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Hindustan Soap and Allied Product

Introduction

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Hindustan Soap and Allied Product

INTRODUCTION

The small-scale industry today constitutes a very important segment of the Indian economy. The development of this sector came about primarily due to the vision of our late Prime Minister Jawaharlal Nehru who sought to develop core industry and have a supporting sector in the form of small-scale enterprises. Smallscale sector has emerged as a dynamic and vibrant sector of the economy.

Small-scale sector has contributed significantly to the realization of the socioeconomic objectives of growth in employment and export, fostering entrepreneurship and ensuring industrial dispersal. During 1999-2000 the production from SSI was estimated at Rs.578470 crores and provided employment to more than 177 lakes persons in the 32 lakes SSIs unit spread through out the country. The small scale has been contributing about 40% of industrial production and 35% of total direct exports.

The post liberalization scenario has with witnessed a number of initiatives aimed at easing control and regulations, supportive measures such as the Delayed Payment Act(DPA) and schemes for ISO 9000 quality certificate and the prime minister Rozgar Yojan's. Inspite of this, wide spread sickness in small industries has not received focused attention and is a matter of grave concern and debate.

The small-scale industries sector plays a vital role for the growth of the country. It contributes 40% of the gross manufacture to the Indian economy. Export contribution of small-scale sector plays a major role in Indian's present export performance.45%-50% of the Indian exports is being contributed by SSI sector.
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Hindustan Soap and Allied Product

Direct export from the SSI sector account for nearly 35% of total export. Beside direct exports, it is estimated that small scale industrial units contribute around 15% to export indirectly. This take place through merchant exporters, trading houses and exports houses. They may also be in the form of export order from large units or the production of parts and components for use for finished exportable goods.

Small-scale industry sector has performed exceedingly well and enabled our country to achieve a wide measure of industrial growth and diversification. By it less capital intensive and high labour absorption nature SSI sector has made significant contributions to employment generation and also to rural industrialization. The promotional and protective policies of the Government have ensured the presence of this sector in an astonishing range of products, particularly in consumer goals.

The reason for the failure of units is many. It is usual for banks to blame the entrepreneurs for failure and the units to blame back the bank. What is lost sight in the counter of offensives is that the real cause of sickness is not identified in time and remedial measures are not initiated promptly. Sickness has become endemic in small industries owing to a combination factors such as inadequate and delayed institutional finance inefficient and non-professional management, shortage of inputs including power, labour unrest, technological obsolescence, market failure and competition.

Washing soap is an essential item in our daily life. We spend a certain amount constantly for this because we are conscious about hygiene and neatness. A detergent is a product that cleans. Soap itself has the first type of detergent that was discovered. Detergents are two type, natural detergent and synthetic detergents. The difference occurs due to difference in the method of production.
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Hindustan Soap and Allied Product

It is difficult to trace back the origin of soap making industry. In ancient years naturally available things are used for washing and cleaning. Later on with the advancement of the scientific knowledge the soap industry got established on a firm footing.

WASHING SOAP INDUSTRY

Washing soap industry in small-scale sector is passing through big crises. On one side, it is hard passed from the pressure of synthetic-detergent detergents. Presently about 9 lakes tones of washing soap is being produced in the small scale annually. The working group of the eight five year plan, after considering all the factor, has estimated a total demand of 40 lakes tone of washing material annually by the year 2000 AD.

A decade back, the total production of washing soap in this sector could be assessed at six lakes tone. Traditionally and by habit, the present low belt or Hindu belt has been consuming more washing soap as compared to other regions of the country.

In early period naturally occurring animal fatty oil were used for soap making. Then due to non-availability of these it was substituted by vegetable oil. As time passed inadequate availability of the vegetable oil, soap making was fall. This promoted soap industry to make research for some other substituents of vegetable oil for soap making.

India is one of the largest soap manufacturing countries because edible oil, one of the raw materials for soap industry is available in our country. The edible oil
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Hindustan Soap and Allied Product

growing area of the country is Punjab, Hariyana in the north, Gujarat and Maharashtra in the west and Tamilnadu in the south. There are present 54unit engaged in the manufacture of soaps and detergents. The production of soap during 2005-2006 was 4,86,533 tones and detergent was 9, 28,222 tones. During the financial year up to December, the production of soap has been 3,68,584 tones and detergent 7,13, 682 tones, respectively. The export and import of soap during 2005-2006 was 15, 344 tones and 35,579 tones. The export and import of detergents during 2005-2006 was 32, 342 and 20,547 tones, respectively.

In this juncture it is felt appropriates to make a report on "Hindustan soaps and allied products" one of the small scale soap making unit in Kozhikode district. It is situated 9 km away from Kozhikode.

