Dhanhar Exim

A Project Report On
DHANHAR EXIM PVT. LTD. (S.Y.B.B.A-2010-2011)
Guide By
Mrs. Jagruti Patel
Submitted by:
Gajera Ankit Harkhani Nirav Tank Pranv Soni Jaimin
Submitted to:
Bhagwan Mahavir College Of Business Administration, V.N.S.G.U, Surat.
B.M College of Business Administration
Page 12
Acknowledgement
I would like to thanks to Veer Narmad South Gujarat University to include this summer training in the curricular of B.B.A. program. I express my deep sense of gratitude to DHANHAR EXIM PVT. LTD. to allow me to do summer training and giving me their best to accomplish the same. I would also thank to all faculty members of college to help me greatly in preparation and guidance during the training. My special thanks to one and every faculty member in the dept for their suggestions. I would like to thank with great pleasure on colleagues who helped me in successfully completed this project.
Date: Place:
Page 12
Executive Summery
We here at completion of our summer training at Dhanhr Exim Pvt.Ltd. have got a good knowledge in the various area of management The marketing department plays an important role for increase in sale we have also got the good knowledge of different product of in spite of such a wide range of product The most important department is the production department has also given us a brief idea about the company process layout which done in a centime manner we also come to know about the regular quality control method which maintain the quality of product The human resource department department has given us a clear idea of how to maintain employ relationship welfare activity in finance department of the company we studied the ration and working capital
Page 12
Declaration
Here by declare that this training report is prepared with my own efforts. This report has been prepared at DHANHAR EXIM PVT. LTD. during 01/05/2011 to 15/07/2011 with my skills and management tools and technique, which we learnt in collage. This report has not been previously submitted by any one to any university, for award of any other degree.
Date: Place:
Gajera Ankit Harkhani Nirav Tank Pranv Soni Jaimin
Page 12
INDEX
NO
1
TOPIC INTRODUCTION
1. Mission and value 2. Profile of the company 3. Competitor 4. History of the company 5. SWOT Analysis
PAGE NO
MARKETING DEPARTMENT
1. Structure of Marketing department 2. Products of the Company 3. Packaging & Labeling 4. Price of Products (Pricing Policies) 5. Organizations buying process 6. Product life cycle (PLS) & Marketing Strategies 7. Channels of distribution 8. Marketing / Sales dept. at a glance 9. Promotional Activities
HUMAN RESOURCE DEPARTMENT

1. Structure of HR department 2. Activities of Personnel / HR Department 3. Recruitment & Selection 4. Human Resource Planning 5. Training & Development 6. Promotion & Transfer 7. Performance Appraisal 8. Wages & Salary Structure 9. Employee Welfare
Page 12
10. Human Resource Audit 11. Hierarchy Structure of Organization 12. Absenteeism Rate 4
PRODUTION DEPARTMENT
1. Structure of production department 2. Activities of Production Department 3. Process Layout / Product Layout 4. Technology used 5. Machinery Operations Stores 6. Plant Location, Controls of R.M. in Process & finished goods 7. Quality Control
FINANCE DEPARTMENT
1. Budgeting & Planning 2. Taking Loans (Sources of funds) 3. Issuing Shares (if applicable) 4. Providing funds to Different Departments 5. Balance Sheet & Annual General Report 6. Working Capital, Cash, Inventories,Receivables etc.
6 7 8 9
FINDING SUGGESTION CONCLUSIONS BIBLOGRAPHY
Chapter 1. Introduction Mission and value Profile of the company

B.M College of Business Administration 6
Page 12
Competitor History of the company SWOT Analysis
1. MISSION& VALUE
One of the greatest strengths of the DHANHAR EXIM PVT. LTD Pvt. Ltd. Company is its ability to develop customized products. This policy of the DHANHAR EXIM PVT. LTD Pvt. Ltd. Company has helped to build close ties and mutual trust with customers globally, thus increasing worldwide acceptance of its products.
Page 12
Mission
To delight the customer by continuously developing new products tuned to evolving needs and maintaining high standards of quality and efficiency in production and prompt delivery.
Values
1. 2. 3. 4. 5. High priority to customer satisfaction. High standards of consistent quality and reliability. Promoting use of modern technology and practices. Minimizing profitability for cost-effectiveness. Commitment to community development and environment protection.
2. Profile of the Industry
Page 12
How Spices Shaped History

The history of spice is almost as old as human civilization. It is a history of lands discovered, empires built and brought down, wars won and lost, treaties signed and flouted, flavors sought and offered, and the rise and fall of different religious practices and beliefs. Spices were among the most valuable items of trade in ancient and medieval times. As long ago as 3500 BC the ancient Egyptians were using various spices for flavoring food, in cosmetics, and for embalming their dead. The use of spices spread through the Middle East to the eastern Mediterranean and Europe. Spices from China, Indonesia, India, and Ceylon (now Sri Lanka) were originally transported overland by donkey or camel caravans. For almost 5000 years, Arab middlemen controlled the spice trade, until European explorers discovered a sea route to India and other spice producing countries in the East.
Spices and the Age of Exploration
The search for a cheaper way to obtain spices from the East led to the great Age of Exploration and the discovery of the New World. European explorers such as Ferdinand Magellan, Vasco da Gama, and Bartholomeu Dias began their long sea voyages to discover a sea route to the sources of spices. Christopher Columbus went westwards from Europe in 1492 to find a sea route to the lands of spices but found the Americas. Eight years later, the Portuguese navigator Vasco da Gama discovered a sea route around the southern tip of Africa, eventually reaching Kozhikode on the southwest coast of India. Da Gama returned from his voyage with a cargo of nutmegs, cloves, cinnamon, ginger, and peppercorns.
Spice Industry Overview
Page 12
Spice industry has been witnessing phenomenal growth rates both in the international and domestic sector. The growth in this sector can be attributed to the change in the lifestyle patterns of the consumers all over the world. The shift in the consumption trend toward natural products has also contributed to the increased global demand of spices and culinary herbs. Spice and derivatives market is booming because these products find applications in a number of industries including pharmaceutical, medicine, beverages, food processing, personal hygiene products to name a few. Developing countries especially in the Asian continent are the major producers of variety of spices. A large percentage of international and domestic trade takes place in the dried form. India, Indonesia, China are few of the prime producers of a variety of high quality spices and also significant contributors to the global spice trade. The culinary herb market is also expanding though the production areas are widely distributed. India is one of the prime producers and suppliers of raw herbs to USA and the EU. This is a labour intensive industry; therefore producers must have a sound knowledge of the methods and processes involved in the production of herbs and spices.
Indian Industry Overview

India has traditionally been known for its spice and culinary herb production. It is one of the largest spice producing and consuming country. Its strategic location, climatic conditions, advanced production processes and availability of cheap labour makes it advantageous for the producers to ensure large scale production of quality spices and herbs.
India's Share in the Global Spice Market
10 Page 12
The Indian spice industry is booming with a substantial increase in exports over the past few years. India accounts for nearly 45% and 30% in terms of volume and value in the world spice trade. The booming global spice market also poses good opportunities for the Indian spice industry to provide quality spices at competitive prices. India faces stiff competition form China, Malaysia and Pakistan in terms of pricing of the products. Manufacturers should therefore ensure consistency in supply, product quality, pricing and marketing strategy to increase the share in exports. Producers are incorporating latest methods and technologies to ensure higher quality of spices and herbs. India is one of the prime exporters of pepper, chilies, turmeric, seed spices and spice derivatives to the rest of the world. USA, EU, Japan and Srilanka import these Indian spices in large volumes.
India's share in Global Spice Derivative Market

Spice derivatives can be categorized into spice oil, oleoresins and essential oils. The demand for spice derivatives is also increasing due to the hygiene, standardization and consistency factor. India contributes nearly 70% to the world spice derivative market. It exports largely to the US, EU etc. Indian southern states including Kerala, Karnataka and Tamil Nadu provide concentrated oils and oleoresins for use in perfumery, pharmaceuticals, foods processing and industrial chemical industry.
Government Initiative
Indian Government is providing financial assistance to farmers, growers and spice producers and has also taken certain steps to ensure the availability of better quality spices, more hygienically processed spices in order to boost exports. Indian spice board also provides financial and technical assistance to farmers.
Growth in Spices Market
11 Page 12
The Indian spice market has shown remarkable growth in spice and culinary herbs exports. Indian spices manufacturers are making substantial efforts to improve the quality of spices backed up by technological advancement in order to tap the international market. Advanced technologies such as carbon dioxide extraction, cryogrinding, encapsulation of spice oil is being undertaken to ensure high quality of spices and their derivatives.
3. Competitor :It includes all the actual & potential rival offering & substitute of their product a buyer might be consider. The company may be of monopoly, total competitive or oligopoly. There are many masala brands against DHANHAR EXIM PVT.LTD as like I. S.K Masala SK Masala is one of the manufacturers of Indian cooking spices like turmeric powder, curry powder, fenugreek seeds, cumin seed, cardamom, chilly powder from India. The company is also an importer of cooking spices. These authentic delicacies are completely free of preservatives and their exotic flavours give you a taste of rich traditional culinary art that is uniquely Indian. The products are offered in various categories to make a wholesome meal experience.
II.
Everest masala,
12 Page 12
For more than 45 years, Everest has shaped the preference for branded spice in a country where home-made blends were the norm since time immemorial. It is estimated that over 20 million households regularly use Everest spices that are available in around 400,000 outlets in more than 1000 towns across India. Everest spices are also available in the USA, Middle East, Singapore, Australia, New Zealand, East Africa, and in many other countries, where non resident Indians trust Everest to provide them the authentic taste of home III. bharat masala, started the Masala Business on 26th January 1953. it was just like a home product in the beginning. He opened a new outlet in 1996 near chouta Brdige, the heart of Surat City. Now BHARAT MASALA is a bigger word and household name in Surat. In fact its a brand name in the region. Now BHARAT MASALA crossed the national boundary and reached overseas countries like U.A.E. and faraway U.S.A, CANADA, and the U.K
IV.
77 masala,
The organization is under the process to implement ISO 22000 and AGMARK There are 34 Instant Mix products. V. MDH masala,
Today range of 52 products anailable in over 140 different packages
13 Page 12
VI. VII. VIII. IX. X. XI. XII. XIII. XIV.
gits masala , a-one masala sabras masala, Yamuna masala, lajawab masala gaj raj masala, Gajanand Masala, Ramdev Masala, Sahaj masala
4. History of Company:B.M College of Business Administration 14 Page 12
DHANHAR EXIM Pvt. Ltd. introduces itself as a leading manufacturer and exporter of Indian particularly Masalas, Hings and others. Established on 1966, the company has always followed the philosophy of providing quality products and services to our ever increasing clientele. Today DHANHAR has become a name synonymous to Indian spices, its tastes and aroma; and has become a name of repute in spices and hing Companys. The name DHANAHAR itself connotes MASALA DHANHAR EXIM PVT. LTD starting in the home place and its first product is hing. On this time DHANHAR EXIM PVT. LTD manufacturing at Ambaji Road, Nani Chipava. Dhanhar is not first name of the brand. Before Dhanhar, its name is MANSUKH KANTI DOUBLE POPAT BRAND, that is the first name of the Dhanhar. Meaning of the Dhanhar name; DHAN means LAXMI HAR means MAHADEV DHANHAR name comes of the two dynamic people, first is DHANSUKHLAL and second is HARKISHANLAL. DHAN comes of the DHANSUKHLAL & HAR comes of the HARKISHNLAL
15 Page 12
History An Overview
Forty Five year back, two dynamic entrepreneurs, Mr. Dhansukhbhai Chhabildas Wankawala pioneers in spices / hing industry and connoisseurs of Indian tastes, joined hands together to start DHANHAR EXIM PVT. LTD; supported by Mr. Bipinchand Chhabildas Vankawala; a mechanical engineer by profession. The firm started as a gruh udyog, manufacturing hing, graduated in terms of size and volume; obviously due to healthy response from the market. In the 1972, a manufacturing plant was established in Surat. The company started manufacturing spices in 1976 with a single product Dal Shak Masala and has consistently climbed up the growth ladder since. The company at present is manufacturing more than 30 different spices. For bulk orders, we can customize the products according to your requirements. 1990, a major milestone was achieved when the company got AGMARK certification for its Hing. In 1995, same certification was accorded to Spices. When company started, it goes in the loss, but after some time loss converted in the big and big profit. In the 1977 the price of the Dal Shak masala was just 7 RS. In 5 Kilo. So, its very chipper. In the 1988 Hings packaging stared and published name of the BHANDHANI HING and also developed the brand name of DHANHAR EXIM PVT. LTD. All the production by manually, no machine work of this time. On this time means, 1988; the staff was just 10 people in DHANHAR EXIM PVT. LTD and now the staff are about 62 people in DHANHAR EXIM PVT. LTD. Manually works time period is 1988 to 1996, means about 8 year. Under the able guidance of the promoters, the company has reached to a position, par excellence. Mr. Hitesh Wankawala (B.Com. L.L.B.) And Mr. Jignesh Wankawala (B.Com), able sons of Mr. Dhansukhbhai joined business in 1992 and 1998 respectively.
16 Page 12
Mr. Hitesh looking after Sales Department whereas Mr. Jignesh is looking after Production and Quality Control Departments. The new entrants are following their fathers footsteps and have the enough dynamism and acumen to lead the company to new heights. The company boasts of modern machinery and high technology to attain the quality without losing the traditional aroma of Indian spices. Our products are well known for their high purity. The reliability, flexibility, competitive pricing and prompt service have been the pillars of the companys reputation and success.
Office:Dhanhar house, Bhajiwadi pole,bhagal char rasta, Surat 395003 (Gujarat) India
Production house:Survey no. 167, Ashwini kumar road, Nr, shamshan bhumi, Fulpada, Surat, (Gujarat) India
17 Page 12
Fact Sheet Company Detail

