Vadilal (O)

COMPANY PROFILE
BASIC INFORMATION
TYPE PUBLIC
INDUSTRY CONGLOMERATE
FOUNDED 1907
HEADQUARTERS AHEMDABAD , INDIA
KEY PEOPLE (CHAIRMAN)

RAMCHANDRABHAI GANDHI ,
(MANAGING DIRECTOR)
RAJESHGANDHI
DEVANSHU GANDHI
PRODUCTS ICE CREAM, PROCESSED FOOD ,

FOREIGN EXCHANGE , CHEMICALS ,
REAL ESTATE
REVENUE 4.5 BILLION (US$72 MILLION)
EMPLOYEES 15000 (Approx)
PARENT VADILAL GROUP

WWW.VADILALICECREAMS.COM
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ICE CREAN INDUSTRY IN INDIA
The word “ice-cream” it self is enough to ensure a sweet feeling of cool

creams and makes mouth full of thunder. The history of ice-cream industry is
old enough. The first ice-cream industry is old enough. Jacob Fusel in U.S.A.
earlier it was considered as luxurious item and consumed mainly by kings and
landlords established the first ice-cream factory in year 1851. in earlier years the
ice-cream was sold in loose condition. At that time not such packs were
available but in 1904 ice-cream cones were introduced. The market then slowly
increased. As a result the seller had to find out various means for better
transportation. So various types of packets were used for transporting ice-cream
from one place to another. At that time no such refrigerated vans were available
and so ice-cream was transported in thermocol boxes.
In India due to tremendous potential for expansion in urban as well rural

areas and owing to the evolution of “Fun food culture” ice-cream industry is all
set to there in Indian environment. Ice cream is very perishable project and it
requires quick action both on the side of dealer as well as company. Also due to
instant demand the demand cannot be shifted to future period. The rule
“Survival of the fittest” will work for this.
The company, which owns wide and extensive distribution network, is

winner. In Indian the organized sector accounts only 15% - 20% of the market
share. Small ice-cream makers fulfil rest of the demand.
There is a major difference about ice-cream product in our country

and other developed countries. Here children mostly consume ice-cream as
supplementary eatables while they are for outing. Our people do not accept it is
full-fledged food. American and western people see ice-cream as substitute for
food. So per capita consumption of ice-cream there is more than that of ours.
With increase in infrastructure facilities the future of Rs.500 crores

industries has looked better. Earlier ice-cream only attached urban market. But
now seeing vast opportunities in rural market, the companies are now also
covering rural market. Again with the entry of MNC’s. Competition is at the
peak and so now one has to be better in all four P’s of marketing Product, Price,
Promotion and Place.
With rise in per capita income the items of conspicuous are likely to
increase. This can only mean an expansion of market. Also compared to the
global ice-cream worth 30 million, consumption levels in India are rather low.
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Indeed a Pakistan enjoy three times the quality of ice-cream an Indian eats, a
British enjoy 50 times and an American 200 times.
Since ice-cream consumption is based on impulse. Visibility and

accessibility crucially affect sales. Hence it is essential for the market players to
be always innovative and to find out new ways to attract the consumers. For this
now a day all the companies are regularly introducing new flavours. At present
running flavours are Vanilla, Chocobar, Rajbhog, Butterscotch, Feast, Kaju
Darks, Raja Rani etc.
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HISTORY & DEVELOPMENT OF VADILAL
Vadilal, the name conjures up images of ice cream laden bowls and a
plethora of new flavours. Starting from one man show with a hand cranked
machine in 1926 as a small retail outlet, the ice cream division now has a
production capacity of 1 lac ltrs/day at 3 sophisticated plants, located at
Ahmedabad, Pundhra and Barrenly. These ISO 9002 certified plants for
Pundhra and Barely are established in such a way that they are in consonance
with the market expansion strategies of the division.
Vadilal has one of the largest cold chain networks in India, comprising of
12 C&F agents, 250 distributors and 15,000 retailers. The network is kept alive
by a large fleet of refrigerated vehicles. Refrigeration equipments and retail
freezers are sourced from world leaders in the technology so as to deliver
quality products to the consumers, which is a commitment at Vadilal.
Vadilal has 25% of the Indian ice cream market as its share. But that's no
surprise considering that the group has the largest range of ice creams in the
country in a variety of flavours, packs and forms. The group has a product
matrix of over 200 SKUs comprising of cones, cups, candies, family and party
bricks and bulk packs. Vadilal introduced the concept of "flavours of the
month" under which the company develops and markets one new flavour every
month for its customers delight.
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FOUNDER
In 1926, vadilal put the breaks on his successful curer as a ground

engineer with BOAC, and turned a businessman.
This came as a surprise to most of his colleagues and friends. But the
bigger surprise was the product he chose to manufacture ice-cream.
But young man not painting on ice. As a vocation, he had already

mastered the art of ice-cream making from his uncle. He was already a taste
innovator, experimenting with jellies and unusual ice-cream ingredients.
His high quality ice-cream immediately made an impression in the

market. Soon, through continual taste innovations and steady facility expansion,
he blazed new trails, and emerged as a prominent market presence in western
India.
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Mission
“Good, truthful, clean” enterprising ethos
The founder of the vadilal began his enterprise half a century ago with a
simple guideline – Achai, Sachai, Safai (Goodness, Truthfulness, and
Cleanliness)
The succeeding generations at the help of the company translated this

axiom helm of the company translated this axiom into a way of life and
business. Only the finest ingredients go into the making of vadilal ice-creams.
The whole manufacturing process conforms to global standards of hygiene and
the company’s trade practices are kept totally transparent.
Based on new generation technology and in house of the company keeps

formulating new tastes at frequent intervals, and surprising its consumers. It has
also diversified into other food items, through a high profile restaurant chain.
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VISION
Quality must always precede quantity
To be leader in foods and ice-cream business leadership not as defined by

the general norms of the market place, but as defined by the company itself.
This means many things.
Such as establishing & maintaining leadership in quality, not necessarily

