A case study on Parle Agro

Presented by: AKASH.K KEVIN JOHN MYTHREYEE.BGITAM INSTITUTE OF MANAGEMENT, VIZAG.

HISTORY OF COMPANY• Parle Products was founded in 1929 in British India.• Owned by the Chauhan family of Vile Parle, Mumbai.

• The original Parle Company was split into three separate companies owned by the different factions of the original Chauhan family.

ABOUT THE COMPANY• Founded in 1984.

• Owned by Chauhan Family.

• Company has turnover of 1500 Crore.

• Company has manpower strength of 2500 including over 400 professionals.

• Most trusted Indian brand among beverages.

• Company products are divided into 3 segments Beverages Water Food

FROOTI Launched in 1985.

India's only beverage sold in a Tetra Pack at the time.

 Became the largest selling Mango drink in the country

APPY & APPY FIZZ• Appy Classic was launched in 1986.

• It was the first apple nectar to be launched in India.

• Appy Fizz was launched in 2005.

• India’s first sparkling apple drink available in a champagne shaped PET bottle.

Grappo Fizz• Launched in 2008.

• It is a sparkling grape juice drink.

• Credited with creating the sparkling fruit drinks category in India

Saint Juice & LMN• Saint juice was launched in 2008.

• Saint Juice is available in three variants Orange, Mixed fruit, Grape and Apple.

• LMN was launched in March 2009.

•  LMN is a non-carbonated lemon drink.

Cafe Cuba

• Launched in 19 May 2013.

• Cafe Cuba is a carbonated Cuban coffee.

• It's a new product & first of its kind, more of a

bottled Espresso.

OTHER PRODUCTS• BAILLEY packaged drinking water and soda.

• Hippo (launched in 2008), baked snack available in six flavors

• Mintrox mints (launched in 2008), hard mint candy available in 2 flavors

• Buttercup candies (launched in 2008), hard boiled candy; it is targeted at kids and adults alike.

• Buttercup Softease, a toffee available in 4 flavors

• Softease Mithai, a toffee available in 3 flavors

Vision• To be the leaders in our business. We will

stand apart from the competition by being the first in the market to innovate.

• We will be the leaders in our business by maintaining high quality, introducing new and innovative products, reaching every part of India, remaining customer-centric, constantly upgrading our knowledge and skills. ‘To provide consumer’s superior, wholesome agro based food and drink brands through which parle can build a profitable and growth oriented organization’.

Mission

ETHICS AND VALUE• Respect for plurality and diversity.

Transparency, integrity and honesty.

Respect for the worth and dignity of individuals.

Accountability of the organization to its members with regard to its code of ethics.

Inclusiveness and social justice

PERSONNEL AND MOTIVATION STYLES

• Human resource (HR) initiative termed “shop adoption”.

• ‘Regular visits by psychologists’.

• Training and constant upgrading of employee knowledge and skills

• Business opportunities creating platform to learn and grow.

• Perks and benefits.

• Glow boards.

• Infrastructure facilitation.

• Trade schemes.

Success Mantra’s given to employees by Schauna Chauhan

o Ensure you have a genuine interest in the career that you have chosen.

o Cultivate a passion for learning as it always helps.

o Be aggressive in your approach, it will help you deal with challenges.

o Be spontaneous and never dismiss any idea, make it work.

o Embrace challenges because they help you grow.

FUNCTIONAL ORGANIZATIONAL STRUCTUREPrakash Chauhanchairman & M.D

Schuana ChauhanDirector

Alisha ChauhanDirector

Nadia ChauhanDirector

Marketing Director

Marketing Manager

Sales Teams

Operations Director

Production Team Leaders

ProductionTeam Members

LEADERSHIP STYLE• Parle Agro follows Autocratic leadership style.

Overall measurements of success for Parle Agro

• From a mere Rs 250 crore company 10 years ago, Parlé Agro is today a Rs 1,500-crore entity.

• From just one plant in early 2000, Parlé Agro now has 10 across the country for its various products.

Most important factors leading to the success of Parle Agro Willingness to Adapt

Availability and affordability

Aggressive Business Goal

Uncompromising Standards

Remaining customer centric

Reaching every part of India

Introducing new and innovative products

Diversified products

Strategies used to achieve this success are  

• Direct marketing for the brand.

• Developing products on the health plank- Hippo, Apple juice.

• Focus on customer ideology - Classifying Frooti as children's drink and Appy as youths.

• Focus on innovation.

Success of Parle Agro through planning, leading, organizing, controlling

PLANNING

•Parle Agro planning can be termed as aggressive but calculative.

•They venture into new segments where the product hasn’t been tested .

•Planning at Parle Agro is aligned with the changes in the external market.

•Parle Agro give prime importance to planning that highlights customer satisfaction.

LEADING

•Company believes in leading through Innovation.

Frooti 1st Mango juice.

Appy 1st Apple juice.

Saint juice 1st 100% Fruit juice.

Hippo 1st Health snack.

ORGANIZING

•Company follows functional organizational style

•Company gives importance in organizing marketing campaigns like

Mango surprise stunt project

Magic of Frooti

CONTROL LING

•Parle Agro ensure that the goodwill is not in danger by irresponsible activities at individual retail level.

•The company gives importance in controlling the quality of the product to ensure constumer satisfaction.

•Controlling helps in monitoring the production process and to check its supplies

STRENGTH’S OF THE COMPANY• Innovative advertising.

• Innovative Marketing strategies. • Targeting on all age groups. • Enhanced distribution base. • Innovative Products. • Focus on quality.

MAJOR CHALLENGES TO BE FACED IN FUTURE

• Tough competition with competitors.

• ‘Saint' juice priced higher than competitors.

• Scarcity of land leading to price rise. • Raw material availability, dependence on imports

and shelf life.

• Planning of marketing offensives to compete with the deep-pocketed MNCs.