Organization study
1.INTRODUCTION Introduction: Nilgiris mechanized bakery is an off o ff shoot of Nilgiris - synonymous with quality and sound business ethics. Even though Nilgiris had incredibly humble beginning its views are unique. unique. Experi Experience ence of antici anticipat pating ing custom customer er needs needs and it always always answer answerss them. them. The enter enterpr pris isin ing g Nilg Nilgir iris is fami family ly poole pooled d in its its exte extens nsiv ivee knowl knowled edge, ge, inte intens nsiv ivee skil skills ls and and experience has built its empire Nilgiris is the leading name in southern India to reckon with in the sphere of quality confectionary. Today Nilgiris is hundred years young, live and kicking and going places.
Decades of total quality in product and service have taken Nilgiris to the summit of total achievement in gaining customer satisfaction. As yet another feather in the business fami family ly’s ’s cap ‘Nil ‘Nilgi giri riss Mech Mechani anize zed d Baker Bakery y Pvt. Pvt. Ltd’ Ltd’ was was star starte ted d in the the year year 1971 1971 at Bangalore.
These mechanized mechanized Bakery Products are in greater demand among the old timers timers and their generations. A fleet of MCV’s LCV’s is used in this mechanized bakery to distribute their product. Fresh and ready for breakfast through out the city. Two Managing Directors Mr. Mani and Mr.C.Gopal Krishnan head this unit. In production of these bakery products a work work force force of 500 employ employees ees are workin working g in this this unit. unit. Machin Machineri eries es connect connected ed throug through h conveyors and manipulators are used in conversion of raw material to finished product on floor-to-floor basis. Thereby saving of time, wastage through human error and ensuring effective control of manufacturing process are archived. The cycle time of the entire process of manufacturing process are archived. The cycle time of the entire process of manufacturing is drastically reduced by this mechanized unit. The following machineries are utilized in Nilgiris production line.
2. INDUSTRY PROFILE
1
Organization study
Baking Industry: Wheat is the major cereal crop of the world and is consumed mainly in the form of bakery products in most parts of the world. In India, wheat is consumed con sumed mainly in the form of Chapatti - an unleavened baked product. In recent years, in India, bakery products have become popular among different cross sections of population due to increased demand for convent foods. Among bakery products, bread is the most popular processed ready-to-eat product in the country. However, the per capita consumption of bread in India is only 1-2 kg/month as compared to 50-150 kg/month in developed countries. Hence, there is almost an unlimited scope for expansion for bakery industry in the country. This would help in the effective utilization of the surplus wheat produced in the country and make available highly nutritious ready-to-eat convenient product at reasonable cost affordable by common man and also generate employment.
Status of bakery industry in India Production of bakery products: The production of bakery products has increased two folds in the last five years indicating increasing popularity of the products. The present production of bakery items in India is estimated to be 31.5 lakhs tones. Of these, the share of bread is 15 lakhs tones and of biscuits are 12 lakh tones. The remaining 4.5 lakhs tones is contributed by other bakery products. It is of interest to note that only about 24.0% of bread and 26.0% of biscuits are manufactured in large scale bakery units while 76-78% at bakery products are produced in small scale and family scale units. As high as 48.0% of the total bakery products produced in the country are consumed in rural areas.
2
Organization study
Recent developments Quality of raw materials: Refined wheat flour or Maida is the main raw material for the preparation of bakery products. The quality of Maida used greatly influences the quality of the final product. Flour used used in brea bread d shoul should d have have high high prot protei ein n conte content nt (11(11-12. 12.0% 0%), ), low low ash ash (0.5 (0.5%) %),, high high sedimentation value (30 to 40 ml) and high water absorption (60- 65%). It is well known that most of the wheat grown in the country belongs to medium-strong type. Thus, the flour milled from it has naturally lower protein content, making it less suitable for bread making. The protein content in commercial flour is reported to range from 7-11.0%. Also the flours have low alpha amylase activity and sedimentation value and damage damaged d star starch ch conte content nt.. Thus Thus,, Indi Indian an whea wheat’ t’ss are are found found to be more more suit suitab able le for for the the preparation of Chapatti and fermented dough biscuits where medium strong flours are desired.
1. Categorization of wheat: Some of the wheat’s grown in the country have been found to have good bread making potential. potential. However, such wheat’s wheat’s are not made available available to the mills separately separately for processing into Maida as wheat’s are not graded and categorized according to its functional characteristics and stored separately. This development has to take place in India.
2. Selection of proper streams: In roller flourmill, refined flour (Maida) is obtained by mixing different streams of flour coming from series of break rolls and reduction rolls. The quality of these streams varies considerably. The protein and ash contents in the break fractions increase with increase in the break passages and similar trend is observed in reduction passages also hence, flour with desire desired d level level of protei protein/g n/glut luten en or ash content content can be obtain obtained ed by blendi blending ng the streams streams suitably. Though this method is followed in different countries, it is yet to be followed in India.
3
Organization study
3. Air classification: It is possible to classify wheat flour into low protein or high protein fractions by air classification. The variation in protein content in flour particles of different sizes is taken advantage of to classify the products with high or low protein content. The flour with particle size less than 17 normally contains twice the amount of proteins present in the parent flour, while the fraction ranging in size from 17-40 has half the protein content of the normal flour. The size separation of flour is done adopting air classification technique after grinding the flour in a pin mill. Yield and protein content of air classified fractions of flour are given in Table 1. The flours with different protein contents can be used for different bakery products. Table Yield and Protein Content of Air Classified Fractions of Flour
Flour
Parent flour
Hard
13.4 wheat Soft wheat 7. 7.7
Fine flour 0-17 u
Medium flour 18-40 u
Coarse flour
40 u
18.9
10.0
14.7
15.7
5. 0
9.5
4. Use of flour improvers: The quality of flour for use in bread making can also be improved by using bleaching and maturing agents. Though in other countries flours are normally treated with improvers depending on the end use: it is not being done in India. There are several improvers like potassium
bromated,
benzyl
peroxide,
ascorbic
acid,
chlorine,
chlorine
dioxide,
azodicarbonamide etc. However, in India, millers are permitted to use benzyl peroxide (max 40 ppm) as a bleaching agent and ascorbic acid (max 200 ppm) and potassium bromated (max 20 ppm) as maturing agents under prevention of Food Adulteration Act.