quantity.
Continuing to earn the respect of consumers and business associates,

through excellent products, fair trade practices and overall transparency.
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LOGO OF THE COMPANY
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CONTRIBUTION TO THE SOCIETY
They donate Rs.1.5 on new ice-cream, the Dhanteras special offer and
have collection boxes at outlets to help the blind school or every new flavour
party pack donate to the blind school.
This year unwinds continues with the theme “Live and let Live”& Gap
requests by the Vadilal to,
Put up hoarding at your mithakali crossing I other with the message.
Put up banners with the message at all your Vadilal outlets – Ahmedabad,
Rajkot, Nadiad, Baroda etc.
Sponsor 1200 posters on the theme (Appro. Rs. 6500) with the logo of Vadilal.
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PRODUCT OF THE VADILAL
Vadilal industries has extensive reach . a major success factor has been its
ability to cater to different market segments through multiple product ranges
.vadilal has range of ice creams in the country with 150 plus flavours and they
are sold in a variety of more than 250 packs and forms . the range includes
cones , bars , ice – lollies , small cups , big cups , family packs ,and economy
packs . it offers something for all tastes, preferences and pockets.
Recently the group has launched fresh fruit ice cream with ripples under
the fantasy range viz . fresh orange fantasy , fresh mango fantasy , fresh
strawberry fantasy and fresh black current fantasy .
Company has launched cake in which latest launched is chocolate excess

for chocolate flavour lovers
It has also started power ship milk which is one type of flavoured milk.
Vadilal Industries is provide the below mentioned products to their customers

with a good qualities.
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 CUP
 CONE
 FAMILY PACK
 CAKE (ICE –CREAM)
 CANDIES
 POWERSIP (MILK)
 NOVELTIES
 CUP
 Vanilla
 Ripe Strawberry
 2 – in –1
 Chocolate Chips
 Tuti Fruity
 Real Mango
 Rainbow
 Fruit Bonanza
 KajuDrakish
 Butter Scotch
 Kewra
 JafraniBadamPista
 Fun 2000-Car.Cho
 Rajbhog (Ice Mithai)
 Dairy Fresh
 Alphoniiso Mango
 Wild Strawberry
 Figs-n-Honey
 FRESH FRUIT DELIGHT
 Mango
 Pineapples
 Litchee
 Sitafal
 Frozen Dessert
 Kool Gulab
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 Snowy
 Kaju Lite
 Scotch Lite
 Yummy Mango Munch
 Yummy KesarPista
 SMALL CUPS
 Vanilla
 Ripe Strawberry
 Frozen Dessert
 Kool Gulab
 Snowy
 CONE
 Pineapple Delight
 Chocolate Drip
 Yummy Butter Scotch
 Chashmeshahi
 Prime KesarPista
 Almond Kulfi Cone
 FAMILY PACK
PLAIN FAVOURTIES
 Vanilla
 Ripe Strawberry
 2-in-1
 CHOCOLATE ECSTASIES
 Chocolate Chips
 DAIRY FRESH
 Alphonso Mango
 FRUIT FANTASIES
 Real Mango
 Fresh Strawberry
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 NUTTY DELIGHTS
 KajuDraksh
 Butter Scotch
 Real KesarPista
 JafraniBadamPista
 FROZEN DSSERTS
 Snowy
CANDIES
 DANDY CANDIES
 Pencil
 Mango Juicy
 Juicee Orange
 Kaju Candy
 Litchee Dolly
 Orange Dolly
 Raspberry Dolly
 Mango Dolly
 One-up Chocobar
 Nutty Chocobar
 Chocolate Chocobar
 Soft Spot (Chocolate)
 Fantastic
 FROZEN DESSERT
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 Bargain
 Best Chocobar
 Mango Tango Dolly
 Fun Bhari Raspberry
 PARTY PACK
 PLAIN FAVOURTIES
 Vanilla
 Ripe Strawberry
 2-in-1
 Sweet Heart
 DAIRY FRESH
 Alphonso Mango
 Wild Strawberry
 Figs-n-Honey
 FRUIT FANTASIES
 Tuti Fruity
 Real Mango
 Fresh Strawberry
 Fruit Bonanza
 UTTY DELIGHTS
 KajuDraksh
 Butter Scotch
 ChashmeshahiCashew Break
 Kewra
 Real KesarPista
 FROZEN DESSERTS
 Snowy
 Cherry Merry
 Kaju Lite
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 Scotch Lite
 KULFIES
 KesarPista Kulfi
 Chowpati Kulfi
 Kewra Kulfi
 PistaKesar Roll Cut
 Kewra Roll Cut
 NOVELTIES
 VADILAL SPECIALS
 Heart Throb
 Mini Sandwich
 SajanSajani (Roll Cut)
 Quick Sundae
 Easy Sundae
 August - 15
 Cassatta Slice
 Cassatta (Cut)
 SajanSajani (Roll)
 Vanilla Magic
 Strawberry Magic
 Mango Magic
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NEW LAUNCHES
Recently the group has launched Fresh Fruit Ice-cream with ripples under the
Fantasy range viz. Fresh Orange Fantasy, Fresh Mango Fantasy, Fresh
Strawberry Fantasy and Fresh Black Currant Fantasy.
Three new Koolfi's have hit the market. Namely Mango Koolfi, MavaKoolfi
and PistaKoolfi, these koolfis priced at Rs.10/- is a big hit in the market place.
Two new Sundaes ---- Chocolate Sundae & Strawberry Sundae at Rs. 10/- each
have been introduced.
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Promotional New Schemes
Chocolate Sauce with Vanilla: The consumer scheme of 50g Chocolate Sauce
Free on Purchase of one litre party pack of Super Vanilla became a trend setter
scheme in the market. The response to this offer was enormous.
1+1 Party Pack Scheme Chocolate Sauce with Vanilla: The consumer scheme
of 50g Chocolate Sauce Free on Purchase of one litre party pack of Super
Vanilla became a trend setter scheme in the market. The response to this offer
was enormous.
Yet another Bumper offer was the scheme of One Litre Vanilla Party Pack Free
on purchase One Litre KajuDraksh Pack.
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VADILAL 1 STEP AHEAD SERVICE
VADILAL also provide services like restaurants, parlours & other for
their customers.
RESTAURENTS
Delicious experiences for the whole family
Vadilal restaurants are designed to offer wholesome gastronomic

