Overview_on_Parle-G_Company

Chapter 1 INTRODUCTION TO PROJECT
India Biscuits Industry is the largest among all the food industries and has a turnover of around Rs.3000 crores. India is known to be the second largest manufacturer of biscuits, the first being USA. It is classified under two sectors: organized and unorganized. Bread and biscuits are the major part of the bakery industry and covers around 80 percent of the total bakery products in India. Biscuits stand at a higher value and production level than bread. This belongs to the unorganized sector of the bakery Industry and covers over 70% of the total production. India Biscuits Industry came into limelight and started gaining a sound status in the bakery industry in the later part of 20th century when the urbanized society called for readymade food products at a tenable cost. Biscuits were assumed as sick-man's diet in earlier days. Now, it has become one of the most loved fast food products for every age group. Biscuits are easy to carry, tasty to eat, cholesterol free and reasonable at cost. States that have the larger intake of biscuits are Maharashtra, West Bengal, Andhra Pradesh, Karnataka, and Uttar Pradesh. Maharashtra and West Bengal, the most industrially developed states, hold the maximum amount of consumption of biscuits. Even, the rural sector consumes around 55 percent of the biscuits in the bakery products. The total production of bakery products have raised from 5.19 lakh tones in 1975 to 18.95 lakh tones in 1990. Biscuits contributes to over 33 percent of the total production of bakery and above 79 percent of the biscuits are manufactured by the small scale sector of bakery industry comprising both factory and non-factory units. The production capacity of wafer biscuits is 60 MT and the cost is Rs.56,78,400 with a motive power of 25 K.W. Indian biscuit industry has occupied around 55-60 percent of the entire bakery production. Few years back, large scale bakery manufacturers like Cadbury nestle, and broke bond tried to trade in the biscuit industry but couldn't hit the market because of the local companies that produced only biscuits. The Federation of Biscuit Manufacturers of India (FBMI) has confirmed a bright future of India Biscuits Industry. According to FBMI, a steady growth of 15 percent per annum in the next 10 years will be achieved by the biscuit industry of India. Besides, the export of biscuits will also surpass the target and hit the global market successfully. GROWTH in the over 40-year-old Indian biscuit industry has remained slow. Back-of-the-envelope calculations will show that per

capita consumption is less than Rs 3 per month on biscuits or less than Rs 15 per household per month. According to the Federation of Biscuit Manufactures of India (FBMI), the biscuit industry in India in the organized sector produces around 60% of the total production, the balance 40% is contributed by the unorganized bakeries. The production by organized players is estimated to be 1561, 000 tones, for the year 2005, which means if we include the unorganized sector the total tonnage should be at least 2,600,000. The industry consists of 3 large-scale manufacturers, around 50 medium scale brands and 2500 smallscale units in the country. The unorganized sector is estimated to have approximately 30,000 small & tiny bakeries across the country. The major brands are - Britannia, Parle, ITC, Priyagold, Cremica, Dukes, Anmol, Priya, etc besides various regional and state brands. Biscuit industry, which was reserved in the small-scale industry sector, was unreserved in 1999-2000, based on the recommendations of the Abid Hussain Committee.

The annual production of biscuit in the organized sector continues to be predominantly in the small and medium scale sector before and after de-reservation. Biscuit production witnessed an annual growth of 10% to 12%, up to 2001-09.

Annual Growth of Biscuits in India

Chapter 2 RESEARCH METHODOLOGY

Primary Data Collection

Secondary Data Collection

Def.: Primary data are original first hand data Def.: Secondary data are published by some collected by the researcher through surveys, outside agency like trade journal for research interviews, observation & experimentation. purpose. Such data already exist somewhere Questionnaires are used for the collection of having being collected for some other primary data. Such data are more valuable as purpose. the data are fresh, reliable & tailor-made. Primary data will be collected from•

Secondary data will be collected from• Books, journals & internet sites.

Customer‘s feedback by questionnaire.

OBJECTIVE OF THE STUDY
The project ?Parle company -An overview? to fulfill the following objective: To understand about the various policy of the company. • • • To search the company performance and their talent pool requisition To indicate the true efficiency. To understand the employees thinking towards the present recruitment policies of the

company. • To know that how company earn profit with such a low cost.

Chapter 3

Company Profile
FOOD INDUSTRY….. Food-processing industry is significant for India‘s development because it has important Link and synergy with industry and agriculture, the two main support of the economy. Total Size of food-processing industry is around US $40 billion growing at 10% and the size of Processing sector is estimated to be US $2.53 billion. The industry is mainly unorganized With 75% of the processing units belonging to the unorganised category, the organised Category though small, is growing fast. The food production is expected to double in the Next 10 years and the consumption of value added food products is expected to grow at a Much faster pace. This growth will benefit the economy, increase agricultural yields, Create employment and raise the standard of living of various associated people. Rising Consumer affluence and economic liberalization is opening up new opportunities in the Sector.

The food-processing industry has been identified as a focus area for development and has Been included in the priority-lending sector. Most of the food-processing industries with the Exception of beer & alcoholic drinks and items reserved for small scale sector, like vinegar, Bread and bakery have been exempted from the provisions of industrial licensing under Industries (Development and Regulation) Act, 1951. Automatic approval up to 100% of Equity in case of foreign investment is available for most of the processed food items.

Parle –The world of Happiness
Parle Products (Parle) is an Indian manufacturer of cookies and confectionery (including toffees, candies, savories, and mints). The company has a 40% share of the Indian biscuit and a 15% share of the confectionery market within the country.

The companies major biscuit brands include Parle-G, Monaco and Krackjack; with principle confectionery brands comprised of Melody, Poppins, Mango bite and Kismi. Parle‘s production facilities include a flagship plant in Mumbai, producing biscuits and confectionary; while another factory at Bahadurgarh, Haryana manufactures biscuits. Apart from this, Parle has manufacturing facilities at Neemrana, Rajasthan and at Bangalore, Karnataka. The factories at Bahadurgarh and Neemrana are amongst the largest biscuit and confectionary manufacturing facilities in India. In addition, to complement its wholly-owned facilities, the company has a further 14 manufacturing units for biscuits; and five units for confectioneries operating under contract. The company‘s distribution network is a major strength for Parle. Parle products are made available to consumers, even in the most remote places and in the smallest of villages. The company has around 1,500 wholesalers, serving in excess of 425,000 retail outlets. In addition, Parle maintains a 200 strong dedicated field sales force to service wholesalers and retailers. The company also has 31 depots and cost and freight (C&F) agents supplying goods to the distribution network.

Parles marketing philosophy emphasizes catering to the masses. Consequently, most Parle offerings are in the low and mid-range price segments. However, the company also manufactures a variety of premium products for up-market, urban consumers.

Parles international operations consist of serving markets in the Middle East, Africa, South America, Sri Lanka, Australia and North America. A concerted effort is made to target Indian expatriate communities in these countries. To further enhance its international reputation and open up new markets, the company is in the process of obtaining an ISO certification. Parle Products emerged in British dominated India. The intent was to spread joy and cheer to children and adults alike, all over the country with its sweets and candies. Since then, for almost 80 years, Parle Products has been India‘s largest manufacturer of biscuits and confectionery. Makers of the world‘s largest selling biscuit, Parle-G, and a host of other very popular brands, the Parle name symbolizes quality, nutrition and great taste. With a 40% share of the total biscuit market and a 15% share of the total confectionary market in India, Parle has grown to become a multi-million dollar company. While to consumers it‘s a beacon of faith and trust, competitors look upon Parle as an example of marketing brilliance. Hygiene is the precursor to every process

at Parle. Using the most modern equipment, ensuring the same perfect quality across the nation and abroad; we deliver the best product of long-lasting freshness. With products designed keeping both health and taste in mind, Parle appeals to both health conscious mothers and fun loving kids. The great tradition of taste and nutrition is consistent in every pack on the store shelves, even today. The value-for-money positioning allows people from all classes and age groups to enjoy Parle products to the fullest. Parle products have been shining with the golds and silvers consistently at the Monde Selection ever since they were first entered in 1971. Monde Selection is an international institute for assessing the quality of foods and is currently the oldest and most representative organization in the field of selecting quality foods worldwide. Parle has more than 50 manufacturing units and equal number of distribution points spread all over India and abroad.