5. Yeast: 4
Organization study The quality of yeast also influences the quality of bakery products. In India, two types of yeastyeast-com compre presse ssed d and dry-ar dry-aree availab available. le. Both Both the yeasts yeasts have advant advantage agess as well well as disadvantages. New type of yeast known as instant yeast has been developed in USA and now over 60% of baking industries are using this yeast. It has several advantages over existing compressed or dry yeast, such as (a) activity equal to compressed yeast, (b) no refrigeration required during storage, (c) instant reactivation in dough. In the manufacture of instant yeast, instead of drum drier normally used for dry yeast, fluidized bed drier at an air temperat temperature ure of 320oF is used. The drying process is reduced to less than 20 minutes compared to older technology which requires 4 to 12 hours. The gas production values of different types of yeast indicated that gas production with instant yeast is nearly 87% of the compressed yeast and is 185% of the active dry yeast. The thiol content in the dough containing instant yeast is far less than that produced by dry yeast or compressed yeast. Sugar tolerant yeast is also available in India, which is found very useful for production of sweet bread.
6. Adaptation of suitable developments in bread making technologies: There are different methods of bread making such as straight dough, sponge and dough, delayed salt, liquid ferment, no time dough etc. Different methods are followed in various countries and the methods used depend on mostly the consumer preference and the type type of whea wheatt avai availa labl blee in that that count country ry.. For For e.g. e.g.,, U.K. U.K. foll follow owss mech mechani anical cal dough dough develop developmen mentt method method as it is found found suited suited to the weak weak flour flour availa available ble in that that country country.. Similarly, the sponge and dough or straight dough methods are used in USA as they are found suitable for the strong wheat’s grown in that country. Delayed salt method is preferred for extra hard wheat’s. All these methods have certain advantages and disadvantages. No-time dough development method requires less time for the preparation of bread as the dough is not subjected to fermentation. Even weak flours
5
Organization study could be used in this method. It has certain disadvantages that the bread is blend and the crumb has undesired fine grain. Recently, a new method requiring just 15% of the energy of mechanical dough development method for dough development has been reported. This method is known as dough development by rollers wherein the mixed dough is developed by passing it through shelters. The bread obtained with this method is found to be comparable in quality with no time dough method. This method is found to be more suitable for preparing bread from composite flours. The other no-time dough methods of using chemicals, reducing and oxidizing agents have gained popularity in recent years in view of simplicity and easy conversion of conventional to no time dough systems. The dough development by use of chemicals enhances the flavor and keeping quality. Also the crumb characteristics are comparable to those of conventionally produced products. The chemical dough development method could also be used for preparing variety breads such as French, Italian, Vienna, Rye as well as other breads of excellent quality. The no-time dough processes have helped in the development of continuous bread making processes such as Am flow, Do-marker, Streetman etc., which are in vogue in several parts of the world. As some of these recently developed processes are well suited for soft wheat’s containing low proteins, it is desirable that efforts have to he made to find out the possibilities or using some of these methods to improve the quality of bread from Indian flours. Studies carried out in this direction had shown that chemical dough development could be adopted for Indian wheat flour for bread making. Spiral mixers have become common in several bakery industries. It has several advantages like low mixing time, fermentation time and yields better quality bread. Secretary
6
Organization study
7. Use of emulsifiers/ surfactants: Surfactants have been found to improve the quality of bakery products and are commonly used in many of the bakery industries elsewhere. Use of surfactants, glycerol menstruate started around 1930 primarily for improving the dispensability of fat and rendering perceptibly softer crumb. Since then many other surfactants have been developed. Surfactants in dough do not function, as oil-water emulsifiers but they are reported to complex with the protein and carbohydrate fractions of flour to strengthen the extensible gluten-starch film and delay the setting of the dough. The addition of surfactants at the appropriate levels have been reported to increase the volume, shorter proof time, increase oven spring, improve bread texture and grain, increase water absorption and shelf life and reduce the shortening requirement. The commonly used emulsifiers are mono and triglycerides, distilled monoglyceride, polyglycerol esters, diacetyl tartaric acid esters (DATEM) sodium or calcium sterols lactylates. Many of these emulsifiers are permitted by Food and Drug Act of USA. However, only a few are permitted in India such as glycerol mono-stearate, sodium or calcium sterol acetylated by Prevention of Food Adulteration Act (PFA). The quality of bread made using different dough conditioners indicated that incorporation of DATEM produced highest bread volume followed by sodium acetylated (SSL) and Ethoxylated mono- glycoside. The dough handling characteristics, crumb texture and grain were found to be best in bread containing DATEM. The texture of stored bread as Indicated by the compressibility, was softer with additives than control bread. Similar observations of improved quality as well as shelf life of bread containing different emulsifiers such as calcium or sodium sterol lactylate, Ethoxylated mono glycoside, polysorbate-60, succinylated mono glycosides, and other workers observed DATEM. Emulsifiers are also used in cookies and crackers as they have been found to change the degree of spread of cookies during baking. The action may result from the interaction of the emulsifiers with the starch to delay hydration of the starch granules and subsequent
7
Organization study gelatinization. Use of emulsifiers was also found to produce finer and more uniform pattern of surface cracks and more crispiness in biscuits. Among the different dough conditioners, DATEM and lactylates were found to be quite promising and are being used by various baking industries in Europe as they are found to be more effective for soft wheat flours. Some of these additives are also reported to have fat sparing action in bread, biscuits and cookies.
Quality control of raw materials Quality control plays a pivotal role in achieving a product of superior and uniform quality. In India, except for the few large scale units, none of the units have facilities for the quality control of raw materials. Quality control is all the more important as the variations in the quality of raw materials is quite considerable in the country. Since wheat flour is the major raw material which influences the quality of bakery products, the quality control of wheat flour is of paramount importance. Methods normally used for evaluating the quality of flour are chemical tests like gluten, ash, sedimentation test, pelshenke value, falling number, maltose value and theological characteristics using farinograph and extensograph. However, of late, some new simple and precise methods have been developed for predicting the quality of flour such as SDS sedimentation test, solubility in detergent solution, amide content, relative viscosity of gluten, acid insoluble protein. In spite of considerable research carried out in India and elsewhere, it is not possible to pin point the reasons for variation in the baking quality of flour. Recently, a new method has been developed to evaluate the quality of flour by using flurometry, which determines the performance of flour in comparison with the standard tests. The methods depend on the reaction rate of dilute iodine solution, mono valentication and flour suspension. The rate of change of blue color on heating and the temperature at which the color changes have been found to be related to the quality of flour.
