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REPORT ON ORGANISATIONAL STUDY AT
KSE (KERALA SOLVENTS EXTRACTION) LTD,
VEDAGIRI
Submitted in partial fulfillment of the requirements for the award of the
degree of MASTER OF BUSINESS ADMINISTRATION
Mahatma Gandhi University,
Kottayam.
By
SEBIN SEBASTIAN
REG.NO:
Under the Supervision of
MS.MINU MARY JOSEPH (ASST.PROF.)
MARIAN INTERNATIONAL INSTITUTE OF MANAGEMENT
KUTTIKANAM, IDUKKI (Dt)
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DECLARATION
I, SEBINSEBASTIAN, MBA student , Marian International Institute of
Management, Kuttikkanam, do hereby declare that this report
entitled “ AN ORGANISATION STUDY OF KSE LIMITED, VEDAGIRI “,
submitted in partial fulfilment for the degree of Master of Business
Administration, is a record of bonafide work done by me under the
guidance of Ms. Minu Mary Joseph, Assistant Professor, MIIM,
Kuttikkanam. I further declare that no part of this report has formed
the basis for award of any degree, diploma, associate ship, fellowship
or any other similar title of recognition in any other institution.
Kuttikanam sebin sebastian
10-09-2012
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ACKNOWLEDGEMENT
First and foremost I obliged to the Almighty who showered upon us with the
blessing and gave me health and knowledge to complete this organization study
successfully.
I take this opportunity to express my gratitude and indebtedness to the Director,
Dr. P.V Mathew, Marian International Institute of Management, Kuttikkanam.
For providing guidance, help and suggestions for the successful completion of
this organization study.
My special acknowledgement and gratitude to Mr. Vinod Kurian, Plant
Manager KSE Limited, Vedagiri, Kottayam, for giving me an opportunity
do my organization study in his organization. I also express my sincere thanks
to my Organization guide Mr. V V Mathew, KSE Limited, Vedagiri,
Kottayam, for his help and support to complete this organization study.
I also express my gratitude to my faculty guide Asst Prof. Ms. Minu Mary
Joseph, MBA. Faculty, department of management studies, Marian
International Institute of Management, Kuttikkanam,
Last, but not the least I would like to thank our friends who were a source of
support and encouragement for successful completion of the project.
Place : Kuttikanam sebin Sebastian
Date :
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CONTENTS
Chapter No. Particulars Pages
1 Introduction
1.1 Objectives of the study
1.2 Scope of the study
1.3 Methodology
1.4 Limitations of the study
5
7
8
9
10
2 Profile
2.1 Industry Profile
2.2 company profile
2.3 product profile
11
19
34
3 Organisational structure and
its chart 39
4 Departmental details
4.1 Finance Dept.
4.2 Marketing Dept.
4.3 Production Dept.
4.4 Quality Dept.
4.5 HR Dept
4.6 Purchase Dept.
Future plans and programmes
40
49
57
63
67
73
5 SWOT Analysis
5.1 Strength
5.2 Weakness
5.3 Opportunities
5.4 Threa
83
84
85
86
86
6 Findings & Suggestions 87
Conclusion 89
Bibliography. 90
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INTORDUCTION
An organization is a group of people intentionally organized
to accomplish an overall, common goal or set of goals. An
organization ranges in size from two people to tens of thousands of
people. There are several important aspects to consider about the
goal of the business organization. These features may be explicit or
implicit. These features are carefully considered and established,
usually during the strategic planning process. Members of the
organization often have some image in their minds about how the
organization should be working, how it should appear when things
are going well. This is generally known as its vision. An
organization operates according to an overall purpose, or mission.
An organizational study is the systematic and careful
application of knowledge about how people –as individuals and as
groups – act within organizations. It encompasses the study of
organizations from multiple viewpoints, methods and levels of
analysis. So the organization study is important for future
managers. The purpose of an organizational study is to understand
the structure and functions of the organization as a whole and all of
its departments.
The purpose of this study is to get practical knowledge of the
theory studied about the various function of the organization, to
understand the different departments, to study the systems,
processes and procedures and get insight on organization hierarchy.
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Each and every organization has its own importance in the
economic wealth of the nation. Different organization meets differ
ent needs of people by effecting different product and services. As a part of
the academic curriculum, each student has to undertake an organizational study
to get practical exposure. This study was conducted at K.S.E Limited,
VEDAGIRI. This study was based on the different aspects
and dimensions of different departments of thecompany.
India is the largest milk producing country in the world with an
annual yield 79 million tone. Milk and milk products have a
prominent position in human life.
Solvent extraction is usually used to recover a component from
either a solid or liquid. The sample is contacted with a solvent that
will dissolve the solutes of interest. Solvent extraction is of major
commercial importance to the chemical and biochemical industries, as
it is often the most efficient method of separation of valuable products
from complex feed stocks or reaction products. Some extraction
techniques in involve partition between two immiscible liquids, others
involve either continuous extractions or batch extractions. Because of
environmental concerns, many common liquid/liquid processes have
been modified to either utilize benign solvents, or move to more
frugal processes such as solid phase extraction. The solvent can be a
vapour, supercritical fluid, or liquid, and the sample can be a gas,
liquid or solid
The Indian feed industry is about 35 years old. It is mainly restricted
to dairy and poultry feed manufacturing; the beef and pork industry is
almost non-existent. The quality standards of Indian feeds are high
and up to international levels. Raw materials for feed are adequately
available in India. The industry's production is about 3.0 million tons,
which represents only 5 percent of the total potential, and feed exports
are not very high. The feed industry has modern computerized plants
and the latest equipment for analytical procedures and least-cost
ration formulation, and it employs the latest manufacturing
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technology. In India, most research work on animal feeds is practical
and focuses on the use of by-products, the upgrading of ingredients
and the enhancing of productivity.
The country has entered into a period of liberalization and this is
bound to influence the livestock industry. The per capita consumption
of milk, eggs and broiler meat will grow. The Indian feed industry is
undergoing a very exciting phase of growth for the next decade.
As time changed the cattle feed industry emerged as a
booming one and product diversification became necessity. It is
hard to estimate the demand for cattle feed in our country. K.S.E
Limited is the major player in this field with a significant market
share. The study intends to get an overview of the K.S.E‟s organiza
tional structure functional department and their styleof working.
OBJECTIVES OF THE STUDY
The objectives of the study are classified under two
heads. They are :
Primary Objectives
To understand the working of different
departments in the organization.
To understand the relationship between
different departments in the organization.
To understand the organizational structure of
the organization.
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Secondary Objectives
To study about various functions and services
provided by the company.
To find out the strengths, weaknesses,
opportunities and threats of the organization
SCOPE OF THE STUDY
The organizational structure.
The communication between different departments in the
organization.
The interconnectedness between different departments.
The working condition in the organization.
PURPOSE
The parameters for the need of this study are:
To get a practical knowledge of the theory studied.
To study about the various functions of the
organization.
To study the interconnectedness between the different
departments
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METHODOLOGY
Methodology means the source of information from which the
data‟s are collected for the preparation of project report. In order to
know about the functioning of different departments in the
organization, data‟s are collected from both primary and secondary
sources.
Primary Data: primary data is the first data collected from
primary sources. Primary sources are direct interviews with various
managers, employers and workmen. This face to face communication
helped to know about the workmen‟s attitude towards the company
Secondary Data: Secondary data are collect from secondary
some such as publications, Journals, magazines, company records,
company projects etc. these data helped collect information about the
company‟s previous position, present state and future prospects.
SIGNIFICANCE
The Academic curriculum provides only on outline view about
theoretical aspects of the compare. The organizational study helps as
to familiarize with the practical size of the organizational functions.
This is an analysis is made in the study in which the theoretical
aspects is compare with the actual situations. The object of the
project is to find the role of various departments in SCORPIO TILES
(PVT) LTD.
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LIMITATIONS
An organizational study is always a complex and incomplete
task. The major limitations of the study are:
Limited time.
Busy schedule of the departmental heads.
There is only a limited guideline in the specified area of our
project work.
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INDUSRTRY PROFILE
The solvent industry has achieved a phenomenal progress and at
present there are 520 units having overall oil cake or oil seed
processing capacity of more than 9.9 million/year. The solvent
extraction plays important role in the oil industry. Solvent extraction
in India was started at 1945, it had to struggle for more than 20 years
to establish it.
In the year 1960‟ s there was a crisis in the coconut oil
extraction industry in Kerala. After the conversion from wooden ghani‟ s to
rotaries the cost of production has increased considerably. By using
the new method, there were able to extract more oil from coconut
cake. Earlier 20% of the oil was retained in the coconut cake, now it
has reduced to 12%.
When oil industry in other parts of the country was
thriving, in Kerala it was struggling. So they understood the need for
modernizations of their mills.
At the time Dr.P.S.Lokanathan committee setup to study
the feasibility of starting new industries in Kerala, recommended the
establishment of 3 solvent plants in Kerala and it was also proposed
that one should be located in Thrissur itself
Cow had a significant place in ancient India. Since man‟s many essentials were
met by the cow; she was worked shipped as „Gomatha‟. Eventually
breeding of cows became one of the most profitable jobs for man. India is
the country which has the largest number of cows but they produce
considerably less amount of milk. The main reason is lack of
nutrients. In early days, grass was considered as the main cattle feed. But now
the attitude is changed. Initially cow was given grass and straw.
As man became more and more civilized, he invented advanced cattle
feed. As cattle feed industry flourished in the country, cattle feed
started to be produced in bulk, in factories. Cattle feed industry
even though had initial teething troubles due to lack
of knowledge and indifferences from the part of authorities; now is in the
growth phase.