Annual production Fig. of Parle Products

GLORIOUS HISTORY OF PARLE-G

Parle-G has been a strong household name across India. The great taste, high nutrition, and the international quality, makes Parle-G a winner. No wonder, it's the undisputed leader in the biscuit category for decades. Parle-G is consumed by people of all ages, from the rich to the poor, living in cities & in villages. While some have it for breakfast, for others it is a complete wholesome meal. For some it's the best accompaniment for chai, while for some it's a way of getting charged whenever they are low on energy. Because of this, Parle-G is the world's largest selling brand of biscuits. Launched in the year 1939, it was one of the first brands of Parle Products. It was called Parle Glucose Biscuits mainly to cue that it was a glucose biscuit. It was manufactured at the Mumbai factory, Vile Parle and sold in units of half and quarter pound packs. The incredible demand led Parle to introduce the brand in special branded packs and in larger festive tin packs. By the year 1949, Parle Glucose biscuits were available not just in Mumbai but also across the state. It was also sold in parts of North India. The early 50s produced over 150 tones of biscuits produced in the Mumbai factory. Looking at the success of Parle-G, a lot of other me-too brands were introduced in the market. And these brands had names that were similar to Parle Glucose Biscuits so that if not by anything else, the consumer would err in picking the brand. This forced Parle to change the name from Parle Glucose Biscuits to Parle-G. Originally packed in the wax paper pack, today it is available in a contemporary, premium BOPP pack with attractive side fins. The new airtight pack helps to keep the biscuits fresh and tastier for a longer period. Parle-G was the only biscuit brand that was always in short supply. It was heading towards becoming an all-time great brand of biscuit. Parle-G started being advertised in the 80's. It was advertised mainly through press ads. The communication spoke about the basic benefits of energy and nutrition. In 1989, Parle-G released its Dadaji commercial, which went on to become one of the most popular commercials for Parle-G. The commercial was run for a period of 6 years.

Parle-G grew bigger by the minute. Be it the packs sold, the areas covered or the number of consumers. It became a part of the daily lives of many Indians. It wasn't a biscuit any more. It

had become an icon. The next level of communication associated the brand with the positive values of life like honesty, sharing and caring. In the year 1997, Parle-G sponsored the tele-serial of the Indian superhero, Shaktimaan that went on to become a huge success. The personality of the superhero matched the overall superb benefits of the brand. Parle extended this association with Shaktimaan and gave away a lot of merchandise of Shaktimaan, which was supported by POS and press communication. The children just could not get enough of Parle-G and Shaktimaan. In the year 2002, it was decided to bring the brand closer to the child who is a major consumer. A national level promo - `Parle-G Mera Sapna Sach Hoga' was run for a period of 6 months. The promo was all about fulfilling the dreams of children. There were over 5 lakh responses and of that, over 300 dreams were fulfilled. Dreams that were fulfilled ranged from trips to Disneyland at Paris & Singapore; free ride on a chartered plane; 20 scholarships worth Rs 50,000; a special cricket coaching. The year 2002 will go down as a special year in Parle-G's advertising history. A year that saw the birth of G-Man - a new ambassador for Parle-G. Not just a hero but also a super-hero that saves the entire world, especially children from all the evil forces. A campaign that is not just new to the audiences but one that involves a completely new way of execution that is loved by children all over the world – Animation To make the brand much more interesting and exciting with children, it was decided to launch a premium version of Parle-G called Parle-G Magix in the year 2002. Parle-G Magix is available in two exciting tastes - ?Cocoh‘ and ?Cashew‘. The year 2002 also witnessed the launch of Parle-G Milk Shakti, which has the nourishing combination of milk and honey, especially launched for the southern market. Parle-G continues to climb the stairs of success. Take a look at the global market where it is being exported. First came the Middle East then USA followed by Africa and then Australia. An Indian brand, that's exported to almost all parts of the world. After all that's what you would expect from the Parle-G World's Largest Selling Biscuit.

RECENT TRENDS

This is according to a study done by Market Search, a Mumbai-based market research agency which has attempted to explain the dynamics of the Indian biscuit market. Having just two national players, Parle and Britannia, the prices have remained almost constant for the past few years in most categories and in some categories the prices have actually decreased to 1997-98 levels. As per the study, the market is even now dominated by basic biscuit categories such as Glucose and Marie which `aim to satisfy hunger' and have little success in moving up the value chain. The bottom-line is that the biscuit market seems reluctant to move up the value chain. Tracking the factors holding back the growth of the biscuit industry in India, Market Search has arrived upon the following points: • Disguised monopoly

- Although at all levels there are just two major players, Parle and Britannia, a closer look at the State-level markets show the presence of strong regional players such as Bakeman's, Praia Gold, Shalimar, Windsor and Champion - brands present in almost all markets. Thus for the two national players, each State market is similar to a perfectly competitive market, each with its own dynamics. The competitive scenario at the national level is more of a disguised duopoly than a real one. This has held the prices in check for a long time. • Freebie-driven purchase behavior

- A slew of successful gift offers/schemes from the biscuit marketers over the last two years have led to a situation where the choice of brand is driven by the gift solely and not by the brands. More and more marketing budgets are being spent on below-the-line promotions and less on brand building. According to the research, the delivery efficiency of schemes and gift offers in Indian FMCG markets is just about 60 per cent, leaving the rest of the potential customers disappointed with the brand. Apart from the long-term damage to the brands, these gift-laden schemes have started damaging the brand in the short term and even the indifference of their distribution channels at times leads to pilferage of these gifts. • Superior packaging

- However, biscuits' packaging has undergone a swift transformation. From Britannia's functional protective blister wraps, which prevent breakage, to Parley‘s stylish and enticing BOPP offering, packaging has been completely transformed. Both the players are now trying to differentiate their brands to reflect their superior quality through superior packaging. This up gradation in packaging has been neutralized by multi-unit packing, thereby effectively neutralizing the potential premium for superior packaging. • Discounts

- The other trend in this industry is the competitive discounting of popular and premium brands. This trend has not spared even the large brands, such as Parle G. Such competitive discounting, even on low-value products such as Glucose biscuits, has led to stagnation of top line and erosion of bottom-line. The impact of this is being felt in the biscuit makers' inability to invest in brand building activities and thus move the market away from the low-priced basic categories to the middle and high-end `snacking' and `indulgence'-driven categories. While the Indian market is moving towards superior products in all categories, biscuits are the odd ones out, sticking to basic products in its own category. There is still scope to finely segment the market through different value propositions in taste, need and image, as per the latest report on the biscuit market dynamics prepared by Market Search.

Chapter 4 PRODUCTION PROCESS

INGREDIENTS:

There are mainly 6 ingredients in Parle – G glucose biscuits. • • • • • • Wheat Flour. Sugar. Vegetables Oil. Milk Powder. Salt. Flavor. These materials make the glucose Biscuits tasty & eatable. And following material makes it healthy & increases the quality of a product. • • • • • • Partially Hydrogenated Edible. Invert Syrup. Iron. Calcium. Dough Conditioners. Baking Soda.

RAW MATERIAL TESTING Manufacturing process of Parle Biscuits

MIXING

MOULDING

BAKING

COOLING

PACKING

QUALITY OF PARLE

A Secret Recipe (Actual Process):The production process of company is running continuously for 24 hours. The factory is divided into 3 sections. First section is domestic product section. In this section they are manufacturing only those goods, which is sale within the boundary of country. Second section is Export goods where only exported biscuits are made. The process and the quality of products are same as Domestic product. Size and packing process is different from domestic biscuits. Exporter biscuits are smaller as compare to domestic biscuits. Third section is of yummy tasty cream biscuits. They are also manufacturing cream biscuits. This section is fully air-conditioned. Actual process of production is divided into 5 steps. Following are the steps of production process. •

Checking Of Raw Material:-

Before the starting to the actual process of making biscuits all raw material are checked in laboratory if the quality of raw material is not good then they return those raw material.

•

Mixing Of Ingredients: -

After the checking of raw material raw material are go for mixture. In mixing department 3 big mixers are working known as Steven Mixers. These mixers mix the all raw material in their appropriate ratio. Each mixer has capacity of 500 kg mixing at a time. • Moldings Section: -

In moulding section the ready mixture go from one big machine. This machine cut this mixture in a perfect size & shape of glucose biscuits. And stamp on that biscuits as Parle-G. • Baking Section: -

In baking section biscuits are go from one big oven. These ovens are categorized in eight parts. Parle agro has the biggest oven in Asia. • Cooling: After the process of baking the biscuits are very hot it should be cool before packing. For cooling, biscuit rolled through conveyer belt. • Packing: Ready biscuits are sent for packing in packing section. •

Open Rapper & Eat (Packing Process)acking process of Parle-G biscuits is different for both Domestic products and Export

goods. Packing process of product is fully automatic. There are 10 machines are setup for packing biscuits quantity wise like 200g, 1.5 kg etc. Out of 10 machines two machines are not convertible for packing different type of goods. These two machines are made only for Family pack.

For export goods they are using special Aluminum foil pack because it should be preserved for more than one year. The size of biscuits is small.

For cream biscuits, packing department is fully air-conditioned. Packing of cream biscuits is done by quantity wise.