8
Organization study Further, the recent developments in the computer technology have come in handy and most of the modern testing methods use microchips for analytical techniques. Nuclear Magnetic Resonance (NMR) Near Infra Red spectroscopy (NIR) etc., can now give results in a matter of minutes or seconds. NIR spectrophotometers coupled with recording system are being used in many of the developed countries for grading of wheat or for testing the quality of flour or baked products. Adopting this technique, several quality parameters such as moisture, particle size, proteins, color, damaged starch, fat, crude fibro, additives such as lactylate, bromated etc., can be estimated.
Quality control of bakery products Several objective and subjective methods are being used for the quality control of bakery products such as loaf volume, crust color, grain an d texture of crumb in case of bread, and spread, raise, crispness etc. , in case of biscuits and cookies. However, new technology has emerged for fast-cum-efficient and more consistent manufacture of products the improved consumer satisfaction. The recent technological advanced method "Qualprobe" has shown considerable promise. This is an on-line system for continuous monitoring of color or moisture of baked products. Baking time and temperature are automatically controlled hence enabling the production of uniform quality products, which is of paramount importance for the growth of bakery industry.
Introduction of newer varieties Bakery products: Many of the bakery industries in India produce bread or biscuits of single variety. In case of bread, it is mostly white pan bread, while in case of biscuits it is mostly sweet 'glucose biscuits' Availability of only single variety of bakery products has resulted in poor growth of baking industry. Variety of products can be made by changing the shape, recipe, and incorporation of other ingredients or processing co nditions. Even in single dough, several different types of breads like long pan, split pan, Danish, crusty etc., could be produced just
9
Organization study by changing the shape. In USA number of different types of breads such as white hearth, home style, multi grain, fruit, fibre, rolls, rye are produced. In countries like West Germany as high as 200 varieties of breads are made, both in large and small scale bakeries, with different grains with milk products, with ingredients of plant or animal origin, requiring special dough handling and special baking processes and with nutritional value. Hence, for the sustained growth of bakery industry in the country, it is desirable that several varieties of bread be produced and marketed to suit the palate of different consumers. Many of such types of bread could be made with the existing infrastructural facilities. In case of biscuits there is an urgent need to diversify, as most of the small scale bakeries are finding it difficult to compete with large scale bakeries that produce varieties of biscuits. Some of the varieties of biscuits that can be prepared by small scale units using the existing facilities are by using different spices either in cream or in biscuits such as ginger, cardamom, cinnamon, cumin seeds etc. There is a need to find out the possibilities of producing salt biscuits using the existing soft dough molder by suitably altering the dough characteristics.
Traditional products: In India, over 80% of the wheat produced is being used for preparation of traditional food - chapatti. The production of this traditional food till today is restricted to households only. Hence, there is a need and scope for large scale mechanized production of chapatti and market it in unit packs similar to bakery products. Central Food Technological Research Institute has carried out necessary basic studies to help mechanization of production. Also there is a need for large scale production of some of the less known regional traditional products like kulcha, kaktech, kakra etc. Use of existing machineries to produce these traditional products along with bakery products would help the bakery industry to diversity the products, much needed for their growth.
Bakery products based on composite flour The use of composite flours in bakery products offers good opportunities to
10
(a)
Improve
Organization study nutritional
their
quality,
(b) Reduce imports of wheat thereby improving the foreign exchange reserve, (c) (d)
Utility
indigenously
Reduce
the
cost
grown of
cereals, products,
and
(e) Bring in varieties with different texture and flavor. Bakery products from composite flour are not new as since time immemorial a considerable proportion of bread produced in Germany and other European countries was from composite flour based on wheat and rye. However, in the last 15 years, considerable work has been done on the use of composite flours based on non-wheat cereals, such as millets, oil seed meals in bakery products. The research in this field was aimed at: (a) Development of suitable processing technologies for obtaining refined flour from food grains
so
that
they
can
be
incorporated
in
maximum
amounts,
(b) arriving at optimum levels that could be added in different bakery products, (c) improvement in the quality of products as use of high starch or high protein non wheat flour invariably result in poor baking performance. The non wheat flours tried were cereals such as rice, barley, corn, sorghum, oats; tuber flours such as potato, cassava, yama and sweet potato, oil seed meals like Soya, peanut, sunflower and cotton seed millers, like amaranths, bajra, Ragi and legumes like faba beans, navy beans, mung bean, pinto bean and lentils. The levels of non-wheat flours used in bakery products varied from 5 to 50% and it depended on the type of bakery products, type of nonwheat flour used and the degree of its refinement, quality of wheat flour arid the method used to produce the bakery products. Recent developments in the bread making process and the use of bread improvers and dough conditioners have helped in counteracting to some extent the adverse effect on the quality of bakery products with composite flours.
Improvement in changing the baking technique of composite flour bread: Improvement in the quality of bread with composite flours has been brought about by using some of the latest methods of bread making such as mechanical dough development, chemical dough development, as well as through use of additives. 11
Organization study Mechanical dough development methods was successfully used to prepare bread containing up to 40% of non- wheat flours such as cassava, starch, millet, sorghum flour and fish proteins concentrate. An energy input of 40 per kg of dough, use of 175 ppm of potassium bromated and 0.2% of glycerol mono-stearate gave most acceptable bread. The studies were further elaborated by Dandy et al., who observed that use of 0.7% tat delayed the staling in breads made using up to 50% of cassava starch, sorghum, millet, rice, Soya, and cotton seed flour. Development of the dough using shelters, the equipment known as "cilindradora" was found to be quite popular in Latin American countries to produce bread based on composite flours containing wheat flour (70%) cassava flour (27%) and Soya flour (3%). This method was found to be quite useful to make breads containing 40% of corn, sorghum, triticale, millet and faba bean flour. Chemical dough development method employing 35 ppm of cystine, 50 ppm ascorbic acid and 30 ppm potassium bromated was found to be quite suitable to prepare bread from rice, cassava and corn composite flour. The optimum level was found to be 20%.