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Growth in milk sector has occurred mainly through co-operative
efforts. The milk collection centers started through co-operative effort
and collected milk from villagers in quantities as small as liter and
gradually started to provide other services to farmers, including
education, artificial insemination, veterinary health support and
feeding. Small farmers became prosperous, loan facilities were made
available through banks, and member farmers started to share the
profits from co-operatives .Co-operative society also set up their own
computerized feed plant. They began to own modern computerized as
well equipped milk processing plants from which they produce and
market pasteurized milk, butter oil, chocolate, ice-cream from milk,
sweets, which are very popular with Indian consumers. Today the
feed production capacity of the co-operative society is about
0.7million tones per year.
The solvent industry has achieved a phenomenal progress and at
present there are 520 units having overall oil cake or oil seed
processing capacity of more than 25.6 million tons per year, which
included rice bran processing capacity of more than 9.9 million per
year. The solvent extraction plays the important role in the oil
economy. Solvent extraction in India was started in 1945. It had to
struggle for more than 20 years to establish it.
CRISIS OF COCONUT INDUSTRIES IN KERALA IN 1960’
In the 1960‟s there was a crisis in coconut oil extraction industry in
Kerala. After conversion from wooden ghani‟s to rotaries the cost of
the production had increased considerably. By using this new method
they were able to extract more oil from the coconut cake. Earlier 20%
of the oil was retained in the coconut cake, now it has reduced to
12%.Although Kerala produces 80% of copra produced in the country
large part of it was sold to other state as copra itself and they were
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earning good profit when mills in Kerala wasn‟t able to get enough
copra for their daily needs. When oil industry in other parts of the
country was thriving in Kerala it was struggling. So they understood
the need for modernization of their mills. At that time Dr. P. S.
Lokanathan committee set up to study the feasibility of starting new
industries in Kerala, recommended of establishment of 3solvent plants
in Kerala and it was also proposed that one should be located in
Thrissur itself.
COCONUT OIL MILLER’S CO-OPERATIVE SOCIETY
Lion share of copra went to mills in Bombay and they were able to
generate good profits. To overcome the situation a co-operative
society formed by name Coconut Oil Miller‟s Co-operative
Society and it was decided that this society would act as an agent of
state trading corporation for distribution of copra. By seeing the
performance of the Bombay group an investigation department was
assigned to investigate it. Then they found out that they were
using expeller mills for extracting oil and was able to reduce
the oil content up to 6%. The industries in Kerala later began to
follow it.
CATTLE FEED INDUSTRY
From the beginning KSE Ltd marketed the buy product obtained from
its solvent extraction division in the brand name of Jersey
Copra Cake. Most of the progress in the cattle feed sector has
come about in the past 30 years only. There are only few cattle feed
units in the country especially in Kerala. The cattle industry of the
state has been utilizing the indigenous raw material i.e. coconut cake,
which is the residue left after the extraction of oil from copra which is
mainly used as cattle feed. Coconut cake contains four to five per cent
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oil is generally used for industrial purpose and deoiled cakes is used
to make mixed cattle feed.
In Kerala the rotary cake was used as a cattle feed and actually this
excessive oil on cakes reduced the keeping quality of the cake
and also upset the digestive system of the cattle e. In foreign
countries, the cattle is feed only with de-oiled cakes and according to
the dairy experts, the milk and fact contend of milk
depends solely on the protein contend of the feed. All these
factors stress the importance of having a few cattle field
industry in the state.
Thus in 1996, KSE Ltd. Entered the cattle field industry by setting up
the new plant for manufacturing ready mixed cattle feed. During the
last three decades KSE has been acting as a leader in ready mixed
cattle feed industry of the country. Today, KSE Limited commands
the resources, manufacture a range of livestock feed in high volumes,
driven by the commitment to high standards of quality.
DIARYINDUSTRY
Most of the progress in the dairy sector has come about in the past 25
years only. Till 1970, the country‟s milk production increased
merely by one per cent a year. But after the intensification of
cattle improvement programme through artificial insemination,
using sasses of exotic breeds and launch of operation flood, the
production started rising rapidly from the mid 1970‟s.
The transformation of India from a milk deficit to a milk
surplus country is essentially the result of an intensive campaign
launch by the Govt. and semi Govt. bodies to promote animal
husbandry as a means of generating income for the landless poor.
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Many of these producers have organized themselves into co-
operative under the umbrella if the National Dairy
Development Board (NDDB) which had been running a highly
successful animal husbandry promotion programme named
Operation Flood.
The private sector has now entered into this field in a big way,
capitalizing on the availability of cheap surplus milk to produce
various kinds of dairy products for the domestic and
international market. Several dairy products like skimmed
milk powder, whole milk powder, and infant milk foods of
western origin are now being produced in India. A variety of
cheeses, milk drinks, ice creams, pasteurized butter etc. which,
were very common in this country till a few decades ago are
now available in abundance in department stores of big and small
cities.
The main objective of this programme is to build a viable and
self-sustaining national dairy industry capable of meeting the
domestic demand for fresh liquid milk and milk products and
competing in the international markets.
THE FUTURE OF THE INDIAN FEED INDUSTRY
At the beginning of the twenty-first century, India has a population of
1 billion people. Although the annual growth rate has slowed from 2
to 1.8 percent, the base is so broad that changes in population
dynamics are not perceptible. The population may stabilize by
sometime between 2030 and 2040 if all sections of society support
family planning wholeheartedly. The purchasing power of the middle
class is growing (the middle class accounts for approximately 300
million people) and food habits are also changing.
The Indian economy is growing at the rate of 6 to 8 percent per
annum. The livestock industry in India is the second largest
contributor to gross domestic product (GDP), after agriculture, and
accounts for 9 percent of the total. Consumption is likely to increase
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as follows: per capita milk from 240 to 450 g per year; per capita eggs
from 40 to 100 per year; and per capita broiler meat from 1 000 to 2
000 g per year.
A major change is occurring in India on the economic front. The
country has adopted a model that lies midway between liberal and
public sector production, but growth has been affected by the poor
performance of most of the public sector units, rising government
costs and fiscal deficit, and the economy has suffered. A process of
liberalization was set in motion by the government and has been
implemented for the last eight to ten years. This has caused India to
open up and invite investment from multinationals, liberalize imports,
reduce government expenditure and remove public sector businesses.
It also means that the days of nationalization, unnecessary
government controls and restrictions will soon be over thanks to
progress in the country's economy.
India has entered into an agreement with its trade partners under the
World Trade Organization (WTO). The changes brought about by the
liberalization process will be slow but certain. The government is
opening up imports in a phased manner, and it is expected that this
process will be completed by April 2003. In the meantime, about 930
items, including agricultural products, will be open for import under
open general license from April 2001, making it possible to import
dressed chicken, milk and milk products.
Various livestock industry associations have taken issue with such
imports in an attempt to protect their members. If the livestock
industry is affected, the feed industry will also be affected. The
Government of India has raised the tariff on all poultry and poultry
products from 35 percent to the WTO boundary level of 100 percent.
It therefore appears that there will be a level playing field.
In view of the expected rise in per capita consumption of chicken
meat, eggs and milk, livestock production and productivity will grow.
The dairy industry, which is cooperative-based, is growing with the
increased capacities of milk processing units. The population of cross-
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bred cattle and buffaloes is also growing. Milk is very popular in
India. The poultry industry is developing towards vertical integration
and a few multinational companies have already entered the Indian
poultry business. Although the live bird market currently accounts for
about 90 percent of the total market, it is expected that the
consumption of dressed chicken will grow in the next five years, from
the existing 10 percent to 25 percent or more. This would mean
establishing very hygienic and scientific processing units. Cold
chains, branded chicken, chicken cuts, etc. will be introduced and,
depending on the success and consistent quality, consumer preference
for dressed meat will grow.
The next decade will see significant changes in restructuring, mergers,
acquisitions, amalgamations, joint ventures, diversification,
integration and efficient service chains, e-commerce and use of the
latest information technology in global tenders, trading, export/import
and other commercial activities. At the root of all these developments
will be the scientific development of feed manufacturing technology.
The Indian feed industry will increasingly use biotechnology, more
scientific formulations, new molecules and natural and herbal
products to improve animal productivity. Indian agriculture will also
use biotechnology and genetically modified organisms (GMOs) to
support the feed industry, which is entering a very exciting phase of
growth for the next decade
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COMPANY PROFILE
A BRIEF HISTORY OF KSE LIMITED
KSE ltd is a public limited company is a incorporated with substantial
capital participation by the Kerala State Industrial Development
Corporation ltd. Trivandrum and though loans from industrial finance
corporation of India, New Delhi. The company is engaged in the
solvent extraction of ground nut cake and rice bran also. The oil thus
obtained is moved for industrial purpose into the market. In addition
is full-fledged livestock feed division engaged in the production of
ready mixed cattle feed. The company was registered in the year
1963. In 1973 the solvent extraction plant was started with
processing capacity of 60 metric tons of cake per day. In 1976 the
company stated production of ready mixed feed with the production
capacity of 50 metric tones per day and in 1983 the company
increased the production of cattle feed to 120 mt per day which has
recently been increased to 180 mt per day by the construction of a
fully automated computerized plant.
In 1988 company started a solvent extraction and cattle feed
plant at Swaminathpuram near Palani, with production capacity of
150mts of cattle feed per day and processing capacity of 100-120mts
of expeller extracted deoiled cake. In 1972, the company lased new
cattle feed plant at pothannur near coimpathur with a production
capacity of 80 mts per day and in 1995 company has leased a plan in
mysore with the capacity of 50 mts per day. In 1996 the company
started a new plant at vedgiri in Kerala with the capacity of 240 mts
per day. Kerala solvent extraction ltd come out with a premium
public issue on March 1993 which was over subscribed, through the
stock markets are showing a low trend, now Kerala Solvent’s share is
still quoted at Rs.140 per share whose face value isRs.10. this reflects
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the confidence of investing in the company.
It was in 1963 that Kerala Solvent Extraction limited now
known as KSE ltd entered the solvent extraction industry setting up
the very first solvent extraction plant in Kerala. The traditional
coconut oil industry in state was facing a decline then. Though the
largest producer of copra in the country, as much as 80% of it, Kerala
the infrastructure to exploit the potential of its abundant produce.
