Raj Empire Project (Hard Bond)

Raj Empire 2011

A Project ReportOn

Summer TrainingAt

“ Fame Raj Empire”

Submitted by

“Girija Agrawal” (05)“Shanky Ahuja” (06)“Gaurav Mittal” (102)“Surbhi Saboo” (156)

Under The Guidance Of“ Narendra Jadav”

In The Partial Fulfillment Of The RequirementFor The Admission In Semester V In

BBA Programme

Submitted To,Navnirman Institute Of Management

(NIM-BBA), Bharthana, SuratAffiliated to VNSGU SuratAcademic Year 2010-2011

Navnirman Institute Of Management 1

Raj Empire 2011

Project report on


Raj Empire 2011

ACKNOWLEDGEMENT

The fundamental objective of the Summer training lies not just in successful completion of a given assignment but also the positive expansion of the professional business person inside the student who undertakes such an assignment. I would like to pay my gratitude to the following people for guiding me throughout my association with them. I would like to extend my respect and gratefully thank Mr. UDAY KHAIRNAR (Assistant manager (unit head) of fame Raj Empire ) for giving me an opportunity to work in such an important sphere, MISS NIKITA R PANDIT for sharing his vision, experience and time with unconditional support, patience and guidance throughout the project.

I would like to express my gratitude to Mr NARENDRA GADAV (NIM Surat ) for his help, guidance, and cooperating nature.The project has shaped very differently under his direction.

I would even like to thank all the staff members at FAME RAJ EMPIRE Who really were always ready to extend their hands whenever i need help from them and also guide very nicely always. Also would like to thank all the People with whom I interacted to collect primary data and who shared their managerial excellence. Their insight of the business has been of great help.

I would like to thank all the people above their confidence which they had in me during the project. I shall also remain ever grateful to them for maturing the business person in me apart from extending their persistent support throughout the training.

Girija Agrawal (05)

Shanky Ahuja (06)

Gaurav Mittal (102)

Surbhi Saboo(156)


Raj Empire 2011

EXECUTIVE SUMMARY

We have done our summer training with fame Raj Empire , Surat from 21st April 2011 to 10th June 20, 2011 .our project report is based on study of all the department in fame .

Today, entertainment industries , has expanded on a large bases. That’s why, FAME occupies a very important place among, entertainment industry services operative in the world. Owing to growing complexity of life, trade and commerce, individuals as well as business firms , every individual want to entertain himself by relaxing himself .Therefore we studied the department of fame and what purpose does it serve to individual or an organization is therefore necessary.

This project gives an insights regarding company’s brand awareness and customer perceptions about various services which the organization provide. Main objective of the project is to understand the customer preferences effectively and efficiently and improve customer relationship. For execution of the project methodology adopted is through secondary data. Survice sector has been given more emphasis for the study of the project because it is the sector where all the type of Age group, Income class and different level of people represented.

We hope fame Raj Empire , Surat will recognize this, as well as they take more refer from the project report.


Raj Empire 2011

IndexSr no. Topics Pages

1. Introduction 6

2. Marketing department 23

3. Human resource department

53

4. Operational department 87

5. Finance department 102

6. Bibliography 118


Raj Empire 2011

Chapter 1

Introduction

1.1 Overview of The Industry

1.2 Overview of The Company

1.3 Overview of The Competitors


Raj Empire 2011

1.1 Overview Of The Industry

Fame Cinemas (Fame India ltd) is dealing with distribution, exhibition, multiplexes and negative rights based in Mumbai. It was established in 1999 as Shringar cinemas ltd. In 2008, the name changed from shringar cinemas ltd to fame India ltd. Company went public in 2005 to raise money from equity market through an initial public offering. Which helped to opening up multiplexes in thane, hyderabad, Aurangabad and Kolkata. It has currently 95 screens and 26488 seats across 12 cities in indin with presence in states of Maharashtra, Gujarat, Haryana, west Bengal, Jharkhand and karnataka, with plan to open

Movies, trailers, premieres and more – fame is a place of constant innovation.

Fame (i) ltd (formerly shringar cinemas ltd) is a company dealing with distribution, exhibition, multiplexes and negative rights. It has been instrumental in bringing the highest quality of entertainment to indian audience with over 28 years of experience in distribution and over five years experience in exhibition of films.

First multiplex was launched in andheri (w) – fame adlabs and till date we have 25 multiplex across india. Currently, we operate 93 screens and 26269 seats across 12 cities in india with presence in states of maharashtra, gujarat, haryana, west bengal, jharkhand and karnataka. We expect to roll out at least 9 screens further in the year 2009-10

the brand fame (i) ltd has stood for ethical, fair practices and transparent dealing over the last several decades. This is the core strength on which all our businesses are built.

Entertainment an experience - fame cinemas constantly endeavors to bring in the highest quality of entertainment to mumbai’s film going audience. Fame has transformed the experience of movie lovers into a pleasant, very user-friendly and delightful experience. Given the commitment to the quality of service & films being screened, there is little wonder then that, fame has a burgeoning set of loyal customers who love getting pampered here.

Our mission is to offer a world class viewing experience to the consumer through a chain of multiplexes.

The years between 2002 and 2009 witnessed what may have been the most significant transformation in indian film industry through fame (i) ltd. We benchmark ourselves with global multiplexes, and strive to enhance our service offering in line with the emerging trends globally. To provide exceptional consumer experience, we have introduced the ‘gold class’ screens which feature natural leather recliners, where each recliner stretches to 150 degrees, super size screens, state of the art projection and sound systems. Apart from popcorn and soda, we also offer specialty food, which can be ordered and delivered on ones seat!

another 9 screens at chandigarh and chennai with seating capacity of 2313 people.


http://en.wikipedia.org/wiki/Thane

http://en.wikipedia.org/wiki/Chennai

http://en.wikipedia.org/wiki/Kolkata

http://en.wikipedia.org/wiki/Aurangabad

http://en.wikipedia.org/wiki/Hyderabad,_India

Raj Empire 2011

1.1.1 Expansion & Projects:

In line with our business strategy of fast growth with a pan-india presence, your company is currently working on the following

Projects.

1. Fame PimpriThis proposed 3 screen multiplex is a part of 3 lacs square feet shopping area development. It is off the old mumbai-pune highway and is in close proximity to the up market catchments area of pradikaran. Many major industries like baja auto, telco, thermax etc have their principal manufacturing and residential units within a radii of 2 -5 kilometers from this property.

2. Fame SuratThe proposed 6 screen multiplex is located on bhatar road, off ghoddod road which is a prime residential and retail location. It is very close to the commercial/ trading area of ring-road area. The multiplex is a part of 1,20,000 square feet development. The multiplex will be operated on a management model of running the property.

3. Fame Kolkatta, hiland parkKolkatta has enjoyed a reputation of rich tradition of enjoying quality cinema. Consumer demographics and favourable regulatory regime are conducive to the growth of the multiplex business in kolkatta. We have signed an agreement with calcutta metropolitan group ltd (cmg ltd) to operate for a period of 8 years, a multiplex in an entertainment complex constructed by cmg ltd. The entertainment complex will house prominent brands like big bazaar in the categories of retail, food, leisure and entertainment.

4. Fame AurangabadAurangabad is an industrial hub in the state of maharashtra with an approximate population of 12 lacs. The site for the multiplex is located in the central locality of town centre on the jalgaon road. The said location is in the upmarket locality of the cidco area. The proposed site is an existing twin cinemas which will be retrofitted to a 3 screen multiplex.

5. Fame Hyderabad.Hyderabad, the capital of state of andhra pradesh has a large number of professionals working in the it industry. We propose to open a multiplex at himayatnagar in hyderabad. The site for the proposed multiplex is at significant distance from the existing multiplexes clustered in the heart of the city. The proposed multiplex will comprise of 3 screens.

6. Fame ThaneWe propose to open a multiplex at kapurbawdi in thane, which is an adjacent district to mumbai and over the years has emerged as a preferred destination for middle class citizens. The proposed multiplex will be part of one of the largest malls in thane with about 6,00,000 sq. Ft. Area. The mall is expected to house some of the prominent brands and establishments like big bazaar, thus ensuring adequate visibility for the multiplex. The multiplex will comprise of 5 screens.


Raj Empire 2011

1.2 Overview Of The Company

We are an integrated film exhibition and distribution company operating a chain of multiplexes which offers a world class viewing experience to the customer. In the late 1990s, we saw an opportunity in providing good quality movie viewing experience to the indian audience. Combined with the boom in high quality retail space in india, the avid movie going habits of indians and the paucity of good quality theatres in the country, we felt this was a viable opportunity for a successful business. We, therefore, reoriented our business model to increase our focus on the nascent film exhibition business, by leveraging on our strong film distribution experience. Our foray into film exhibition is led by mr. Shravan shroff. Our film distribution business continues to be spearheaded by mr. Shyam shroff and mr. Balkrishna shroff, who are respected names in the indian film industry. After studying market dynamics and national movie trends and comparing them with the developed markets, we realized that the exhibition business in india will soon move away from the traditional standalone, poorly maintained single screen theatres to high quality multi-screen set-ups, which are aimed at providing quality viewing experience to movie viewing patrons.. We realized that good content, high service standards and modern cinema halls will bring in the required competitive edge over other formats and thus increase footfalls in theatres. We therefore decided to expand our operations into the film exhibition business, by capitalizing on the vast untapped potential of the indian multiplex business.The film exhibition industry has traditionally been a very capital intensive business. We wanted to make a capital efficient, main-stream exhibition business model. We leveraged our relationships as distributors with various exhibitors to initiate our foray into film exhibition using the theatre management / programming model.