PROCESS LAYOUT
STEPHAN MIXER

MOULDING
OVEN

CURVE

PLATE

COOLING CONVEYOR

CURVE

PLATE

MULTIPACK MACHINE STALKING TABLE

SEALING

MACHINE

BOX TAPPING

DIVERSION

BELT

CONVEYOR BELT

DISPATCH SECTION

PROCESS LAYOUT OF PARLE PRODUCTS LTD.
First of all the parley products buys RAW MATERIAL from the various suppliers and stored into the store room. This raw material is then sent to laboratory for testing and after testing only it is used for manufacturing. The raw material consist of Wheat flour, Sugar, Partially hydrogenated edible vegetable oils, Invert syrup, Leavening agents (503 Baking powder) Milk, solids Salt Emulsifiers (E 322 or E 471 or E 481) and Dough conditioners (E 223). Such a mixture of raw material is taken and mixed into STEPHAN MIXTURE, which is high power mixture machine. Specially made for mixture of dough, from which the mixture is passed to molder called ROTARY MOULDER. Through that moulder approximately 10,000 come out in a minute. Moulder had 260 cups fitted in it which gives shape to the biscuits and an impression embossed on it of parle-g. From rotary moulder the dough is passed through a 260 feet long OVEN which is approximately 340* c. In oven there are three stages to be followed • • • Removal of moisture. Building the structure of biscuits. Colourings of biscuits take place.

From oven the hot biscuits are placed on the COOLING CONVYOR, which is 260 feet long and the biscuits continues to run on it for 5 to 7 minutes so that the biscuits become cool and all the moisture that biscuits contain gets evaporated. And because of the above reason the factory has ? S - FLOW LAYOUT ? in the factory.

The conveyor continues to move to COUNTING UNIT where biscuits are counted and seen that it is going on properly or not. The conveyor continues till the biscuits reach the STALKING TABLE at which the biscuits are packed in very orderly manner. From cooling conveyor sum biscuits are diverted through AUTO FEEDING MACHINE to another stalking machine where packing is done. From stalking table the biscuits are moved on conveyor to MULTI PACK WRAPPING MACHINE were 16 biscuits are packed into a regular parle g wrapper so that the weight of 16 biscuits comes up to 100 grams. Then 24 packets of parle g biscuits are packed into a POLY BAG And after packing it into poly bag it is sent to SEALING MACHINE where it is sealed, Then it is sent to CORRUGATE BOX SECTION in which 6 poly bags are placed and Then the boxes are kept on conveyor and sent to DISPATCH SECTION from were the biscuits are sent to various places in India and all over the world.

•

INVENTORY The inventory of the company that is the raw material is of a week. They store such

inventory in storeroom and then are sent for testing in laboratory and after testing it is sent for production. • SHIFTS There is nearly 10,000 employees working in the company and are working in three shifts.35,000 tones of biscuits are manufactured in a day of one particular product, and there are such nine product manufactured in the factory. • WASTAGES There are two type of wastage in factory. First is the waste materials fallen on ground. Such waste material is of 1%, which is marginal and acceptable, which goes into total waste. Second types of waste are the biscuit collected in tray of the multi-pack wrapping machine, since these biscuit are broken they are not packed and sold to the customer but collected in other tray and sold as broken pieces and sold for less price for cattle feeding.

USE OF COST CUTTING MEASURES:For example: All the biscuits are manufactured in this factory i.e. In Mumbai one as the load of work exceeded many factories were set up in other states of India. So the cost of transportation decreases and more profit is earned. Another example is of ?Hide and Seek? one of the products of the company, for which they used to import chocolate chips from Australia but later when it was available in Chennai so the import was stopped and the cost dropped by a rupee because the duty which was on the import was high and then another supplier was found in Hyderabad and the price was again reduced by a rupee which finally ended up at 14 rupees. Parle Quality:Hygiene is the precursor to every process at Parle. From husking the wheat and melting the sugar to delivering the final products to the supermarkets and store shelves nationwide, care is taken at every step to ensure the best product of long-lasting freshness. Every batch of biscuits and confectioneries are thoroughly checked by expert staff, using the most modern equipment hence ensuring the same perfect quality across the nation and abroad. Concentrating on consumer tastes and preferences, the Parle brand has grown from strength to strength ever since its inception. The factories at Bahadurgarh in Haryana and Neemrana in Rajasthan are the largest biscuit and confectionery plants in the country. The factory in Mumbai was the first to be set up, followed soon by the one in Bangalore, Karnataka. Parle Products also has 14 manufacturing units for biscuits and 5 manufacturing units for confectioneries, on contract.

Quality commitment:

Parle Products has one factory at Mumbai that manufactures biscuits & confectioneries while another factory at Bahadurgarh, in Haryana manufactures biscuits. Apart from this, Parle has manufacturing facilities at Neemrana, in Rajasthan and at Bangalore in Karnataka. The factories at Bahadurgarh and Neemrana are the largest such manufacturing facilities in India. Parle Products also has 14 manufacturing units for biscuits & 5 manufacturing units for confectioneries, on contract. All these factories are located at strategic locations, so as to ensure a constant output & easy distribution. Each factory has state-of-the-art machinery with automatic printing & packaging facilities. All Parle products are manufactured under the most hygienic conditions. Great care is exercised in the selection & quality control of raw materials; packaging materials & rigid quality standards are ensured at every stage of the manufacturing process. Every batch of biscuits & confectioneries are thoroughly checked by expert staff, using the most modern equipment.

MATERIALS DEPARTMENT • Safe Custody (Stores Management): Storage is an unavoidable activity. It increases the value of material by simply carrying it. No transformation on any time is to be done. Stores as a vital role to play in a Parle company. Material constitute major fraction of cost like 60% to 80% of the total cost. The cost of capital block in inventories is substantial. This working capital has to be properly managed otherwise company will face heavy losses. Efficiency of storage of materials leads to better profitability. Material pilferage, spoilage, theft and careless handling may lead to heavy losses & reduce profits. Store management has supposed to caring right kind of material in right quantity. Neither in excess nor in short Material has to be provided quickly to right person and at right place whenever required.

•

Store Management of Parle agro: -

In Parle company after receiving the material from supplier it should be accounted properly. Material should standardized and calculate the proper quantity as per documents. Company stores the material in a right manner as per quality; preserve the material properly against spoilage & pilferage. Company removes the material when required. For removing the material from storeroom facilitate location should be necessary. They keep their storeroom clean & neat so the handling becomes easier. Company keeps proper control over theft, pilferage, and spoilage of goods. In company the people in store department work in discipline. Procedure has to be followed as per written policy. Minimization of scrap, surplus and position through proper inventory control and effective disposal of surplus and obsolete items. Company verifies the store ledger balances and initiates the purchasing cycle at appropriate time. So as to avoid the out of stock situations. Company coordinates & cooperates with interacting departments such as purchasing, manufacturing, planning, production and control, inspection etc.

Objectives of Material Department:The objectives of the Material Dept. are the pre defined goals or path under which the material dept. will have to carry on its process regularly. In fact it gives a direct to the material dept. in which way the material dept. increase their reputation as well as How they can sale there products in the markets? After consultation with the material manager of the company Mr. Vijay Singh we observe that the company has following objectives to be fulfilled: • • • •

The primary objective of the company is to purchase the material at lower cost. To maintain good relationship with the suppliers, dealers, manufacturers, distributors as well as with the outside people. To look after the proper keeping material in the dept. as per the standard which are being set by parle. Reduction in the wastages by the way of recycling or reutilization of the best material.

• •

Development of personal by providing them up to date and sophisticated knowledge regarding their work. To ensure quality of material being use and to make optimum utilization of available resources.

•

Waste Management:-

The company recycles the scrap materials arising out of manufacturing process. The biscuit, which is being wrongly cutted out in manufacturing process or the biscuit, which is broken from any side, or the biscuit, which is burned out from manufacturing process, the company reuses these scrap material. • Inventory:The company has maintained adequate stoke of raw materials like wheat flow, sugar,

vanaspati, milk powder, refined salt, baking soda, calcium, & iron which can satisfy the requirements of 3 days. Bunty Foods Pvt. Ltd; has 5 godowns in which 2 godowns are for keeping Parle –G products & 3 godowns are for keeping export items & 1 more godown which is under construction. These additional godowns will contain the re-export products. The company uses LIFO method for calculating the inventory levels in the company. • Make or buy or import:Bunty Foods Pvt. Ltd believes in manufacturing of biscuits within the company in order

to ensure good quality, quantity & standard, which are being set by Parle Company. In fact, Bunty Foods Pvt. Ltd is the manufacturing unit of Parle Company. The purpose behind manufacturing of total product in the company is to maintain the goodwill of the company.

Chapter 5 Conceptual framework
MARKETING DEPARTMENT • The Marketing Strength:The extensive distribution network, built over the years, is a major strength for Parle Products. Parle biscuits & sweets are available to consumers, even in the most remote places and in the smallest of villages with a population of just 500. Parle has nearly 1,500 wholesalers, catering to 4,25,000 retail outlets directly or indirectly. A two hundred strong dedicated field force services these wholesalers & retailers. Additionally, there are 31 depots and C&F agents supplying goods to the wide distribution network. The Parle marketing philosophy emphasizes catering to the masses. They constantly endeavor at designing products that provide nutrition & fun to the common man. Most Parle offerings are in the low & mid-range price segments. This is based on their understanding of the Indian consumer psyche. The value-for-money positioning helps generate large sales volumes for the products. However, Parle Products also manufactures a variety of premium products for the upmarket, urban consumers. And in this way, caters a range of products to a variety of consumers. • Parley’s Core Value:-

An in-depth understanding of the Indian consumer psyche has helped Parle evolve a marketing philosophy that reflects the needs of the Indian masses. With products designed keeping both health and taste in mind, Parle appeals to both health conscious mothers and fun loving kids. The great tradition of taste and nutrition is consistent in every pack on the store shelves, even today. The value-for-money positioning allows people from all classes and age groups to enjoy Parle products to the fullest.