environment to the whole family. The décor reflects the eclectic culinary spread
on offer – Indian, Chinese, continental. The whole ambience is vibrant, inviting
and above all friendly and comfortable for the consumer.
The restaurants keep consumer interest alive by offering special

promotional schemes from time to time. Such as the valued patron scheme we
do not have any such scheme at the moment.
LOCATION & FACILITY:
All vadilal restaurants in Ahmedabad and Baroda are centrally located,

providing each access to all, and offering ample parking space. The dining areas
are spacious, comfortable and interestingly deco red. In fact, if you are in a good
mood, 5 vadilal restaurants is a great place to celebrate it and if you are in a sad
mood is the place to cheer up your spirits.
SPECIALITY:
Reflecting the predominant social preferences of the area, the vadilal

restaurant at DUDHESHWAR serves 100% vegetarian Punjabi, Chinese and
continental cuisines. The restaurant on Relief Road also serves 10% vegetarian
food, but the accent here is on South
Indian cuisine. In fact local lore says that it serves the best Chana puri&Ice-
cream combination in the world. On the other hand, vadilal restaurant, at Baroda
that all serves vegetarian
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HOME DELIVERY:
This is a special service offered by a few select vadial restaurants. Such

as vadilal at AHMEDABAD &BARODA. Hot, freshly prepared and
scientifically packaged food is delivered to the consumer’s doorstep on
customized delivery vehicles, by courteous delivery personnel in keeping with
vadilal’s high in house standards of food freshness, this service is restricted to
within 6 km of the restaurants vicinity.
PARLOURS:
Taste encounters for the whole family
To offer consumers delicious combination of snack food and ice-cream

quick served in a clean environment. They can opt for only snacks, if they wish.
But the fact is, very few manage to resist the thought of capping the food with a
delicious vadilal ice-cream.
Facilities:
The most endearing speciality of vadilal parlours in the friendly, prompt

service, which is today an indispensable part of the corporate culture of vadilal.
Also the highest standards of hygiene they adhere to in preparation, serving and
packing not to mention the delectable taste.
Today, vadilal parlours are the city’s most preferred places for a quick
business lunch, a friendly evening get together, or a family eat out trip.
CUSTOMER SERVICE:
Customer satisfaction – the most reliable market

index.
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Organisation structure
Chairman
Board of Directors
Managing Director
(CEO)
Production Marketing Finance HRM
Manager Manager Manager Manager
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TIME KEEPING SYSTEM
Time-keeping system means how much sift in the company, time keeping
system also play vital role in this unit time keeping of staff is carried out office
and worker carried out by supervisor.
VADILAL Pvt Ltd has conduct only one working sift.
8 am To 4:30 pm
Lunchtime
12 am To 12:30 Pm
Shif time means working time is 8 hours and half hour is lunchtime.
Official working is 10:00 am To 5:00 pm

When employee’s bus enters in the company that time gatekeeper note the time
of entry and when employee bus exit the company that time note time of exit
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EMPLOYEE SERVICES
Employee services mean which types of services and facility provided by the
company. SEPL is provide following facility to their employee as an under.
Bus Facility
The companyprovide bus facilityto its employee i.e. all girls are picked in early
morning and dropped back in the evening by company buses.
Uniform Facility
The company provides uniform to all employees along with her bonus only
girls’ worker
o The supervisor level provides other uniform facility because most
all supervisors are male person.
o During the winter times company provides sweater to all
employee.
o VADILAL also provide morning and evening tea with breakfast to
all employees.
o Company provides canteen facility.
o Company gives 20% bonus on salary at every Diwali festival.
o Company gives gifts toemployee during the festival.
o Company also provides Tiffin box and Tiffin kit with name of
VADILAL
o Company provides medicalfacilityfree of costto the entire
employee.
o Company gives loantoemployee for any purposeinperiod of
difficulty.
 VADILAL also provides wages on publicholiday and company provides
holiday every Wednesday.
o Company arranges picnic and one day in year.
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o The company takes duecare of the health of an employee by
supplying pure hygienic water only through Aqua guard water
purities
o Company provides identitycardto all employeepurpose of freely
entry any part of the company.
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MARKETING MANAGEMENT
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INTRODUCTION TO MARKETING MANAGEMENT
Everyday is different from its preceding day and to its next day. The world is
changing rapidly; globalization, advanced technology and deregulation of
economic sectors are developed. Therefore marketing has to meet human and
social needs as profitability. The marketing means the task of creating,
promoting and delivering goods and services to consumers and business as per
their requirements.
In short we can say that “marketing is a social process by which individuals and
groups obtain what their need and want through creating offering and freely
exchanging products and services of value with others.
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DEPARTMENT HIERARCHY
Marketing organization may be defined of determining the branches of activities

which comprising the marketing functions, growing them into sub functions.
Establishing authority relationship and providing for an appropriate mechanism
for their integration to achieve marketing department.
The different marketing activities perform by the different individuals brought

together and under the leadership of the one person by a consciousness
managerial need of marketing organization in every firm is due following stated
reasons like, many marketing function such as research, sales promotion,
physical distribution and advertisement.
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Marketing manager
Marketing executive
Design engineer
Production manager
Sales manager
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MARKET SEGMENTATION
“Market segmentation is the grouping of customers according to such