Use of additives: Different additives were used to improve the quality of bakery products based on composite flours. Sodium sterol lactylate, calcium sterol lactylate, sucrose esters, are the common additives in composite flour breads. Non-wheat flours such as cassava starch, cornstarch, corn flour and sorghum flour were used at 30% level using calcium sterol lactylate at 0.5% level to get acceptable quality bread. A method was developed to make high
protein bread using sodium sterol lactylate as an additive. Since use of potassium bromated is banned in several countries, alternative to bromated has been developed consisting of mixture of several enzymes.
Reduced atmospheric pressure baking:
12
Organization study An innovative method was developed to improve the quality of bread based on composite flour by baking under reduced pressure. Bread baked under reduced pressure had higher specific volume and better textural profiles than that baked under normal pressure. The studies indicated that reduced pressure baking eliminated the detrimental effects on bread quality of high levels of cotton seed and peanut flours without the necessity of using chemical additives.
Therapeutic baker products In recent years, therapeutic bakery products have become quite popular in the Western and other European countries. There are different types of therapeutic bakery products such as high fibre, low calorie, diabetic, low sodium, gluten Free etc. The production of some of these products will be of use in the much needed diversification of bakery products. High fibre products were found to reduce the passage time of food in the alimentary tract, there by interfacing in the absorption of some of the food constituents harmful to the body. Some of the sources of fibre that are used in bakery products are cellulose, wheat bran, triticale bran, corn bran etc. Maximum level of these fibers that could be used in bread was found to be 15% and 30% in biscuits/cookies.
3. Company Profile a) Background and inception of the company. “Family ties, discipline and quality consciousness” is the key note of the success story of the dedicated team of Nilgiris mechanized bakery and its braches.
13
Organization study Nilgiris synonymous the quality, convenience and sound business ethics, has come a long way since of the seeds of a diary form, were sown by the horticulture, innovative industries founder, Mr.Muthuswamy Mudaliar in 1905 at Nilgiris Tamilnadu.
To understand the successful legend of the rags to riches, it becomes necessary to trace the family back to three generations to Mr. Muthuswamy Mudaliar who was a “runner” during the British times to take letters cheques from down Mettupalayam to the British living in Conoor and Ooty other than cool climate and exotic fauna, the hills offered little else. The runner was flooded with requests from time to time.
Mr.Muthuswamy Mudaliar opened a small bunk shop in Ooty. This was in 1905 and the beginning of a long story in procurement and customer satisfaction principles of business and service mindedness, he developed the business and enjoyed great goodwill and reputation.
Mr.Mudaliar’s joined the Patel Dairy farm in Nilgiris to get conversant with the industry.
Mr.Muthuswamy Mudaliar founded the Nilgiri Dairy Farm in 1905 in Nilgiris. He started with selling Butter, and then added fresh cream sales. Due to good in Bangalore on Brigade road, starting with the sale of 10 pounds of butter per day worth rupees 10/Mr.M.Chenniappan, son of Mr.Muthuswamy Mudaliar was placed in-charge of Bangalore operation. He was supplying milk and cream to the Military Dairy farm at Hebbal and to the prisoners of war camp. The business grew and ventured into a small Bakery was added and the milk bar started selling breads dairy products such as Ice cream etc. Mr.Chenniappan’s brother Mr.S.Mani the present Managing Director jointed the business in 1950. They started, this modern bakery, which has flowered into a full-fledged mechanized bakery. Mr.Mani is in charge of administration of the company and appointment of senior Executives as well as acquisition and development of the Company properties. The two units in Bangalore making
14
Organization study about 2000 loaves of Bread and a few hundred varieties of Buns, Cakes, Chocolates, Biscuits etc. for the last 27 years, the bakery unit has been organizing the Annual Cake show and the exhibition cum sale every year a special item is displayed in the exhibition, which is almost a life size model of well known place using tons of sugar and other ingredients Mr. C.Ramachandran, the first son of Mr.Chenniappan he is totally in charge of this Annual features as Managing Director of the Bakery unit. In 1960, a milk processing plant was setup at Erode and Milk selling unit was setup at Madras.
Mr.M.Chellayan, another brother studied at NDRI. He went aboard for further training. He is in charge in the Dairy operation at Erode and also in charge of the super market at Coimbatore and Erode unit about 20,000 loaves of Bread is prepared daily. They have Bakeries at Erode, Coimbatore and Chennai. In these units about 20,000 loaves of bread is prepared daily.
b) Nature of the Business carried:
They manufacture Bread, Bun, Biscuits, Bread Rolls, Puff, Pics, Chocolates, and Assorted cakes.
Bread Description: Family Pack Bread
15
Organization study Milk Bread Fruit Bread
Bun Description: Sweet Bun Cherry Bun Masala Bun
Cookies and Biscuits Description: Coconut Cookies Vanilla Cookies Salt Biscuits Sweet Biscuits Masala Biscuits
Bread Rolls Description: Dinner Rolls Garlic Rolls Hot Dog Rolls Café Garlic Rolls Bread Crispy Bride Roll
16
Organization study
Chocolate Items Description: Mint Chocolate Nut Milk Chocolate Soft Praline
Assorted Cakes Description: Coconut Finger cut Fresh Cream Mango Roll Fruit Cake Egg less cut cake
c) Ownership Pattern: Family Pattern Ownership where in all the shares are held by the family amounting Rs.5, 00, 00,000.
