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PREPARED BY HIREN.R.MAHESHWARI S. Y., B. B. A. ACADEMIC YEAR 2007 – 2008 ROLL No.: 28 SEAT No: Christ College, Rajkot Submitted to SAURASHTRA UNIVERSITY, RAJKOT GUIDED BY Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT

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Page 1: excel crop care ltd bhuj

PREPARED BY

HIREN.R.MAHESHWARI

S. Y., B. B. A.

ACADEMIC YEAR

2007 – 2008

ROLL No.: 28

SEAT No:

Christ College, Rajkot

Submitted to

SAURASHTRA UNIVERSITY, RAJKOT

GUIDED BY

MISS. DARSHITA GANATRA

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT

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DECLARATION

It was memorable Experience for me, I don’t have adequate word to Express my

profound gratitude to project report and to visit the industry. I express my deepest thanks

to MR.K.K.PATEL for providing this great opportunity Excel crop care Ltd.

If I don’t Express my deepest thanks or sense of gratitude towards Mr. K.M. Bhatt

(manager)and all executive without whose active interest, my industrial report would Not

seen in the light my acknowledgement would not be completed.

I also greatly thankful to all those people who have helped me in preparing this

report directly and indirectly by providing necessary information regarding the unit which

I have visited.

SIGNATURE

Date:

Place: KUTCH. HIREN.R.MAHESHWARI

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT1

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ACKNOWLEDGEMENT

In the liberalization area of Indian economics Indian Industries have undergone

rapid development in technological & mechanical equipments. Today Indian Industries

have become capable of competing with the multinational Industries.

Excel Crop Care Limited is one of leading industry manufacturing Pesticides

Company in Indian

First of all, I would like to thank the authorities of Excel Crop Care Ltd. Specially

Mr. K. K. Patel from bottom of any heart who provided me with all the information and

guidance that are required by spending his valuable time. I would also like to thank the

staff members who helped me directly or indirectly to complete my project.

I would really like to thank our principle Fr. Joseph V. A. and Miss Darshita Ganatra who

motivated me & guided me through the preparation of this report. I would also like to

thank my parents who supported me & helped me to utilized my abilities.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT2

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PREFACE

“PRECTICE MAKES MAN PERFECT.”

As a part a subject in our S.Y.B.B.A to preparer am industrial report of any

chosen industrial concern. As we know that in managerial course or BBA course only

theoretical knowledge is not sufficient and useful to the students to be a successful

manager. Students are like raw material and practical studies like industrial training and

other programmes by which a student can practically know everything which they study

is necessary not only as a subject but also useful in future.

Training is an integral part of education for managerial course and relining does

the job of polishing shaping end marketing then to face into the real life situations and

challenges.

In this project report I have pointed each and every aspect of general information,

finance department marketing department & personnel department during the training

information is carried out by communicating with manager, executives and other concern

with the company.

At the time of making preparation of this report, I got the opportunity to glance

into the real business world. I have got the chance to observe the day to day working of

the unit. This is one of the best and important experience in my life.

As a B.B.A. student I have put in my sincere efforts in preparing and presenting

this report meaningfully.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT3

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INDEX

SR. NO. PARTICULARS PAGE NO.

1 GENERAL INFORMATION 05

2 PRODUCTION MANAGEMENT 16

3 PERSONNEL MANAGEMENT 32

4 MARKETING MANAGMENT 59

5 FINANCE MANAGEMENT 75

6 SWOT ANALYSIS 94

7 FUTURE PLANS 97

8 SUGGESTIONS 99

9 CONCLUSIONS 101

10 BIBLIOGRAPHY 103

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT4

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1.

General Information

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT5

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GENERAL INFORMATION

CONTENTS

SR. No. PARTICULARS PAGE No.

1. Introduction 7

2. History of unit 9

3. Achievements 9

4. Company Profile 9

5. Organizational Structure 14

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT6

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INTRODUCTION

Excel crop care Ltd. The name of the company deserve the meaning of very word

excellent which means batter then any thing occupies very important and prestigious role

in pesticide industries in the country. For over 65% market is shared excel crop care Ltd.

For it’s various products like yellow Phosphorous, butane dial and endosulfan.

Excel industries Ltd. primarily manufactures high quality chemicals, relevant to

the needs of industries and agriculture. These products are marketed all over the India and

are exported to over 50 countries around the world.

It is the place where in Asia first unit of phosphors, however today other

companies have also been developed. In this field, they are named by United Phosphorus

Ltd. is the largest in India and second in the world for producing endosalfan. They have

centralized world class research in Mumbai supported by individual state of the Art

Research Centre, at each of their manufacturing plant.

Excel Crop Care Ltd. Business was founded on a close relationship with the

farmers, who used it’s products and their derivatives from an original narrow range of

products for specific uses, excel has expanded its activities, so that today it provides the

farmer with a broad range of products and technical guidance.

This range from initial conditioning of the sail, through preparation for planting

seed selection, irrigation, pest and insect control, maximizing productivity and harvesting

management.

An integral component in achieving this success is a system of fully integrated

production linked to the development of process technology appropriate to the needs of

its customers.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT7

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NAME AND ADDRESS

Name : Excel Crop Care Ltd.

Address: Bhuj-Mundra road, Nr. Kera Village,

Gajod – 370 430, Kutch - Gujrat

Board of directors: A.C. Shroff (Chairman)

Dipesh K. Shroff (managing Director)

Prakash K. Shroff (Executive Director)

J. R. Naik

M. L. Shah

Mukul G. Asher

Sandeep Junnarkaa

B. V. Bhargava

Douglas J. Rathbone

Kevin Martin

Sharad L. Patel

L. Rajagopalan

Vice President (Account & Mis. & Secretary)

V. K. Parmar

Banker: Bank of India

Syndicate Bank

State Bank of India

Citi Bank N. A.

UTI bank Ltd.

Auditors: S. V. Ghatalia & Associates

Corporate Office : Plot No. B/5, Gaiwadi Industrial Estate,

Goregaon (West)

Mumbai –

Factories: Kera Gajod High way, Gajod, Kutch

Ruvapari road, Bhavnagar

Silvassa, Union Territory of Dadra and Nagar Haveli,

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT8

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HISTORY & ACHEIVEMENT

The story of “Excel crop care Ltd” is not just the story of chemical, It is much as

the story of mankind working there and that is the reason, it is interesting. The growth of

Excel crop care Ltd” won the years has shown that it is a success story throbbing with

life.

Excel was established at 19th November, 1941 as a small kitchen laboratory and

over the year, it was groom up as a unique organization with a value based system of

management style. It is a self made company of one man effort. This man Mr. Chmpraj

Chaturbhuj Shroff (Mr. C.C. Shroff) a brilliant chemistry graduates. Mr. C. C. Shroff

thought that India becomes truly Independent only if it could be economically

independent. This man determined to prove India’s capability with the development of

chemical process through technology and with in a short time. Excel Crop Care Ltd.

produced some starting stock of chemical Mr. C. C. Shroff believe that India problem will

solve by Indian training that’s why Excel industries Emerged in India.

Late Mr. C.C. Shroff the most brilliant member of the family decided to learn

science by working in the factory and rescued a job first in analytical laboratory in

swastika oil mill and then in western chemical, which was one of the big heavy chemical

manufacturing unit in western India. The promoter Mr. C.C. Shroff, Known as “papa” in

his family and employees.

He was started this industry with the capital of Rs. 10,000/- out of this amount Rs.

2,000/- is of his family and Rs. 8,000/- from relatives and friends. In 1948 – 49 there were

only six employees and were introduced 25 different types of products. They achieved

over 1 Hundred product and process break though that even now are serving the specific

needs of various clients. It is the first company in Asia and third in world to make

Endoslfan and Buten – Diol. They are second in the world to develop Glyphosate

technical. They are third in the world Aluminium Phosphid.

When company was converted into public Ltd company, there were only 10,000

share holders. The development of Excel crop care ltd is different from the development

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT9

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of others. After fifty nine years of its established or existence it goes in achieving further

and peck and progress.

Today it has five main units which are in Bhavnagar, Jogeshwari Mumbai,

Amboli hill Mumbai, Roha and Lote Parshuram. It is also maintaining its marketing

officers at Headband, Madurai Mumbai, Delhi and Antwerp in Belgium etc.

They operate from eight manufacturing plants, which are spread across the

country in Mumbai Maharastra, Gujarat, Andrapradesh, and Silvassa. They set up an

office to get closer to their customers in moreover, their representative office in Australia

and Singapore.

Excel Crop Care Ltd. is one of the India’s best leading manufactures and exporters

of Argo- chemical and specialty chemicals. In 1994 Excel becomes the first Indian Argo-

chemical company to be certified ISO-9002. Two plants of Excel are ISO- 9002 and one

of their sites have ISO-14001 certification.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT10

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SIZE OF THE UNIT AND FORMS OF ORGANIZATION

The size of the unit can be defined on the basis of two criteria:

1. Employee strength

2. Investment

As per the definition of industry, there are three types of size are as follow:

1. Small scale industry

2. Medium scale industry

3. Large scale industry

1. Small Scale Industry

Small scale industries are those industries, in which capital investment is not more

than 60,00,000. for the export oriented small scale unit. IMNT is one who invested less

than 75,00,000 in fixed assets and current assets.

2. Medium Scale Industry

The unit is the one whose investment in fixed assets and current assets is in range

of 75 lac and does not exceed 100 lac. This unit is mostly used in labour incentives

method of the production.

3. Large Scale Industry:

The industry whose requirement in fixed assets is exceed Rs. 100 lac is known as

a large scale industry. The Excel Crop Care Ltd. is large scale industry because it’s

investment and requirement in fixed assets is more then Rs. 100 lac.

Forms of the organization:

Forms of the organization can be classified in three categories on the basis of

ownership

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT11

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1. Private sector

2. Public sector

3. Joint sector

1. Private sector

Private sector are those sectors who owned, managed and controlled by private

individuals by private individuals. The followings are the types of private sector.