While the oil industry in other parts of the country were thriving. The
Dr. Lokhanathan committee, set up to feasibility of starting new
industries in Kerala, recommended the establishment of 3 solvent
extraction plants. And one of them, in Thrissur district. The oil mill
owners in and around Irinjalakuda, who were thinking in similar lines
saw the opportunity and look the initiative to establish a solvent
extraction unit. The solvent extraction plant went on the stream in
1972 and in 1976 a new plant was setup to manufacture ready mixed
cattle feed, which was a pioneering step. Since then there, was no
looking back. The last 3decades have seen KSE emerging as a leader
in solvent extraction and ready mixed cattle feed in the county and
though these years of consolidation and diversification KSE has crate
a niche for itself. Today KSE commands the resources, expertise and
infrastructure to manufacture a range of live stock feed in high
volumes, coconut oil from coconut cake and refined edible oil. Since
the early, KSE had endeavored to supply its products to customers
through extensive network of dealers and retailers which from a
dedicated force behind the success of KSE. It is matter of pride that
KSE is household name today.
The KSE is a public limited company having around 6000
shareholders. The board of directors consisting 10 directors in the
executive committee responsible for the management the article of
association of the company empowers the board of directors of
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directors to appoint one as the Chief Managing Director. The
company has one Executive Director and one Whole Time Director.
The Chief Managing Director, Executive Director and Whole time
Director are the smooth running of day to day affairs of the
company. Strategic decision of the company are taken by an
executive body consisting of the Managing Director, Executive
Director, Whole time Director, General Manager, Finance Manager,
Nutrionist , Marketing Manager, Plant Manager and Purchase
Manager. These executives are professionals with vast experience in
their areas of specialization.
ESTABLISHMENT
Kerala Solvent Extractions Limited now known as KSE limited was
established in 1963, by a handful of coconut millers in and around
Irinjalakuda with a vision to overcome the crisis of the coconut oil
industry. Initially started as a solvent extraction plant, the company
now produces 750-800 MTS of coconut cake a day with 4 cattle feed
production units and 2 solvent extraction plants. The company has
diversified into the area of dairying by establishing 2 dairy plants for
the production of pasteurized milk and milk products. It has obtained
ISO recognition for its commitment to quality and professionalism.
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OBJECTIVES
1. To produce, manufacture ,extract, purchase refine, prepare
import ,export, sell and generally to deal in oil from seeds and
other oil bearing materials to carry on the business of refining
the hydrogenation of oil and the manufacturing of byproducts
there from and of trades connected there with.
2. To acquire erect, construct, establish operate, and maintain oil
mills, extraction plants, and workshops
3. To purchase for the purpose of business of the company. Oil
expellers denigrators , filter press , oil neutralizing , washing ,
dyeing bleaching ,filtration and hydrogen plants , punch
machines and other machines .
4. To purchase, manufacture, treat purchase sell or otherwise
deal in oilcakes, washing soaps, toilet soaps, hair oils and timed
products.
VISION
We shall endeavour to maintain leadership through quality products,
explore new avenues in product development and marketing, create a
stronger bond between the management, work force, dealers and
customers, contribute to social development and rural upliftment, and
constantly strive for excellence in all spheres of our activities.
MISSION
To provide maximum benefit to the dealers and to give good quality
products to the customers at a fair profit. To increase the turnover and
to widen their markets to all the zones etc.
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GOALS
To achieve a minimum compound growth rates on sales
turnover.
To promote sales turnover.
To provide for the optimum use of technological innovation.
To enhance productivity.
DISTINCTIONS THAT MAKES KSE NO: 1
Kerala„s first solvent extractions plant.
No.1 in processing coconut oil cake though solvent extraction in
India.
Winner of S.E.A. national award and state productivity and
safety.
Front-ranker in mixed cattle feed production in India.
Recognition from Annual Nutrition Society for contribution in
cattle feed manufacturing.
Kerala‟s first export mixed cattle feed.
The name trusted by millions of people.
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AWARDS AND RECOGNITIONS
1. “Best Productivity Performance for cattle feed in India” award
from National Productivity Council continuously for eleven
years 1996-97 to 2006-07.
2. The Solvent Extractors Association of India – „S.E.A Award‟
for highest processor of coconut cake in India continuously for
19 years including 2008-09.
3. Kerala State Productivity Council Award.
4. “Top Cattle feed Award” for aflatoxin free feed from the Indian
Association of Veterinary Pathologists (IAVP) and Kerala
Agricultural University.
5. Tamil Nadu Productivity Council Safety Award.
6. Animal Nutrition Society of India award for Company‟s
contributions for propagation of balanced compound livestock
feed in India.
7. Industry Excellence Award from the Indian Society for the
Study of Animal Reproduction for the year 2001.
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MILESTONES OF SAGA OF SUCCESS
1972 : The company started production in Irinjalakuda with a
Solvent Extraction plant with a capacity of 40 MTs per day.
1976 : A new plant was set up in Irinjalakuda to produce 50
MTs of ready-mixed cattle feed.
1979 : Production capacity of Cattle feed Plant in Irinjalakuda
increased to 60 MTs per day.
1980 : Solvent Extraction Plant capacity in Irinjalakuda
increased to 60 MTs per day.
1984 : The Solvent Extraction Plant capacity of Irinjalakuda
increased to 80 MTs per day.
1987 : Cattle feed Plant at Irinjalakuda capacity increased to
180 MTs per day.
1988 : Cattle feed plant in Swaminathapuram, Tamil Nadu
started production Capacity 100 MTs per day.
1989 : Solvent Extraction Plant of Swaminathapuram unit with
a capacity of 120 MTs per day started production.
1990 : Cattle feed production capacity at Swaminathapuram
unit increased to 150 MTs per day.
1991 : Palakkad Branch started.
1994 : Keyes Forte, the new feed supplement for cattle
introduced.
Cattle feed production capacity at Swaminathapuram
increased to 180 MTs per day.
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1995 : Calicut Branch opened.
1996 : 240 TPD cattle feed Plant at Vedagiri in Kottayam
District started operation.
Company renamed as KSE Limited. (Formerly Kerala
Solvent Extractions Limited)
1998 : Company acquired its fourth manufacturing unit at
Palakkad for manufacturing Cattle feed.
1999 : A modern CHILDRENS' PARK AND INFORMATION
CENTRE was Completed at Irinjalakuda for the benefit of the
Public. Company introduced “K.S. Deluxe Plus" the Pelleted
feed in HDPE bags for Kerala Market.
2000 : Company started production and marketing of
Pasteurized Milk and Milk products from Konikkara Dairy,
Trichur District,Kerala and Thalayuthu Dairy, Palani Taluk,
Tamil Nadu.
2002 : Cattle feed production at Irinjalakuda unit increased to
195 MTs per day. 'VESTA' Ice Cream launched.
2003 : Started production of Cattle feed in a leased plant at
Edayar, Kalamassery.
Cattle feed production at the Swaminathapuram unit
increased to 195 MTs per day.
2004 : Acquired Land from KINFRA for starting the new
project of 200 TPD Solvent Plant and 100 TPD Oil Physical
Refining Plant at Kinfra Park, Koratty.
ISO 9001:2008 Accreditation for Irinjalakuda.
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2005 : Cattle feed Production capacity at the Irinjalakuda unit
increased to 210 MTs per day.
Company acquired property at Mysore.
ISO 9001:2008 accreditation for Vedagiri and
Swaminathapuram units.
2006 : The 200 TPD Solvent Extraction Plant at Koratty
commissioned.
100 TPD Physical Refining Plant at Koratty
commissioned.
Solvent Plant at Irinjalakuda dismantled.
2008 : Ice cream production unit commissioned at Thalayuthu.
2009 : Cattle Feed production capacity at Swaminathapuram
increased to 200 MTs per day.
Commissioned Fractionation Plant at Koratty.
Commenced 500 TPD Fully State-of-the-Art German
Technology Animal Feed Plant at Irinjalakuda.
2010 : Ice cream production unit at Vedagiri commissioned.
IRINJALAKUDA UNIT
The pioneering plant of KSE at Irinjalakuda is unique in many ways.
It was the first solvent extraction plant in Kerala. It was the first major
factory in the locality spread over 15 acres. It was hear that KSE set
up its first cattle feed plant. The plant embodied the spirit of the
enterprise of a group of committed people, who wanted to usher in an
era of modernity into a traditional society and change the industrial
landscape of the state. Naturally, today the Irinjalakuda plant enjoys
of flagship states and commands an edge on infrastructural strength.
29. [Type text] Page 29
Taking great strides technological development, the process of
computerization in plant and office was initiated way back in 1987.
Micro processers have been in using in the production line since
1989.
Research and development plays an important part in the activities of
the KSE, central R & D unit is located here. The plant houses a
modern laboratory. The quality control cell here leads and guides
other units and formulates stringent standards. The chief Nutritionist
and Assistant Manager of quality control are also based here.
A proud symbol of growth, the Irinjalakuda unit is an inspiring force
for the entire KSE family. In 2007, company decided to install 500
TPD cattle feed production in the unit. This unit acquired ISO 9001 –
2000 accreditation.
SWAMINATHAPURAM UNIT
Sale of KS cattle feed in selected markets in Tamil Nadu was started
as early as 1984. To enable the company to extend its products and
services to whole of Tamil Nadu, a new production unit was set up at
Swaminathapuram in Dindigul district of Tamil Nadu. A solvent
extraction plant was started the very next year. Spread out on 22 acres
of land on the banks of river Amaravathi, this Rs.3.5 crores plant
works round the clock. Keyes Forte is also manufactured in this unit.
A model Diary farm with high yielding animals is also maintained in
the unit for conducting feeding trials and other experiments.
VEDAGIRI UNIT
The third cattle feed plant of the company with a daily production
capacity of 240 MTs started operation at Vedagiri in Kottayam
district, in March 1996. This Rs.6 crores project, fully financed from
30. [Type text] Page 30
internal resources, was formally inaugurated on 17th
August, 1996.