characteristics as similar wants, income, age, education, geographical location
or area.”
VADILAL has divided market on the geographical basis e.g. it has divided the
market into different geographical units such as nations, regions, states, cities
etc.
Bases of geographical segmentation are as under:
1. Rural
2. Urban
VADILAL has segmenting the marketing according to rural & urban area. Its
main concentration is on rural market as 60% of population of India is rural. Its
main market consists of villages in India.
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PRODUCT LINE
For product line VADILAL normally develop a basic platform and modules that
can be added to meet different customer’s requirements. Product line managers
need to know the sales and profit of each product in their line in order to which
product to build, maintain, harvest and divest.
Product mix is also called as the product line market profile.
In VADILAL, product mix has a certain width, length, depth and consistency.
 Width
It refers to how many different products lines the company means
VADILAL carries.
 Length
It refers to the total numbers of items in the mix. Here we can also talk
about the average length of line. This is obtained by dividing the total
length by the numbers of line.
 Depth
The depth of the product mix refers to how many variants are offer of
each product in product line. If any product comes in three size and two
formulations the product depth is six.
 Consistency
The consistency of the product mix refers to how closely relates the
various product lines are in end use production requirement, distribution
channels or some other way.
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PRICING METHODS AND STRATEGIES
The aim of each and every company is the maximum of profit and customer
satisfaction. The level of profit is generally depending on the pricing policy of
the company. Prices of the product are decided evaluating the return of factors
of production i.e. interest, rent, wage, and profit. Also other such as direct and
indirect taxes etc is also considered while deciding the price.
The factors affecting the pricing are as follow.
 Cost of production.
 Competition
 Quality of product
 Payment period
There are five types of price setting methods.
 Value pricing
 Target return pricing
 Mark-up pricing
 Going rate pricing
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CHANNEL MANAGEMENT
Various channels
A channel of distribution is the set of marketing activities involve the flow of

goods of services from then primary producer to the ultimate customer. The
most common route to bring the product in market is channel of distribution
Manufacturer
Wholesalers
Retailers
Consumers
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SALES PROMOTION
Sales promotion can be used for short term run effects such as to
highlight products offers and boost sagging sales.Sales promotion includes the
tools for consumer promotion, trade promotion and business and sales force
promotion.
Marketing dept. also arrange seminar at various customers places as well as also
head office at Pune, Delhi, Kolkata, Chennai, Mumbai, Ahmedabad, Indore. As
far as VADILAL is concerned it takes the following steps for the sales
promotions.
 It provides best quality of product. If the product is slightly defective then
the whole project is rejected. They always try to maintain the quality of the
product.
 They try to provide services for maintain a team of qualified service person
at major branch offices, like Pune, Delhi, Kolkata, Chennai, Mumbai, and
Ahmedabad… In case client faces any problem with the product he may
contact any of the above branch office.
 It also provides a discount for the purpose of sales promotion. Discount
depends upon the quantum of business done with a client.
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PUBLICITY
Publicity is based on the quality
 High credibility
 Ability to catch the buyers of guard.
 Dramatization.
Publicity is plays and important role in following task for VADILAL.

 Assisting in the launch of new products.
 Influencing specific target groups.
 Assisting in repositioning a mature market.
 advertising
There are many medias through which a company can advertise its
products:.
 Print media includes newspapers, magazines, mail publicity etc.
 Broadcast medias includes ads through billboard out door publicity.
VADILAL mostly advertise their products on television, in the leading

newspaper, in trade magazines, through banners and stickers. The advertising
budget is generally 5% of the total sales.
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HUMAN RESOURCE
DEPARTMENT
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INTRODUCTION TO HRM
Taking a look at the world of human beings is a rewarding experience, contrasts

about in this world. A contrast net worthy, one thing is certain. It is the people
who make an organization a success or allow it to be handed over to the board
for industrial and financial reconstruction. Who are these so-called patrons?
How to attract them? How to retain them? How to motive them? These and
other much questions need on in depth study. HRM relates to all the topics.
HRM is a management functions that help managers recruit, select, train and
development members for an organisation, HRM is concerned with the people’s
dimension in organization.
In today’s competitive world, HRM has become an essential part of business
organization. Personnel as an activity, where seen as a necessary but an
important part of the organization.
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HRPLANNING
HR planning is the process by which a management determines manpower

requirement and the means for meeting those requirements in order to carry out
the integrated plan for the organization.
In a HRP is understood as the process of forecasting an organizations future
demand for the supply of right types of people in the right number, it is only
after HRP, that the HRM department can initiate the requirement and selection
process.
In a VADILAL, the personnel manager decides the volume of manpower. He
rationalize the total manpower and than decides whether to increase the
manpower or to decrease the manpower on the basis of evaluation of work,
efficiency of workers, nature of work etc.
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RECRUITMENT SOURCES
Recruitment is the process of finding and attracting capable application for
employment. The process begins when new recruitment are sought and ends
when there application are submitted. The result is a pool of application from
which new employees are selected. Thus recruitment is the process of inviting
the prospective candidate for the vacancies available in the organization.
Recruitment is done where vacant place is available in the organization. Thus

each and every adopts this process, when there is any vacant place. There are
mainly two sources of recruitment.
1. Internal sources
2. External sources
In VADILAL the first of all managers decide the nature of the job and the
nature of required jobholder. In other words first of all, the recruitment is done
as per the requirement of staff due to death of employees, retirement or
resigning from the job.
VADILAL follows recruitment process in different following ways.
1. Direct application
2. Advertisement in news paper
3. Employment exchange
In VADILAL, after getting qualifications of it as per qualification, age and

experience is done. Short listed applicants are called for a personal interview.
Interview panel consists of two or three outside experts and senior officers of
the company. And as per the result recruitment is done
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TRAINING DEVELOPMENT
Training development is an art of increasing the knowledge and skills of

an employee for during a particular job. Training makes the material meaningful
by providing view, examples, material and visual aids.
Whereas training prepares employees for performing agent present job,
development prepares employees for future organization.
In VADILAL there is a no separate training centre. But the experts are give
training to the trainees. The different methods of training are adopted by
VADILAL follows.
1. Apprenticeship training
2. On job training
3. Shop floor training- technical staff
4. Outside seminar
5. Lectures etc.
In VADILAL the initial appointment shall be except specified otherwise on

training or probation for three months. The management may from time to time
extend or reduce such period as may be considered necessary.
The training in VADILAL is given to the employee to satisfy the following