Year of Establishment Legal Status of Firm 1966 Private Ltd. Co. Registered under Indian Companies Act 1956 Income Tax Registration No. AADCD2614D Central Sales Tax No. 24720601590C Value Added Tax Registration 24220601590V No. Import Export Code Nature of Major Markets Quality Facilities 5210003132 Business Indian Subcontinent
Company USP
Measures/Testing Yes
Packaging/Payment and Shipment Details

Customized Packaging Yes
They also have a retail shop one is at bhagal and second at A.K road 1) Dhanhar house, Bhajiwadi Pole, Bhagal Char Rasta, Surat 395003 B.M College of Business Administration 18 Page 12
2) Survey No. 167, Ashwini Kumar Road, Nr,Shamshan Bhumi, Fulpada, Surat,
19 Page 12
5. Swot analysis
Strength:Company has immense of strength to compete with its competitors. Company has a control over the personnel department the base of the finally strong. DHANHAR EXIM
20 Page 12
PVT. LTD produces masala with best quality and cheaper price which is one of the USP (Unique Selling Proposition) of the company. Owing to his timely delivery, quality products and client centric approach, they have attained commendable credibility in the market. they follow ethical and transparent business policies to gain the confidence of our clients. Some of the pertinent factors that set us apart from our competitors are as follows:

A state-of-the-art infrastructure Well coordinated team Economical prices On-time delivery
Weakness:I have noticed one of the significant cons of the company and that is a disability to produce and deliver the ordered goods on time. And collection policy is very libral
Opportunity:Company have one of the great area as to cover the market share in this respective sector by increasing its attention towards cost & by expanding their business in other states of Indian market and by going globally like U.K, U.S.A rather than just focusing on Gujarat.
Threats:Company has the biggest threat to compete with the other giant players which are much effective in production and their quality world wide. A part from this another common threat would be regulation from the government towards this company in future by hiking the raw materials price and all.
Chapter 2 . MARKETING DEPARTMENT

Structure of Marketing department Products of the Company Packaging & Labeling
B.M College of Business Administration 21 Page 12
Price of Products (Pricing Policies) Organizations buying process Product life cycle (PLS) & Marketing Strategies Channels of distribution Marketing / Sales dept. at a glance Promotional Activities
1. Structure of Marketing Department
22 Page 12
Head of Marketing Department Hitesh bhai
Agent
Clerk
Peon
2. Products of the Company :

We specialize in processing and supplying of a wide variety of Indian Spices. Our spices are processed using quality ingredients that are sourced from cultivators and retailers and therefore is appreciated for its taste and aroma. With such a mesmerizing range of spices,
23 Page 12
we cater to the requirements of hotels, restaurants and homes. Our range includes the following: Salient Features:

Rich taste Aroma No preservatives Unadulterated
Owing to the features furnished above, our products have gained recognition in the market. There are many masala product of DHANHAR EXIM PVT. LTD Company. Which are below here.
24 Page 12
25 Page 12
So, there are lots of item productions in the DHANAHAR MASALA, which are daily use in homes and hotels.
3. Packaging & Labeling: -
26 Page 12
Meaning of Packaging:Packaging means, The wrapping of goods before they are transported or stored or delivered to a consumer. We can define packaging as: all the activities of designing and producing the container is called the package The packaging has three levels, they are following:A. B. C. Primary package Secondary package Shipping package Packaging is also kept pace with our products and the market, conforming to International Standards and featuring diverse packing methods to match client requirements
Packing is not available in kg with double polypropylene in-liner in trucks. It is also available 10000 kg cardboard boxes on wooden pallets. Trucks are also available for 5000 kg & 10000 kg. We have a special inspection team, which ensures the quality of packing before the material is dispatched from the works
Primary package
27 Page 12
This is the primary packaging of the Garam Masala in the DHANHAR EXIM PVT. LTD Company. So, this is the first step of the packaging of the masala. All types masala packaging like this type but this is the example only Garam Masalas packaging.
Secondary package
28 Page 12
This is the secondary packaging of the Garam Masala in the DHANHAR EXIM PVT. LTD. So, this is the second step of the packaging of the masala. This is the important step of the packaging.
Shipping package
29 Page 12
This is the last and final means shipping packaging of the Garam Masala in the DHANHAR EXIM PVT. LTD. It is the very important packaging of the masala because when its over then production supply in to the market and use consumer and other. So, the packaging of a consumer product is an important part of the marketing. A good number of companies adopt square packages in place of round packages which save space. There are many factors to be considered while designing a package.
DHANHAR EXIM PVT. LTD used kinds of the material for the packaging below here; 1. Card Board Contriver
30 Page 12
2. Plastic Contriver 3. Plastic Bag 4. Non-own Bag 5. Pouches 6. Paper Contriver 7. Clothes etc. Kinds packaging of the DHANHAR EXIM PVT. LTD is below here; 1. 2. 3. Consumer Packaging Family Packaging Multiple Packaging
So, there are different packaging produce by DHANHAR EXIM PVT. LTD for the customer.Packaging size of the DHANHAR EXIM PVT. LTD is 1 Kg., 5 Kg., 15 Kg. and 40 Kg.
Labeling
Meaning of Labeling:Label is a part of product, which carries verbal information about the product or the seller. It may be a part of a package, or it may be a tag attached directly to the product. Label may be small slip or a printed statement. DHANHAR EXIM PVT. LTD uses three types of label, which is following here; 1. A Brand Label 2. A Grade Label 3. A Descriptive Label Label gives following information in any product in the production. (DHANHAR EXIM PVT. LTD) 1. Brand name B.M College of Business Administration 31 Page 12
2. Picture of the Product 3. Address of the producer 4. Gross and Net quantity of the content 5. Ingredients in the product 6. Direction for the use 7. Precautionary measures 8. Nature of the product 9. Date of packaging and expiry 10. Retail price Labeling photos of the DHANHAR EXIM PVT. LTDs product:-
4. Price of Products (Pricing Policies): -
32 Page 12
Meaning of Price:It includes price, trade discount, cash discount, credit terms, and collection policy. The price is determined normally after considering production cost, distribution cost, quality, rivals price & government controls.
Pricing policy of Company

Price is the one element of the market mix that produces revenue. The other elements produce costs. Price is one of the most important factors that affect demand, growth of company, market share, competitors, supplier etc. so we can say that the price is decide by considering this all factors. Price may be suitable to product and market.
How to deciding the price?

