CHAPTER 1 INTRODUCTION

EXECUTIVE SUMMARY

Biotechnology considered with its widest meaning encompasses all practical applications of properties of living organisms to create value. Defined this way, biotechnology refers to use of yeast to make beer as well as the use of a retrovirus in order to modify the genetic patrimony of complex living organism such as the human body. The common dynamic of economic development related to these different technologies is not obvious. Therefore, we tried to establish which techniques belonging to the range of biotechnology were involved in remarkable technico-economic dynamics in the specific area of India. Once these dynamics these evolutions both at the national and globallevels, and the challenges the Indian companies have to face to take part in the reorganization.

Worldwide, the most striking dynamics are related with modern techniques derived form the scientific advances in molecular biology and genetic engineering. The technique for the genetic modification of unicellular or vegetal organisms is now mature enough to find bacteria, and the development of hybrid varieties of plants through genetic manipulation more recently, the sequencing and mapping of the human genome has opened numerous new way of enhancing the method of new drug development. This study mainly focused on the integration of these modern biotechnologies in the Indian economy.

The results of interviews carried out with numerous Indian companies and institutions show that there are now happening a lot of things with modern biotechnologies, Namely, several Indian companies are entering the market of biogenerics generic therapeutic products produced through a process using modern biotechnologies with a view of

becoming competitive provider for the global market, an ambition comforted by the current commercial success of Indian chemical generic drugs.

INTRODUCTION

Biotechnology in India
Biotechnology is the application of scientific techniques to modify and improve plants, animals, and microorganisms to enhance their value. Agricultural biotechnology is the area of biotechnology involving applications to agriculture. Agricultural biotechnology has been practiced for a long time, as people have sought to improve agriculturally important organisms by selection and breeding. An example of traditional agricultural biotechnology is the development of disease-resistant wheat varieties by cross-breeding different wheat types until the desired disease resistance was present in a resulting new variety.

In the 1970s, advances in the field of molecular biology provided scientists with the ability to manipulate DNAthe chemical building blocks that specify the characteristics of living organismsat the molecular level. This technology is called genetic engineering. It also allows transfer of DNA between more distantly related organisms than was possible with traditional breeding techniques.

Today, this technology has reached a stage where scientists can take one or more specific genes from nearly any organism, including plants, animals, bacteria, or viruses, and introduce those genes into another organism. An organism that has been transformed using genetic engineering techniques is referred to as a transgenic organism, or a genetically engineered organism. 3

Many other terms are in popular use to describe these aspects of todays biotechnology. The term genetically modified organism or GMO is widely used, although genetic modification has been around for hundreds if not thousands of years, since deliberate crosses of one variety or breed with another result in offspring that are genetically modified compared to the parents. Similarly, foods derived from transgenic plants have been called GMO foods, GMPs (genetically modified products), and biotech foods. While some refer to foods developed from genetic engineering technology as biotechnology-enhanced foods, others call them frankenfoods. For the reasons discussed later in this publication, controversy affects various issues related to the growing of genetically engineered organisms and their use as foods and feeds.

Increased crop productivity

Biotechnology has helped to increase crop productivity by introducing such qualities as disease resistance and increased drought tolerance to the crops. Now, researchers can select genes for disease resistance from other species and transfer them to important crops. For example, researchers from the University of Hawaii and Cornell University developed two varieties of papaya resistant to papaya ring spot virus by transferring one of the virus genes to papaya to create resistance in the plants. Seeds of the two varieties, named Sunup and Rainbow, have been distributed under licensing agreements to papaya growers since 1998.

Further examples come from dry climates, where crops must use water as efficiently as possible. Genes from naturally drought-resistant plants can be used to increase drought tolerance in many crop varieties.

Improvements in food processing

The first food product resulting from genetic engineering technology to receive regulatory approval, in 1990, was chymosin, an enzyme produced by genetically engineered bacteria. It replaces calf rennet in cheese-making and is now used in 60

percent of all cheese manufactured. Its benefits include increased purity, a reliable supply, a 50 percent cost reduction, and high cheese yield efficiency.

Improved nutritional value

Genetic engineering has allowed new options for improving the nutritional value, flavor, and texture of foods. Transgenic crops in development include soybeans with higher protein content, potatoes with more nutritionally available starch and an improved amino acid content, beans with more essential amino acids, and rice with the ability produce beta-carotene, a precursor of vitamin A, to help prevent blindness in people who have nutritionally inadequate diets.

Better flavor
Flavor can be altered by enhancing the activity of plant enzymes that transform aroma precursors into flavoring compounds. Transgenic peppers and melons with improved flavor are currently in field trials.

Benefits for developing countries

Genetic engineering technologies can help to improve health conditions in less developed countries. Researchers from the Swiss Federal Institute of Technologys Institute for Plant Sciences inserted genes from a daffodil and a bacterium into rice plants to produce golden rice, which has sufficient beta-carotene to meet total vitamin A requirements in developing countries with rice-based diets. This crop has potential to significantly improve vitamin uptake in poverty-stricken areas where vitamin supplements are costly and difficult to distribute and vitamin A deficiency leads to blindness in children.

Conventional and Modern Technology

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Biotechnologys broadest definition can be given as the population of all natural sciences and engineering in the direct or indirect use of living organisms or part of organisms, in their natural or modified forms, in an innovative manner in the production of goods and services and/or to improve existing industrial process. The market application of outputs is typically in the general areas of human health, food production, and industrial bio-processing and other public good and environmental settings.

PUBLIC ENVIORNMENT OF THE BIOTECHNOLOGY IN INDIA

As a set of technologies with a broad range of application domain, biotechnology is under the influence or the action of numerous public bodies. These actions basically relate to three main groups which are Public expenditure, Regulation, Public initiative.

The fields where public expenditure has a critical role to play in the development of a sector such as the biotechnology one are basically human resource development, public research, and infrastructure development. The second group of public action is gathered under the name of regulation, that is, the definition of the legal environment, for example concerning the protection of the intellectual property, but also the appointment of public agency in charge of the different control procedures, as well as the definition of the different fiscal, trade, and investment norms.

The third group of public action gathers the actions that have principally a role of acceleration of emergence of a certain type of institutions. These actions are implemented in order to accelerate the development of a certain kind of activities and to direct this development in a certain ways (geographical location, technical choices, etc.)

After becoming an IT bellwether, India is now shifting its focus to the most promising industry of the future, Biotechnology. With its large pool of scientific talent, world-class information technology industry, and vibrant pharmaceutical sector, India is well positioned to emerge as a significant player in the global biotech arena. 6

Biotechnology is perceived as a revolution throughout the world. Scientists, through Research and Development (R&D), have developed and are continuing to develop cures for diseases that have affected people for decades and even centuries. Scientists recently, have also, clinically developed crops that can withstand the brutalities of weather changes, helping poor farmers of the developing countries to retain their yield and increase their output manifold.

Biotech, considered a boon by some, provides great hope to many around the world, and its benefits are and will be realized by more and more people over the years. On the threshold of this new revolution, numerous companies have sprung up to take a piece of the exponentially growing Biotech market worldwide. The ever-decreasing physical boundaries enable biotech companies from the West to tap large markets around the world.

India to this extent holds a good advantage over many other countries of the world. With its large population of over a billion people there is a huge market for products and services. Indias population has a very interesting demography that creates almost a perfect environment for biotech companies to shift bases here.