Sole proprietorship

Partnership

Hindu Undivided Family (HUF)

Co operative society

2. Public Sector

Public sectors are the forms of organization established for public goods under a

special act of assembly deriving independent entity and internal autonomy through the

same act.

For Examples:

1) Government Sector

2) Public Sector

3) Government Department

3. Joint Sector

Legally the joint sector is an artificial person created for carrying on same

business by an association of persons. It asserts that a company has a legal entity of its

own in the sense that it has powers and characteristics determined by the provisions of

law and a constitution formed in accordance with them.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT12

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Excel Crop Care Ltd. is a public limited company as it fulfill all the characteristics

of public limited company which are as follows.

1. In such a company shares can be transferred freely.

2. Such a company can invite general public to subscribe all its shares and

debentures.

3. The number of minimum members is seven and for maximum there is no

restriction.

4. The liability of members of such a company is mostly limited.

5. It is necessary to write the word “limited” at the end of the name of such a

company.

6. In such a company shares can be transferred freely.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT13

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ORGANIZATION STRUCTURE OF MUMBAI

BOARD OF DIRECTORS

CHAIRMAN

MANAGING DIRECTORS

MANAGING DIRECTORS (INTERNAL)

GENERAL MANAGER

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT14

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ORGANIZATION STRUCTURE OF KUTCH

VICE PRECEDENT

GENERAL MANAGER

SENIOR MANAGER

PERSONNEL PRODUCTION MARK- ENGIN- AMINIST-

ETING EERING RATION

EXECUTIVES

OFFICERS

STAFF

SUPERVISOR

WORKERS

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT15

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2.

Production Department

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT16

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PRODUCTION DEPARTMENTCONTENTS

SR.NO. PARTICULARSPAGE

NO.

1 INTRODUCTION 18

2ORGANISATIONAL CHART 19

3PLANT LOCATION 20

4PLANT LAYOUT 20

5PRODUCTION PLANNING & CONTROL 21

6PRODUCTION PROCESS 22

7REPAIRS & MANINTENANCE 25

8QUALITY CONTROL 26

9 MATERIAL HANDLING 27

10 STORE KEEPING 28

11ENVIRONMENT PROTECTION 29

12INVENTORY MGT. 30

13 SCRAP AND WASTE MANAGEMENT 31

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT17

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INTRODUCTION

Production plays a very important role in all the activities of company

management. This is the first step of the company management. All the business activities

revolve around the production process. The production activity is nothing but the step by

step conversion of one form of material into another chemically or mechanically. The

basic inputs of the mine, farm, sea and forest are used as raw material on which the

processing is done to create the output. Production is an activity through which the form

utility is either created or enhanced.

Production management is a process of planning, organizing, directing and

controlling the activities of production function. Production function is the conversion of

raw material into finished goods. Production management is concerned with those

processes which convert the inputs into outputs. The inputs are various resources like raw

materials and the outputs are goods and services.

In Excel Crop Care ltd. production department is looked after by production

manager.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT18

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ORGANIZATIONAL STRUCTURE

Organization structure is a basic frame work of company management. It is the

pattern in which various departments of the company are interconnected.

In Excel Crop Care ltd. there is a line type of organization in which

responsibility flow upward and authorities flow downward and upward.

The following is the organizational structure of Excel Crop Care Ltd.

VICE PRESIDENT↓

GENERAL MANAGER↓

SENIOR MANAGER↓

PRODUCTION HEAD↓

WORKER

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT19

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PLANT LOCATION:-

Site selection is an important activity which decides the fate of the business. A

good location may, reduce the cost of production and distribution to a considerable

extent. The reduction of cost of production and distribution helps in elevating either the

competitive strength or the profit margin of the business.

Therefore, the location for the factory should be selected very carefully. While

selecting a site, it is necessary to consider technical, commercial, and financial and then

the location is selected which may provide maximum advantages.

So, looking to all these factors EXCEL CROP CARE Ltd. has established the

plant in an industrial estate-

EXCEL CROP CARE Ltd. Has chosen this location taking into consideration

following factors:-

Supply of Raw Material Nearness of Market. Transportation Facilities. Labour Supply. Availability of Power & Natural resources. Government Facilities. Personal Factors. Social Factors.

The following is the location address of EXCEL CROP CARE Ltd.

KERA HIGH-WAY,GAJOD-KUTCH

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT20

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PRODUCTION PLANNING & CONTROL

Before starting any production work it is necessary to plan out the production

activity very well. If the production planning is not up to the mark then it will result to

production fault. Wastage can also be reduced by controlling the production process.

Production planning involves the decision on the resources that the firm will

require for its further manufacturing operations and allocation of these resources to

produce the desired product in the required amounts at the minimum costs.

Planning is also done regarding the finance required for the production. The

amount of capital required should be very well planned before starting the production.

The capital should neither be less nor should it be more because in both the cases is loss

for the company.

The man power required for the production process should also be

planned. The number of workers, supervisors, etc. should be fixed well before the

production.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT21

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MANUFACTURING PROCESS AND PRODUCT

1. ALUMINIUM PHOSPHIDE(CELPHOS): -

Initially Aluminum powder is taken into Reaction Pot. Yellow phosphorus is than

added gradually to reaction pot. Keeping the blanketing and stirring. After the proper

mixing is done reaction pot is taken to the reaction chamber, where the reaction is carried

out. The P2O5 generated during the reaction is scrubbed with dilute Phosphoric Acid. The

fresh water is initially used to scrub phosphorus pentoxide (P2O5) generated at vessel.

The phosphoric acid thus generated is recirculated at scrubber to get higher

concentration of phosphoric acid (H3PO4) after natural cooling; reacted mass is taken for

grinding. The ground mass is then, taken for formulation. After formulation, product is

taken for tableting. Aluminum phosphide tablets are filled in Aluminum tubes of 30 gm,

860 gm, 1440 gm and 1 Kg. Aluminum Bottle.

CHEMICAL REACTION

4Al + P4 -------------------------- 4 AIP

2) ZINC PHOSPHIDE (COMMANDO)

Initially, Zinc Dust is taken in to the reactor. Yellow Phosphorus is added

gradually at controlled conditions. The reaction between Zinc dust and Phosphorus takes

place in this reaction vessel.

After the reaction the production is taken for micro grinding and the material is

formulated. The formulated product is packed into tins, pouches and drums as per

requirement of size / lot.

CHEMICAL REACTION

6 Zn + P4 --------------------- 2Zn3P2

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT22

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PROCESS OF

(ALLUMINIUM PHOSPHIDE)

(CELPHOS)

*LIQUID EFFLUENT GENERATING*GAS EFFLUENT GENERATING

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT23

*EFFLUENT

P2O5 GAS

STACK

PACKING

PHOSPHORUS

ALP REACTOR

ALLUMINUMPOWDER

FORMULATION

TABLETTING

GRINDING ABSORPTION SYSTEM

PHOSPHORIC ACID

WATER

FORMULATION AGENT

*EFFLUENT

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PROCESS OF

(ZINC PHOSPHIDE)

(COMMANDO)

*LIQUID EFFLUENT GENERATING*GAS EFFLUENT GENERATING

EPAIRS & MAINTENANCE

Repairs and maintenance is very essential part of the production management. As

entire scenario of the production is depended on the machines and plant one has to make

sure that they are well maintained.

The machine installed in the unit utilizes all the raw material and process them to

produce the final product but when they are not well maintained they directly affect the

quality of the product.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT24

P2O5 GAS

STACK

PHOSPHORUS

ZnP REACTOR

ZINC DUST

BLENDER

PACKING

GRINDING ABSORPTION SYSTEM

PHOSPHORIC ACID

WATER

DILUTANT

*EFFLUENT

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There is systematic repairs and maintenance of the plant of the unit, as all the

production work is done by manually as well as automatically. Company has hired some

engineers to look after the plant and various vital components of the same & to guide

workers.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT25

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QUALITY CONTROL

In industrial context quality is defined in much more functional fashion thus we

can say that quality means, “Fitness for use” whether for a product or service. It is also

considered as the sum total of the attributes or properties that describe the product.

Today the existence of any manufacturing unit depends on the quality of product

or services it manufactures or supplies. The image or goodwill of any unit is closely

related to the quality of product made or supplied by that unit;

“Level of quality is the mirror for the manufacturer.”

Quality is very important for a manufacturer of product or services because very

existence of manufacturer depends on the quality level.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT26

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MATERIAL HANDLING

According to American material handling society, “material handling is the art

and science of the movement, packing and the storage of substance in any form”

It should be noted that material handling is the distinct activity falling within the

jurisdiction of production dept. It is not the part of production control but it is closely

associated with the function of the production control. It is largely concerned with routine

function of the production activity and to some extent the scheduling of the production

dept.

In EXCEL CROP CARE LTD. There is a systematic process of handling different

kinds of materials.

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STORES MANAGEMENT

The efficiency of the mfg. operation depends largely on the efficient functioning

of the receiving and stores operations. Receiving and storing are the services, functions

and involve much of the proper work.

The direct production cost is reduced by strategically location of the stores

ensuring quick issue and elimination of production stoppages caused by waiting for

materials. It indirectly reduces the production costs in terms of reduced investments in

materials, storage space and insurance, elimination of the pilferages and theft,

obsolescence, reduced handling cost, etc…

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ENVIRONMENT PROTECTION

A success of an industrial unit lies in its production of its products without

pollution the surroundings. An industrial unit for its functioning depends a lot on the

environment. Without properly no matter however efficient the unit may be.

If the pollution is inevitable then the industrial unit should find out some method

to neutralize the effect of pollution. It should implement ways which would cut down the

pollution emitted by the unit and help to keep the environment clean and pollution free.

EXCEL CROP CARE LTD. Has also taken steps in order to control in the

surrounding of their factory shop.

The boundaries of the factory are planted with 50 to 100 trees which help a lot in

neutralizing the pollution in the environment.

