ujala co projct

JLL

INDUSTRY PROFILE

Fast Moving Consumer Goods (FMCG) are products that are sold quickly at relatively low cost. Though the absolute profit made on FMCG products is relatively small, they generally sell in large quantities, so the cumulative profit on such products can be large. FMCG Products are generally replaced of fully used up over a short period of days weeks, or months, and within one year. This contrasts with durable goods or major appliances such as kitchen appliances, which are generally replaced over a period of several years. FMCG industry provides a wide range of consumables and accordingly the amount of money circulated against FMCG products is also very high. The competition among FMCG manufacturers is also growing and as a result of this, investment in FMCG industry is also increasing. The industry has a good market potentiality because of low operating cost and strong distribution networks. Population growth is another factor which is responsible behind the success of this industry. It creates a wide range of job opportunities. This industry is a stable, diverse, challenging and high profile industry providing a wide range of job categories like sales, sales, supply supply chain, chain, finance, finance, marketi marketing, ng, operati operations, ons, purchasi purchasing, ng, human human resource resources, s, product development and general management. FMCG industry is characterized as, a defensive sector with relative inelastic demand, time –lag between expansion of income and impact on industry, low technological barriers in terms of technology or investments, imagery and price premium central to FMCG marketing, new custom customer er acqui acquisit sition ion throu through gh smal smaller ler-si -size zed d packa packagin ging g and low unit unit prices prices,, high high competition at various price points especially at the regional levels, enhanced bribing of customers through freebies, focus on increasing reach. Household care products are a major segment of the FMCG industry. industry. Household care compris comprises es househol household d cleaner cleaners, s, laundry laundry care, care, toilet toilet cleaners cleaners,, air freshen fresheners, ers, insecti insecticid cides, es, Mosquito repellents, polishes and other products related to household care.

Rajiv Gandhi Institute Of Technology, Bangalore

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INDIAN OVERVIEW The Indian FMCG sector is the fourth largest in the economy in globally. As per The Federation of Indian Chambers of Commerce and Industry (FICCI) the estimated market size of the FMCG segment in India is Rs 113,000-crore. Industry projections estimate growth at 30% in 2009-10. The industry recorded 17-18% volume growth in the last financial year. The FMCG industry in India was worth around US$ 16.03 billion in August 2008.The middle class and the rural segments of the Indian population are the most promising market for FMCG, and give brand makers the opportunity opportunity to convert them to branded products. Most of the product categories like jams, toothpaste, skin care, shampoos, etc, in India, have low per capita consumption as well as low penetration level, but the potential for growth is huge. The Indian FMCG industry is divided into five primary segments – personal care product products, s, househol household d care care products products,, packaged packaged food products products,, branded branded spirit spirit and tobacco tobacco products as well as health care products. GLOBAL OVERVIEW Even as the Indian FMCG is governed by local, regional and national undercurrents, it worked as a subset of the global FMCG industry as well. The global FMCG market was valued at USD 230 billion. Almost 70% of the global FMCG market was accounted for by developed geographies like the USA, Europe and Australia.

Western Europe

31%

Africa/Middle East

4%

Australia

2%

Asia Pacific

25%

Latin America

10%

North America

Eastern Europe


22% 6%

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COMPANY PROFILE

Jyoth Jyothy y Labor Laborat atori ories es Limi Limite ted d (JLL) (JLL) is a fast fast movin moving g consum consumer er goo goods ds (FMC (FMCG) G) company and caters to the fabric care, household insecticide, surface cleaning, personal and air care segments of the Indian market. JLL’s products include fabric whitener, mosquito repel repelle lent, nt, dishw dishwas ashin hing, g, bath bath and and incens incensee produc products. ts. With With 21 manuf manufact acturi uring ng units units in 14 locations across India, JLL has a distribution sales network of over 1,500 people catering to approximately 2,500 distributors. Its flagship brand, ‘Ujala’ a fabric whitener has a dominant market share of 73.50 % and it had a growth of 13% in the last financial year 2008-09(March ending). The other major brands Maxo and Exo had a growth of 30.8% and 98.7 respectively respectively in the FY 2008-09. The Company’s future plans include, launching of Exo Round Dish Shine Bar, increasing increasing Ujala Stiff and Shine’s market presence, entering into joint ventures for sales and mark marketi eting ng of brand branded ed produc products ts,, pursui pursuing ng select selectiv ivee acquis acquisit ition ionss and concen concentra trati ting ng on supermarket and hypermarket sales.