In addition the Indian sub-continent, which occupies only 2.4% of the total global surface area, has the most varied species of flora and fauna. A study shows that, in percentage terms, India has about 7.6% of total mammal species, 12.6% of bird species, 11.7% of fishes and roughly 6.0% of total flowering plants that are present in the world.

Biotech companies, by moving to India, can utilize this immense Bio-diversity, can easily find samples and, also conduct field research much more efficiently. Adding to this, India has one of the largest agriculture sectors in the world, and varied climatic zones that can help in research and development of different agri-biotech products applicable worldwide. 7

Indian Advantage:
India, today, holds a small share of the global biotech market, but has all the capabilities to become a dominant player. The consumption of biotech products in India is expected to quadruple in the next decade. The human and animal segment of the industry alone is growing by at least 20%.

India has a rich human capital, which is the strongest asset for this knowledge-based industry. India has a large English speaking base and, according to Confederation of Indian Industry estimates, produces roughly 2.5 million graduates in IT, engineering and life sciences, about 650,000 postgraduates and nearly 1500 PhDs qualified in biosciences and engineering each year.

India has proved its competency in selected areas of biotechnology such as, to name a few: capacity in bioprocess engineering, skills in gene manipulation of microbes and animal cells, capacity in downstream processing and isolation methods, and its competence in recombinant DNA technology of plants and animals. India has also allowed assisted stem cell research that permits researchers to use embryos from fertility clinics upon informed consent of the donors, thus giving it a clear head start in this new and promising field in Biotech.

Clearly, India has the strength and capabilities in this industry, and a definite advantage to forge ahead and become the chosen location for many biotech companies looking for large markets and low cost qualified manpower to work in their R&D division. 8

State Level Initiatives

Many state governments have also realized the benefits/importance of this industry. State governments namely Andhra Pradesh, Tamil Nadu, Karnataka and Maharashtra have begun to formulate their policies, develop R&D centers to encourage and nurture the Biotech industry. Following is a brief outline of some of the initiatives taken by a few state governments:

Karnataka
The Karnataka government has announced a biotech policy to promote this sector and is setting up an institute for bioinformatics in Bangalore. In addition the state government is also creating a biotechnology fund that will have inflows from the biotech companies. This could be used for incubation of new projects and promotion of the sector in the state. Karnataka has planned to launch Indias first state sponsored biotechnology venture capital fund to boost their initiatives.

End used based categorization of biotechnology

Health care biotechnology Medicines Vaccines Diagnostics Gene therapy Agricultural biotechnology Hybrid seeds Biopesticides Biofertilizers Plant extraction Industrial biotechnology Industrial Enzymes Polymers Biofuels

Fermentation Products Environmental biotechnology Effluent & Waste Water Management Bioremediation Biosensors Creation of Germplasms

In these four segments, I am doing organizational study about agricultural biotechnology. Agricultural ones are the most talked about in the Indian and the international media. The agricultural biotechnology, with the appropriation of genetically modified crops has raised many questions more or less rational around the world.

Agri Biotech Segment

India being the second largest food producer, offers a huge market for biotechnology products, especially agribiotech products. India has an excellent scientific infrastructure in agriculture, rich bio-diversity and skilled and low cost human-power. In a report by Ernst & Young it is expected that the Nutraceuticals market is roughly US $532-638 million presently and growing. With its 8000 kilometer of coastline including Andaman & Nicobar and Lakshwadeep islands, India has a rich aqua culture and its Marine resource development holds great potential.

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INDUSTRY PROFILE
AGRICULTURAL BIOTECHNOLOGY Humans have always relied on plants and animals for food, shelter, clothing and fuel, and for thousands of years farmers have been changing them to better meet our evolving needs. Societys demand for resources provided by plants and animals will increase as the worlds population grows.

The global population, which numbered approximately 1.6 billion in 1900, has surged to more than 6 billion and is expected to reach 10 billion by 2030.

The United Nations Food and Agriculture Organization estimates world food production will have to double on existing farmland if it is to keep pace with the anticipated population growth. Biotechnology can help meet the ever-increasing need by increasing yields, decreasing crop inputs such as water and fertilizer, and providing pest control methods that are more compatible with the environment.

Plant biotechnology has been adopted by farmers worldwide at rates never before seen by any other advances in the history of agriculture. In 2009, biotech crops were grown by 14 million farmers on 134 million hectares in 25 countries.

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The reason for such impressive adoption rates is simple -- plant biotechnology delivers significant and tangible benefits, all the way from the farm to the fork. Plant biotechnology has enabled improved farming techniques and crop production around the world by increasing plants' resistance to diseases and pests; reducing pesticide applications; and maintaining and improving crop yields.

For thousands of years, farmers have been using breeding techniques to "genetically modify" crops to improve quality and yield. Modern biotechnology allows plants breeders to select genes that produce beneficial traits and move them from one organism to another. Plant biotechnology is far more precise and selective than crossbreeding in producing desired agronomic traits.

Crop Biotechnology Farmers and plant breeders have relied for centuries on crossbreeding, hybridization and other genetic modification techniques to improve the yield and quality of food and fiber crops and to provide crops with built-in protection against insect pests, disease-causing organisms and harsh environmental conditions.

Stone Age farmers selected plants with the best characteristics and savedtheir seeds for the next years crops. By selectively sowing seeds from plants with preferred characteristics, the earliest agriculturists performed genetic modification to convert wild plants into domesticated crops long before the science of genetics was understood.

As our knowledge of plant genetics improved, we purposefully crossbred plants with desirable traits (or lacking undesirable characteristics) to produce offspring that combine the best traits of both parents. In todays world, virtually every crop plant grown commercially for food or fiber is a product of crossbreeding, hybridization or both.

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Unfortunately, these processes are often costly, time consuming, inefficient and subject to significant practical limitations. For example, producing corn with higher yields or natural resistance to certain insects takes dozens of generations of traditional crossbreeding, if it is possible at all.

Improving Crop Production The crop production and protection traits agricultural scientists are incorporating with biotechnology are the same traits they have incorporated through decades of crossbreeding and other genetic modification techniques: increased yields; resistance to diseases caused by bacteria, fungi and viruses; the ability to withstand harsh environmental conditions such as freezes and droughts; and resistance to pests such as insects, weeds and nematodes.

Natural Protection for Plants Just as biotechnology allows us to make better use of the natural therapeutic compounds our bodies produce, it also provides us with more opportunities to partner with nature in plant agriculture.

Through science, we have discovered that plants, like animals, have built-in defense systems against insects and diseases, and we are searching for environmentally benign chemicals that trigger these natural defense mechanisms so plants can better protect themselves.

Biotechnology will also open up new avenues for working with nature by providing new biopesticides, such as microorganisms and fatty acid compounds, that are toxic to targeted crop pests but do not harm humans, animals, fish, birds or beneficial insects.

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Because biopesticides act in unique ways, they can control pest populations that have developed resistance to conventional pesticides.

Herbicide Tolerance Good planting conditions for crops will also sustain weeds that can reduce crop productivity as they compete for the same nutrients the desired plant needs. To prevent this, herbicides are sprayed over crops to eliminate the undesirable weeds. Often, herbicides must be applied several times during the growing cycle, at great expense to the farmer and possible harm to the environment.