DHANHAR EXIM Pvt. Ltd. has taken a certain steps to fix up the price of its different product. 1. 2. 3. 4. 5. 6. Selecting the pricing objectives Determination of demand for product Estimating the costs of production Analyzing competitors costs, prices and offers Selecting a pricing method Selecting the final price
Responding to the competitors price changes

The company may react the changes in competitors price changes in following way: 1. 2. 3. 4. 5. Maintain price Maintain price and add value Reduce price Increase price and improve quality Launch a low-price fighter line
33 Page 12
Starting Price of the DHANHAR EXIM PVT. LTDs Rs. 1, 2, 5, 50, 100, 200 and 500 up. Price list of the DHANHAR EXIM PVT. LTD for the different Masalas item in the market to customer. (100 K.g.)
Price List
As on 2009
PRODUCT RAJWADI GARAM MASALA PKG. 25.g 50.g 100.g 200.g 500.g AGMARK HING 50.g 100.g 200.g 500.g 15.g 50.g 100.g 200.g 500.g 50.g 100.g 200.g 500.g 1.kg 50.g 100.g DELUX HING (DABBI) KASHMIRI CHILLI POWDER 50.g 100.g 100.g 200.g 500.g CHILLI POWDER 50.g 100.g 200.g 500.g 1.kg M.R.P. 5.00 12.00 23.00 46.00 110.00 17.50 34.00 67.00 165.00 5.00 8.00 15.00 29.00 70.00 12.00 18.00 34.00 83.00 155.00 17.00 33.00 35.00 65.00 27.00 50.00 120.00 7.50 14.00 27.00 65.00 125.00 KICKEN KING MASALA IDLE SABHAR MASALA CHHOLE CHANA MASALA PUN. GREVI MASALA TEA MASALA PRODUCT PAVBHAJI MASALA PKG 15.g 50.g 100. g 200. g jar 500. g jar 15.g 50.g 100. g 200. g jar 500. g Jar 15.g 50.g 100. g 200. g 500. g 15.g 50.g 100. g 200. g 500. g 15.g 50.g 100. g 200. g 500. g 15.g 50.g 100. g M.R.P. 5.00 22.00 40.00 75.00 155.00 50.g 100.g 200.g jar 500.g Jar 175.00 5.00 18.00 35.00 68.00 130.00 5.00 18.00 35.00 68.00 130.00 5.00 18.00 35.00 68.00 130.00 5.00 17.00 33.00 LIMBU-SODA CHEVDAMASALA CHHAS MASALA CHHAS MASALA TEA MASALA DALSHAKMASALA SURTI MASALA SP.G.MASALA DELUX MASALA AACHAR MASALA MUTTON MASALA PRODUCT CHICKEN MASALA PKG 15.g 50.g 100.g 200.gJar 500.gJar 15.g 50.g 100.g 200.gjar 500.gjar FISH MASALA 50.g 100.g 200.gjar 500.gjar 200.g 500.g 100.g 200.g 500.g 200.g 500.g 50.g 500.g 50.g 50.g 500.g 50.g 1.kg 1.kg 1.kg 500.g M.R.P. 5.00 20.00 38.00 74.00 150.00 5.00 20.00 38.00 74.00 150.00 20.00 38.00 74.00 150.00 29.00 70.00 15.00 29.00 70.00 34.00 80.00 7.00 65.00 7.00 8.00 75.00 18.00 70.00 105.00 140.00 140.00
SUPER GARAM MASALA
NO.300 HING
GUNDAKERI MASALA
SUPER HING(DABBI)
GOL-KERI MASALA
FINE CLASSIC
34 Page 12
5.kg 5.kg TURMERIC POWDER 50.g 100.g 200.g 500.g 1.kg 5.kg CORIANDER POWDER 50.g 100.g 200.g 500.g 1.kg CORINDER CUMIN POWDER 50.g 100.g 200.g 500.g
525.00 600.00 7.50 14.00 27.00 65.00 125.00 600.00 7.00 12.50 24.00 57.00 105.00 8.00 15.00 28.00 65.00 BIRIYANI MASALA PANIPURI MASALA CHAT MASALA
200. g 500. g 15.g 50.g 100. g 200. g 500. g 15.g 50.g 100. g 200. g 500. g 15.g 50.g 100. g
65.00 135.00 5.00 13.00 24.00 45.00 110.00 5.00 13.00 24.00 45.00 110.00 5.00 17.00 33.00
MARI POWDER SP.TEA MASALA JINGER POWDER JIRU POWDER LILOMACROHING KALOMAVROHIN LALMACROHING MILK MASALA
500.g 1.kg 1.kg 1.kg 1.kg 1.kg 1.kg 20.g 50.g 100.g 100.g 200.g 500.g
110.00 180.00 180.00 210.00 300.00 270.00 225.00 30.00 70.00 130.00 9.00 17.00 41.00 13.00 130.00 2.00 5.00
Classic
RAJGARA LOT
SHINGODA LOT ROCK SALT
100.g 1.kg 40.g 100.g
DHANHAR EXIM PVT. LTD produces many other masala items to small basis. So, its price is not given here.
5. Organizations buying process: The Dhanhar Exim Pvt. Ltd. Company has major business in industry. It get a rawmaterial from the other Company or processing units like farmacitical unit, printing unit and others. The order placing for the raw material:
1.
Problem reorganization General need specification Product specification Supplier search Proposal solicitation Supplier selection Order routine specification Performance review
2.
3.
4.
5.
6.
7.
8.
35 Page 12
Wheres comes Row Material?

Red chilly powder from Karnataka Hing from Afghanistan Salt from Pakistan Plastic package from Bombay
6. Product life cycle (PLS) & Marketing Strategies

Meaning of Product Life Cycle:As every being has life, a product has its life. Industrial goods may have a longer life than consumer goods. Products, like human beings, have length of life for making sales and earning profit. The product life cycle is generally termed as product market life cycle, because it is related to particular market. For instance, an old product in the market of Bombay may have a life in a village. The product life cycle may be short for same products and long for some other products. The period may differ form product to product. But the product passes through the stages, collectively known as product life cycle.
Chart of the product life cycle in DHANHAR EXIM PVT. LTD:Sales and Profit
Introduction Growth Total sales Maturity
Total Profit curve
Introduction: - Product is new, awareness in market, cost of marketing high

profits are low.
and
36 Page 12
Introduction is the first stage in the life of a product. This is an infant stage. The product is a new one. The new product means. A product that opens up an entirely new market, replaces an exiting product, or significantly broadens the market for an exiting product. In this stage profit may below, because of heavy advertising and sales promotion in order to stimulate the demand.
Marketing Strategy: There are four types of the marketing strategy in Introduction but DHANHAR EXIM PVT. LTD use only two types of the strategies; 1. 2. Low Price and a Big Promotional Expenditures Budget: Low Price and a Small Promotional Expenditures Budget: -
`If the market is very wide, customers are unfamiliar with the product and sensitive to the price and the market is also competitive this strategy is adopted for a quick entry in the market. If the customers are price sensitive and promotional expenditures are not likely to increase the sales and the customers are familiar with the product strategy is adopt for early and quick entry of the production in the market.
Growth:The product has given satisfaction to the first buyers. Sales increase rapidly and product started generate profit. Growth is the second stage in the life of a product. In this stage, the product satisfaction the market and a product gains acceptance from the part of consumers and businessmen. So, sales and profit increase. The success of firms depends upon the efficient manufacturing and distributing system of the product. Previous buyers continue in their purchase and new buyers appear.
37 Page 12
Marketing Strategy: There are five types of the marketing strategy in Growth but DHANHAR EXIM PVT. LTD use only four types of the strategies; 1. To increase the quality of the product or add new features to the product. 2. To start a campaign to search out new areas of market. 3. To intensity the advertisement and find out distribution for wide spread sales. 4. In order to attract price marketing strategies the Company to decrease the price at appropriate time.
Maturity: The product reaching its maturity and sales are good. But battle for about to begin. At this stage, keen competition increases. Sales continue to increase for a while, but at decreasing rate. Competitors go for mark - down price by increasing advertising deals. Market expenses increase, even after mark down price, which enable to face competition. Thus, profit is thinned. Additional expenses are involved in production modification and in the market. Overall marketing effectiveness becomes the key factor in this stage. market share is
Marketing Strategy: There are five types of the marketing strategy in Maturity but DHANHAR EXIM PVT. LTD uses all the types of the strategies; Efforts should be made to enter into new markets. Steps should be taken to increase the utility of the product. Product should be made familiar with other classes of customers. Product should be improved very much. Alterations should be made in the marketing mix to suit the changing conditions. So, in the DHANHAR EXIM PVT. LTDs every product moves through a life cycle, having three phases, which are above the detail.
38 Page 12
7. Channels of distribution: Meaning of Channels of distribution: According to American Marketing Association, A channel of distribution, or marketing channel, is the structure of intra company organization units and extra company agents and dealers, wholesale and retail through which a commodity, product or service is marketed.
Channel of distribution in DHANHAR EXIM PVT. LTD

Manufacturer
Agent
Wholesaler
Retailer
Consumer
39 Page 12
Distribution channel
The producer and the final customer are part of every channel. We will use the number of intermediate levels to designate the length of channel. There are many type of distribution channel in Company. There are following: 1. Zero-level channel 2. One level channel 3. Two level channel Dhanhar Exim Pvt. Ltd. use to zero level channels and one level channel in rare case they use a two level channel company get an export order by e-mail and domestic market. There is use one-level and two-channels. In dhanhar exim pvt ltd they have 20/25 agents ingujarat for the distribution and they also get the order web site thru.
8. Sales dept. at a glance: Main product of Masala essential commodities sales in open market by Masala Agent & Super Stockiest as per daily marketable etc. Masala factory reputed person perform as an Agent & Super Stockiest taken a some deposits amount from Masala. Masala deliver against only Demand draft & Cash. There is a some control about releasing Masala quota for even month edusting by control government department. It means department of food supplest, government of India.
40 Page 12
Masala factory export masala about as per instruction by control government benefit to masala factory for exporting.
Price as per the domestic market depends upon Demand and Row material
9. Promotional Activities: Meaning of promotion: Promotion means a set of efforts made by the company for stimulating the demand for its product or products without making any alteration in product mix, price and channels of distribution. Promotion is any communication activity whose main object is to move forward a product, service or an idea in a channel of distribution. It is a set of efforts by marketer to inform and persuade buyers to accept, resell, recommended or use the article, service or idea which is being promoted. It is a form of communication with an additional element of persuasion. The promotion activities always aim at stimulating demand by affecting knowledge, preferences, attitudes and behaviors of the buyers.
Important of the promotion in the DHANHAR EXIM PVT. LTD: 1. 2. 3. 4. 5. 6. Increasing distance between producer and consumer Need of commutation in expanded markets Information to the market intermediaries Stimulates Demand Reviving of Demand Makes other elements of marketing mix meaningful
41 Page 12
Customer purched masala item above Rs 1000 up; So, DHANHAR EXIM PVT. LTD gives one Shopping Beg. Customer parched masala item above Rs 2000 up; So, DHANHAR EXIM PVT. LTD gives one Traveling Beg.
Promotional and advertising policies

DHANHAR EXIM PVT. LTD is a private limited company. Its customers are very satisfied with the product and services that they are provided. And as we know that the best advertising is done by the satisfied customer, most of the times the customers themselves recommend products of DHANHAR EXIM PVT. LTD in their business circle. No other advertising policy is followed by DHANHAR EXIM PVT. LTD as such as they never felt the need of doing so till now. But in case if there is any need of promotion, they make use of consumer-direct channels to reach and deliver goods to the customers without using any middleman. These channels include telephones and fax devices. Generally they receive orders in abundance, but during slack time they call on their customers and ask them to place their orders. They try to tempt them by saying that production of so-and-so masala is being carried out and if they place their orders soon they will get prompt delivery or else they will have to wait for 4 to 5 hours for delivery if they make it late. E.g. During our summer training we found that during the first week of May
there were quite a few orders with the company. So they called up their customers and asked them to place their orders by tempting them as they were very busy with work and if they would place their orders now they will get their order delivered soon.
42 Page 12
This kind of direct marketing helps them to build continuous relationship each customer and also make their offers and strategies less visible to their competitors. Also they provide the booklet containing samples of their varieties of masala to their customers.
CHAPTER 3. HUMAN RESOURCE DEPARTMENT

