than one-third of global population supply over half of the worlds
rice. Brazil is the most important non-Asian producer followed by the United States. Italy ranks
first in Europe
Rice is by far the most economically important food crop in many developing countries,
providing two third of the calorie intake of more than 3 billion people in Asia, and one third of
the calorie intake of nearly 1.5 billion people in North America and European Union (EU), rice
consumption has increased due to food diversification and immigration. In the last two decades
(1970-90), the per capita rice consumption increased at various rates, ranging from 2.4
percent/year in the Italy and 8.2 percent/year in UK (Faure and Mazaud, 1996).

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The worlds major rice-producing countries including the two most populous nations, ChinaIndia have emphasized the important of continuing to develop new rice varieties to guarantee
Asias food security and support the regions economic development. Today, rice is grown and
harvested on every continent except Antarctica, where conditions make its growth impossible.
The majority of all rice produced comes from India, China, Japan, Indonesia, Thailand, Burma,
and Bangladesh. Asian farmers still account for 92-percent of the worlds total rice production.
More than 550 million tons of rice is produced annually around the globe. In the United States,
farmers have been successfully harvested rice for more the 300 years. There are thousands of
strains of rice today, including those grown in the wild and those which are cultivated as a crop.
History of domestication & cultivation
Europe
The Muslims brought Asiatic rice to the Iberian Peninsula in the tenth century. Records indicate
it was grown in Valencia & Majorca, rice cultivation seems to have stopped after Christian
conquest, although historians are not certain. Muslims also brought rice to Sicily, where was an
important crop.
Australia
Although attempts to grow rice in the well-watered north of Australia have been made for many
years, thy have consistently failed because of inherent iron and manganese toxicities in the soil
and was very cheap, the growing of rice was taken up by agricultural groups over the following
decades. Californian varieties of rice were found suitable for the climate in the Rivernia, &the
first mill opened at Leeton in 1951.
Africa
African rice has been cultivated for 3500 years. In parts of Africa under Islam, rice was chiefly
grown in southern morocco. During the 10th century rice was also brought to east Africa remains
uncertain, Muslims brought it to the region stretching from Lake Chad to the White Nile.

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World Top 10 Rice Producing Countries

China
India
Indonesia
Bangladesh
Vietnam
Thailand
Myanmar
Japan
Philippines
Brazil
Some Other Rice Producing Countries

Afghanistan, Argentina, Australia


Bhutan, Bolivia, Burkina Faso
Cambodia, Cameroon, Chad, Colombia, Cuba
Ecuador, Egypt
France
Gambia, Republic of Ghana, Greece
Iran, Italy
Korea DPR, Republic of Korea
Lao PDR, Liberia
Madagascar, Malaysia, Mali, Mauritania, Mexico, Mozambique
Nepal, Nicaragua, Niger, Nigeria
Pakistan, Paraguay, Peru, Portugal

Some important facts about rice in Global Scenario are as:


Global rice production in the recent years has fluctuated between 375-400 million tons.
Consumption at around 410 million tons has been above production in the recent years.
Global ending stocks, which had average above 120 million tons in the 1990s is
currently getting reduced to 80 million tons.
Asia is the biggest rice producer, accounting for 90% of the worlds production and
consumption of rice.

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Per capita rice consumption has declined in recent years in many of the wealthier rice
consuming countries, such as Japan, Republic of Korea and Thailand, because rising
incomes have enabled people to eat more varied diet.
Although rice is widely grown and consumed, less than 6% of world production (20-24
million tons) is traded annually.
Major importing nations of rice are West Asian countries and African countries. Apart
from it countries like Japan, Malaysia, and Brazil also figures in top 10 importing
country. In West Asia and Middle East Basmati rice is favorite and India is the major
supplier in this category.
Through rice is cultivated largely in Asia its export mostly originates from other
continents. Major Rice exporters are Thailand, United States, Pakistan, Vietnam, India,
Italy, Uruguay, Australia, China and Argentina.
The Western countries are not major producers, but at the same time their consumption is
negligible. Thus, a significant portion of their produce is exported.

Challenges Faced By the Industry


Major issues on rice production over the world commonly reported, as follows:
1. Low temperature
Low temperature is the greatest concern of rice growers in the temperate regions. Although
farmers have tried to deploy varieties with tolerance to low temperature and recommended
cultural practices, such as planting date and water depth during panicle development, rice crops
still suffer from poor establishment and high grain sterility, due to variable climate every year.
2. Water problems

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Water is the primary factor determining the success of the rice crop. Wetlands have been widely
exploited for rice production in many parts of the world. Many problems relating to this matter
are well known: water efficiency, water quality.
3. Land constraints
Fast urbanization, industrialization and the demographic pressure have encouraged farmers to
exploit marginal lands for increased rice production to meet their familys demand. Therefore,
acid soils, tidal land, forest lands etc., have been reclaimed and brought under cultivation,
thereby limiting crop yield potential. In intensive irrigated rice farming systems, the major soil
problems include change in soil characteristics, soil mining affects and soil pollution.
4. Biotic stresses
In the humid topics, the introduction of semi-dwarf-stature varieties and the large use of nitrogen
fertilizers and insecticides have changed the status of pests from low to high related to the
economic importance in rice production. It was reported the serious incidence of insects such as
brown plant hoppers, stem borers, leaf folders, etc. And diseases such as blast, bacterial blight,
sheath rot. The short growth duration of modern rice varieties has modified existing cropping
patterns and increased farming intensity from single crop to double or triple crops, thereby
inducing a favorable environment for insect pests and pathogen multiplication.
1. Improvement of rice Yield
Productivity of rice does not only vary between one country and another, but also within the
same country based on the different agro-ecological zones and production systems used. The gap
between the farmers yield and those obtained by research stations is still large, even though
some reduction has been reported recently. This indicates the various limiting factors affecting
rice productivity and production, ranging from land development, production and marketing.
2. Rice quality
Rice consumption has increased in Europe, America and Africa as a result of food diversification
and immigration (North America and European Union). Recently, the demand for long grain and
aromatic rice has been increasing in North America and EU, resulting in a significant change in
rice-planted areas. Many long grain varieties have been developed for temperate conditions,
particularly under frequent low night temperature, where grain quality still needs to be improved

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Milling yield and cooking quality and processing characteristics need further studies.
Harmonization of analytical method for grain quality at national and international laboratories
should be encouraged.
3. Decline in investments for increased rice production
Water control was the main factor necessary to increase the rice production and productivity in
Asia during the Green Revolution, but in investment for the development of irrigation
infrastructure in many developing countries have taken place, thereby affecting the growth of
rice production as well as productivity.
4. High costs of rice production
High labor cost, mechanization, the use of chemical inputs and slow increase in grain yield
contributed to high cost of rice production in irrigated rice, especially in developed countries.
The cost of rice production was around US$ 400/ ton in France (Cambon, 1995) and US$ 166ton
in the USA (Saint and Zeigler, 1990). Subsidy has become the national policy in many countries.
The worlds price of rice declined import of rice from China, Indonesia, Philippines, etc. and the
occurrence of flooding and drought in these countries.
5. Rice information
One of the most effective means to promote the flow of agricultural information over the world
is the modern computerized communication facilities, which allow gathering, disseminating, and
facilitating interaction and exchange of such information among a large number of people and
institutions working in the same field. Obviously, it still needs to have initiative, coordination
and leadership in this regard.