Using biotechnology, it is possible to make crop plants tolerant of specific herbicides. When the herbicide is sprayed, it will kill the weeds but have no effect on the crop plants. This lets farmers reduce the number of times herbicides have to be applied and reduces the cost of producing crops and damage to the environment.

Environmental and Economic Benefits Beyond agricultural benefits, products of crop biotechnology offer many environmental and economic benefits. As described above, biotech crops allow us to increase crop yields by providing natural mechanisms of pest control in place of chemical pesticides. These increased yields can occur without clearing additional land, which is especially important in developing countries.

In addition, because biotechnology provides pest-specific control, beneficial insects that assist in pest control will not be affected, facilitating the use of integrated pest management. Herbicide tolerant crops decrease soil erosion by permitting farmers to use conservation village.

Because farmers in many countries have grown biotech crops for years, data are now available for assessing the magnitude of the environmental and economic benefits provided by biotechnology. In the past few years, a number of independent researchers have produced reports documenting these benefits. 14

According to the National Center for Food and Agricultural Policys (NCFAP) 2004 report, in 2003 the 11 biotech crop varieties adopted by U.S. growers increased crop yields by 5.3 billion pounds, saved growers $1.5 billion by lowering production costs, and reduced pesticide use by 46.4 million pounds.

Based on increased yields and reduced production costs, growers realized a net economic impact or savings of $1.9 billion. Three new traits for corn and cotton were introduced in 2003, and the NCFAP study takes into account six biotech cropscanola, corn, cotton, papaya, soybean and squash. In its report Conservation Tillage and Plant Biotechnology, the Conservation Tillage Information Center (CTIC) at Purdue University attributes the recent improvements in tillage reduction to the increased use of the herbicide tolerant varieties produced through biotechnology. CTIC concludes that the increase in conservation tillage associated with herbicide-tolerant crops decreases soil erosion by 1 billion tons of soil material per year, saves $3.5 billion per year in sedimentations costs and decreases fuel use by 3.9 gallons per acre.

According to the International Service for the Acquisition of Agri-Biotech Applications, a single biotech crop, Bt cotton, has led to the following environmental and economic benefits for farmers in developing countries:

From 1999 to 2000 in China, insecticide usage decreased by 67 percent and yields increased by 10 percent, leading to income gains of $500 per hectare.

Extensive field trials in India from 1998 to 2001 demonstrated a 50 percent reduction in insecticide spraying and a 40 percent increase in yields, which equals an increase in income from $75 to $200 per hectare. 15

Small farmers in South Africa gained through a 25 percent yield increase and decreased number of insecticide sprays from 11 to four, reducing pesticide costs by $45 per acre. The higher cost of Bt seed (up to $15 per hectare for small farmers) resulted in an average economic advantage of $35 per hectare.

AGRICULTURE-BIOTECHNOLOGY - KEY ELEMENTS

Agriculture-Biotechnology or Plant-Biotechnology (herein after referred to as the Agribiotech sector), is the application of the science of biotechnology in agriculture and its related processes and products. Agri-Biotech focuses on one or all of the following:

1. Crop yield Using the techniques of conventional plant breeding or modern biotechnology, one or two genes may be transferred to a highly developed crop variety to impart a new character that would increase its yield. However, while increases in crop yield are the most obvious applications of modern biotechnology in agriculture, it is also the most difficult one. Current genetic engineering techniques work best for effects that are controlled by a single gene. Many of the genetic characteristics associated with yield (e.g., enhanced growth) are controlled by a large number of genes, each of which has a minimal affect on the overall yield.8 there is, therefore, much scientific work to be done in this area.

2. Reduced vulnerability of crops to environmental stresses Drought and excessively salty soil are two important limiting factors in crop productivity. Using Biotechnology, crops may be developed with genes that will enable them to withstand biotic and a biotic stresses and effectively meet such limiting factors. .

3. Increased nutritional qualities

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Proteins in foods may be modified to increase their nutritional qualities. Proteins in legumes and cereals may be transformed to provide the amino acids needed by human beings for a balanced diet. A good example is the work of Professors Ingo Potrykus and Peter Beyer in creating Golden rice.

4. Improved taste, texture or appearance of food Modern biotechnology can be used to slow down the process of spoilage so that fruit can ripen longer on the plant and then be transported to the consumer with a still reasonable shelf life. This alters the taste, texture and appearance of the fruit. More importantly, it could expand the market

5. Reduced dependence on fertilizers, pesticides and other agrochemicals Most of the current commercial applications of modern biotechnology in agriculture are on reducing the dependence of farmers on agrochemicals such as fertilizers, pesticides, herbicides and insecticides. For example, Bacillus thuringiensis (Bt) is a soil bacterium that produces a protein with insecticidal qualities. Traditionally, a fermentation process has been used to produce an insecticidal spray from these bacteria.

In this form, the Bt toxin occurs as an inactive protoxin, which requires digestion by an insect to be effective. There are several Bt toxins and each one is specific to certain target insects. Plants have now been genetically engineered to contain and express the genes for Bt toxin, which they produce in its active form. When a susceptible insect ingests the transgenic crop cultivar expressing the Bt protein, it stops feeding and soon thereafter dies as a result of the Bt toxin binding to its gut wall. Bt corn is now commercially available in a number of countries to control corn borer (a lepidopteran insect), which is otherwise controlled by spraying (a more difficult process). Bt Cotton was introduced in India a few years ago amidst bio-safety and toxicity concerns. 17

BT Brinjal, presently undergoing deregulation through the testing and regulatory approval process may be the first transgenic food crop to be introduced in India. Crops have also been genetically engineered to acquire tolerance to broad-spectrum herbicide. The lack of herbicides with broad-spectrum activity and no crop injury was a consistent limitation in crop weed management.

Multiple applications of numerous herbicides were routinely used to control a wide range of weed species detrimental to agronomic crops. Weed management tended to rely on pre-emergencethat is, herbicide applications were sprayed in response to expected weed infestations rather than in response to actual weeds present.

Mechanical cultivation and hand weeding were often necessary to control weeds not controlled by herbicide applications. The introduction of herbicide-tolerant crops has the potential of reducing the number of herbicide active ingredients used for weed management, reducing the number of herbicide applications made during a season, and increasing yield due to improved weed management and less crop injury.

Transgenic crops that express tolerance to glyphosate, glufosinate and bromoxynil have been developed e.g. Round up Ready Flex Genetic Trait. These herbicides can now be sprayed on transgenic crops without inflicting damage on the crops while killing nearby weeds. From 1996 to 2001, herbicide tolerance was the most dominant trait introduced to commercially available transgenic crops, followed by insect resistance. In 2001, herbicide tolerance deployed in soybean, corn and cotton accounted for 77% of the 626,000 square kilometers planted to transgenic crops; Bt crops accounted for 15%; and "stacked genes" for herbicide tolerance and insect resistance used in both cotton and corn accounted for 8%.

6. Production of novel substances in crop plants 18

Agri-Biotechnology is being applied for novel uses other than food. For example, oilseed can be modified to produce fatty acids for detergents, substitute fuels and petrochemicals. Potatoes, tomatoes, rice tobacco, lettuce, safflowers, and other plants have been genetically engineered to produce insulin and certain vaccines. If future clinical trials prove successful, the advantages of edible vaccines would be enormous, especially for developing countries. The transgenic plants may be grown locally and cheaply.