RESEARCH METHODOLOGY Both primary and secondary data have been used for the study. The primary data were collected by interaction with proprietor, accountant, and workers. The secondary data were collected by annual reports of Hindustan soap and allied products company, other books, journals, etc.

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Hindustan Soap and Allied Product

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Hindustan Soap and Allied Product

OBJECTIVES
Following are the objectives of the study * * * * To make an overall study of Hindustan soap and allied product ltd is well known as a reputed Company in the FMCG sector. To make an in depth analysis of the various departments like production, marketing, finance, personnel etc. To put together a detailed study about functions of the organization. To study the marketing strategies followed by the organization to face the cutthroat competition prevailing in the market especially from Multi National Companies. * * * * To make an academic work in relation to soap industry by giving special reference to Hindustan soap company. To make an assessment of the inter-departmental co-ordination prevailing in the organization and its role in achieving the organizational goal. To study the role of the organization in the department-prone district (Wayanad) to remove its regional disparities. To give suggestions if any, to improve the products of the company to persist in the market as a symbol of industrial successiveness in the Gods own country.

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Hindustan Soap and Allied Product

Industry profile

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Hindustan Soap and Allied Product

INDUSTRY PROFILE
HISTORY OF SOAP IN INDIA
Soap business in India since pre-independence one over the decades an industry has benefited greatly from the development in the country. The company equal on its own way has contributed to these developments. The scale of soap industries operation can be measured in many ways. They all show deep linkage they have with India and the extent of symbolic relationship. During the British rule in India, Lever Brothers England introduced modern soaps by improving and marketing them in India. However, North West Soap Company created the first Soap manufacturing plant in India, which was situated in the city of Meerut, in the state of Uttar Pradesh. In 1987, they started marketing cold process soaps. country. Mr.Jamshedji, Tata set up Indias first indigenous soap manufacturing unit when he purchased OK coconut oil mills at Cochin, Kerala around 1918. OK mills crushed and marketed coconut oil for cooking and manufactured crude cold process laundry soaps that were sold locally. It was renamed The Tata Oil Mills Company and its first branded soaps appeared on the market in the early 1930s. Soap became a necessity for the moneyed class by around 1937. During World War I, the soap industry floundered, but after there was the industry flourished all over the

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Hindustan Soap and Allied Product INDIAN SOAP INDUSTRY Hindustan Lever Ltd., Procter & Gamble, Godrej Soaps Ltd. & Nirma are the main players in Indian soap Industry. segment are Karnataka soaps & Detergents and Johnson & Johnson etc. The Industry is already penetrated into every house hold village. There is no scope for further increase in demand. There would be a change in demand pattern with raising income. People may prefer premium brands concentrated in the urban areas. international, Mysore Sandal & Pears etc. The soap segments can be divided into laundry & toilet soaps. Laundry soaps largely produced in the small scale sector. Johnson & Johnson have tried to create a new niche segment in the market by launching the kids soaps. Kids soap is available in attractive green and red colors. Liquid soap market plays minor role in Indian soap industry estimated at less than 1200 ton (Rs.240mn). The two leading brands are Lifebouy (HLL) and Dettol (RCI). HLL is the market leader in the toilet soaps industry with 63% market share it is now concentrating on the premium segment. The products are priced in the range of 14 to 24. The company claims to have raised the growth of the premium soap segment by 21%. Lux is HLLs biggest brand in terms of market share (with a 16% share of overall soaps market) followed by Lifebouy which has increased from 11.9% in 2001 to 15% in June 2003. Market share of Lux by value increased from 13% in 2001 to 16.2% in June this year. Pearce. Leading brands in the premium segment are Dove and The The players largely concentrated on the efforts of advertisements and distribution. The major premium soap brands are Liril, Lux Other prominent players in this

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Hindustan Soap and Allied Product The HLL also has introduced two new products Lux Sunscreen and Lux moistruing. It has launched Sarlon in the health category, which is similar to Dettol. Nirma is the only other significant player with 23% market share. The commissioning of facilities for the manufacture of Linear Alky Benzene (LAB) helped with company to reduce its input cost. Nirma now appears to be concentrating on the upper end of the toiletries and detergent market. It is better known as a producer of low cost economy products. Hence it has entered the toilet soap and shampoo segments; if its present expansion program materializes. Nirma will have the capacities to make an additional 130000 tpa of soap and detergents.

