Kaushik Bakery

Company Overview
Kaushik Bakery was established in the year of 1981 at Sector-7, Faridabad, Delhi. It is
continuously providing a wide range of bakery products from the beginning without
compromising the quality and customer service. It started its bakery unit with the help of manual
operation and succeeded in the field. They introduced their first wooden heating equipment in
the year 1995 and introduced their first electrical machine in the year 2004. The introduction of
the electrical machine increased the output but quality could not be maintained by using the
electrical machines. So, they switched over to diesel operated machines further to maintain
quality issues along with productivity. Now it has expanded its transaction area to around 10-15
K.M radius from the unit with major customer base at Sector-7, 8, 9 & 15 of Faridabad area. It
has recorded a turnover of Rs 10 Crores in the last financial year. It has a labor force of 30
working staffs and 5 managers for smooth operation. It majorly follows a customer driven
approach and maintains a strong customer base in the nearby region.

Product Information
The company started their business with veg paties in the year 1986. Gradually, they started
making other bakery items like Biscuit, cake, Aloo paties, Pastry etc. Their largest selling
products are biscuits and cookies. They are delivering different flavor of cakes at the shop as
well as online through Zomato. They have launched some of the new products like Garlic bread,
Masala bread, paneer tikka etc. depending upon customer’s requirement. They have a large
customer base of 1500 to 2000 on daily basis. As of now, they are being able to produce 400
Paties/day. They are getting highest profit margin in Cakes. They supply cakes readymade as
well as through orders depending on the availability. They also give home delivery by own
manpower as well as through the food application Zomato. They have one major competitive
advantage over their rivals as they charge very low price for the same product as compared to
their rivals.

Process Flow
The process flow of making Biscuits and other bakery products starts from purchase of raw
materials. The most commonly used raw materials are water, flour and other ingredients like oil,
dairy food etc. They are properly mixed as per the required proportion by the help of Mixers.
After proper mixing, they are shaped in the required shape and baked inside the oven. They have
2no.s of diesel driven baking ovens. The temperature maintained inside the ovens is 190 deg C.
After baking of the biscuits, they are processed for cooling and packaging. They are also going to
start labeling their products on the product itself. For different flavored cakes, they have one
whipping machine to make whipped cream of different flavors. Now they have started making
Kulcha for which they use Atta and Maida as raw materials along with processed food as inside
stuff.

SWOT Analysis
Strength
1.Customer centric approach-More focus is to
make large customer base rather than profit
margin
2.Very low price as compared to other rivals
3. Very good capture in the nearby market.
4. Online delivery through Food App Zomato. 3. Tie up with other food apps like Swiggy,
5. Marketing of products through News-
papers and website.
6. Close surveillance of the process through
CC TVs to monitor the whole process.
Opportunity
1. More automation & digitalization to be
implemented in the process.
2. Manual operations to be replaced by
automated operation to increase the
productivity.
Uber eats, food panda etc.
4. Infrastructure to be developed more to
avoid space constraints.
5. Introducing other bakery items and
drinking beverages.
 Weakness
1. Dependent on manual operations.
2. Space constraint in the bakery unit for
making and storage of products.
3. Limited no. of mixer machines, ovens and
Whipping machine.
4. No proper advertisement of products.
Threat
1. Threat of other rival companies having
more digitalization process and variety of
products.
2. Threat of other international bakery
manufacturers who reach the customers at any
location through online.

Recommendations
1. Manpower management needs to be improved. Too much dependency on manual
operations need to avoided.
2. Implementation of automation and digitalization in the process flow will help in
minimizing processing time and increase in productivity.
3. Space constraint is a major issue which needs to be sorted out as soon as possible. There
is very less place for storage of products also. Hence infrastructure needs to be
developed.
4. Hygiene factor is also another issue. The finished products are kept in open and
unhygienic place for storage. They need to be stored properly in normal temperature at a
hygienic place. Workers should be provided with special gloves for the manual mixing
works rather than doing in bare hand.
5. As the baking process is carried out in a constrained space by the help of diesel engine
machines, there is always a risk of fire hazard. Fire accidents are very common in bakery
units. They need to keep fire extinguishers or fire hydrant system for any emergency.
6. Emergency exit should be there as many workers are working inside very less space.
During any emergency, they could be evacuated easily though the exits.
7. There is no ESI, no PF and no safety insurance for the workers which is against the govt.
policies. This needs to be implemented in order to maintain the standard.