As they produce chemicals most of the work is done through reactors and filter

and in plant and machinery so it is not harming to the environment

The company has also received NOC from Gujarat Pollution Board

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INVENTORY MANAGEMENT

Inventory is defined as a usable resource which is physical tangible such as

materials. In this sense, our stock is our inventory but even then the term inventory is

more comprehensive. Though inventory is usable resource it is also an idle resource

unless it is managed effectively and efficiently. Inventory control refers to the process

whereby the investment in materials and parts carried in stock is regulated within

predetermined limits set in accordance with the inventory policy established by

management.

Inventories constituent the largest component of current assets in many

organization. Poor management of inventories therefore may result in business failures. In

case of a manufacturing organization, the inability could bring production process to a

halt. Conversely, if a firm carries cost may represent the difference between profit and

loss. Efficient inventory control therefore can significantly contribute to all overall profit

position of the organization.

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SCRAP AND WASTE MANAGEMENT

Waste management has several dimensions: engineering, geographic, social and

management. Its basic purpose is to minimize of the overall waste in the given system.

Waste here refers to waste of the all kinds of the resources, but especially the material

which constitute a significant portion. Some wastage is inevitable in any conversion

process of inputs in to output. To reduce waste, we have therefore to maximize the use of

the resources. Resource management and waste management are supportive to each other.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT31

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3.

Personnel Department

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT32

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PERSONNEL DEPARTMENT

CONTENTS

SR.NO. PARTICULARS PAGE NO.

1 INTRODUCTION 34

2 ORGANISATIONAL STRUCTURE 35

3 NO. OF. EMPLOYEES 35

4 RECRUITMENT & SELECTION 36

5 INDUCTION AND PLACEMENT 37

6 TRAINING AND DEVELOPMENT 39

7 PROMOTION & TRANSFER POLICY 41

8 PERFORMANCE APPRAISAL 42

9 WAGE & SALARY ADMINISTRATION 43

10 GRIEVANCE HANDLING 47

11 COLLECTIVE BARGAINING 49

12 TRADE UNION 50

13 PERSONNEL RECORDS 52

14 TIME KEEPING SYSTEM 53

15 EMPLOYEE BENEFIT 55

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INTRODUCTION

Human resource department is concerned with human related activity in a firm. So

here the importance of human is must. Human resource means human capital. It is

classified into three categories, namely intellectual capital, social capital and emotional

capital. Human resource management is a process of bringing people and organization

together. So that the goals of both are achieved.

Excel is a large scale unit. Therefore 771 workers are working in the company. It

has a separate personnel department activities. So in the excel industries Ltd, personnel

debt is very essential and plays an important role in a company.

A part of this today in this last growing, world of industrialization and huge

workforce has become very common. But this requires then efficient and effective

management. So for this purpose and in order to solve their problems. It has become

necessary for almost all units to set up a separate personnel department.

So it is most important department for each and every business firm because it

refers manpower, the most casual can not be performed in absence of it. So it is the

department of human resources.

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ORGANISATION OF PERSONNEL DEPARTMENT

Organization is a group of people working together to achieve a specific goal and

working co-operatively that mutually benefits the employees and organization. People

who work in the organization require a defined system or structure through which they

work very efficiently to achieve their desired goals. It is a way describing employees

authority chart.

Organization means the arrangement of different designation. It depicts the

direction of law of responsibilities, authority in a firm. In order to understand

organization of a firm, organizational chart prove to be very helpful.

Chief Manager (Personnel department)

Senior Manager

Senior Executive

Training Industrial relation

Executive Executive

(Welfare) (Salary & Wages)

Officers

From the chart we can say that Excel Crop Care Ltd. Has line & staff

management. The general manager has submit or the information to the top authority. All

senior manager, executive officer and staff are comes under the general manager and they

are reported to them. All the workers of personnel department has been assigned to a

particular person with respect to his authority position in the firm education, qualification,

and level of experience.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT35

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FUNCTIONS OF PERSONNEL DEPARTMENT

The role of HR Manager is to plan, develop and administrate the polices which are

designed to make more use of HR in an organization. That is the major function of HR

are

Recruitment

Selection

Induction

(1) Recruitment: - The main purpose of a personnel department must be to recruit staff

of the right caliber and to keep them in employment subsequently. A high labor turnover

is bad in many ways and is expensive. All different source of staff should be known and

used according to the kind of staff required. Generally there are two source of recruitment

(1) Internal source : -

Promotion

Demotion

Transfer

(2) External : -

Advertising

Education Institute

Employment agencies

Waiting list

Field tripe

Excel Crop Care Ltd. are using source of recruitment as under : -

(2) Transfer : Transfer means to change the position horizontal level of employee

company is given transfer on the recommendation of employee and their

staff and company is recruiting.

(3) Advertisement :- As and when company want to recruit person they give

advertisement contain total information which is require.

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(4) Bapa Beta scheme : - Excel Crop Care Ltd. Carry on “Bapa Beta scheme” under this

scheme , if there is any vacancy then it is responsible then first

performance is given to the children of the employee.

(5) Selection :- Selection is a very important function of personnel department it is a

process of offering job to the one or more proper candidate from all these

who applied for services Excel Crop Care Ltd. Has adopted scientific

method for selection of managerial personnel and simple method for

internal selection process.

(6) Internal selection method :- Internal selection method of Excel Crop Care Ltd. Is

very simple because in internal method they only select the person by

recommendation of this supervision

(7) External Selection method : - In selection of person in Excel Crop Care Ltd. The

first need of person if he is an honest person and knowledgeable then the

inter different between person to person is glow the selection of Excel

Crop Care Ltd. is prescribed as under

Collection test

Written test

Personal interview

Medical checkup

Sending an offer

Appointment

(8) Induction: - In induction selected person is informed about company’s Plan, Policy,

Rules and regulation. They also give information about history and objective of company

to the selected person. It helps to candidate to know what activity is done in each

department of the unit.

In Excel Crop Care Ltd. the employees are indicated after they have appointed on

the permanent basis they are made familiar with organization’s safety, Hazards and safety

equipment Excel Crop Care Ltd. Is meant everybody fare its homely environment

everybody want together like family so here is not single problem.

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(9) selection :- Excel Crop Care Ltd. also takes help of employment exchange office in

the selection process. Excel Crop Care Ltd. also invites people from the outside for

arranging the interview of application. After the candidates are selected for particular

work they have been placed on the job training if it required as “ a lateral shift causing

movement of individuals from one position to another usually without involving marked

change in duties responsibilities, skills needed or compensation.“

Transfer generally does not involve a promotion, demotion or a change in job

status other than movement from one job or place to another.

Transfer are generally affected to build up a morel satisfaction weak team and to

achieve the original goals.

In Excel Crop Care Ltd. mostly transfer that take place are inter department.

These transfers take place with the mutual consultation among the departmental heads or

plant managers, when transfer to take place are of long duration, written orders, signed by

the personnel manager are issued to the employee to be transferred.

At times, the employees are also transferred form one branch of Excel Crop Care

Ltd. to another.

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TRAINING AND DEVELOPMENT

“Training is an act of increasing knowledge & skills of employee for doing a

particular job.” Training is the process of learning, a sequence of programmed behavior.

It is application of knowledge. It is an attempt to improve current or future performance

of a person by increasing his or her ability and increasing his or her skill and knowledge.

A well trained worker can be an assets of the unit. So expenses for training should

not be considered as a wastage of money but it should be considered as an investment of

business. Training is the corner stone of sound management for it. It makes employees

more effective and productive needs for training programmes.

In Excel training programmes and work according to programmes. For training

Excel adopt the method participating training techniques. Excel also arranged lecture

from outside. It has separated training and development, which is known as E ETTE.

This department not only work for giving training to its employee for effectiveness in his

job, but also producing a better citizen. It all department has performance appraisal

system by which they find employees who need training every department had more list

of the employee for training and which type of training we need department needs send to

EITME department.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT39

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JOB DESCRIPTION

Job description is described on the base of data collected through Job analysis. Job

description is a functional description of the contain what the job entails, it is a

description it is a description of 1.the duties and activities to be perform in a job, the

relationship of the job, the equipment, tools, machinery involved, the nature of

supervisors. Thus job descriptions differentiate one job from another in this regard you

can say that job description is a written statement to what a job holder need to do? How it

is done? And why it is done?

Job description is a list of specified job duty, responsibility, reporting,

relationship, working condition and job description is one product of job analysis.

In excel crop care ltd all the managing director and other directors have their

specified authorities and responsibilities and workers are also assigned their work very

clearly. In this company there is good and well defined job description which takes place

in job level management. But in level it will net work because they believe that the use of

its makes that scope for job.

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PROMOTION AND TRANSFER POLICY:

Promotion is a movement to a position in which responsibility and increases.

Promotion is very important motivation factor. If it is given to a suitable person than it

will give a benefit to both the party. Promotion improves the efficiency of employees. It

is source of recirculation.

According to Scott and clothier:

“A promotion is the transfer of an employee to a job which pays more money on

one that carries some preferred status.”

Promotion is term which covers and calls for greater responsibilities and usually

involves higher pay and better terms and condition of service and therefore a higher status

or rank. In another words it is an up-wards advancement to another job which command

better wages, better status.

Mainly promotions are given on the basis of:

A) seniority

B) performance

In Excel Crop Care ltd., promotion is given on the basis f seniority. They also take

into of consideration the performance appraisal system. But the organization gives that

more experience of the work prepares skillful man in his work. So seniority is very

important for promotion.

In excel there is the policy to give promotion on the basic of seniority , as the

organization believes that efficiency of the employee increases along with time and

experience. At the same time the quality of work and result of performance approved is

also taken into consideration.

Transfer :- A transfer is a horizontal or lateral movement of an employer from one job,

selection department shift, plant or position to another usually without involving any

charge in duties, responsibilities. , skill, needs or compensation.

In Excel crop care Ltd., in Kutch site jobs are not transferable. Only internal

transfers are there. That means one department to another department within the

organization. Transfer is applicable from one branch to another branch.