Raj Empire 2011

1.2.1 Report

P 5in the theatre management / programming model we offered our content selection and programming skills to the theatre owner for a fee and/or a share of profits. We were able to work with a wide range of exhibitors including existing single screen theatres like maratha mandir (matinee), gemini as well as new multiplexes like imax adlabs. Apart from the above, we also leased existing theatres and operated them with our own processes and employees. We managed theatres like cinestar and cinemax in the western suburbs of mumbai. As a result, over the last 9-10 years we have built up a good experience in programming and managing a wide variety of single screen and multiplexes at various locations.In 2001 in order to encourage investment in the sector, the maharashtra government announced significant tax benefits for multiplex operators, which made investment in this sector more attractive. Sensing this opportunity, we decided to invest further capital into the multiplex business. We raised fresh private equity capital from gw capital (one of the leading venture capital funds) and commenced investments in a capital-efficient manner. Our first investment was made as a joint venture investment in swanston multiplex cinemas private limited ("swanston") along with the vm group. Swanston operates fame adlabs, a 5-screen multiplex located at citi mall in versova, mumbai. Thereafter, we have set up a 6-screen multiplex at inorbit mall in malad, mumbai, a 3-screen retrofit at nasik and a 4-screen multiplex at raghuleela mall in kandivali, mumbai. The versova multiplex commenced operations in april 2002, the malad multiplex commence operations in september 2004 and the nasik multiplex commenced operations in november 2004. We have already started operations in our kandivali multiplex. We benchmark ourselves with global retail multiplexes, and strive to enhance our service offering in line with the emerging trends globally. To give the customer a "movies plus" experience we have let out retail space to various entities. These partners provide value services to the patrons in the form of movie based merchandise, eating options, deserts etc. They pay us a fixed sum every month and/or a certain percent of their sales e.g. Biba, café coffee day, candy treat, donut co. A multiplex offers the brand owner an opportunity to interact with the patron. Various advertising opportunities available are on screen ad shots, posters, stalls etc. Lg, hyundai, citibank are some of the advertisers.

Several factors have affected our results of operations, financial condition and cash flow significantly over the past five years.

These factors include:

Retail boom: in the last 5-7 years we have witnessed a significant growth in organized retail in india. Favourable demographics, rising consumer incomes, real estate developments especially with emergence of new shopping malls, availability of better sourcing options both from within india and overseas, and changing lifestyles that bring the indian consumer closer to the consumers in more developed markets are driving the growth of organized retailing. N growing corporatization in film industry. Corporatization of film production entities is resulting in more timely and better quality film productions.n new films are being released across a larger number of theatres with a larger number of prints in order to maximize theatrical revenues in the shortest time period.


Raj Empire 2011

Overseas market (theatrical, video and television) is becoming increasingly lucrative for indian film productions because of a large and fast growing indian diaspora which is estimated at 20 million.

Entertainment tax sops for developing and operating multiplexes are being offered by certain states. This has encouraged the growth of multiplexes and also encouraged single screen theatres to convert into multiplexes.Growth in multiplexing - catching the retail boom.

These factors and a number of future developments may affect our results of operations, financial condition and cash flow in future periods. We believe that the following future developments may affect our future results of operations, financial condition and cash flow

Multiplexes are fast emerging as the one of the key anchor tenants for most organized retail outlets in india. Improving regulatory environment. Multiplexing - highly fragmented industry with scattered ownership - opportunities exists for nationwide film

exhibition chain through chain of multiplexes. Easier access to capital due to corporatization of the industry. Additional capital expenditures and related financings, if any, including for capacity expansion; New strategic partnerships or mergers/acquisitions; shringar cinemas ltd


Raj Empire 2011

1.2.2 Opportunity & ThreatWe are strategically positioned to leverage our strength in the domestic market, due to our competitive strengths that include the following:

Strengths:A) market reputation:B) ability to identify locations: C) proven project management skills: D) capital-efficient project design and execution:E) selection of content: F) marketing strength:H) long-standing experience in film distribution: I) integrated technology backbone:

Weakness:A) fluctuations in convertibility rates may adversely affect the cost of our projects.B) the implementation of our proposed projects may be subject to certain delays. C) we are depended on our management team for our success.D) we may fail to realize the anticipated benefits of future acquisitions and we may incur costs that could adversely impact our profitability.E) our ability to consolidate our total revenues may be affected if our shareholding in swanston multiplex cinemas private limited is reduced

1.2.3 Outlook

The outlook for the current year is quite impressive. We expect that we will be starting the operations at a few more multiplexes that will help us to spread our income across various regions. This will give a boost to the bottom line.your company now operates four multiplexes which are fame adlabs, fame malad, fame nashik and fame kandivali. Your company has already finalized properties at various locations for starting the multiplexes. In the next two years, the company is looking at starting the operation at another 10 multiplexes across the country. The company would be operating in cities like hyderabad, kolkatta, surat, pune and allahabad. The company has signed up properties till fy 08 in-line with the growth strategy of the company

1.2.4 Internal Control System & Adequacy

The company has adequate internal control system to ensure safeguarding of assets against unauthorized use and to provide that all transactions are authorized, recorded and reported correctly. The company has a system of periodical internal audit.


Raj Empire 2011

1.2.5 Background

In the late 1990s, we saw an opportunity in providing an outstanding movie viewing experience to the indian audience. Combined with the availability of high quality retail space in india, the avid movie going habits of indians and the paucity of good quality theaters in the country, we felt this was a viable opportunity for a successful business. We, therefore, reoriented our business model to increase our focus on the nascent film exhibition business, by leveraging on our strong film distribution experience.

We benchmark ourselves with global multiplexes, and strive to enhance our service offering in line with the emerging trends globally. To provide exceptional consumer experience, we have introduced the ‘gold class’ screens which feature natural leather recliners, where each recliner stretches to 150 degrees, super size screens, state of the art projection and sound systems. Apart from popcorn and soda, we also offer specialty food, which can be ordered and delivered on ones seat!.

1.2.6 Evolution

we were incorporated in 1999 and commenced operations in the same year. We were formed with the core objective of providing cinema goers a unique movie viewing experience.

in 2001 in order to encourage investment in the sector, the maharashtra government announced significant tax benefits for multiplex operators, which made investments in this sector more attractive. Sensing this opportunity, we decided to invest further capital into the multiplex business. We raised fresh equity capital from gw capital (one of the leading venture capital funds, and now know as india value fund) and commenced operations

Currently, operates 97 screens and 27,191 seats across 12 cities in india in sates of maharashtra, gujarat, haryana, west bengal, jharkhand and karnataka.


Raj Empire 2011

1.2.6 Properties under fame india ltd.

No of screens No of seats

Properties under fame india limited

Mumbai 32 8951

Pune 6 2024

Nashik 3 1318

Aurangabad 3 1012

Kolkata 10 2405

Anand 3 624

Bengaluru 10 2386

Dhanbad 4 996

Bharuch 3 890

Panchkula 3 652

Baroda 4 1116

Properties under joint venture

Mumbai 5 1282

Properties under management model

Kolkata 2 701

Surat 6 1840

Baroda 3 994

Total 97 27,191

We expect to roll out at least 9 screens further in the near future :

No of screens No of seats

Properties under fame india limited

Chandigarh 4 1005

Chennai 5 1308

Total 9 2313


Raj Empire 2011

1.2.7 Strengthsmarket reputation:

the fame brand has been identified with professionalism and transparency in business practices. This is the core strength on which all our businesses are built.

ability to identify locations:

one of the biggest factors for the success of any multiplex is the location. We believe that our skill in identifying locations is one of our key strengths. We have a professional team with many years of experience in evaluating various locations in terms of catchment area, competing alternatives, expenditure patterns and demographic trends.

proven project management skills:

we have an in-house professional team for project implementation supported by project management consultants. This model of implementing projects has enabled us to complete properties within budgets and time.

capital-efficient project design and execution: our projects are planned and conceived in a manner that each property is profitable on a stand alone basis. We use our internal skills to assess the location and demographics and decide on capital expenditure accordingly. The properties on which we operate are not owned by us. We manage these properties pursuant to agreements entered into with the respective owners of the properties. Apart from stand-alone profitability of each site, it also ensures an efficient use of capital.

Selection of content:

due to our experience in content selection and programming for many theaters and a deep understanding of different film genres (developed in our distribution business), we are well-placed to exploit each film available in the market.

Marketing strength:

the brand ‘fame’ has been established in the consumers mind due to marketing through newspaper ads, radio spots, direct mailers, internet mailers, purple ribbon (our social initiative) and the use of promotions like paid previews, contests, movies merchandise, dj in the lobby over the weekend etc. Premieres of films are also used as an important marketing tool.


Raj Empire 2011

Customer orientation:

‘fame’ has built a clear focus on customer orientation, by providing services such as, tele-bookings, home delivery of tickets, internet bookings, ivr and kiosk bookings.

long-standing experience in film distribution: apart from the experience in areas of exhibition i.e. Programming, theater management and running multiplexes, we have experience of over 25 years in film distribution. This distribution experience is particularly useful for the exhibition business in the following way:Ability to identify under serviced areas and/or untapped locations, where unmet demand for a movie theater exists. This helps us in selecting locations.

Relationship with producers/distributors in getting access to content.Relationship with theater-owners enables us to have access to locations for retrofits properties.Understanding of different film genres and their box-office potential. This is important for content selection.

Integrated technology backbone:

we have laid a lot of emphasis on a technology and systems. We use different softwares, which provide us a regularly updated mis. This assists us in our day to day operations.

Vistavista is erp software made by a developer in new zealand and used internationally; which covers all aspects of managing and operating cinemas. The product line is scalable so as to be suitable to exhibitors who run from one cinema to hundreds of cinemas. Apart from box office and f & b sales, the vista suite is used for web ticketing, kiosks, employee scheduling etc.

Bossthe back office software system (boss) is a specialized accounting system for the hospitality industry / service oriented companies. This software is integrated completely with vista, thus enabling accounting to remain online on a daily basis. This helps in closure of books every month and preparation of mis reports within 5 days of the month end.