Homegrown vaccines would also avoid logistical and economic problems posed by having to transport traditional preparations over long distances and keeping them cold while in transit. And since they are edible, they will not need syringes, which are not only an additional expense in the traditional vaccine preparations but also a source of infections if contaminated.

In the case of insulin grown in transgenic plants, it is well-established that the gastrointestinal system breaks the protein down therefore this could not currently be administered as an edible protein. However, it might be produced at significantly lower cost than insulin produced in costly, bioreactors. For example, Calgary, Canada-based Symbiosis Genetics, Inc. reports that its safflower-produced insulin will reduce unit costs by over 25% or more and approximates a reduction in the capital costs associated with building a commercial-scale insulin manufacturing facility of over $100 million, compared to traditional bio-manufacturing facilities.10 Development of new varieties of seeds and crops and foods with above attributes which are beneficial for the health of the people, can be seen in the market in a large number.

The evident technology and revenue gain from such products has encouraged the setting up of new firms and companies in this field. This industry holds a great potential for growth and generating revenue. As India being largely an agrarian economy, AgriBiotech sector tends to encourage agricultural activities since this would ensure the disease-resistant, weather suited and higher yielding varieties of seeds which eventually 19

produce crops, plants and foods benefitting farmers and breeders as well as contributing to the economies.

As mentioned above, biosafety is one of the main concerns in this domain since farmers and breeders rights need to be protected. These concerns main range from the safeguarding of breeders and farmers rights by implementation of intellectual property rights on the newly developed plant varieties to the various other forms of competition issues that may arise in this sector.

Applications of Biotechnology for Functional Foods A. Functional Foods A relatively recent concept in the U.S. to describe the broad healthfulness of foods is the term functional foods. These foods are defined as foods that provide health benefits beyond basic nutrition (International Food Information Council 2004). The Food and Nutrition Board of the National Academy of Sciences described a functional food as, any modified food or food ingredient that may provide a health benefit beyond that of the traditional nutrients it contains (Food and Nutrition Board 1994). The original concept of functional foods originated in Japan from its development of a special seal to denote Foods for Specified Health Use (FOSHU). More than 270 foods have FOSHU status in Japan.

Foods qualify as functional foods because they contain non-essential substances with potential health benefits. Examples of the diverse foods and their bioactive substances that are considered functional foods are: psyllium seeds (soluble fiber), soy foods (isoflavones), cranberry juice (proanthocyanidins), purple grape juice (resveratrol), tomatoes (lycopene), and green tea (catechins). The broad classification of functional foods carries some irony, as John Milner, Chief of the Nutrition Science Research Group at the National Cancer Institute noted, It is unlikely that a non-functional food exists.

Bioactive components of functional foods may be increased or added to traditional 20

Foods through genetic engineering techniques. An example would be the high lycopene tomato, a genetically modified tomato with delayed ripening characteristics that is high in lycopene, which has potent antioxidant capabilities. This report focuses on biotechnology applications in functional and improved foods, using the National Academy of Sciences definition as a guideline.

B. Applications of Biotechnology in Food Crops In 1990, the U.S. Food and Drug Administration (FDA) approved the first genetically engineered food ingredient for human consumption, the enzyme chymosin, used in cheese making. It is estimated that today 70% or more of cheese made in the U.S. uses genetically engineered chymosin. The first genetically engineered food, the Flavrsavr tomato, was approved for human consumption in the U.S. in 1994.

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COMPANY PROFILE
S.L.V. PLANT TECHNOLOGIES PRIVATED LTD

The plant tissue culture project of SLV group is one of the reputed companies in Bangalore, India with diversified business in many fields.

Mr.K.VENUGOPALA is the chairman and managing director of the company. He has more than 10 years of experience in various fields of activities he also process the readymade garments, constructions business, land development, real estate business.

And most important thing. K. VENUGOPALA is given more employment to rural and poor people.

Mr. MAHESH KUMAR. and SHEKAR BABU.A. is the director of S.L.V plant technologies. Company has on ultra modern state of art tissue lab facility with a production capacity of 3 million plants per annum for export and domestic and also more than to varieties ornaments in culture stage for production.

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The entire lab facility is equipped with sterile air conditioning systems to maintain high standards of sterility to produce uniform and disease free planting material for agriculture, horticulture and floriculture. The laboratory is exclusively designed to fulfill the requirements of international standards for producing export quality tissue cultured plants.

The project headed by well experienced technologies and we have a well trained team of technical supervised by tissue culture expert with more than 8 year of experience in plant tissue culture industry.

The company has climate controlled green house with fogging and irrigation systems and marble benches for hardening the tissue culture plants. Additionally the company has 10 acres of nurseries with poly house for the production of soil free pot plants for domestic and export.

Growth of the company

In the coming year S.L.V. Plant Technologies Private Ltd. is likely to grow production will increase to meet the growing customer demand and there will be gradual market move up into new product lines. The growth and expansion will not however alter the quality of the product, which has bought the success to the group. The companys sales have increased over the year as the export of the Cord line, Chlorophytum, Syngonium, and yucca plants is taking more importance.

We have an ultra modern state- of-art tissue culture lab facility with a production capacity of 3 million plants per annum for export and domestic market. We have more than 60 varieties of ornamentals under production. 23

The project is headed by well experienced technocrats and we have a well trained team of technicians supervised by tissue culture experts with more than 20 years of

experience in plant tissue culture industry.

We have climate-controlled greenhouses

with movable benches for hardening coupled of polyhouse for on

with fogging & Irrigation system, additionally; we have 3 acres

growing tissue culture plants in soil-free medium for domestic and export market.

S L V PLANT Technologies Pvt. Ltd is one of the largest Biotech laboratories with having a capacity of nearly 10 million plants. S L V PLANT Technologies Pvt. Ltd has got states of the art & sophisticated laboratories situated one at S.L.V. Plant Technologies Pvt. Ltd.,# 6, Makali,20th Km.,Tumkur Road, BANGALORE 562 123, KARNATAKA.,INDIA. Tel: 91 80 23719432 Fax: 91 80 23719431, Bangalore (KARNATAKA),

Technology absorption, adaptation and innovation To cope up the latest technology company has developed sophisticated methods of material handling system through an exclusive set up of R&D wings, headed by a senior most person who has handled a large public sector undertakings. The company has engaged in adding new development in the area, which has contributed to adding new features to the product, due to this the sales, has increased To enables rapid multiplication and introduction of new varieties within a short time. To facilitates large-scale production of disease free planting materials. To enables the propagation to be in all year-round basis. To improve uniformity of the plants stand and yield in the field. To facilitates multiplication of difficult to propagate plants. To facilitates international exchange of germplasm. To enables large-scale development of new value added varieties.

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Main objectives of the company

To produce elite, high yielding, disease free, uniform plant materials to our farmers to uplift their standard of living

Development of cost effective production technology.

Production and supply of good quality planting material of high yielding varieties.

Educate farmers of the efficiency of improved techniques for increasing productivity.

To carry on the business of manufacturing, producing, buying, selling, importing, exporting, and marketing and to act as dealers and agents of plant tissue cultures.

To carry on the business of purchasing, leasing, selling, exchanging or otherwise acquiring and dealing in all kinds of agriculture and horticulture industry.

To carry on the business of selling agents purchasing agents, general agents, commission agents, sub agents, distribution agents, stockiest, dealers and manufacturers, representatives, marketing agents or consultants, indenting agents and kinds of goods, commodities and services.