d) Competitors information: Brands of Bakery Products: Koshy’s Sweet Chariot Modern VB Bakery
Other Company products of Bakery product are Britannia
17
Organization study Sun feast Amul
e) Infrastructural facilities: The infrastructural facilities in Nilgiris mechanized Bak ery. Bread Section: Machinery Details: 1. Flour Sifter and Sicker 2. Mixing machines •
Vacuum mixing machines
•
High speed mixing machine
3. Two packet dividing machine 4. Single Packet dividing machine 5. Rounder 6. Inter plover 7. Bread molder 8. Bread Oven
Packing Section: Two line Slicing Machine Single line Slicing Machine Coding Machine
Bun and Pizza section: Mixing machine Bun Dividing Machine Pizza molding Machine
18
Organization study Bun Baking Oven Pizza baking Oven Printing Machine
Machinery Details: Planetary Mixers Planetary Mixers (Biscuit Production) Dough Mixers Oven: 3 Deck Ovens (Capacity 500 Kgs/Shift)
Store Assistant 1
4 Deck Ovens (Capacity 350 Kgs/Shift) Mixing 1 Person
Rack Oven
Bun Dividing and Rounding The Company has received many awards from various organizations for excellence in
f) Achievement/Award if any:
Retaining, leadership, innovation and commitment to values in enterprise
Tray Cleaning 2 persons
Baker 2 persons
Pizza making 4
g ) Work flow model: Works Manager Production Department
Manager 2 Pizza section
Manager 1 Cakes and Biscuit Section person Production for Cakes 13 persons
Bakers 2 persons Special items 3
Bread Section Flour Shifting and Serving 1 person
Baker 1 person Pizza and Bun
9 persons Dispatch 1 Person 19 Supervisor 1 Person
Organization study Production for Biscuits 7 persons
Mixing section 1 person
Persons Packing Section 6 persons
Dispatch 2 persons Persons
Dividing section 1 person Persons Rounder 1 person
Packing Section 16 person
From two Shifts
Packing Production In charges 1 Person
Supervisor 2 persons
Writer
Molding person and Oven Baker 11 person helper 2 persons Creasing 1 person Arranging Mould 1 person
Planning and De planning 3 persons [17 persons in one shifts and two shifts 34 persons]
20
Organization study 1 person Store assistant 1person PERSONNEL During recruitment they don’t look for previous experience or paper qualification. They look for people who fit with the staff already at work; training is always on the Job. They learn the ropes under guidance from the Senior Staff and are assessed on hold well they take to correction.
The Management on their part is constantly on the move closely watching them and working with them the guiding principle at work is discipline at ever76y level. Strict adherence timing no socializing at work. No extra long breaks. The flip side is, Nilgiris pay than more than the average wages and conveyance and other allowances. They are given appointment and ESI (Employee Service Insurance) benefits and annual increments workers on their part say they are happy about the working condition, health and hygiene aspects in the company. The company has a Research and Development Center where new ideas for Consumption is considered and implemented it is also the place where new products like decisions are made.
The raw materials are put to rigorous test before sending to production department this is one of the reasons that Nilgiris is best in the market in terms of quality.
The maintenance of the plant is systematically cleaned with all precautions to maintain the hygiene level.
h) Future Growth and Prospects:
21
Organization study All the customers no doubt require the products of popular brands. It is a pity that manufactures offer very low margins of 4.5% on the sale value, whereas their company overhead today stands at around 12.5%. it is Nilgiris own products sale, which partly offsets the very poor margin on the branded goods. In spite of the odds, they do continue their service and keep their image but at what cost? Today sales on credit card is followed every where with great hesitation, they had also started accepting credit cards credit cards do bring in lot more business Chennai, they have been accepting these cards for the past couple of years, and around 30% of their business is on credit card. At Coimbatore in their recently opened Branch around 16% sales is on credit card. The credit care Business at Bangalore is also past going up. It must be noted here that on every sale, they have to pay turnover tax os around 3% on the credit sales they have to meet 3-4% by way of card service charges. Consider against this, the average margin of 6% or so, from the brand player which is already eaten off by turnover tax and partly by the credit card sales can they survive?
To meet this, they have been continuously discussing with the Brand majors, asking them to realize that a modern retail supermarket offering their product in such convenience to the customer in large volume turnover should not be treated on par with the small stores, slowly the manufacturing are realizing this and with reluctance they are coming forward to meet a part of their demand with the maximum retail price fixed on all products, they cannot survive in the business unless brand leaders recognize their service and offer better margins.
In fact over the couple of year, the result of their constant discussion, with the major manufacturing/suppliers, they have been given a special status by some of these companies. Taking into account their strategy and stocking items afresh all the time and the large volumes involved in their store and their own number of units where by suppliers volume of sales has grown considerably, they have come forward to treat them on par with C&F Agent/Distributors and agreed to give direct supplies at better rates.
4. Vision and Mission
22
Organization study Vision: They are keen to expand their activities in the Dairy Division by suitable foreign collaboration. They are expanding their chocolate production in a new plant at Bommasandra. Their desire is to serve large a base of consumer with wider product range. But, this has to be supported by the Government by simplifying the commercial tax structure and by support of the Brand suppliers. They are considering selling up a Nilgiris mall in their Bommasandra estate mall will provide all facilities like recreation, luxury shopping arcade health club, beauty parlor, restaurants, loading and Nilgiris supermarket all under one roof.
Quality policy Quality policy to their customers
1
Continuous improvement in their quality or services.
2
Commitment to customer delight by total quality management and excellence
MISSION
Supplier’s quality policy
23
Organization study Develop healthy interdependency and enhance value addition in the relationship. Work together to ensure on time suppliers as per requirements at all times.
Quality policy to their employee. To provide continual learning opportunities to improve compliance and develop ne w skills. Encourage achieving continual improvement through team effort in areas of quality cost, service and technology.
5.Organization Structure Nilgiri is the Chairman Mr.M.Chennaiappan and Managing Director Mr.M.S. Mani head a limited company.
24
Organization study Mr..Muthuswamy Mudaliar founded the Nilgiri Dairy Farm in the year 1905, in Nilgiris. He started with selling Butter, and then added fresh Cream sales Mr.Mudaliar Joined the Patel Dairy Farm in Nilgiris and a little later the brothers installed the First cream separator in Southern India.
Mr. Chenniappan son of Mr. Muthuswamy Mudaliar was placed in charge of Bangalore operations.
Mr. Chenniappan Brother Mr. M.S.Mani the present Managing Director joined the business in 1950. Mr.M.Chellayan another brother of Chenniappan studied at NDRI, further he went abroad for further training he is in charge of the dairy operations at Erode and also in charge of the Supermarkets at Coimbatore and Erode. The family partnership business was converted into a Private Limited Company in the year 1971.
Organization Structure of Nilgiri’s Mechanized Bakery Pvt.Ltd.
25
Organization study Chairman M.Chennaiappan
Production Department
Mr.Lingraj Region sales officer
Mr. Gopalakrishnan Managing Director
Mr. Mani Managing Director
Director 1 Mallika Ramachandran
Director 2 C. Ramachandran
Marketing Department
Mr.Narayana Babu Sales Officer ficer
Finance Department
H.R.M Department
Mr. Vijay Kumar Sales Officer
Accountant Mr.Ajit Prasad
MR. Basavaraj Personnel Manager
Mr. Somashekar
26
Organization study The maintenance of the plant includes regular preventive maintenance and thereby minimizing the down time of the machinery and thereby optimizing the productivity of the plant. Nilgiris is a food manufacturing unit the cleaning up of the plant and Machinery is a sacred jealously safeguarded religious act with very stringent schedule. The maintenance staff has given due importance in the organization.