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Hindustan Soap and Allied Product

MARKET SEGMENTATION
Market can be segment on price as follows: * * * Premium unit-price Rs.12 and above for 75gm cakes Middle (popular) unit-price Rs.8-11 for 75gm cakes Lower (Carbolic) unit-price Rs 6-7 for 75gm cakes. The premium segment accounts for 15% of the toilet soaps in the volume terms and 30% in value terms. The super premium segment is a niche market. The popular or carbolic segment accounts for the rest of the market. Major premium soap brands are Liril, Lux international, cinthol ultimate, Mysore sandal, Moti, Pears, Park Avenue, etc. HLLs Dov and JL Morisons Nivea are the two leading brands in super premium segment. The market can also be segmented on popular positioning platforms built around the benefits offered or the target segment such as.

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Hindustan Soap and Allied Product Health/Anti Bacteria Beauty Fragrance Dettol. Protex at the upper end. Lifebouy at the lower end, Savlon Lux, Nirma Beauty, Gladys Breeze, Iva, Nirma, Mysore Jasmine, Lexus, Nirma roses, Santoor Lime/Freshness Skin care - Cinthol, Liril, Iva Pears, Dove (in premium range) Rexona (in popular) Nivea (in super premium) Family Baby/Children Hamam, wipro Active. Wipro Baby, Johnsons Baby, Kids, Dove Transparent Specialty Herbal Pears Mysore Sandal, Santoor Moti

Neem, Margo, Nirma, Lifebouy Herbalina, Krishna Tulsi

Ayurvedic

Medimix, Chandrika, Radhas Ayush, Jeeva

Fairness

Godrej fair glow, Fair & Lovely

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Hindustan Soap and Allied Product

COMPANY PROFILE

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Hindustan Soap and Allied Product

HINDUSTAN SOAP AND ALLIED PRODUCT COMPANY-A PROFILE

Hindustan soap and allied product company was established in the year 1995 as a small-scale industry under kerala khadi and village industries. It is located at kakkodi 9km away from Calicut city. It is a sole proprietorship business the proprietor of the enterprise is Mr. P.T.ashkar who has sufficient experience and heridital knowledge in soap manufacturing business. His forefather was also engaged in soap manufacturing business.

The main objective of the units is that it provides maximum satisfaction to the customer by supplying good quality product. Due to that there was high demand for the product in the market.

This unit engaged in the production of washing soap. The unit is producing only one category of soap. That is freek bar soap in white co lour. Nowadays they are thinking about introduction of liquid soap. It has two branches in Morikkara and Kakkodi.
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Hindustan Soap and Allied Product

The unit follows labour intensive technology. The production process consists of six stages that is heating, mixing, cutting, sizing, framing, stamping and packing. The labour of this unit belongs to near by area. The waste due from cutting and sizing is being used for further production. The distribution of the product of this unit is done through marketing agent. There may be three or four agents in each district. Marketing operation of this unit is concentrated in Kannur, Malappuram, Calicut, Vadakara and Wayanad, Today the unit is doing cash transaction only.

Mr.Ashkar commenced the unit with the aid of finance from Khadi board. The unit will provide employment opportunity to people. The unit also takes loan for purchase of building. The unit has its own building and vehicles.

WORK CENTRE

Hindustan soap and allied product company is a labour oriented unit. Here no machine is used for any area of production. All processes are carried on with hands. Labours are the key factors in this unit. So that they are providing much working premises and good working condition for the workers. The workers are given incentives and bonus regularly. The unit follows piece rate system of wage payment.

There are 25 workers are working in this unit. Among them 15 workers are female. The female workers are engaged only in packing section. 10 workers are engaged in production process. There is a chemist who gives direction as regards the production process. There is an accountant who performs all accounting jobs. Computer is used for doing accounting works.
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Hindustan Soap and Allied Product

PRODUCTION

Production of this unit is characterized by labour orientation. Production is not machine oriented. The firm follows the process system of production consisting of six stages that is heating, mixing, cutting, sizing, framing, stamping and packing. Under the process system of production the output of one process become the input of next process and finished goods one the outcome of last process. The following are the raw materials used in the manufacture of freek washing soaps.
CAUSTIC SODA SODIUM SILICATE PALM OIL COCONUT OIL DOLLAMAT POWDER PERFUME
COLOUR

All the raw material except coconut oils purchased from Cochin, Tamilnadu, and Palakkad. Coconut oil is not an essential ingredient in manufacturing of washing soap. Most of the soap-manufacturing unit doesn't use coconut oil considering its high cost. But here the unit uses the second grade coconut oil as a raw material to improve the quality of the soap. Dolkwiat powder and stone powder is used to increase the weight of the soap.