This unit is built on a spacious area of 10 acres. Utilizing highly
advanced technological features, this unit marks a new chapter in the
cattle feed manufacture.
VEGETABLE OIL REFINING PLANT
In 1195, the company explored the possibility of refining solvent
extracted oil and marketing it in various states in India, the company
commissioned a vegetable oil refining plant in December 1995, with a
capital investment of Rs.1 crore, wholly raised from internal accruals.
The company also refines sunflower expeller oil and markets it in the
name KSE supreme.
PALAKKAD UNIT
A recent addition to the KSE family is the livestock feed plant at
Palakkad. With a manufacturing capacity of 120 TPD, this plant
caters predominantly to the needs of the northern districts of Kerala
such as Palakkad, Malappuram and part of Calicut.
KORATTY UNIT
Company acquired land from Kinfra Small Industries Park, Koratty,
Thrissur district and installed 200 TPD Solvent Extraction Plant and
100 TPD Physical Refining Plant with a capital outlay for refining
vegetable oil. Solvent extracted coconut oil is refined in the plant and
made edible. Commissioned Fraction Plant in March 2009.
33. [Type text] Page 33
CATTLE FEED SEGMENTATION
Cattle feed
Pellet
Pellet
plus
Deluxe Supreme
pellet
pellet
Ordinary
mash
Super
mash
Special
mash
Mash
34. [Type text] Page 34
PRODUCT PROFILE
K S : One of the all-time favorites in the cattle feed.
K S Super : A special cattle feed that has won immense
popularity.
K S Deluxe Pellets : The choice of caring farmers for better results.
K S Supreme Pellets : A bypass protein feed with ISI marks. Specially
made for cattle with superior germ plasma and
high production potential.
Jersey : Protection rich, tasty, de-oiled coconut cake.
Keyes Forte : Keyes Forte is a feed supplement for cattle. It
contains Vitamin A, D3, E and all. The required
trace minerals at recommended quantities.
K S Supreme : Refined sunflower expeller oil. Solvent extracted
coconut oil.
Refined solvent extracted coconut oil.
MILK PRODUCTS OF THE COMPANY INCLUDES:
K S Milk
K S Ghee
K S Curd
Butter Milk
Vesta Ice Cream
35. [Type text] Page 35
BOARD OF DIRECTORS
Board of KSE Limited consists of ten Directors out of which the
Chairman and Managing Director is the Chief Executive Officer of
the company. Moreover there is one executive director who is looking
after the daily transactions of the company. The Board invariably
meets in every month and evaluates the performance of the company.
All major policy and business decisions are taken after due
deliberations and with mutual consensus. A management committee
with five directors as its members is functioning to assists the Board,
which is regularly meeting, twice in a month, in order to review the
company and proposals that are to be placed before the Board and
mark recommendations there on.
SOCIAL RESPONSIBILITY
KSE Ltd is in the forefront for meeting its responsibility
towards the society. KSE has contributed liberally towards the social
events.
1. Construction and maintenance of a modem children‟s
information centre “KS PARK” in irinjalakkuda at the cost of
Rs 80 lakhs.
2. Construction of footpath cum handrail for public at cost of Rs
10 lakhs.
3. Contribution of Kargil Fund Rs 5 lakhs.
4. Contribution to Gujarat earthquake relief fund Rs 10 lakhs.
5. Contribution to Bharatia Vidya Bhavan in Irinjalakkuda Rs 1
lakhs.
6. Contribution to St. James Hospital Rs 3 lakhs.
7. To Amala cancer centre – hospital and Research Centre Trissur
Rs 3 lakhs.
8. The Chief Minister relief fund Rs3 lakhs.
9. Mahatma Gandhi
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10.For construction of class rooms of Unnai Warier
Smarakalanilaya Rs20000
11.To St Joseph Collage for women Rs 80000
12.For construction of blood bank attached to the Government
Taluk Hospital Rs 25000
INDUSTRIAL RELATION
The company has 926 employees in its roll on
31.3.2011. the company is an expectation to the advise labor
conditions existing in Kerala. During its working of 39 years, the
company had lost few man-days by labor unrest. However, during the
year under review, the Vedagiri unit was under lock out from
30.09.2010- 14.02.2011. Section of the employees of that unit
resorted to slowing down of production to pass their demand for an
interim hike in their remuneration during the validity field of
settlement and management was forced to declare the lock out. After
several round of negotiation, the management arrived at a settlement
with the employees on their agreeing to drop their demands and the
lock out was lifted. During the lockout period management had made
alternate arrangements to ensure regular supply to the dealers and the
performance of the company had in no way affected. There were no
labor issues of serious nature in any other unit of the company. The
management continues to maintain cordial industrial relation with its
employees in all Units and is attending to their grievances with an
open mind.
Commitment in Rural Development
KSE has taken up rural development as a major corporate task and
responsibility. The agrarian rural society is the back born of the
nation‟s economic structure and KSE has always been active in
supporting and promoting images in their vacation.
37. [Type text] Page 37
Today Kerala and Tamil Nadu comparison the largest market of KSE
cattle feed. The majority of their deposal over 600 KSE dealers ensure
that the KS Range of cattle feed is available to them at a lower price
suggested and enforced but the company KSE has made arrangements
for the supply of cattle fed in villagers directly from dealers and
through retailers .
Besides beginning range of trusted products to the villages KSE also
imparts valuable advice and instruction regarding animal has
boundary and cattle to the villagers.
Progressive Management and Unique Work Culture
The management KSE rests on a eminent team of personalized from
the cultural and financial and social system of society who from the
BOD. The Chairman and MD executive director and whole time
Director head the operations of the company and overseas its smooth
functioning. The day to day management of various units is carried
out by experienced professionals under a chief general manager. Who
lead and motivate a dedicated world force.
The total number of employees in various units of KSE now exceeds
1000. Besides KSE gives endured employment to over 2000 people,
through its distribution network across Kerala and Tamil Nadu.
The work culture of KSE is an exception to the rule in the strife
ridden industrial climate of Kerala. During the quarter century of it is
operation, the days lost to industrial unrest is only 23 days. This fact
illustrates the cordial work environment and speaks of the extra
ordinary relationship between the management and employees.
Periodic appraisal and renewal of agreements between the
management and workers credit a responsible attitude and productive
atmosphere. The united efforts mutual test and progressive vision of
management and force is the cornerstone on which the success of
KSE is based.
38. [Type text] Page 38
THE COMPANY TODAY
The pioneering plant of KSE at Irinjalakuda in many ways. It was first
solvent extraction plant in Kerala. It was first manor factory in the
locality, spread over 15acres. It was here set up its first cattle feed
plant. The embodied the spirit of enterprise of group of committed
people, who wanted to user in an era of modernity into a traditional
society and change the industrial landscape of the state. Naturally,
today the Irinjalakuda plant enjoys a flagship status and commands
an edge on infrastructural strength. Taking great in technological
development, the process of computerization in plant and office was
initiated way back in 1987.Research and development plays an
important role in the activities of KSE, The central R & D unit is
located here. The plant houses a modern laboratory. The quality
control cell here leads and guides other units and formulates
stringent standards. The chief Nutritionist and Assistant manager
quality controls are also based here. A proud symbol of growth, the
Irinjalakuda unit is an inspiring force for the entire KSE family.
KSE Limited an ISO 9001-2000 certified company is having an annual
sales turnover Rs. 371 cores ; Irinjalakuda branch is the head office of
the company. Only the cattle feed production is running in
irinjalakuda plant with a production capacity of 210 tones per day.
The production is running the three shifts and each shifts they were
producing 70 tones. The company is giving 400direct employments
for people in Irnijalakadhu
41. [Type text] Page 41
FINANCE DEPARTMENT
Finance is an important factor that directing the day-to-day activities of a
business firm. Finance is concerned with the cash and cash is
the common purchasing power or medium. Finance may
be defined as, that administrative area or set of administrative
function in an organization which relate with the arrangement of cash and
credit so that the organization may have the means to carry out its objective
assatisfactorilyaspossible.
Financial management is that managerial activity
which is concerned with the planning and controlling of the firm’s
financial resources. Financial management is concerned with raising
and administrating funds for an enterprise. It examines how funds
are used andprocured. The mainobjectives of financial management are:
the maintenance of liquid assets and maximization of the profitability
of the firm. The financial manager is concerned with the efficient
allocation of funds within the enterprise and raising additional funds when
neededandinvestingfundsintheprojects
DEPARTMENTAL STRUCTURE
Secretary/chief finance manager
Assistant finance manager
Senior assistant
Clerks
42. [Type text] Page 42
The main function of Finance Department is to have an overall control over
both inflow and outflow of financial resources. The Finance Department is
divided into differen tsections.
1. Establishment Section:
This section is mainly concerned with the payment of employees.
These payments include:
Loans
Salaries
Advances
Leaves, Travelling Allowances
Major functions
Bill clearance of raw material purchase
Payment clearance related work
Tools and spares
Sales related bill clearance
Monthly dealing with distributors
Tax clearance, Licenses receiving works
Work order related works
2. General Finance Section
This section concerned with preparation of statements and other
general transactions like:
Cash
General Accounts
Taxes
Insurance
Balance sheet
Fund Flow Statement
Cash Flow Statement
Capital Valuation
43. [Type text] Page 43
3. Records Section
In the records section the records are maintained properly. The main
record maintains here are:
Receipts Cash Book
Payments Cash Book
Receipt Voucher
Payment Voucher
Salaries and Wages
Purchase materials and services
Purchase of fixed assets
Claims Recoverable
Debit note
Miscellaneous Entry
Source of Finance
Long termfinance, Medium termfinance and short term finance are consider
the source of finance.
