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M.V.F.P. Pvt.

Ltd.
Submitted to: Prof. Nishant Uppal

Ashna Jain PGPJ-01012


Devesh Gupta PGPJ-01020
Kartikey Pandey PGPJ-01028
Mohit Bhat PGPJ-01036
Rashmeet Kaur PGPJ-01044
Tanuj Gupta PGPJ-01052
TABLE OF CONTENTS

Introduction . 2

History and Growth of MVFP ... 2

Present Organization Structure . 3

Present issues with existing Structure ... 4

Proposed Structure ..... 5

Recommendations ....... 6

Appendix ...... 6

References .... 8
INTRODUCTION
Incepted in the year 1992, MVFP Pvt. Ltd. is situated in Agra, Uttar
Pradesh. Under the guidance of our esteemed MD Mr. Raju Agrawal, our
company is constantly growing and scaling new horizons with a turnover of 5
crores. We are actively involved in the manufacture and export of Garlic Sev,
Coated Peanuts, Dal Moth, Mixed Namkeen, etc. The company started as an
small unit with a workforce of 5 and have since been operating in Agra and
adjoining districts. In the early 2000s they evolved their organizational structure
and currently operate with a labour force of 60 and managing staff of 8
excluding the Managing Director(MD).

HISTORY AND GROWTH SO FAR


MVFP (Maa Vaishno Food Products Pvt. Ltd.) is a namkeen
manufacturing company setup in Agra, Uttar Pradesh. It was founded in 1992
with the primary goal of providing masses with high quality products at an
affordable price. Started with a single product, currently its products constitute
32 SKUs (400gm and 1 kg packs of 16 varieties), all different types of
namkeens.
Starting with a rented production house, in the early 2000s they bought their
own piece of land and set up a huge factory in the industrial area of Agra. With
focusing upon the middle strata of the economy, it is one of the leading
namkeen manufacturer in Agra, on the growth trajectory of about 20%. In the
past few years it has increased its production and intensified its sales to even far
eastern parts of Uttar Pradesh. The most loss making product is moong dal
priced at rs 110 and the most profit making product is the shahi mixture.
It uses latest technologies to increase its marginal productivity and is currently
undertaking a step towards expansion of business because of high profits but not
a large customer base to cater to.
PRESENT STRUCTURE

Managing
Director

Chief Chief Chief


Sales
Accounts Production Marketing
Manager
Officer Officer Officer

Marketing
Skilled Labor Salesman
Executives

Unskilled
Labor

There are 4 Verticals which are Chief Accounts Officer, Chief Production
Manager, Chief Marketing Officer and Sales Manager. They report
directly to MD of company.
There are 54 total workers including 6 skilled laborers, also known as
karigars, who report to CPM.
There are 2 Marketing Executives who report directly to CMO and they
are responsible for all the marketing activities and for the promotion of
the company.
The 6 Sales persons are responsible for the sales activities.

Company follow a centralized command structure where MD follows oversees


major chunk of activities.

PRESENT ISSUES
MVFP can work upon the following issues to grow into a better company
with increased revenues and satisfied employees and customers.
1. MVFP does not enjoy a renowned established brand name even after 25
years of operation.
2. Although companys organizational structure is divided on the basis of
functional attributes yet the functions are not well defined to neither the
MD nor the employees.
3. The daily layout of the schedule of operations is more controlled and
coordinated by the lower workforce, creating inefficiencies.
4. The functional heads work on the guidelines provided by the MD and put
no efforts from their sides to promote the organization through
innovation. E.g. The Marketing head does the sales job and has had been
not involved in the much needed marketing activity.
5. Company is going for geographical expansion and setting up 3 times unit
as of now in Greater Noida, NCR. So with increased capacity, company
needs a new structure.

PROPOSED STRUCTURE

Managing
Director/CE
O

Regional
Regional
Head
Head (Agra)
(Noida)

Production / Material
Marketing Marketing
Accounts Distribution Manageme Accounts
Manager Manager
Manager nt Manager

6 Assisstant 2 Assisstant
Technicians Manager Manager

10 Sales Production
64 Labor Purchasing Distribution
Man Control

RECOMMENDATIONS
In previous structure, it makes difficult to process information quickly to secure cost savings.
Traditional design of material management does not provide enough control for careful
coordination of activities to be achieved. Realizing this separation of activities as office slowed
down production and raised cost was organizations have moved to reengineer the material
management process. Today most organizations put all three of the functional activities involved
in the materials management process inside one function. Now one hierarchy of managers is
responsible for all three aspects of material management and communication among those
managers is easy because they are within the same function. Indeed, this redesigned makes it
much easier for companies to outsource their manufacturing and inventory control activities to
specialist organizations.

Now, as company expands to NCR, Delhi, we are proposing new structure which is divided
according to different functions and flow of information is proper and well defined. Each
Geographical division has its regional head which directly reports to CEO/MD. Each regional
head controls their divisions. Greater Noida unit is 3 times large as Agra unit, so it has more
division of labor and more defined functions within organization.

APPENDIX (QUESTIONNAIRE)
1) How many employees in various divisions since inception and current
strength?
Re: Company started with 5 employees (including 1 Founder Director) with
Production as the only division.
Current strength is 68 (including temporary and contractual Labor). Main
division is namkeen which the largest source of revenue for the company.

2) Office locations? Organizational structure at any one location?


Re: Main Corporate Office at Agra. Total of 4 Verticals are there.
Accounts (MD Chief Financial Officer)
Production (MD Chief Production Manager Skilled Manager
Labor)
Marketing (MD Chief Marketing Officer)
Sales (MD Sales Manager Delivery boys)

3) Present organizational structure at Headquarters?


Re: Headquarter is located at Agra. Core structure is as above. CXOs are
heading teams of Managers and Executives.

4) What is the growth of the organization in terms of employee strength?


Re: Company is recruiting mainly from local engineering college and
management college for managerial staff. For labor work they recruit for
directly from labor chowk in Agra.

5) Composition of employees How many contractual and permanent?


Re: 25 permanent employees.

6) Any difficulties in your earlier structures? After facing them, any changes
in MVFP? Was there a restructuring done before?
Re: Earlier the CXOs were directly heading all the staffs. After several
expansions in past few years, different levels are created and now a definite
hierarchy is being followed in the company. Now Managers/Executives have to
report CXOs and all other employees report to their respective Managers. So
there are several vertical pillars (departments) with each pillar are having
definite hierarchy and on the top there is one horizontal core team (consisting of
CXOs).

7) Any particular department expansion foreseen in future?


Re: Products will go through expansion in coming years as there are many new
business divisions are in pipeline and will be launched in next 2-4 quarters.
Recruitment and Sales Team shall also grow accordingly. The upcoming
products are 16 types of namkeens which includes moong dal, rajbhog, satrangi,
Kashmiri mixture etc.

8) How is present organizational structure supporting your present services or


products?
Re: Presently, we are primarily focusing on two divisions: a) Namkeens and b)
Other snacks. Currently the organization structure is heavily biased towards the
Namkeens division as it is the main source of revenue generation. Funds from
the main business are also being used in expansion of the said business as well
as the new soon -to -be -launched products as per the increase in business
divisions, the number of verticals and uniformity will be increased. Once more
verticals (and more employees) will be there; creation of different levels in the
verticals (business heads, VPs) and bifurcations of the departments are expected

REFERENCES
1. Mr. Siddharth Agarwal ,
Chief Operating Officer, MVFP Pvt. Ltd.
09015973668
2. Jones, Gareth R. & Mathew, Mary; Organizational Theory, Design and
change

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