National scenario
India is an important center of rice cultivation. The rice harvesting area in India is the worlds
largest. Rice is grown in many regions across India. For about 65% of the people living in India,
rice is a staple food for them. Rice is essential to life in India. It is a part of nearly every meal,
and it is grown on a majority of the rural farms. Worldwide, India stands first in rice area and
second in rice production, after China. It contributes 21.5 percent of global rice production.
Within the country, rice occupies one-quarter of the total cropped area, contributes about 40 to 43

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percent of total food grain production and continues to play a vital role in the national food and
livelihood security system. However, India did not become a major rice exporting country for a
long time. Its share in world rice trade, mainly in the form of small-volume exports of highly
prized basmati rice, was insignificant (5 percent). It was not until the mid-1980s that the
quantum of export started to grow, from 110000 tons in 1978/79 to 890613 tons in 1994/95 and
to a record 5.5 million tons in 1995/96, second only to Thailand (at 5.9 million tons).
The regions cultivating this crop in India is distinguished as the western coastal strip, the eastern
coastal strip, covering all the primary deltas, Assam plains and surrounding low hills, foothills
and Terai region- along the Himalayas and states like West Bengal, Bihar, eastern Uttar Pradesh,
eastern Madhya Pradesh, northern Andhra Pradesh and Orissa. India, being a land of eternal
growing season, and the deltas of Kaveri River, Krishna River, Godavari River and Mahanadi
River with a thick set-up of canal irrigation, permits farmers to raise two, and in some pockets,
even three crops a year. Irrigation has made even three crops a year possible. Irrigation has made
it feasible even for Punjab and Haryana, known for their baked climate, to grow rice. They even
export their excess to other states. Punjab and Haryana grow prized rice for export purposes. The
hilly terraced fields from Kashmir to Assam are idyllically suited for rice farming, with age-old
hill irrigational conveniences. High yielding kinds, enhanced planting methods, promised
irrigation water supply and mounting use of fertilizers have together led to beneficial and quick
results. It is the rain fed area that cuts down average yields per hectare.
Diversity of food crops of India should be ascertained according to the factors of temperature,
rainfall and soil. Paddy. Wheat, millets and pulses are the major food crops in India. India is the
major producer of agro commodities in the world. Since independence the food grain portion in
India has increased almost four-time. India rank first in the production of tea and sugarcane, and
second in rice, milk, and vegetable production. Rice is the staple food of India and more than
90% of the people in southern part to India consume rice as their main food. Rice is the main
food of Kerala.

At least in every house of Kerala rice is being consumed twice a day. The

average production of paddy in Kerala is established by the govt. at 20 MT , out of which 30% is
being produced in kuttanad and Palakkad.
Paddy

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Paddy is the most important food crops of India. India stands in the second production of paddy.
Geographical requirements
Temperature 16c to-20c of temperature in the early stages of growth. 18c to 32c of temperature is
essential during the harvesting period.
Rainfall
Paddy is the cultivated places where rainfall is between 150cm to 300cm. if irrigation facilities
are available, paddy can be cultivated in places where the rainfall is low.

Soil
Even though paddy can be cultivated in the variety of soils, alluvial soil is the most suited for its
cultivation.
Some important fact about rice in Indian Scenario:
Agriculture is the main source of income for families in India. Farms cover over half
the land and almost three-quarters of that land is used to grow the two major grains:
rice and wheat.
India is the second leading producer of rice in the entire world, preceding only by
China
Indias annual rice production is around 85-90 million tons. Annual

consumption is

around 85 million tons.


In India Rice is cultivated in both seasons winter and summer.
West Bengal, Uttar Pradesh, Andhra Pradesh, Punjab, Tamil Nadu, Bihar, Orissa,
Assam, Karnataka and Haryana are the major producing states. More than 50%of total
production comes from the first four states.
Food Corporation of India purchases around 20 to 25% of the total rice production in
the country both under levy from the rice mills and directly in the form of paddy from
the farmers at Minimum Support Price announced by the Govt.
More than 4000 varieties of rice are grown in India.

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India is the worlds largest exporter of basmati rice to Saudi Arabia and other Middle
East Countries, Europe and the United States.
India has the potential to export one million tons of basmati rice.
Major destinations of Indian non-basmati, white/parboiled rice are Bangladesh,
Indonesia, Philippines, Nigeria, South Africa, Ivory Coast and other African countries.

State scenario
Paddy is cultivated in almost all districts in Kerala. Rice production has experienced continuous
decline in area over 2 decades, rice production touched its of around 14lakhtons in the midseventies. Even at its peak level internal production was hardly sufficient to meet 50 per cent of
states requirement. Consequent to the enormous pressure which high value crops like Coconut,
Banana, Pineapple and rubber have exerted area under paddy has declined from its peak
coverage of 8.81 lack hectares in md-seventies to 3050 lack hectares in 2003-2004.
The production of rice is declining every year. This is an indication of the problems faced by the
cultivators of Kerala. If proper measures are not being taken to overcome this situation, then this
sector will be abolished from the state within no time. The main problems concerning these
cultivators are high cost of cultivation and less return for their products, the products from other
states is also affecting them adversely.
Season-wise data shows that the reduction in area under rice was entirely during the Mundakan
season whereas during Viruppu and Puncha season 2003-2004 the negative trends has been
reversed, the data also reveal that out all around 1.70lack hectares of double cropped area, nearly
50000 hectare, are remaining fallow during the Virippu season. The single cropped lands of
Kuttanad and Kole, where only one crop is raised during puncha season, also offer scope for
additional cropping. Among the three seasons, Puncha season records the highest productivity
and the trend is continuing.
In Kerala paddy production is highly concentrated in the districts of Palakkad and Alappuzha.
They are also known as rice bowls of Kerala. These 2 districts contribute 40% of total production
of rice in Kerala. At present rice cultivators are facing so many problems. The main problem is
increase in cost of production and less profit from the product sale. So many farmers are
changing their cultivation crop into other agricultural products where they get high profit and
some people are utilizing the land for constructing building and tile factories. All these practices
are affecting the industry very adversely.

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In Kerala paddy processing industry is one of the traditional industries. Earlier paddy processing
was considered as household business. As time passed,, with increase in production and
productivity of paddy , rice mills and modern lines began to flourish. With the introduction of
high yield variety crops, which in turn resulted in a massive increase in productivity led to the
emergence of middlemen in paddy business. They made bulk purchase behalf of the readers and
product were flown from production centers to trading centers. This necessitated the
establishment of rice mills on modern lines.
Exporting of rice
Among the exporting countries, Thailand, Vietnam, India and Pakistan are the major countries
exporting rice in sizeable quantity. Rice is one of the important cereal food crop of India. Rice
contributes about 43% of total food grain production and 46 % of the total cereal production in
the country. It continues to play vital role in the national exports. The percentage share of rice in
total national export was 4.5% during 1998-99. The percentage share of agriculture export in
total national export was 18.25, whereas the percentage share of rice export in total agriculture
export was 24.62 during 1998-99. Thus, rice export contributes nearly 25% of total agriculture
export from the country.

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COMPANY PROFILE
4.1 Company Profile
Chairman

Mr.N.P.George

Managing director

- Mr.N.P.Antony

HR manager

Mr. Roy

Marketing manager

Mr. Laji Varghese

Finance manager

- Mr. Vinod

Operations manager

Mr. Shaju Francis

Production manager

Mr. Manoj

Pavizham is the generic name of rice & rice products produced by 14 individual industries
located in about 50 acres at Aimury in koovappady village. Various varieties of rice & rice
products come out of these factories day in and out. The marketing arm of these companies is
Pavizham Healthier (Pvt) Ltd., Apart from rice & rice products the company also markets
Tamarind, salt, coconut oil ,rice bran oil etc.. These units are owned by various members of the
Nambiyattukudy family and the current patriarch Mr. NP George is referred as chairman and his
brother NP Antony as MD. Their father late Mr. Pappachan entered into conventional rice milling
in early eighties, and before he could witness the modern rice mill he had established operational
he departed to heaven. The brothers thereafter jointly along with their mother and other members
of family built up the rice milling empire as the people see now. Innovating ideas,
uncompromising stand on quality, a humanistic approach based on Christian values has over the
years seen the various units flourishing and prospering. Modern milling machinery imported

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from china, a co-gen power plant, a waste water treatment plant based on CSIR technology make
the mills unique. Company is a pioneer in various value addition option for rice &its by
products.
They are being treated as the provider of the traditional taste of Kerala due to its superior quality
and affordable price. High Nutritional value sortex rice and rice products are being
manufacturing using high end technology to meet our customers needs.
The rice & rice products of the company reaches the Malaya lees not only in their home state,
but wherever they are be it in US, Europe or Africa. The marketing network of the company is
elaborate as it service over 3000 retails spread all over the state through its own vehicle fleet and
a dealer network for metros like Bombay & Delhi.
Nambiyattukudy group is one among the several industrials groups came up in the last decade of
the twentieth century and is now considered to be the premier manufactures of rice and rice
products in the State of Kerala with six independent units for the manufacture for rice. There are
no other industrial groups in the state with the production capacity as that of Nambiyattukudy
groups. In addition to that there are five more units under the same group manufacturing various
other products. The following are the industrial units under the same management.