a. BACKGROUND AND INCEPTION OF THE COMPANMY Jyothy Laboratories Limited (JLL) was established in 1983 by M.P. Ramachandran, a sole proprietorship firm in Kerala which was involved in the business of manufacturing and selling fabric whitener under the name “Ujala”. It started by manufacturing and selling a single product, Ujala. As of now, they are into fabric care, household insecticide, surface cleaning, personal care and air care segments. Key brands include Ujala, Maxo, Exo, Jeeva and Maya. Jyothy Laboratories limited engaged across the complete FMCG product cycle management, management, research, manufacture, manufacture, marketing and branding. It concentrated in marketing marketing a range of daily household and personal care products. It headquartered in Mumbai with a nationwide distribution network. The Company incorporated as Jyothi Laboratories Private Limited on January 15, 1992. 199 2. It becam becamee a pub publi licc limi limite ted d comp company any furthe furtherr the the name name was was change changed d as Jyoth Jyothy y Laboratories Limited on October 6, 1995. Further the name changed to Jyothy Laboratories Limited Limited on August 12, 1996. And the Registered Registered Office was moved from Kerala to Mumbai on July 7, 2000.


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Jyothy Laboratories Limited was listed on Indian Stock Exchanges in 28th June 1996 through an IPO with price band of 620-690. It issued 44,30,260 equity shares at Rs 5.00 each. History Year

Events

1983

Mr. M. P. Ramachandran starts Jyothy Laboratories concern in Kerala. Ujala is launched.

19 84

Ujala is sold house to house through a team of six sales people in several districts of Kerala.

19 86

Jyothy Laboratories releases its first print advertisement in the Kerala based Mathrubhoomi newspaper.

19 87

Jyothy Laboratories starts advertisements on radio. Jyothy Laboratories graduates to a formal distribution system. Jyothy Laboratories ventures out of Kerala to the neighboring State of Tamil Nadu.

19 92

Chennai factory is commissioned to make Ujala. Company was incorporated.

19 94

Commission the Pondicherry plant, first in backward area utilizing Government incentives.

19 95

Launch Nebula, an oil based antibacterial washing shop in Kerala.

19 97

Launch Ujala all over India.

20 00

Launch Maxo (mosquito repellent) in the state of We W est Bengal. Exo , an antibacterial dish wah bar, is launched in Kerala and Later Lanched across Karnataka, Tamil Nadu and Andhra Pradesh.

20 01

Launch Vanamala washing soap in Kerala. Launch Maya incense sticks in selected states. Acwuire the detergents plant at Pithampur, Madhya Pradesh From Tata Chemicals Limited.

20 02

Acquire subsidiary, Sri Sai Homecare private Limited, which


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has Mosquito coil production facility in Hyderabad. Launched Jeeva Ayurvedic Soap.

20 03

Maxo is awarded the “AAA Brand Performance Award” by the All India Advertisers Assosiation.

20 05

Exo Liquid and Ujala Stiff & Shine launched in south India.

20 07

Acquires trademark and copyright for the More Light and Ruby Brands. Got listed in NSE/BSE

20 08

Launched Ujala Stiff and Shine all over India.

20 09

Moves its registered office to its own building ‘UJALA HOUSE’ in Mumbai Celebrated the 25th Anniversary of Jyothy Laboratores. Forays into service sector through new venture ‘ Jyothy Fabricare Services Limited’ to provide worldclass laundry at affordable price at consumer doorstep.

b. NATURE OF THE BUSINESS CARRIED Jyothy Laboratories Limited is the company which have great market share in the field of FMCG products in India. It carrying the business of household FMCG, fabric cares, insecticide, personal cares etc. The key brands are Ujala, Maxo, Exo, Maya, and Jeeva.

Jyothy Laboratories Limited (JLL) is a fast moving consumer goods (FMCG) company and caters to the fabric care, household insecticide, surface cleaning, personal and air care segments of the Indian market. JLL’s products include fabric whitener, mosquito repellent, dishwashing, bath and incense products. With 21 manufacturing units in 14 locations across India, JLL has a distribution sales network of over 1,500 people catering to approximately 2,500 distributors.

c. MISSION,VISION MISSION,VISION AND QUALITY POLICY

MISSION

Provide brands that denote superior quality, to touch and positively impact the daily lives of consumers. To ensure that our brands, business operations and corporate policies Rajiv Gandhi Institute Of Technology, Bangalore

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translate the core philosophy of offering value for the money spent to experience our products. Ensure that our people, processes and products reflect the ideals of integrity, ethics and professionalism.

VISION

Develop innovative brands, tap high growth categories, reach untapped markets and explore untapped segments to meet the day-to-day requirements of every Indian household.