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PERFORMANCE APPRAISAL SYSTEM

In 1983, New York city civil services in America introduced a performance

appraisal programme. The purpose of performance appraisal is to determine what aspects

of the performance need to be evaluated, A different action has to be mad between

performance and the job potential the promotion. It is one of the oldest & most universal

policies of management.

Performance appraisal is a purpose of estimation or judges the value excellence,

qualities or status of some object person or thing.

Once the employee has been selected, trained and motivated he is then appraisal

for his performance. Performance appraisal is the step where the most finds out how

effective it has been at hiring and placing employees. If any problems are identified are

taken to communicate with the employee and to the employee.

It is the process of evaluating and employees performance of a job in team of its

requirements. Performance appraisal is also known as other name such as merit rating and

behavioral assessment services rating and fitness report.

There are many method of performance appraisal, but in Excel Crop Care Ltd. the

person who is working in the organization is appraised by the rating scale method of

performance appraisal. Under this method, there are types of printed forms for managerial

level, staff level & workers level for appraisal the performance the terms are included in

this form to appraise the employees performance is appraise by this method. Employees

performance is appraised by his superior. with the help of this method, they can find out

the employees whose performance is good and gets high score is given increment in

wages, promotion and also recognition then he has given training and the employees

whose performance is bad then he has given notice to be careful regarding his work.

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WAGE AND SALARY ADMINISTRATION

Wage and salary are the basic package of the compensation. Normally salary

refuse to the payment made to white collar employee i.e. Managers, officers etc. where as

wages are paid to blue collar employee i.e. foremen, workers etc. Sufficient wages and

salary also become the factor to motivate employees toward the goal of an organization.

Because high salary motivate workers to do their work more effectively and efficiently.

So in this way both workers as well as organization can achieve their goal.

Generally the common system of paying to workers is the based on time i.e. rate per

hour, per day, per month or per year, wages can be calculated in two ways.

(1) Nominal wages

(2) Real wages

Nominal wages are those which are paid in terms of money to the employees while

real wages are those which wages are paid in terms of purchasing power with regard of

some basic years.

Wages and salary administration is concerned with the financial aspect of needs

motivation and rewards.

In Excel Crop Care Ltd. the employee get their wages and salaries by every month.

The management and staff members gets the salary not in the term of cash but in terms of

ATM card or cheque. While workers gets their wages in term of cash every day. In case if

employee wants his salary in advance, he has to apply for it on the 22nd of the preceding

month. If the employee takes a loan then the amount of installment is directly deducted

form his or her salary. In this company the wages and salary structure divided into theses

grades.

(1) executive grad

(2) supervisor or staff grade

(3) worker grade

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Along with the basic wages and salary, some allowance are given to the employees by

Excel Crop Care Ltd. which are as follow.

ALLOWANCEWORKERS

GRADESTAFF GRADE

MANAGEMENT GRADE

House, Rent, Allowance

70 % of the salary (Basic + DA)

15 % of the salary (Basic + DA)

17 % of the salary (Basic +DA)

Dearness Allowance

Rs. 1116.35per month

Rs.3395per month

Rs.5136.50per month

Educational Allowance

Rs. 425per month

Rs.850per month

Rs. 400-1000per month

Washing Allowance

Rs. 366.70 per month

Rs. 249 per month -

Attendance Allowance

Rs. 396 per monthRs. 275.50 per

month-

Leave & Travel Allowance

Rs. 3000per year

Rs. 3200 per yearRs. 5400-15000 per

yearNight Shift Rs. 5 per night Rs. 7. per night

WORKING OF E.S.I. SCHEME

The full form of E.S.I. Scheme is “Employees state insurance Corporation

scheme.”

This scheme is designed by the Government for the benefit of the employee under

work on compensation act 1948. In this scheme the employee and the company are the

major contributors. The rest of the amount is contributed by the Government. The total

contributed towards this scheme is managed by the Government.

This scheme is also applicable to the employees of Excel Crop Care Ltd. but only

these employees whose salary is lower than RS.6500.

The facilities provided under this schemes : -

(1) Medical facilities for the employees and ten family members. There are formal

hospital of E.S.I corporation in Kutch.

(2) In case of employee is injury and sickness, 75 % of this salary given to him.

(3) In case of the death of the employee his family member are given

compensation and pension also.

(4) Maternity leave is given to the female employees of the company for 3 months

with salary.

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(5) Many other facilities are also provided as per the E.S.I.C scheme.

1.75 % amount is contributed from employee’s salary, 4.75 % amount is

contributed by the company.

So, total of 6.50 % amount is contributed by the employee and the company are

sent to the ESI head office which is situated in Ahmedabad. There are 985 employees and

all are covered under this scheme.

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PROVIDENT FUND SCHEME

Provident fund (P.F) scheme is applicable only to those companies which have

more than 20 employees as per the provident fund act of 1952.

As per this scheme 12 % id deducted from the employee’s salary and 12 % is

contributed by the company. So the total of 24 % is contributed to the employees

provident fund.

From this employee’s provident fund : -

(1) 8.33 % is given to the employee as pension (only if he has worked with the

company for min. 10 years.)

(2) 1.67% us given to him on his retirement.

The amount of provident fund can be refunded by the employee in the

following manner: -

(1) 80 % of provident fund can be withdrawn for housing.

(2) 25 % of provident fund can be withdrawn for other purposes like

sickness, disease etc..

As per the provident fund act of 1952 all the companies to which this act is

applicable have to compulsorily maintain and manage the employee’s provident fund.

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GRIEVANCE HANDING PROCESS

Jucius says “ A Grievance is any discontent or dissatisfaction, whether expressed

or not, whether valid or not, arising out of anything connected with the company which

an employee thinks, believes or even feels, to be unfair, unjust or inequitable.

Flippo says “A grievance is a type of discontentment which most always be

expressed. A grievance is usually more formal in character than a complaint. It can be

valid or ridiculous and must grow out of something connected with company operations

or policy. It must involve an interpretation of application of the provisions of the laborer

contract.

“ILO defines a Grievance as “A complaint of one or more workers in respect of

wages, allowance, conditions of work and interpretation of service stipulations converting

such areas as average leave transfer, promotion, seniority, job assignment and termination

of services.

The Grievance handling procedure is a device by which Grievance are settled

generally to the satisfaction of the trade union or in the labor relations and under take

suitable corrective measures.

The Grievance system at Excel Crop Care Ltd. is peculiar like all other companies

of similar size, there is a prescribed system for settling Grievance. But a “Family

Approach” steps in whenever one doesn’t feel satisfied with the normal procedure. Its

every employee has a direct access to the top man of the company – the M.D. Invaluably

in all cases, the M.D looks in to his Grievance and things are settled to the satisfaction of

both parties. Anyone can reach the head office of the company without the barrier of any

bureaucratic channels. But the M.D cannot reach directly down the line, without going

through reaper channels so ensuring retention of authority and respect of the managers

and yet not permitting any of the ills of bureaucracy to in the way of a satisfaction and

speedy solution to the Grievance. The personnel manager often acts as a spokesman of

the union leaders to the management.

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This system is supported by free communication, which persists and is encourage

of at all levels. This acts as a binding tie for under standing various groups their feelings

and as piration.

Also the management acts as a friend in need and tries to help in the best possible

way by providing the employees counseling in legal medical and even family matters.

Here in Excel Crop Care Ltd., after every three years a meeting is arranged

between the union/employees and the management is order to listen to their complaints,

problems and demands. A try is made to solve their these problems and satisfy their

demands to the best possible extent.

In Excel Crop Care Ltd. two types of Grievance come up : -

(1) Mass Grievance

(2) Individual Grievance

(3) Leave

(4) Shift Problem

(5) Canteen problem

(6) Discipline etc..

The system followed by Excel Crop Care Ltd. to solve these Grievances is : -

(1) Firstly the colleagues and other subordinate try to solve to it.

(2) If it is not solved then the immediate supervisor, looks into it and tries to

solved it

(3) If not solved department head tries to solve it

(4) If not shoved the welfare department tries to solve it

(5) Even after this it is not solved the top authorities tries to solve it

(6) In case of no Grievance joint management council – an association of the

representative of management and workers tries to solve it

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COLLECTIVE BARGAINING & AGREEMENT

“Collective Bargaining” is a negotiation between the employer i.e. the

management and the workers or the union to reach an agreement on their demands and

problems.

Here in two parties the worker’s union and the management get together in a

bargaining process. They discuss the demands and problems of the either party negotiate

and bargain on them and thus try to solve them with each other’s mutual concern.

In Excel Crop Care Ltd. the management of the company and the workers union

get together and try to solve their problem and disputes by mutual concern and

understanding. In every three years, the company arranges a meeting of the management

and the union. The management and the union negotiate on these problem and demands.

During the whole process, the most try to solve their problems and fulfill their demands to

the best possible extent and as far as possible.

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TRADE UNION

According sec- 2(B) of the trade unions act of 1926 “A trade union is any

combination of persons whether temporary or permanent primarily for the purpose of

regulating the relation between workers and employees or between workers and workers

and for imposing restrictive condition on the conduct of any trade or business and

includes the federation of two or more trade unions.”

A trade union is device which enables a group, a class in industry or trade to

bargain with any other class or group on equal feting such a union is : -

(1) Economically oriented.

(2) An instrument of defense against exploitation.

(3) An outcome of industrialization and implies class distinction.

(4) Workers join trade union in order to achieve their objective which can

not be achieved individually.

The basic and main objective of the trade union is to work to protect and promote

the interest of the workers and conditions of their employment and thus promote their

living standards.

In Excel Crop Care Ltd. there are two Trade Union: -

(1) Worker’s Union

(2) Staff union

The Trade unions in this company are independent i.e. they are not connected to Lal

wawta or any other national Trade Union.

Both of the above mentioned Trade Union are recognized by the Government. And

registered by the Trade Union act of 1926.

The relations of the unions with the management are very good here in.

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1) Worker:

There are 10 minutes is allowed for workers for late coming and after 10 minutes,

they provided 5 minutes more to enter into premises and after 5 minutes if they don’t

come then its half day’s wage will be cut.