objectives,
1. To reduce un employment
2. Decision making
3. To increase productivity
4. Creativity and problem solving
5. Interpersonal relationship
6. Leadership & development
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WAGE AND SALARY ADMINISTRATION
Workers and employees are paid wages and salary for their work. To
decide the sound policy for wages & salary. It is a very crucial task & it is
affected by so many factors.
The term wages defined as, “The remuneration paid by the employees for
the holiday, daily, weekly and fortnightly service of employees.” It is also paid
to production and maintenance of blue-collar employees on daily basis.
The term salary defined as, “ the remuneration paid to the clerical managerial
personnel employees on monthly or annual basis. It also means that the rewards
paid to the white-collar employees for their services.
In the company there are two types of csategory for employees. One is
managerial staff and non-managerial staff.
Managerial staff received as per their seniority and position held. Managerial
staff as status from assistant manager, deputy manager, senior manager and
general manager.
Non-managerial staff, their salary structure and perks are declared every year as
per the agreement made between the workers and management.
In VADILAL, the employees get the salary at the 7 th of the next month. The
salary is given after adding the allowances and the deduction of provident fund
and advance pay taken. The employees must be present at the accurate time;
otherwise the pay of one day is cut off. The wages are paid as per the wage act.
Salary = basic + convenience
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JOB EVOLUTON
After the selection of the employee in VADILAL ICE CREAM. they are
employed temporary. They have to go under probation period for the first six
month, after that the employee is confirmed. Some efficient engineering are
asked to sign on the bond paper they can’t resign until such years.
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E S I SCHEME
The “EMPLOYEES STATEINSURANCE ACT” (ESI), 1948 was

enacted to provide certain benefits to the employees in the case of sickness,
maternity and the employment injury and to make provision for some other
matter in relation to these. Thus the act, provides for medical attendance and the
treatment and moreover cash benefits during sickness, maternity and
employment injury, pensions for dependents on the death of the workers funeral
expenses are given to the workers family. Whenever the ESI scheme is extended
the employees are absolute of their liability under the Workman’s
Compensation Act 1923 and under Maternity Act 1961.
MANAGEMENT OF INDUSTRIAL SAFETY
Safety must be built in design stage, in production planning and in

operator training. The challenge of true of mind by efficient and regular safety
training for all levels of management and workers. The aim must be to make
every individual in industry have a more regarded not only for his own personal
safety, but also for others.
ACCIDENT PREVENTION PROGRAM IN TEXSPIN.
 Analyze accident records.

 Obtain co-operation of plant manager.
 Obtain co-operation of other head of department.
 Hold meeting of Operating executives.
 Organized educational work.
42
ROLE OF SAFETY OFFICER IN TEXSPIN
 Maintain accident records.

 Advice management on all safety matters.
 Supervise or advice on safety training.
 Personal plant inspection.
 Consult with other agencies on safety problems.
Here in VADILAL safety department have a central location near the factory
shop available for displaying sample of safety equipments like posters, safe
practice references equipment catalogues etc.
43
ROLE OF HR DEPARTMENT
In an organization, role of HRD plays a very important role. The organization

development depends on the active role of HRD in the organization. Company’s
HRD has to play a various types of roll, like implementation of training
programmer, knowledge enrichment, job satisfaction, group responses,
placement, transfer, promotions running of training institution and so on.
In a, VADILAL the manager of HRD various out the above said activities
effectively and efficiently.
44
FINANCE
DEPARTMENT
45
INTRODUCTION TO FINANCE MANAGEMET
Finance is regarded as the lifeblood of a business organization. The

financial management study of about the process of procuring of financial
resources and its judicious utilization with a view to maximize the shareholder’s
wealth. Finance management of every business enterprise is largely depending
upon the efficient management of its finance , Finance management is
concerned with the efficient use of an important economic resource namely,
capital funds.
Finance management is concerned with the managerial decisions that results in
the acquisition and financing of long term credit for the firm as such at deals
with the situation that require selection of specific liabilities as well as the
problem size and growth of an enterprise. The analyses of these decisions are
based on the expected in flow of funds and their effects upon managerial
objectives.
46
ORGANISATION STRUCTURE
Financial
Manager
(Director)
Administration Finance Export & Import Account

Department Departmen Department Departme
t Account
nt
Clerk Clerk Clerk Clerk
47
FINANCIAL PLANNING
The finance manager and commercial manager planning with the departmental
undertakes a weekly financial planning programmed and every month the time
is reviews so if it requires any adjustment it can be made in time. It has also
borrowed capital in form of loans, deposits that consists of long-term debt.
Financial planning means the planning of finance. In the planning of finance not
only planning is done for spending the money but also planning is done for
finding and evaluating source of finance.
Source of finance
Two type of source of finance is used in IR&IL Company
[A] Internal source
[B] External source
[C] Other sources of finance
[A] Internal source
(1) Equity shares
(2) Reserve & surplus
[B] External source
(1) Secured loans
(2) Unsecured loans
(3) Deposits
It is tried to collect the fund at very cheap rates and utilized in the best possible
manner.
[C] Other sources of finance

(1) Short term
(i) Bank
(ii) Cash
(iii) Hypothecation of stock
(2) Long term
(i) Various types of term loans
(ii) Hypothecation of plant & machinery which repayment
(iii) Long term loans.
48
CAPITALIZATION
Capitalization means the total value of capital stock of the company i.e. total of
equity, preference & long term debt. It is the sum total of the value of
company’s share plus the value of debentures plus the surplus it has
accumulated the company has to determine in initial stage.
According to the M.C. Shukla “Capitalization is the sum total of all funds of
long term securities assured for company as well as surplus which are not meant
to be distributed”.
A company is said to be capitalized it is earning are less in relation to its capital

investment. It is under capitalized of its earning are more in relation to its
capital investment.
49
CAPITAL STRUCTURE
Capital structure refers to make up its organization. However it includes all the
long terms capital sources including loan, bonds, share issue etc. and the
component of capital structure. Capital Structure is the proportion of debt and
preference and equity shares on a firm’s balance sheet.
Every company should have its own capital structure; capital structure is the
permanent financing of the firm. Represented by long term debt, preferred stock
and net worth. A company can produce funds by issuing and securities.
Company should decide type & proportion of security. The optimal capital
structure is necessary to maintain financial stability.
1) Share Capital
2) Reserve & Surplus
Sr. No. Particulars Amount