QUALITY POLICY

The Company adhered strictly to R&D-defined quality norms for superior products. The vendors’ site and raw materials were checked to match desired quality. In-process quality checks monitored process effectiveness. End products were checked for proper packaging and leakages. The Company’s strong quality discipline resulted in ISO 9001 and ISO 14001 certifications across most of its manufacturing units.

d. PRODUCT PROFILE The entire production activities of the company having places under the production department, JLL has a well-established production planning and control system. The products are,


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1. Ujala jala Sup upre reme me

Ujala is synonymous with the genesis of Jyothy Laboratories Limited and has created history in more ways than one. Ujala - the flagship brand of Jyothy Laboratories Limited marked the beginning of endeavor to offer innovative and value for money products to the Indian consumer. The product category for a liquid fabric whitener was literally non-existent prior to the advent of Ujala. While the “HAVE YOU CHANGED OVER TO UJALA” punch phrase captured the imagination of people throughout the country, Ujala ushered in a revolution, with consumers shifting from powder blue to liquid blue. Positioned on the platform of whiteness and brightness, Ujala is a market leader in its category - the growing market share is a testimony to the brand’s popularity.


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Ujala Supreme - used as a post-wash application for brightening white clothes has an instant whitening system that assures uniform and consistent results. Ujala Supreme is available in 9ml, 30ml, 75ml ,125ml and 250 ml bottles.

2. Ujal Ujala a Was Washi hing ng Powd Powder er

Ujala Super Washing Powder – launched with an innovative formula is a reflection of the constant endeavour of the R&D centre at Jyothy Laboratories Limited. Ujala Super Washing Powder, with its advanced cleaning power ensures superior cleaning at a reasonable cost. While its special action penetrates deep into clothes to dislodge stubborn dirt, oil and stains, Ujala Super Washing Powder has pleasant fragrance, leaving clothes fresh and clean. Absolutely soft and safe on hands, Ujala Super Washing Powder is tough on grime and provides superior cleaning at an affordable cost. Ujala Super Washing Powder is available in 25gm, 500gm and 1kg packs.

3. Ujal Ujala a Sti Stiff ff & Shi Shine ne

Ujala Stiff & Shine is a shining example of the product development initiatives of the R & D division at Jyothy Laboratories Limited. Positioned uniquely to address the need to keep ensure that clothes retain the crisp feel and a sparkling appeal, Ujala Stiff & Shine is

specially formulated to maintain clothes at their crisp and shining best. It is suitable for clothes of all fabric type and colours. A post-wash liquid fabric enhancer, Ujala Stiff & Shine helps provide the stiffness for that crisp look without the white patches and bad odour commonly associated with starch. What’s more, unlike the inconvenient and messy experience of using starch, Ujala Stiff & Shine is handy and easy to use. Ujala Stiff & Shine gives that special sheen to clothes, making them as good as new - offering premium quality and utmost care for your laundry. Ujala Stiff & Shine is available in 20gm sachets, 100ml and 200ml bottles.

4. Maxo Aer Aerosal osal

Maxo Aerosol is a must have in your household kit – to ward off pesky pests. Fully loaded with a potent combination to ward off cockroaches, ants, houseflies, lizards etc. Maxo Rajiv Gandhi Institute Of Technology, Bangalore

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Aerosol is formulated to hunt out these pests from their hideouts and eliminate them. Maxo Aerosol is presented in handy containers of 150ml and 300 ml.

5. Maxo Cyclothrin Coil

Maxo – the offering in the Household Insecticide segment from Jyothy Laboratories Limited took the mosquito repellant market by storm. Maxo Cyclothrin coils have been developed to offer total protection from mosquitoes. While other mosquito coils tackle mosquitoes only when they come in proximity to the coil, the unique action of Maxo Cylothrin coil smokes out mosquitoes from their hideouts and destroys them - providing corner to corner protection and a peaceful sleep all through the night. Besides having a pleasing fragrance, Maxo is specially designed to avoid breakage while separating the coils from the packaging. Maxo Cylothrin coils are available in Regular, XL and Giant sizes and provide protection for 8, 10 and 12 hours respectively.

6. Maxo Maxo Cycl Cyclot othr hrin in Liq Liqui uid d

Maxo Cyclothrin Liquid in a handy liquid vaporizer format offers complete and cost effective protection for 45 and 60 nights. Formulated with active ingredients, this vaporizer provides a potent and convenient solution to counter mosquitoes and constitutes the first line of defence against potential diseases and health hazards. Maxo vaporizer is available in bottles of 30ml for 45 nights and 45ml for 60 nights.

7. Exo Dish Wash Bar

Exo Dish wash is yet another offering that draws on the wealth of experience of our R & D division. The product is not meant to just clean utensils, but also provide protection form bacteria and harmful germs. Fortified with powerful anti-bacterial agents, Exo Dish wash bar fights and kills disease causing bacteria that enter food through contamination of utensils. The powerful formula removes sticky oil stains, grime and stubborn burnt food residues from utensils and makes them safe and sparkling. Exo Dish Wash Bar is available in 190gms and 380gms packs.