•

The Customer Confidence:The Parle name conjures up fond memories across the length and breadth of the country.

After all, since 1929, the people of India have been growing up on Parle biscuits & sweets. Today, the Parle brands have found their way into the hearts and homes of people all over India & abroad. Parle Biscuits and confectioneries, continue to spread happiness & joy among people of all ages.

The consumer is the focus of all activities at Parle. Maximizing value to consumers and forging enduring customer relationships are the core endeavors at Parle. Their efforts are driven towards maximizing customer satisfaction and this is in synergy with their quality pledge. " Parle Products Limited will strive to provide consistently nutritious & quality food products to meet consumers' satisfaction by using quality materials and by adopting appropriate processes. To facilitate the above we will strive to continuously train our employees and to provide them an open and participative environment."

Marketing Mix of Parle Products Limited
• Core benefitThe core benefit of biscuits is to satisfy hunger of the consumer 2) Basic product- in the second level, the basic product is biscuits. 3) Expected product- the consumers expect the product to have a good taste and also give nutrition. 4) Augmented product- parle biscuits increase a person‘s energy levels. This is not always expected by the consumers and hence exceeds customer‘s expectations. 5) Potential product- in the future parle could come up with different products such as a snack which could be a combo of chocolate and biscuit.

ABOUT RECRUITMENT AND SELECTION Introduction
HRM is seen by practitioners in the field as a more innovative view of workplace management than the traditional approach. Its techniques force the managers of an enterprise to express their goals with specificity so that they can be understood and undertaken by the workforce, and to provide the resources needed for them to successfully accomplish their assignments. As such, HRM techniques, when properly practiced, are expressive of the goals and operating practices of the enterprise overall. HRM is also seen by many to have a key role in risk reduction within organizations The Human Resources Management (HRM) function includes a variety of activities, and key among them is deciding what staffing needs you have and whether to use independent contractors or hire employees to fill these needs, recruiting and training the best employees, ensuring they are high performers, dealing with performance issues, and ensuring your personnel and management practices conform to various regulations. Activities also include managing your approach to employee benefits and compensation, employee records and personnel policies. Usually small businesses (for-profit or nonprofit) have to carry out these activities themselves because they can't yet afford part- or full-time help. However, they should always ensure that employees have -- and are aware of -- personnel policies which conform to current regulations. These policies are often in the form of employee manuals, which all employees have. Difference between HRM (a major management activity) and HRD (Human Resource Development, a profession). HRD includes the broader range of activities to develop personnel inside of organizations, including, eg, career development, training, organization development, etc.

There is a long-standing argument about where HR-related functions should be organized into large organizations, eg, "should HR be in the Organization Development department or the other way around?" The HRM function and HRD profession have undergone tremendous change over the past 20-30 years. Many years ago, large organizations looked to the "Personnel Department," mostly to manage the paperwork around hiring and paying people. More recently, organizations consider the "HR Department" as playing a major role in staffing, training and helping to manage people so that people and the organization are performing at maximum capability in a highly fulfilling manner. Human resource management (HRM) is the strategic and coherent approach to the management of an organization's most valued assets - the people working there who individually and collectively contribute to the achievement of the objectives of the business. The terms "human resource management" and "human resources" (HR) have largely replaced the term "personnel management" as a description of the processes involved in managing people in organizations. Human Resource management is evolving rapidly. Human resource management is both an academic theory and a business practice that addresses the theoretical and practical techniques of managing a workforce. Feature: Its features include: • • • • Personnel administration Personnel management Manpower management Industrial management

But these traditional expressions are becoming less common for the theoretical discipline. Sometimes even industrial relation and employee relations are confusingly listed as synonyms although these normally refer to the relationship between management and workers and the behavior of workers in companies. DEFFINITON

Synonyms such as personnel management are often used in a more restricted sense to describe activities that are necessary in the recruiting of a workforce, providing its members with payroll and benefits, and administrating their work-life needs, Torrington and Hall define personnel management as ?a series of activities which: first enable working people and their employing organisations to agree about the objectives and nature of their working relationship and, secondly, ensures that the agreement is fulfilled" Academic theory The goal of human resource management is to help an organization to meet strategic goals by attracting, and maintaining employees and also to manage them effectively. The key word here perhaps is "fit", i.e. a HRM approach seeks to ensure a fit between the management of an organization's employees, and the overall strategic direction of the company. The basic premise of the academic theory of HRM is that humans are not machines; therefore we need to have an interdisciplinary examination of people in the workplace. Fields such as psychology, industrial engineering, industrial and organizational psychology, industrial relations, sociology, and critical theoriespostmodersition, poststructuring, play a major role. Many colleges and universities offer bachelor and master degrees in Human Resources Management. Function: One widely used scheme to describe the role of HRM, developed by Dave Ulrich, defines 4 fields for the HRM function: • • • • Strategic business partner Change agent Employee champion Administration

However, many HR functions these days struggle to get beyond the roles of administration and employee champion, and are seen rather as reactive as strategically proactive partners for the top management. In addition, HR organizations also have the difficulty in proving how their activities and processes add value to the company. Only in the recent years HR scholars and HR professionals are focusing to develop models that can measure if HR adds value.

Critical Academic Theory Indeed Karen Legge in 'Human Resource Management: Rhetoric‘s and Realities' possess the debate of whether HRM is a modernist project or a postmodern discourse). In many ways, critically or not, many writers contend that HRM itself is an attempt to move away from the modernist traditions of personnel (man as machine) towards a postmodernist view of HRM (man as individuals). Critiques include the notion that because 'Human' is the subject we should recognize that people are complex and that it is only through various discourses that we understand the world. Man is not Machine, no matter what attempts are made to change it Critical Theory also questions whether HRM is the pursuit of "attitudinal shaping, particularly when considering empowerment, or perhaps more precisely pseudo-empowerment - as the critical perspective notes. Many critics note the move away from Man as Machine is often in many ways, more a Linguistic (discursive) move away than a real attempt to recognize the Human in Human Resource Management. Critical Theory, in particular postmodernism (poststructuralist), recognizes that because the subject is people in the workplace, the subject is a complex one, and therefore simplistic notions of 'the best way' or unitary perspectives on the subject are too simplistic. It also considers the complex subject of power, power games, and office politics. Power in the workplace is a vast and complex subject that cannot be easily defined. This leaves many critics to suggest that Management 'Gurus', consultants, 'best practice' and HR models are often overly simplistic, but in order to sell an idea, they are simplified, and often lead Management as a whole to fall into the trap of oversimplifying the relationship. • Business practice

Human resources management comprises several processes. Together they are supposed to achieve the above mentioned goal. These processes can be performed in an HR department, but some tasks can also be outsourced or performed by line-managers or other departments. Recruitment (sometimes separated into attraction and selection) • • Induction and Orientation Skills management

• • • • • • • • • •

Training and development Workforce planning Personnel administration Compensation in wage or salary Time management Travel management (sometimes assigned to accounting rather than HRM) Payroll (sometimes assigned to accounting rather than HRM) Employ benefits administration Personnel cost planning Performance appraisal

Strategic Workforce Planning involves analyzing and forecasting the talent that companies need to execute their business strategy, proactively rather than reactively, it is a critical strategic activity, enabling the organization to identify, develop and sustain the workforce skills it needs to successfully accomplish its strategic intent whilst balancing career and lifestyle goals of its employees. Strategic Workforce Planning is a relatively new management process that is being used increasingly to help control labour costs, assess talent needs, make informed business decisions, and assess talent market risks as part of overall enterprise risk management. Strategic workforce planning is aimed at helping companies make sure they have the right people in the right place at the right time and at the right price Through Strategic Workforce Planning organizations gain insight into what people the organization will need, and what people will be available to meet those needs. In creating this understanding of the gaps between an organization‘s demand and the available workforce supply, organizations will be able to create and target programmers, approaches and develop strategies to close the gaps

•

Workforce analytics approach:

The focus is to analyze current and historical employee data to identify key relationships among variables and use this to provide insight into the workforce they need for the future... • Modeling approach:

This approach incorporates forecasting and scenario planning. Forecasting uses quantitative data to create forecasts incorporating multiple what-if and modeling the future. Scenario quantitative and qualitative planning being the more useful tool where there are uncertainties, therefore incorporating • Segmentation approach:

Breaking the workforce into segments along the lines of their jobs and determining relevance to strategic intent. Provides a technique for prioritizing. • Steps in Workforce Planning

Though there is no definitive ?Start here‘ activity for any of the approaches to Strategic Workforce Planning, there are five fundamentals activities that most Workforce Plan models have: • • • • • • Environment Scan Current Workforce Profile Future Workforce View Analysis and Targeted Future
Closing the gaps

Environment scanning

Environment Scanning is a form of business intelligence. In the context of Workforce Planning it is used to identify the set of facts or circumstances that surround a workforce situation or event. • Current Workforce Profile

Current State is a profile of the demand and supply factors both internally and externally of the workforce the organization has ?today‘.