PRICING

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Hindustan Soap and Allied Product

Pricing assumes great significant role in a competitive economy. Price of the product of this unit is fixed by considering the cost of producing the product, competition in the market, price of rival products etc. the unit offer its product at a reasonable prices. The method of pricing adopted by this unit is to add a certain percentage of profit to the cost of good.

The main product of this unit is Freek bar soap. The price of this product is determined on the basis of certain factor discussed above. The price of the freek bar soap is Rs.15 pr 600gram

SALES PROMOTION

Sales promotion methods aim to capture the market and increased the sales volume. The unit has its own method and tactics aimed at promoting sales. The important method implemented by this unit is to keep quality of this product even at high cost and preventing brand switching by its legal customer.

COMMISSION

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Hindustan Soap and Allied Product

As the distribution of the product is carried through agents, the agent gets commission for each for each unit of sales. They get 5% to 6% commission based on the volume of sales.

ADVERTISEMENT

Hindustan soap and allied product unit doesn't make any aggressive advertisement programmed. Because advertisement incur a huge expenses to the unit. Firm policy is to create demand through improving the quality of the product.

The useful method of advertisement adopted by this unit is to give gift, complement etc.in the form of glass, calendars, that carry name of the product. The main methods of advertisement are posters, banners, stickers, wall pain etc.

DISTRIBUTION

Distribution is the process by means of which product of the manufactures make available to the ultimate consumer Hindustan soap unit distributed its product mainly through the marketing agents. The unit has on direct contact with customer. Marketing of the product of this unit intensively concentrate in five districts. They are Calicut, kannur, vadakara, malappuram, and wayanad.

TRANSPORTATION

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Hindustan Soap and Allied Product

Transportation is necessary function of marketing. As market are away from the production centre. The product must be transported from manufacturing place to market.

The unit employee its own vehicle for transportation of product. Product is delivered at the doorstep of agents. Transportation cost is born by the unit itself. Usually the delivery is made on ready cash basis. Prompt payment on delivery of goods shows high demand for the product.

MISSION OF THE COMPANY


To give maximum job opportunities. To utilize natural Raw Material in soap production. To replace other states soaps, to increase the production of soap in Kerala. To constantly innovate and produce quality products and be ready to go that extra mile for the sake of their customers. To Value their human capital with healthy working environment where people can exercise creativity. To provide opportunity for growth and to generate optimum returns. To be judiciously adventurous and exercise integrity. To have perseverance and responsibility in their striving for excellence. To contribute their mite for the overall well being of the society. Training employees for the best quality practices. To provide consistently high quality products and services at a fair price.

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Hindustan Soap and Allied Product

Range of products and services offered by the company now include:


* * * * * * * * * * * Body care Products. Plantation. Dress care Products. Mineral. Agro Products from plantation division. Distribution and Marketing. Garments. Transportation and engineering Division. Research and Development. Building Material. Diesel filling station

Creating value through diversification


Within two decades business is diversified into: Six section, over seven categories. Over ten products and services and more on the anvil. General, glazed tiles, roofing sheets, soaps a & detergents, Garments, Plantation, Mining, Talcum powders, Shampoos, Building materials, surface transport, Chamber bricks, fuel filling station, rubber products, Information Technology, etc.

Market position of the company


The market share of Hindustan soap company has its maximum in six states namely Andhra Pradesh, Kerala, TamilNadu, Goa, Maharashtra and

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Hindustan Soap and Allied Product Karnataka. But Kerala having the highest market share of both toilet and

washing soap because company is situating in Kerala and the company is aware of the new aspects of market and consumer tastes. Its products are largely competing with the Fast Moving consumer Goods. The Thai Group of company has number of future plans. The motto of the company is to provide maximum job facilities to financially backward people. The Hindustan soap company now importing the raw materials from Thailand and Malaysia. Now the company plans to implement the noodles plant in Kerala.

Administration
administration rests with its Board of Directors. P.T.Ashker is the chairman of the company.

Chart of Board of Directors

Board of Directors

P.T.Ashker

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Hindustan Soap and Allied Product

PRODUCT PROFILE

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Hindustan Soap and Allied Product

PRODUCT PROFILE

The main brands of products produced in the manufacturing in the manufacturing unit at Hindustan Soap Company, are at Kakkodi, Kozhikode( district), Kerala.