Growth strategy

our growth strategy is to increase number of patrons is through a ‘pull’ – innovative programming and ‘push’ – block booking and build a pan india presence is a cost effective manner, and furthering “fame” as an experiential multiplex brand through a mix of multiplexes, retrofits and some standalone properties.


Raj Empire 2011

1.2.8 History

We were incorporated on october 26, 1999 as a private limited company .pursuant to a resolution passed by our shareholders at an egm held on december 19, 2004 we becamea public limited company on december 24,2004 in accordance with the provisions of section31/44 of the companies act, 1956.

Shringar group started of in the early 50's when mr. Gobindramn naoomal shroff and mr. Vasudev naoomal shroff formed a partnership firm by the name of issardas naoomal, with the main objective of financing bollywood films. Some of their best known films financed are dusham, kafila, chalti ka naam gaadi, jhumroo,basant bahar, post box 999 howrah bridge, do raaste, guide, evening in paris, aradhana, night in london, dharma etc.

By the mid 60's the firm formed maya & co. And began acquiring film distribution rights and distributed them to theaters through m/s chhabra film exchange. Holi aayee re, mera gaon mera desh, dilli kathug, sazaa were films that maya & co, distributed during this period.

The success of the films at the box office prompted the shroff brothers to venture into the distribution trade. In early 70's mr. Shyamshroff and mr. Balkrishna shroff (sons of mr. Gobindram n. Shroff launched a partnership firm shyamlal balkrishna & co. And exported various films like prem nagar, julie, chhaila babu, and kinara to Various overseas countries. Success of such films made the shroff family launch a firm by the name of shringar Films in 1975.

By mid 90's shringar films had achieved success in the distribution business with the launch of films likeQayamatse qayamat tak, rangeela, raja hindustani, bombay, bandit queen etc. In 1997, under mr.shravanshroff's leadership shringar films ventured into the exhibition business with programming of theaters as our company's forte,

Till recently bollywood faced a genuine need for alternative sources offunding, including debt and equity differentFrom the funding received from typical priva te lenders. The reserve bank of india took the first such step byAllowing financing of indian films by banks. The central government also onferred industry status to theentertainment industry including films and approved the same as an eligible activity for film financing under the industrial development board of india,Act, 1964 and the national film development corporation. There were several reasons for organized investors to stay away from financing film companies, which included amongst others,lack of transparency,poor professional management, clear corporate structure and an exit route.

To respond to the defects and deficiencies as aforesaid, the shroff family decided to corporatize their businesshence decision was taken in october 1999, to incorporate shringar cinemas pvt. Ltd with the objective ofVenturing into the multiplex business and shring private limited (sfpl) for film distribution. Our company wasThen wholly owned subsidiary of shringar films private limited. Shroff family (the promoters) also began discussions with india value fund trustee company (ivf or investors) a sebi registered venture capital fund to evaluate possibility of funding both these companies.


Raj Empire 2011

Some time in early 2001, the investors infused equity capital in our company as well as sfpl, pursuant to twosha subscription and shareholders agreements both dated april 2, 2001, namely sha-1 and sha-2 for the purpose of recording the terms on which the investors had invested in sfpl and our company respectively. these agreement also recorded certain rights and obligations in connection with th shareholding of both syh and the investors in sfpl and our company. To capture the combined beneficial interest of both the investors and syh in sfpl and our company, a separate valuation agreement dated april 5, 2001 was executed between the parties and modified on march 15,2004, describe else where in this chapter. Sfpl primarily engaged in the business of distribution and our company was to carry on the xhibition business. under both the sha-1 and sha-2, our company, the promoters and the investors also had agreed that before making an ipo, it shall restructure the share capital of our company to correctly reflect the beneficial interest of the investors and the promoters on the basis of valuation then agreed between them under the valuation agreement.

At that time it was envisaged that sfpl would be the main flagship company and our company would be the subsidiary of sfpl. However, some time in early 2004, since the exhibition business progressed well,it was decided to focus and promote our company as main flagship company and sfpl as our subsidiary. In view thereof, as contemplated under sha-1 and sha-2, an exercise to restructure the capital structur was undertaken, which resulted in our company being the holding or parent company of sfpl. However, whilst doing this it was all along agree and understood that the rights of both the syh and the investors as shareholders as agreed under the sha-1 and sha-2 has to be maintained, in the respective companies. In order to keep documentation simple instead of re-executing fresh shareholders agreements to reflect the change in the capital structure, the promoters, syh, ivf, our company and sfpl executed a combined supplementary agreement on december 2, 2004 to record the changes to sha-1 and sha-2.

The supplementary agreement confirms that all references to sfpl or company in sha-1,would now mean only to our company, since our company is the parent company and the entire sha-1 would be construed and interpreted accordingly. All rights given to the promoters/syh and the investors for sfpl would now be available for our company as modified by the articles of association, similarly, certain rights, which were given to the investors under sha-2 for our company, would now be available to the investors in sfpl, since sfpl is now the subsidiary of our company.

Prior to the execution of sha-1 and sha-2, the promoters and mr. Vasanji mamania and others (vm group) had already formed a company in the name of adiabs shringar multiplex cinemas private limited as a joint venture, which owner th eandheri multiplex property in mumbai. Ascmpl has entered into a business conducting agreement with swansto multiplex cinemas private limited (swanston) for licensing to use and occupy the premises for running of andheri multiplex for an agreed amount of royalty. In furtherance to the objectives outlined in sha-1 and sha-2, swanston became our subsidiary in june 2002 along with vm group holding 49.99%, which shares have now been transferred to adiabs films limited.


Raj Empire 2011

1.2.9 Fames Position In Past Year

2005-the company plans to raise rs 38-43 crore from the equity marketThrough an initial public offering of 81,50,000 equity shares of rs10 each. The price band has been set at rs 47-53 per share.

The proceeds of the ipo will be used for funding exhibition growthAnd opening up multiplexes in thane, hyderabad, aurangabad andKolkata. The book running lead managers to the issue are enamFinancial consultants pvt ltd and jm morgan stanley pvt ltd.

-shringar cinemas public issue oversold 3.84 times

2006-shringar cinemas limited has appointed ms. Pooja n., b.com, acs,Ll.b., as the company secretary of the company with effect from 18thJune 2007 and she shall act as the compliance officer of the companyHenceforth till her tenure as a company secretary in the company.

2007- company name has been changed from shringar cinemas ltd to fameIndia ltd.

2008- fame india limited has appointed mr. Abhishek mahorey as companySecretary and compliance officer of the company w.e.f. October 31, 2009.


Raj Empire 2011

1.2.10 Fame surat

Surat, june 21, 2006: shringar cinemas limited, one of the country's leading movie exhibition and distribution companies, has announced its foray into gujarat with the launch of the unique six-screen fame raj empire multiplex in surat. Located at raj empire mall (near akashwani tower, bhatar road), the new multiplex will commence operations from 23rd june 2006. Designed superlatively, with state-of-the-art technology, fame raj empire is all set to become the most happening movie destination in surat.

With a capacity of more than 1800 ergonomically designed seats spread across six screens, specially designed lighting, world-class projectors and fully digital sound with 3-way surround system; fame raj empire brings an international movie-viewing experience to cinema-goers in surat.

Backed with 100% computerized operations, fame raj empire offers the convenience of reserving movie tickets through internet, sms as also delivery of tickets at your doorstep. If that's not enough, the multiplex will also provide the 'm-ticket' facility, which enables patrons to book movie tickets through a voice-recognition service from their mobile phone, by calling a hotline number 505 3263 and paying through their credit card. This mobile ticketing service will be available for hutch, airtel and idea subsc

At fame raj empire, every screen has been designed on a different theme ranging from roman, chinese, european, russian, egyptian to arabian, to add to the visual drama. In addition to its special arabic theme, screen 6 will offer patrons the luxurious 'gold class' (recliner seats) and a separate lounge (comfortable sofas) to unwind. The other five screens will provide 'premium' and 'silver' seating arrangements.

Speaking at the launch, mr. Shravan shroff, managing director, shringar cinemas limited, said, "we believe that movie viewing experience at a multiplex should be no less than exhilarating. In our endeavour to take this experience to a whole new level in surat, fame raj empire promises its discerning patrons a plethora of exclusive offerings including thematic screens, luxurious seating options, exciting movies, delectable cuisine and great interactive contests."

The fame foyer will offer patrons a wide variety of food and snacks to choose from…continental snacks counters, chinese food carts, ice-creams, special batata wada along with the movie must-have's such as popcorn, samosas and cola.

As with shringar cinemas' other properties in mumbai, kolkata, nashik and pimpri (pune), which have become benchmarks in providing world-class movie viewing experience in india, fame raj empire is all set to become synonymous with the 'buzz chahiye aa jayiye' mantra. Red carpet events, opportunities to meet with the biggest bollywood & tv stars, exclusive ticketed movie previews, innovative & exciting contest and numerous food festivals, are just some of the elements that will keep the buzz going at fame raj empire. On an average, the multiplex will provide a choice of over 6 to 8 movies per day; ranging from bollywood blockbusters, hollywood hits and best of regional movies.


Raj Empire 2011

Fame raj empire

Fame raj empire

Fame raj empire 6-screen multiplex has came in surat 0n 23 rd june 2006 centrally located in bhatar road and spread over 40,000 sq. Fame raj empire is divided into 2 levels – raj theatre pvt. Ltd (rtpl) and chandra vijay enterprise pvt. Ltd . (cvepl) they are the two owners of fame raj empire.

Weaved into the glory of different countries, each screen proclaims the beauty, home to a country. For instance the heliographics line the wall of the egyptian screen. Dragons welcome you to the chinese screen. Murals and sculptures of the famous roman architecture stand to greet you. The russian dome recalls prominent Russian palace structures. While the famous french paintings hang outside the screen 5 and the feeling mushrooms as you enter the screen.