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Future Workforce View

Future View is determining the organization‘s needs considering the emerging trends and issues identified during the Environment Scanning. Future View is often where the different approaches identified above are applied: Quantitative featuring: understanding the future you are currently tracking to by forecasting; Qualitative featuring: scenario planning potential alternative futures in terms of capabilities and demographics to deliver the business strategy. • Analysis and Targeted Future

Qualitative and quantitative featuring creates the content for an organizational unit to analyze and identify critical elements. As the critical elements are identified the Targeted Future begins to take form. The targeted future is the future that the organization is going to target as being the best fit in terms of business strategy and is achievable given the surrounding factors (internal/external, supply/demand). • Closing the Gaps

Closing the gaps is about the people management (human resources) programs and practices that deliver the workforce needed for today and tomorrow. The process is about determining appropriate actions to close the gaps and therefore deliver the targeted future. There are 8 key areas that closing the Gaps needs to focus on – Resourcing, Learning and Development, Remuneration, Industrial Relations, Recruitment, Retention, Knowledge Management, Job design. Recruitment refers to the process of sourcing, screening, and selecting people for a job or vacancy within an organization. Though individuals can undertake individual components of the recruitment process, mid- and large-size organizations generally retain professional recruiters. The recruitment industry has four main types of agencies. Their recruiters aim to channel candidates into the hiring organization‘s application process. As a general rule, the agencies are paid by the companies, not the candidates. The industries practice of information asymmetry and recruiters' varying capabilities in assessing candidate quality produces the negative economic impacts described by The Market for Lemons.

PURPOSES AND IMPORTANCE: In general purposes of recruitment are to provide a pool of potentially qualified job candidates. Specifically the purposes are too; Determining the present and future recruitment of the organization in conjunction with its personnel planning and job-analysis activities. • • Increase the pool of job candidates at minimum cost. Help increase the success rate of the selection process by reducing the number of visibly

under qualified or overqualified job application. • Help reduce the probability that job applicants, once recruited and selected, will have the

organization only after a short period of time. • Meet organization‘s legal and social obligations regarding the composition of its

workforce. FACTOR GOVERNING RECRUITMENT External Forces • • • • • • Supply and demand Unemployment rate Labor market Political-social Son of soil Image RECRUITMENT External Forces Recruitment policy HRP Size of the firm Cost Growth and expandsoon

TRADITIONAL RECRUITMENT Also known as employment agencies, recruitment agencies have historically had a physical location. A candidate visits a local branch for a short interview and an assessment before being taken onto the agency‘s books. Recruitment Consultants then Endeavour to match their pool of candidates to their clients' open positions. Suitable candidates are with potential employers. Remuneration for the agency's services usually takes one of two forms:

A contingency fee paid by the company when a recommended candidate accepts a job with the client company (typically 20%-30% of the candidate‘s starting salary), which usually has some form of guarantee, should the candidate fail to perform and is terminated within a set period of time.

An advance payment that serves as a retainer, also paid by the company. It may still be legal for an employment agency to charge the candidate instead of the company, but in most places that practice is now illegal, due to past unfair and deceptive practices. • Online recruitment websites

Such sites have two main features: job boards and a résumé/Curriculum Vitae (CV) database. Job boards allow member companies to post job vacancies. Alternatively, candidates can upload a résumé to be included in searches by member companies. Fees are charged for job postings and access to search resumes. In recent times the recruitment website has evolved to encompass end to end recruitment. Websites capture candidate details and then pool then in client accessed candidate management interfaces (also online). Key players in this sector provide e-recruitment software and services to organizations of all sizes and within numerous industry sectors, who want to e-enable entirely or partly their recruitment process in order to improve business performance. The online software provided by those who specialize in online recruitment helps organizations attract, test, recruit, employ and retain quality staff with a minimal amount of administration. Online recruitment websites can be very helpful to find candidates that are very actively looking for work and post their resumes online, but they will not attract the "passive" candidates who might respond favorably to an opportunity that is presented to them through other means. Also, some candidates who are actively looking to change jobs are hesitant to put their resumes on the job boards, for fear that their current companies, co-workers, customers or others might see their resumes.

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Headhunters

Headhunters are third-party recruiters often retained when normal recruitment efforts have failed. Headhunters are generally more aggressive than in-house recruiters. They may use advanced sales techniques, such as initially posing as clients to gather employee contacts, as well as visiting candidate offices. They may also purchase expensive lists of names and job titles, but more often will generate their own lists. They may prepare a candidate for the interview, help negotiate the salary, and conduct closure to the search. They are frequently members in good standing of industry trade groups and associations. Headhunters will often attend trade shows and other meetings nationally or even internationally that may be attended by potential candidates and hiring managers. Headhunters are typically small operations that make high margins on candidate placements (sometimes more than 30% of the candidate‘s annual compensation). Due to their higher costs, headhunters are usually employed to fill senior management and executive level roles, or to find very specialized individuals. While in-house recruiters tend to attract candidates for specifics jobs, headhunters will both attract candidates and actively seek them out as well. To do so, they may network, cultivate relationships with various companies, maintain large databases, purchase company directories or candidate lists, and cold call. • In-house recruitment

Larger employers tend to undertake their own in-house recruitment, using their Human Resources department. In addition to coordinating with the agencies mentioned above, in-house recruiters may advertise job vacancies on their own websites, coordinate employee referral schemes, and/or focus on campus graduate recruitment. Alternatively a large employer may choose to outsource all or some of their recruitment process (Recruitment process outsourcing).

These are the main recruiting stages. • Sourcing

Sourcing involves 1. advertising, a common part of the recruiting process, often encompassing multiple media, such as the Internet, general newspapers, job ad newspapers, professional publications, window advertisements, job centers, and campus graduate recruitment programs; and 2. Recruiting research, which is the proactive identification of relevant talent who may not respond to job postings and other recruitment advertising methods done in. This initial research for so-called passive prospects, also called name-generation, results in a list of prospects who can then be contacted to solicit interest, obtain a resume/CV, and be screened. • Screening & selection

Suitability for a job is typically assessed by looking for skills, e.g. communication, typing, and computer skills. Qualifications may be shown through résumés, job applications, interviews, educational or professional experience, the testimony of references, or in-house testing, such as for software knowledge, typing skills, numeracy, and literacy, through psychological tests or employment testing. In some countries, employers are legally mandated to provide equal opportunity in hiring. Agencies are particularly suitable for recruitment of executives and specialists. It is also known as RPO (Recruitment Process Outsourcing)

SOURCES OF RECRUIMENT • EMPLOYMENT EXCHANGES

Government establishes public employment exchanges throughout the country. These exchanges provide job information to job seekers and help employers in identifying suitable candidates.

•

LABOUR CONTRACTORS

Manual workers can be recruited through contractors who maintain close contacts with the sources of such workers. This source is used to recruit labor for construction jobs. • UNSOLICITED APPLICANTS

Many job seekers visit the office of well-known companies on their own. Such callers are considered nuisance to the daily work routine of the enterprise. But can help in creating the talent pool or the database of the probable candidates for the organization. • EMPLOYEE REFERRALS / RECOMMENDATIONS

Many organizations have structured system where the current employees of the organization can refer their friends and relatives for some position in their organization. Also, the office bearers of trade unions are often aware of the suitability of candidates. Management can inquire these leaders for suitable jobs. In some organizations these are formal agreements to give priority in recruitment to the candidates recommended by the trade union. • RECRUITMENT AT FACTORY GATE

Unskilled workers may be recruited at the factory gate these may be employed whenever a permanent worker is absent. More efficient among these may be recruited to fill permanent vacancies. Factors Affecting Recruitment RECURITMENT PROCESS PARLE’S PLANT Here the company adopted to system for recruited their staff and worker .for staff member the company adopted generally the traditional process like by the test , G.D , interview and for the worker level the company adopted the flowing process. • • • • • On gate By the contractor By the camp On the reference Thus the recruitment process of the Parle‘s in as like as the other company but one thing different the camp based selection process .I think this a different kind of process and unique itself . The company run the camp in the rural and remote area in state for the Recruitment .they conducts one week program and this time interval the select number of candidate. This helps not only the company but also the life of rural people who cut of the rest

world due to several reasons. This also helps increasing the economic and social condition of the remote area which ultimately helps the nation development.