Table 2 Industrial units

Nambiyattukudy rice mill

Rice

1995

Koovappady

Nambiyattukudy Ago mills

Rice

1998

Koovappady

Ago Rice

1998

Koovappady

& Rice

2001

Koovappady

2001

Koovappady

Nambiyattukudy
Industries
Nambiyattukudy

food

spices
Star food industries

Beaten rice

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Godwin food products

rice powers

Pavizham Healthier Diet pvt. Marketing

2002

Koovappady

2004

Koovappady

Ltd
Vision statement- pavizham group

To make the pavizhamgroupthe largest supplier of grain, pulses, culinary and instant

foods in the country


To ensure the availability of all the pavizham products all over the world to the best of

customer delight
To have the best professional work force in pavizham group with positive

Pavizham group- mission statement

To achieve supply to 3500 retail outlets in Kerala


To ensure presence of pavizham products

Corporate Objectives of the Company

To build lasting relationships with customers based on trust and mutual benefit.
To uphold highest ethical standards in conduct of our business. To create and nurture a

culture that supports flexibility, learning and is proactive to change.


To chart a challenging career for employees with opportunities for advancement and

rewards.
To value the opportunity and responsibility to make a meaningful difference in people's

lives.
To maintain the Quality of the product.

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PRODUCT PROFILE
Products marketing
Nambiyattukudy Group is marketing their products under the brand name `PAVIZHAM' which is
well accepted by the consumers in the market. Now this venture has a very strong, result
oriented, dynamic and target achieving marketing wing under the direct supervision of Mr. N.P.
George and Mr. N.P. Antony.
Today, the Pavizham products has become the numerous units in this segment. This position has
been achieved through the hard work of our Production as well as the enthusiastic marketing
strategies of their Marketing Team. In Kerala, their products have been top sellers in the Districts
of Trivandrum, Quilon, Pathanamthitta, Alleppey, Kottayam, Idukki, Ernakulum and Kozhikode.
While there has been significant increase in the sakes, turnover in other Districts of Kerala and
even in the neighboring States of Tamil Nadu and Karnataka, the turnover in the nine Districts
mentioned has been at an all time high. They wish to not only become the top sellers in the other
districts too but at the same time affect further increase in sales in the nine districts also. They are
aware that all major rice dealers in the above Districts are getting rice from the Nambiyattukudy
Group because of the superior quality maintained for the products throughout the year to meet
the required standard of the consumers. The management plans to still increase the quality of the
products in order to attract the best client who deals in rice and rice products. Simultaneously, the
Group also intends to bring in new technology and new Machines for the processing of paddy
and hulling of boiled paddy, thereby keeping the Vitamin contents in rice.
They are aware that in these days when the consumers tend to look for more quality even if it be
at a little higher price, the scope to excel in providing to the consumer the best quality of
products impels us to continue our onward march to realize our true potential. In this quest they
seek the camaraderie and comradeship of discerning and result oriented Dealers in all areas.
They are looking for such Dealers who, imbibed with the best professional values, also putting
shoulder to shoulder with them, take the Pavizham Brand the most sought after brand in this
segment.
Product profile

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Product profile
They are manufacturing mainly four type of rice, which is having a better demand from the
consumers both in Kerala and international market. They are known as Long Grain Matta Rice,
small Grain Matta Rice, Long grain white rice and small grain white rice. The detailed
specifications of the various products manufactured by us are as follows.

Table 3
List of products
Sl. No
1
2.
3.
4.

Products
Long Grain Matta Rice(Vadi)
Small Grain Matta Rice (Unda)
Long Grain White Rice (Jaya)
Small Grain White Rice (Kranti)

5.
6.
7.
8.
9.
10.
11.
12.
13.
14.

Beaten Rice Or Rice Flakes


Rice Powder
Puttupodi
Champaputtupodi
Appam, Pathiri, Idiyappampodi
Palappampodi
Idlipodi
Roast Aval
Palada
Rice Bran Oil

1. Long grain matta rice (vadi)


This product is known as Vadiyari in Malayalam. As the name indicates, the product is long
and thin with rose color and is very much liked by the Malaya lees. This rice contains more
vitamins and more starch. The cooking of this variety of rice will take more time and is very
tasty.
The cooking time can be reduced by suitably processing the paddy during boiling. This rice is
manufactured out of paddy cultivated mainly in Palakkad district. The product is prepared

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according to the specification of each customer. This rice also used for marketing PAYASAM
and also used for marketing PRASADOM in temples.

2. Small grain matta rice (unda)


This product is known as undayari in Malayalam. As indicate by the name, the product is short
with rose color but thick when compared to the former variety and is also very much liked by the
Malaya lees.
This rice also contain more Vitamins and more starch similar to the previous variety. The
cooking of this rice will take lesser time compared to the former one. The cooking time can be
still reduced by suitably processing the paddy during boiling. This rice is manufactured out of
paddy cultivated mainly in Kuttanad areas. The product is prepared according to the specification
of each customer. This rice has got a white belly and is preferred by households.
3. Long grain white rice(jaya)
This product is known as jayayari in Malayalam. This product is long and thin similar to the
first variety of rice but is having a white color. Unlike the first two varieties, this products
contains jess Vitamins and less starch when compared to the previous varieties. The cooking of
this will take less time and very soft.
For this reason, it is easy for human consumption and easily digested. The cooking time can be
either increased or reduced by suitably processing the paddy during boiling. The product is
prepared according to the specification of each customer. This rice is manufactured out of paddy
cultivated manly in the state Karnataka and Tamilnadu.
4. Small grain white rice (kranti)
This product is known as Krantiyari in Malayalam. This product is similar to the small matta
rice (undayari) with the only differentiation in color. This is white in color similar to the Jaya
rice. This variety of rice is available throughout the entire country. The paddy required for the
production of this rice is cultivated in almost all the state.

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MARIAN ACADEMY OF MANAGEMENT STUDIES

This can be cooked very fast and is very late and soft for the stomach. For this reason, it is easy
for human consumption and easily digested. The cooking time can be either increased or reduced
by suitably processing the paddy during boiling. The product is prepared according to the
specifications of each customer.
5. Beaten rice or rice flakes
This product is known as Avil in Malayalam. The patty soaked in hot water and is roasted
using steam and when it is sufficiently roasted, the roasted paddy is taken to the rice flakes
machine to make the product. The product is roasted once again to increase the life and also to
make better in taste. This are packed in plastic bags and are sealed to maintain the quality of the
product until it is consumed. The product has become vary dearer within a short span of time.
The product is prepared to according to the specification of each customer.
6. Rice powder
This product is known as Arippodi in Malayalam. The rice is soaked in water and is powdered
using the pulverize machine. The powdered product is graded according to the fineness and used
for making different dishes like Appam, idly, Dosai, Puttu etc. the rice powder is roasted to
preserve it for longer period. When it is sufficiently roasted, it is allowed to cool. These are
packed in plastic bags and are sealed to maintain the quality of product unit it is consumed. The
product has become very dearer within a short span of time. The recipes of each products are
printed on the plastic bags in order to help the users to cook the different dishes very fast.
7. PuttuPodi
Makes soft, easy Puttu, one of the best breakfast in the world. It is a great healthy food rich in
natural nutrients, steam cooked and oil free. The appetizing aroma of the delicious, natural taste
of