Sources of Long term Finance are:
Shares
Debentures
Internal Finance
Public Deposit
Industrial Financial Institutions
Industrial Banks
Sources of medium term finance are:
Redeemable Preference Shares
Debentures
Bank loan
Hire Purchase and Instalment Purchase
Public Deposit
Mortgage Loan
Internal finance
Sources of short term finance are:
Bank OD
Trade creditors
Money lender
44. [Type text] Page 44
The authorized share capital of the company is Rs 10crore and issues and
subscribed capital is Rs3.2crore. The par value of 1 equity share capital is Rs
10. The company issued 6000 bonds 5% redeemable cumulative per share of Rs
100 each. The redeemable of this allotment. The company went in for public
issue of shares in 1994. Company shares listed at stock exchange at Cochin,
Chennai, and Mumbai. The present market value of the company share is Rs
200. Financial accepts fixed deposits from the public at the rate of 15%PA. The
company keeps books as purchase day book, sales day book, cash and bank
book.
Major Applications
Computers are used for accounting and technical aspects of
account such as;
Inventory control
Production Planning and Control
Purchase Accounting
Budgetary control and standard costing
Machine capacity utilization
Quality control
Input/output Analysis
Market research
Management Information System
45. [Type text] Page 45
Capital Structure
It consists of both owned capital and borrowed capital. Owned
capital consist of funds brought in by owners, borrowed capital consist of shares
debentures and loans.
Financial policies
Accounts in KSE Ltd are prepared under historical cost
convention on accrual basis unless otherwise specially stated in notes to account
1. Fixed Asset
Asset put to use have been stated at cost less depreciation. Asset not put to use
have been stated at cost
2. Depreciation:
Depreciation on fixed assets have been provided on written down value
method at the rate prescribed in the company Act 1956,
3. Investment
Inventories as at the aloes of the year are valued at loses cost as net realizable
value
4. Goods in transit at cost
5. Retirement benefit
A. Contribution to Provident fund and employees welfare
funds is charged to Profit and Loss Account
B. Gratuity
The accruing liability towards the gratuity of
employees in covered by the group gratuity assures in scheme is charged to
Profit and Loss account. Gratuity in respect of whole time directors is provided
for or gross whole time directors is provided for on gross basis for on charged
to P&L account
46. [Type text] Page 46
6 Sales:
Sales are stated gross of excise duty as well as net of excise duty and are stated
exclusive of VAT/ sale tax
7 Claims
Claims are accounted for as fund where finally determined/ settled
8 Grants
Grant/ subsidies received specially related to capital assets, are credited to the
carrying cost of the respective assets other. Subsidies received are credited to
capital reserve
9 Inventories
Inventories as at cost of the year are valued at lower cost or net realizable
value. Cost includes cost of purchase, conversion and other cost, as the case
may be, incurred in brings the Inventories to their location/ condition, determine
on the following methods.
a) Raw materials : FIFO
b) Packing materials : FIFO
c) Stores and spare
and consumables cost : At weighted average
Borrowing cost: Borrowing cost that are attributed to the acquisition or
construction or production qualifying assets are capitalized as part of the cost of
such assets. A qualifying asset is one of that necessarily takes substantial period
of the fine to get ready intended use. All other borrowing costs are charged to
revenue.
Tax on income: current tax is determined as the amount of tax payable in
respect of taxable income for the year. Deferred tax is the required on timing
difference, being difference between taxable income and accounting income
that originate in one period and are capable of reversal in one or more
subsequent periods where there is un absorbed depreciation or carry forward
47. [Type text] Page 47
losses deferred tax assets are recognized only if there virtual certainty of
realization of such assets. Other deferred tax assets are recognized only to the
extent to there is reasonable certainty or realization in future.
Segment reporting:
The company‟s primary segments (business segments) have
identified as the
a) Animal Feed Division
b) Oil Lake Processing division
c) Diary Division Compressing Milk and Milk Products Industry Ice Cream.
There no reportable geographical segments. Segments revenue, segment results,
segment assets and segment liability include the respective amounts identifiable
to each of the segment as also amounts allocated on a reasonable allocated to
any of the business segment, are shown as unallocated expenditure. Assets and
liabilities that cannot be allocated between the segments are shown as part of
unallocated assets and liabilities respectively. Later segment transfer of
processed material is accounted considering the estimated reliable value of such
goods.
Foreign Exchange Transactions:
Monetary assets and liabilities relating to transactions
involving foreign currently remain unsettled as the end of the year end rate.
Gains or loss due to such transactions of foreign exchange transactions (other
than for fixed assets) are recognized in the P&L accounts of Gains or loss due to
such transactions of foreign exchange transactions relating to fixed assets, if
any, are adjusted the carrying cost of such assets.
Capital expenditure
The ice cream manufacturing Unit adjacent to our existing
cattle feed plant at Vedagiri has been commissioned on 28.03.2011. The capital
outlay of the new ice cream unit is 127 lakhs as on 31.03.2011 excluding the
value of land already owned by the company.
48. [Type text] Page 48
Dividend
Considering the profit for the year, directors recommend a
dividend of 100% (10.00 per share of 10 each) for the year ended 31st
march,
2011which, if approved at the ensuing Annual General Meeting will be paid to
those members whose names appear in the Register of Members of the company
as on 28.07.2011. in respect of shares held in dematerialization form, the
dividend will be paid on the basis of beneficial ownership as per the details
furnished by the Depositories for this purpose at the end of business hours as on
18.07.2011.
Auditors
M/s.Varma & Varma, Charted Accountants will retire at the
forthcoming Annual General Meeting and are eligible for the re-appointment.
Operations
The turnover of the Company improved from‟ 371 croers to
„454 croers during the year ended 31st
march, 2011, thus registering and
increase of 22% over that of previous year. Though a portion thereof may be
attributed to the increase in the selling price of cattle feed, there is considerable
volume wise growth in sale of cattle feed. Cattle feed sales volume improved by
12% when it grew from 2.86 lakhs tones in the previous year to 3.20 lakhs tones
in the current year under reports. This is despite a loss of production in Vedagiri
Unit for six months due to deliberate slowing down of production by a section
of workers and consequent lock-out of the unit. In the first three quarters of the
year under reports,
50. [Type text] Page 50
MARKETING DEPARTMENT
Department Structure
Chief marketing manager
Sales executive
Office assistant
Clerk
51. [Type text] Page 51
Marketingistheprocessofunderstandingcustomerneedsandfulfilling
them.Itisimportanttominimizethecost ofproductionandat thesametime
providegoodservice along with the product.
Effective marketing not only assures demand for
the product but also fulfils the consumer’s needs. Supplying the
desired product at the competitive price, promoting the product,
and make it easily accessible is what creates the rightmix.Marketing
startswithhumanwantsandneeds.
Themarketingconceptsholdsthatthekeytoachieving
organizationalgoals consists of being more effective than competitors
in integrating marketing activities toward determining and satisfying
the needs and wants of target market. The essence of marketing is
providing desired value of customers. Marketing should consider a
central business function as it establishes, develops and commerciali
zes long term customer relationship. This way the objective of both
the parties are met, that is, customer needs are servedandthe
companyearnsprofit.Themarketingprocessconsistsofanalyzingmarketing
opportunities, developing marketing strategies, planning
marketing programs and managingthemarketingeffort.
Functions
Marketing Department of the company concentrates on building
long term relationship with the customers, dealers, distributors and
suppliers. The company also undertakes sales promotion works.
Marketing department mainly concentrate on consumer promotion
and dealers promotion.
In this company the departments by Marketing Manager and
under him there are 2 Assistant Manager. One for sales Dispatch other
for Customer service and Sales promotion. The company sells its
products only through the dealers, No direct sales are allowed. The
company has around 500 dealers. It delivers goods at their shop
unloading changes; rent etc will not bear by the company.
52. [Type text] Page 52
His(marketer) main job is to convey a consistent image of his
organization, either to the internal stakeholders (employees. Share holders)
or to the external share holders (customers, public). The company
should realize that every interaction of stakeholders with any
employee of an organization decides the ultimate fate of the
organization. Marketing department mainly concentrates on customer
promotion and dealer promotion.
The main functions of marketing department are follows:
1. Seminars for Farmers
Seminars are conducted for farmers both the rural and urban areas. The main
purpose of these seminars is to create a better awareness
among the farmers. In this section farmers are given valuable advices on
cattle care and all their questions are clarified.
2. Cattle Shows
Company sponsors cattle shows conducted by milk society, dairy
departments etc. cattle shows help the company to reach the
prospects not reached through their sales force.
3. Dealer Promotion
It is carried out by providing dealers with
i.Banners
ii. Purchase-pointers
iii. Dealer commission is granted at the rate of 10%.
4. Feedback from Customers
Marketing department encourages feedback from customers. Labels
addresses for enquiry are put in each packet for feedback.
5.Obtaining Sales Order
Dealers are selected through appropriate procedures. Animal population of the
area is a factor for giving dealership. Dealers can give orders either
directly or through telephone. Date of delivery is given in advance.
6.Pricing
53. [Type text] Page 53
The pricing of KSE is flexible. Pricing of the product varies
according to the cost of raw materials. During 1998 the company was
forced to increase the price of their product. But when the price of
row materials lowered, the company decided share it with the
customer. As a result there was a reduction of Rs 13-18 per pack.
According to Kerala General Sales tax a 15% additional sales tax was
imposed. So price were renewed from 23rd
August 2006.
7.Training
Training for KS sales persons was conducted from 2001.
According to the training session the main objectives of sales
management were
a) Sales volume
b) Contribution to growth
c) Continuing growth
Sales Procedure
1. Dealers can use own or rented vehicle
2. Vehicle is weighted before going to godown
3. After weighting it is loaded with required quantity
4. Vehicle is then weighed with load
5. Weight of products is verified
6. Bill clearance done
Advertisement and sales promotion
54. [Type text] Page 54
The company does not give much importance to advertisement
but it concentrate on sales promotion to a greater extends. However
the advertising and sales promotion expenditure for the year 2008-
2009 amounts to Rs 7, 92,913: catalogues and Descriptive leaflets are
also provided to dealers. The main users of the product are farmers.