FACTOR AFFECTING THE RECRUITMENT PROCESS: • SIZE OF THE FIRM

The size of the firm is an important factor in recruitment process. If the organization is planning to increase its operations and expand its business, it will think of hiring more personnel, which will handle its operations. • COST

Recruitment incur cost to the employer, therefore, organizations try to employ that source of recruitment which will bear a lower cost of recruitment to the organization for each candidate. Influence the recruiting efforts of the organization. If there is surplus of manpower at the time of recruitment, even informal attempts at the time of recruiting like notice boards display of the requisition or announcement in the meeting etc will attract more than enough applicants. • IMAGE / GOODWILL

Image of the employer can work as a potential constraint for recruitment. An organization with positive image and goodwill as an employer finds it easier to attract and retain employees than an organization with negative image. Image of a company is based on what organization does and affected by industry. For example finance was taken up by fresher MBA's when many finance companies were coming up. • POLITICAL-SOCIAL- LEGAL ENVIRONMENT

Various government regulations prohibiting discrimination in hiring and employment have direct impact on recruitment practices. For example, Government of India has introduced legislation for reservation in employment for scheduled castes, scheduled tribes, physically handicapped etc. Also, trade unions play important role in recruitment.

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UNEMPLOYMENT RATE

One of the factors that influence the availability of applicants is the growth of the economy (whether economy is growing or not and its rate). When the company is not creating new jobs, there is often oversupply of qualified labor which in turn leads to unemployment. • COMPETITORS

The recruitment policies of the competitors also affect the recruitment function of the organizations. To face the competition, many a times the organizations have to change their recruitment policies according to the policies being followed by the competitors.

RECENT TREND IN RECRUITMENT: Company need not plan for human resources much in advance. Value creation, operational flexibility and competitive advantage Turning the management's focus to strategic level processes of HRM Company is free from salary negotiations, weeding the unsuitable resumes/candidates. Company can save a lot of its resources and time • POACHING/RAIDING

Buying talent" (rather than developing it) is the latest mantra being followed by the organizations today. Poaching means employing a competent and experienced person already working with another reputed company in the same or different industry; the organization might be a competitor in the industry. A company can attract talent from another firm by offering attractive pay packages and other terms and conditions, better than the current employer of the candidate. But it is seen as an unethical practice and not openly talked about. Indian software and the retail sector are the sectors facing the most severe brunt of poaching today. It has become a challenge for human resource managers to face and tackle poaching, as it weakens the competitive strength of the firm. • E-RECRUITMENT

Many big organizations use Internet as a source of recruitment. E- Recruitment is the use of technology to assist the recruitment process. They advertise job vacancies through worldwide web. The job seekers send their applications or curriculum vitae i.e. CV through e mail using the Internet. Alternatively job seekers place their CV's in worldwide web, which can be drawn by prospective employees depending upon their requirements.

Advantages internal of recruitment are: • • • • • Low cost. No intermediaries Reduction in time for recruitment. Recruitment of right type of people. Efficiency of recruitment process.

RECRUITMENT POLICY 1. The recruitment policy of an organization specifies the objectives of recruitment and provides a framework for implementation of recruitment programmed. It may involve organizational system to be developed for implementing recruitment programmed and procedures by filling up vacancies with best qualified people.

2. Recruitment is a positive process i.e. encouraging more and more employees to apply WHEREAS selection is a negative process as it involves rejection of the unsuitable candidates.

3. Recruitment is concerned with tapping the sources of human resources WHEREAS selection is concerned with selecting the most suitable candidate through various interviews

4. There is no contract of recruitment established in recruitment WHEREAS selection results in a contract of service between the employer and the selected employee.

Parle organizational structure Unit head

Deputy Manager

Executives

Officer

Officer

Officer

Officer

Officer

Engineering

Mechanical

Accounts

Production

Personal

Assistance Officers

Assistance Officers

Assistance Officers

Assistance Officers

Assistance Officer

Foreman

Coordinators

Supervisor

Trannies

Assistant Operator

Helper • • • KEY STAFF: The general manager. Access to natural resources: good accessibility Position on the experience curve :more than 60 years of experience in the biscuit

manufacturing industry, it has not bothered to raise the price of its flagship brand for the past 6 years and has always tried to provide its offerings at nearly 33 percent discount to competitive brands • Operational efficiency: highly efficient production units, 4 factories of its own and 18

contract manufacturing units for biscuits 6 under PBPL. The Bahadurgarh factory prides itself of having the longest oven in Asia; automated printing and packing section. • Operational capacity: 200-250 tons per day at PBPL, Bgarh; Bahadurgarh and

Neemrana factories have the largest manufacturing facilities of biscuits. • Brand awareness: highly aware product and brand profile (esp. Parle-G, Krackjack and

Monaco) due to a strong and efficient marketing team. The other biscuits in the Parle product‘s basket include Monaco, Krackjack, and Marie; Hide n Seek, Cheeslings, Jeffs, Sixer and Fun Centre. But consumers need to be aware that are from Parle. • The marketing strength: Parle has nearly 1500 wholesalers, catering to 4, 25,000 retail

outlets directly or indirectly. A 200 strong dedicated field force services these wholesalers and retailers. Additionally, there, there are 39 depots and C& F agents supplying goods to the wide distribution network.

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Market Share: The company commands a 40% market share in the Rs .35 billion

biscuits market in India. Has established a dominant position in the glucose biscuit market share (around 65%): Marie segment (12-13%) ; sweet and salty category at 90% • Financial resources: A cash rich company having major investments. Needs to

emphasize on budgeting and cost minimization. • Patents and trade secrets: the Parle-G formula…..

EXTERNAL ANLYSIS An opportunity is the chance to introduce a new product or service that can generate superior returns. Opportunity can arise when changes occur in external environment. Much position of existing products and May necessitates a change in product specifications or developments of new products in order for the firm to remain competitive. Changes in the environment may be related to: • Customers: Customers an expectation has increased over the years, Parle needs to evolve

with the changing environment and focus upon R&D and advertising. • Competitors: the competitive scenario at the national level is more of a disguised

duopoly than a real one. A closer look at state-levels markets show the presence of strong regional players such as Barman‘s, Priyagold, Shalimar, Windsor and Champion other than the national players, Parle and Britannia. This has held the prices in check for a long time. • Market trends: Growth in the over 40 year-old Indian biscuit industry has remained

slow. Back-of -the-envelope calculations will show that per capital household per month. Hence there is immense opportunity for Parle to move up the value chain in the Indian an export market.

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Social changes: more and more marketing budgets are being spent on below-the-line

promotions and less on brand building. The freebie driven purchase behavior may lead to longterm damage of the brand. • New technology: both Parle and Britannia are now trying to different irate their brands to

reflect their superior quality through superior packaging. Being a national player, Parle can afford to concentrate on continuous technological updation. • Economic environment: a reduction in the 16% excise to 8% has proved to be a boon to

the biscuit industry.

Corporate Social Responsibility
Parle Products with its wide platter of offering of biscuits and sweets like Parle-G, Krackjack, Monaco, Melody, Mango bite and many others since 1929 is also actively engaged to change & uplift the social face of India. As a part of Corporate Social Responsibility Policy Parle is keenly involved in the overall development of younger generation with focused endeavor to built New Face of India and spread happiness & joy all over. Parle Centre of Excellence as an institution is dedicated to enrich the lives of people through conducting various cultural programs across all region to facilitate the all round development of the children. Every year, Parle organizes Saraswati Vandana in the state of West Bengal during the festival of Saraswati Puja, inviting schools from all across the state to participate. The event is one of much fanfare and celebration, keeping alive the culture and traditions of ages. Our involvement in cultural activities has seen the inception of Golu Galata in Tamil Nadu, held during Navratri. Its gives a platform to all the members of a household to showcase their creativity and being judged by immanent personalities. Thousands of families participate and celebrate the occasion on a grand scale.

These events give us a chance to interact with children on a one-to-one basis, and promote our belief of fun and health for the whole family.

Press Release:• Wicked mother hides in the kitchen, gorging on Hide n Seek Biscuits. Little Meghna comes running in, ?I want chocolate bifket? ?No chocolate biscuits. Daddy will buy some tomorrow? Little Meghna retreats, her chubby face dropping a little. Wicked mother chuckles evilly and proceeds to demolish the rest of the pack of Hide n Seek.

I wish this little story was true. Unfortunately, motherhood comes with many sacrifices, including that of the last deliciously chewy, crunchy biscuit in a pack of Hide n Seek. Hide n Seek is a version of that Chocolate chip cookie. Little chips of chocolate ?hide‘ in the biscuit. With just the right amount of sweetness, these biscuits don‘t cloy. It is heavy on the chocolaty flavors, which definitely go down well with the youngest members of my family, and I don‘t just mean my children.

However, since that taste of cocoa is strong, the sugar lovers in the family- incidentally, also the ones who have diabetes- can be heard complaining that the biscuits are rather bitter. Not true. It‘s just very chocolaty, as opposed to sugar sweet.

Wicked mother rejoices at this, since this leaves her more to gorge on.

Hide n Seek comes in nice packaging but is a little on the expensive side, around 15 INR if I am not mistaken. A good 2-3 bucks more than other biscuits. But this is also a nice thing to serve to guests, who might turn up their noses at plain Glucose or arrowroot biscuits.

They also work as great pacifiers for kids, and offer them something to chew on and keep them busy. (I know. I know!). If your hubby slams down his cup in rage at the sight of yet Good day

cashew-and-what-nots adorning the table at tea-time, trust me, feed him this and you‘ll be certified a great wife, mom and biscuit selector (just like those ads).