the rice that wafts through the hot steaming puttu is sheer delight. Tastes heavenly when
complemented with curry, pappads or bananas.
8. ChampaPuttuPodi
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Powdered brown rice to make soft and tasty ChampaPuttu with a temptingly delicious aroma,
flavor and color. Rice in natural nutrients, vitamins and fiber, this steam cooked, oil free delicacy
is the sheer goodness of natural taste complemented with healthy nourishment. Savor it with
curry ,pappads or bannans..its definitely something to feast on.
9. Appam, Pathiri, IdiyappamPodi
Made with the finest quality rice, it is the delicious natural goodness and taste makes it perfect
for tasty pathiris that melt in your mouth, delicious Appams that are temptingly appetizing and
yummy Idiyappams that are simply irresistible to devour. Simple to prepare, rich in nourishments
and oil free, it is absolutely healthy too.
10. PalappamPodi
Makes mouth-watering Palappam .prepared with coconut milk to complete the succulence of
soft centredPalappam, laced with crispy edges. Relish the delicacy with curry or sweetened
coconut milk. Rich in taste and natural nourishment, its simply a treat for your taste buds.
11. IdliPodi
Makes soft, delicious Idlis. A traditional favourite that divinely delicious, the enticing aroma and
the melt- in-mouth succulence of hot steaming Idlis are pure delight. Relish the heavenly nature
taste by complementing with chutneys and hot spicy sambar.
12. Roast Aval
The paddy soaked in hot water and is roasted using steam and when it is sufficiently roasted, the
roasted paddy is taken to the rice flakes machine to make the product. The product is roasted
once again to increase the life and also to make it better in taste. The product has become very
dearer within a short span of time.

13 .Palada
This product is processed adopting traditional formula, through automatic equipments. They are
dried as a complete protein rich fat free food. Ingredients: fine quality rice only. This is sufficient
to make 25 cups tasty payasam.

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14. Rice Bran Oil


Pavizham rice bran is a rice grain derivative, popularly acclaimed as the Heart oil. It is a total
healthy, nutritive oil as it comprise a unique and optimum combination of mono saturated, poly
saturated fatty acids that are potent cholesterol reducers, which prevents heart diseases and the
powerful antioxidants regulates the body metabolism, turning down the ageing process.
The company has an estimated capital of rs.35 crores and the capital structure consists of the
promoters contribution, friends and families contribution and also the accumulated profit will be
contributed to the capital. The company has an ISO certification of 22000-2005.
Competitors OfPavizham

Nirapara
Double horse

Nirapara
The K.K.R group was set up in 1976 by Mr. K.K. Karnan, a man who set out with the vision to
bring quality rice into the traditional homes of Kerala in South India. A venture which started out
with traditional method of boiling, sun drying and milling, grew into one of the most modern rice
processing houses in India with the latest world-Class technology today. KKR Mills boasts of a
state-of the-art plant with the highest levels of technology in the world, ensuring products that
meet the most stringent quality and hygienic standards. . The factory of K.K.R Mills is located in
green, pollution-free Okkal Township, near Kochi in Kerala in South India.
Double horse

Good food, for all. The thought inspired our Founder, respected Late M. O. John a visionary, a
humanitarian and a businessman whose ideas were way of ahead of times. The Founder General
Secretary of Kerala VyaparaVyavasayiEkopnanaSamithi, the largest organization of business
owners in Kerala and the President of Chamber of Commerce, Thrissur, his entrepreneurial skills
made him a leader of his times, and his brand the leader for more than 50 years.

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Manjilas, the mother brand of Double Horse, was founded in the year 1959, as a rice milling
company selling high-quality rice grains. The brand, on the strength of its commitment to deliver
only the best to its customers has witnessed a phenomenal growth over the years. It
revolutionized the food sector in Kerala becoming the first ISO 9001:2000 certified Rice Mill in
the state and the first food brand to introduce sortex rice, stoneless rice and colour grading.
Inspired by the support of its customers and foreseeing the potential for traditional food thats
made easy to suit todays busy, modern lifestyle, Manjilas Double Horse started introducing
products- from rice powders- breakfast mixes to instant mixes, wheat products, curry powders
and condiments made using Perfect Blend technology, naturally preserved pickles, health
foods, ready-to-cook & ready-to-eat products, traditional preserves, coconut products and more;
and is dedicatedly developing new and innovative product ranges, to keep up with its promise to
deliver good food and in turn, inculcate a healthy eating habit.
Today, Manjilas Double Horse offers its customers the widest variety of good food with more
than 20 superior types of rice and 100 premium quality food products in different ranges.

Future plans
The company has strong future vision statement always flying ahead. Management of
company is very efficient by realizing the importance of development they have planned or a
great future. The following are some of the future plans of the co.
a. Pavizham ICE village
ICE- information, communication and entertainment
This is one of the big projects that the co. is planning to do next. It consist of built up area of
200,000 sqfts for its services, BPOs, & KPOs 100,000 sqfts for communication technologies ,
both electronic and print media. 100,000 sqfts multiplexes, built-up residential flats for the park
user and beneficiaries in 150,,000 sqfts, parking areas, gardens etc. in 50,000 sq ft. It also consist
of the following.

Swimming pools
Auditoriums

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Games park
Mini casinos

B.Pavizham star mart


This is the concept of supermarket. The co. is planningtostart a supermarket by name
pavizhamstarmart. Company will provide both financial assistance & product to those who are
interested in this venture.

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CHAPTER 3

GENERAL MANAGEMENT PRINCIPLES

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Organization and Departmentation


Organizing is the act of rearranging elements following one or more rules. Anything is
commonly considered organized when it looks like everything has a correct order or placement.
But it's only ultimately organized if any element has no difference on time taken to find it. In that
sense, organizing can also be defined as to place different objects in logical arrangement for
better searching.
Concepts of Organizing
The working relationships vertical and horizontal associations between individuals and
groups that exist within an organization affect how its activities are accomplished and
coordinated. Effective organizing depends on the mastery of several important concepts: work
specialization, chain of command, authority, delegation, span of control, and centralization
versus decentralization. Many of these concepts are based on the principles developed by Henri
Fayol.
Work specialization
One popular organizational concept is based on the fundamental principle that employees can
work more efficiently if they're allowed to specialize. Work specialization, sometimes called
division of labor, is the degree to which organizational tasks are divided into separate jobs.
Employees within each department perform only the tasks related to their specialized function.
When specialization is extensive, employees specialize in a single task, such as running a
particular machine in a factory assembly line. Jobs tend to be small, but workers can perform
them efficiently. By contrast, if a single factory employee built an entire automobile or
performed a large number of unrelated jobs in a bottling plant, the results would be inefficient.
Despite the apparent advantages of specialization, many organizations are moving away from
this principle. With too much specialization, employees are isolated and perform only small,
narrow, boring tasks. In addition, if that person leaves the company, his specialized knowledge

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may disappear as well. Many companies are enlarging jobs to provide greater challenges and
creating teams so that employees can rotate among several jobs.
Chain of command
The chain of command is an unbroken line of authority that links all persons in an organization
and defines who reports to whom. This chain has two underlying principles: unity of command
and scalar principle.
Unity of command: This principle states that an employee should have one and only one
supervisor to whom he or she is directly responsible. No employee should report to two or more
people. Otherwise, the employee may receive conflicting demands or priorities from several
supervisors at once, placing this employee in a nowin situation.
Sometimes, however, an organization deliberately breaks the chain of command, such as when a
project team is created to work on a special project. In such cases, team members report to their
immediate supervisor and also to a team project leader. Another example is when a sales
representative reports to both an immediate district supervisor and a marketing specialist, who is
coordinating the introduction of a new product, in the home office.
Nevertheless, these examples are exceptions to the rule. They happen under special
circumstances and usually only within a special type of employee group. For the most part,
however, when allocating tasks to individuals or grouping assignments, management should
ensure that each has one boss, and only one boss, to whom he or she directly reports.
Scalar principle: The scalar principle refers to a clearly defined line of authority that includes
all employees in the organization. The classical school of management suggests that there should
be a clear and unbroken chain of command linking every person in the organization with
successively higher levels of authority up to and including the top manager. When organizations
grow in size, they tend to get taller, as more and more levels of management are added. This
increases overhead costs, adds more communication layers, and impacts understanding and

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access between top and bottom levels. It can greatly slow decision making and can lead to a loss
of contact with the client or customer.
Span of control
Span of control (sometimes called span of management) refers to the number of workers who
report to one manager. For hundreds of years, theorists have searched for an ideal span of
control. When no perfect number of subordinates for a manager to supervise became apparent,
they turned their attention to the more general issue of whether the span should be wide or
narrow.
A wide span of management exists when a manager has a large number of subordinates.
Generally, the span of control may be wide when

The manager and the subordinates are very competent.