Infact architecture of each screen is not only visible on the outside, it is carried full-fledged to the inside of the screen. To top this all, one entire screen is dedicated to luxury seating – the gold class, where comfort is prime to each and every viewer.


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Raj empire has 6 screens: Level 1

o Screen 1 - egyptiano Screen 2 - chineseo Screen 3 - roman

Level 2o Screen 4 - frencho Screen 5 - russiano Screen 6 - arabian gold

Level 1All the three screen has two classes i.e. Silver class and premier class . There is approx 20 to 30 rs. Difference in the price of silver class and premier , depending upon the show timing .

Screen 1: EgyptianThere are in all 487 seats , 87 silver i.e. Front 3 rows and 400 premier seats . This screen has the highest sitting capacity .Screen 2: ChineseThere are in all 306 seats , 71 silver seats and 235 premier seats.Screen 3: RomanThere are in all 224 seats , 50 silver seats and 174 premier seats.

Level 2All the three screen on 2nd level is premier class .

Screen 4: FrenchThere are in all 283 seats. French screen is operated through satellites , ufo. This screen is not operated through projectors. This screen is comparatively unclear then others and even this cost less .

Screen 5: RussianThere are 452 seats in russian. It has the 2nd highest sitting capacity in all the six screens.

Screen 6: Arabian goldThis screen has only 88 seats. This screen is a luxurious screen having recliner seats. This screen is separated from other screens , it even has its own service counter , a waiting area , toilets and store room for there inventory for cushions , blankets ,etc.All the 6 screen has 2 exits in it. Every screen has 2 security alarms , for fire extenuation . Every screen has multiple speakers according to the capacity and speakers are even there behind the white screen .


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Chapter – 2

Marketing

& Sales

Department

Topic to be covered in these department are :


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2.1 difference between sales and marketing

2.2 activities of the marketting department

2.3 marketting environment

2.4 study of the consumer /industrail buying behaviour process

2.5 product mix

2.6 product life cycle & marketting stratiegs

2.7 packaging & labelling

2.8 pricing strategies

2.9 channel of distribution and integrated marketting channel

2.10 study of communication process and integrated marketting communications

2.11 for service include study of three more ps ( people,process, physical evidence)

2.12 comparison of 4 p’s of various offering of organisation with competitors

2.13 marketing control

2.1 Basic Understanding Of Marketing & Sales


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2.1.1 Meaning There are many definitions of marketing. The better definitions are focused upon customer orientation and satisfaction of customer needs. · marketing is the social process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others

- kotler.· marketing is the management process that identifies, anticipates and satisfies customer requirements profitably .- the chartered institute of marketing (cim).

Marketing is a social process, by which individuals and groups obtain what they need and want, through creating, offering, and freely exchanging products and services of value with others.

- peter druker.

Marketing is the process of determing consumer demand for a product or service, motivating its sales & distributing it to ultimate consumer at a profit.

Selling or sales means exchange of goods against money (price). It is a process of bargaining or negotiating about the price & the other selling conditions between the seller & buyer & coming to an agreement to sell.

2.1.2 Diffrence Between Marketing & Sales

Marketing Sales

1. Marketing is a total system of business activites designed to plan price. Promote & distribute want satisfying goods & services to the potential customers.

1. Selling means exchange of goods & services against payment of price.

2. Focus is on customer’s need satisfaction. 2. Focus is on service. Efforts are made to achieve maximum sale turnover of the product/service.

3. Most of the marketing activtites preceede selling.

3. Selling is the end result of marketing.

4. Intregrated marketing is used to achieve the objective of customer satisfaction.

4. Sales promotion is used as a tool for selling.

5. Profits through customer satisfaction is the objective of marketing.

5. Profits through sales volume is the objective of selling.


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Marketing department of the fame raj empire is managed by the main branch of fame (mumbai). All the marketing strategies are planned in the context of mumbai branch & are implemented in fame raj empire. The weekly activities of advertising is managed by the assistant manager.

2.2 Activities of Marketing Department

The main five activities of marketing department are as follows:-

2.2.1 Advertisement:-Advertising is a non-personal form of communication intended to persuade an audience (viewers, readers or listeners) to purchase or take some action upon products, ideals, or services. It includes the name of a product or service and how that product or service could benefit the consumer, to persuade a target market to purchase or to consume that particular brand. Advertising can also serve to communicate an idea to a mass amount of people in an attempt to convince them to take a certain action, such as encouraging 'environmentally friendly' behaviors, and even unhealthy behaviors through food consumption, video game and television viewing promotion, and a "lazy man" routine through a loss of exercise.

DATE :- 01.05.11

Property Name: Fame Surat

Sr No Client / Brand Time Period Branding Branding location Branding Present

1 HDFC 01.04.11 TO 31.03.12 B/O tent cards / Danglers YES

2 HDFC(no.1) 01.04.11 TO 31.03.12 main lobby(Backlit) YES

3 HDFC(no.2) 01.04.11 TO 31.03.12 main lobby (standee) 2 YES

6 XXX ENERGY DRINK 20.07.10 TO 19.07.12 2 Standee main lobby YES

2.2.2 Sales promotionsSales promotions are another way to advertise. Sales promotions are double purposed because they are used to gather information about what type of customers you draw in and where they are, and to jumpstart sales. Sales promotions include things like contests and games, sweepstakes, product giveaways, samples coupons, loyalty programs, and discounts. The ultimate goal of sales promotions is to stimulate potential customers to action

2.2.3 PublicityPublicity is the deliberate attempt to manage the public's perception of a subject. The subjects of publicity include people (for example, politicians and performing artists), goods and services, organizations of all kinds, and works of art or entertainment.From a marketing perspective, publicity is one component of promotion which is one component of marketing. The other elements of the promotional mix are advertising, sales promotion, and personal selling. Promotion but the publicist cannot wait around for the news to present opportunities. They must also try to create their own news.


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Examples of this include:

Art exhibitions Event sponsorship Arrange a speech or talk Make an analysis or prediction Conduct a poll or survey Issue a report Take a stand on a controversial subject Arrange for a testimonial Announce an appointment Invent then present an award Stage a debate Organize a tour of your business or projects Issue a commendatio

2.2.4 Personal SellingPersonal selling is a process of different sequential activities of the salesman or sales representatives of the company. Such sequential activities of the salesman include contacting customers explaining them about the quality and uses of product listening to the complains and sending them to the company for disposing off collection of market information and supplying it to the company, etc. Personal selling is also one of the means of sales promotion.

2.2.5 Direct MarketingDirect marketing is a form of advertising that reaches its audience without using traditional formal channels of advertising, such as tv, newspapers or radio. Businesses communicate straight to the consumer with advertising techniques such as fliers, catalogue distribution, promotional letters, and street advertising.Direct advertising is a sub-discipline and type of marketing. There are two main definitional characteristics which distinguish it from other types of marketing. The first is that it sends its message directly to consumers, without the use of intervening commercial communication media. The second characteristic is the core principle of successful advertising driving a specific "call-to-action."


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2.2 Marketing Environment

The forces that directly and indirectly influence an organization’s capability to undertake its business. The trading forces operating in a marketplace over which a business has no direct control, but which

shape the manner in which the business functions and is able to satisfy its customers is known as marketing environment.

One company that has continually reinvented one of its services to keep up with the changing marketing environment is fame.

The fame brand has been identified with professionalism and transparency in business practices. This is the core strength on which all our businesses are built.

2.2.1 Target & Target Customer Target are the quantities of sales set for a target market and to be achieved within specific period of time. Target customers are the customers to be approached by the company to fulfil the target of the company. Fame’s target customer are the general public of all most all age group ie. Youth, children, families, etc. Its target customer varies in accordance with the movies and its rating. Fame’s provides an entertainment service to the society so it is offered to all the classes of the people ie. Rich & middle class.

2.2.2.Macro environmentElements of macro-environment that affect the marketing environment fameThe macro-environment refers to the general environmental factors that influences the organization. Factors outside the area of marketing which impact on but which cannot be influenced by the marketing effort – including demographics, macro-economics, naturat factors, changes in life style. Macro environment is the external environment over which management has no control such as social and cultural environment, legal environment, competition, technological environmnent, etc.

2.2.2.1 Demographic environment:Marketers are keenly interested in the size and growth rate of populations in cities, regions, and

nations; age distribution and ethnic mix; educational levels; household patterns; and regional characteristics and movements, because people make up markets. similarly fame also keep’s a close watch on the population, the growth rate of population in citiy and also age which plays an important role in the demand of what kind of movies should be allowed to be watched by each citizen of the city.

2.2.2.2 Economic environment: Marketers require purchasing power as well as people. The available purchasing power in an economy depends on current income, prices, savings, debts, and credit availability. Economic environment of fame of production & distribution of wealth in the company. Changes in the economic environment posses threats to the existence of some units while provide opportunities to certain unitssimilarly fame considers the income, savings, debt, and credit availability of the consumers. Hence depending on the income of the consumers the prices of the movie tickets is to be decided accordingly.


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2.2.2.3.Natural environment: Marketers need to be aware of the threats and opportunities associated with four trends in natural environment: the shortage of raw materials, especially water; the increased cost of energy; increased pollution levels; and the changing role of governments. in the same way fame is also aware of the threats and opportunities which are associated with the trends in natural environment.

2.2.2.4.Technological environment One of the most dramatic forces shaping people’s lives is technology. The marketers should monitor the following trends in technology: the pace of change, the opportunities for innovation, varying r&d budgets, and increased regulationsuch of the above trends in technology is given greater importance in fame

2.2.2.5. Legal environment : Movies are been rated by sensor board so the marketing strategies should be done in accordance with

the legal policies.