Store your Hide N Seek biscuits in a separate air-tight container. Do not commit the cardinal sin of storing them with other strongly flavored biscuits like, (horror of horrors) pineapple or orange cream. These flavors will overpower the subtler taste Hide N Seek.

Try crumbing these biscuits over Vanilla or Chocolate ice-cream, or over custard. But however you have it, you are sure to love it. And oh, don‘t forget to share!

2. For the second, Parle Products Private Ltd has withdrawn the variants of its chocolate-chip cookie brand, Hide & Seek. Having extended the Hide & Seek franchise early last year to two new flavors - butter and cashew badaam - the biscuit major has now restricted it to chocolatechip cookie. It has decided to bring them under the Parle franchise and re-named the same as Parle Cookies. The brand is currently being test marketed in the south.

Explaining the rationale behind withdrawing the variants, Mr. Mayank Shah, Product Manager, Parle Products Private Ltd, said: "Hide & Seek has a strong association with chocolate. It has always been accepted as a chocolate chip cookie brand and people were not ready to accept the butter and cashew variants. We have now de-linked the variants and re-introduced them as Parle Cookies. The products will soon be re-launched nationally." Early last year, Parle Products had pitted its Hide & Seek variants against Britannia's Good Day Cookies at the premium end of the biscuit market. However, this was not the first time that Parle was introducing variants under its Hide & Seek brand. Pioneering the chocolate-chip cookie category with its Hide & Seek brand in 1998, Parle had subsequently extended the brand into three variants - orange, coffee and mint. However,

poor off take led the company to discontinue these products while the Hide & Seek chocolatechip cookies continued to be successful. Meanwhile, Parle has pegged its growth rate between 12-13 per cent this year. With no intentions of dropping prices for any of its brands, the company expects to drive further penetration for its flagship glucose brand, Parle G, along with brands such as Monaco and Krack Jack. "We still have a long way to go in biscuits. It is not availability but acceptability which is an issue with consumers," says Mr. Shah. In the confectionery category, Parle Products has pegged its growth rates at 15 per cent for its brands such as Poppies, Melody and Mango Bite. "We have to maintain our prices for our confectionary brands to protect our bottom line since even with a 50 paise increase in price the volumes go down by more than 100 per cent," says Mr. Shah. Besides, the company has decided to de-focus from its snack brands such as Cheeselings, Jeffs and Sixer. "The products may be still available on the retail shelves but we have decided not to focus on the snack brands," added Mr. Shah.

Chapter 6 Financial Results
Growth of Parle Company Parle Products is extending its distribution network and increasing manufacturing capacity by a fifth to maintain its market share. The leading biscuit maker has been unable to meet the growing demand for its products through its distribution channels. Praveen Kulkarni, general manager (marketing) of Parle Products, said they had not been able to meet the demand due to supply issues. ?We are increasing our capacity by 15-20 per cent. The franchisees for outsourced manufacturing would be making investment for capacity addition.? Parle, which clocked a turnover of Rs 4,000 crore in 2009-10, markets products such as Parle G, Melody, Monaco and Krack Jack. The company is expecting its sales to grow by 15-20 per cent

this financial year. The company is looking at expanding the product portfolio by introducing newer categories. ?Parle Top, which was launched recently, will be extended to other markets in a few weeks. We will be spending around Rs 5-10 crore for advertising,? said Kulkarnii. The market is split between three major players — Parle, Britannia and ITC — and a clutch of regional players.

How Parle Fought to Make Biscuit Affordable to All
Biscuits were very much a luxury food in India, when Parle began production in 1939. Apart from Glucose and Monaco biscuits, Parle did offer a wide variety of brands. However, during the Second World War, all domestic biscuit production was diverted to assist the Indian soldiers in India and the Far East. Apart from this, the shortage of wheat in those days, made Parle decide to concentrate on the more popular brands, so that people could enjoy the price benefits.

Thankfully today, there's no dearth of ingredients and the demand for more premium brands is on the rise. That's why; they now have a wide range of biscuits and mouthwatering confectionaries to offer. Basis of Segmentation: Broadly there are three ways to segment the market followed by the biscuit industry: • Based on age group. • Based on purchasing power of the consumers • The lifestyle approach. Based on the production in India biscuits can be broadly classified into:-

Current market position of Parle biscuits with its competitors:

Growth Phase – Parle

1

The Demand and growth of Parle in front of Others Product

Chapter7 DATA INTERPRETATIONS Swot Analysis
STRENGTHS of Parle Biscuits • • • • • • • Low price as compared to competitors Sizeable market share in the country. Offers variety of products under its brand. Different sizes of packets are available. An experienced team of sales and marketing executives. Deep and effective coverage Largest distribution system.

WEAKNESS of Parle Biscuits • • • • • • • Breakage of biscuits while delivering to retailers No proper replacement system for broken biscuits to retailers Improper and irregular supply. Fewer shares in Premium biscuit market. Dependent on its flagship brand, Parle-G Poor packaging in family pack of glucose biscuits. Lack of schemes for retailers and distributors.

OPPORTUNITY of Parle Biscuits • • • • • Rising demand for innovative packaging in packaged foods. Retaining loyal retailers or wholesalers. Improving supply system for established brands. Huge scope for some Parle products in medical shops. Information revolution brought about by the television.

•

Good scope for snacks and namkeens, if launched and properly promoted by Parle.

THREAT of Parle Biscuits • • • • • Highly advertised brands such as Britannia. Ever increasing competition from multinationals and local companies. Increase in sale of cheap local bakery products. Emerging substitutes like wafers, snacks and toast. Margin war among the major Brands

The PEST analysis
The factors enlisted below affect the eventual Marketing Strategy for Parle:

MAJOR MARKET SHARE HOLDERS ORGANISED SECTORS

Positives Political Factors:

Negatives Rigid „Standards and Measures? act. Conformance to size.

Tax Based incentives by the government. Value Added Tax Production and distribution licenses are difficult to attain. Helpful state governments in providing

incentives towards infrastructural developments. Rise in sugar prices manifold. (up by over 25% Economical Factors: in six months)

Increase in per capita income of Indians. Increase in the purchasing power on Indians. Huge gap between the Wholesale Price Index and The Consumer Price Index. Slump in the country‘s GDP to 6%

Technological Factors:

Innovations in the sector, Boast to Research and Development.

Better products mean heightened competition.

Social factors:

India is currently the largest producer of Biscuits in the world. Better lifestyle, affluence and better perception about biscuits

„Health? consciousness consumers: some may move to healthier options.

Porter’s Value Chain

The Porter?s Value Chain for Parle G has been assessed on the five parameters of power of suppliers and buyers, treats from substitute and new entrant and the internal rivalry are as follows: • The threat of a new entrant in the organized biscuit industry for Parle is low:

The industry is capital intensive; with already so many existing players in the market, a new entrant would find it really difficult to establish it. • • • • Investments in promotions, advertisements, and product establishment are very high. The distribution system is complex and difficult to duplicate.

The Power of suppliers to affect Parle G is fairly low: The basic commodities such as wheat, sugar are available. Though with the increasing gap between the WPI and CPI, prices of commodities is a worry. Sugar especially is a bottleneck.

• •

Intra-industry rivalry for Parle is high: Even though Parle is a comfortable market leader with 40% of the market share, there is immense competition among the existing players to capture the maximum market share. The USP of Parle G has been „price?. A biscuit pack at Rs. 3, readily available in all pan-bidi shops made it such a success story. But today this business model is being duplicated by the other industry members.

• •

The power of buyers is very high: Availability of many kinds of biscuits in the low and moderate pricing category. This forced Parle G to come out with a Rs. 30 family pack of biscuits. It also modified its distribution channel for the same purpose.

• • •

The unorganized sector is always an option for the buyers.

The power of substitutes to affect the prospects of Parle G is also very high: The growing packaged snack industry is become a real cause for concern for the biscuit industry. This is for this reason that most members of this industry have ventured into the confectionary and packaged snack business as well.

•

The traditional home cooked Indian snacks are always a threat.

Questionnaires:
Q1) which type of Snacks or Breakfast do you prefer the most? Name them....

Ans: Sr no. 1 2 3 4 5 6 7 Biscuits Eggs Sandwich Hot food Wafers Cornflakes Others Particular Percentage (%) 16% 10% 25% 21% 16% 5% 7%

Q2) what is your daily frequency of Consuming Biscuits? Ans:

Sr no. 1 2 3 4 5 6 7 Everyday Twice a Week 4 times a week Once in 10 days Once in 15 days Once a month Never

Particulars

Percentage (%) 37% 29% 14% 6% 8% 6% 0%

Q3) which type of biscuits you consume the most? Ans:

Sr no: 1 2 3 4

Particulars Cream Wafer Plain Sweet Namkeen

Percentage (%) 25(%) 12(%) 34(%) 29(%)

Q4) for how long you are consuming Parle Products? Ans:– Sr no: 1. 2. 3. 1 year 2 years 3 years Particulars Percentage (%) 0% 0% 10%

4.