8. Exo Exo Dish Dish Was Wash h Liqu Liquid id Rajiv Gandhi Institute Of Technology, Bangalore

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Exo Dish Wash liquid presents all the potent qualities of the innovative Exo formulation in a convenient to use liquid variant. Exo Dish Wash Liquid is the only anti bacterial dish wash liquid with Cyclozan as the active ingredient. Convenient and handy, this is ideal for stainless steel, crockery, cutlery and non-stick kitchen ware. Exo Dish Wash Liquid ensures streak less glasses, gleaming cutlery and sparkling dishes while disinfecting them. Exo Dish Wash liquid is presented in elegantly designed 500ml bottles & 125ml bottles.

9. Jeev Jeeva a Natu Natura rals ls

Jeeva Naturals is yet another special offering from Jyothy Laboratories Limited’s Personal Care portfolio. This specially formulated beauty soap range is packed with hand picked ingredients from nature to enhance the experience for the discerning consumer. Jeeva Naturals is a range of soaps that encapsulates the goodness of coconut milk. Coconut milk is nature`s treasure trove of minerals, vitamins, essential oils and proteins. This is further enriched with other natural ingredients like Kasturi Manjal, Milk protein and Jasmine, renowned for their skin nourishing benefits. Jeeva Naturals is available in three variants Coconut Milk with Milk Protein, Coconut Milk with Jasmine and Coconut Milk with Kasturi Manjal, and is presented in 75gm packs.

10. Maya

Maya is a fragrant offering from Jyothy Laboratories Limited comprising of a wide range – an ideal fragrance for every occasion in the form of agarbathis (incense sticks). Inspired by nature, the enchanting array of incense sticks provides the perfect ambience and enhances the experience to match every mood. Carefully selected, each fragrance from the exotic collection is formulated to spread faster and linger longer. The Maya bouquet comprises of a wide range of floral, traditional and aromatic fragrances like Rose, Jasmine, Sandal, Sarvasugandhi, Magic, Milan, Prarthana and Raaga 4-in-1, with many more varieties collection. The Maya range is presented in attractive pouches and cartons containing 8, 15, 20, 40 and 100 sticks. Rajiv Gandhi Institute Of Technology, Bangalore

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e. AREA OF OPERATION Jyothy Laboratories Limited is operating in the FMCG industry in India. It has a well established distribution network and very skilled manufacturing units across in India. It manufactures the products through manufacturing facilities in 14 locations across India, eight of which are tax efficient units. Tax efficient facilities are set up to take advantage of certain tax breaks offered by the central and state governments. Manufacturing facilities located in these geographical locations are granted the following •

Exemptions from income tax on profits made from these facilities.

•

Exemptions and refunds of excise duty on products manufactured at those units.

•

Exemptions from payment of VAT on sales of products of these units within specified areas by concerned state governments.

Jyothy laboratories esatablished a distribution network across india with a sales staff of over 1500 people servicing approximately 2500 distributers, Ujala fabric whitener was available in approximately 2.80 million outlets in india as June 30, 2007.


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Manufacturing Facilities across India

f. OWNERSHIP PATTERN Jyothy Laboratories Limited incorporated as Jyothi Laboratories Private Limited on January 15, 1992. It became a public limited company further the name was changed as Jyothy Laboratories Limited on October 6, 1995. Further the name changed to Jyothy Laboratories Limited on August 12, 1996. Now the copmany is operating as a public limited company in the industry. The initial authorised capital of company was Rs. 2,000,000 comprising 400 equity shares with a face value of Rs. 5000 each. Board of Directors Mr. M. P. Ramachandran……………Executive Director (Chairman and Managing Director) Mr. K. Ullas Kamath………………...Executive Director ( Deputy Managing Director) Ms. M. R. Jyothy…………………….Executive Director Mr. Nilesh B. Mehta…………………Non-executive independent Director Mr. K. P. Padmakumar………………Non-executive independent Director Non-executive independent Director Mr. Bipin R. Shah……………….... Non-executive


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g. COMPETITORS INFORMATION •

Hindustan Unilever Limited

•

Procter & Gamble

•

Godrej Group

•

Cholayil pvt ltd

h. INFRASTRUCTURAL FACILITIES Medical Facilities •

First aid appliances

•

Ambulance

•

Doctors

Well furnished office buildings •

Sitting arrangements

•

Lunch room

•

Ventilation/lighting

•

Toilet

•

Lighting

•

Drinking water facilities

•

Seminar hall

•

Lifts

•

Racks

•

Telephone facilities

Well furnished Plant and Technology •

21 manufacturing plants across India

•

ISO 9001 and ISO 14001 certified plants

•

Vacuum Dryer

•

Lighting

•

Mixer Machines


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•

Generator arrangements

•

Bottling machine

Storage •

Packing Department

•

Warehouse

Safety and Security •

Fire extinguish

•

Emergency Exit

•

Security Guards and cameras

•

Transportation facilities

i.