Social, cultural :marketing strategies should be done on the basis of social attitudes and the values such as

expectation of the society from the customer’s beliefs, materialism, rituals, etx

2.2.2.6 Political-legal environment: Marketing decisions are strongly affected by development in the political and legal environment. This environment is composed of laws, government agencies, and pressure groups that influence and limit various organizations and individuals. Marketing decisions in fame are made according to the development in these political and social environments. market structure.

Economists analyse markets in terms of the degree of competition. Perfect competition – many firms selling homogeneous goods / services to customers Monopolistic competition – many firms each selling a differentiated good / service over which they

have monopoly. Oligopoly – competition between a small no. Of firms Monopoly – a single supplier

Conclusion :- in case of our company, if we look over the whole fame co. The market structure comes under perfect competitions as many other multiplex are giving a competition to fame. Like pvr, adlabs, inox, etc.


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2.2.3 Micro-environment.

This refers to the environment mostly closely linked to the organization. It compromises all those organizations and individuals who directly affect the activities of a company. All factors which impact directly on a firm and its activities in relation to a particular market. Elements of micro-environment that affect the marketing environment fame raj empire

1. Customers2. Intermediaries3. Suppliers4. Competitors5. Local community6. Local government7. Employees


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2.3 Consumer & Industrial Buying Behaviour

2.3.1.1 Consumer buying behaviour

Consumer buying behaviour is an acts of individuals in obtaining and using a product or service including the decision processes that precede and determine these acts.Consumer behaviour is the outcome of the joint effects of the individual psychological factors and environmental factors.

Fame raj empire is engaged in providing entertainment services to the customer so the consumer buying behaviour depends on the personal consumer’s will and wishes. Consumer use the service when they feel to entertain themselves.

What influences consumers to purchase products or services? The consumer buying process is a complex matter as many internal and external factors have an impact on the buying decisions of the consumer. Buying behavior of the consumer depends upon his involvement of the product. However, general observation and research indicate that generally consumers for reaching to buying decision undergo a behavioural process consisting of consecutive five steps as under:


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Consumer Buying Behaviour Process


PROBLEM RECOGNIZATION(need to entertain themselves)

(Need To Entertain Themselves)

INFORMATION SEARCH(Search Of Different Way To Entertain

Themselves ie. Movies, Site Dean, Park)

EVALUATION OF ALTERNATIVES(Get Information On Various Movies Released)

PURCHASE DECISION( To Watch The Movie)

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When purchasing a product there several processes, which consumers go through? In Fame India Ltd., consumers often go on some sort of information search to help them through their purchase decision. Sources of information could be family, friends, neighbours who may have experienced the serviceand the conclusion they hold in their mind, and alternatively you may ask the outsiders like in the percon doing kiosk booking and all. To help with their purchase decision. Customers may even actually examine the service before you decide to have it. Generally customers can get information regarding the company from advertisements in televisions and newspapers. After preparing the list of alternatives products the consumer undertakes the evaluation process. There are no set criteria for the evaluation of the product. However consumer tries to evaluate the service on the basis of its features like maintenance , service after sale, price and requirement of consumer. Different consumers may attach different weights to different features. They will pay the highest attention to the attributes that deliver the sought benefits. On the basis of evaluation of attributes the consumer develops the brand image. The marketer can influence consumer preferences with the help of advertising and introducing changes in the product. Then according to the consumer, which alternative suits to him the best they go for purchase to that product. And than the customer select this service and enjoy the service. In this sector whole consumer buying behavior process does not goes on.

2.3.1.2. Industrial buying behaviour

Industrial buying behaviour is the buying decision making process by which the formal organisation identifies its needs for product, raw material & services and evaluate and choose among alternatives brand and suppliers. organizational buying is the decision – making process by which formal organizations establish the need for purchased products and services and identify, evaluate, and choose among the alternative brands and suppliers

Fame raj empire’s raw material is the original movies, reels, food materials for the mcdt’s services.

Industrial buying behaviour of movies depend on the publicity of the upcoming movie and its rating. The numbers of reels are orders according to the market condition and the publicity of the movies.

In fame raj empire, the suppliers are already fixed by the head fame mumbai. Suppliers for mcdt’s raw materials is also been already fixed ; they are decided by the main branch.

Buying process of fame Fame mainly runs on the projections which help 2 run the movie in the theatre room and the food and beverages offered by them in the intervals. If any of the projection stops working due to any problem the order another projection system of the same company. And food and beverages are regularly ordered by them or kept in stock from their regular suppliers. They always look for betterment of their machines so that the clearity on the screen should be differentiated with that of the other multiplex. They provide the best quality of food and beverages to their consumers so that they don’t have 2 complain about the quality of the products. Hence, fame buy the best quality products and machines in order to be at the top


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2.3.2.1 Factors afecting consumer buying behaviour of fame’s customer

(i) Social and Cultural factors : The main factor which effect the behaviour of consumer is their social classes ; the culture they belong and the group they belong to. According to the social and cultural factor they prefer the movies to be seen.

(ii) Personal factor : In the entertainment industry like fame (raj empire) the most important factor which effect the behaviour is the person’s age and stage of life cycle, their occupation, their life style, self perception, etc. There are many other factor which affects the consumer buying behaviour but the main factor which to the entertainment industry are explained above.

2.3.2.2 Factors affecting industrial buying behaviour

The main factor which effect the industrial buying behaviour are :

Demand or publicity Economic outlook Financial capacity Competitions Rules / legal regulation


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2.4 Product / Service

A set of attributes in the form of physical service and ideas offered to the consumer for the satisfaction of his needs.

It is an tangible and intangible attributes of an object related to the service provided by them.Fame raj empire, the entertainment industry provides the services to entertain the people ( ie.consumer). The main motto of fame raj empire is to entertain the people by providing the service of movies.

Fame raj empire even provides mcdt’s services (ie. Food and soft drink) facilities to the customer / people who comes to entertain themselves.

2.4.1 .Products of the company (product mix) The set of products offered for sale by a firm or a business unit is known as a product mix. All the products items manufactured by the same business unit with or without having reaction with each other is known as a product mix.e.g. A company manufactures cloth, cement, chemicals, scooters, drugs,etc. All these items combined together is known as a product mix. There are main three aspects of product mix

2.4.1.1 Width: width of the product mix is concerened with the number of product lines marketed by the company. More the number of product lines marketed broder is the width and hence smaller the number of product lines narrower is the width of the product mix.

2.4.1.2 Width of Fame Raj Empire

Screenso arabian goldo frencho chineseo egyptiano roman

Food n beverages

o samosa rs30/-

o nachos with salsa and cheese dip rs80/-

o veg burger rs45/-

o veg rolls rs45/-

o veg sandwich rs45/-

o veg cheese sandwich rs45/-


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o veg cheese grill sandwich rs65/-

o french fries/smilies/wedges rs45/-

o chat rs35/-

o veg cheese frankie rs55/-

o sweet corn rs40/-

o tea rs25/-

o coffee rs30/-

o pepsi large rs50/-

o popcorn rs50/-

o popcorn tub rs75/-

2.4.1.3 Depth

The depth of the product mix depends on the average number of product items included in the product lines. Higher is the average more is the depth and smaller the average number of product items smaller is the depth of product mix.

Depth of fame raj empire.

Screens

In every screen there are sub points:-o morning showo matinee showo afternoon showo evening showo night shows

Foods n beverages

Combos.1. Comblock buster (saving rs11) rs 159/-

1 200ml appy/fruity + 1 packet samosa + 2 xl popcorn

2. Totally combostic (saving rs11) rs 149/- 300ml appy fizz +1 packet samosa + 2 xl popcorn

3. Sandwich art Rs 149/-1 veg sw + 2 450ml pepsi + 1 xl popcorn

4. Burger bite (saving rs 35)Rs 149/-


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1 veg burger + 2 450ml pepsi + 1 xl popcorn

5. You & meRs139/-1 packet samosa + 2 450ml pepsi + 1 large popcorn

6. Double duetRs 149/-2 450ml pepsi + 2 xl popco

The set of products offered for sale by a firm or a business units is known as a product mix. All the services provided by the same business units with or without having relations with each other is known as product mix.

Fame raj empire’s product mix ( services mix ) is made of following services :(i) movies(ii) food facilities(iii) game zone


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2.4.3 Product life cycle & marketing strategies

A product life cycle means a typical pattern of development of lifetime sales of a product. A product life cycle begins with introduction of the product in the market and ends with decline in its sales. Its lifetime sales history consists of different stages which are known as stages of a product life cycle.

Product life cycle: A company’s positioning and differentiation strategy must change as the product, market, and competitors change over the product life cycle. To say that a product has a life cycle is to assert four things:

I. Products have a limited lifeIi. Product sales pass through distinct stages, each posing different challenges opportunities, and problems.Iii. Profits rise and fall as the stages changeIv. Products require different marketing, financial, manufacturing, purchasing strategies.

Stages of product life cycle: There are four stages of the product life cycle. A. IntroductionB. GrowthC. MaturityD. Decline

Life cycle of fame The life cycle of fame cinemas depends upon the running of a specific movie. If the consumers are waiting for any upcoming movie we can say that introduction stage of fame is going on. If consumers liked a movie a lot we can say growth stage of the movie is going on. If a movie is nt so good but still some consumers are watching it, we can say that maturity stage is going on and lastly if any movie goes totally flop, we can say that decline stage of fame is going on.Hence, in this type of entertainment organization. The life cycle of the organization totally depends on the movies and the consumers likings.

Life cycle of a movie’s depends upon many external factors ie. Phases, seasons, period. Eg : vacations period, year ending, festivals holidays, etc.

The demand ie. The services provided by fame is in boom period is the vacations period, festivals period, weekends, etc when the common people are free and the same is in decline phase ie. The exams times, financial year ending ans in normal working days.


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2.4.6. Brand & Brand Equity

Brand is an important marketing tool and strategy. It benefits the company and the consumer in various ways. The brand represents the goodwill of the firm.

The difference between the book value plus the market value & the price offered for the purchase of the firm can be described as the intangibles. And one of such intangibles is the firm’s brand equity.