The organization has a wellestablished set of standard operating procedures.

Few new problems are anticipated.


A narrow span of management exists when the manager has only a few subordinates. The span
should be narrow when

Workers are located far from one another physically.

The manager has a lot of work to do in addition to supervising workers.

A great deal of interaction is required between supervisor and workers.

New problems arise frequently.


Keep in mind that the span of management may change from one department to another within
the same organization.

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The general pattern of authority throughout an organization determines the extent to which that
organization is centralized or decentralized.
A centralized organization systematically works to concentrate authority at the upper levels. In a
decentralized organization, management consciously attempts to spread authority to the lower
organization levels.
A variety of factors can influence the extent to which a firm is centralized or decentralized. The
following is a list of possible determinants:

The external environment in which the firm operates. The more complex and
unpredictable this environment, the more likely it is that top management will let lowlevel
managers make important decisions. After all, lowlevel managers are closer to the problems
because they are more likely to have direct contact with customers and workers. Therefore,
they are in a better position to determine problems and concerns.

The nature of the decision itself. The riskier or the more important the decision, the greater
the tendency to centralize decision making.

The abilities of lowlevel managers. If these managers do not have strong decisionmaking
skills, top managers will be reluctant to decentralize. Strong lowlevel decisionmaking skills
encourage decentralization.

The organization's tradition of management. An organization that has traditionally


practiced centralization or decentralization is likely to maintain that posture in the future.

In principle, neither philosophy is right or wrong. What works for one organization may or may
not work for another. Kmart Corporation and McDonald's have both been very successful
both practice centralization. By the same token, decentralization has worked very well for
General Electric and Sears. Every organization must assess its own situation and then choose the
level of centralization or decentralization that works best.

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Nature of organization
The following are the important characteristics of organization.
Specialization and division of work
The entire philosophy of organization is centered on the concepts of specialization and division
of work. The division of work is assigning responsibility for each organizational component to a
specific individual or group thereof. It becomes specialization when the responsibility for a
specific task lies with a designated expert in that field. The efforts of the operatives are
coordinated to allow the process at hand to function correctly. Certain operatives occupy
positions of management at various points in the process to ensure coordination.
Orientation towards goals
Every organization has its own purposes and objectives. Organizing is the function employed to
achieve the overall goals of the organization. Organization harmonizes the individual goals of
the employees with overall objectives of the firm.
Composition of individuals and groups
Individuals form a group and the groups form an organization. Thus, organization is the
composition of individual and groups. Individuals are grouped into departments and their work
is coordinated and directed towards organizational goals.
Differentiated functions
The organization divides the entire work and assigns the tasks to individuals in order to achieve
the organizational objectives; each one has to perform a different task and tasks of one
individual must be coordinated with the tasks of others. Collecting these tasks at the final stage
is called integration.

Continuity

An organization is a group of people with a defined relationship in which they work together to
achieve the goals of that organization. This relationship does not come to end after completing
each task. Organization is a never ending process.

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Concepts Of Organizations
There are certain concepts which are frequently used in studying, analyzing and evaluating the
functioning of organizations. Concepts like rationality, effectiveness and efficiency are used in
relation to the activities of organizations. In this section, the meaning of these frequently used
concepts and their implication for organizations and their administration will be discussed.
Rationality
Rationality is one of the most frequently-used key concepts in the study, evaluation and analysis
of organizations and their administration. In general, rationality is related to decision-making and
choice.
According to Pfeiffer, rationality is one of the vital theoretical aspects of decision making.
Rationality is defined as the capacity of man to make choices based upon conscious deliberation
about the means selected to achieve specified ends (Pfeiffer and Presthus, 1967). The above
definition clearly

indicates that rationality and being rational are taken as a human ability and

generally, it is related to decision making. Decisions and actions of the individuals will be
considered as rational to the extent they have the following characteristics:1) Decision or action
should be taken deliberately and consciously, that is, the individual should be aware of what
he/she is doing and intending to accomplish. (2) Since there are usually various alternatives and
means to accomplish the very same objective, there should be an effort to identify the set of
alternatives and various means to achieve them. (3) The decision should be directed to the search
of finding the best available means, and this search must be based on logical reasoning and
scientific knowledge. (4) There should be a deliberate attempt to recognize or find out to what
extent emotions, habits, beliefs and interest enter into the process of choice.

Effectiveness

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Effectiveness is not a simple issue, because organizations in general do not have a single goal.
The basic difficulty in analyzing effectiveness is the fact of multiple and often conflicting goals
in many organizations. Effectiveness in one set of goals may lead to ineffectiveness in another.
Efficiency
The concept of efficiency is generally used as a synonym for rationality and it is used in the
meaning of economy, reducing the expenditures. Efficiency is defined as the

amount of

resources used to produce a unit of output. In this sense, efficiency is directly related to how an
organization uses its resources in the production of goods or services. If we can measure an
organizations inputs and outputs, such a concept of efficiency is both very useful and relevant in
the operation and evaluation of organizations.
Departmentalization.
Dividing an organization at the most general level into large and then into smaller units is usually
called departmentalization. Departmentalization is the process through which departments,
divisions, units and sub-units are established in the organization. As has been indicated above,
goal accomplishment with the contribution of hundreds of individuals requires a division of
labour among the individuals. When the overall work is divided into small components and each
component is assigned to individuals and groups, then there arises the need to establish
meaningful relations among the components. That is, the components that are related to each
other have to be brought together and placed under a common authority for facilitating goal
accomplishment. Departmentalization refers to the process of grouping the components and
relating them to each other. According to one of the prominent scholars (Gullick, 1947) there are
several criteria to be employed in departmentalization, such as:

The major purpose to be served.


The processes to be used.
The persons or things served or dealt with.

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The place where the activities will take place


The basic idea is to combine homogenous activities and units and separate heterogeneous ones.
Each one of the above criteria has its advantages and disadvantages, and it is not possible to
single out one of them and then say this is the single principle of effective departmentalization.
Each one of the above mentioned system of organization is intimately related with the others,
because in any organization, all four elements are present in the work of an individual or unit.
Each member and unit of the organization is working for some major purpose, uses some
process, deals with some persons, and serves or works at some place. If an organization is
structured on the basis of the one of the above, it becomes immediately necessary to recognize
the others in constructing the secondary and other divisions of the work
Importance
Specification: Departmentation helps to grow specification in various activities which leads to
improving the efficiency of operation.
Feeling of autonomy: Departmentation gives independent charges to managers. The feeling of
independence provides satisfaction and in turn increases their responsibilities and efficiency.
Fixation of responsibility: Through departmentation, responsibilities of the work can be
precisely and accurately fixed. The authority and responsibility of each department is defined
precisely.
Development of Management: The managers of each department perform specialized
functions. They take independent decision and develop themselves for higher positions.
Departmentationfacilitates the development of managerial personnel by providing them
opportunities for exercising initiatives.

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Facility in Appraisal: Since the managers perform specified jobs, their performance appraisals
become easier. Departmentation facilitates administrative control as standards of performance
are laid down separately for each department.
Budget Preparation: It makes the preparation of budget for departments easier as well as for the
organization as a whole easier.
Proper Supervision: As the authority for making decisions is diffused to the managers of the
departments and works are assigned to each individual department wise, supervision and control
become easier.
Process and structure of organization.
Functional Structure
The organization is divided into segments based on the functions when managing. This allows
the organization to enhance the efficiencies of these functional groups. As an example, take a
software company.
Software engineers will only staff the entire software development department. This way,
management of this functional group becomes easy and effective.
Functional structures appear to be successful in large organization that produces high volumes of
products at low costs. The low cost can be achieved by such companies due to the efficiencies
within functional groups.
In addition to such advantages, there can be disadvantage from an organizational perspective if
the communication between the functional groups is not effective. In this case, organization may
find it difficult to achieve some organizational objectives at the end.
Chart 1

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Divisional Structure
These types of organizations divide the functional areas of the organization to divisions. Each
division is equipped with its own resources in order to function independently. There can be
many bases to define divisions. Divisions can be defined based on the geographical basis,
products / services basis, or any other measurement.
As an example, take a company such as General Electrics. It can have microwave division,
turbine division, etc., and these divisions have their own marketing teams, finance teams etc. In
that sense, each division can be considered as a micro-company with the main organization.