2) Staff:-

The staff supervisors are allowed 29 minutes for late coming and after this time

they also give one minute more for coming but after 30 minutes this short leave will be

use. Staff and supervisor are using shot leave in only two time in month

3) Management

Management staff are not allowed to come late. Their time to reach at office is 8 :

29 but the actual time is 8 : 30. So that they must have to reach at one minute earlier then

their real time. And after 8: 30 their half day’s salary will be cut off .

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Personnel Records

“Personnel records mean the preservation of information in files and documents”

“Personnel Records” are field document which contain full information about the

employee i.e. regarding his qualification, nature, behavior etc.

Personnel Records are to be necessarily maintained by the company as this

information are very necessary for various purpose like performance appraisal, salary

fixation, promotions, fixation and privileges transfer etc. for the employee. The

organization also need this information for future references.

In Excel Crop Care Ltd. records of each and every employee are maintained. For

each employee a personnel record card (PRC) is maintained. Here the records of those

individuals who have been interviewed but not appointed in case if they are needed in

future.

These recodes are help the company to take important decision like promotion,

salary, transfer etc. regarding the employee.

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TIME KEEPING SYTEM

In alder to be a successful, one has to be ahead of time or at least with time. For

smooth functioning of any organizational activity it is necessary to have a sound and

systematic time keeping system. It help to an Employee.

1) To regularity.

2) To particularity and punctuality.

3) To calculate and determinate of wages and salary.

In Excel, regularity and punctuality is demanded right from top level management

to workers. Here the time keeping system is more conscious for each and every

employees then any other industries.

Here punch cared system is followed. A punch card is given to every workers and

staff members working in Excel. Each one has to punch this card in the punching

machine. Both when they enter the premises and when they leave premises.

In Excel crop Carle ltd there are mainly four shift.

Shift Time

A 7 to 3

B 3 to 11

C 11 to 7

D 8:30 to 5

Here D shift called general shift.

Late corning rules:-

1) Worker:

There are 10 minutes is allowed for workers for late coming and after 10 minutes,

they provided 5 minutes more to enter into premises and after 5 minutes if they don’t

come then its half day’s wage will be cut.

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2) Staff:-

The staff supervisors are allowed 29 minutes for late coming and after this time

they also give one minute more for coming but after 30 minutes this short leave will be

use. Staff and supervisor are using shot leave in only two time in month

3) Management

management staff are not allowed to come late. Their time to reach at office is 8 :

29 but the actual time is 8 : 30. So that they must have to reach at one minute earlier then

their real time. and after 8: 30 their half day’s salary will be cut off .

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EMPLOYEE SERVICES

Employee services or employee welfare activities are volentory on the part of the

industry. Such activities are carried out for the social and economic upliftment of

Employee and so to improve the standard of living these welfare activities and necessary.

There service can be either in monetary or non monetary form. Excel crop care ltd

provided the following service to its Employee to uplift their living conditions.

1) CANTEEN FACILITY:-

Excel has it’s own canteen for it’s Employee is provided quality food for only

Rs.1 They also provided tea and breakfast for only 0.35 paisa also everyday 200 ml milk

is provided to each Employee separate food is prepared for those having problems like

blood pressure etc. The company also offers soda water to the Employee in the month of

April, may and June.

2) UNIFORM FACILITY:-

In order to create Environment where the workers breathe the air of unity and also

to make them feel that they all are a part of one family the company provides them

uniform which is common for all its Employee i.e. from management to workers.

The company provides three pairs of uniform to the workers and two pairs of

uniform to the supervisor and the rest of the employee every year. Also two pairs of

shocks are provided to the employees every year.

3) MEDICAL FACILITIES:-

Company provides facilities of medical check up a physician checks every

employee and on every friday, an E.N.T. surgeon on dental surgeon or a skin specialist

checks the employee. Apart from this a chest X-Ray of every employee is taken every

three years . Also there is a pathology lab, cardiogram machine and a doctor’s room at the

industrial site itself .

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Those employee whose salary is less then RS.6500 are covered under E.S.I.C.

( Employee state insurance corporation ltd) scheme and the other are covered under MRS

scheme

4) BONUS :-

Excel is Providing bonus to its workers and employee. A company give 8.33%

bonus to their workers and employee. In the year 2004 -2005 the amount of bonus is RS

20,065

5) BIRTH DAY GIFT:-

Each employee is given a gift on his /her birthday that also from the general manager.

6) Library:-

Excel has a well Equipped library at the industry site itself various different types

of magazines, newspapers books etc are available in Gujarati, English and Hindi.

Books on various different topic and subjects like technical, management

language literature etc are available here in library

This help to make the Employee more knowledge. It help them to get recreation from

their routine jobs. It also help them to improve their personality .

7) Sports facility:-

Excel organizes sports events and competition for both, its employee and their

children, once in a year. and on winning they are also given prizes. The company also

provides almost all type of instruments for sports and games to its employees.

8)Encouragement To Employee’s Children

Employee’s children and given prizes on topping their Exams in order to

encourage them to work more herded

9) Cultural Activities :-The company arranges cultural programmes for its employee.

Here they celebrate all national festivals like 15th August, 26th January etc. and at the time

of other festivals like Holi, Diwali, Navratri etc., with it’s employees.

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10) Gifts and sweets:

The company on festivals likes diwali, Dashara etc. gives sweets and gifts to all

it’s employees

11) Co-Operative Society:

Excel Crop Care Ltd. has built a co-operative society for it’s employee i.e. both

workers and staff members like water connection etc are also provided. Also loans for

food grains oil tines etc and given the employee by the company.

12) Tour & picnic facility :-

If certain number of employees of one department wish to go for a picnic then the

company gives them Rs. 25 per head.

13) Suggestion Scheme :-

Every year suggestion are de invited from the employee by the management of

company. From those suggestion their best one are selected and are given rewards for Rs.

501, Rs. 251 and Rs. 101 respectively some of the suggestion were also nominated for

national awards given by the president of India in the past.

14) Ownership Rights:- Every employee of company is the owner of company. As each

one is given certain amount of shares of the company as per their designation.

15) Gifts on Completion Of Certain Year Of Services:-

The company gives gifts to its employees on completion of certain years of their

service.

-After 20 year of service they give wrist watch.

-After 25 year of service they give Rs.12.000

-After 30 year of service they give Rs. 15.000

Very few industries provided, so many facilities to their employee and treat each

one of them so personality and Excel is one such company it is India’s pride.

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India is an agro based country. About 70% of its populations depends on

agriculture for its living. But agriculture in India faces various problems like rain, quality

seeds, quality fertilizers etc. But the main problem is of good quality pesticide.

Excel is a leading pesticide manufacturing company. It is producing many

important and effective pesticide apart from it. Its also explains the farmers about its

proper and effective usage. It also holds seminars for it.

Excel holds about 65% market shares in India where pesticide are concerned.

Excel is also large chemical exporter. It is at present exporting it product to 46

countries of the world and is so earning a huge amount of foreign exchange for the

country. Helping the government to improve its economy.

At Excel kutch at present nearly 900 employees are working which possibly

makes it the industry employing maximum persons.

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4.

MarketingDepartment

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT59

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MARKETING DEPARTMENT

SR NO. PARTICULARSPAGE

NO.

1 INTRODUCTION TO MARKETING 61

2 ORGANISATIONAL STRUCTURE 62

3 MARKETING SEGEMENTATION 64

4 PRICING POLICY & STRATEGY 66

5 DISTRIBUTION CHANNEL 67

6 PROMOTION MIX 69

7 ADVERTISING 71

8. MARKET RESEARCH 73

9. CONCLUSION 74

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INTRODUCTION

Marketing is the activity which starts before production commences and end with

consumer’s satisfaction. It is that phase of business activity through which human being

can satisfy their wants by Exchanging goods and services. It is basic criteria for taking

into consideration because it discover and translate consumer need and wants into product

and services specification creating demand for this product and services and then

expanding its demand.

Marketing management is an important functional area of business management

which is responsible for the flow of goods and services from the producers to consumer.

It is one accountable for planning , organizing , directing, coordinating, motivating and

controlling the marketing activities, It is the analysis , planning, implementation and

control of programmes design to bring out desired Exchanges with lager audiences for the

propose of personnel or mutual gain. It realize heavily on the adopion and co-

coordination of product, price, promotion and place for achieving effective response,

Marketing is defined as “the key to achieving organizational goals consists in

determining the needs and wants of the target market and delivering the desired

satisfactions more effective, and efficiency than Competitors

Excel as a large scale organisation has also introduced the marketing in the firm to

compete the competitors to maximize sales as well as profit also. Excel crop care ltd is a

manufactures, which manufacture chemical and pesticides. So that it can work smoothly

marketing department plays a vital role success of the company.

American marketing association said that, “marketing is the performance of

business activities that direct the flow of goods and services from the producer to

consumer.”

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ORGANIZATION OF MARKETING DEPARTMEANT

Organizing of marketing department decides the authority and responsibility of

the employee of the department.

In order to carry out the marketing activities effectively and efficiently, there

exists a need for an effectively structured organization of the marketing department where

in the responsibilities of each person is clearly mentioned.

The organization structure of Exec’s marketing department fulfills the above

mentioned or requirements, the organizations chart of marketing department is as above.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT62

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Marketing Department Structure

Vice President

General Manager General ManagerAgro Chemicals Industrial Chemicals

Sales Executives Officer

East South West North Central Zone Zone Zone Zone Zone

Zonal Office

Staff In-charge

Staff In-Change

Area Representative

Field Assistant

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MARKET SEGMENTATION

Segmentation means dividing the total market into small units with more or less

similar features. People are having different needs values and therefore markers cam not

address themselves to the total population by designing marketing mix for a given

product of service. So every marketing manager knows that there is no such thing like a

single market for a given product or service. All markets are made up of sub-segments.

According to Philip Kotler market segmentation is the subdividing of marketing

into homogeneous subsets of customers, where any subset may conceivably selected on

market target to be reached with a distinct marketing mix.