6.DETAIL STUDY OF THE DEPARTMENTS
27
Organization study
a) H R DEPARTMENT
CHAIRMAN AND M.D
↓ DIRECTOR
↓ MANAGER (H R D)
↓ _____________________________
↓ WELFARE OFFICER
↓ ASSISTANT OFFICER
↓ DEPUTY MANAGER
↓ SUPREVISORS
Planning system:
28
Organization study The chairman, Managing Directors and Directors take a leading role in organization planning. The organization planning includes finance planning, inventory planning production planning, plant maintenance planning, marketing planning, sales planning, manpower planning and planning of transportation. Head of departments of all departments and in charges participated in planning function and takes action relative to implementation. As a whole corporate planning is the basis for all forwarding plans. Board of Directors takes active role in corporate planning. Based on the corporate plan sales plan and production plan is initiated by the unit head and the director of marketing.
The resources required for Nilgiris have to be approved by board of Directors the same will be allocated and deployed to various departments for further activities. In case of any shortcomings control actions are taken by the management to overcome the same. Hence budgeting involves all activities and executives of all departments of unit are involved in decision-making.
The channel of communication in this regard is bottom-up and top – down. Budgeting and planning will be planned first for working level in the second stage all the budgets of working level are consolidated, approval is taken from top management and the same will be implemented. Workers are provided with authority and freedom in implementing their plan and performing their activities corrective and preventive action.
Staff:
29
Organization study On the basis of manpower requirement Job description and job specification are prepared. Keeping this as basis the recruitment action will be implemented. Nilgiris chooses the following sources for requirement.
•
Advertisement in news papers
•
Job consultants
•
Present employees
•
People with good family background
•
Descendents of their own family members with appropriate qualification.
Directors handle recruitment process along with their subordinates. Once the candidates are identified, they are tested for technical and non-technical requirement for the specific job and qualified candidates are selected. Once after selection concerned departmental in charge will take up induction process. Operations manager and quality assurance manager is also absorbed in same procedure as other employees are employed, but a slight changes that can be find is their tests and interviews.
Training: Training needs are culled out from the filled in performance appraisal forms of individual employees. Training needs will be identified either once or twice during the year. In addition, specific training needs are identified and imparted to concerned employees. Similarly new recruits will be provided induction training.
Head of departments in consultation with other in charges identifies the programs, which could be conducted in-house on the job or by deputing to external
30
Organization study Programs/institutions/over seas. Based on the identifications programs are scheduled Managing Director’s approval is obtained before nominating to external faculties.
Employees deputed are de briefed to asses for the effectiveness of program and records are maintained.
Personal assigned to various processes shall be selected after ascertaining the competence based of appropriate education, experience, knowledge and skills. For this purpose all recruitment are made strictly in terms of competencies criteria indicated above. This will be reviewed periodically when new business, new position or new product launched.
Personnel manager in charge will maintain all the records of training conducted (including internal induction on job etc) concerned in charge have to intimate unit Head details of the job training provided to employees.
Nilgiris also encourages Postgraduate Management Trainee to take – up projects under different disciplines. If need arises the company absorbs trainees.
Nilgiris complies with all the prescribed rules and regulations of Companies Act, 1956 regarding Employee Retirement Benefit, Provident Fund, and Leave Salary ESI (Employee Service Insurance) etc.
b) FINANCE DEPARTMENT
31
Organization study
SENIOR MANAGER
↓ _____________________________
↓ DEPUTY MANAGER ACCOUNTING
↓ SENIOR ASSISTANT
↓ JUNIOR ASSISTANT
↓ DEPUTY MANAGER AUDITING
↓ ACCOUNT OFFICER
↓ ACCOUNT SUPT
Accounting System:
The financial statements are prepared on this historical cost convention and in accordance with generally accepted accounting principles. Revenue is recognized and expenses are accounted on their accrual with necessary provisions for all known liabilities and losses.
32
Organization study The summary of the Annual Report of Nilgiris Mechanized Bakery for the year 20032004 is as follows.
1. The Company’s current assets of Rs. 67,98,505.00 2. The Company’s current liabilities up to Rs. 58,58,491.00 3. The Company’s total Fixed Asset is Rs. 2,49,19,505.00 4. The Company’s Registered Profit of Rs. 4,10,000.00 5. Sales for the year 2003-2004 is Rs. 4,55,62,857.00
Calculating the current ratio of the Company Current Ratio maybe defined as the relationship between current asserts and liabilities. This ratio, also known as working capital ration is a measure of general liquidity and is most widely used to make the analysis of a short-term financial position or liquidity of firm. It is calculated by dividing the total of current asserts by total of the current liabilities.
Current Ratio =
Current Assets / Current liabilities
=
67, 98,505 / 58, 58,491
=
1.16
Net Working Capital = =
Current Assets – Current Liabilities 67, 98,505 – 58, 58,494
= 9, 40,014.00
After calculating the current Ratio and working capital we can say that the company is in a satisfactory position.
c) MARKETING DEPARTMENT
33
Organization study
GENERAL MANAGER
↓ REGIONAL MANAGER
↓ MANAGER
↓ PROMOTIONAL MANAGER
↓ AREA SALES MANAGER
↓ SALESMAN
Marketing Strategy These strategies of cost minimization have opened up the means to introduce the bakery products with reasonable prices against other manufacturers. Nilgiris have shown that the
34
Organization study
word of mouth publicity from its satisfied customers is more effective way of selling its products to its potential customers.
Quality In regard to the product quality M/s. Nilgiris is the foremost among the companies adopting Total quality management. The employees and management are committed to the principle
“No compromise in terms of quality”. The quality policy of the company is “commitment ton customer delight by total quality management in our quality and service”
Nilgiris product has the following features: 1
High consistent quality baking of all bakery products.
2
Excellent steaming enables fine crust formation and golden line.
3
With relatively longer shelf life.
4
The homely touch in the preparation of the products.
5
Varieties in every product.