Structure of HR department Activities of Personnel / HR Department Recruitment & Selection Human Resource Planning Training & Development Promotion & Transfer Performance Appraisal Wages & Salary Structure Employee Welfare Human Resource Audit Hierarchy Structure of Organization Absenteeism Rate
43 Page 12
1. Structure of HR Department
Head of HR Department Hitesh bhai
Assistant
Peon
Introduction
HRM is that branch of management which is responsible on a staff basis of concentrating on those aspects of relationship of management to employee and with the development of the individual and the group. The objective is to attain maximum individual development, desirable working relationship between employers and employees; employee and B.M College of Business Administration 44 Page 12
employee, and effective molding of human resources as contrasted with physical resources. In a Dhanhar Exim Pvt. Ltd., there is more importance given to the personnel because all works are done by human beings if right person appoint then company get surly success in its works. Company believes in getting well persons for its work.
1. Activities of Personnel / HR Department

Meaning of HR: HRM is a management function concerned with hiring, motivation, & maintaining people in an organization. The function & principle are applied to acquisitioning, developing, maintaining, & remunerating employees in organization.
Definition of HR: HRM is a series of integrated decision that form the employment relationship; their quality contributes to the ability of the employees to achieve their objectives.
Activities of personnel department: HRM department helps managers to recruits, selection and train and develop members for the company. HRM is concern with the peoples dimension in employees as well as organization effectiveness. organization. HRM refers to set of
programs function and activities designed and carry out in order to maximize. Both
45 Page 12
The main activities of HRM department are to recruitment, selection, and training and develop members for an organization.
The function, which are used by HRM department in the Dhanhar Exim Pvt. Ltd. is below here,
(1) (2) Managerial function Operative function
1. Managerial function
(a) Planning: Planning is the process of deciding the goals & formulating policies & programmers to achieve the goals. Planning involves forecasting & research. Planning helps to face successfully the changes that are likely to take place in future. It preparing human resource budget.
(b) Organizing: Organizing is the process of allocating tasks among the member of the group, establishing authority responsibility relationships among them & integrating their activities towards the common objectives. Organizing is the framework through which management directs controls & co ordinates the efforts of people.
(c) Directing: Directing is the process of motivating, activating, leading & supervising people. Directing includes all those activities by which a manager influences the action of subordinates. Directing is the heart of the mgmt process. Directing also helps in building sound individual & human relation in the organization.
46 Page 12
(d) Controlling: It implies checking, verifying & regulating to ensure that everything occurs in conformity with the plans adopted & the insuuctions issued. Such monitoring helps to minimize the gap between desired result & actual performance.
2. Operative function: -
There are five functions in the Operative function but DHANHAR EXIM PVT. LTD Pvt. Ltd. uses only three functions in this Company, which are below here:
1.
Procurement Function: Procurement function is concerned with securing & employing the right kind & proper number of people required accomplishing the organizational objectives. Dhanhar Exim Pvt. Ltd. consists of the only five activities in the procurement function:

2.
Job Analysis Human Resource Planning Recruitment Selection Placement
Development Function: -
47 Page 12
Human Resource development is the process of improving the knowledge, skills, aptitudes & values of employees so that they can perform the present & futures jobs more effectively. Dhanhar Exim Pvt. Ltd. consists of the only three activities in the development function:
Performance Appraisal Training Executive Development
3.
Compensation Function:
Compensation function is refers to providing & fair remuneration to employees for their contribution to the attainment of organizational objectives.
Dhanhar Exim Pvt. Ltd. consists of the only three activities in the compensation function:
Job Evaluation Wage & Salary Administration Bonus

So, there are three types of function, which are use by Dhanhar Exim Pvt. Ltd. H.R. department.
3.Recruitment & Selection

Meaning of Recruitment: -
48 Page 12
Recruitment is understood as the process of searching for & obtaining applicants for jobs, from among whom the right people can be selected. Recruitment involves attracting & obtaining as many applications as possible from eligible job - seekers. Organization have to recruit people with requisite skills, qualification & experience if they have to service & flourish in a highly competitive event while doing so, they have to be sensitive to economic, social, political, & legal factors within a country.
Definition of Recruitment: Recruitment is the process of finding & attracting capable applicants for employment. The process begins when new recruits are sought & ends when their applications are submitted. The result is a pool of applicants from which new employees are selected.
Process of the Recruitment in the Dhanhar Exim Pvt. Ltd.

There are four steps of the Recruitment process uses in the Dhanhar Exim Pvt. Ltd., which are below here;
49 Page 12
Planning
Strategy Development
Screening
Evaluation & Control
1.
Planning: Panning is the first step of the Recruitment process. Plannings involves the translation of likely job vacancies & information about the nature of the job. Types of application refer to the type of people to be informed about job openings. These details are available through job description & job specification.
2.
Strategy Development: Once it is know how many & what type of recruits are required serious consideration needs to given to; Buy decision Sources of recruitment Sequencing the activities in the recruitment process
50 Page 12
Buy means hired skilled workers & professionals. It employees has the advantage in the sense that the skilled professional & labour can be the work immediately & little training may be needed.
3.
Screening: Screening is to remove from the recruitment process, at an early stage, those applicants who are visibly unqualified for the job. It screening, clear job specifications are invaluable. Applicant qualification judged on the basis of their knowledge, skills, abilities & interests required to do the job.
4.
Evaluation & Control: Evaluation & Control is necessary as considerable costs are incurred in the recruitment process. Statical information on the cost of advertisements, time taken for the process, salaries for recruiters, time spent on preparing job description, job specifications, Recruitment overheads & administrative expenses.
4.
Selection
Meaning of selection: Selection is the process of picking individuals (out of the pool of job applicants) with
requisite qualification & competence to fill jobs in the organization. The objective of selection process is to determine whether an applicant meets the qualifications for a specific job & to choose the applicant who is most likely to perform well in that job.
Definition of selection: Selection is the process of differentiating between applicants in order to identify & hire those with a greater likelihood of success in a job.
51 Page 12
Selection is the most important process of the any Company . Selection is the based of choose best workers and employment for the Company.
Process of the selection in the Dhanhar Exim Pvt. Ltd.

There are five types of the Recruitment process uses in the Dhanhar Exim Pvt. Ltd., which are below here:
Process of the selection: -
Preliminary Interview
Selection Test
Employment Interview
Reference Check
Physical Examination
1. Preliminary Interview: Preliminary Interview is the fires step of the selection process in the Dhanhar Exim Pvt. Ltd. Preliminary interview, on the other hand, helps reject misfits for reasons, which did not appear in the application forms.
52 Page 12
2. Selection Test: Generally, tests are used to determine the applicant ability, aptitude & personality. Different types of tests in the DHANHAR EXIM PVT. LTD Pvt. Ltd., which are below here; Ability Test Personality Test (Tat Test & Cpi Test)
3. Employment Interview: An interview test is conducted at the beginning & at the end of the selection process. The emphasis here is on the letter. Different types of interviews in the DHANHAR EXIM PVT. LTD Pvt. Ltd., which are below here; One-to-One-Interview Sequential Interview Personnel Interview
4. Reference Checks: Reference Checks is the most important process of the selection. Many employers request name, addresses & telephone numbers of references for purpose of verifying information & perhaps, gaining additional background information on an applicant.
5. Physical Examination: Last and Final process of the selection is the Physical fitness test in the Dhanhar Exim Pvt. Ltd. The result of the medical fitness test is recorded in a statement preserved in the personnel records.
53 Page 12
4. Human Resource Planning

Meaning of HRP: HRP is the process of forecasting a firms future demand for supply of the right type of people in the right number. HRP is also known as manpower planning, personnel planning or employment planning.
Definition of HRP: HRP includes the estimation of how many qualified people are necessary to carry out the assigned activities, how many people will be available, & what, if anything, must be done to ensure that personnel demand at the appropriate point in the future. HRP translates the orgns objectives & plans into the number of workers needed to meet those objectives.
Time duration of HRP in the Dhanhar Exim Pvt. Ltd.

Short Term Plan : 1 year
Process of the HRP in the Dhanhar Exim Pvt. Ltd.

Organization Objectives & Policies
HR Needs & Supply Forecasting
HR Programming
Evaluation & Control
54 Page 12
Human resource planning process is important to making effective planning for personnel. The steps taken by Dhanhar Exim Pvt. Ltd. is describing below: A. First they analysis the organizational plan it means see deeply future plan of the various
department or organization. Select the Organizations objectives & policies and done work in HRP by employment. B. Then after they forecast demand of manpower required in future they think which type of
manpower demand is required is arise & which department and how much personnel is required .then they find sources of manpower. And they also find how HR needs and supply forecast. C. Once the demand is decided then they forecast the supply of the manpower it means best
sources is available to recruit the employee. Then they match the demand and supply of manpower. D. Evaluation & Control is the final phase in the HRP process. The HR plan should include
budgets, targets & standards. It should also clarify responsibilities implementation & Control which will enable achievements to be monitored against the plan.
Surplus: Reduced hours Shortages:

Recruitment
In this planning following points they take into consideration for its HR planning:
When HR needs arises. Which type of manpower is required in future? Source of required manpower available for the organization in future. Is any diversification is done in the organization in short term OR in long term.
55 Page 12
5.
Training & Development: Meaning of Training: Training is the process of increasing the knowledge and skills for doing a particular job. It is an organized procedure by which people learn knowledge and skill for a definite purpose. Training is aimed at improving the behavior and performance of a person.
Meaning of Development: Development is the process of developing the knowledge and skills in employees for doing a particular job. Development involves preparing the individual for a future job and growth of individual in all respects.
Why training needs in the Dhanhar Exim Pvt. Ltd.?

There are three rezones to needs training in the Dhanhar Exim Pvt. Ltd., which are below here; Job Requirements Technological Changes Internal Mobility
Training method:There are two methods for training but Dhanhar exim Pvt. Ltd. use, On the job training method:
Job rotation Job coaching Job instruction Training through step by step
56 Page 12
6.
Performance Appraisal:Meaning of Performance Appraisal: Performance Appraisal is the process of obtaining, analyzing and recording information about the relative worth of an employee. Performance Appraisal and Merit rating are used synonymously.
Definition of Performance Appraisal: According to flippo, Performance Appraisal is the systematic, periodic and an impartial rating of an employees excellence in matters pertaining to his/her present job and potential for a better job. It is the process of obtaining, analyzing and recording information about the relative worth of an employee.
Advantages of Performance Appraisal of companys point of follows.