B. Product oriented view As far as Excel is concerned market is segmented by

two ways.

Product Oriented View

Product Base Area Base

Organization Segmentation

Inductions Agriculture

Chemicals Production

ManufacturingHead Office Branch Office

Jogeshwari Zonal Office Madhurai

Ambali Delhi Banglore

Bhavnagar Hydrabad Patna

Roha Kolkota

Lote Parshuram

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Area Base only

Five zones

East West North South Maharashtra Zone Zone Zone Zone Zone

Head office Head office H.O H.O H.O(Kolkata ) (Ahemadabad ) ( Delhi ) (Hydemad) (Muumbai)

Office Br anch :-

1. Orissa Gujarat Uttarpradesh Goa Maha

2. Bihar Madhya Pradesh Haritana Kolia Rashtra

3. Banglore Rajasthan Punjab Karnataka

For managing the market activities in different states area sales manager are

adopted. Apart from this other factions are also taken into consideration while segmenting

the market for a new product and also this segmentation make the function of marketing

smooth. It is very hopeful in advertising the product as coding to state in marketing

research and arranging channel of distribution.

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PRICING POLICIES

The price can be defined as the Exchange value of a product or services. Always

expressed in monetary terms. It is the only element in the marketing mix that produces

revenue, the other elements produce costs. Also it is a unique element of marketing mix

with maximum flexibility as compared to its other elements. It is a ratio of two values. In

simple words market races also the values at which goods and services are exchanged

pricing is an impotent factor in determining both the revenue end profits of the enterprise.

Hence determining the price is extremely important task.

Excel always believed that they paid it the customers to maintain a price line

corresponding to the cost and not take advantages of shortage or market fluctuation. It has

paid with rich dividends in the long run. Excel takes into consideration the following

factors while fixing the place.

1) Cost of the production :-

It includes all types of production cost fixed as well available.

2) Taxes :-

Freight

Excise

Sales tax

3) Objective of business:-

The objectives of Excel Is to provide satisfaction to the Consume and not to take

advantages of fluctuation.

4) Competitors Price:-

Excel’s competitors are buyers’ Parul Chemicals

5) Distribution policy:-

Excel distribution chummed is very wide so cost of distribution play a very

important role in price of other product

6) Government policy:-

Excel fixes the police as per the rules of governments. However the company do

not follow demand as a main determinant of its product. Even if it has high demand, it

charges law policy with a view to provide maximum satisfaction to the consumers.

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CHANNEL OF DISTRIBUTION

Channel of distribution may be define as a pathway composed of intermediaries,

also called middle men, who perform such function as well as needed to ensues smooth

and sequential blow of goods & services from the manufacturing ends to consuming ends

in order to achieve marketing objective of a company.

Distribution channel means the set of marketing activities to the movement

overflow of goods & services from the primary product to the ultimate consumer.

Marketing channels or distribution can be defined as sets of inter department organization

involved in the process of marketing. Product or service available for use or consumption.

Distribution channel is a key external resources. It takes year to be built and not

easily changed so it is ranked with the key internal resources. Such as manufacturing

research etc. As far as important is concerned.

Excel Crop Care Ltd. produced goods can be distributed or sold through various

channels as under.

1) Sales through advertising

2) Sales through traveling

3) Sales through retail shop

Excel Crop Care Ltd. produced agricultural chemicals and industrial chemicals so

they adopt different channels for both the products.

AGRICULTURAL PRODUCT

Here the company’s products are first sent to its distributors. There are about 22

distributors of Excel for its agricultural product all over the Gujarat. The distributors are

the major stockiest of the products. These distributors sale specific amounts of product to

the dealers or retailers. The dealers serve as an important link between the company and

the consumer. They are the actual risk bearers.

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CHANNEL OF DISTRIBUTION

Excel Crop Care Ltd .

State Distributors

District Distributors

Wholesalers

Retailers

Consumers

Industrial Product

The group of consumer for the industrial product is small and also most of these

products manufactured here at the Kutch site are exported. No need is felt for distributors

or retailers. Here zero level channel of distribution is used i.e. the products directly reach

at their ultimate consumer.

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SALES PROMOTION

“Sales promotion” consist of a diverse correction of incentive tools mostly shout

tram designed to simulate quicker or greater purchase of particular products or services

by consumers or the trade.

Sales promotion is an important instrument in marketing to lubricate the

marketing effort. Today sales promotion is necessity. Sales promotion is a bridge or a

connecting link covering the gap between advertising and personal sales man ship, the

two wings of promotions.

Sales promotion includes tools for :-

1) consumer promotion

2) Tread promotion

3) Business and sales force promotion

Purpose of Sales Promotion :-

Sales promotion offers an “incentive” to buy. These incentives type promotion are

used.

1) To attract new tiers. 2) To reward loyal customers 3) To increase repurchase rate of occasional users.

Sales promotions are very effective.

1) When a new brands is introduction 2) When a major improvement. In the existing product has to be communicated to

the customers.3) When we want to amplify the results of the advertising4) When we want to increase the number of retail stores to sell our products.

The purpose of promotion is to attract new customers in order to reward loyal

customers and to increase the repurchase rates of occasional users. Promotion activity has

specific purposes which are as under

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It is an impotent activity being performed by the marketing department of the

Excel Crop Care Ltd. to increase the sales volume it use some good criteria for sales

promotion.

1) Credit facility

The company allow 30 days’ credit facilities to all its customers. If necessary this

limit is Extended

2) Discounts & Allowance

The company provides trade discount and sales discount to the dealers so that they

sell more.

3) Commission and gift

The company gives commission to those dealers who sell maximum apart from

this other incentives like rewards, gifts Special discount etc. are given by the company to

its. Dealers on selling maximum.

4) After sales service

The company maintains constant touch with its customers even after sales in case

if the goods are damaged the cost of replacement is from borne by the company. Instant

steps are taken by the company against the complaints received from the customers. The

company explains the complete usage of products along with its usage procedure,

benefits, disadvantages etc. To its users i.e. the farmer through project slides,

demonstration, pamphlets etc. Incase if they later on come up with doubts and queries.

The company tries to help them out as soon as possible.

5) Publicity

In order to attract new customers, the company held meetings, conferences etc.

where in the perspective usage of its products are called to attend them executions are

also held for the same.

So from the above, one can say that Excel Crop Care Ltd. has well diversified and

well developed sales promotional framework.

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ADVERTISING

Advertising is a primarily a private enterprise marketing tool. Advertising is a cost

effective way to disseminate the message in developing and advertising programme.

Marketing manger must always start by identifying the target market and buyers motive.

Advertisement is any paid form of non personal presentation and promotion of

ideas goods and services by an identified sponsor.

Advertisement is one of the four major tools companies use to direct successive

communication to target buyers and public. Advertising may be defined as any paid form

of non personnel presentation and promotion of ideas, goods or services by an identified

sponsor organization obtain their advertising through different medias.

In Excel all manufacturing branches advertising work is bundled by the head

office at Mumbai Excel adopted the medias for advertisement on following two ways

Advertising

Audio (Radio) Printed Posits

Video (Television ) Weakly Advertisements

in magazines and

Newspapers

Demonstration Calendars

Company gives the advertisement according to several states. It means in regional

language. In the media of video vision they arrange a show in village.

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As far as Excel industries ltd is concerned advertisement media used by the

company are as under:

1) A series of the literature for the actual consumer i.e the former communicating the

befits and the instruction for the use of the product

2) Set of literature for student in education

3) Well printing and posters.

4) Calendars

5) News papers and magazines advertisement

6) Radio advertisement

7) Demonstration in village

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MARKET RESEARCH

Marketing research is a management tool that involves the top management to

learn more about the most appropriate “marketing must” . It is the intelligence service of

the industry capable of furnishing ideal solution to different marketing problems that arise

in day to day business. Marketing research is the systematic design collection analysis

and reporting of data the finding relevant to a specific marketing situation facing the

company.

Marketing research mostly involves brand performance, product usage,

advertisement awareness, sales promotion, physical distribution, dealer’s behavior

competition and so on. As the work of advertisement the head office at Mumbai does the

work of marketing research.

The scope of marketing research stretches from the identification of consumer

wants and needs of the evaluation of consumer satisfaction. It includes research in respect

of consumers product, sales, distribution channel, advertising, pricing and physical

distribution. It also covers sales forecasting for company’s product which has been dealt

with planning of marketing operations.

As far as Excel Crop Care Ltd. is concerned for marketing research following two

steps they have to take into consideration.

1) Present situation

2) Planning and forecast

Excel has established two researches

In this institution they make the efforts for water management, try to reduce the

pollution and for other research activity from the forecast of future atmosphere they can

forecast about the future demand in the market.

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CONCLUSION

I would like to mention here following plus points in the marketing department.

1. Excel has very wide domestic as well as international market.

2. Excel’s segmentation is based on four zones east, west, north, south.

3. Excel industry ltd in Kutch site, produce five products.

4. Product planning are made with the help of stock of raw material, marketing

department

5. Excel capturing the 651% market in its Agriculture product

6. Excel fixes the price with the consideration of all types of cost and desire profit.

7. Excel has one, two and three level channel for distribution.

8. For sales promotion Excel provide attractive discount and arrange Exhibition.

9. Excel does not believe in advertisement rather than it believes in quality. However

with the aim of stand in market. It advertises it product with all types of medics.

10. Excel has very strong marketing research, it takes a help of various institution

survey.

11. Excel exports its products into 40 countries.

In short market condition of Excel is very strong and it is one of the basis chemical companies of India.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT74

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5.

Finance Department

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT75

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FINANCE DEPARTMENT

CONTENTS

SR NO. PARTICULARS PAGE NO.

1 INTRODUCTION 77

2 ORGANISATIONAL STRUCTURE 78

3 FINANCIAL PLANNING 81

4 SOURCES OF FINANCES 81

5 CAPITALISATION 82

6 CAPITAL STRUCTURE 84

7 MANAGEMENT OF FIXED ASSETS 85

8 CAPITAL BUDGETING 86

9 MANAGEMENT OF WORKING CAPITAL 87

10 LEVERAGE 90

11 PROFIT AND DIVIDEND DISTR 91

12 RATIO ANALYSIS 93

13 CONCLUSION 94

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INTRODUCTION.