Chart 2

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Matrix Structure
When it comes to matrix structure, the organization places the employees based on the function
and the product.
The matrix structure gives the best of the both worlds of functional and divisional structures.
In this type of an organization, the company uses teams to complete tasks. The teams are formed
based on the functions they belong to (ex: software engineers) and product they involved in (ex:
Project A).
This way, there are many teams in this organization such as software engineers of project A,
software engineers of project B, QA engineers of project A, etc.

Chart 3

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Line and staff


In organizations there may be a single individual at the top of the organization who is responsible
for the organization as a whole. But, usually, the man at the top is not alone, because there is a
group of individuals to assist him in his administrative functions. This group is usually called,
the staff. Originally the concept of staff comes from military organizations; commanding
officers of large units are provided with a group of specialized officers to assist them in planning
and appraising important decisions. The same idea has been transferred to civilian organizations,
and in complex, large scale organizations chief executives are aided by staff. In this sense, the
staff is identified as a group of individuals giving advice to the executive. The staff generally is
concerned with two types of work:(1) Overall long-range

developmental problems of the

organization; developing new products, or more efficient methods of production; improving the
services rendered; making projections and forecasts for the future. (2) Assisting the manager in
complex, non-routine, or emergency situations which require specialized knowledge and careful
analysis for decisions.

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2.7 Types of organization


1. sole traders
2. partnerships
3. companies
The sole trader
The sole trader is the most common form of business ownership and is found in a wide range of
activities (e.g. window cleaning, plumbing, electrical work, busking). In the UK about 20 percent
of sole traders operate in the construction industry, a further 20 percent in retailing, and about 10
percent

in

finance,

and

10

percent

in

catering.

No complicated paperwork is required to set up a sole trader business. Decisions can be made
quickly and close contact can be kept with customers and employees. All profits go to the sole
trader, who also has the satisfaction of building up his or her own business.
But there are disadvantages. As a sole trader you have to make all the decisions yourself, and you
may have to work long hours (what do you do if you are ill or want a holiday?) You do not have
limited liability, and you have to provide all the finance yourself. As a sole trader you need to be
a jack-of-all-trades, and just because you are a good hairdresser does not necessarily mean you
have a head for business strategy.
The partnership
An ordinary partnership can have between two and twenty partners. However, the Partnership
Act of 2002 has made it legal for some forms of partnership e.g. big accountancy firms to have
more partners who also enjoy limited liability. People in business partnerships can share skills
and the workload, and it may be easier to raise the capital needed. For example, a group of
doctors are able to pool knowledge about different diseases, and two or three doctors working
together may be able to operate a 24 hour service. When one of the doctors is ill or goes on
holiday, the business can cope.

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Partnerships are usually set up by writing out a deed of partnership which is witnessed by a
solicitor and sets out the important details such as how the profits and losses will be shared.
Partnerships are particularly common in professional services e.g. accountants, solicitors, vets.
Companies
A company is owned by shareholders who appoint Directors to give direction to the business.
The Chief Executive is the senior official within the company with responsibility for making
major decisions. Specialist managers will be appointed to run the company on behalf of the
Board.
A company is a legal body in its own right with an existence that is separate in law from its
owners. The company will thus be sued and can sue in its own name.
Shareholders put funds into the company by buying shares. New shares are often sold in face
values of 1 per share but this does not have to be the case.
Limited liability is a form of business protection for company shareholders (and some limited
partners). For these individuals the maximums sum they can lose from a business venture which
they have contributed going bust is the sum of money that they have invested in the company this is the limit of their liability.
Every company must register with the Registrar of Companies, and must have an official
address.
Private companies have Ltd after their name. They are typically smaller than public companies
although some like Portakabin and Mars are very large. Shares in a private company can only be
bought and sold with permission of the Board of Directors. Shareholders have limited liability.
A public company like Cadbury-Schweppes or BT can sell shares to the public and to financial
institutions and have their shares traded on the Stock Exchange. The main advantage is that large
amounts of capital can be raised very quickly. One disadvantage is that control of a business can
be lost by the original shareholders if large quantities of shares are purchased as part of a
takeover bid. In order to create a public company the directors must apply to the Stock Exchange
Council, which will carefully check the accounts.

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Private Limited Company


A private limited company is a voluntary association of not less than two and not more than fifty
members, whose liability is limited, the transfer of whose shares is limited to its members and
who is not allowed to invite the general public to subscribe to its shares or debentures. Its main
features are:It has an independent legal existence. The Indian Companies Act, 1956contains the provisions
regarding the legal formalities for setting up of a private limited company. Registrars of
Companies (ROC) appointed under the Companies Act covering the various States and Union
Territories are vested with the primary duty of registering
Companies floated in the respective states and the Union Territories.
It is relatively less cumbersome to organize and operate it as it has been exempted from many
regulations and restrictions to which a public limited company is subjected to. Some of them
are:o It need not file a prospectus with the Registrar
o It need not obtain the Certificate for Commencement of business.
o It need not hold the statutory general meeting nor need it file the statutory report.
o restrictions placed on the directors of the public limited company do not apply to
its directors

The liability of its members is limited.

The shares allotted to its members are also not freely transferable between them. These
companies are not allowed to invite public to subscribe to its shares and debentures.

It enjoys continuity of existence i.e. it continues to exist even if all its members die or
desert it.

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Hence, a private company is preferred by those who wish to take the advantage of limited
liability but at the same time desire to keep control over the business within a limited circle and
maintain the privacy of their business.
Public Limited Company
A public limited company is a voluntary association of members which is incorporated and,
therefore has a separate legal existence and the liability of whose members is limited. Its main
features are:

The company has a separate legal existence apart from its members who compose it.

Its formation, working and its winding up, in fact, all its activities are strictly governed by
laws, rules and regulations. The Indian Companies Act, 1956 contains the provisions
regarding the legal formalities for setting up of a public limited company. Registrars of
Companies (ROC) appointed under the Companies Act covering the various States and
Union Territories are vested with the primary duty of registering companies floated in the
respective states and the Union Territories.

A company must have a minimum of seven members but there is no limit as regards the
maximum number
The company collects its capital by the sale of its shares and those who buy the shares are

called the members. The amount so collected is called the share capital.

The shares of a company are freely transferable and that too without the prior consent of
other shareholders or without subsequent notice to the company.

The liability of a member of a company is limited to the face value of the shares he owns.
Once he has paid the whole of the face value, he has no obligation to contribute anything
to pay off the creditors of the company.

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The shareholders of a company do not have the right to participate in the day-to-day
management of the business of a company. This ensures separation of ownership from
management. The power of decision making in a company is vested in the Board of Directors,
and all policy decisions are taken at the Board level by the majority rule. This ensures a unity of
direction in management.
As a company is an independent legal person, its existence is not affected by the death,
retirement or insolvency of any of its shareholders.

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Organization structure
Chart 4

Chairman/Md

Board of Directors

Mgr.-production / Purchase
Mgr.- Marketing/ Sales'
Mgr. - Operations

Mgr.- Finance

Mgr.-Hr.