Location The plant tissue culture lab is situated at makali, 20 km from Bangalore city on Bangalore pune highway, which is easily accessible to Bangalore international airport.

Facilities Research and development laboratory. Commercial production laboratory. Green house and poly house. Nurseries. 25

Soil free pot plant production.

Services Contract production. Customized product development. Phytosanitory certifications. Customized packing. Project consultancy for commercial project.

MISSION AND VISION STATEMENT The Mission Statement Our experience lies in our ability to communicate honestly and effectively with our growers and end user customers.

The company has a quality policy of Good quality of plant tissue. Supply as per delivery schedule. Maintain and improve customer satisfaction. Contribute to environmental safety by minimizing chemical wastages. Through team work and quality management policy.

VISION Strategies are devised and actions are being taken to provide a significant identity to our farmers in this new-age agriculture.

To serve as the framework for our roadmap and guides every aspect of our Business by describing in order to continue achieving sustainable, quality growth with peoples.

Objectives of the Study

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The objective of undergoing this is to get the practical exposure of the functional departments of the organization such as: - Marketing, HRD, Finance, Information Systems and Production department. During the Organization Study, we study how the theoretical knowledge is practically applied in different departments in the organization To understand the overall functioning and profile of the organization. A study of the organization design. Details regarding the mission, vision, objectives and ambitions of the Company. To study the key business level functions like: Marketing, HR, Operations Finance etc.

PRODUCTS PROFILE Alocasia Alpinia Aloe vera Banana Cordyline Chlorophytum Calathea Ficus benjamina Ficus elastica Gerbera Syngonium Philodendron Yucca Zamioculus zamnifolia

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Green House Technology Green house technology is the most practical way of achieving the goal of protected cultivation. A Green house is a format or an inflated structure covered with transparent or translucent material in which crops could be grown under practically controlled environment Glass house, poly house, shade house etc, are different names in use.

Principles of Green House 30

The productivity of a crop is influenced not only its heredity but also the microclimate around it. The components are light, temperature, humidity, and growing medium. Under open field conditions it is not possible to effect specific control over the microclimate hence restricting growing of varies crop species.

A green house is covered with a transparent or translucent material such as glass or plastic depending up on its transparency; the green house cover admits a major fraction of the sunlight. The crop, floor and other objectives in the green house, absorbs the sunlight transmitted to the green house. These objects in the green house in turn, emit long wave thermal radiation for which the cover material has lower transparency. As a result the solar energy is trapped in the green house razing temperature.

The phenomenon is generally known as Green house effect it is this natural rise in the green house air conditions, which is utilized under cold climate to grow crops successfully.

The same natural phenomenon however requires additional cooling under summer months to Maintain optimum condition. The closed boundaries of a green house permit design of system for raising or lowering of green house air humidity, temperature, light intensity, control of nutrients in the root zone, effective plant protection etc.

Benefits of Green house The prospect of microclimate control permits the raising of plants anywhere at any time of the year. Further the productivity is raised to the maximum per unit area. The microclimate control also implies superior quality of produce, free from pathogens, insects and chemical residues.

Specific Advantages Crops could be grown under controlled climate conditions, when if would not be possible to grow crop under open field conditions. 31

Crops could be grown year round to meet the maker demands.

CHAPTER 2
ORGANIZATIONAL STRUCTURE

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ORGANIZATION STRUCTURE

To organize means to identify and demarcate the functions of an establishment, to list the activities to be contained in each function, to group the activities into positions within a function to determine the responsibilities and authority of each position, and to chart the organization showing the relationship between the positions in a function and between the functions in the whole structure.

Allen defines organizations as the process of identifying and grouping work to be performed, defining and delegating responsibility and authority, and establishing relationships for the purpose of enabling people to work most effectively together in accomplishing objective

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The organization structure of S.L.V.Plant Technologies Pvt, Ltd. is shown as figure

Managing Director

Director

General Manager

Production

Administrator

Supervisor

Accounts officer

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Man Power Requirement Chart

MANAGER R&D & PRODUCTION

OFFICE * Office Assistant * Accountant

STERILE AREA * Operators * Lab Assistants

MEDIA AREA * Lab Assistants * Assistants

* MAINTANANCE * Electrician

PLANT WASH BOTTLE WASH

* Workers

HOUSE KEEPING

GREEN HOUSE * GH

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In-charge * Assistants

CHAPTER 3 FUNCTIONAL DIVISIONS

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FINANCE DEPARTMENT The account department is involved in monitoring the functions of other department thus ensuring that the unit is functioning as per plan though with minor deviation.

Important functions constitute the following Planning and budgeting C.V.A [cash value Added] calculations Bill passing for the supplier as well as the contractors. Cash as well as bank transactions MIS related activities such as generation of MIS and review meetings from corrective actions.

Planning and budgeting activities are done once a year and budgets so formed are reviewed quarterly. Quarterly revisions or estimates are essential to transform the yearly data contained in the budget to operational data pertaining to the immediate quarter incorporating there in any factors that might have escaped notice during the budget preparation due to the any reason. Deviations from the budgets are reported in the MIS

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(CVA is calculated annually for assessing the performance of the unit in cash terms. Delta C.V.A gives the idea of the cash value additions done during a year.

Separate cash affiliated to the accounts department does bill passing activity. The payment of the bill is done in the accounts department. MIS generated from accounts department contains details of the functioning of all the departments in the line of the consumption patterns of all the products as well as the by products etc.

If there are any deviations from the budget or the quarterly estimates that are serious in natural then there deviations are discussed in the monthly review meetings.

Finance head

Assistant finance manager 1

Assistant finance manager 2

Assistant finance manager 3

FINANCE DEPARTMENT STRUCTURE Finance department is considered as a nervous system of the organization as performance of every activity needs money one way or the other. There is also necessity of maintaining proper books of records relating to the transactions for which existence of accounts department is essential.

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Objectives The objectives of the accounts department are to help the firm to achieve its target for the year in coordination with other departments, keeping up-to-date records and making it easily accessible. S.L.V. Plant Technologies Pvt.Ltd makes efforts to provide the customer the desired goods and to maintain a very high quality and it is ultimately directed towards achieving profitability which is a must for concerns growth and sustenance.

FUNCTIONS They see that a proper inflow and outflow of income and expenditure is maintained. Accounting of sales and sales realization. Receipt of cash, cheque and bank drafts etc and issue of official receipts for the same Maintenance of journal, expense ledger and general ledger. Costing and accounting is framed and maintained. Yearly budget is framed so that each department can meet their cash requirements. Budget prepared is based on sales forecasting, expenses forecasting, cost forecasting, purchase forecasting etc. Accounts section The important functions carried on by this section are: Passing entries of purchases Maintenance of vouchers Making financial entries Excise regulation as excise is calculated on the basis of cost statements. CASH SECTION 39

It is looking after the payments of all general bills and salary bills apart from cane payment and it is also looking after receipt of cash and cheque payment. All accounts are maintained in usual manner. Various records and books kept are General ledger Sub ledger Subsidiary Cash book Bank book Vouchers

Each branch prepares trading and profits and loss account and Balance Sheet as on 31st March every year.

MARKETING DEPARTMENT Marketing department plays vital role in increasing the sales volume and contributes to the growth of organization; marketing department receives the consumer feedback about the product, attributes, features, and quality etc. the success of any organization depends upon the effectiveness of marketing department.