Finance serves as the backbone of the firm. Finance may be defined as the art and

science of managing money, financial services is concerned with the design and delivery

of advice and financial products to individuals business and governments. Financial

management is concerned with the duties of the financial managers in the business.

Financial management as an integral part of overall management can be described

in the light of the two broad areas of Economics. It emerged as distinct field of study at

the team of the 20th century.

Finance management is that managerial activity which is concerned with the

planning and controlling of the firm’s financial resources. It concealed with the planning,

raising controlling and administrating the fund in a firm. The decision regarding finance

must be properly taken by a flam.

Financial management mean procurement & Effective utilization of fund. It us

said “Business takes money to make money” It is defined as key of successful business

operation without proper administration of finance.

Excel crop care ltd has a very sound finance department but at the head- office,

the Kutch site of Excel has only cost and accounting department. This is so because all

the major decisions and functions regarding the finance except those of accounting etc are

undertaken by the head office Mumbai. The work of accounting and other functions are

performed here at the Kutch site.

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ORGANIZATION OF FINANCE DEPARTMENT

The vital importance of the financial decision to a firm makes it emergent to set

up a sound efficient organization for the finance function. The responsibility of financial

management are spread through out the organization in the sense that financial

management is to an extent, an integral part of the job for the managers involved in

planning, allocation of resources and control. Financial management is highly specialized

in nature and is handled by specialists. It is therefore, financial management functions.

Science finance is a capital functional area. The ultimate responsibility for carrying out

financial management functions lies with the top management that is board of directors

however the exact nature of the organization of the financial management function differs

from firm to firm depending upon factors such as size of the firm, nature of its business,

type of financing operation, ability of financial officers and the financial philosophy and

so on.

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ORGANIZATION STRUCTURE OF FINANCE DEPARTMENT

BOARD OF DIRECTORES

MANGEINGDIRECTORES

HEAD OF DEPARTMENT

TREASURER CONTROLLER

KUTCH UNIT

HEAD OF THE BRANCE

PLANNING ACCOUNTING EMPLOYEE INDUSTRIAL

& BUDGETTING (OFFICER) BENEFITE MANAGEMENT

(OFFICER) (OFFICER) (OFFICER)

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ORGANIZATION STRUCTURE OF ACCOUNTING DEPARTMENT

General Manager

Finance Manager

Sr. executive officer

Staff

Peon

The activities undertaken by the finance department areas under:-

1. Estimating financial requirement of the firm.

2. Searching for new sources of finance.

3. Recoding business transactions.

4. Maintaining books of accounts

5. Designing the capital structure.

6. Management of cash

7. Management of dealing with the bank

8. Fixed assets management

9. Working capital management

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FINANCIAL PLANNING.

The process of estimating the funds requirements of a firm and determining the

sources of funds is called financial planning.

FINANCIAL PLANNING MEANS

1. Estimating the amount of capital to be raised.

2. Determining the for and proportionate amount of security

3. Laying down the policies for administration of the financial plan.

Financial planning indicates a firm’s growth performance, investments and

requirements of funds during a given period of time, usually three to five year. It involves

the preparation of projected a profit and loss account balance sheet and fund flow

statement benefits of financial planning:

Identifies advance actions to be taken in various areas.

Seeks to develop a number of options in various areas that can be

exercised under different conditions.

Facilitates a systematic exploration of interaction between investment and

financing decisions.

Clarifies the links between present and future decision.

Forecasts what is likely to happen in future and hence helps in avoiding

surprise.

Ensures that the strategic plan of the firm is financial viable.

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CAPITALIZATION

Capitalization is an important constituent of a financial plan according to the

board interpretation. The term capitulation is synonymous to the term “Financial

Planning”. But according to the narrow interpretation, the term capitalization refers to the

process of determining quantum of long term funds that an enterprise would require to

run its business.

Capitalization means the process of building up the capital structure and topping

the sources to mobilize the capital in the form of share or loans or researcher. A Company

may be under capitalization and over capitalization or fair capital

A company is under capitalized if its real value is more than the book value of

share.

A company is an over capitalizes if its real value is less than the book value of

share.

A company is fair capitalized if its real value is equal to the book value of share.

In any company capitalization should be well balanced where companies

resources can be utilized fully. At Excel crop care ltd the rate of return on equity capital is

too high but it is properly capitalized.

Book value of share. = Capital + Reserves & surplus

No.of share.

Real value of share. = Capital of earning

No. of shares.

Because capitalization of earning. = Net earning * 100

Expected data of return

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CAPITAL STRUCTURE

The term capital structure refers to the proportion of debt and equity capital. The

financing decision of a firm relates to the choice of the proportion of there sources to

finances the investment requirement.

The importance of an appropriate capital structure is, thus there is a viewpoint that

strongly support the close relationship between leverage and value of a firm. There is an

equally strong body of opinion which believes that financing mix all the combination of

debt and equity has no impact on the share holders wealth and the decision on financial

structure is irrelevant. In other word there is nothing such as optimum capital structure.

Capital structure can affect the value of a company by affecting earnings all the

cost of capital all both. The capital structure decision can influence the value of the firm

through the earning available to the share holders. But the leverage can largely influence

the value of the firm through the cost of capital.

The capital structure of excel crop care ltd as on 31-3-05 is as below:-

Share capital Rs.(Lacs)

Reserve & surplus 550.28

Secured loan 6773.80

unsecured loan 5979.07

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MANAGEMENT OF FIXED ASSETS

Fixed assets one long term assets i.e. the assets that remain with the company for

more than one year. Here in huge investment are to be made. These assets give benefits

for long term and so that can be used for carefully.

Due to these reasons Excel crop care ltd gives high importance to the management

of fixed assets also it needs to do if as it is manufacturing unit.

At the KUTCH site of Excel crop care ltd all the manufacturing plants are well

Excel has adopted the straight line method of depreciation.

Rs. (Lacs)

Fixed assets 10092.45

Depreciation 3962.02

Net assets 6130.43

Fixed Assets Turnover Ratio

This ratio shows the efficiency and profitability of the business when the ratio is

less then one the efficiency of the firm is low which shows the fixed assets are not used

optimally but if the ratio is more then one the firm is said to the efficiently

Excel’s Fixed assets loan over ratio.

= sales

fixed assets

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CAPITAL BUDGETING

Capital budgeting decisions pertain to fixed all long term. assets which are in

operation of assets which are in operation return over a period of time usually exceeding

one year. Capital budgeting is employed to evaluate the capital expenditure decision that

involves the current outlay but beneficial for the company over a period of time. period

longer then one year. This benefits which company gets by the capital budgeting

decisions are in firm of increase revenue of decrease the cost there fore capital

expenditure involves disposition modification addition and replacement of fixed assets.

Capital budgeting is the process of evaluating and selecting long – term

investments that are consistent with the goal of share holders (owners) wealth

maximization.

Capital budgeting decisions are of paramount importance in financial decision

marking in the first place such decisions affect the profitability of a firm they also have a

bearing on the competitive position of the enterprise manly because of the fast that they

relate of fixed assets the fixed assets represent in a sense. The true earning assets of the

firm they enable the firm to generate finished good That am ultimately be sold for profit

include budgeting process include but inter elated four distinct but inter reelected steps

used to valuate and select long – term proposals:- proposal generation evaluation

selection and follow up.

The head office at excel industry considers all the function of each plant. In

capital budgeting future plan are also taken into consideration and target given to each

manufacturing brands in production.

At Excel crop care ltd following are the capital budgeting.

Rs. (Lacs)

Share capital 550.28

Receiver and surplus 6773.80

Fixed assets 10092.45

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MANAGEMENT OF WORKING CAPITAL

The goal of working capital management is to manage the firm’s current assets

and liability in such a way that a satisfactory level of working capital is maintained. The

working capital management is concerned with the problems that arise in attempting to

manage the current assets refers to those assets which in the ordinary course of business

can be or will be converted into cash within one year.

There are two concepts of working capital gross and Net.

The gross working capital means the current assets which represent the proportion

of investment that circulates from one form to another in the ordinary conduct of

business. While net working capital is current assets and current liabilities or alternatively

the portion of current assets financial with long- term funds.

1. Inventory Management

Inventory are the goods held for eventual sales by the firm. They are one of the

major elements which help the firm in obtaining the desired level of sale. Inventory can

be classified into three groups

1. Raw material

2. Work in progress

3. Finished goods

Inventory represents the second targets assets category for manufacturing companies

next only to plant and equipment. The proportion of inventories to total assets

Excel Crop Care Ltd has a seasonal market for many of its products so the company

requires to store enough stocks of inventories for the purpose of packing and storing of

finished good. Excel has three store rooms for storming costly and sensitive raw material

and finished goods, the company has an A.C. store room, Excel follows FIFO method of

pricing, Excel has adopted the following two method of inventory management.

1) Economic order quality.

2) Selective inventory control.

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These techniques help excel to determine an optimum inventory level. The optimum

inventory level is that level which minimizes the total of ordering and carrying costs.

Both of the above mentioned technologies are used by the company at the same time.

These techniques not only control the inventory level but also assure uninterrupted

production process by judging proper re-order level and safety stock.

In Excel each branch does its own inventory management which calculates its safety

stock and re-order level and order for the raw material to the head office when it reaches

the re-order level decided by it.

So, on the whole it can be said that Excel has adopted a scientific inventory control

system which is effectively and efficiently applied to day to day working. Due to this, it

might never face a crisis of inventory.

2. Management of Receivables

Receivable means debit owned by the company arising from sales all any other

ordinary course of business.

The sale of goods on credit is an essential part of modern competitive business. Infect

credit sales treat as a marking toil to with sales.