1 Share Capital 3,61,48,200
2 Reserve & Surplus 7,26,05,023
50
CAPITAL BUDGETING
Capital budgeting can also be term as long-term investment decision.
According to R.N.Lynch“A capital budgeting consist of planning and the
budgeting of available capital for the purpose of maximizing the long term
profitability of the firm.
According to the ChatesHangren“Capital budgeting is long term planning for

making and financial proposed capital outlets.”
In fix the top-level executives take assets huge capital is invested decision
regarding fixed assets.
There are two methods to evaluate the proposal of long-term investment
decision.
Payback Method
It represents the number of years required to recover the original cash
outlets invested in a project.
 Average rate of return method

Under this method average income is divided by average investment. To
get average income the profit after tax and depreciation is divided by
number of years to get average investment the total investment is divided
by number of years.
51
The fixed assets of TEXSPIN are as under
PARTICULAR Rs.
Gross block 12,33,04,
(Plant, Machinery 761
etc.)
Less: 3,90,70,5
Depreciation 90
Total fixed assets 8,42,34,1
71
52
WORKING CAPITAL MANAGEMENT
Meaning of working capital management:

Working capital means the capital, which is required for the payment of
expenditure, which is incurred by day-to-day basis.
DIAGRAM
Cash Raw material Work in process
Trade debtors
sales finishedg
oods
 Management of working capital is an integrate part of financial

management and it has earning on the objective of the owners wealth.
 Working capital is essential to operate the fixed assets in the sales
activities.
 However sales do not converted into cash instantly there are 2 concept
gross working capital and net working capital.
 Gross working capital means current assets. Net working capital means
different between current assets and current liability.
53
PARTICULAR Rs.
Current assets 17,85,31,406
Less: Current liabilities 11,67,26,541
TOTAL 6,18,04,865
Inventory
Inventories are the stock of the computers of this is that make up the product.
In other words it is the total cost of raw material used in manufacturing the
product. The different forms in which the inventories exists are raw material
works in progress, finished good etc.
Inventories of VADILAL as per balance sheet of Rs. 5,29,48,91

Cash And Bank
The current cash and bank balance of VADILAL are as under:
YEAR Cash & Bank

Balance
2004-05 14,95,382
2005-06 76,78,539
54
RATIO ANALYSIS
Liquidity Ratios :
Liquidity ratios measure the ability of the firm to meet its current
obligations. A firm should ensure that it does not suffer from lack of
liquidity, and also that it does not have excess liquidity. The failure of a
company to meet its obligations due to lack of lack of sufficient liquidity,
will result in poor creditworthiness, loss of creditors’ confidence, or even in
legal tangles resulting in the closure of the company. A very high degree of
liquidity is also bad; idle assets earn nothing. The firm’s funds will be
unnecessarily tied up in current assets. Therefore, it is necessary to strike a
proper balance between high liquidity and lack of liquidity.
The most common ratios, which indicate the extent of liquidity or lack of it,
are:
Current ratio,Quickratio,Cashratio,Net working capital ratio
Current Ratio: Current Assets/Current Liabilities
Current Ratio of the firm measures its short-term solvency, which indicates the
rupees of current assets available for each rupee of current liability. The current
ratio represents a margin of safety for creditors.
YEAR 2005-06 2004-05

C.A 178531406 174065581
C.L. 116726541 102371325
RATIO 1.53 1.70
1.7
1.6
terms
Ratio
1.5
1.4
2004-05 2005-06
year
55
Cash Ratio: Cash / Current Liability
Cash is the most stringent measure of liquidity. It generally measures the
liquidity of the firm. A high ratio shows the high liquidity of the firm. In other
words we can also say that how much cash a company holds in hand to pay its
liabilities.
YEAR 2005-06 2004-05

CASH+MRKT 14,95,382 76,78,539
SEC.
C.L. 11,67,26,541 10,23,71,325
RATIO 0.01 0.03
56
Leverage Ratio :
To judge the long-term financial position of the firm, financial leverage, or
capital structure, ratios are calculated. The ratios indicate mix of debt and
owner’s equity in financing the firm’s assets.The leverage ratios may be defined
as financial ratios that throw light on the long-term solvency of a firm as
reflected in its ability to assure the long-term creditors with regard to
 Periodic payment of interest during the period of the loan and
 Repayment of principal on maturity or in predetermined installments
at due dates.
Accordingly, there are two different, but mutually dependent and interrelated,
types of leverage ratios.
 Ratios that are based on the relationship between borrowed funds and
owner’s capital. These ratios are computed from balance sheet.
 Capital structure ratios, popularly called coverage ratios, are calculated
from the profit and loss account.
Total Assets Turnover Ratio = Sales / Total Assets
Total assets turnover ratio indicates productivity ratio, which measures the
output produced from the given input deployed. Assets are inputs, which are
deployed to generate production. Higher the asset turnover ratio, the higher the
efficiency or productivity use of inputs.
YEAR 2005-06 2004-05

SALES 27,08,08,102 27,49,08,797
T.A. 31,36,82,598 25,36,26,177
RATIO 0.86 0.978
Profitability ratio:
A company should earn profits to survive and grow over a long period of time.
Profit is the difference between revenues and expenses over a period of time.
The financial manager should continuously evaluate the efficiency of company
in term of profits. The profitability ratiois calculated to measure the operating
efficiency of the company. Besides management of the company, creditors and
57
owners are also interested in the profitability of the firm. This is possible only
when the company earns enough profits.
Generally, two major types of profitability ratios are calculated:

Profitability in relation to sales
 Profitability in relation to investment
Gross Profit Margin = Gross Profit / Sales

The gross profit margin reflects the efficiency with which management
produces each unit of product. This ratio indicates the average spread between
the cost of good sold and the sales revenue.
YEAR 2005-06 2004-05