Regional Sales
Mgr.Coordinator
Sales
Hr.Assts
ProcurementOperation
Officer Assts
Supervisors- Cash/Billing
Dept. Finance Mgr.
Supervisor
Sales Officer

Workers

Assts

Customer Care
Sales Men

Accountants

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CHAPTER 4

DEPARTMENTAL DETAILS

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MARIAN ACADEMY OF MANAGEMENT STUDIES

DEPARTMENTS IN THE ORGANISATION

1. Human Resource Department


2. Finance Department
3. Marketing Department
4. Production Department
5. Operations Department

Human resource department


The manager of the HR department is Mr. Roy. There are two office staff and one plant HR is
working under him. Plant hr looks after the production side and others are assisting the manager
HRD. HRD at Pavizham at maintains the attendance card and each worker should sign in the
card before getting into work. One of the specialties of pavizham is, the inexistence of trade
unions and the absence of leaves to employees. Three month probation is fixed for each new
employee and also a one day training and orientation programme is offered to them. The office
hours of pavizham are from 9 am 5.30 pm. The weigh bridge and cash office are available 24
hours. A 360 degree PA is maintained in the company on a yearly basis. As a part of disciplinary
measures smoking and alcohol consumption is prohibited in the company. Direct advertisement,
screening and face to face interviews are conducted for recruitment. Grievances are handled
directly by the HRD and separate records are maintained for the same. The department structure
is as follows:

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MARIAN ACADEMY OF MANAGEMENT STUDIES

Chart 5
Human Resource Department Structure

Hr. Manager

Plant Hr.

Asst.

Asst.

Functions

To provide sufficient numbers of employment required for the company.


To employ capable persons through recruitments.
To give necessary trainings to the selected persons.
To take necessary steps to resolve grievances of employees.
To ensure employee welfare.

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1. Human Resource Planning


Human Resource Planning is the process by which a management determines how an
organization should move from its current manpower position to its desired manpower position.
It helps the Pavizham for anticipating and making provision for the movement of people into,
within, and out of an organization.
2

Job Analysis
Job analysis is the process of studying and collecting information relating to the operations and
responsibilities of a specific job. In Pavizham job analysis defines and documents the duties,
responsibilities and accountabilities of a job and the conditions under which a job is performed.

Job Description and Specification


Job description is a written record of the duties, responsibilities and requirements of a particular
job. It tells what is to be done and how it is to be done in the organization. Job specification
describes what the job demands of employees-who do it and human factors that are required.

Job Design
It is a conscious effort to organize tasks, duties and responsibilities into a unit of work to achieve
a certain objective.

5 Recruitments
The requirements of employees are done directly by the company through advertisements in
newspapers and other media. The company provides chances to existing and employees to
suggest the names of persons for fresh recruitments.

6 Selections

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Interviews are conducted for selecting the right people for the company. Generally the interview
board consists of the MD and respective departmental heads. Tests also conducted to check the
skill level of candidates.
7

Training
Training is given to all employees as required. One day orientation programme is given to the
newly joined employees.
8 Performance Appraisal
360 degree PA is conducted by the company every year. This means the employees of the
company are evaluated by their immediate superiors, co-workers, and also by the customers.
9 Health& Safety

Cleanliness is maintained.

Wastes and effluents are disposed properly.

Proper ventilation and temperature is maintained.

Masks are provided for protection against dust.

Cold water facilities are provided in summer and hot in winter.

Proper lighting is maintained.

10 Welfare MeasurestheCompany gives priority to the welfare of the employees. Some of the
other benefits granted to the employees are medical, employees state insurance schemes,
provident fund schemes, festival bonus, overtime benefits etc. special allowances on occasions
such as marriage, death etc is also provided.
11 Workers Participation

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Workers are the strength of the organization. The employees of the company are classified into
three categories

Officers

Staff

Workers

12. Employee Grievance


The HR department gives special care to solve problems of employees at its initial stages itself.
The company follows an open door policy on suggestions and compliances; management takes
quick remedies for resolving the problem.
13. Personnel Records & Audits
Personnel records are maintained for formulating and reviewing personnel policies and
procedures. Complete details about all employees are maintained in personnel records, such as,
name, date of birth, marital status, academic qualifications, professional qualifications, previous
employment details, etc. It helps to supply crucial information to managers regarding the
employees. The company will follow external audit.

Finance department
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MARIAN ACADEMY OF MANAGEMENT STUDIES

Finance is defined as the provision of money at the time when it is required. Finance is needed
for production of goods and services and their distribution. It is the lifeblood of an enterprise.
.The department is headed by Mr. Vinod, the manager finance department. 25 accounting staff
are working under this department. Promoters contribution, friends and family together
constitutes the capital structure of the company. The main source of capital funds are from
banks and unsecured loans from individuals. Banks which give financial assistance to the
company are SBT, HDFC, and Federal bank. They provide 2 crore as working capital to the
company, supported by creditors and stock, in yearly basis. By the year 2008 the company had
an average growth of 40%, which means around 80 crores. By the end of the year 2012 it was
recorded as 210 crores. 85% of the expenditure of the company is with purchasing of paddy.
Statutory audits are conducted in the company after every financial year. Four external auditors
are there for the company. Balan& CO. and Georgekutty& CO. are two of them. Internal audit
is performed daily by the internal auditor. Funds are allocated to different departments on the
basis of purchase bill.
Budgeting is done on the basis of seasonal purchase. The 3 main seasons are
February May
June September
October November
Benefits like ESI, EPF, and FPF are given to employees. For this the employer and the
employee will contribute 12% to this account.
The structure of the department is:

Chart 6
Finance Department Structure

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MARIAN ACADEMY OF MANAGEMENT STUDIES

Manager

Finance Officer

Accounting Officer
Internal Auditor
Supervisor Sales A/C

Accounting Asst
Supervisor CashFinance Asst.
Data Entry Operator
Cashier

Asst.

Assst.

Asst.

Functions
Statutory compliance
Renewal of licenses
New licenses, TDS, tax calculations
Payments to contractors, salary, and consultants payments per month are undertaken by

finance department.
To raise necessary funds for the smooth flow of production and other activities.
Prepare budgets for every year.
Take control measures in order to check the accountants
Control over all matters relating to finance in the organization

Finance department is fully computerized and that enable fast recording, editing and alteration
of records. Finance mangers are expert in arranging necessary working capital for the smooth
flow of operation. The company is selling their products both for cash and credit.

The accounts

and finance departments ensure that the salaries to the employees are paid in time. The
department is also concerned with the preparation of budgetary control of the concern. The
departments ensure that all the entries are properly posted in the books of accounts

Marketing department

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MARIAN ACADEMY OF MANAGEMENT STUDIES

The manager of the department is Mr. K. N. Sathyan and the sales coordinator is Mr. Lagi
Varghese. Pavizham has a well-planned distribution channel for distribution. Major marketing
areas are divided into 3 zones.
Thiruvananthapuram Kottayam south zone
Kottayam, Idukki, Ernakulum
- central zone
Thrissur- Kozhikode
- North zone
The central zone is highly competitive in nature and south zone result in the fast moving of
goods. The whole marketing department consists of 62 employees. Among this 55 employees are
concerned with sales activities. There are 8 workers in the customer care service which is
available in 24 hours. Mouth publicity is the main promotional tactics of pavizham. 37% of the
rice market in Kerala is vested with pavizham. They give 8% commission and 30% margin of
profit to the distributors and in local markets they give 50% discount to the distributors. To
increase sales incentives are given to the distributors and sales person. Since the industry is in
perfect competition price and cost are calculated on the basis of competitors activity.
They have 150 own vehicles for the purpose of transportation. The sales volume in ton is 8 and
they have 26 to 27 route * 6 days. They have average sales of 7 ton from each route. The targets
are fixed on quarterly basis, they aims at a hike of 5% to 10% of sales per quarter. The most
selling product is pavizham short grain matta and in the northern region it is long grain matta
rice. The raw materials for the production are from Kerala, TamilNadu, Andhra Pradesh, and
Madhya Pradesh. Their By-products are Rice bran oil and Rice husk.
They also have 2 quality brands named pavizham brand (1 st quality) and ormabrand (2nd
quality). They also exports matta rice to gulf countries. The department structure is,

Chart 7
Marketing department structure

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MARIAN ACADEMY OF MANAGEMENT STUDIES

MARKETING MANAGER

SALES CORDINATOR

SALESS OFFICER

SALES EXECUTIVES

Functions
1. Analysis of environment
Environmental analysis provides an early warning system for the forces which may impact a
companys products and markets in the future. With the help of environmental analysis the
company to act upon rather than react to opportunities and threats.
2. Market Intelligence & Market Research
Marketing intelligence helps to analyzing and acquiring information in order to understand the
market to determine the current and future needs, preference, attitudes and behavior of the
market and to assess changes in the business environment that may affect the size and nature of
the market in the future. It also helps to identify successful new product development early in the
process to create company growth and maximize revenues by finding a balance between costs
and prices of products.