Marketing department also collect the vital information on the market condition such as demand, consumer preference, general economic conditions etc, this information is utilized on production planning and control and decision making in an organization.

Definition Marketing is defined by Philip Kotler as a social and managerial process by which individual and groups obtain what they need and want through creating and exchanging products and value with other.

MARKETING MANAGER
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Export Market The major plants exported from India includes Calathea, Yucca, Lily, Gerbera, Hosta, Philodendron, Alpinia, Cordyline, Onion, Zantedaschia, Syngonium, Spathiphyllum, Timonium, Phalaenopsis, and Carnivorous plants. Some 18 units are exporting micrpropagated plant from India. Interestingly the value of exports as reported by the units, work out to about Rs 15 Crores in the year. The Netherlands and USA accounts for more than half export from India. Exports to Netherlands are consistent. It is the largest producer of floriculture products in the world and the requirement for the planting material is regular. Among new markets exports are picking up in countries like Belgium, Canada, NewZeland, France, Germany, Malaysia, Korea and Australia.

The main operation of the marketing department is to Retaining The Market Share. Improving Sales. Supporting The Sales Team.

MARKETING AT SLV PLANT TECHNOLOGIES PVT LTD 41

It is trying hard to retain the existing customer effectively by providing effective services and to increase customer base by attracting new consumer, SLV PLANT TECHNOLOGIES main strong point lies in the quality orientation, which has earned the confidence.

Functions Preparation of marketing plan implementation sales forecasting Market research planning for advertisement Building awareness and image of the brand to increase brand loyalty.

Distribution Channels Distribution channel decisions are among the most complex and challenging decision taken by the firm, because each channel system creates a different level of sales and cost. Once the distribution channel has been chosen the firm usually must stick with it for a long time the chosen channels strongly effects and is affected by the other element in the marketing mix.

Pricing Pricing is a dynamic process. Organization designs a pricing structure that covers all their products. They change the structure over a period of time and adjust it to account for different customers and situation. The pricing strategy is largely determined by the companys target and market position objectives. Common pricing objectives include profit maximization, market share, leadership and product quality leadership.

The SLV PLANT TECHNOLOGIES has mainly following two types of pricing strategy as 42

Cost plus pricing Competitor pricing.

Competitor pricing The SLV PLANT TECHNOLOGIES is using competitor price method. The organization has following some more or less major competitor price for the product.

Advertising Advertising is paid from of non-personnel presentation and promotion of ideas goods and services by an identified sponsor. The SLV PLANT TECHNOLOGIES has following mainly two types of advertising as:

Mass Advertising Through the holding wall paintings, printings, T.V. Ads, Glows sign broad etc. At point of purchase a sign boards brochures etc. Door to door advertisement.

HR DEPARTMENT The objective of the department is to Asses the manpower requirement of the organization, recruit the appropriate candidates, induct them and develop them to the requirements of the organization. HRD is one of the important functions of this department.

HR MANAGER HR TEAM LEADER HR 43 EXECUTIVES

The company follows matrix type of reporting system i.e. a manager of each department has to report dotted to AGM and functionally to the concerned regional manager.

It performs the following jobs Recruitments Training and development Performance management system. Administration/payroll. Employee relations. Legal compliances. Compensation and benefits. Retirement

RECRUITMENT PROCESS: ELEGIBILITY: Graduate, post graduate or any other specified academic Knowledge and experience holder are eligible as per requirement specified.

SELECTION PROCEDURE Qualified or eligible for the post. Experience in similar trade for at least 5 years for semi-skilled employees, 10 years for skilled employees. Character certificate and two references by own person, Mutual agreement for acceptance of offered wages and perks. Guarantee of minimum 3 years working by way of an agreement. Agreement to work at places where the management agrees.

PROBATION PERIOD: 3 months this is further extendable up to 6 Months and the confirmation thereafter. 44

VARIOUS TYPES OF EMPLOYEES Officers / executives / supervisors. Skilled workers/semi skilled worker/ Unskilled worker. Casual/occasional workers.

TRAINING AND DEVELOPMENT OBJECTIVES To equip associates with the knowledge, skills and attitudes to perform effectively on their current as well as anticipated future assignments To ensure that associates have the necessary skills to meet business objectives

POLICY All associates will be provided need-based training to equip them with the competence to effectively carry out their organizational responsibilities.

PROCEDURES The Manager, Management Development well meet with the functional heads at the beginning of each year to identify the training needs for each department. The training needs would be linked to the corporate objectives as well as the current competency levels of the associates. The training needs would be linked to the corporate objectives as well as the current competency levels of the associates. The training needs identified would be fine tuned, based on the feed back and development plans received through the performance development process. Based on an analysis of the training needs identified, need-Based training programs are designed and an annual Training Calendar will be compiled. This document will be shared with the Executive Committee to get their feedback. 45

The training Calendar will be released within the one month of receiving all the appraisals. It will contain a brief description of the programs, the recommended target audience and the program schedules.

A copy of the Training Calendar will be circulated to all associates. The precise dates and venues for the programs will be circulated on a quarterly basis. One month before the scheduled date of the program, a communication will be sent out of all Departmental Heads, who will have to send in their nominations at least two weeks before the start of the program.

On receiving the completed nomination, the Manager, Management Development well complete the administration, including reserving a place in the program and intimating the Finance Department for preparation of payment (for external programs).

Internal training programs will be conducted if there is a minimum of 8 participants for a given program. Facilitators for these programs will include the Manger, Management Development for monitoring.

After attending the program, the associate will complete the Training Evaluation form and submit it to the Manager, Management Development for monitoring. After attending the program, the associate will complete the Training Evaluation form and submit it to the Manager, Management development. Associates attending outstation-training programs will be reimbursed expenses as per the travel policy guidelines relevant to them. This cost will be borne by each associates department.

RETIREMENT This refers to the separation of any employee on reaching his/her age of retirement and becoming eligible for pension benefits. POLICY Employee will retire on attaining the age of 60 years.

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The employment of capable employees may be extended if necessary of the Company. Such an extension shall only be authorized by the CEO of the company and executed by the Director Hr.

The retiring employee will exercise the option of having a farewell party or not. This is to be discussed with the departmental Head and the HR Department.

PROCESS The retiring employee needs to initiate discussion with payroll for necessary forms and action at least two months prior to the date of Superannuation. The Departmental Head and the designed HR functionary will liaise with the retiring employee for the farewell party at least one month prior to the date of retirement. The designated HR functionary of the department will initiate counseling sessions for post retirement life at least three months prior to the date of retirement. All exit formalities as stated in the Resignation process will apply to the retiring employees also.

EMPLOYEE RELATIONS OBJECTIVE To provide employees with an environment conductive to individual productivity, growth and development, consistent with business conditions and the operating needs of the company. It is the companys policy to Manage employee relations in a fair and consistent manner. Maintain effective communication practices Be aware of and responsive to employee needs

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Strive to maintain relationships among employees that merit their trust and confidence and create and environment to enhance the quality of work life.

SERVICE CONDITIONS OBJECTIVE To ensure that all employee actions are consistent with the laid-out organizational policies. CONDITIONS OF SERVICE An employee is required at all times to diligently and faithfully serve the company and is required to devote his/her whole time and attention exclusively to the business and interest of the company and to the best of his /her skill carry out his /her duties and attend punctually at the place or places where he/she is employed. Employees should hold themselves in readiness to perform any duties required of them to the best of their ability.

