INTRODUCTION

Yuksom Breweries Limited – established in the year 1987

Location – The base of Mount Kanchenjunga along Eastern Himalayans,

Yuksom uses the purest mountain spring water to produce premium quality Beer.

The brewery is backed by sophisticated German brewing technology.

A traditional culture of Beer wizardry, superbly honed instincts to create a product that can transport you into a State of Euphoric and Magical realism.

Yuksom Brewery is also strengthened by two other State of Art ultramodern breweries backed by German technology by the name of DENZONG BREWERIES PVT. LTD., based at Khurda, Orissa and RHINO AGENCIES LIMITED based Amingaon, Assam

The mission of the company is to deliver the highest quality products and customer satisfaction. And also to own and nurture brands that would be the first choice of the wholesalers, retail distributors and most importantly our consumers.

Some of the key factors that set Yuksom Breweries apart are as follows:-

Extensive industry expertise

Competitively priced product range

Competent team of professionals

In-house quality testing facilities

State-of-the-art infrastructural facility

Safe and effective packaging solutions

Wide market presence

PRODUCTS

1. DANSBERG DIET- Premium Strong Beer 2. DENZONG 9000- The Strong Beer

3. JUNGLE KING 12000- Real Strong Beer 4. HIMALAYAN BLUE- Premium Lager Beer

5. INDIA SPECIAL- Premium Strong Beer 6. DANSBERG 15000- Super Strong Beer

7. HEMAN 9000- Ultra Super Strong Beer 8. JHOOM- Indian Premium Lager Beer

9. DANSBERG RED- Super Strong Beer 10. HIT- Super Strong Beer

11. INDIA SPECIAL- Quality Beer 12. YETI- Special Export Lager Beer

HUMAN RESOURCE POLICIES

Yuksom Breweries Ltd. employs a workforce of around 200 employees. The various policies of HR for workers employed in the plant in Gangtok are:

a) Training and Development : On the job training is provided to the workers in the factory. Observation and practice is the key for training as employed by the company. As soon as a new worker joins the company, he is asked to observe how the other workers are performing the work and start working the similar way. With the passage of time, worker becomes specialized in doing the work because of continuous practice.

b) Recruitment Workers in the plant are recruited from the nearby areas. A combination of permanent workers along with the contract labours is employed. The decision to hire permanent worker or contract worker depends on various other factors such as compensation to be paid, availability, duration for which worker is needed, Is there any emergency requirement or not etc. Mostly the locals were employed and the factory was labour Intensive. Present Scenario: 55% female workforce while 45% males, first priority is given to females.

c) Compensation Compensation is paid as per the industry standards to the workers. Minimum wage act and Worker Compensation act are religiously followed

PRODUCT PROMOTION

The main brands that were being produced in the factory during the day were “Hit” and “Dansberg Blue”

“Hit” comes with the compulsory statement that to be sold only in Sikkim.

The pricing for the products were such that they would be in direct competition with any of the major players in the national market

It was noticed that Dansberg Blue featured heavily in most of the fine dining restaurants around Mall Road, Gangtok, which was arguably one of the biggest tourist attractions of the state.

the state might be the higher margins that the company is able to offer to the outlet owners, thereby dominating markets

Product Promotion continued…

The segmentation is done by making area specific products that still give a tough challenge to global brands.

The wonderful place that Sikkim has a huge number of people who are proud of their culture. This could be seen by the various local restaurants visited, further proof that the people take pride in consuming what is their own.

The relaxed tax rates in the state have resulted in the state’s alcohol products being much cheaply priced compared to that of the other states of the country.

More….

Promotions by the company are minimum and according to the employees, unneeded too. This could be attributed to the lifestyle of the people in the state where people spend more time outside than inside their homes.

The company seems to make up for its minimal promotions with its excellent relationships with outlet owners. The margins offered could be the icing on top of the cake.

PACKAGING

The packaging section of Yuksom Breweries was set up in a broader space in the same factory facility

Many workers were instead employed in receiving the used bottles that were coming back from the market and outlets

These bottles were fed back into the system where they were repeatedly washed by water jets till the labels and stickers had been ripped off completely from the bottle.

The bottles were majorly those that were brands of Yuksom itself however it was seen that some of the bottles that were seen moving along the conveyor belt from one section to other happened to belong to competitor brands like Haywards and Kingfisher too.

Continued..

The first stage after the bottle entering the belt was to stack up those bottles that had been hit with water jets enough to have their body clean of any stickers or labels from earlier. These stacked bottles were then passed on ahead till the belt is stopped at a manned counter where each bottle is observed for any remaining traces of paper or dirt on the bottle.

The next stage is when the bottles are again cleaned with water jets cleaning the inside of the bottle. After rechecking the cleanliness, the bottles are now filled with freshly produced beer. Almost instantly the bottles are sealed shut before moving on further in the belt. The bottles are checked repeatedly for any mishap that may have occurred. The bottles progress to the labelling stage where stickers and company seals are stuck onto the bottles.

More..

The manned section that follows scans each bottle before moving it on further. The bottles are then collected into cartons of twelve each. The dozen bottles in a carton are then checked in the final stage of the conveyor belt where the stickers and labels are rechecked before they are taken off. The cartons that are approved are sealed tight and taken off to be stored in the storage facility next to the packaging section.

The production was such that the export orders happen twice or thrice a year only in this facility of the company. And thus the major portions of the storage facility were taken by the products that are to be sold in the state or to be sent to the North-Eastern states. ge facility was the biggest section in the entire factory

OBSERVATIONS

Main brands produced in the factory -“Hit” and “Dansberg Blue”

“Hit” comes with the compulsory statement that to be sold only in Sikkim

“Hit” was priced at Rs. 50 which was a nominal amount and giving tough competition to Kingfisher products that are the dominant forces in that price range.

Dansberg Blue featured heavily in most of the fine dining restaurants around Mall Road, Gangtok

The segmentation has been cleverly done by the Yuksom by making area specific products that each try to punch above their heights and still give a tough challenge to global brands

The relaxed tax rates in the state have resulted in the state’s alcohol products being much cheaply priced compared to that of the other states of the country

Continued..

Promotions by the company are minimum and according to the employees

The company seems to make up for its minimal promotions with its excellent relationships with outlet owners

The margins offered could be the icing on top of the cake

RECOMMENDATIONS

Discharge of waste materials into the water body moving downhill needs to be scrutinized

The lumps of cracked bottles around the factory leave distaste for every visitor and shows disinterest on the part of the company towards waste management too

The company could make an attempt towards introducing more of its products into the national market, especially metro cities where there are a lot of people who are always ready to try out something new

Fresh ideas under labels that have been long successful in this market space could easily revolutionize the allotment of market share in the alcohol industry. The company could thus consider entering into more target markets in India

the company uses lot of manual labour to identify errors during the manufacturing process which increases the chances of defective product being dispatched

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