G.P. 4,86,95,636 4,36,46,539
SALES 27,08,08,102 27,49,08,797
RATIO 17.98 15.88
18
17.5
17
terms16.5
16 Ratio
15.5
15
14.5
2004-05 2005-06
year
58
Net Profit Margin = Net Profit / Sales
It indicates the management’s ability to operate the business with sufficient
success not only to recover from revenues of the current period the cost of
merchandise or services but also the expenses of compensation to the owners
for providing their capital at risk. This ratio shows that the earnings left for
shareholders as a percentage of net sales.
YEAR 2005-06 2004-05

N.P. 2,23,55,010 2,11,30,017
SALES 27,08,08,102 27,49,08,797
RATIO 8.25 7.68
8.4
8.2
terms
8
East
7.8
7.6
7.4
7.2
year
2004-05 2005-06
59
60
ANNUAL REPORTS of 2014-15
TRADING A/c OF VADILAL INDUSTRIES
PARTICULARS AMOUNT PARTICULARS AMOUNT
TO Opening inventory 1600000 BY Sales 54000000
TO Purchases 18000000 BY Closing inventory 2200000
950000
TO wages 4550000
BY Purchase return
TO Fuel 6440000
5470000
TO power
900000
TO Other direct expenses
TO Sales return 350000
TO GROSS PROFIT 23940000
57150000 57150000
61
PROFIT AND LOSS A/c OF VADILAL INDUSTRIES
BY GROSS PROFIT 23940000

TO Salary BY Interest on
3340000 264000
Investment
TO Depreciation BY Miscellaneous
240000
Machinery Receipts 1800000
Building 260000 BY Cash discount 360000
BY Commission 240000
TO Repairs to building 200000
TO Insurance 690000
TO Int. on loans 260000

TO Rates& taxes 1320000
TO General expenses 360000
TO Provision for bad debt 290000
TO Auditor’s fees 434000
TO NET PROFIT
17410000
24804000 24804000
62
BALANCE SHEET OF VADILAL INDUSTRIES
LIABILITIES AMOUNT ASSETS AMOUNT
SHARE CAPITAL FIXED ASSETS
Authorise share of RS100 each 100000000 Land & Building 46620000

Plant & Machinery 50000000
ISSUED & SUBCRIBED Patents 19000000
1000000 equity share of RS 100
each, called up and paid up 1000000 INVESTMENTS 4000000
equity share of RS 100 each fully
paid up. 100000000 LOANS&ADVANCES
RESERVE AND SURPLUS (1)CURRENT ASSETS
Securities premium 2000000
Closing stock
General reserve 3000000 2200000
Sundry debtors
Profit and loss A/c 13660000 12000000
Cash
4000000
8000000 (2)LOANS&ADVANCE
UNSECURED LOANS
Prepaid insurance
CURRENT LIABILITIES& Advance income tax 360000
PROVISION 640000
MISCELLANEOUS
(1)CURRENT LIABILITY EXPENCES
Bank overdraft 360000 Primary expenses

Sundry creditors 1990000
Outstanding 450000 1000000
(2)PROVISION
Provision for income tax 360000
229820000 229820000
63
TO wages 5350000
BY Purchase return 430000
TO Fuel 4140000
5970000
TO power
640000
TO Other direct
expenses
100000
TO Sales return
17180000
TO GROSS PROFIT
66420000 66420000
64
PROFIT AND LOSS A/c OF VADILAL INDUSTRIES

4660000
Investment 2064000
240000
Machinery Receipts
260000 1360000
Building BY Cash discount
TO Repairs to machinery 34000 160000
TO Repairs to building 760000
TO Insurance 900000

560000
TO Bad debts 1968000
TO Rates& taxes
TO Auditor’s fees 460000
TO Commission 940000
TO Loss by fire 210000
13048000
TO NET PROFIT 7760000
20808000 20808000
65
BALANCE SHHET OFVADILAL INDUSTRIES

100000 equity share of RS 100
each, called up and paid up 100000 INVESTMENTS
equity share of RS 100 each fully 6690000
paid up. 10000000 LOANS&ADVANCES
RESERVE AND SURPLUS (1)CURRENT ASSETS
Closing stock
Sundry debtors
Cash
960000
8000000 (2)LOANS&ADVANCE
UNSECURED LOANS
Prepaid insurance
CURRENT LIABILITIES& Advance income tax 260000
PROVISION 460000
MISCELLANEOUS
(1)CURRENT LIABILITY EXPENCES
Bank overdraft 70000 Primary expenses

Sundry creditors 960000 100000
Outstanding 350000
(2)PROVISION
99753000 99753000
66
950000
TO wages 4940000
BY Purchase return
TO Fuel 6870000
5470000
TO power
1200000
TO Other direct expenses
TO Sales return 350000
TO GROSS PROFIT 21045000
65550000 65550000
67
PROFIT AND LOSS A/c OFVADILAL INDUSTRIES

6240000
Investment 2040000
240000
Machinery Receipts
260000 3200000
Building BY Cash discount
TO Insurance 390000
920000

1460000
TO Rates& taxes
470000
TO Auditor’s fees
18145000
TO NET PROFIT
27695000 27695000
68
BALANCE SHHET OF VADILAL INDUSTRIES

100000 equity share of RS 100 Furniture 6840000
each, called up and paid up 100000
equity share of RS 100 each fully INVESTMENTS 6690000
paid up. 10000000
LOANS&ADVANCES
RESERVE AND SURPLUS
(1)CURRENT ASSETS
Closing stock
Sundry debtors
9600000
Cash
UNSECURED LOANS 800000

(2)LOANS&ADVANCE
CURRENT LIABILITIES& Prepaid insurance 740000
PROVISION Advance income tax 490000
(1)CURRENT LIABILITY MISCELLANEOUS

EXPENCES
Bank overdraft 29000
Sundry creditors 106000 Primary expenses 1000000
Outstanding 35000
(2)PROVISION
148020000 148020000
69
A) FIXED CAPITAL DETAILS :-
1. LAND AND BUILDING :-
Sr. No. Particulars Rs.
1. Land 26,000,000
2. Building 10,140,000
3. Furniture 68,40,000
TOTAL 42,980,000
2. MACHINERY & EQUIPMENTS :-
Sr. No. Particulars No. Rs.
1. Injection Moulding 1 60,00,000
2. Cooling Tower 1 22,50,000
3. Heating Conveyor 1 11,00,000
4. Blowing Machine (10HP) 1 78,00,000
5. Air Compressor 1 25,000,000
6. Electrification and 90000