6
Specialized state of art pastries, for memorable functions like birthday, marriages and marriage Anniversary, and for festivals like New Year and Christmas.
Nilgiris Mechanized bakery directly markets its products all over Bangalore and its marketing team consists of managing director and marketing Executives. Company conducts an annual exhibition. It is the most popular event every year. ‘Giant Nilgiris Cake’ kept for public display and for sales during Christmas season. It is “all Bangalore” attraction.
Thus Nilgiris is making its business more interesting experience of. Nilgiris has shown that the word of Mouth publicity from its satisfied customers is more effective way of selling its product to potential customers.
Nilgiris adopts a meticulous approach in identifying vendors for raw materials, which goes into manufacturing of these products. These raw materials are procured after adapting
35
Organization study stringent quality control measures to ensure that there are in compliance with the set international standers while manufacturing in process quality system at every stage of manufacturing. It is judiciously monitored. Customer’s complaints of any nature are addressed promptly as a result the complaint against the products or service is very low.
Currently company market penetration is restricted by the lack infrastructure such as transport and sales manpower. To overcome this to appoint marketing manager and other staff are being recruited.
Marketing survey and observation at Nilgiris works are made so as to probe the ways and means to optimize the brand placing through an effective sales and distribution system as required by Niligiris mechanized bakery. The observations at works at various activities and based on the market survey the problems are identified. On the first thing first basis a program in oracle is formulated on the Order to payment cycle. We all are aware order to payment cycle is the heart of the sales information system. This data base information system will keep alive the marketing managers’ reflexes to the changing trends in the cluttered market place.
Marketers rely on internal reports on orders, sales, price, costs, and inventory levels, payables and receivable. By analyzing this information they can spot important opportunities and problems. Sales representatives, dealers, customers, Dispatch the orders to the fir,. The sales department prepares the invoices and transmits the copies to various departments. This will enable to schedule production and order our of stock items etc. this is also to ensure that the shipped Items are accompanied by shipping and billing documents.
A brand carries itself well in the market place if the promoters have a feel of the brands strength, weakness, opportunities, threats from the angle of sales and distribution. In view of the above the researcher has carried out observation at Nilgiris works on the activities related from order receipt to payment and the market survey at the field for various essential attributes of sales and distribution.
36
Organization study The duration of the project for interaction with 100 respondents of bakery products consumer, 50 outlets of Nilgiris products outlets and at computer centre is nearly 10 weeks. The route map used to reach the set goals are by trifurcation of the research as mentioned above. Likerts scale is used in the preparation o the questionnaire and to evaluate outcome of the interview. Respondents to the questionnaire are asked to rate each of the statement on the basis of the strength of their personal feelings towards the Attribute.
The observation at the unit is with special reference to the activities from order to payment cycle. The market survey and the Secondary information required is collected from the sources such as magazines, websites, books, companies’ records and discussion with officers and men. During the survey on effectiveness on various attributes of the distribution it came to light that the last ranking attribute is the response of Nilfiris on orders received with short notice due to the Belated response of the Nilgiris the customers are shifting their brand loyalty to the other major players whose response is within the reasonable limits. To safeguard the standing of Nilgiris in the market place the remedial measure is the remedial measure is reduction in cycle time from order to payment receipt. Hence centralized data base management is found essential. Accordingly it is decided to evolve an effective sales information system for in house usage
d) PRODUCTION DEPARTMENT
GENERAL MANAGERS (PRODUCTION)
↓ SENIOR MANAGER (PRODUCTION)
37
Organization study
↓ MANAGER
↓ DEPUTY MANAGER
↓ WORKERS MANAGER
PRODUCT PROFILE:
BAKERY AND BAKERY PRODUCTS
Baking a dry heat cooking process is probably the oldest cooking method used by humans. Bakery products are usually prepared from flour or meal derived from broken grain. Bread, a common staple in prehistoric times, continues to provide many nutrients in the human diet.
38
Organization study The earliest processing of cereal grains probably involved parching or dry roasting of the collected grains. Flavor, texture and digestibility were later improved by cooking in the whole or baking a layer of viscous gruel prepared from broken grain on a hard stone is the procedure for preparation primitive flat bread. More sophisticate versions of flat bread include the Mexican tortilla, made of processed corn, and the chapatti of India, made of Wheat.
Functions of ingredients Flour, wheat, and leavening agents are the ingredients primarily responsible for the characteristics appearance, texture, and flavor of most of the bakery products. Eggs, milk, salt, essence and sugar are effective in modifying these qualities. Various minor ingredients are also be used. To suit everybody’s taste.
Flour: Wheat flour is unique among cereal flours. Wheat flour when mixed with water in the correct proportion, its protein components forms an elastic network capable of holding gas and developing a firm spongy structure when backed. The pertinacious substance is known
Collectively as gulten.the suitability of flour for a given purpose is determined by the type and amount of its gluten content. These characteristics are controlled by the genetic constitution and growing conditions of the wheat from which the flour was milled. As well as milling treatment applied. Leavening Agents: Pie dough’s and similar products are usually unleavened. But most bakery products are leavened, or aerated, by gas bubbles developed naturally or folded in from the atmosphere.
39
Organization study Leavening may result due yeast or bacterial fermentation, or from the distribution of atmospheric or injected gases in the batter.
Liquids: Water is the liquid most commonly added to dough’s. Milk is usually added to commercial preparations in dried form, and any moisture added in the form of eggs and butter is usually minimal. Water is not merrily a diluents or inert constituent: it affects every aspect of the finished product, and careful monitoring of the amount of liquid added is essential to make the batter computable to the processing methodic dough contains more water it will stick to the equipment and have poor response to the shaping and transfer operations: if water content is less it will not shape or leaven properly.
Raw material for manufacturing bread: 1) Maida 2) Sugar 3) Yeast 4) Salt 5) Condensed milk 6) Bread improvers etc.
All the commonly used bread comes in the form of 400 gms per loaf family pack bread weight 800gms.all varieties of bread have high nutrition value. The company has modern equipment for baking, slicing, it has taken knowledge of technical staff.