To effect promotion performance.
view are as
based on components based on competence and
To confirm the services of probationary employee upon the completion of the probation period satisfactory. To check training and development needs of employee. To decide upon the payraise where regular pay scale have not fixed. pay scale have not fixed.
To decide upon the pay-raise where regular
57 Page 12
To let the employee know where they stand as far as there performance is concerned and to help them with constrictive criticism the purpose of there development. To improve communication Performance Appraisal can used to determine whether human resource program such as selection, training and transfers have been effective or not. and guidance for
Essential of Performance Appraisal system in the Dhanhar Exim Pvt. Ltd. are below here: Clear objectives. Standardization training Job relatedness Feedback and participation Individual differences Review and appeal
In this way Performance Appraisal system is very useful to company.
58 Page 12
Process of the Performance Appraisal in the Dhanhar Exim Pvt. Ltd.

There are five types of the Recruitment process uses in the Dhanhar Exim Pvt. Ltd., which are below here;
Establishing Performance Standards Establishing Performance Standards Communicating the Standards Communicating the Standards Measuring Performance Measuring Performance Comparing the Actual with the Standards Comparing the Actual with the Standards Discussing the Appraisal Discussing the Appraisal Taking Corrective Actions Taking Corrective Actions
Safety Standard
Company follows safety ruse restricts. The company is constructed there plant in such a way. That in a case of emergency the worker can be secured more then one way out are provide assembly point is in case of fire safety virulent can be implemented urgently as wall as general returns, company provided for the worker hand glows, gumshoes, helmets ,masks, to prevent from the masala reactive . Around the bloke more in emergency the firebriged and disaster management center telephone number are kept in such a way that
59 Page 12
can be contact errantly without loosing time first-aid box are kept in each section of the plan.
Record and System

As per the rules and regulation company has to maintain all the rerecord to person working in the factory. More ever company has to keep the record has per government reels and factory act. In all necessary firms as wall as regarding Safety Company has get certain machine cheeked though government approval agency time to time related to safety rules and maintain its records.
Factory & Office Work of Time

The employee must have to come timely and employee has to follow the rules made by the company and government. Employee not go out side the plant or site without the permission of his superior or authority. In the organization this rules touch every person who work in the firm.
Time keeping: Shift timing

Dhanhar Exim Pvt. Ltd. has only one shift that is day shift and time is: 9 a.m. to 8 p.m.
Break:
12.30 to 1.30 p.m. lunch break
60 Page 12
7. Wages & Salary Structure: About Wages & Salary: Wages represent hourly rates of pay & Salary means monthly rate of pay, irrespective of the number of hours put in by the employee. Wages and Salaries are subject to annual profit. They differ form employee & depend upon the job nature, seniority & merit. Wages & Salary, both are part of Components of Remuneration.
There are three policies of the Wages, Which are below here;
Minimum Wage Fair Wage Living Wage
A minimum wage should provide for workers family, for Pvt. Ltd.
his efficiency, for the
education of his family, their medical cure. Minimum Wage 3000 in the Dhanhar Exim
A fair wage should provide for productivity of labour, place of Company in the economy of a country, prevailing rates of wages. Fair Wage 4000 in the Dhanhar Exim Pvt. Ltd. A living wage should provide for forms the basis for fixing minimum wage, capacity of the Company to pay. Living Wage 6000 in the Dhanhar Exim Pvt. Ltd.
There are two methods of the Wage Payment, which are uses in Dhanhar Exim Pvt. Ltd. Methods Depended
61 Page 12
Time Wage Piece Wage
Depended on the time Depended on the piece (unit)
Wages and Salaries structure in the Dhanhar Exim Pvt. Ltd.;

Companys wages and salaries are paid by incentives way and also called payment by result. Incentives are depend open the productivity of the employee.
Productivity of workers
1000 to 2000 units 2000 to 3000 units 3000 to 3500 units 3500 to 4000 units 4000 to 5000 units
Salaries
3000 4000 4500 5000 6000
This is a structure of paying salaries in the Dhanhar Exim Pvt. Ltd. Dhanhar Exim Pvt. Ltd. also provide fringe benefit for such top employee these benefit are as follows . Medical care Hospitalization Accident relief Health and group insurance Canteen Uniform Recreation
8. Employee Welfare: Meaning of Employee Welfare: -
62 Page 12
According to the Arthur James Todd, Employee Welfare means anything done for the comfort and improvement, intellectual or social of the employees over and above the wages paid, which is not a necessity of the industry.
Welfare Activities
Welfare activities means those activities which are do always in favor of employees. It means the special extra facilities given to employees from company. As it is DHANHAR EXIM PVT. LTD Pvt. Ltd. provides such kind of facilities to employees which are as follow, Provide good condition of equipment and also provide better
environment for work Company provides individual changing room, store room, rest room etc.
First aid box provided to all department. Safety devices like helmet, glows, safety shoot are provided Exim Pvt. Ltd. in production area units Traveling allowance and dearness allowances are provided to every employees and executive. by Dhanhar
There are two type of welfare activates of the company

1. Intramural 2. Extra mural
63 Page 12
1. Intra mural : - This services are provided within the establishment These
include washing & bathing facilities, rest room, uniform, medical aid , recreation facilities.
2. Extra mural: -
These services are provided outside the establishment. these include housing accommodation , transport , maturity benefits , sports field, holiday home, etc.
DHANHAR EXIM PVT. LTD use only Intramural Welfare Services.
9. Human Resource Audit: About Human Resource Audit: Audit is an important test of managerial control of companys point of view. It involves examination and verification of accounts and records. Human recourse audit implies critical examination and evaluation of polices, programs and procedure in the area of HR audit of the companys point of view .
Advantages of HR audit in companys point of view. To review the system of acquiring , developing , allocating, and
utilizing human resource in the organization .
To evaluate the extent to which line managers have implemented the

polices and programs .
To identify shortcoming in the managers

resources.
in the management of human
To evaluate the human recourse staff. Companys scopes of HR audit are as follows;
1. Auditing human recourse polices. policy of the company policy formulation
64 Page 12
2. 3. 4.
communication policy consistency policy
Auditing Human Recourse Programs. Audit of Human Recourse. Companys Audit Report.
10. Hierarchy Structure of Organization:
65 Page 12
HR Department Head
Personal manager
Personal officer
Supervisor
Worker
Clerk
Peon
11. Absenteeism Rate:-
66 Page 12
The absenteeism rate of DHANHAR EXIM PVT. LTD Pvt. Ltd. has decreased since last two years as seen form the records maintained by the Company. The absenteeism rate in the year 2007-2008 was around 7% which has now decreased to 4% in the year 20092010. This is due to the change in the interest and avearness of the employees working in the company and development of the wage rates which is linking. Example: - The wages are on the basis of their work or their attendance. If any person remains absent continuously for more than eight days without informing the company that person would be removed from the job.
Why absenteeism rate is decreased?

Absenteeism Rate is decreased compared to 2007-2008 and 2009-2010 because DHANHAR EXIM PVT. LTD Pvt. Ltd. gives extra benefits to the workers. Like bonus, gift and etc. So, Absenteeism Rate is decreased about 3%.
CHAPTER 4. PRODUTION DEPARTMENT
67 Page 12
Structure of production department Activities of Production Department Process Layout / Product Layout Technology used Machinery Operations Stores Plant Location, Controls of R.M. in Process & finished goods Quality Control
68 Page 12
1. Structure of Production Department
Head of Production Department Jignesh bhai
Production Manager
Assistant
Workers
Introduction: -
69 Page 12
Meaning of Production: Production is the process of converting the raw material and for the other input the product for further production of the finished goods or services so that utility of input is created or enhanced and the need of customer are satisfied.
Example: - Consumer goods, Industrial goods, Services of transport, Medical

treatment, Education, Insurance, Banking etc.
Definition of Management: Management means creating and maintaining an environment in which individual working together in group willingly contribute there best to achieve the predetermined goal and objective timely though the effective utilization of sources such as money, material, technology etc.
Production Management: Production Management means creating and maintaining environment in which individual working together in group willingly contribute their best to produce to satisfy the goods and services by optimum utilization of raw material and other input so as to timely satisfy the need of customers
Important of Production Management: 1. It helps to satisfy the need of customer timely: By maintaining the quality delivery schedule and the require By providing the flexibility of production to give different By providing reasonable low price though increase in rate of production. form of product and verity of products. productivity.
2. It increase the productivity: B.M College of Business Administration 70 Page 12
By utilizing the resources efficiently. By reducing the wastage of raw material, man hour, machine By minimum inventory cost, set up cost, ordering cost etc.
hour, fuel etc.
3. It gives the better satisfaction to the employee: By providing job satisfaction though training, motivation, good By providing them incentive like with higher productivity. working condition.
4.
It satisfies the investors by increasing the return on investment (ROI)
and capital appreciation.
5.
turn over.
It satisfies the supplier of an input and ancillaries. By increasing their
6. It satisfies the community.

By providing pollution free and healthy environment. By welfare and development activity in the community.
Infrastructure
A well equipped infrastructure allows an organization to gain a decisive edge over its counterparts. Considering this fact, we have invested a huge capital for the establishment of the same. Our infrastructure comprises different departments such as warehousing & packaging unit, quality control management system and processing department that help in smooth functioning of an organization. Each department is headed by an expert, who efficiently manages the operations its department. Moreover, we have installed advanced machines and equipment to maintain the swift rate of production.
71 Page 12
2. Activities of Production Department: Production Management includes all the activities right from the procuring of row materials and other inputs to their conversion into marketing output. There are various activities of the production department in the Dhanhar Exim Pvt. Ltd., which are below here in short. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. Product Selection and Design Process Selection and Planning Location of Plant and Facilities Material Handling Capacity of Planning Production Planning and Control Purchasing and Inventory Control Quality Control Maintenance and Replacement of Machinery Cost Reduction and Control Incentives and Extra Benefits
So, there are different eleven types of activities of the production department in the Dhanhar Exim Pvt. Ltd.
3. process layout
Location of plant
Plant location is mainly selection on these areas where the business should well establish for maximum utilize of economy and effectiveness. It is an important decision in long term. Location of plant is most important factor in a private sector. There are many factors are affected e.g. if the place was out side the city then they are free from paying octroi for their product, various taxes, labour transmission facilities, living home to the labour or
72 Page 12
employee like houses, cottages etc., for the raw material storage facility to the certain extent to run production smoothly. When plant or site is located in near or in the city they have no expense to rent for the employee or labour houses, available good infrastructure in compare to the far from the city area, less transportation cost, easy distribution of goods in less time Dhanhar Exim Pvt. Ltd. plant is located at no far from the city and not near to the city. It is located in industrial zone of fulpada in this area they get benefits from the government and electricity, water, roads, communication channels. Dhanhar Exim Pvt. Ltd. Chooses this area because there are available enough raw material with proper quality & quantity. Easy distribution of their product & profitable to the Company. They not thinking for the changing the site. They want to buy or take on the lease new site near the old plant. The population is increasing day by day and residential area will come near to the industrial area so that DHANHAR EXIM PVT. LTD Pvt. Ltd. far from to the residential area. More concentrate on environment not harmful to their citizen. The company will think to establish new plant
73 Page 12
Production department Process layout