Installation Charges
Cost of Moulds 7150000
TOTAL 49,480,000
70
B) WORKING CAPITAL DETAILS (per month) :-
PERSONNEL (per month) :-
Sr. Designation No. Salary TOTAL

No. (Rs.) (Rs.)
1. General Manager 1 1,25,000 1,25,000
2. Production Manager 1 75,000 75,000
3. Machine Operator 1 2,00,000 2,00,000
4. Unskilled / Semi- 2 1,06,250 2,12,500

skilled workers
5. Office Boy 1 25,000 25,000
6. Accountant 1 2,50,000 2,50,000
7. Peon / Chowkidar 4 17,500 70,000
TOTAL 9,57,500
Say 9,60,000
71
C) DEPRECIATION :-(yearly)
Sr. No. Particulars Rs.
1. Depreciation on Land & Building 2,60,000

@ 10%
2. Depreciation on Machinery & 2,40,000

Equipments @ 10%
3. Depreciation on Furniture @ 6,84,000

20%
4. Depreciation on Moulds @ 25% 2,25,000
TOTAL 14,09,000
72
FUTURE PLAN
Every company has a future plans, because if we don’t know what will have to
be achieved in future, we cannot make planning.
The future plans of the VADILAL industry are as follows;

} The company is planning to produce the other products like more & more
items of milk etc.
} The company is also planning to set up another unit of same kind.
} company has already entered in production of ghee and flavoured mik
And is trying to launch lassi very soon
73
SUGESSTION
VADILAL has good reputation in the market. There is no more need of

suggestion toVADILAL.. as all staff of unit is skilled and aware about its
duties and responsibility.
As suggestion I would like to say something for the firm, that by

doing customer surveys, they should try to reach in the market in which
they have not stepped before and thus, try to increase the sales. They
should give more developed based trade fair etc. to reach maximum target
customers.
74
CONCLUSION
Although VADIAL is old company,it achieved large market in the ice-

cream world. We can conclude that it has got a bright and delightful future. It
has also been successful in establishing total quality assurance system that
means the requirement of customers exactly.
labour force is also engaged in the production process. It use modern machine
on one hand and labours on the other hand; tries to keep balances between two
‘m’ man and management.
75
BIBLIOGRAPHY
Sr. Books Author

No.
1 Marketing Philip Kotler

Management
2 Human Resource Gary Dessler

Management
3 Production ChaseJacobs -
Management Aquilano
4 Finance Management Prasanna

Chandra
76
WEBLIOGRAPHY
www.vadilalicecream.com
www.google.com
www.answers.com
www.wikipedia.com
77

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COMPANY PROFILE

HEADQUARTERS AHEMDABAD , INDIA

KEY PEOPLE (CHAIRMAN)

PRODUCTS ICE CREAM, PROCESSED FOOD ,

REVENUE 4.5 BILLION (US$72 MILLION)

EMPLOYEES 15000 (Approx)

PARENT VADILAL GROUP

The word “ice-cream” it self is enough to ensure a sweet feeling of cool

In India due to tremendous potential for expansion in urban as well rural

The company, which owns wide and extensive distribution network, is

There is a major difference about ice-cream product in our country

With increase in infrastructure facilities the future of Rs.500 crores

Since ice-cream consumption is based on impulse. Visibility and

In 1926, vadilal put the breaks on his successful curer as a ground

But young man not painting on ice. As a vocation, he had already

His high quality ice-cream immediately made an impression in the

“Good, truthful, clean” enterprising ethos

The succeeding generations at the help of the company translated this

Based on new generation technology and in house of the company keeps

Quality must always precede quantity

To be leader in foods and ice-cream business leadership not as defined by

Such as establishing & maintaining leadership in quality, not necessarily

Continuing to earn the respect of consumers and business associates,

Put up hoarding at your mithakali crossing I other with the message.

Company has launched cake in which latest launched is chocolate excess

Vadilal Industries is provide the below mentioned products to their customers

Delicious experiences for the whole family

Vadilal restaurants are designed to offer wholesome gastronomic

The restaurants keep consumer interest alive by offering special

LOCATION & FACILITY:

All vadilal restaurants in Ahmedabad and Baroda are centrally located,

Reflecting the predominant social preferences of the area, the vadilal

This is a special service offered by a few select vadial restaurants. Such

Taste encounters for the whole family

To offer consumers delicious combination of snack food and ice-cream

The most endearing speciality of vadilal parlours in the friendly, prompt

Customer satisfaction – the most reliable market

Production Marketing Finance HRM

Manager Manager Manager Manager

Official working is 10:00 am To 5:00 pm

o Company arranges picnic and one day in year.

Marketing organization may be defined of determining the branches of activities

The different marketing activities perform by the different individuals brought

“Market segmentation is the grouping of customers according to such

A channel of distribution is the set of marketing activities involve the flow of

Publicity is plays and important role in following task for VADILAL.

VADILAL mostly advertise their products on television, in the leading

Taking a look at the world of human beings is a rewarding experience, contrasts

HR planning is the process by which a management determines manpower

Recruitment is done where vacant place is available in the organization. Thus

In VADILAL, after getting qualifications of it as per qualification, age and

Training development is an art of increasing the knowledge and skills of

In VADILAL the initial appointment shall be except specified otherwise on

The training in VADILAL is given to the employee to satisfy the following

The “EMPLOYEES STATEINSURANCE ACT” (ESI), 1948 was

MANAGEMENT OF INDUSTRIAL SAFETY

Safety must be built in design stage, in production planning and in

ACCIDENT PREVENTION PROGRAM IN TEXSPIN.

 Analyze accident records.

 Maintain accident records.

In an organization, role of HRD plays a very important role. The organization

Finance is regarded as the lifeblood of a business organization. The

Administration Finance Export & Import Account