TERMS OF EMPLOYMENT The terms of employment of any employee of the company are as per the details contained in their letter of appointment. The company reserves the right to amend, alter or change any of the terms and conditions of employment. GENERAL RULES AND REGULATIONS COMMUNICATION The company firmly believes that effective communications at all levels significantly aids efficient operation. Should any associate have any queries/questions regarding his/her work, the associate is encouraged to discuss them with his/her

supervisor/manager. From time to time, the departmental head or the Country Head may

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call special communication meetings to ensure that all staff is kept informed of significant issues. Other announcements will either be circulated or posted on the KO. COLLECTIONS, BETTING & TRADING Collections, betting and trading within the office are strictly forbidden. Under special circumstances certain collections, i.e. for charity, disasters may be permissible, but only when authorized by the HR manager. SEXUAL HARASSMENT The company has a long-standing commitment to maintaining a work environment free of all forms of discrimination, including sexual harassment, for all employees. All employees are encouraged to cooperate and participate in helping the company maintain an environment that is conducive to individual productivity, growth and development.

ATTIRE POLICY The company is committed to upholding its professional image, specifically as relates to dress and appearance of employees. It is expected that all employees will be dressed in an acceptably professional manner while on the job. All employees are required to wear standard business attire or, if required working clothes and / or uniforms as issued by the company, from Monday through Thursday, during working hours. Casual clothes like T-shirts, jeans, etc., are not allowed in the office during normal working hours except Fridays. TRAVEL RULES: Travel and hotel stays are governed by the guidelines contained in the travel policy/guide, issued by the admin department. Any employee seeking clarifications on any of these guidelines should contact the HR Manager. Employer Employee relations

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Relation between the Employees and the management remained cordial throughout the years under review. The management has provided as the facilities to the employees such as good working atmosphere, care towards the health condition of the workers, due to this the workers are motivated and they are efficient enough to increase the production capacity of the company due to which the sales increase, if the sales increase the profit margin of the company also increases. The directors also place their appreciation for the efficient and devoted service rendered by the companys employees at all level EMPLOYEES PERSONNEL FILES The company maintains personnel files for employees who contain information required for business and legal purposes. FUNCTIONS OF THE HUMAN RESOURCE MANAGER Discipline maintenance. Grievances handling. Employee morale. Communication network in the organization. Employee safety and industrial health. Attending to all government authorities on the behalf of management.

Co-ordination between workers management, government and outside agencies PRODUCTION DEPARTMENT Plant Tissue Culture is culturing of any part of the plant in a specially defined growth media under aseptic laboratory condition in Petri dishes, test tubes or in any other suitable glass containers. The plant nutrient media consists of macro and micro salts, vitamins and desired levels of plant growth hormones. Depending upon the plant species genetic nature and with help of above supportive media various forms of callus/embryos/shoots/ roots or direct plantlets can be induced. Obtaining plants through the above techniques is called as regeneration. With the recent technology brake through it is now possible to obtain complete plants of many species through single cell culture. 50

Banana plants produced from Tissue Culture are free from diseases at the time of supply and they give high yields since they are made from selected high yielding mother plants. If proper care is taken, as per instructions, they grow into strong healthy plants and give high yields of good quality fruits. Since they are produced under controlled laboratory conditions using selected nutrients, they usually give yields one or two month earlier than conventionally propagated plants.

In order to make it's plants easily available to all farmers in the remote places, the company has appointed it's Authorized Depots close to your places. Thus the farmers can save excessive transportation charges by purchasing plants from this nearby Depots. Moreover this proximity facilitated and easy access to after sales services. We grow premium quality trees and shrubs for the landscape market. We are continually updating our product mix to meet our customer needs. Plantation has always tried to keep on the leading edge of the industries trends.

Consistent with the diversity and depth of its initiatives, S L V PLANT Technologies Pvt. Ltd has a professional team comprising substantially of Ph. Ds, M.Ds, Engineers and Post Graduates in Science.

World Class Plant Tissue Culture Laboratory Operation Eight Dimensions

Cost Effective Lab Design

Identification of Elite & Economically Important Plant Species

R&D and Protocol Development and Production Technology 51 WORLD CLASS PLANT TISSUE CULTURE LAB OPERATION

Quality Control

Production of

CHAPTER 4 MCKINSEY'S 7S MODEL

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Organization profile with reference to McKinsey's 7S model

Every organization will have expectations on its employees. Based on these expectations employees will have responsibilities. The expectations of the organization and the employees responsibilities go hand in hand for an organization to attain its objectives. The culture prevailing in the organization is varying important. According to Mckensy`s, the culture of an organization has 7 basic dimensions, which represents the core of managerial activity. The schematic representation of McKenzies 7s model is as shown below.

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The 7S framework for management analysis was developed by McKinseys and company. 7S model provides an effective way of analyzing an organization, in terms of dynamic relationship among 7 key elements namely: Strategy Structure System Style Staff Sharedvalues Skills

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A Very Important Feature of This Model Is That Mckinseys Consultants in Their Studies of Several Firms Have Extensively Tasted It. 7S Model Is a Very Comprehensive Tool Available to the Managers to Study the Organizations. This Study Is Important From A Strategic, Marketing, Organizational Behavior And Competitive Perspective. A major premise of The Model Is That many performances related issues are rooted among the 7 Factors outlined. The 7S are interconnected, aligned and working together in high performing organizations. An organization can be analyzed by way of internal examination to examine where it stands today and what steps can be adapted to required levels or an external examination can be done by an investor, potential employees, or competitors. Most of us grew up learning about 'the 4Ps' of the marketing mix: product, price, place, promotion. And this model still works when the focus is on product marketing. However most developed economies have moved on, with an ever increasing focus on service businesses, and therefore service marketing.

To better represent the challenges of service marketing, McKinsey developed a new framework for analyzing and improving organizational effectiveness, the 7S model: The 3Ss across the top of the model are described as 'Hard Ss': The first three elements strategy, structure and systems are considered the hardware of success. Strategy Strategy expresses in what direction the company will be going in the future. Based on the market research, competition analysis and self analysis the crucial differentiating competencies or strong sides of the company are identified and formulated. The coordinating mission and the future goals are determined taking into

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account the above factors SLV PLANT TECHNOLOGIES PVT LTD follows the strategy of Fast Innovation and Fast Growth

The strategic objectives identified in the current year, which address specific strategic challenges listed in the organization profile. DMAIC (Define, Measure, Analyze, Improve, Control) methodology is used to develop and deploy action plan at the operational level. Tool like QFD (Quality Function Deployment), CTQ (Critical to Quality), Drill down tree, pareto chart etc, are used to identify, CTQs for all critical to business factors at the operational level which are then taken as improvement projects.

Structure The basic organization of the company, its departments, reporting lines, areas of expertise, and responsibility (and how they inter-relate).

Systems Formal and informal procedures that govern everyday activity, covering everything from management information systems, through to the systems at the point of contact with the customer like online systems, etc).

The 4Ss across the bottom of the model are less tangible, more cultural in nature, and were termed 'Soft Ss' by McKinsey:

Skills Skills refer to the fact that employees have the skills needed to carry out the company's strategy. Training and Development - ensuring people know how to do their jobs and stay up to date with the latest techniques. The capabilities and competencies that exist within the company. What it does best. 56

Shared values The values and beliefs of the company. Ultimately they guide employees towards 'valued' behavior.