Excel crop care ltd is investing considerable portion of working. Capital in trade

creditor book debt so it should be managed well can has fixed up to 30% of working

capital in book debt the firm’s investment in receivable to depend up on collection of

period.

1) The value of credit sales

2) The collection of period

Excel crop care ltd have adopted selective credit policy so it does not grant credit to

very customer but only those whose financial position is good and payment are favorable,

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Generally company grant a credit of three months, so companies collection efforts are

minimum. Thus company have got very favorable condition in granting trade credits.

Excel crop care ltd has developed such an optimum credit policy through its

management, which is giving marginal balance of cost and benefits. Excel’s liquidity

position is very good so it is intestines more and more in book debts to attract the

customer.

1. Cash Level Bank Management

Cash is the most liquated assets that a business owner has. It includes money and such

instruments as cheques, money order or bank draft, which banks normally accept for

deposit on immediately credit to the deposit account. Cash is the sole assets at the

commencement and the termination of business, planning for cash requirement is

essential managerial function of any business.

In Excel crap care and 1td each branch and each plant locations prepare cash budget

twice in a month. And many additional cash budget for short time and long period are

also prepared to make cash planning more effective. In every 15 days they prepared

summary of cash inflow and out blow and find out surplus or credit and there after it is

sent to head office provides cash.

Now on the basis of cash budget prepared by different branches and location the head

office prepared overcall call cash budget of the firm. The company is maintaining cash

and bank balance very properly. Mainly financial department of Kutch unit is engaged in

cash planning.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT88

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OPERATING LEVERAGE

Operating leverage is caused due to fixed operating expenses in firm. The

leverage associated with investment activities is referred to as operating leverage.

Operating leverage results from the existence of fixed operating expenses in the

firm’s income stream. The operating leverage may be defined as the firm’s ability to used

fixed operating leverage costs to magnify the effects of changes in sales on its earnings

before interest and taxes. Operating leverage accuse any time a firm has fixed costs that

must be met regardless of volume.

In Excel Crop Care Ltd Operating leverage is as under.

Operating leverage = Contribution

Operating cost

Financial Leverage

Financial leverage is caused due to fixed financial costs in firm. It is defined as the

ability of firm to use fixed financial charges to magnify the effects of changes in EBIT on

the earning per share.

Financial Leverage involve the use of funds obtained at a fixed cost in the hop of

increasing the return to the share holders. Financial leverage results from the presence of

fixed financial charges in the firm’s income stream. These fixed charges do not very with

the earnings before taxes. They are to be paid regardless of the amount of EBIT available

to pay them.

Excel crop care ltd has employed debenture and term loan in its capital structure.

If company is earning is higher than it is called unfavorable leverage.

Financial leverage = EBIT

EBIT- Interest

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT89

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PROFITABILITY AND DIVIDEND DISTRIBUTION

Profit is the primary objective of business. Excel is an industry when in heavy

investment is involved therefore profit is very essential for its sound working and

maintenance, no single company can survive without profit for a long time profit receipts

the efficient performance of the firm and effective and optional utilization of its

resources.

Excel crop care ltd is marking profits since many years and has a strong and sound

financial positions with few ups and downs. The ten years highlights of its magnificent

performance is attached behind. Profit is the life blood of any business. As blood is

important for life same profit is important for survival of business.

Excel crop care ltd makes profit gradually from many years and it has strong

financial position. In excel crop care ltd. There is increase, in profit every year, which is

as under.

YEAR PROFIT (LACS)

1997-98 896.16

1998-99 2363.81

1999-00 2119.52

2000-01 441.25

2001-02 725.11

2002-03 316.37

2003-04 1038.99

2004-05 2221.62

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RIGHT, BONUS, CONVERTIBLE BONDS ISSUES & FUND RAISING

1) Right issue

Authorized capital means the amount of capital that a Company can potentially

represents the authorized capital. We cam also said that it is the amount which a company

can raised from the ordinary share holders and cam be changed in the Prescribed manner.

The amount which a company offered or Call up the share holders or invertors is called

issue capital. So this issued capital is also a part of authorized capital. The subscribed

capital is the capital which is subscribed to the investors and it is the part of subscribe

capital. It is that amount which a company received from share holders. The advantages

of this capital are enjoying controlling power right to control, voting system limited

liability.

2) Bonus

Excel industries Ltd is providing bonus to its workers and employees on diwali

and other festivals. Employees, managers and workers get same bonus on the festivals.

3) Convertible Bond Issue

Similar to promissory note bonds represents creditor –ship securities. As a secured

instrument, it is promise to pay interest and repay principal at stipulated times. The

convertible bonus provides flexibility to the company to redeem there prematurely.

Generally firms issue bonds presumably at low rate of interest when market condition is

affordable to redeem such bonus. In other words, the firm refunds its debt.

4) Fund Raising Through Public Deposit

People keep their savings with the company in the form of deposit for a period of

six months to 3 years. The ratio of interest is different for public deposits of different

maturity. The company meets it’s requirement of working capital by accepting deposit

from the public. The rate of interest on these deposits is generally greater than that on the

bank deposits. Hence people are induces to keep their savings as public deposit rather

than bank deposit. The business units need not mortgage their assets to obtain public

deposits. There fore, public deposits tend to be more flexible than the bank loans. At

present most of the company’s prefer public deposits as a source of short term capital.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT91

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RATIO ANALYSES

Ratio analyses is a widely used tool of financial analyses it can be used to

compare the risk return relationship of firms of different size. It is defined as the

systematic use of ratio to interpret the financial statements so that the strengths and

weaknesses of a firm as well as its historical performance and current financial condition

can be determined. The term ratio refers to the numerical or quantitative relationship

between the two items. Ratio analysis is a systematic use of ratio to interpret the

performance and status of the firm.

1. Current ratio = Current assets

Current liabilities

= 6770.53

7304.11

2. Net profit ratio = Net profit x 100

Net sales

= 2192.78

41548.23

= 5.281

3. Gross profit ratio = Gross Profit Ratio

Net Sales

= 3895.25 x 100

41548.23

= 9.38%

4. Reserves to Sales Ratio = Reserves x 100

Sales

= 6773.80 x 100

41548.23

= 16.30%

5. Debt Equity Ratio = Debt

Equity

= 9222.94

7324.08

= 1.26%

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT92

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CONCLUSION

After obtaining the information of it, I find the following important facts in

financial. Management department.

All works are according performed with the help computer and expert employer

The General manager takes the essential and final financial decision.

There are two types of financial planning long term and short term

Excel has very good capitalization.

Book value of share and real value of share has very small difference so there is

no position of under and over capitalization.

The General manger monitor the site fixed assets management.

Fixed assets turn over ration is 3.51 lacs.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT93

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6.

SWOT Analysis

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT94

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INDEX

Sr. No. Particulars Page No.

1 Strength 96

2 Weakness 96

3 Opportunities 96

4 Threats 96

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SWOT ANALYSIS

1. Strength

In this unit the main positive as strength of the company is the unity among the members.

Production process is highly modern technology that’s why the process is very fast.

2. Weakness

They does not approach in Foreign Countries.

3. Opportunities

To produce raw material in their company. If the company re-engineers its infrastructure,

it has a very good future to be with.

4. Threats

It should rather focus on any one kind of product there are also the product there are also

the threats like seasonal. In rainy season they can’t produced product in time.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT96

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7.

Future Plans

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FUTURE PLAN

The company is planning to develop and improve the products which would

Increase their revenue.

The company feels these changes will have great demand in India & are putting in

their best efforts to make the products successful.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT98

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8.Suggestion

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT99

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SUGGESTION

It appears that Excel Crop Care Ltd. has put a restriction on itself as far as

marketing opportunities are concerned, by appointing dealer/distributors who are the real

marketing outlets. They should try & penetrate more in major industrial towns.

At present the company develops products or makes improvements in

existing products as per the demand in the market. Whereas this units competitors are

much better equipped with research and development facilities which helps them produce

better products. Thus I find that research and development effort is lacking in this unit.

This industry will face drop in business sooner or later, specially because

of environment factors. All over the world usage of this type of machines are being

discourage, the reason being awareness of people & the harm being caused by it to the

environment. In this view, I feel that they should draw a diversification plan, so that they

can put their existing infrastructure to the best possible use and so that they can continue

to be in the business.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT100

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9.

Conclusion

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT101

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CONCLUSION

Excel Crop Care Ltd. has a very large and well established personnel department

also, the importance of personnel function is well appreciated by the employee as well as

the management.

On the whole I can conclude that –

(1) Excel has a well formed organizational structure which clearly depicts the

relation-ship between its different members.

(2) The functions of recruitment selection and induction are well managed by

Excel Crop Care Ltd. resulting into the employment of best available

personnel.

(3) The working atmosphere providing to its employees very conclusive for their

development.

(4) The company also takes up variation steps to train and develop its employees

through it EITEAN department.

(5) Performance and not seniority is consider for promotion criteria.

(6) Performance appraisal is considered as the most important function of

personnel department by Excel Crop Care Ltd. as it aims at organizational

development through qualitative individual development.

(7) In Excel Crop Care Ltd. there exists a finest wage and salary administration

structure.

(8) Employee’s safety is the honest thing kept mind by the company. So a special

safety department has been develop where in each employee is made to

understand the usage of safety instruments given to him.

(9) Employee’s satisfaction is given at most importance by Excel Crop Care Ltd.

for this “Family approach” steps in whenever the employee feels discounted.

(10) Trade Union and their rights are not at all neglected by the company.

(11) No strikes have taken place at any time in the history of Excel Crop Care Ltd.

Excel Crop Care Ltd. maintain very smooth and co-operative, relations with

both insiders and outsiders.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT102

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10.Bibliograph

y

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT103

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BIBLIOGRAPHY

1. Aswathappa k. – Human resource & personnel management. Published by Tata

Mc. Graw Hill.

2. Khan and Jain – Financial Management.

3. Philip Kotler – Marketing Management – Published by Prentice Hall of India

Private limited.

Hiren R. Maheshwari, S.Y., B.B.A. CHRIST COLLEGE, RAJKOT104