ACHIVEMENTS AND AWARDS

ACHIEVEMENTS 1. Jyothy Laboratories releases its first print advertisement in the Kerala- based Mathrubhoomi newspaper in 1986. 2. Ujala be becomes omes a IN INR 10 100 cr crore ore Bra Bran nd in1 in199 999. 9.

3.

Dive Diversi rsifie fied d into into the hou househ sehold old insec insecti ticid cidee and and untens untensil il care care segm segment entss with with

the launch of Maxo and Exo new brands. 4. Acquires trademark and copyright for the More Light and Ruby brands. 5. Moves its registered office to its own building ‘UJALA HOUSE’ in Mumbai at 2008.


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6.

Forays into service sector through new venture ‘ Jyothy Fabricare Services Limited’

to provide worldclass laundry at affordable price at consumer doorstep. AWARDS 1. Awarded the ‘AAA Brand Performance Award’ for Maxo by the All India Advertisers Association in 2003. 2. Company was awarded the ISO-14001 Certificate and a ISO 9001 certification for all of its manufacturing facilities & R & D Centre.

j. WORK FLOW MODEL


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k. FUTURE GROWTHS AND PROSPECTS


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MCKENSEY’S 7S FRAME WORK The 7-s framework of MCKENSY ‘S is a value based management (VAM) model that describes how one can effectively organize the company. Together these factors determine the way in which a corporation operates.

Origin of the 7-S Framework The 7-S framework was first mention in the art of Japanese management by the Richard and Antony Athens in 1981. They had been investigation how Japanese industry had been so successful. At around the same time that Tom Peters and Robert Waterman where exploring what made a company excellent. The seven S model was born at a meeting of these four authors in 1978 it appeared also in research in search of excellent by Peter Sand Waterman, and was taken up as a basic tool by the global management consultancy since then it is known as 7-S model. The Meaning Of the 7-S


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SOFT Ss

The 4s across the bottom of the model are less tangible, more cultural in nature, and were termed soft ‘Soft Ss’ by McKensy. Skills: The capabilities and competencies that exist within the company.

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

Staff: The Company’s people resources and how they are developed, trained and motivated.

Style: The leadership approach of top management and the company’s overall operating

approach.

HARD Ss’

The 3 Ss across the top of the model are described as ‘Hard Ss’.

Strategy: The direction and scope of the company over the long term.

Structure: The basic organization of the company, its departments, reporting lines, areas of

expertise and responsibility (and how they inter relate).

System: Formal and informal procedures that govern everyday activity, covering everything

from management information systems, through to the systems at the point of contact with the customer (retail systems, call centre systems, online systems, etc)


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STRUCTURE

BOARD OF DIRECTORS

CHAIRMAN & MANAGING DIRECTOR

DEPUTY MANAGING DIRECTOR

SALES

FINANCE & ACCOUNTS

MARKETING

GM NORTH Rajiv GandhiCFO Institute Of Technology, Bangalore & CS DIRECTOR

OPERATIONS

RESEARCH & DEVELOPMENT

VP- R&D

HUMAN RESOURCES

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GM WEST GMOPERATIONS

GM

GM EAST

GM SOUTH

AGM

MGRMARKETING

MGR- HR

GM – General Manager

VP – Vice President

AGM – Assistant General Manager

MGR - Manager

CFO – Chief Financial Officer CS – Company Secretary

DEPARTMENTS

An organization to perform efficiently goes for the diversion diversion of work. Dividing Dividing of work naturally naturally means identifying identifying of individual individual activities, which in turns helps in organization organization goals. But once the various activities are identified then that has to be grouped on some logical base so that group can be organized “Departmentation refers to process of growing activities into units for the purpose of administration Jyothy Laboratories Limited departmentation departmentation

1.

Finance

2.

Marketing

3.

Human Resources

4.

Research and Development

5.

Production

6.

Sales


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7.