So the advertisement is given in local channels only. The company
also gives dealers board to dealers as an advertisement for their
product.
Other Advertisement are Used
Radio ads
Wall paintings
Hoarding
Flexes
Tin boards to dealers
Dangles
Pamphlets
Flex banner
Cinema slides
Yearly calendar
55. [Type text] Page 55
Market Share
company Share%
KSE 40%
Others 60%
Marketing segmentation
Since the final consumer of cattle feed is cattle, market
segmentation is done, on the basis of milk production of cattle is
segmented as
1. Dry animals with no milk
2. Animal yielding milk 5 liters
3. Animal yielding milk between 5-10 litters
4. Animal yielding milk more than 10 litters
56. [Type text] Page 56
DEALERSHIP CHART
Company
Authorized dealers
Sub dealers Wholesalers
Retailers
WholesalersRetailers
Customers Retailers
Customers
Customers
58. [Type text] Page 58
PRODUCTION DEPARTMENT
Department Structure
Engineer
Senior shift
supervisor
Technical staff
Workers
59. [Type text] Page 59
Production is the primary business of an organisation. All other
wings or activities of an organisation exist subject to the existence of
production. Without production or anything to sell, there is no organisation at
all.
Production is the process by which the transformation of the range of
inputs into the required output having the requisite quality level.
Production involves the greatest bulk of a company‟s
employees and is responsible for a large portion of its assets. It also
has a major impact on the quality and cost of goods and therefore is the
visible face of the company.
In KSE warehousing is also under the purview of production department.
Here the production department is headed by the plant manager. He is
supported by an engineer, shift supervisor and godown officer for the effective
working of the production department
Functions of Production Department
The major functions of production department are:
Utilization of optimum level of raw materials
Controlling production
Ensure flexibility in production
Standardization of production
Ensure quality in production
Minimization of cost of production
SOLVENT EXTRACTION PLANT
Preparatory section
The raw material (coconut oil cake) is brought here and is cut to size from here
oil cake is transferred to the extraction plant through the elevator.
Extraction
Here, continuous counter current extract is used for extraction.
“Hexane” is used as a solvent. Cake is removed in left through the extract while
heated hexane at 63-70C is sprayed on it. It takes 1 hour for the cake to pass
through the extract by this time most of the oil cake would have dissolved in
hexane.Themixtureofoilandhexaneiscalled“Misulla”.Oilisseparatedfromhexane
60. [Type text] Page 60
by distillation. Oil is boiled at 300 0C while hexane is boiled at 60.2*C.
Following this function all hexane from oil is removed. Hexane in gas form is
condensed in an condenser and used again. Cake is removed of its hexane by
drying in a drier. Before packing this deep-oiled cake a little water is sprayed
upon it as hot cake cannot be packed as such.
CATTLE FEED PLANT
Using the de-oiled cake, which is a by-product of solvent extraction process,
starts steady mixed cattle feed production. Cattle feed is produced, using more
than 20 raw materials. The formula for cattle feed production is formulated by
nutritionist. The formula will exchange according to the availability of the raw
materials. Seasonal fluctuations affect the availability and the price of the raw
materials. The important raw material used for this purpose is coconut oil cake,
soya bean cake, cotton seed cake, maize, rice, wheat barn, and nutrients etc.
PRODUCTION FLOW CHART
Raw material feeding
Raw material weighing
Batch grinding
Batch mixing
Molasses mixing
Pelletizing
Bagging
Quality check
Despatching
61. [Type text] Page 61
1. Raw Material feeding : Various raw materials to be taken for
production are listed in the raw material feeding report on a day
to day basis and fed to the conveyors. The materials fed are
taken to the top floor through the coveyor.
2. Raw Material Weighing : The raw material is weighted in the
weigh hopper as per the formulate given by the Chief
Nutritionist. For each recipe, separate formulae are entered in
the computer.
3. Batch Grinding : The batch which is weighed in the weigh
hopper is taken for grinding in hammer mills, where required
sleeves are used to ensure adequate particle size for the ground
material.
4. Batch Mixing : The material ground in the hammer mill is
taken to the ribbon type batch mixer for predetermined time to
ensure homogeneous mixing. The minor ingredients are directly
added to the mixer.
5. Molasses Mixing : The required molasses added to the batch
and mixed in molasses mixer.
6. Palletizing : The food that is mixed with the molasses is passed
through the pellet mill feeder conditioner where required
quantity of steam is added. It is then passed through the pellet
mill where pellet are produced. The hot pellets are cooled in
cooler and then bagged.
7. Bagging : After completion of production, bagging is done and
appropriate identification is done with respect to the date and
shift of production.
Computerized Production
The most sophisticated feature of the unit is computerized system for
the production. The microprocessor controls the overall production
procedure. A computerized control room is situated near the plant.
Then the experts can operate the production from the control room.
62. [Type text] Page 62
Environmental Aspects
A well equipped pollution control plant is maintained to ensure that the
effluent water is treated as per the conditions stipulated by the
state pollution control board. Pollution control unit is
environmentally acceptable because an aspiration system (local dust
catching) prevents the chances of pollution
OPERATION
The whole operation is automatic which is programmed to the
computer placed at the plant operator‟s room. After feeding of raw
materials to the hopper, the computer automatically takes the amount
of raw material needed for the batch as per the chief nutritionist
formulae. The bagging is also done automatically. The plant operator
is responsible for the change in the percentage of raw material in the
batch. The raw materials are fed to hopper which itself is a weighing
machine. It allows only the appropriate amount of raw material to
enter the production.
PRODUCTION PLANT
In KSE Vedagiri unit, production take place in the cattle feed plant.
CATTLE FEED PLANT
In this plant the company uses different types of cakes according to
their availability apart from other materials of the company such as
coconut cake, sunflower cake, mustard cake, soya been, wheat,
calcium, vitamins, cotton seed, phosphate, tapioca, maize, jowar and
other vitamins. Except from the coconut cake, all the other materials
are purchased from other states. It can produce 200 tons per day.
MMCP TECHNOLOGY
It involves mixing, milling, cooking and pelleting.
63. [Type text] Page 63
MILLING
This is being used for ensuring that all the granules are grinded,
screened three mm sieve. The materials feed in to the grinder and
powdered as it passes. Through the screen provided at the bottom side
of grinding chamber. Two hammer mills are used.
MIXING
The raw material will mixed thoroughly by using a horizontal mixer.
COOKING
The steam for cooking is produced using a boiler. The mixer carries
out a strong mixing while the mash is moved forward and added with
dry saturated steam. The cooking is carried out at a temperature of 80
degree Celsius using a high pressure saturated steam.
PELLETING
The pellet mill die by rotating drags the mixture of mash and steam
towards the roller, which press it and consequently compel it to pass
through the hole of the die. It increases the density of the mixture,
which together with heat generated by the saturated steam facilities
the extraction of the pellet.
64. [Type text] Page 64
QUALITY CONTROL DEPARTMENT
The success of a company depends upon the quality of its product. Quality is the totality.
Quality is the totality of features and characteristics of a product and service that bear on
its ability to satisfy stated or implied needs. Total quality is the key to value
creation and customer satisfaction. The quality control department has to play an important
role in the success of a company through innovating quality product. It aims at
total quality control. It begins right from the purchase of raw materials to after
sales quality check. Uncompromising quality is the main feature of KSE.
It is with which the company maintains its reputation. The quality
control department ensures the quality of cattle feeds through testing t
he products at different stages. Statistical sampling techniques are applied for
quality control tests. The quality control tests include the raw materials
inspection, in process inspection, finished products inspection and finally after sales
qualitycontrol.
DEPARTMENTALSTRUCTURE
Steps in Quality Control
In order to ensure total quality, tests are conducted right from the stage of raw
material acquisition to after sales. Payment of raw material is done on
the basis of the test results. There are four stages in the quality control:
1. Raw material quality verification
2. Quality verification during grinding and mixing
3. Product quality verification
4. After sales quality control
Chief nutritionist
Senior chemist
Junior chemist
Attenders
65. [Type text] Page 65
a) Raw material Quality Verification
Potential fat are the required context. The main impurities are moisture and
silica. The fat content in the raw material is verified by a test known as “Crude
fat test” apparatus used is known as soxtlete apparatus. There are three such
apparatus in the lab.
Protein content is verified with the help of an apparatus termed as
fumes chamber. As protein is a Nitrogen compound, protein content
can be verified using this apparatus to measure nitrogen content. Only
one apparatus is there in the lab for this purpose.
Moisture content of raw materials should not be above a prescribed
percentage (usually 10%) the best tube for moisture is conducted to
ensure that the raw materials are properly dried.
In later concept in 5gms is tested by using an apparatus “Hot Air
Owen”.
Silica content is verified using the test named as “Acid Insoluble
Test” apparatus used is “muffle furnace”.
Other Apparatus Used
Distilled water unit
Vacuumpump
Hot plate
Electric weight machine
b) Quality Verification during Grinding and Mixing
In second stage there are two quality checks:
1) Check during grinding.
Check during grinding is done at the grinding stage to ensure the proper size
recommended.
2) Check during mixing.
Check during mixing is conducted to find out whether them ixture is properly
balanced. Alsop the weight is checked at this stage.
c) Product Quality
It involves
1) Calcium content verification.
2) Chlorine content verification
3) Phosphorous content verification
66. [Type text] Page 66
Volumetric test is used. Product quality verification is done at 3 shifts
by taking sample sand checking it at the lab. Then it is pat before the
medical officer for approval.
4.afterSalesQualityControl
Customers are given proper guidance and instructions. They are advised not
to store the feed in moist place, also labels put in each bag to ensure proper
feedback
Training:
Quality control personnel regularly undergo in – service training at
courses conducted at control food Training and Research Institute
(CFTRI), RRL, NDRI & other national research organizations including
various veterinary colleges in the southern states
68. [Type text] Page 68
HUMAN RESOURCE DEPARTMENT
Human resource is of paramount importance for the success
of any organization. It is a source of strength, aid and, it is the most
important asset of an organization. Human resource are the wealth of
an organization which can help it in achieving its goals.