Process layout plant depend in 10 types of production department and the Process layout /are as follows.
Flow chart of manufacturing Masala
Plastic/billet Arrival
Testing in Laboratory
Sent back To supplier
Charged in re-use Furnace capacity 1MT/hr
Intermediate Work
Cooling Room
Cutting To length
Storage & Dispatch
INSPECTION B.M College of Business Administration 74 Page 12
(1) Plastics/ Billets:

Plastic / Billets is a one types of row-materials. The plastic / billets they purchases in different places for the different item and he is delivery to the other places and cities,
75 Page 12
which are uses masala. All the industries have too very big stock in plastic / billets.
76 Page 12
(2)
Reheating Furnace:
Reheating furnace means return to plastics and billets furnace. The company foremen or worker supplied for the plastics and billets to the furnace. The cranes carry to the plastics and billets and put the conveyer belt so conveyer belt pick up the plastics and billets goes
77 Page 12
to the reheating furnace. So plastics and billets go to the furnace after the process plastics and billets go to the roughing mill.
(3)
Intermediate Work:
Intermediate mill always work in roughing mill work finished. Actually intermediate mill means the joint for the plastics and billets. Intermediate mill the workers hand a one masala packaging and he was push the out of B.M College of Business Administration 78 Page 12
roughing mill stock and supplied in intermediate mill and the intermediate mill joint the packaging and fixed cuts. So intermediate mill means a one types of joint the packaging. The intermediate mill in a very high degree temperature. So, worker very carefully works in intermediate mill.
(4) Finishing Work

Finishing mill means the finished the Masala Packaging. The Company always very carefully to the finished for the packaging. The Company always demands in the market
79 Page 12
and he was not rough product for the customer. So, Company always very carefully for the finishing mill and the different product for other Masalas companies. Finishing mill always in the very carefully work for the masala packaging.
(5) Cooling Room

Cooling bed means cool the Masala Packages. Some time the package produce in very large number so Company cooling room also facilities provide for the factory. Cooling room work only the cool the packages. The cooling room very long and very big many workers work on the cooling room. The workers pick up the masala packages and put the cooling room.
(6) Inspection
Inspection means a one types of checking for the packages. The Company checks the packages a briefly. The manager is only view to the checking of packages. The Industries one manager appointment to the check of packages. The manager is checks the packages after goes to the packages in the storage & dispatch. Inspection plan is fully automatically. The foremen provide to the machinery and check the packages and the machinery provide the document about in packages how many unpolluted. These facilities also provide the companies for his customers.
Inspection report
No. B.M College of Business Administration 80 Page 12
Bought of
Purchase order no. Material receipt report no. Date
Item no.
Code no.
particular
Quantity on order
Quantity received
period
rejected
Remarks
(7) Storage (Warehousing) & Dispatch

Storage & dispatch means the store the Masalas packages and transporting to the packages. Storage means the companies store the packages and the customer gives the order for the different item of the masala. So, Dhanhar Exim Pvt. Ltd. calls to the
81 Page 12
transporter and gives the dispatch for the packages. Any times the Company gives self delivery for the product. So the very big place for the storage & dispatch and the Company also selected worker for the storage & dispatch. We understand the value of a warehouse in an organization like ours and therefore we have established a capacious warehouse. Our warehouse is managed an expert who manages the working of the same. It is well ventilated and properly segregated for the easy identification of the products. Apart from this, we have packaging professionals who make use of tamper proof bags and corrugated boxes to maintain the quality of the products during the transit. Our team of logistics makes sure to deliver the spices at the clients' end within the committed span of time.
4. Technology used: Technology is play very important role of the any Company. Dhanhar Exim Masala Pvt. Ltd. used latest technology in the factory to produce the different types of Masala and display in the market of whole Gujarat and its selling & result is nice for the Dhanhar
82 Page 12
Exim Pvt. Ltd. So, DHANHAR EXIM PVT. LTD Pvt. Ltd. used INPACK FABRICATIONS PVT. LTD. technology. DHANHAR EXIM PVT. LTD used many other machines and technology which are below here; DHANHAR EXIM PVT. LTD used; 1. High Speed Servo Driven Auger Filler (With Rexroth Bosch System) 2. High Speed Volumetric Viscous Filler to pack oils 3. Servo Driven Auger Filler (With Siemens System) 4. Volumetric Cup Filling ( to pack free flowing Granules) So, Dhanhar Exim Pvt. Ltd. uses these four types machines of the FABRICATIONS PVT. LTD. INPACK
Company uses modern machines and techniques to maximize their production and to minimize the waste. Company uses only Indian Machines, no China Machines.
5. Plant Location, Controls of R.M. in Process & finished goods: Location of plant
83 Page 12
Plant location is mainly selection on these areas where the business should well establish for maximum utilize of economy and effectiveness. It is an important decision in long term. Location of plant is most important factor in a private sector. There are many factors are affected e.g. if the place was out side the city then they are free from paying octroi for their product, various taxes, labour transmission facilities, living home to the labour or employee like houses, cottages etc., for the raw material storage facility to the certain extent to run production smoothly. When plant or site is located in near or in the city they have no expense to rent for the employee or labour houses, available good infrastructure in compare to the far from the city area, less transportation cost, easy distribution of goods in less time. Dhanhar Exim Pvt. Ltd. plant is located at no far from the city and not near to the city. It is located in industrial zone of Surat at A.K. Road. In this area they get benefits from the government and electricity, water, roads, communication channels. Dhanhar Exim Pvt. Ltd. chooses this area because there are available enough raw material with proper quality & quantity. Easy distribution of their product & profitable to the Company. They not thinking for the changing the site. They want to buy or take on the lease new site near the old plant. The population is increasing day by day and residential area will come near to the industrial area so that Company more concentrate o environment not harmful to the their citizen. Dhanhar Exim residential area. Pvt. Ltd. will think to establish new plant far from to the
Raw Material
Dhanhar Exim Pvt. Ltd. uses the raw material to make a product like Plastics/billets. Every product has a different raw material. Dhanhar Exim Pvt. Ltd. Use raw material given below: B.M College of Business Administration 84 Page 12
1. Plastics /Billet 2. Different Masalas Row - Material comes different Places Procuring the raw material The needs of raw material exist when Company receives orders from the customers. For that Company makes contract or agreements with the supplier of raw material. Contract may be duration for the one month or one year. Company purchases the raw material in the local market. According to the agreement duration of contract, price of raw material, quality of raw material, and in some case quantity is also specifying, Partys name, and supplier name is mentioned in the contract. Row -Materials are goods which have not yet been committed to production in a manufacturing firm. They may consist of basic raw materials or finished components, in many of the cases the finished goods of one Company becomes the raw materials of another Company. E.g.: - The finished goods of a Dhanhar Exim Pvt. Ltd. are the masala, which becomes the raw material from different places for different masala. 1. All the plastics Row - Material comes from the Bombay 2. Rock Salts Row - Material comes from the Pakistan (Lahore) 3. Hings Row - Material comes from the Afghanistan (Iran) So, Different types of Row -Material is uses in the Dhanhar Exim Pvt. Ltd. and it comes to many far and different places.
Finished Goods
After come raw materials for different types masala, then work in process to the end of finished goods. Finished Goods are completed products awaiting sale. Finished Goods
85 Page 12
are the final output of the production process in a manufacturing firm. The levels of the three different kinds of inventories depend upon the nature of the business. E.g.: - DHANHAR EXIM PVT. LTD will have high levels of all the three kinds inventory, while a retailer or wholesaler will have high level of inventories of finished goods only.
Inventory Management Definition of Inventory Management: Inventory control means the decision of the firm as to the extent to which inventories can be economically stored.
Inventory management: Dhanhar Exim Pvt. Ltd. they are not able to engage large amount of money in stock. So, Industries plant manager has to handle the inventory of raw material, semi-finished goods etc. There is no such type of different department to manage the inventory. According to the manger who handle the inventory, in early stage there were no speedy transportation and communication so they have to consider the lead time for the raw material required thats why the company need to maintain inventory of raw material and finished or semifinished goods. Today there is a greatest change in the IT sector, transport facility etc. So, there is less need to maintain inventory. Now the raw material is available in the same place or near by place, in case raw material purchased from outside the other city then it is available in one or two days. So, there are fewer burdens to bring the stocks. Dhanhar Exim Pvt. Ltd. maintains stock for the safety purpose so production runs in a smooth way. The stock keeps for the using it crisis time. So, productions not stop.
Store Inward Receipt

M/s. Vehicle no. Date
86 Page 12
GR. / RR. No. Transporter Challan No. Sr. No. Description of material Unit Qty. as per challan Short quantity
Date
INDENT No.
Received quantity
Rejected quantity
Quantity accepted
6. Quality Control
About Quality: -
87 Page 12
Quality refers to the sum of attributes or properties that describe a product. These are generally expressed in terms of specific product characteristics such as length, width, colour, etc. These characteristics must be quantitatively expressed in terms that can be objectively measured or observed.
About Quality Control: Quality Control refers to those activities used to refer to a specific organization within the Industrial enterprise which is assigned responsibility for many of the activities necessary to achieve quality objectives. Quality is the hallmark of all our endeavors, which has set us apart from our counterparts. To ensure high quality in his range, they follow a set of quality assurance policies, which incorporates stringent quality testing process of our range. They have employed a team of quality controllers that keeps a tab on the entire process, starting from the procurement of ingredients to the last stage of shipment. Their wide gamuts of Indian Spices are rigorously tested on various parameters such as: 1. Purity 2. Taste 3. Aroma 4. Freshness 5. Shelf life
Methods of Quality Control, which are uses in the Dhanhar Exim Pvt. Ltd.
There are four method uses, which are 1. Inspection 2. Quality Circles 3. Total Quality Management (TQM) 4. Statistical Quality Control (SQC) Most of use Inspection and Statistical Quality Control by Dhanhar Exim Pvt. Ltd. in the Factory.
88 Page 12
Quality control
Customers of any Company first take care and try to know about the quality of the product. It happens in this Company also. The Company produces a product as per the customer requirement and the standard given by the customer. For quality control company takes sample in each and every stage of production and check the quality of given order. These samples send to the customers and if they approve the sample then and only then the order being processed. Quality check in the Industries own laboratory which is located in their plant. Laboratory is located in the plant so it comfortable to test and transport the sample. If customer reject the sample then second time process is begin with improvement and with care of consider the quality and requirement of customer. Then it sends to the customer again In present time quality control has been one of the most important factor to boost the product in the competitive market. Every stage quality checking, reaction testing becomes an important factor. Just starting the batch from the first reaction time to time testing is carried out in between the process quality control and check is containing carried until the product comes out into the final form especially in dye stuff. Certain quality parameters are important like solubility of materials, insoluble particles of materials, isomers, so contained other foreign particles transparency of the material and strength of the material.
Transport
89 Page 12
The Dhanhar Exim Pvt. Ltd. provides a transportation facility to its customer. For export purpose company send goods to near by dock and then responsibility are shifted to the buyers to carry out the goods to their place. Company sends goods by the truck, tempo, max pick up and other transport agencies. Dhanhar Exim Pvt. Ltd. has its own vehicles to transport the goods.
90 Page 12
CHAPTER 5.FINANCE DEPARTMENT