Quality Control

FINANCE DEPARTMENT STRUCTURE

DEPUTY MANAGING DIRECTOR

CHIEF FINANCIAL OFFICER

GENERAL MANAGER FINANCE

ASSISTANT GENERAL MANAGER FINANCE

ACCOUNTS OFFICERS

CLERKS Rajiv Gandhi Institute Of Technology, Bangalore

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Jyothy Lab Limited follows a centralized Accounting system. It’s having its own policies. policies. A part of profit is used as working working capital. capital. Chef Financial Financial Officer is the head of this department. Jyothy Lab maintains proper books of account every year 1) Planning of funds:

Careful estimation of total funds require by the manager is called planning of funds. It can be either fixed or current asset or also working capital requirement. The working capital estimation is made by deep analysis as the BSP which deals with the steel production which needs more capital. 2)Allocation of Funds

Not only planning of funds but also to provide the funds to the proper place at proper time are also an important task to be done by the financial manager the financial manager first studies the requirement and then distributes funds. It spends most of the amount for the improvement of the company’s services and also for fixed assets like machinery.


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4.

DIVI DIVIDE DEND ND DECI DECIS SION ION

Dividend is the percentage of profit paid to the shareholders. So dividend decision is the profit how much should a shareholder get paid. The profit percentage percentage is decided after considering the profit like market price of shares, tax position of shareholder, profitable use of funds. The dividend issued by Komul is up 255 of its profits. This varies from year to year depending upon the factor. 3) Investment Decisions

The decision on the investment whether it should be of capital or assets comprises the investment decision. The investment in capital asset is done after a careful study over the profitability, safety liquidity and solvency factor of that asset.

4) Recording of Information

All the transactions are recorded in the journal and posted to ledger. Each pin of trans transac acti tion on is recor recorded ded that that takes takes place placess as it helps helps in bette betterr contr control ol and effec effecti tive ve supervision of funds. 5) Preparation of Financial Statements and Evaluation

The financial department will prepare the year ending financial statement to check the the profi profitt and loss of the the dairy dairy of that that parti particul cular ar year. year. It also also evalu evaluate atess the post post performance and the present and takes the corrective messages if required.BSP submits its annual reports to the concerned departments regarding its financial strengths and weakness of the firm by properly establishing relationship relationship between the items of balance sheets, profit and loss account. MARKETING DEPARTMENT STRUCTURE

MANAGING DIRECTOR


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DIRECTOR OF MARKETING

MARKETING MANAGER

MARKETING OFFICER

MARKETING FIELD OFFICER

Jyot Jyothy hy Lab’ Lab’ss mark market etin ing g is a key key fact factor or in deve develo lopi ping ng bran brand d awar awaren enes esss and and stimulating consumer demand.Over a period of time Jyothy Lab have build substantial brand equity for the products and services as a result of the effort of marketing system. Jyothy Lab invest in advertisements advertisements aand salespromotion salespromotion (SAP) to build awareness and loyalty for brands in the minds of consumers. During the financiall year ended June 30, 2006, ASP expenditure expenditure constituted constituted 9.08% of the consolidated consolidated total income and during during the financial year ended June 30, 2007, it was 9.09% of the consolidated total income. ASP is incurred both on strengthening established brands and nurturing new ones. JLL use various media such as television, radio, press, outdoor hoardings, and the internet to communicate with consumers. It also focus on marketing to retailers ti increase brand awareness and generate positive placement of out products in retail outlets. HUMAN RESOURCES DEPARTMENT STRUCTURE

MANAGING DIRECTOR

H R MANAGER Rajiv Gandhi Institute Of Technology, Bangalore

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Personnel officer

Legal Officer

Executives

Dept. Staff

Jyoth Jyothy y Labs Labs a profes professio siona nall lly y manag managed ed comp company any that that has has sought sought to build build for itsel itselff a stimulating work culture that empowers people, promotes team building, encourages new ideas and motivates performance. JLL belive in meritocracy and this policy commeneces with with hirin hiring g indivi individua duals ls with with the right right experi experienc encee whil whilee ensur ensuring ing that that progre progress ss in the organization is not dependent solely on tenure. As at July 31, 2007, JLL had over 3,400 employees in ndia . The number of employees in each of divisions as of that date is follows: Sales (All India) – 1362 employees; Production (21 factories) – employees; Machine Designing & Fabrication – 90 employees; Information Technology – 15 employees; Research & Development – 14 employees; and Administration (head office and regional officer) – 71 employees. As at july 31, 2007, approximately 475 of employees at two locations were members of trade unions and JLL entered into wage settlement agreements with then. JLL have had no recent strikes or work stoppages and JLL have a good relationship with the workforce.