PRODUCT VARIETY WASHING SOAP

BRAND NAME
DR WASH

QUANDITY
200 gm 150 gm

PRICE (Rs)
12.50 8 3.75 24.50 35 9

SUN PLUS 150 gm LEXO 1 kg SPEED WASHING BAR 1 kg GOLD 916 250 g

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Hindustan Soap and Allied Product GOLD 916 150 g GOLD 916 250 g CAUVERY 250 g AA BAR SOAP 600 g AA BAR SOAP 250 g SUPER WASH 555 600 g SUPER WASH 555 16.50 6.50 16.50 7.50 7.50 5

WASHING SOAPS
Laundry soap version categories come under this decision. The brands are Super Wash - 555, AA Bar, Lexo & Speed etc. The brand Gold 916 is premium variety, which is the fast moving soap in Kerala. Also the brand of Dr. Wash is a Supreme variety. The above scaps contain active rudiments soil removing formula. It satisfies the demand of the customers. The washing soaps have very good market share.

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Hindustan Soap and Allied Product

ORGANISATION STRUCTURE

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Hindustan Soap and Allied Product

ORGANISATION STRUCTURE OF HINDUSTAN SOAP &ALLIED PRODUCT Head office

Managing Director

Executive Director

GM & Admn

GM Corporate affairs

GM Finance/CS

G M HR marketing

HR

Admn

Logistics

personal

Accounts Finance Tiles DVSN Manager Manager

Cement DVSN

Officer Admn Legal Officer Officer Officer

Officer

Officer

Officer Officer Officer

Executive Clerical Clerical Exctve Staff Lower Grade staff

Exectve

Excites

Exctve Clerical

Sales Exctv Exctve

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Hindustan Soap and Allied Product

Departmental study

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Hindustan Soap and Allied Product

PRODUCTION DEPARTMENT
The Hindustan soap and allied product ltd. has aims at the production of soaps. It includes washing soap. They use both capital intensive and labour intensive technique for soap manufacturing

Organizational Hierarchy

Vice president

Assistant manager

Supervisors

workers

The production department of the company headed by the vice president of Production. Under Vice President there will be manager of production and various section supervisors. The supervisors have to check the quality and quantity of each product.

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Hindustan Soap and Allied Product Under the supervisors there will be the lower level workers involved in the production of soap. The 80% of the workers are women.

Manager for Production


The Production Department is headed by Production Manager. He is asking all the decisions relating to production process. The production is undergone 3 shifts of 8 hours each in a day. Production in any process depends on men, material, capital, information and energy. These inputs transformed into finished goods and services. The Company mainly deals with the production of washing soaps. The following are the Raw Materials mainly used for the production of toilet soaps.

Soap noodles. Colors. Perfumes. Glycerin. Caustic soda. Coconut oil. Fat. Preservatives. Whitening agent. Stain removing agent.

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Hindustan Soap and Allied Product Silicate.

PRODUCTION PROCESS

PLANT LAY-OUT

Heating with coil and Fillers

Heating caustic soda & builders

Soponification

Moulding Box

Slab Cutting

Bar Cutting

Cake Cutting

Stamping

Packing

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Hindustan Soap and Allied Product

WASHING SOAP SEGMENT


Raw Materials Oil Caustic soda Fillers Water Co lour Perfume.

First of these ingredients namely Caustic builders etc. mixed and heating in a large vessel. The mixed mass is passed through the soponification vessel. Then it is passed in moulding box for cooling. After cooling it comes through the process of cutting namely, slab cutting, bar cutting, and cake cutting. After the soap is fed into the process of stamping. The final process is packing. Here the soap is packing using stiffener and well designed wrapper. Finally the wrapped soaps are filled in boxes for market.

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Hindustan Soap and Allied Product

PRODUCTION FLOW CHART

Soponification Vessel

Cooling Box

Slab Cutting

Bar Cutting

Stamping

Packing

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Hindustan Soap and Allied Product

INVOLVEMENT OF WORKERS IN PRODUCTION PROCESS


The Hindustan soap and allied product ltd has used both capital intensive and labour intensive techniques for production. Most of the Company workers are women. The workers are mainly concentrated in packing and cutting section. Most of the workers are involved in the washing soap production The washing soap production segment largely using manual labour. It uses maximum amount of Human Resources. All the major process is done manually in the washing soap production unit. Each and every production skill of its function strictly done under the control of production manager and supervisor. The success of the Company depends on talent and Company. workers. They are well efficient workers. The workers are the wealth of the section. The washing soap production largely depends on labour for production.

TECHNICAL SECTION
The Company has a technical section. It consists of 20 staffs. It divided in to Mechanical and Clerical section. Repairs and maintenance works come under the Mechanical division. This exists number of machines. Some of them are

automatic. The employees of Technical Department trained in its operation and repairs. Some of the machines used in production department namely sigma

mixers, Roll mill, Plodder, Stamping machine and packing machine etc.