Budgeting & Planning Taking Loans (Sources of funds) Issuing Shares (if applicable) Providing funds to Different Departments Balance Sheet & Annual General Report Working Capital, Cash, Inventories,Receivables etc.
91 Page 12
Introduction: A firm needs to manage its resources effectively and efficiently to achieve its objectives. The managing of resources in an effective manner is possible only when the management works out the future courses of action in advance and takes decisions in a professional manner, utilizing the individual and group efforts in a co-ordinated and rational manner. Financial Planning should estimated the resources required to carry out operations and determine how far these resources can be generated internally by the firm itself and how far they will have to be obtained externally.
Organization Structure of Finance Department
Chairman Directors General Manager Accountant Cashier Clerk
92 Page 12
Accounting Policies
Method of accounting:
The company follows mercantile systems of accounting as mentioned in the companies act, 1956.
Fixed assets:
All fixed assets are recorded at cost of acquisition including installation cost wherever applicable excluding motivate amount.
Depreciation:
It is being provided according to the companies act 1956 considering written down value method using single shift working in respect of plant and machinery. In respect of other assets depreciation is provided according to rates prescribed in schedule IV of the companys act 1956 in case of addition during the year. Depreciation is provided of the prorate basis.
Inventories:
Inventories are valued at the cost or net realizable value whichever is lower.
Income and expenses recognition:

Income and expenses are accounted for an accrual basis.
Miscellaneous expenditure:
Miscellaneous expenses are amortized over a period of 10 years.
93 Page 12
Capital structure during the year (Amount in Rs.Thousands)

Public issue Bonus issue Rights issue Private placement --------Nil Nil Nil Nil
1. Budgeting & Planning: Definition of Capital Budgeting: Capital Budgeting may be defined as decision making process by which an organization evaluates the major investment proposals keeping due consideration for the, Amount needed for Investment Amount available for Investment Amount that can be acquired from different sources The cost of raising funds Future cash Inflows
Types of Capital Budgeting in the Dhanhar Exim Pvt. Ltd.;

1. Introduction of a New Product 2. Change in Method of Production 3. Replacement 4. Business Expansion 5. Substitution of Machinery for Labour
94 Page 12
Definition of Financial Planning: Financial Planning is primarily a statement estimating the amount of capital and determining its composition. It includes. :
1. The determination of the form and proportionate amounts of securities. 2. Develop the best plan to obtain the required fund. 3. Analyse control points which need to be established. 4. Estimated the requirement of financial resources in time with its operating programme. 5. Established control points which need to be established.
Advantages of Financial Planning in any Company;

Economical procurement and profitable use of funds Elimination of Waste To Maintain Effective Control
Modern business is very complex. Financial Planning helps management to avoid waste which possible by maintaining close co-ordination between various functions of the firm. Financial Planning provides broad guidelines for procurement, allocation and disbursement of funds. Control can be exercised in an effective manner when actual are compared against these guidelines. In the Dhanhar Exim Pvt. Ltd. financial planning is very strong. Finance position level is maintained for the future.
95 Page 12
Factors affecting for the financial planning in the Dhanhar Exim Pvt. Ltd.;
Nature of business Attitude of the Management Alternative sources of finance
Steps in Financial Planning, which are taken by the Dhanhar Exim Pvt. Ltd.;
Review and Analysis of past performance Establishing objectives Financing Consequences of Financial Plans
2. Taking Loans (Sources of funds): DHANHAR EXIM PVT. LTD Pvt. Ltd. requires and uses Short Term Capital for running the business. Short Term Capital to finance its working capital requirements. Dhanhar Exim Pvt. Ltd. taking no loans by any Industrial bank. Dhanhar Exim Pvt. Ltd. use only Retained Earnings in the business firm. Depreciation charged and retained earnings represent the internal sources of finance available to the Company. If the depreciation charges are used for replacing worn-out equipment, retained earning growth the only internal sources for financing expansion and growth. Industrial normally retain 30 per cen to 60 per cen of profit after tax for financing growth.
Advantages of the Retained Earnings in the Dhanhar Exim Pvt. Ltd.

A. Retained Earnings are readily available internally. They do not require taking to outsiders. B. Retained Earnings effectively represent effect of additional equity in the firm. C. There is no transfer of control when a firm relies on retained earnings. D. The capital appreciation that arises as a sequel to retained earnings is subject to a lower tax rate. B.M College of Business Administration 96 Page 12
E. Reinvestment of profit may be convenient for many shareholders as it relieves them to some extent of the problem of investing on their own.
3. Providing funds to Different Departments: Dhanhar Exim Pvt. Ltd. providing funds to different departments in their budgeting programme. 8% to 10% for marketing department 20% to 30% for capital budgeting 2.5% to 4% for employee welfare 50% to 55% for wages & salary
4. Issuing Shares: Dhanhar Exim Pvt. Ltd. has no Issuing Shares and no applicable shares.
97 Page 12
1. balance sheet & Annual General Report:Annual General Report & Balance Sheet of the DHANHAR EXIM PVT. LTD for the year of 2010 2011 Trading Account as on the date 31/03/2011
(Account Year: - 2010 2011)
Particulars Account)
(Name
of Debit
------------12,44,697 1,32,315 2,21,058 2,33,280 2,08,98,501 43,01,891 68,44,209
Credit
2,87,81,702 28,45,211 22,48,738 -----------------------------
Sales of Goods (Retail) Closing Stock A/C Fire & General Ins. A/C Opening Stock A/C Sales Tax A/C Octroy A/C Electric Bill Exp. A/C Purchase of Goods (Retail) Purchase of Goods (tax) Gross Profit
Grand Total of Trading 3,38,75,951 Account
3,38,75,948.21
98 Page 12
Profit & Loss Account as on date 31/03/2011

Particulars (Name of Account)

Gross Profit Bank Com. A/c Discount A/c Telephone Exp. A/c Petrol Exp. A/c Other Exp. A/c charity Exp. A/c Machinery Reading Exp. A/c Advertising Exp. A/c Salary Exp. A/c Fire & General Ins. Exp. A/c Professional Tax Stationary Exp. A/c Mobile Phone Exp. A/c Cold Storage Rent Computer Programme Service Exp. Lava jam Exp. A/c other Exp. Carriage Outword Exp. Letter (Tar - Tapal) Exp. Packing Stock Hire Charges Depreciation Exp. Legal Action Fee Exp. Website Exp. Machinery Parts Exp. Rent Exp.
Expense
----7,153 40,859 11,519 28,732 7,904 4,200 57,660 665039 3,30,400 60,790 1,000 4,817 23,499 2,389 8,000 12,900 3,534 1,79,749 18,428 ----44,291 3,18,343 42,382 26,636 96,664 1,42,800
Income
68,44,209 ----------------------------------------------------------------------------6,01,277 -------------------------
99 Page 12
Bonus Exp. Salary Exp. (Staff) Interest Exp. Machinery Consultant fee Light man Exp. Purchase of Packing Net Profit & Loss A/C
27,500 2,49,000 3,17,696 34,800 34,800 31,68,016 14,73,986
-----------------------------
Grand Total of P & L Account Balance sheet
74,45,486
74,45,486
It is statement of financial position of any economic unit disclosing as at a given movement of time its assets at cost, or other indicated value, its liabilities and its ownership equities. It shows current assets, current liabilities, fixed assets, investment, differed charges, long-term liabilities, proprietors fund etc. In brief it includes the figure in summery from of various assets held by the company and also its liability towards outsiders including the owners at the end of last day of an accounting year.
Balance Sheet as on date 31/03/2011

Particulars (Name of Account)

Partners/Prop. Capital
Liabilities
55,54,326
Assets
-----
100 Page 12
Secured Loans Unsecured Loans Sundry Creditors (Suppliers) Other Liabilities Sale tax A/C (Previous) Other Account Fixed Assets Machinery A/C To lamp A/C Computer Printer A/C Motor Cycle (bike) A/C Air Condition A/C Fax Machinery A/C Television A/C Computer A/C Civil Exp. A/C Good will A/C Motor Car A/C Advance Given to Employees Sundry Debtors (Customers) Cash Account Cash Book Bank Account Dena Bank Current Assets Closing Stock A/C (B/A) Electric Item A/C Packing Stock A/C
32,11,252 4,15,626 61,95,516 47,561 3,20,000 --------------------------------------------17,500 -------------------------
--------------------1,99,000 7,041 10,317 3,752 45,694 2,292 4,175 64,427 31,785 3948019 11,65,948 ----2,74,517 11,10,186 3,94,109 28,45,211 51,624 6,01,277
Grand Total of Balance Sheet
1,57,59,000.77
1,57,59,000.77
DHANHAR EXIM PVT. LTD goes to on the profit way comparing the year of 2009 2010. DHANHAR EXIM PVT. LTD has more profit in the year of 20102011. In the year of 20092010 Gross Profit was Rs. 51, 66,835.92 and year of 20102011 Gross Profit is Rs. 68, 44,209.19. So, it means Rs. 16, 77,373.27 more profit in the year of 20102011 comparing the year of 20092010. Its good shine for the business because DHANHAR EXIM PVT. LTD goes to on the profit way.
Analysis of P&L account and Balance Sheet by Ratio
101 Page 12
Ratio of DHANHAR EXIM PVT. LTD