Typical products by Nilgiris Mechanized Bakery Bread Sl no 1 2
Description Family pack bread Milk bread
40
Organization study 3 4 5 6 7 8 9 10
Fruit bread Whole wheat bread Mini mild bread Broken wheat brain Six grain bread Broken whole wheat Southern days bread Mini sandwich bread
Bun Sl no 1 2 3 4 5 6 7
Description Sweet bun Cherry bun Special bun Mini jam bun Six grain bun Mini cherry bun Masala bun
Cookies and Biscuits Sl no 1 2 3 4 5 6 7 8 9 10
Description Coconut Cookies Vanilla Cookies Chocolate Cookies Jeer Cookies Assorted Cookies Masala Cookies Salt Cookies Sweet Cookies Cashew Num Cookies Choc chip Cookies
Bread Rolls Sl no 1 2 3 4 5
Description Dinner Rolls Garlic Rolls Russian Brown Rolls Big Bread Rolls Hot Dog Rolls
41
Organization study 6 7 8 9 10
Baguette Rolls Café Garlic Rolls Whole Wheat Chips Rolls Whole Wheat Twisted Rolls Bread Crispy Bride Rolls
Puff, Pies and Other filled items Sl no 1 2 3 4 5 6 7 8 9 10
Description Empty shell Mini Pizza Decorated Pizza Roll Filled Curried Chicken Pie VEG Filled Dinner Roll Chicken Puffs Egg Puffs Coconut Puffs Mini Mutton Pie Vegetarian Pie
Chocolate items Sl no 1 2 3 4 5 6 7 8 9 10
Description Mini Chocolate Easter Chocolate Bunny Assorted Chocolate Easter Chocolate Dip Cherry Chocolate Dip Cocoa Butter Biscuits Connoisseur Assortment Nut Milk Chocolate Milk Truffle Chocolate Soft Praline
Assorted cakes Sl no 1
Description Coconut finger cut
42
Organization study 2 3 4 5 6 7 8 9 10
Fresh cram mango roll Egg less cut cake Fruit cake Chocolate Swiss roll Brownies pastry Pineapple pastry Fresh cream nougat roll Sultana cake Chocolate pastry
e) MANAGEMENT INFORMATION SYSTEM
System: The operational systems and activities of Nilgiris are fully systematized. Based on the budget resources funds are allocated to every activities of the organization.
The purchase order is received through various channels from customers such as 43
Organization study E-mail; telephone orders, supermarkets, contracts and fax etc.
The stores of the company are managed under ABC system of inventory control purchase system. In purchasing of raw materials required for the planned production is prepared on the basic of orders received from the customers through various channels. Production department places the indent to the stores specifying the requirements of the materials in terms of quality and quantity. Hence this leads to verification of stock level in the raw material stores.
If there is a low stock the order will be placed for the required quantity. Normally in Nilgiris raw materials inventory will be maintained for requirement for a period of 2 weeks. While purchasing of raw material its shelf life is also considered.
7. SWOT ANALYSIS OF THE COMPANY: Strength: 1. It has a good brand image in the Market. 2. The retailers are well aware of the Nilgiris Brand and its products 3. There is no problem about shelf life as these products have good self life. 4. Taste of the product is good.
44
Organization study 5. Infrastructural facilities is very good 6. Experience employee and employer 7. The company is located in good place.
Weakness: 1. Package is not good look. It is large is size. 2. It should not giving any offer to retailers. 3. Company concentrated only few areas 4. Promotion activities is not so good 5. Price of the product so high 6. Concentrated only on few brands 7. Not providing the credit facilities 8. Outlets only in few areas 9. Only it concentrated in India only.
Opportunities:
1. They have an opportunity to expand the business 2. They have a chance to open many outlets 3. They introduce many brands 4. They have a chance to concentrate many areas 5. They have an opportunity to produce or manufacture at low cost 6. They have an opportunity to recycle the wastages
45
Organization study 7. They have opportunity to move or to carry the business activities.
Threats: 1. It threats it for it competitors 2. It threats to replace the products 3. It threats to expand the business 4. It threats to give offer to the retailers 5. It threats to give credit facilities
8. FINDINGS: During internship training, I have gained a lot of practical knowledge of the theoretical concepts. Theoretical concepts like administrative, management, technical etc., are easy to understand but they tend to be complex implementation. There are specialized departments for the proper functioning of different activities. Technical department officials look after the proper functioning of machinery to optimize the production.
46
Organization study Personnel department officials, like personnel manager L.W.O training officer motivate the male and female workers. Administrative department maintains a record of sales, wage and salary absenteeism, PF sanction of education bills etc.
The organization is liberal and has been facilitating the welfare of its employees. I also learnt how the production process takes place starting from stores department, the raw material passes through the various section or hands to form a good qualified finished product. The production department various records of daily, weekly and monthly transactions. I also learnt that how the production units star processing according to the customers orders and according to customer’s requirements based on the quotations placed by the customers. The daily work is based on reaching minimum targets by the employees. A period of six weeks was allotted for obtaining practical knowledge of the theoretical concepts. theoretical concepts are easy to understand but the practical implementation of theoretical concepts tends to be complex in nature. Even minor theoretical concepts have a vital role in implementation it has to be carefully maintained. The study in this company helped me in implementing the Theoretical concepts in practical would. Despite competition from the competitors, the company is doing well in its activities. The company in competing with other companies has been concentrating on customization as well as standardization of product. It is dealing with wide range of products which meet the customer needs by their retail outlets.
9. SUGGESTIONS AND CONCLUSIONSS
SUGGESTION:
1. Need to maintain the quality of the products as in past days. 2. They production department has to check over the lag and lead times 3. production department has to take over the advanced technology.
47
Organization study 4. management has to adopt the new targets. 5. Increase the customer relationship. 6. The company should instruct the distributor to provide credit facility. 7. By increasing the sales. The company can increase the distribution network and it covers all areas of Bangalore city.
CONCLUSION:
The recommendation provided is strictly based on the information gathered by market surveys. The details or information were collected the customer samples of Bangalore only.
48
Organization study From the above detail we can easily conclude that Nilgiri’s has various effective promotional activities, which are very different than others. Nilgiri’s should also have the option of their product to be exhibited in other company’s outlets for making their promotional activity more effective. This can also be done by investing more on advertising in magazine, newspaper, radio city, internet, banners etc.
I conclude that the company should concentrate on efficient distribution of Bakery products and attractive packing instead of its products.
BIBLIOGRAPHY
1. human Resource and personal Management K. Aswathppa Second Edition
2. “ Behavior in organization”
49