Human resource management is the planning, organizing,
directing and controlling of procurement, development,
compensation, integration, maintenance and reproduction of human
resources to the end of the individual, organizational and societal
objectives are accomplished.
Human resource management is the qualitative
improvement of human beings who are considered the most valuable
assets of an organization. It is the strategic approach to the acquisition,
motivation, development and management of the organization‟s
human resources. The primary objective of HRM is to ensure the
satisfactory accomplishment of the objectives of an organization and of its
employees and management. It helps workers in accomplishing individual and
organizational goals.
The HR manager organizes the HR department to carry out the
functions entrusted to him. In KSE personnel department functions are
controlled by Personnel Manager.
DEPARTMENTAL STRUCTURE
Personnel manager
Personal officer
The
objectives of the
study are classified
under two heads.
They are :
Office assistant
69. [Type text] Page 69
Functions of Human Resource Department
1. Recruitment
Recruitment is the process of searching for prospective employees
and stimulating them to apply for jobs in the organization.
This is made on the base of personal interview. Only qualified
candidates are selected. Final selection is done by the head office.
2. Pay Fixation
It is based on the job analysis, conduct of salary survey, group similar
jobs into pay grades, price each pay grade and wage administration
rules.
3. Promotion
Advancement within an organization is ordinarily labelled as promotion. It
refers to the advancement on an employee to a better job.
Promotion is a mean of filling up vacancies which occur in any
organization from time to time. Promotion is given on the basis of:
• Seniority
• Performance
• Additional Qualification
There is an understanding between the workers and the
management that promotions will be made on the basis of ability
and seniority.
4. Welfare
Labour welfare means anything done for the comfort and improvement
intellectual or social, of the employees over and above the wages paid
which is not necessary for the industry. KSE gives first priority to
the welfare of the employees. Statutory and non statutory benefits
are provided.
5. Performance Appraisal
Performance appraisal is the systematic, periodic and an impartial
rating of an employee, excellence in matters pertaining to his present
job and his potential for a better job. It is done to ensure the
efficiency of workers.
70. [Type text] Page 70
6. Statutory Requirement
• Factory license and boiler license renewed every year.
. Punchayathu tax and building tax, company tax, individual
employee tax, etc. are paid.
• Diesel license and environmentally acceptable licenses are
renewed every two years.
Human Resource Management: Nature
Human Resource Management is a process of bringing people
and organizations together so that the goals of each are met.
The various features of HRM include:
• It is pervasive in nature as it is present in all enterprises.
• Its focus is on results rather than on rules.
• It tries to help employees develop their potential fully.
• It encourages employees to give their best to the organization.
• It is all about people at work, both as individuals and groups.
• It tries to put people on assigned jobs in order to produce
good results.
• It helps an organization meet its goals in the future by
providing for competent and well-motivated employees.
• It tries to build and maintain cordial relations between people
working at various levels in the organization.
• It is a multidisciplinary activity, utilizing knowledge and inputs
drawn from psychology, economics, etc.
71. [Type text] Page 71
WELFARE ACTIVITIES
Labour welfare activities of KSE Ltd ensure a peaceful and friendly
atmosphere in the workplace. Labour welfare is a matter of first
priority to the management. The firm provides sanitation, periodical
medical check up and recreational facilities to the employees. Firm
provides both statutory and non statutory benefit.
Statutory Benefits
ESI and per ESI Act 1948.
Gratuity as per payment of gratuity Act 1972.
Employees Deposit Linked Insurance.
Contribution to Kerala Labour Welfare Fund.
P.F.
Non Statutory Welfare Fund
Employee Welfare Fund
All employees of the firm contribute a fixed monthly amount
to the fund. The fund is administrated by a committee
nominated by the management and the employees.
. Death Fund
. Terminal Fund
. Disablement fund
. Medical benefit
. Cash award for children
. Loan for marriage of children
. Loan for house hold items.
Annual Gift
Gratuity as per payment of gratuity Act 1972.
Firm give annual gift to all employees. Same amount is given
to all from the General Manager to Lowest paid workers.
Uniform and Footwear
Firm provides two sets of uniform to the workers. Technical
staff is also provided two sets of uniform and pair of shoes.
72. [Type text] Page 72
Ex-Gratia Payment
One month salary is granted as Exgratia in connection with
marriage of employees and if an employee dies in service.
Leave and Travel Allowance
It is given every year.
Conveyance allowance
It is allowed to all permanent employees based on category in which
they work.
Shift Allowance
The second and third shift employees are provided with shift allowance.
Washing Allowance
It is provided to all employees with uniforms.
Group Insurance
It is introduced recently in the firm. All employees are provided with
group insurance of LIC.
Leave Allowance
13 days declared as holiday in a year.
Trade Unions
• KTUC(M)
• INTUC(I)
• BMS
74. [Type text] Page 74
PURCHASE DEPARTMENT
Department Structure
Purchase executive
Senior assistant
Office assistant
75. [Type text] Page 75
PURCHASEDEPARTMENT
The purchase department places an important role because purchasing
has its effect on every vital factor. Its function is procure material
supplier, and service, machine, and tools at most favourable terms
consistent with maintain the desired stand of quality. Purchasing is an
important function, because for the purchase of materials a,
substantial part of the companies finance is committed which affects
cash flow position of the company. The purchase committees make
important decision about purchasing raw material for the cattle feed
production.
Purchasing is the procuring of goods as per the need-either for future sale, use
or storage-against payment of an optimum price, Purchase
management is the technique of purchasing the right goods at the
optimum price at right time from the reliable vendors. It is a procedure
for procurement of goods or service on cost-effective terms. The
purchasing procedure is a defined method of buying goods or hiring
services to make them available when they are required.
The main objective of purchase management is to ensure
availability of required goods or services, as and when they are
needed by the organization. Goods may be purchased and kept
in storage for future requirement, keeping in mind possible shortage
conditions in the future. The purchase department assures that the
company should get good quality raw materials at the right time.
The purchase department of KSE Ltd is performed
successfully under the supervision of chief purchase manager.
FUNCTIONS OF PURCHASE DEPARTMENT
1. To give order for raw material
2. To ensure continuous availability of raw material so that there
may be uninterrupted flow of material for production
3. To contact brokers all over India to know about market price
4. To purchase proper quality of raw material at
reasonable standard
5. To ensure weight of the purchased goods and storing it in proper
place for easy retrieval and use
76. [Type text] Page 76
6. To develop alternative sources of supply, so that material may
be purchased from that alternative source, if a particular supplier
fails to supply the material.
Purchase of raw material for cattle feed production is an important
procedure of purchase department. Therefore, the purchase of raw
material is on requirement for production. The raw material is
purchased according to the availability and capacity of go down.
The nutritionist prepares the formula for the production and the
raw material arranged on the basis of it. The formula is prepared on
the basis of availability of the raw material.
The other important purchase procedures are
placing order, price of raw material, purchase contract and
material receipt.
PURCHASE PROCEDURES
1. Purchase Requisition: It is a document through which the user
department requests the purchase manager to arrange for
purchasing the material required. Each department head
prepares the purchase requisition and send it to the purchase
manger on receipt of purchase requisition report. The purchase
manager will make necessary steps for purchasing material that
has been mentioned in the purchase requisition.
2. Plans are made by the purchase department about what to
purchase, how to purchase, when to purchase and so on.
3. Purchase manager does not invite quotation for the supply of
materials from different suppliers. Orders are placed through
telephonic orders. Normally the orders are made in bulk
quantity. Maximum Economic Ordering Quantity is 250 tons
per order.
77. [Type text] Page 77
4. The purchase committee selects the supplier after evaluation.
The purchase manager then discuss with the supplier about rate,
quality, requirements, quantity, delivery time and packaging.
Then both parties agree that they will enter in to purchase
contract according to supply and payment.
5. Making of purchase contract: Six copies of the purchase
contract will be prepared and it is signed by Chief Purchase
Manager and Chief General/Finance Manager. The company
will send two copies of purchase contract to the supplier, one
copy to the purchase department, one copy to the finance
department, one copy to the stores department and the last one
will keep it in their running file. The supplier will send back one
copy as a token of confirmation. A purchase contract will
contain the details such as, the name of the material, quantity to
be supplied, agreed rate, quality specification, time in which it is
to be supplied (delivery date), place of delivery, rate whether
inclusive of tax, packing of material, mode of transportation,
option if the material is not supplied on due date and mode of
payment. Generally, 90 per cent of the payment will be made in
the next day. In case the delivery is not made on due date, this
10 per cent will be adjusted.
6. Receiving and inspection of material: When the material arrives,
the drivers have to report at the gate. The guards will inform it
to the purchase department who will give permission to enter
into the company.
78. [Type text] Page 78
Before taking the material to the godown, the total weight of the
truck containing the materials will be calculated. This weight
involves the weights of truck, materials, and packing of material.
Later after unloading of material, the weight of the truck, gross
weight (actual weight of material and its packing) and net weight
(weight of materials only) will also be calculated. At the time of
unloading the material, actual samples of it will be taken and send
to the Lab another packet will be kept a check sample.
The Material Received Report (MRR) will be prepared and send it
to the purchase department. Full payment for the materials received
will be given only after getting the lab results. The rebate will be
deducted if there is any non-fulfillment of the conditions of the
contract. If there is any dispute regarding the quality of the
material, the company will send half of the check samples to the
supplier who will send the second half of the check sample to an
independent lab for re-test. Nearest result‟s average will be taken
for settlement.
MAINTANANCE OF STOCK
Materials purchased are required to be delivered at the Vedagiri unit.
Specifications of the materials required are communicated to the
supplier who supplies the materials as per specifications. The load of
materials entering the factory will be registered at the factory gate.
The load is then sending to the store where the store officials check
the materials for visual defects through sample test.