3. Segmenting, Targeting & Positioning

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Company use the market segmentation, that use to company divide the large market into small
markets that can be reached more efficiently and effectively with products and services that
match the customers unique needs. With the help of target marketing the company can achieve
higher sales and stronger position.
4. Distribution strategies
The company moves its products through direct selling and distributors. In the local area,
company provides direct marketing and in other areas the distributor will supply the products.
The distributors collect details regarding the movement, quality opinion, expectations etc. from
retailer and pass the same concerned department. The company has several schemes and plans
for distributors retailers.
5. Pricing strategy
The companies pricing is based on two things such as competition and cost. The competitive
product the company can charge lesser price than its competitors. The other pricing method is
cost based, the product price must cover its cost and also get the profit.
6. Promotional Activities
The marketing departments organize various promotional activities to increase sales. The
company gives special attention to its promotional activities. The company is spending more on
promotional activities like sales promotion. The promotion activities include giving incentives to
company sales people, middleman and their sales force. These activities add value to the
products.

Chart 8
Operations department

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MARIAN ACADEMY OF MANAGEMENT STUDIES

Chief Operations Manager

Asst. Manager

Manager Exports Manager Procurement

Clerical Staf

Clerical Staf

The manager of the department is Mr. Shaju Francis. The responsibility of him is to monitor the
overall functions of exports, procurement and routine office administration. The sortex machines
are imported from countries like Germany and China. Each year maintenance will be done under
the supervision of this department. For additional maintenance purposes a contract named

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Annual maintenance Contract is there. The inventory levels are checked by the company and the
concerned departments too.
The three main operations (functions) of the department are
Procurement
Export
Administration
Procurement
1. Usual practice- floating enquiries of their requirements based on the requisition from
concerned departments.
2. Based on their enquiry they will get quotations.
3. They make a comparison statement to identify best prices and terms and conditions.
4. Thereafter company place orders to the suppliers selected out of the statements.
Export
1. It is important for the company to explore the probability of finding suitable overseas
market for export.
2. Export is made directly to the importer or to the merchant exporter. The merchant
exporter will give the requirement then.
3. Merchant exporter will approach the company for fulfilling export requirement.
4. Since the overseas market is so competitive company has to see many parameters for
dealing with them.
5. For export, the items are produced specially as export quality.
Administration
1. Administration on day today assignments is given to employees of different
departments. This is from marketing, export, purchase, finance and accounts and even
production department.

Production department

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MARIAN ACADEMY OF MANAGEMENT STUDIES

Production denotes the conversion of raw material to semi-finished or finished products with the
help of call-in production process. The main aim of any production system is to produce
economically goods and services required by the customers.
The main purpose of production department in Pavizham group is to manufacture various types
of rice products, which is having a better demand from consumers both in Kerala and the
international market.
Manager Mr. Manoj heads the production department. There are different sections under this
department like plant, maintenance department, work shop and boiler department. All
manufacturing function are carried out under this department.
The main objective of preventive maintenance department and corrective maintenance of
Pavizham group including minimizing brake down , minimizing long run maintenance cost
providing better working condition and reliable conditions for equipment to perform at specific
technical condition through service, replacement, repairs etc.
Daily average production of the plants is 25 ton from 1 shift and 60% of the output are finished
products. In pavizham chairman decides the plan for production. Go downs are there for each
plant. The high capacity Diamond plant has a capacity of 125 tons of production from 1 shift.
The pollution control board certifies the company each year. There exists an effluent treatment
plant to reuse the waste water and is used for gardening and watering roads.
The department structure is as follows:

Chart 9
Production department structure

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MARIAN ACADEMY OF MANAGEMENT STUDIES

Plant Administrator

Plant Hr

Production In charge

ElectricalDept.
Power Plant Maintenance
Dept
Dept.

Welfare OfficerStore Dept.

Internal Auditor
Welding

Late

Supervisors Store Head


Cyclon
Workers

Asst.

Workers

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MARIAN ACADEMY OF MANAGEMENT STUDIES

Production process
Chart 9
Paddy

Paddy Cleaning

Paddy Holding Tank

Par Boiler (thumba)

Dryer
Water

Waste
(Chaff)
Dry Paddy Storage Tank
Waste Out

Steam
Shaker

Destoner

Rubber Sheller
WASTE
(HULL) OUT

Separator

Whitener
WASTE
(OFFAL
OUT)
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MARIAN ACADEMY OF MANAGEMENT STUDIES

Shelly Polish

Waste (Offal
out)

Rice Grader

Rice Fine Cleaner

Black Rice

Rice Storage Tank


White Rice
Sortex

Weightening& Packing

Loading

There are mainly 5 stages for production.


1.
2.
3.
4.
5.

Paddy cleaning
Par boiling
Milling
Sorting
Packing

Paddy cleaning

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MARIAN ACADEMY OF MANAGEMENT STUDIES

Two workers will be assigned for one shift. At first the shaker will remove the major waste like
dry grass and coir. Then it will wait out the dust and chaff. Destonner will remove small stones
and the paddy will be elevated through the bucket elevator to the storage tank.
Boiling
The tank thumba will be filled with boiling water of 90 to 100 degree Celsius. Paddy will be then
drawn into it. The immature paddy will float and it will be removed. Totally 6 hours is needed to
complete this task. After boiling the waste water will be outpoured. The steam will pass through
a pipe and the boiled paddy will be drawn to the drier and then to the blower.
Milling
The shaker removes the extra waste and destonner removes the small stones. The rubber Sheller
breaks the paddy to rice. From the output paddy hull will be removed. After that separator
categorize the rice to 3 categories half broken, full broken and unbroken. Then the whitener
machine separates and collect bran in a separate bin. Then the rice grader moves the full length
to the storing panel. Silky polisher polishes the rice with water content.
Sorting
Digital CCD camera removes the black rice.
Packing
All except 50 kg and 70 kg bags are packed manually. Then it will loaded to the destination

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CHAPTER 5

C0NCLUSION

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FINDINGS AND SUGGESTIONS

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SWOT analysis
Strengths

The company is having a good customer base


The productivity is excellent and the pollution is well controlled.
The company is certified with ISO 22000-2005.
Availability of pure water for manufacturing
High quality products
Product diversification
No trade union

Weakness

No frequent advertisement
Scarcity of raw material

Opportunities

Availability of cheap labor


FMCGs are gaining demand in the markets
Good scope for few products like food supplement

Threats

Tough competition in the market


Extinction of paddy cultivation in Kerala
Increasing raw material prices
Export of rice is banned by the government
The changing interest and preferences of customers.

CONCLUSION

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Pavizham health diet private ltd is a leading manufacture for the assured branded rice
pavizham marketed in Kerala state and abroad .It is not considered to be in the state of Kerala
with no independent units for the manufacture of rice. There are no other industrial groups in
the state with production capacity that of Nambiyattukudy group of company the present
infrastructure of theNambiyattukudy group of companies consist of 15 industrial unit. The
company was able to achieve the ISO certificate for the quality management ISO 9000.The
main positive aspect of the company is that it could maintain a better relationship between
management and employees. Hence we can conclude the pavizhamhealthies diet Ltd will be
able to reach great height.

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Bibliography
1. Kothari, Research Methodology: Methods and techniques, New Age International Publishers,
New Delhi, reprint edition, 2012.
2. GuptaSasi K and Rosy Joshy: Organizational Theory and Behaviour 2004, Kalyani Publishers,
New Delhi.
3. GaryDessler, BijuVarkey: Human Resource Management, Pearson Publication ,12 th edition ,
2012.
4. AswathappaK: Human Resource and Personal Management 2005, TATA MCGRA HILL
Publication Companylimited, New Delhi.
5. RoaVSP, Human Resource Management, ExelBooks, 2005.
6. www.pavizham.com
7. Pavizham brochures
8. Pavizham reports

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