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PRODUCTION DEPARTMENT STRCTURE

GENERAL MANAGER OPERATIONS MANAGER PRODUCTION ASSISTANT MANAGER PRODUCTION TECHNICAL OFFICER PLANT SUPERVISORS ADMINISTATIVE ASSISTANT TECHNICIANS PLANT OPERATIONS HELPERS

Production refers to the transformation of various raw materials inputs into physical outputs or finished products. Among all the functional area of management production production is considered to be crucial in any industrial organization. All other activities revolve around this activity. The end product. Of the production activity is the creation of goods and services for the satisfaction of human wants. Production activity is the step-by-step process by which raw material and other inputs are converted into finished goods or products.

RAWMATERIALS: Across the products that JLL makes, some of the major raw materials include HDPE, acid slurry, synthetic organic dye, Koylene, LABSA, Esbiothrin and brown saw dust. High Density polyethylene (HDPE) is used for packaging purposes and it is the largest raw material consumed by the company. Brown saw dust, required for the mosquito repellent coils is a Rajiv Gandhi Institute Of Technology, Bangalore

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seasonal commodity and is stock piled to ensure year round production of coils. JLL is a large consumer of plastics. The costs of this packaging material are directly linked to global crude oil prices. A spurt in the same could lead to reduced margins. SKILL

Jyothy laboratories belives that employee base is a key compitative advantage. The senior management team has a breadth of experience in the FMCG industry. The skills and diversity of employees gives the flexibility to respond to the needs of our customers and customers. The company dedicated to development of expertise and know-how of the employees and continue to invest in them through training and skills. JLL’s well-qualified well-qualified and experienced management management team has played a key role in the development of good corporate governce, effective internal controls and accounting polici policies, es, strong strong employ employee ee relatio relation n s, and stable stable supply supply chain chain relati relationsh onships. ips. The organization provides different types of training for the employees in the different jobs. They are INTERNAL TRAINING:

Training needs of various departments are provided by the human resource/

Administration department, based on the course planner. 

Periodical training is given to the marketing executives.



Both on job and off job training is provided to the technical and clerical staff.

EXTERNAL TRAINING:

Specialized training to technical and quality control staff



Seminars, convention, conference and workshops.



Customer awareness



In plant training will be given to the employees and students.


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STYLE

The organization has a Top down style of management. It also has a Participative style of management management where the orders flow from from the superior to the subordinate. subordinate. It has a two-way two-way communica communicatio tion n from both the directi direction on in the organizatio organization. n. The management management gives more importance importance to the employee’s employee’s views while the decision is to be taken it also considers the farmers views while taking some decision as it is a cooperative society. Top down Decisions •

Fixing the targets to the employee and the workers who are working in the organization.

•

Reducing or increasing the price of the product

•

Policy issues

LEVELS OF MANAGEMENT

The organization has got three levels of management: TOP LEVEL

It includes includes board of directors, directors, chairman, chairman, managing managing director and and chief general general manager manager and senior executive come under this level. They are concerned in determining policies, plans and procedures of the Union MIDDLE LEVEL

It includes all the department heads, Such as, General Manager for personnel, Financial and Processing department, marketing department.

LOWER LEVEL


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It includes all the clerks and employee employee working under different department. department. These clerks and employees are working under the guidance and control of the departmental heads i.e., of General Manager. STRATEGY

Jyot Jyothy hy Lab Lab inte intend ndss to work work towa toward rd achi achiev evin ing g the the visi vision on and and to grow grow busi busine ness ss by implementing the following key strategies. 1. Leverage the dominant Ujala brand with other branded fabric care products, the Ujala

Stiff and Shine and Ujala Washing Powder. JLL believe that the well-known brand eqity of ujala and wide distribution reach will help successfully develop ujala stiff and shine as a national brand and ujala washing powder as a strong regional brand. 2. JLL plan plan to increase increase the market market share share and presence presence of the the Maxo products products those those liquid liquid vaporizers, aerosol spray and coils. 3. JLL intend intend to utilize wide distributi distribution on network network and marketing marketing expertise expertise to attract attract joint joint venture partners with existing branded products as well as new and innovative product ideas. 4. JLL seek to improve effeciencies and cost from the sourcing of the raw materials to

the supply of products to consumers. 5. JLL seek seek to increase increase focus focus on supermarke supermarkett and hyperma hypermarket rket sales. sales. 6. JLL intend intend to make acquisitio acquisitions ns in the future as as part of of our growth growth strategy strategy in in India and intend to target acquisitions which will strengthen market position in key product areas or manufacturing capabilities. SYSTEM INFORMATION TECHNOLOGY SYSTEM

Information technology systems are important to the business. JLL is heavily reliant on information technology system in connection with •