SLV PLANT TECHNOLOGIES PVT LTD (interiors and plastics division), it believe that it have built company reputation on a set of values. They define the way conduct company business and how employer interact with each other, company clients and business partners.

The main shared values are

1) Harmony Act in Harmony each other and work as a team. Company value individuals and consider each as integral team members. Company strive to create a positive environment where a vigorous exchange of ideas between team members from diverse backgrounds is desirable and necessary.

2) Frugal SLV PLANT TECHNOLOGIES PVT LTD guard and conserve the companys resources. They invest only in those things, which create value for company stakeholders viz. customers, shareholders, employees and supplies. Company believe in achieving highest value at the lowest resource usage/cost.

3) Respect Employer are morally obligated to treat everyone with respect , they honor the essential worth and dignity of every individual .they strongly believe that individuals who are treated with respect form a team of empowered self motivated and creative employees those are fundamentally committed to excellence. 57

4) Integrity Employer is a company of integrity. They are committed to display total adherence to moral & ethical principles. Having integrity means much more to them then simply absence of deception. It means bringing completely forthright in all the dealings. They demand honesty and integrity in everything they do.

5) Simplicity It helps in focusing mind on relevant facts & issues.

SLV PLANT TECHNOLOGIES PVT LTD demand simplicity as it often results in quicker, less expensive, efficient, flexibility & more reliable & usually easier to do & implement solutions.

Staff The company's people resources and how they are developed, trained, and motivated.

Recruitment Candidate sourcing, initial screening/Interview, Background checking. Technical & Non Technical Skills evaluation by experts. Train and build teams for companies through comprehensive induction cum training programs.

Style The leadership approach of top management and the company's overall operating approach. In combination they provide another effective framework for analyzing the organization and its activities. In a marketing-led company they can be used to explore the extent to

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which the company is working coherently towards a distinctive and motivating place in the mind of consumer.

Style of management
a) Top down At SLV PLANT TECHNOLOGIES PVT LTD, the style that is followed in the working of the organization is top down , all the rules regulations is orders and decision is given by the top management , people namely board of directors, or the president which flows down to the other member of the organization. This ensures that there is difference of opinion among the employees, and everyone follows the decision taken by the top management. Example: instructions, orders, policies, programmes, will be communicated by the top managers to the middle level managers as well as lower level managers. b) Participative It gives equal importance to all its members and employees in the organization, they conduct discussions at regular intervals between the members and the employees and collect any feedback and suggestions from them. This is followed that each individual realizes his input to the company, and works towards it so that the goal of the company is achieved which brings profit to the organization. Example: in the participative leadership style, the leader he himself to be the part of the group, while taking decisions, he will consider the other employees views, opinions, etc.

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CHAPTER 5 SWOT ANALYSIS

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SWOT ANALYSIS
After a keen observation over the organization and the various departments of SLV PLANT TECHNOLOGIES PVT LTD, the following strengths, weakness, opportunities, and threats are known. Strengths The infrastructure of SLV PLANT TECHNOLOGIES PVT LTD is very much suited for the processing of the plant tissue and thus assures quality of plant tissue culture. SLV PLANT TECHNOLOGIES PVT LTD has a good product position in market.

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SLV PLANT TECHNOLOGIES PVT LTD has maintained a good image in the minds of the customers. SLV PLANT TECHNOLOGIES PVT LTD maintains competitive pricing.

Weakness Plant tissue culture has been the part business of the agents of SLV PLANT TECHNOLOGIES PVT LTD. SLV PLANT TECHNOLOGIES PVT LTD has very limited staff, because of which the staff is overburdened with work. The commission structure of agents is less when compared to that paid by the other companies. Lack of advertisements Opportunities The existing infrastructure can utilized for a larger capacity. SLV PLANT TECHNOLOGIES PVT LTD is assured with the availability of good quality of plant throughout the year. SLV PLANT TECHNOLOGIES PVT LTD has a good scope for its Product Diversification There is gradual growth in cities, industries and rural areas by which SLV PLANT TECHNOLOGIES PVT LTD product can get a good Market.

Threats Day to day increasing plant tissue culture procurement. Unethical marketing practices. Competitors pay their agents with a high commission, which creates a threat to SLV PLANT TECHNOLOGIES PVT LTD. The over head costs of competitors are lower, compared to that of SLV PLANT TECHNOLOGIES PVT LTD.

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CHAPTER 6
63

LEARNINGS, FINDINGS, SUGGESTIONS AND CONCLUSION

LEARNING EXPERIENCE
During in-plant training I had good experience in SLV Plant nd Technology Pvt Ltd. It was a great knowledge based and excellent training program in SLV Plant and Technology Pvt Ltd.

All the staff members of organization were co-operative and friendly in their approach. Whenever I visited the all functional departments, the higher authority of that particular department had allocated their precious time in explaining me each and every activity carried in their department. 64

In every department whether it is a lower level or higher level the concerned, staff given me all the necessary information whatever I required to learn. Overall its been a good experience.

In the plant I had gone through various departments with interacting between the heads of department then there only just I noted some of the aspects, which are required to me. At SLV Plant and Technology Pvt Ltd. I came to know that there exists both formal and informal relationship. Informal organization exists in the form of social relationship between the employees at work place. The members of the organizational hierarchy were friendly and co-operative, disciplined and prompt in their work. At SLV Plant and Technology Pvt Ltd. reporting relationship follows formal channel. Both downward and upward communication follows the path of formal channel.

Finally I had a great memorable experience for me that getting experience in corporate environment. It was a more like a practical experience rather than theoretical. It is a good flat form for every Post Graduate management student to get practical experience in corporate environment, and also to understand how theoretical aspects are applied in actual workplace.

FINDINGS AND SUGGESTIONS

FINDINGS The company is finding difficult to do the production without the skilled labours. It is facing lack of skilled labours as the production work is very skillful. The employees who has joined during the inception of the company are in last age of service. To find a replacement for people would be retiring.

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SUGGESTIONS The company must give detailed information about raw materials. The organization must provide proper training to their employees. The company must create good relationship between company and employees. Conducting seminars in the organization will help the employees to work efficiently. The company should increase the production capacity according to market trend so that we can create more employment opportunity. More medical facility

CONCLUSION
SLV plant technologies adopt so many objectives to overall improvement in the organizations.

Hence this project on the overall organizational study towards SLV plant Technologies is done to identify over all performance of the organisation towards SLV plant Technologies and which job has consistency in earning the employees desired return.

The Analysis shows that the overall performance in the organization

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Much of strategies and promotion activities have to be adopted by the SLV Plant Technologies to create awareness towards the improvement of organisation.

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CHAPTER 7 BIBLIOGRAPHY

BIBLIOGRAPHY

A. Books

a. V.S. Ramaswamy & S.N. Namakumari, Macmillan Publishing India Ltd, Fourth Edition:2009 b. Dr. K. Ashwathappa, Production Operation Management, Himalaya Publishing House, First Edition: 2008 c. P. Subba Rao, Human Resource Management, Himalaya Publishing House, First Edition: 2008 68

B.Website www.slvplant.com

C. News paper Business Times, India today

D.Magazine Peenya Industrial Association (PIA)

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