Once the store officials verified the load, it will be unloaded and each
material will be stocked separately in its lot and stored in a pattern.
Then raw material samples will send to the company late for content
analysis. If the quality of the materials is found inappropriate, then
adjustments in the price will be made in the final settlement.
79. [Type text] Page 79
Maximum storage capacity of the store is 7500 tons. The company
maintains a minimum stock level of 15 days a minimum of one and a
half months.
MATERIAL HANDLING
Once the material requisition report is made, the material is accepted
and receipt is forwarded to the accounts department. The load number
is specified in the MRR. Factory item is stored as per specified act
and each issue is recorded. Issue of material is done L.I.F.O basis.
Hence stock can be verified easily whenever required.
FORMS USED
Forms used in the purchase department are ;
1. PURCHASE CONTRACT
2. MATERIAL RECEIVED REPORT (MRR)
1. PURCHASE CONTRACT
This contains information regarding the name of the dealer,
order number, date, name of the material, quantity required and
rate. It also contains specific information regarding quality
duties, packaging, and mode of delivery, place of delivery,
delivery rate and payment schedule. Chief purchase manager of
general manager will sign this report. Copies of this document
are prepared too are send to the supplier out of which one will
be send back by the supplier as confirmation, on copy is send to
finance department, one to godown, one is kept in the running
file.
80. [Type text] Page 80
2. MATERIAL RECEIVED REPORT (MRR)
This contains details about the materials received, date, supplier
name, number of bags, voucher number, quality, freight, etc.
This form should be signed by the authorized signatory. Three
copies of this form need to produce. One will send to godown,
two copies are retained by the purchase department.
81. [Type text] Page 81
FUTURE PLANS AND PROGRAMS
KSE, having an annual turnover of Rs.250 crores, which s the largest
manufacturer of cattle feed. It provides employment to around 1000
members directly and another 5000 indirectly. Its share is being listed
in three stock exchanges in Cochin, Chennai and Mumbai. The
company commenced its production in the year 1972.
It is marketing annually about 1.80 lakhs per tons of superior quality
cattle feed. KSE has successfully launched its Vesta Brand Ice Cream
which has been well accepted in the market for its matching
international quality standards. KSE plans to add more ice cream
production units across Kerala in the coming years to serve all
pockets.
KSE is in the oil extraction industry in the past 31 years. It is having
two solvent plant with processing capacity of 100 tons per day. The
company has also a chemical oil refining plant of 20 tons per day. The
company has secured the National Productivity Award for the year
2001-2002 for being first in terms of production efficiency in the
animal feed sector. This is the sixth time in a row that the company is
being selected for this most coveted award.
It is pertinent it note that in the Kerala industrial scenario, where
many companies are choosing down, either due to labour unrest or
due to other economic reasons, KSE continue to commence new
venture each year and runs them successfully. The company is having
six units at different locations. The relation with the labour unions is
very warm and cordial.
KSE, with a capital base of Rs.36crores embarks on an expansion to
double its solvent extraction capacity and add a most modern
ecofriendly vegetable refining plant. The company has already
identified six Acres of land in the KINFRA small industries park,
koratty fort his expansion.
84. [Type text] Page 84
SWOT (Strength, Weakness, Opportunities and Threats) has been a
useful tool for industry. This tool is effectively used as a decision
making aid while planning new vocational programs. The swot
analysis is classified into 2 types. Internal factors and External
factors.
Internal factors are;
1. Strengths
2. Weaknesses
External factors are;
1. Opportunities
2. Threats
Probably the strangest message from a SWOT analysis is following
Elements :
Building on strength.
Minimizing weakness.
Seizing opportunities.
Countering threats
Strength
Persistent Increase In Demand
Market share is the major strength of the company. It also
have strong market image.
The company is got high financial resources.
The people were aware of the product so it increases the
demand for the product
KSE is a ISO 9000 certified company.
Reputation and brand image of the KS for the quality of its
products.
85. [Type text] Page 85
Continuous profit making company thus financially
healthier organization.
A company which is listed in the three stock exchanges in
the country.
Location advantages being adjacent to National Highway.
Dairy industry is forward integration of other two segments
and thus can service thecustomers of those two
segments.
Majority of the milk societies in the Thrissur District are
dealers of KSE Ltd., for cattlefeed, poultry feed and duck
feed.
No:1 in processing coconut oil cake through solvent
extraction in India
Weakness
Do not provide any financial assistance for any production
enhancement Programs.
Frequent complaints especially on the packing by the
consumers.
Lack of public relations programs.
No veterinary programs are conducted.
Promotional measures are non-aggressive.
Doubts about international competitiveness.
Indirect control by government over price of milk which is a
bottle neck in increasingprice of feed to offset increase in
raw material prices.
There is a need to delegate the powers down the
hierarchy so that CEO could concentrate only on issues of
strategic importance.
Due to increase in the prices of raw materials and fuel and
power the company is facing increasing cost.
86. [Type text] Page 86
Company is facing tough time to control high turn over.
Company's trained professionals are in great demand in
process industry. This high turnover results in drain of
valuable skill and experience.
OPPORTUNITIES
Milk consumption habits are developed among the
consumers hence there is hugedemand in present market
requirement for milk products.
Acceptability of the feed and its quality standards in the
market.
Availability of talented technical and marketing personnel.
Product diversification is to be explored
Development of milk based sweet industry.
Plant Expansion Company has opportunity to expand their
plant. High prices in real estate have made this an
opportunity for the company to expand
Communication Can Be Improved Through Information
Technology
Threats
Unhealthy competition from small players who are
producing cheaper quality products.
Entry of big players including Multinational Corporation in
the market catered by ourcompany.
Government has introduced excise duty on ice cream at
1% and government mayenhance the rate of excise duty
in future.
Upward revision of fuel price increasing of ingredients
manifold.
Granting of subsidy on animal feed by the government
selectively avoiding private manufactures.
87. [Type text] Page 87
Findings
We have found many this in KSE they are as follows:
The company has huge market demand for its product. Because
company has created a goodwill among customer over years.
Company has faced many they problems over the years and
they have been successfully running. Because of its good
administration department.
Company has always tried to maintain a good employer-
employee relation by providing good working condition.
While other companies have put lots f money in marketing their
products KSE has limited marketing. But they have a huge
demand for their products
Even though they are running 365 days but they still can‟t
satisfy the demands of the customers.
In olden days their demand has been highly seasonal but now it
have change.
They are manufacturing milk and ice cream but due to
unavailable of raw material they have been limited their market
of those products.
Their products price is little higher when compare to
competitors but they still have demand because f its supreme
quality of those products.
88. [Type text] Page 88
SUGGESTIONS
The company can give more advertisement in mass media, it can
also use other sales promotional tools to catch customer‟s
attention and increase brand loyalty.
Through appointing more sales representatives, KSE can expand
their sales and thereby increase in turnover.
The company can reduce the cost of production by procuring
raw materials from the nearest suppliers.
The company can introduce professionals into the middle and
lower level of management.
Carryout more research in this field.
By opening new branches at various parts of south India
company can expand its business network.
89. [Type text] Page 89
CONCLUSION
KSE Ltd. Is the pioneer industry in the cattle feed, through faces keen
competition is all set to change the face of the organization the future.
Its great vision that to be No.1 in south India can be achieved in a
short span of time. The organization is also moving towards
social development programs in order to deliver value to the society.
The study also revealed that the organization is moving towards betterment of
its people. As a pioneer in the solvent extraction industry, leader
in cattle feed manufacture, and an emerging force in ice cream and a
resourceful new entity in dairy development and milk products, KSE is
determined to move with the times, taking on new challenges,
achieving new milestones. Both the technology and its commitment are sure
to payback within a short span time towards the achievements of its future
goals. It is capable of converting its threats into opportunities with
the guidance and control of the top management whose leader
shipquality is impeccable. The track records prove it.
By using new technologies, improved marketing strategies and
rectifying existing problems the company is the looking forward for a
more exciting future. By the excellent working of the company, I
hope that it can change to a national brand in a very short span of
time.
It was indeed a pleasure and a varied experience being a part of the
company and studying it as a whole. I am most happy and thankful to
the company for providing me an opportunity and letting me have a
great time with them. The study provided useful insights into the
company and its core functioning areas.
90. [Type text] Page 90
BIBILIOGRAPHY
Report and Journals
Company brochures
Wikipedia
Annual reports of KSE ltd
KSE Newsletters and booklets
Marketing review- magazine
Websites
www.kselimited.com
www.cattlefeedindustry.com
![[Type text] Page 1
REPORT ON ORGANISATIONAL STUDY AT
KSE (KERALA SOLVENTS EXTRACTION) LTD,
VEDAGIRI
Submitted in partial fulfillment of the requirements for the award of the
degree of MASTER OF BUSINESS ADMINISTRATION
Mahatma Gandhi University,
Kottayam.
By
SEBIN SEBASTIAN
REG.NO:
Under the Supervision of
MS.MINU MARY JOSEPH (ASST.PROF.)
MARIAN INTERNATIONAL INSTITUTE OF MANAGEMENT
KUTTIKANAM, IDUKKI (Dt)](https://image.slidesharecdn.com/osmine-130531231340-phpapp02/85/Os-mine-1-320.jpg)
![[Type text] Page 2
DECLARATION
I, SEBINSEBASTIAN, MBA student , Marian International Institute of
Management, Kuttikkanam, do hereby declare that this report
entitled “ AN ORGANISATION STUDY OF KSE LIMITED, VEDAGIRI “,
submitted in partial fulfilment for the degree of Master of Business
Administration, is a record of bonafide work done by me under the
guidance of Ms. Minu Mary Joseph, Assistant Professor, MIIM,
Kuttikkanam. I further declare that no part of this report has formed
the basis for award of any degree, diploma, associate ship, fellowship
or any other similar title of recognition in any other institution.
Kuttikanam sebin sebastian
10-09-2012](data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///yH5BAEAAAAALAAAAAABAAEAAAIBRAA7)