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Hindustan Soap and Allied Product

PERSONNEL DEPARTMENT

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Hindustan Soap and Allied Product

PERSONNEL DEPARTMENT
ORGANIZATIONAL STRUCTURE

Vice President

Manager of personnel

Assistants

Sub Assistants

Personnel

Department

is headed by personnel

Manager.

All the

requirements and selection are of decided by the Personnel

Manager. Under

the Personnel Manager there will be an assistant. The company has a total strength of 180, which headed by Managing Director. Under him in accordance over 4 Managers, 4 Personnel staff, 8 chemical staff, 4 supervisors, 4 chemists, 6 maintenance workers and 120 employees working in production department, which includes 80 women workers and 40 men workers. There are 30 loading and unloading workers also. These employees are working on contract basis.

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Hindustan Soap and Allied Product

FUNCTIONS OF PERSONNEL DEPARTMENT


In Hindustan soap and allied product ltd, Personnel Manager has to perform the following functions.

Employment and maintenance of work force


This function is concerned with the development of labour sources, interviewing, testing, selection, placement, follow-up, transfer, promotion & turn over.

Training
This function includes instruction to new employees, foreman and executives.

Service
This function mainly deals with provision or arrangement for cafeterias, rest room, counseling, group insurance, recreation etc.

Records and Research


This function includes maintenance of employees records, statistics, rules and other data and surveys covering labour laws, occupational trends and employee attitude.

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Hindustan Soap and Allied Product

Health and safety


This function provides adequate provision of health and service, safety programme and good working conditions.

Wage and salary administration


This function Personnel Manager includes participation in job analysis, specification and evaluation of employees merit and wage surveys.

Public Relation
It involves arrangements for and control of contracts with community and professional groups, business organizations, employees. Government agencies and communication media.

WORKING CONDITIONS
The working time of employees of lower level workers as only 8 hours. They work in shift basis. It divided in three shifts. Maximum working time is 8 hours. 8 am to 4 pm, 4 pm to 12, 12 to 8 am Office time of higher-level employees is 9.30 am to 6.30 pm.

Wage System
The Company followed fair wage and salary system. constitute an important element in HRM. Pay and benefits The permanent staffs of the

organization are paid monthly salaries along with TA, DA, etc. Salaries are paid

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Hindustan Soap and Allied Product on the first of every month in addition to this they will also have benefit from PF. The Company provides additional pay for every overtime work.

Motivation Technique
This inspires workers to work hardly for the Company and thus resulting in better result. Workers are motivated by providing food, staying facilities and payment of salary or wages in advance on request etc.

Bonus
The Hindustan soap and allied product ltd, follows Bonus Schemes for workers. The Bonus gives twice in a year according to the basis of basic wages.

Provident Fund
The Company maintains Provident Fund schemes for workers. It stands employees contribution.

Leave
The Company grants leave facilities. It gives special considerations for women workers. All calendar holidays for the Company. The Company provides facility of sick leave and maternity leave. The Company is well aware of to spend leisure time.

Canteen
The Company providing free canteen facility.

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Hindustan Soap and Allied Product

Free Medical Facility

The Company facility of free medical treatment for workers.

Unifor m
The Company gives uniform for all workers.

The incentive schemes and additional benefits to increase the efficiency and productivity of employees. The Company provides good working conditions. The Company is aware of the health & safety of workers.

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Hindustan Soap and Allied Product

MARKETING DEPARTMENT

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Hindustan Soap and Allied Product

MARKETING DEPARTMENT

ORGANISATIONAL STRUCTURE OF MARKETING DEPARTMENT

Manager of marketing

Assistant manager

Advertisement manager

Area Sales Supervisor Assistants Marketing Assistants Sales Man Executive

Assistants Executive Salesman

Assistants

Sales man

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Hindustan Soap and Allied Product Marketing Manager heads Marketing Department of Hindustan soap and allied product ltd, under the supervision of Vice President. He decides all aspects of marketing of products through out India, Under his supervision there are two managers namely advertisement manager & marketing manager. Under the advertisement manager two assistant managers arc appointed. One assistant manager has entrusted with respect of portal printing, wrapper designing etc. In order to assistant them they can appoint assistants. There are three area sales supervisors under the supervision of the marketing manager. There we can see sales promoters under each area supervisors. Sales promoters supervise the sales executives. The number of sales executives appointed depends upon the breadth of area. Sales executive have close relation with customers. They know the pulse of the market. If any change is noted in the market such as introduction of competitive product etc., the sales executive immediately inform this matter to the marketing manager. Then the marketing manager & advertisement manager meet together and take remedial measures. If more advertisement is needed it should be undertaken by the advertisement manager. The Company is marketing their products in Kerala, Karnataka, TamilNadu, Goa & Andhra Pradesh. products through their branches. In Kerala they are marketing their

PRICING POLICY
Price is very important to both buyer and the seller. The buyer always wants to buy at a very low price while the seller always desires to sell a higher price. So setting price is complex problem to all organization.