Ratio analysis is powerful tool of financial statement analysis. In financial statement analysis a ratio analysis used as a band mark for evaluating the financial position and performance of a firm. The absolute figures reported in the financial statement do not provide meaningful understanding of the performance and financial position of firm. An accounting figure coveys meaning when it is related to other information. The term ratio refers to the numerical or quantitative relationship two variables regarding financial performance, operational efficiency and profit margin with respect to companies over a period of time and has but one companies within the same industries group.
Liquidity Ratio:Amonnt 2011 Current assets 3498112 1.Current ratio = Current liability 9822394 0.356:1 Interpretation: If Current ratio is 2:1 then it is satisfactory but here current ratio is 0.356:1 so it is not satisfactory as per the accounting standard liquid Assets 2.Acid test ratio = liquid Liability 17,78,812 98,22,394 0.181:1 Interpretation:If Acid test ratio is 1:1 then it is satisfactory but here Acid test ratio is 0.181:1 so it is not satisfactory as per the accounting standard 3.Long term fund to fix Long term fund Fixed assets Asset ratio = 9181205 1534435.34 Liquidity Ratio
5.983441948 Interpretation: Long term fund to fix Asset ratio is 5.983so it is satisfactory as per the accounting standard
102 Page 12
Profitibility ratio:Profitibility ratio Gross profit * 100 1.Gross profit ratio = Net sales 2011 (Amount) 68,44,209*100 2,87,81,702 23.78 or 1:4.205 Interpretation:If Gross profit ratio is 1:4 then it is satisfactory but here Gross profit ratio is 1:4.205 so it is satisfactory 2.Operating ratio = COGS+Operating exp.*100 Net Sales 289,70,10,056 2,87,81,702 99.96
Interpretation Operating ratio is 99.96 is so good for the company so it is satisfactory as per the accounting standard 147398644 28781702 5.12126225 Interpretation :If Gross profit ratio is 1:3 then it is satisfactory but here net profit ratio is 5.121:1so it is satisfactory and it is very good for the company 3.Net Profit ratio Net Profit*100 Net Sales
103 Page 12
Efficiency Ratio:2011(Amount) Net Sales 28781702 1.Stock Turnover ratio = Average inventory at cost 2044954.12 14.074498 Interpretation:this ratio show the how many time is turn over of the money or investment here Stock Turnover ratio is 14.074 so it is one strength point of company Debtor BR *360 8953.81 2.Debtors Turnover ratio = Net Credit Sales Not Define --------3.Creditor Turnover ratio = Creditor BP*360 Net Credit Purchase 5927172.7 Not Define ----------
104 Page 12
6. Working Capital: Working capital to a company is like the blood to human body. It is the most vital ingredient of a business. Working capital management if carried out effectively, efficiently and consistently will assure the health of an organization.
Meaning:Working capital is defined as the excess of current assets over current liabilities. Current assets are those assets which will be converted into cash within current accounting period or within the next year as a result of ordinary operation of the business. They are cash or near cash resources. This includes: Cash and bank balance Receivables Inventory Raw materials, stores and spares Work in progress Finished goods Prepaid expenses Short term advances Temporary investment
The value represented by these assets circulates among several items. Cash is used to buy raw material, to pay wages and to meet other manufacturing expenses. Finished goods are produced. These are held as inventories. When these are sold account receivable brings cash into the firm. The cycle starts again. This is shown in the following diagram.
Cash
Inventories
105 Page 12
Circulation of current assets

Current liabilities are the debts of the firms that have to be paid during the current accounting period or within a year. These include: Short term goods purchased Creditors for good Out sstending expenses Advances received against sales
Particulars
Current Assets Inventories Sundry debtors Cash on hand Bank account Loans and advance A: Total Current Assets Current Liabilities Creditors Advance for goods Provisions Other liabilities
2007
325843.00 265562.24 1006635.00 394109.93 ----1992150.17
2006
181545.00 108563.85 501120.00 ----45000.00 1036228.85
527172.74 297100.00 544870.00 55000.00 1424142.74 568007.43
325574.85 ----348115.00 ----673689.85 362539
B: Total Current Liabilities

Working capital = (A-B)
STATEMENT OF WORKING CAPITAL
106 Page 12
Formula to calculate Operating cycle is; Operating Cycle = R+W+F+D-C
Raw material storage period :

R= Average stock of raw material Average raw material consumption per day = 15 days .
Finished goods storage period :

F = Average finished stock inventory Average cost of goods sold = 1 day
Debtors collection period :

D= Average debtors Average credit sales per day = 36 days .
Credit payment period :

C= Average creditors Average credit purchase per day = 20 days Operating cycle = R + F + D C = 15 + 1 + 36 20 = 32 days .
Internal audit policies:Internal audit system is very important for any Company. By the audit, management can know where the company stands. This is the best way to control and remove deices. Management can also easily know whether they are earning profit or incurring loss.
107 Page 12
The balance sheet and profit and loss A/C of DHANHAR EXIM PVT. LTD is audited every year at the end of the march. An audit of DHANHAR EXIM PVT. LTD is conducted in accordance with auditing standards generally accepted in India. Audit is planned and performed to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining on test basis evidence supporting the amount and disclosure in the financial statement. An audit above includes assessing the accounting principles used significant estimates made by the management as well as evaluating the overall financial statement presentation. Here auditing is done half yearly. The balance sheet and profit and loss A/C comply with the accounting standards referred to in subsection 3-C of section 211 of the companies act 1956.
Types of Payment to Auditor

Audit Fees Tax Audit Fees Other Matters Services Tax
Amount (Rs.)
15000 5000 5000 1250
108 Page 12
Finding
1. Financial analysis of dhanhar exim pvt. Ltd. This company current ratio is 0.356:1 is very poor as camper to the accounting standard and also when we show the balance sheet of this company at a time I mark current asset of dhanhar exim pvt. Ltd. Is very low as compare to the his current liability. But his gross profit and net profit is very good and that reason is their strong financial planning and management skill. 2. Marketing analysis of dhanhar exim pvt. Ltd. Company produces their product when the they got the order so companys storage period of good is 1 or more then 3 days. Company is now tread thru the e-commears so because of this they get the advantage of treading in international market. dhanhar exim pvt. Ltd. Provide to their customer quality promises offer in very chipper price. in spice market many rival firm so they do require the advertisement.
3. analysis of production department dhanhar exim pvt. Ltd. dhanhar exim pvt. Ltd. produce their product as per the international standard and hallmark standards like packing. they mostly focus on test of the product as per the customers went.
4. analysis of human resource department dhanhar exim pvt. Ltd. give fair wages to their labars and give promises of minimum wages.
109 Page 12
And whenever company adopt new technology at a time they give a training to their laboar they work effectively on new machinery. Company has maintain the employ relationship thru the bonus gift and welfare activity .
Suggestion
Improve the current ratio& acid test ratio. Collection policy of the company is liberal so do the slimly strict. Do some more promotional activity because of the some big rival firm like.M.D.H & S.K they expense very big amount of money behind advertisement. Very big Scope of the spice industry in forain countrys (uropian country)so consentreat on this . Use some automatic machinery so they achieve target production output can be achieve easily. Open new agency and acquire new agents for the covered the market and enter into new markets. Steps should be taken to increase the utility of the product. Product should be improved as per the new preference. updated with the advanced technology and latest trends of the market.
110 Page 12
CONCLUSIONS
For the requirement of completion of 4th semester of B.B.A. We had undergo two months summer training at DHANHAR EXIM PVT. LTD. Surat. With the objective to gain Practical knowledge and experience in the company and to study the activities of different functional area. It was good experience at DHANHAR EXIM PVT. LTD. studying about the different department. On the other hand going for a market survey was an invaluable addition to my Knowledge. To conclude in a single student, I personally feel that 2 month Training at DHANHAR EXIM PVT. LTD. has added many features to my knowledge wing which will definitely help me to achieving a success during my future and career flight. During my Training I found that this company is in a good and Strong Position. This company has a very good management and staff of this company is a qualify and high skilled. There is a good Co-ordination and confidence in the company. The companys chairman I aim to provide Better Product to customer. I am sure that company achieve its goal in very short time.
111 Page 12
BIBLIOGRAPHY BIB IOGRAPHY

Annual report of Dhanhar Exim Pvt. Ltd. Company
Reference Book: Marketing Management: Production Management: Finance Management Human resource management By Philip Kotler By K.Ashwathapa By Bhagvati & Pillai By K. Ashwathapa
Website: http://www.tradeindia.com http://surat.indiabizclub.com.
112 Page 12
113 Page 12

Dhanhar Exim

Enviado por

Dados do documento

Título original

Direitos autorais

Formatos disponíveis

Compartilhar este documento

Compartilhar ou incorporar documento

Opções de compartilhamento

Você considera este documento útil?

Este conteúdo é inapropriado?

Direitos autorais:

Formatos disponíveis

Dhanhar Exim

Enviado por

Direitos autorais:

Formatos disponíveis

A Project Report On

DHANHAR EXIM PVT. LTD. (S.Y.B.B.A-2010-2011)

B.M College of Business Administration

B.M College of Business Administration

B.M College of Business Administration

Gajera Ankit Harkhani Nirav Tank Pranv Soni Jaimin

B.M College of Business Administration

HUMAN RESOURCE DEPARTMENT

B.M College of Business Administration

FINDING SUGGESTION CONCLUSIONS BIBLOGRAPHY

Chapter 1. Introduction Mission and value Profile of the company

Competitor History of the company SWOT Analysis

B.M College of Business Administration

2. Profile of the Industry

B.M College of Business Administration

How Spices Shaped History

Spices and the Age of Exploration

Spice Industry Overview

B.M College of Business Administration

Indian Industry Overview

India's Share in the Global Spice Market

B.M College of Business Administration

India's share in Global Spice Derivative Market

Growth in Spices Market

B.M College of Business Administration

B.M College of Business Administration

Today range of 52 products anailable in over 140 different packages

B.M College of Business Administration

VI. VII. VIII. IX. X. XI. XII. XIII. XIV.

4. History of Company:B.M College of Business Administration 14 Page 12

B.M College of Business Administration

B.M College of Business Administration

B.M College of Business Administration

Fact Sheet Company Detail

Packaging/Payment and Shipment Details

B.M College of Business Administration

B.M College of Business Administration

A state-of-the-art infrastructure Well coordinated team Economical prices On-time delivery

Chapter 2 . MARKETING DEPARTMENT

1. Structure of Marketing Department

B.M College of Business Administration

Head of Marketing Department Hitesh bhai

2. Products of the Company :

B.M College of Business Administration

Rich taste Aroma No preservatives Unadulterated

B.M College of Business Administration

B.M College of Business Administration

3. Packaging & Labeling: -

B.M College of Business Administration

B.M College of Business Administration

B.M College of Business Administration

B.M College of Business Administration

B.M College of Business Administration

4. Price of Products (Pricing Policies): -

B.M College of Business Administration

Pricing policy of Company

How to deciding the price?

Responding to the competitors price changes

B.M College of Business Administration

SUPER GARAM MASALA

B.M College of Business Administration

SHINGODA LOT ROCK SALT

100.g 1.kg 40.g 100.g