“set of assets & liabilities linked to a brand, its name and symbol that add to or subtract to the value provided by a product or a service to a firm or to that of firm’s competitors”.Fame itself is a brand name to the multiplex. Fame is a brand name of franchise giving authority to the multiplex to serve the people.

Logo of Fame


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Logo of Raj Empire

2.5 Labeling

The label may be a simple tag attached to the product or an elaborately designed graphic that is part of the package. It might carry only the brand name, or a great deal of information. Even if the seller prefers a simple label, the law may require more.

According to our company fame, labeling means to let know the customers the various information before they go into the theatre to watch the movie.

Behind every ticket that is being issued by the box office some important information is provided to the customers. That information are as follows:-

1. Please check your tickets before leaving the counter.2. Tickets once printed will not be exchanged, refunded or cancelled.3. Children above 2yrs will require a ticket.4. Documented age proof is must for adult movies.5. Outside eatables are not allowed.6. Visit us at www.famecinemas.com7. Apart from all this information ticket no., film shot name, date, screen name, seat no., and

total rs. Etc is also printed on the ticket.


http://www.famecinemas.com/

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2.6 Price

Price is the exchange value of a product or a service which is always expressed in money terms. For the consumer the price is an agreement between the seller and the buyer concerning what each one is to receive. Price is the mechanism or device for translating into quantitative terms, the perceived value of the product to the consumer at a point of time.

2.6.1 Pricing Objectives. Profit oriente to achieve a target return to maximize profit. Sales oriented to increase sales volume to maintain or increase market share. Status quo oriented to stabilize price to meet competition.

Methods of pricing:

Generally all the major corporations follow one of the following pricing policies or methods. 1. Markup pricing2. Target-return pricing3. Perceived value pricing4. Value pricing5. Going rate pricing6. Auction type pricing

Some corporation do not use the given pricing methods and they follow the manufacturing cost as the pricing barometer

2.6.2. Pricing policy of fame Fame has to distribute its prices of tickets with that of the distributer.Pricing of the tickets is done accordingly to the weeks passed by of a movie. In the 1 st week the price of the ticket is the highest and as the week passes the rates of the movie tickets gets lessened.Fame also keeps in mind the purchasing capacity of the public while deciding the prices of the services offered by them.Mostly the prices are determined from the head office of fame in mumbai and fame raj empire just follows it.

Pricing policies of fame raj empire is been decided by the parent fame multiplex. The price of each movies or ticket varies from movie to movie.


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2.6.2.2 Difference in Price of Tickets Varies on the Following Bases :

(i) Show timing(ii) Premier shows(iii) Silver seats and premier seats(iv) depending upon the movie(v) Different screens

Their price is decided by the main branch fame mumbai depending upon the demand in surat. fame provides some discount food coupons or combo offers on the purchase of a tickets. It is offered on

minimum purchase of two or more ticket


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Film Time Fri Sat Sun Mon - Thu

- 12:00 AM- 12:00 AM

CHALO DILLI 10:15 AM 100.00 120.00 120.00 80.00 CHALO DILLI 12:45 PM 100.00 120.00 120.00 80.00 PCHALO DILLI 3:15 PM 100.00 120.00 120.00 80.00 SCHALO DILLI 5:40 PM 100.00 120.00 120.00 100.00 CHALO DILLI 8:05 PM 120.00 120.00 120.00 100.00 CHALO DILLI 10:30 PM 120.00 120.00 120.00 100.00

- 12:00 AM- 12:00 AM

THOR (2D) (HIN) 9:30 AM 100.00 120.00 120.00 100.00 FALTU 11:45 AM 100.00 100.00 120.00 100.00 PTHANK YOU 2:10 PM 120.00 150.00 150.00 120.00 STHANK YOU 4:50 PM 120.00 150.00 150.00 120.00 THANK YOU 7:30 PM 120.00 150.00 150.00 120.00 THANK YOU 10:10 PM 120.00 150.00 150.00 120.00

- 12:00 AM- 12:00 AM

DUM MAARO DUM 10:00 AM 100.00 100.00 100.00 80.00 DUM MAARO DUM 12:25 PM 100.00 100.00 100.00 80.00 PDUM MAARO DUM 2:50 PM 100.00 100.00 100.00 80.00 SDUM MAARO DUM 5:15 PM 120.00 120.00 120.00 100.00 DUM MAARO DUM 7:45 PM 120.00 120.00 120.00 100.00 DUM MAARO DUM 10:15 PM 120.00 120.00 120.00 100.00

- 12:00 AMSHOR IN THE CITY 9:15 AM 100.00 100.00 100.00 80.00 SHOR IN THE CITY 11:30 AM 100.00 100.00 100.00 80.00 SHOR IN THE CITY 1:45 PM 100.00 100.00 100.00 80.00 SHOR IN THE CITY 3:55 PM 100.00 100.00 100.00 100.00 SSHOR IN THE CITY 6:15 PM 100.00 100.00 100.00 100.00 SHOR IN THE CITY 8:30 PM 100.00 100.00 100.00 100.00 SHOR IN THE CITY 10:45 PM 100.00 100.00 100.00 100.00

- 12:00 AMSOURCE CODE (HIN) 9:15 AM 100.00 100.00 100.00 100.00 THOR (2D) (HIN) 11:30 AM 120.00 120.00 120.00 120.00 NAUGHTY @ 40 1:45 PM 100.00 100.00 100.00 100.00 STHOR (2D) (HIN) 4:00 PM 120.00 120.00 120.00 120.00 SOURCE CODE (HIN) 6:20 PM 120.00 120.00 120.00 120.00 FAST & FURIOUS 5 (HINDI) 8:20 PM 120.00 120.00 120.00 120.00 FAST & FURIOUS 5 (ENGLISH)10:50 PM 120.00 120.00 120.00 120.00

- 12:00 AM- 12:00 AM

CHALO DILLI 9:00 AM 150.00 150.00 150.00 120.00 DUM MAARO DUM 11:20 AM 200.00 200.00 200.00 150.00 GCHALO DILLI 1:55 PM 150.00 150.00 150.00 130.00 DUM MAARO DUM 4:20 PM 200.00 200.00 200.00 150.00 CHALO DILLI 6:55 PM 200.00 200.00 200.00 200.00 SHOR IN THE CITY 9:30 PM 200.00 200.00 200.00 200.00

SCR

EEN

6 (G

OLD

) S

CREE

N 3

S

CREE

N 4

Fame Raj Empire Surat - Mumbai Circuit

PRICE CARDSchedule for 5 May 2011 - Thursday only

SCR

EEN

1

SCR

EEN

2

SCR

EEN

5


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The price money received by the customers is to be divided among the cinema and distributor as follows:-

Conclusion :-

From the above table we can see that as the movie weeks increases the share of money within the distributor gets lessened and the cinema increases. Mainly the prices of the tickets and food & beverages are decided at the fame head office situated in mumbai.


No. Of weeks Distributor Cinema

1st week of the movie 50% 50%

2nd week of the movie 45% 55%

3rd week of the movie 40% 60%

4th week of the movie 25% 75%

5th week of the movie 20% 80%

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2.7.Place / channel of distribution

2.7.1. Place or channel of distribution means a system consisting of different marketing intermediaries through which product or services are distributed from the place of manufacturer to the utilities consumer.

they make the products or services available to the consumer residing at distant places. They create the place utility, store the goods & provide certain services to the manufacturer & consumer.

2.7.1.1.Function performed by the channel of distribution

(i) it searchs of the potential customer and makes the potential customer as a real customer.they search the actual movie watcher and the encourage them to watch the movie.

(ii) middlemen advertise the product and stimulate and then create the demand for the product.

(iii) middlemen collect different items from different producers and classify them so that consumer can purchase the item of his own choice.

(iv) they collect the products from the manufacturing centres, store them and supply them to the centres of consumption

2.7.1.2 .Channel of distribution used by organistaion

fame marketing strategy is very simple.Its marketing is done in many ways like on internet, newspapers, call centers, cyber, small shops, on mobile, etc.

Internet booking.

It allows the consumer to book its ticket through internet from their bank a/c if any. Due to this strategy many people can comfortably sit at home and book their ticket even by knowing their seat numbers.

Newspapers.

fame advertise the timings of the movie so that the consumer can know that at what time the movie of their choice is going to b started at the cinema due to this their time of going just visiting the multiplex to confirm the timing of the show also reduces.

call centers.

fame also allows some of the call centers to book tickets on the calls done by them to the consumers. Due to this consumer gets aware of which movie is running in the multiplex and at what rate.


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cyber

Fame now also allows many cyber to book tickets for the customers. Due to this now customers don’t have to run to the cinema to book their tickets. They just have to visit their nearest cyber to book thir tickets and can even know their seat numbers.

Small shops

Fame also allows the small shops to book tickets for their consumers. Due to this strategy now consumers can even book their tickets from any small shops rather than going to any cyber or directly to the multiplex just to book their tickets. Mobile

Fame has updated the latest technology due to which now consumers can even book their tickets from their cell phones. This technology is adopted by fame by keeping in mind the fast changing technologies in the country.

Conclusion :

fame does its marketing in many ways which helps their consumers to buy movie tickets. And as the fame is updating its marketing strategies with the latest technologies we can say that it will go very ahead in the field of entertainment.


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2.8 Promotion

2.8.1 Promotion means a set of efforts made by the company for stimulating the demand for its product or products without making any alternation in product mix, price and channel of distribution.

Promotion is any communicative activity whose main object is to move forward a product, service or an idea in a channel of distribution.

Promotion is a set of efforts by a marketer to inform and persuade buyers to accept resell, recommend or use the service or idea which is being promoted.

2.8.2 Promotion mix

Promotion mix means a set of elements or tools like advertising public relations and publicity, sales promotion, personal selling and direct marketing used by the marketers for promoting sales by stimulating demand through persuasive communication.