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Hindustan Soap and Allied Product Hindustan soap company Sets price for the product by considering the following factors Pricing policy followed by competitors/ price of competitive products. Cost of Production & Distribution Implications of discriminatory prices of different customer groups Price of different items in the product line Promotion policies Distribution channels Business objectives. The company follows 'cost plus pricing policy' for fixing prices for its products. In this method the Sales Tax and Central Excise Duty are added to the cost of each brand. Then Company margin and dealer margins at various stages of distribution are added to obtain final MRP of the products.

MATERIAL MANAGEMENT
Material is very important commodities most used to factor of production. It includes physical and

manufacture

the final end product. It is the first

important element of cost. Materials accounts for merely 60% of

the cost of production

Materials may be direct or indirect. Materials, which form part of a finished product, are known as direct materials. They can be accurately apportioned. allocated to a particular which cannot conveniently and but can be unit of cost. Indirect materials are those,

be allocated, to cost unit or cost centers easily

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Hindustan Soap and Allied Product Materials Department plays a major role in Hindustan soap and allied product. Materials Department has only 2 staff of which one is the Material Manager and other is the person assisting him. The raw materials of the company includes soap noodles, perfumes, color and Glycerin etc. soap noodles are bought from Indonesia Or Malaysia. Other items are bought from Mumbai or Chennai. The procedures followed by the company for purchasing raw materials are as follows.

PURCHASE DEPARTMENT
The Production Manager prepares a purchase requirement note and it passes to store keeper. The storekeeper makes purchase requisition to the Purchase Manager, Head office at Calicut. The purchase requisition moved to the Purchase Manager through the accounts department and production department. The Managing Director finally approves it. After the approval Purchase Manager invites quotations from suppliers. On receipts of quotations received from suppliers a comparative statement of various quotations received should be prepared and the desirable supplier should be selected. After selecting the supplier, the order is given for the purchase of materials. The materials arc, on reaching the company; have to be verified by the storekeeper with the purchase order and invoices. Then it has to be recorded in the 'Good received note'. The materials are bought either by cargo or lorry. These transport charges are borne by the company itself.

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Hindustan Soap and Allied Product

STORES DEPARTMENT

Stores come under materials department. There are a total of 6 members working in the store department, one storekeeper and five assistants. This company has centralized store and it is from where are sent at various departments. The company for issuing materials follows FIFO method from the

store. When reaching the goods, would be recorded in the goods received note by the storekeeper. It is here where the goods received note; stock register, material purchase register etc. are maintained.

RESEARCH AND DEVELOPMENT DEPARTMENT

This company has a well-known research and development department. The human resource of the research and development division includes qualified chemist and trained laboratory technicians whom implement internationally acknowledged analytical procedures. The quality control of each stage of the process is vested in them. From the careful selection of raw material followed by continuous evaluation conducted at ach process stage render the final products with high quality at optimum capacity. Samples intermittently taken and analyzed ensure that each customer gets the right quality products. The increasing use of their products indicates its strength and thus they become a reliable manufacture and supplier.

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Hindustan Soap and Allied Product

FINANCE AND ACCOUNTS DEPARTMENT

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Hindustan Soap and Allied Product

FINANCE AND ACCOUNTS DEPARTMENT


Finance and Accounts Manager

Treasury controller

Accounts Manager

Cash/Bank

Station manager

This is one of the important department in Hindustan soap and allied product, in which all the functions relating to book keeping and application of costing techniques are carried out. The Company has a good finance and accounts department in the head office at Calicut.

Source of Document
Document on the basis of which transaction are recorded in the books of accounts are known as source document. These documents provide written evidence of transactions or events taken place in the company. It includes:

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Hindustan Soap and Allied Product

1. Stores Register
The material department has the knowledge about the goods in department and records it systematically in stores register. This register keeps in factory and gives final information to the head office.

2. Purchase Register
The purchase department prepares the purchase register. register also keeps in factory. The purchase register records product quantity, supplier and price of the product. This

3. Finished Goods Register


The dispatching section prepared the finished goods register. The finished goods register records the finished goods of each production, total production, the quantity issued etc. This register also keeps in factory.

4. Bill and Entry


It is another source document prepared for the purpose of imported materials from foreign countries or out of state.

5. Day Book

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Hindustan Soap and Allied Product It is the primary book of the company. It includes the day today transactions of the company. All the cash receipts and payments are recorded in day book including purchase and sales.