More than 3 years

90%

Q5) How many other brands of Biscuits and other products of Parle you have consumed name them? Ans. Sr no. 1. 2. 3. Particulars Percentage (%)

Britannia
Tiger ITC's Sun feast

18 %
17% 9%

4.

Parle

55%

Q6) Are you satisfied with the product quality of Parle Products? Ans:– Sr no. Particulars Percentage (%) 1. 2. 3. 4. Highly satisfied Satisfied Average Dissatisfied 35% 30% 10% 25%

Q7) Are the written Statements and packaging of Products is easy to understand? Ans: Sr no: Particulars Percentage (%)

1. 2. 3. 4.

Very Easy Good Sometimes difficult Can‘t Understand

35% 25% 10% 30%

Q8) Does the Quality provided by the previous parle products are as same as now? Ans: Sr no. Particulars Percentage (%) 1 2 Yes No 40% 60%

Q9) which of the Parle Products do you think you like the most? Ans: Sr no: 1. 2. 3. 4. 5. Fizz Hide and seek Frooti Parle-G biscuits Bailey Particulars Percentage (%) 35% 20% 20% 20% 5%

Q10) Are the prices of Parle Products Affordable? Ans: Sr no: 1. 2. 3. 4. Particulars Costly Average Cheap High Costly Percentage (%) 20% 30% 35% 15%

Chapter 8 SUGGESATION AND RECOMDATION:
Parle no doubt world famous biscuit company. It has unique place in every Indian. By strong financial and structural position it is top to his competitor. In era of globalization the company growth and feature are safe. The price policies fowled by the company do separate to its competitor. The recruitment and selection policies are very good. Talent search in rural area, in my concerned first time adopted by any company in India. In hole training period I learn a lot in Parle and find that some of the area where the company required improvement like INDUCTION PROCESS: It has been rightly said that if the beginning of a new voyage in our lives be good, all goes well after that. The true in many organizations, which go an extra mile when they have new employees on board. If a new hire gets inducted into the organization in a proper manner, he/she feels more connected to the organization and eventually, loyalty and long-terms association follow. After joining a new organization, many of us find ourselves thrown into a new environment, with a lot of apprehensions. This is where induction trainee can help familiarize us with the organization‘s philosophy, along with key business processes and our work responsibilities.

It is absolutely necessary to unbolt the door to international business customs and practices so as to enable international managers to conduct business successfully around the world.

CROSS CULTURE ISSUES: Today, when business has become global, to achieve success, one not only needs to communicate in a language that can be understood, but also needs to know the customs and the non-verbal practices of every culture. IN THE AREA OF TALLENT SEARCH: Organizations recognized the need for maintaining reserve talent to fill a vacancy as and when it arises. But the whole process of talent acquisition, i.e., how to fix and select talent for the organization remains largely undefined and is often left to the discretion of the individual managers hiring then. As a result of this the process varies from one manager to another which is highly undesirable. For example, some Managers adopt the procedure of posting their job requirements on major websites and news papers, or search for suitable resumes available on different job sites, while some other prefer an internal recruiter, a search firm, attending job fair or hiring known people. The following basic steps can be taken developing the process of talent acquisition. Defining talent acquisition strategy. • Advertising about the openings in the medium never tried before and building Contacts with people.

•

Creating a referral network comprising newly selected employees, retirees and also the previous employees who have left the organizations.

• •

Interacting with the prospective job-seekers regularly. Maintaining a website of the company containing the detailed profiles of the openings, history and nature of business being carried on, the referral lists and also the method of contacting the company.

•

Reducing the application process and workload for the job. Invite interested job seekers to create a ?self-profile‘ which can be used in case a suitable job vacancy arises.

BECAUSE DYNAMIC PERSONALITY IS VERY IMPORTAN TO SUCCESS IN THE PRESENT ERA, SO COMPANY • Understanding the demographics of workforce both current and future.

Identification of economic issues which have an impact on the Organization‘s sustainability. Identification of organizational and cultural issues which influence talent acquisition.. Knowledge about industry trends and emerging issues.

According to the Talent Acquisition Strategies Benchmark Report by Aberdeen Group, a market research-based organization found that 59% of the best in class companies reported that their overall performance was increased after implementation of their talent acquisition strategy compared to 41% of industry average and 33% of laggard companies. The report also offered the following recommendation: • • Alignment of talent acquisition strategy with the overall corporate strategic plan. Measuring workforce performance on the basis of quality of hire and time per hire.

• • •

Elimination of traditional paper methods and using latest technological developments. Focusing on a long -term plan. Managing workforce wholly.

Recommendations
To get benefits of growing biscuit- industry, I have following 3recommendations to Parle. Recommendation-1 • Promotion of Parle brand. Promote Parle brand through schemes such as ?Parle Gramin Swastha Yojana? (a network of ambulance van visiting rural areas giving basic medical treatments educating people on nutrition deficiency problems and promoting Parle nutritious products)b. Promote Parle brand through T. V. shows such as ?Parle Sakhi? (?Parle - Friend of Women?). The weekly T. V. show will cater to health issues of women and children and will explain long term benefits of healthy diet) Results Expected – Improved sales through ?Top of mind recall?. Reduced competition for ?visible shelf space‘ in small grocery and retail stores. Brand Loyalty. Communicating Parle value of ?Nutrition Product‘

• • •

Recommendation-2 • Study revenue and cost of each of the SKUs (products) of Parle ITC ‘sentry into the biscuit industry will pose challenges to the number one position Parle has held over decades. Before further diversifying into producing more products to cater to market niche, I recommend Parle to carry out detail study of each SKU. This is to avoid adding more complexity to existing production & distribution process with addition of SKU eventually leading to lowered net income. Results Expected – The study should help

Parle forecast and plan future launches, stop producing unprofitable products and focus on emerging / highly demanded products. •

The study will also help Parle utilize its deep distribution channels effectively and efficiently as per consumer demand.

Recommendation-3 • Advertise products segment wise as follows. Nutritious/Glucose biscuits Advertisement by doctors/dieticians to explain the benefits to heath conscious consumers Advertisement by cricketers (Cricket is a very popular game in India) to attract youths. Cream biscuits To be endorsed by bollywood (film) starts. Marie To be advertised as a family tea time snack Results expected – Increased penetration in rural, southern and eastern market. Attracting health & diet conscious people.

Chapter 9 CONCLUSIONS
PARLE-G is the world‘s largest selling brand of Biscuits. Parle-G has a good trick of tapping the consumers which many years ago Mr. Shailendra Saraf did. Parle-G can be consumed by all age group and it is a favorite for many of them. Parle-G has held its price line at Rs 4 for more than 25 years. . Launched in the year 1939, it was one of the first brands of Parle Products. It was called Parle Glucose Biscuits mainly to cue that it was a glucose biscuit. Par4le-G has so many features but its USP is health motive is a single pack i.e. a single pack of biscuit offers 450 calories. swadh bhare, shakti bhare (full of taste and energy).

Parle-G uses healthy ingredients which if consumed provide 450 calories per pack. It has a very good Marketing Strategy that it caters even to smallest villages in India. It is now concentrating in exports more. Parle has a good Management Style that it can produce more and sell more. The Materials Department of Parle is very efficient, the wastages are properly reused, and inventory is maintained of one week. The Promotion Strategy used differs from time to time. Waste Materials fallen on ground is total waste. Broken Biscuits are used for Cattle Feeding.

There is nearly 10,000 employees working in the company and are working in three shifts.35, 000 tones of biscuits are manufactured in a day of one particular product, and there are such nine product manufactured in the factory.

APPENDICES:
List of survey questions:

Sir/Madam, I am a student of bachelor of Management studies from Pillai‘s College of Arts, Commerce and Science. I am doing a University project report on ?An Overview on Parle Company?. You are supposed to fill the Questionnaire for the same.

Name:

Address:

Gender: • • Age: Male Female

Email:

Contact No.:

Q1) which type of Snacks or Breakfast do you prefer the most? Name them.... Ans:

Q2) what is your daily frequency of Consuming Biscuits? • • • • • • • Everyday Twice a Week 4 times a week Once in 10 days Once in 15 days Once a month Never

Q3) which type of biscuits you consume the most? • • • • Cream Wafer Plain Sweet Nankeen

Q4) From how long you are consuming Parle Products?

• • • •

1 year 2 year 3 year More than 3 years.

Q5) How many other brands of Biscuits and other products of Parle you have consumed name them? Ans.

Q6) Are you satisfied with the product quality of Parle Products? • • • • Highly Satisfied Satisfied Average Dissatisfied

Q7) Are the written Statements and packaging of Products is easy to understand? • Very Easy

• Good • • Sometimes difficult Can‘t Understand.

Q8) Is the Quality provided by the previous parle products are as same as now? • • Yes No

Q9) Which of the Parle Products do you think you like the most? • • Yes No

Chapter11

WIBLIOGRAPHY

Website:-

• www.google.com • www.ask.com • www.wikipedia.com • www.parleproducts.co.in



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