Fame raj empire does their promotion n many ways. Their promotion mix are as follows :

2.8.2.1. Adverstising :

Adverstising can be defined as any paid form of presentation and promotion of idea’s, goods and services by an identified sponsor.

Fame raj empire does their advertising in the following ways :

(i) fame gives there adverstisement weekly in newspaper (ie.) Sandesh, divya bhaskar, rajasthan patrika, etc.(ii) raj empire even send advertisement on internet on daily bases.(iii) it even gives advertisement on the local channels of sura

2.8.2.2. Publicity :

Skillful and dramatic use of publicity on different occasions help to promote the sale by making the name of the company and its products more popular and prestigious.

Publicity involoves securing editorial space as divorced from paid space in all media read viewed or heard by a companies customer’s on prospects for the specific purpose of assisting in the meetings of sales targets.


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Raj empire does its publicty in the following ways :

(i) raj empire prints their logo on the food packages seld by them.

(ii) raj empire conduct some campaigns in their campus

Likewise they have kept tvs scooty and nano car to promote it. Recently they are organising fm radio’s campaiging in their establishment.

(iii) raj empire displays the hoarding on their different places to do publicity

Publisity status

Films Poster Photo set

Standee Trailor Banners Cd

Step up 30 2 Emotional atyachar 18 Dabaang 12 4 1 1 Mallika 15 1 1 We are family 25 1 1 Cominey company 11 Welcome to zombieland 3 Knock out 15 1 1 1 Khichdi 15 4 1 1 Resident evil 15 3 1 Crook 15 1 1 Robot 15 4 1 1 1 1Anjana anjani 20 1 1 1 1Do dooni chaar 2 1


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2.9 Communication process

Marketing communication means total communication carried out by all the elements on tools of promotion mix with an objective of creating desired impact on buyer’s behaviour.

All the elements of promotion mix are concerned with changing the attitude, preferences and behaviour of the present users and the prospective.

Integrated marketing communications is a term used to describe a holistic approach to marketing communication. It aims to ensure consistency of message and the complementary use of media. The concept includes online and offline marketing channels. Online marketing channels include any e-marketing campaigns or programs, from search engine optimization (seo), pay-per-click, affiliate, email, banner to latest web related channels for webinar, blog, micro-blogging, rss, podcast, and internet tv. Offline marketing channels are traditional print (newspaper, magazine), mail order, public relations, industry relations, billboard, radio, and television. A company develops its integrated marketing communication programme using all the elements of the marketing mix (product, price, place, and promotion).Integrated marketing communication is integration of all marketing tools, approaches, and resources within a company which maximizes impact on consumer mind and which results into maximum profit at minimum cost. Generally marketing starts from "marketing mix". Promotion is one element of marketing mix. Promotional activities include advertising (by using different media), sales promotion (sales and trades promotion), and personal selling activities. It also includes internet marketing, sponsorship marketing, direct marketing, database marketing and public relations. And integration of all these promotional tools along with other components of marketing mix to gain edge over competitor is called integrated marketing communication.

Using outside-in thinking, integrated marketing communications is a data-driven approach that focuses on identifying consumer insights and developing a strategy with the right (online and offline combination) channels to forge a stronger brand-consumer relationship. This involves knowing the right touch points to use to reach consumers and understanding how and where they consume different types of media. Regression analysis and customer lifetime value are key data elements in this approach.

2.9 for service include study of three more p’s (people, process, physical evidence

2.9.1 People

All the executives are well qualified and trained in there respective field. The executives are required to get trained for at least 18 months in any other private company to become employ in fame india ltd.. Hence they are well educated and trained so the company will not find it difficult to sell there product . They easily convince the customer and made them satisfied with the service provided to them


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2.9.2. Fame’s Executives:-

1. Mr. Shyam shroff - promoter2. Mr. Shravan shroff – promoter and managing director 3. Mr. Bal krishna shroff- promoter4. Mr. Amit jatia– director5. Ms. Susan thomas– director6. Mr. Padmanabh sinha– director7. Mr. Rishi negi – ceo 8. Mr. Naushad shaikh – vice president – finance and accounts 9. Ms. Suparna majumdar – vice president - human resources10. Mr. Aditya shroff – assistant vice president - programming and corporate sales11. Mr. Arshad kazi – vice president – it12. Mr. Prasanna manjrekar – sr. Vice president - projects and business development

2.9.3. Process :- Sender – who conveys the message?Message - which consists of facts, ideas, and opinions?Symbol – this is also known as encoding of message.Channel – the communication channel can be a telephone.Receiver is the person who receives the message. He decodes the message and draws meaning from it.Feedback – the receiver sends his response to the sender of the message.

Communication to customers: Fame India Ltd., do communication from their customers by the way of feedback form like questionnarie. Secondly they send their employees to the customers to take their feedback. The main tool of the communication are face to face. 2.9.4. Physical Evidence :-

Fame India Pvt Ltd.

The place where the company is situated is in good area with road front. The inner furniture of the showroom is capable to attract the customers. The whole organization is well furnished and planned accordingly with a view of attracting the customer. The whole interior of the organization gives the classic feeling and many basic facilities are also available in the company like pure drinking water, wash room facility, food n beverages and many more. The design of the organization is planed very simple and easier for the customer, the customer gets faster and easier service from our organization which is also make customer attract. When


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the customer gets into the organization, they are welcomed by the security guards. There they get the required service and information of the product which they come for.

2.10 Comparison of 4 p’s of various offering of organisation with competitors

The 4 p’s are :

(i) product(ii) price(iii) place(iv) promotion

Being a franchise fame has been benefititied as compared to the present competitors such as valentine multiplex, cityplus multiplex, rajhans threatre and other entertainment sources.

Fame’s prestige is comparitively more then the other multiplexes and its clarity, screen, sitting facility is better than the other threatres.

Prices of raj empire is nominal. Its competative in the market as compared to other fame’s multiplex. It is low but when compared in surat’s multiplexes it is nominal.


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2.11 Marketing control

Marketing control is the processof measuring and evaluating the results of marketing strategies and plans and taking remedial actions to ensure that marketing objectives are achieved.

Objectives of marketing control To control the cost of marketing and selling department To maintain the strength in the competition in long runs Successful implementations of marketing plans Improvement in channel of distribution To maintain the prestige of the company


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Chapter – 3

Human Resource

Department


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Points to be covered in human resource department

3.1 Basic information about hr department of the company 3.2 Hresource planning3.3 Recruitment & selection3.4 Training and development3.5 Promotion and transfer3.6 Performance appraisal3.7 Wages salary structure3.8 Employee welfare3.9 Hr audit


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3.1 Basic Information about H.R Department Of The Company

3.1.1 Human resources is exactly it says: resources for humans – within the workplace! Its main objective is to meet the organizational needs of the company it represents and the needs of the people hired by that company. In short, it is the hub of the organization serving as a liaison between all concerned. Depending on the size of the company, the hr department might be called personnel with a manageable workforce that can be handled by a personnel manager and a small staff. For larger, more complex organizations with hundreds of departments and divisions, the task is much more demanding, taking on a life of its own.

Some companies have more than one hr department - corporate and union . For example, a food service industry might have a corporate hr department that oversees “white collared" employees and an hr department that oversees the “blue collar" workforce with an emphasis on labor relations. The organization will, thus, institute these two hr departments to manage the unique needs of both union and non-union employees. To ensure its success, a company must establish a hierarchal reporting system. The funnel of responsibility is critical to the efficiency of a smoothly operating business entity in which there is a clearly defined understanding of who is responsible for what. They provide consultation to a company's management team to identify what the company's core business and culture is about, and proceeds to plan and map the company's organizational infrastructure to support those needs.


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Human resource management department

H.R means natural qualities endowed by god and qualification acquired by man through education and training.

A list of hr includes intelligence, knowledge, values, positive attitude, creativity, different types of skill like skill of expression, writing skill, technical skill, analytical skill, decision making etc.

Hr required by fame rajempire at different level posses varied skills; there are three levels in hr department.The three levels are:

1) Top level: It includes Managing Directors (M.D). 2) Middle level:

It includes : Mall manager Account manager Assistant manager(unit head) It manager It assistance Hr manager (administrative manager) Dcr manager (daily collection report)

Under there managers some more designation come which are at middle level.

Operational assistant manager Inventory excharge Purchaser Supervisor


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3) Lower level:

It includes : Courier man Team leader Office boy Accountant M.c.d.t Operators Electrician Projectionist House man 24 security Security guard (mall security) House keeping (mall house keeping)


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3.1.2 Total number of Employees & Total number of Branches.

Fame multiplex is spreaded all over india but the main fame has been originated from mumbai branch. Employees of their every branch depends upon there capacity and requirement.