6. Sales ledger
All the sales transactions including both Kerala and out of Kerala are recorded in sales register. It includes all details of sales such as date of sale, invoice transfer; customers name (distributor), product quantity, price, total etc.

7. Register of wages
This is prepared by the company to shown details with respect to wages payment to staff members or cases it record date, name, department, PF, or other welfare, wages/salary total.

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Hindustan Soap and Allied Product

SWOT ANALYSIS

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Hindustan Soap and Allied Product

SWOT ANALYSIS

Hindustan soap company started manufacturing and marketing soaps in 1999. It is a testimony to its adherence to strict quality control methods. The Strength, Weakness, Opportunities, and Threats of a company are as follows:-

1. STRENGTH
Hindustan soap and allied product ltd is a company whose mission is growth through quality, innovation and customer satisfaction. The corporate mission of the company is to achieve and maintain customer satisfaction through sustained quality in products and services at all times. 1. Well-established Brand. 2. Manufacturing facilities. 3. Efficient manpower. 4. Sales team.

II. WEAKNESS:
Every company has strengths, weaknesses, opportunities and threats. Hindustan soap and allied product is a company, which focuses on the problems and takes immediate action to solve the particular problems. There is no much weakness for the company. The main weakness which the company faces is, shortage of working capital. 1. Shortage of working capital.

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Hindustan Soap and Allied Product 2. Lack of transportation facilities. 3. Company situated in a remote area. 4. Lack of supervision in certain department. 5. Under utilization of human resource activities. 6. Poor advertisement and sales promotion techniques.

III. OPPORTUNTIES:
Hindustan soap company is a company, which has chances to widen its prospects in the near future. Board of Directors and top management level executives are now discussing certain prospects which will be profitable as well as increase the future prospects of the company world wide. The opportunities, which the company is looking forward to, are the expansion of its product base geographically and explore and exploit the export market 1. Geographical Expansion 2. Export Market Exploration & Exploitation. 3. Increase in product line. 4. Company has well established research wing

IV. THREATS:
A company will have many threats when they are in the market. If a company cannot overtake the threats then the company will not exist in the market for long. The marketing manager through market survey, and various AL-AMEEN INSTITUTE OF MANAGEMENT STUDIES 53

Hindustan Soap and Allied Product other methods, which are used by every company, must analyze the threats of the company. Now,Hindustan soap company is facing the threat of competition and there may be chances of threat from dismissed or disgruntled employees. 1. Competition 2. Dismissed And Disgruntled Employees. 3. Chances of Threat From Agents and Middleman

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RESEARCH STUDY

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STATEMENT OF THE PROBLEM


A study on IDENTIFICATION AND ESTIMATION OF MARKET POTENTIAL OF OLIVA SOAP

OBJECTIVES OF THE STUDY


To measure the satisfaction level of Oliva soap. To find out the market potential of Oliva soap. To measure the awareness level of Oliva soap among the consumers. To identify the competitors. To segment the market based on preference.

SCOPE OF THE STUDY


o The research findings can give better way to increase market share. The study enables the company to understand their product feedback and opinion of customers Research findings has inter disciplinary use

DATA ANALYSIS AND INTERPRETATION


The data collected through questionnaire are interpreted and analyzed by using the following statistical tools

Percentage method
This is one of the widely used methods to analys the collected data. it can be done by calculating the percentage of corresponding number in each category AL-AMEEN INSTITUTE OF MANAGEMENT STUDIES 56

Hindustan Soap and Allied Product in the total of the member. for instance to find out the percentage of respondents with opinion to particular questions we calculate as follows Number of respondents --------------------------------Total number of respondents X 100

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SUGGESTIONS

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SUGGESTIONS
1. 2. The company should make toilet soap with long lasting fragrance with reasonable price. The company can offer various promotional schemes to attract the retailers and the customers. 3 4 The company can collaborate with foreign companies to make new quality products. Re-engineering production system may reduce the cost while maintaining quality. 5 The company can adopt the promotional schemes like buy 3 get 1 free.

6 The company should conduct awareness campaign for the product.

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CONCLUSION

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CONCLUSION

The study aims at providing an over all view of the organizational aspect of Hindustan soap and allied product. Since the Company is a new entrant, it has to concentrate more on advertisement which is the success mantra to create brand loyalty. It can boost the sales and the thereby create a unique niche for Hindustan soap company in the bargaining Fast Moving Consumer Goods sector.

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Bibliography

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Bibliography

1.

Production And Operation Management, ASWATHAPPA

2.

Research Methodology, KOTHARY

3.

Marketing Management, PHILIP KOTLER

Website

www.thaigroupcos.com

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