Order booking


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•

Procurement of raw material

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Accounting

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Production

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Distribution

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Disaster recovery systems

Information technology system is a very efficient system which helps JLL to work more effectively and faster as much accurate in the operations, quality control, finance, marketing and all in the business activities. Information technology system is very sensible so any failure in IT systems could result in business interruption, adversely impacting the reputation and weakening if our competitive position and could have a material adverse effect on the financial condition and results of operation but JLL have many experienced employees to maintain the information technology systems very smoothly, so the information technology system is very effectively applicable in JLL. STAFF

The success of JLL is dependent on the expertise and services of the management team it includes all employees and staffs in the organization. It has over 3,400 employees in india and the organization has established a distribution network across india with a sales staff of over 1,500 people serving approximately 2,500 distributers. The sales force headed by four general managers included 36 state managers, 165barea officers and 1,165 market intelligence assistants. All the employees are given “PUNCH CARD” to use it as a record of their presence. It also owns a ‘time recording machine’ for employees. SHARED VALUES

The basic philosophy of Jyothy Laboratories Limited is to achieve business excellence and to create and enhance the value for its share holders, Customers, Employees and Business Associates and thereby to make a significant contribution to the Economy. The company


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endeavors to achieve the highest level of transparency, accountability, integrity and responsibility by following the best practices in Industry. SWOT ANALYSIS

After a keen observation over the organization and the various departments of Komul, the following strength, weakness, opportunities and threats are known Strengths Good reputation among customers. • Well-established distribution network extending to rural areas. Strong brands in the FMCG sector. Low cost operations. • •

•

Quality

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Weaknesses Low export levels. Small scale sector reservations limit ability to invest in technology and achieve economies of scale. Several ‘me-too’ products. • •

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Advertisement spending etc is limited.

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Opportunities Large domestic market. Export potential. Increasing income levels will result in faster revenue growth. • •

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Mid class buying behavior

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Threats Imports • Tax and regulatory structure. Slowdown in rural demand. •

•

•

Emergence of new competitors.


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SUMMARY OF LATEST ANNUAL REPORT

•

The “Sales” of the company registered a growth of 28.65% which is increased to 117.86 crores in 2007-08.

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The Loan funds had decreased from Rs 6.37% crores in the year 2006-07 to Rs 86.9 crores.

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The reserves and surplus has been decreased 3.99% compare to the previous year.

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Profit and loss a/c has been increased in present year of 07 to 55.03%

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The fixed asset of the company has decreased in 2007 compared to the previous year of 2006.

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The current asset of the company had been decreased compared to the previous year 2.74%

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The current liabilities liabilities of the company as decreased to 6.13% compared to the previous year.


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LEARNING EXPERIENCE The in-plant training at Jyothy laboratories limited was very much useful for me for knowing about organizational structure and formations and it’s working. It helped me gain practical knowledge about different functions of various departments of the company. All the staff in the company was very much cooperative and very keen to explain each and every aspect. Thus through training I was able to make a thorough study of the company’s activities in each section and was able to acquire practical knowledge in this field. This study was of great benefit for me to my future career. Four weeks in-plant training at Steel complex limited gave me an opportunity to know about the industrial world. In the company I learned about how the management theories and concept applied in an organization. I saw how few managers managed a large number of employees and machines to run the company in a profitable way. More over the in-plant training was a good exposure for me to the working conditions of the organization. Another important aspect which I noticed in the company was regarding the discipline followed in the office. The employees were very friendly and co-operative. The great thing about the company is that they were really making use of the moti motivat vation ional al theor theorie iess to moti motivat vatee the the peopl peoplee in the organ organiza izati tion. on. Th They ey concen concentra trate te on motivating the people towards the organizational goals. They motivating and managing the people without any conflict. Since the company is a government enterprise, they follow autocratic style of leadership. Then also they take feedbacks from the employees and consider those aspects in decision making process. In the nearby future the company is going to be a joint venture. All the employees of the organisation are well trained to adapt any changes made by the organisation. I came across some departments in the organization. They are: Finance department Human resources department Production department Quality control department Rajiv Gandhi Institute Of Technology, Bangalore

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Each department plays an important role for the success of the organization. Even one department not functioning properly definitely the working efficiency will come down of that company. Also Also in today today’s ’s compe competi titiv tivee world world all all compan company y shoul should d follo follow w the the Integ Integrat rated ed Marketing Marketing i.e. all the departments departments must be tightly integrated keeping the market as pivotal in order to beat the competition.. To conclude it was a great experience for me for the entire four weeks in the Jyothy Laboratories Laboratories Ltd. The practical practical experience gained by me during my in-plant training training is a lot. It is entirely different from the theory what one learns in the class room. The situations read and explained theoretically are fully different when it comes to the practical. The practical situation situation broad in nature and they are entirely different from one situation to another. I felt it as a golden opportunity to inter link what I have learned in the class room with practical functions of an organization.


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ujala co projct

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