Fame Rajempire has approx. 150 number of employees with different designation

No Department Name Designation

1 Director Raj gulshan gaba M d2 Chandravijay gaba M d1 Management Rakesh trivedi Mall manager2 Abhishek bhagat Account manager3 Uday khairnar Assistant manager (unit head)1 It Mayur kaneria It manager2 Parth athvia It asst1 Admin Nikita r pandit Admin1 Dcr Ashish vegda Dcr1 Cashier Shushant sahu Cashier1 Call center Hemali athvia Telli caller2 Sangeeta sharma Telli caller3 Ankit batlawala Courier man4 Ketan more Courier man1 Operation Kalpesh kher Assistant manager2 Kamlesh patel Team leader3 Piyush mistry Team leader4 Ravindra baviskar Team leader1 Inventory Aarya gudla Inventory incharge2 Rakesh patel Inventory incharge1 Purchase Naresh kayastha Purchase2 Ganesh sonar Purchase1 Peon Sanjay Office boy2 Nitesh Office boy1 Accounts Devendra hirawala Accountant


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2 Shilpa premani Accountant3 Chetan parmar Accountant4 Sneha kayastha Accountant1 Operation(mcdt) Ajay zope M.c.d.t.2 Hitesh makawana M.c.d.t.3 Dhanaraj patil M.c.d.t.4 Karan gupta M.c.d.t.5 Dhananjay dube M.c.d.t.6 Sunil chaurasiya M.c.d.t.7 Khateker rahul M.c.d.t.8 Wasim khan M.c.d.t.9 Ziyad shaikh M.c.d.t.10 Kapil sathe M.c.d.t.11 Raju bharwad M.c.d.t.12 Mohsin pathan M.c.d.t.13 Radhe krishna pande M.c.d.t.14 Bhagwan baisane M.c.d.t.15 Manoj gayakwad M.c.d.t.16 Rajesh vasava M.c.d.t.17 Harish patel M.c.d.t.18 Nilanj r modi M.c.d.t.19 Dilip khandare M.c.d.t.20 Pradip sukla M.c.d.t.21 Vishal laggad M.c.d.t.22 Sandip rathod M.c.d.t.23 Chandan singh M.c.d.t.24 Paresh solanki M.c.d.t.25 Sayeed yasin M.c.d.t.26 Sachin behra M.c.d.t.27 Sanjit m kushwaha M.c.d.t.28 Hemangi patel M.c.d.t.29 Pankaj patil M.c.d.t.1 Ac Alpesh patel Operator2 Srinivas gaddam Operator3 Gajanan lohar Operator4 Mohamad sheikh Operator5 Nilesh patel Sup. Operator1 Electrician Harish soni Electrician2 Vashishtha Electrician3 Deepak r parihar Electrician4 Ravi athavia Electrician5 Narendra chauhan Electrician6 Vinod ram bhavan Electrician1 Projection Dhiraj r khantharia Projectionist


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2 Richard rathod Projectionist3 Salim yusuf achcha Sup. Projectionist4 Hamid sheikh Projectionist5 Shantilal solanki Projectionist6 Kersi engineer Sr. Sup. Projectionist7 Manoj sinhg Projectionist8 Rajesh dalwala Projectionist9 Majid pathan Projectionist10 Bhavesh patel Projectionist11 Naresh gohil Projectionist13 Hanif sheikh Projectionist1 Radiant house keeping Nandkishor Sr. Supervisor2 Anil ahire Supervisor3 Samadhan bhoi House man4 Ramesh ahire House man5 Vishwas biradi House man6 Rahul nikam House man7 Gautam suryawansi House man8 Aadesh kaawde House man9 Raju karlekar House man10 Abhimanyu solanki House man11 Hiralal ahirew House man12 Mahendra b House man13 Vijay naik House man14 Uddesh House man15 Bharat patil House man16 Narendra bhasker House man17 Krishna hire House man18 Jagdish hire House man19 Rahul ramraje House man20 Yuvraj panpatil House man21 Vinod hire House man22 Sandip bagle House man1 24 secure security Meena patel 24 security2 Baleshwar prasad 24 security supervisor3 Pinkal Sharma 24 security4 Kamtaprasad 24 security5 Rajesh khambhati 24 security6 Til singh 24 security7 Dilip singh 24 security8 Harisukhbhai patel 24 security9 Sukaram 24 security10 Shyamlal 24 security11 Satish chaurasiya 24 security


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12 Mukund patel 24 security13 Nishitha patel 24 security14 Ramprakash chaurasiya 24 security15 Rajdev yadav 24 security1 Mall security Kalu singh Security guard2 Sanjay gayakwad Security guard3 Mohan budha Security guard4 Bharat nikam Security guard5 Biren singh Security guard6 Bhupendra singh Security guard7 Raju soni Security guard8 Bharat vyas Security guard9 Suresh singh Security guard10 Mohan soni Security guard11 Roshan singh Security guard12 Dharmendra singh Supervisor1 Mall house keeping Sonu zariya House keeper2 Ajay House keeper3 Sunil House keeper4 Hitesh House keeper5 Shailesh patel House keeper6 Shankar House keeper7 Sagar gavai House keeper8 Baburao thule House keeper9 Mangla House keeper10 Manju House keeper


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3.1.3 Organizational Structure:


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3.1.4. Activities of H.R Manager:

H.R manager is a very important link to maintain the productive of the organization and the labour requirement for effective result.

H.R manager is responsibility on the lower level and is even accountable for the management to the top level.

H.R manager has to perform many activities related to the employees, executive etc. To recruit, select, give incentive etc, to them.

The Fame rajempire the administrative manager (miss Nikita R Panelit) is even the hr manager.

She has the authority over mcdt, ac department, electrician, projection, 24 securities, radiant, house keeping (cleaner), mall house keeping. There attendance sheet; there leaves; etc are been managed by the hr manager (miss nikita r panelit).

She has to report for any problem or for any accountability. She is responsible to assistant manager (mr. Uday Khairnar) and md’s (i.e.) Raj gulshan gaba and chandra vijay gaba.

In Fame India Pvt. Ltd., The main activities of H.R Department are:-

A) to check employees salary as per salary break-up in salary statement.B) to check employees present day, leave or absenteeism, shortages, arrears, increment etc., in salary statement.C) to check employees probation/ confirmation date and inform unit head/ head office.D) to check the employees revised salary/ increment salary and to inform to concern persons.E) to send monthly hr mis report and head count report to head office.F) to reply immediately of received mail and forward it to concern person for further process.G) to check house-keeping surrounding.H) to check stationary stock and control on it.I) to keep all unit contacts number, e-mail id, addresses for communication.J) to prepare daily work list and follow it as priority basis.K) to keep the message or any other important thing with your confidential subordinate when the employee are on leave or out door duty or on any emergency.L) to inform/ warn to security guard for prohibition of specific employee and places.M) to control on their shift duty and inform strictly to security guard regarding their entry and exit.


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3.2.Human Resource Planning

HRP is the process of estimating total requirement of hr in the light of activities to be undertaken during a specific future period of time for the achievement of departmental and organizational goals.

Human resource planning is the process by which an organization ensures that is has the right number and right kind of people, at the right places, capable of effectively and efficiently completing those tasks that will help the organization achieve its overall objectives.

Hr/ manpower planning is the process of acquiring and utilizing human resources in the organization. It ensures that the organization has the right number of employees in the right place at the right time.

Fame Rajempire’s hrp is done by the main branch of fame (mumbai) only the local, day to day job are requited by the top level management (i.e.) Nikita ( the hr manager). The manager’s and other top executives are transferred, promoted and demoted by the mumbai head office.

3.2.1 Why is human resource planning important?

Since the industrial revolution, the world has progressed tremendously. Be it the steel industry, it, fashion houses or housing sectors, development in all of these is evident. However, over the ages man has indiscriminately used and abused the natural resources available to him. It has resulted in a global energy crises and depletion of resources in general.

in this backdrop, what remains is an abundance of human resource, or let's say human capital. To achieve any more goals, tapping the right kind of human resource is the key. You may have a business house worth millions of dollars. But what if there isn't the manpower that suits the nature of the business? Hence, developing the manpower is of utmost importance.

Hrp is an important process to maintain the link between business strategy and it operation. It follows different procedures including the need to assess the impact of technological changes on new jobs and skills.

Minimizing the risk of planning.:-


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By forecasting the needs of of technical and other human resources it can minimize the future risk of loosing. Delay in recognizing human resources might be costly and expensive in the future.

3.2.2 Elements of human resource planning.1. Estimating manpower requirements quantitatively and qualitatively.2. Recruitment and selection o personnel.3. Induction and development.4. Personnel development.5. Ensuring quality to products and services, keeping custoemer satisfaction as the primary objective.6. Overall assessment of permormance and fine-tuning.

3.2.3 Human resource planning process.The process of hrp has the following steps:

(a) analysing organizational plans:-First of all, the objectives and strategic plans of the company are analyzed. Plans concerning technology, production, marketing, finance, expansion and diversification give an idea about the volume of future work activity. It is also necessary to decide the time horizon for which human resource plans are to be prepared. The future organization structure and job design should be made clear and changes in the organization structure should be examined.

(b) hr demand forecast:-On the basis of corporate and functional plans and future activities leves, the future needs for human resource in the organization are anticipated. The no. Of people and the skill levels needed in future depend on the production and sales budget in a manufacturing enterprise. But the human resourse requirements for a given level of operations vary depending upon the production technology, process, make or buy decision, job contents, behavior patterns and control systems.

(c) hr supply forecast:-Every organization has two sources of supply of human resources – internal and external. Internally, human resources can be obtained for certain post through promotions and transfers. Human resource flow in and out of organization due to several reasons promotions, transfers, death of an employee, retirements, terminations, resignation, etc.. Policies relating to these aspects needs to be reviewed regularly to judge their impact on the internal supply of human resources.

(d) estimating manpower gaps:-Net human resource requirements for manpower gaps can be identified by comparing demand forecast and supply forecast. Such comparison will reveal either deficit or surplus of human resources in future. Deficits suggest the no. Of persons to be recruited from outside, whereas surplus implies redundant to be redeployed or terminated. Similarly, gaps may occur in terms of knowledge, skills and aptitudes.

(e) action planning:-Once the manpower gaps are identified, plans are prepared to bridge these gaps. Plans to meet the surplus manpower may be redeployed in other departments and retrenchment in consultation with the trade unions. People may b persuaded to quit voluntarily through golden handshake. Deficit can be meeting through


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recruitment, selection, transfer, promotion and training plans. Realistic plans for the procurement and development of manpower should be made after considering the macro and micro environment which affect the manpower objectives of the organization.

Conclusion:- in fame raj empire, human resource planning plays a very crucial and important role. It properly recruits the employees who are efficient in their work through various internal and external human resources. Each work of recruitment and selection of employees is done by the head of hr department.If the employees are not working properly, it finds out that what is the problem due to which their work efficiency is reduced and find out ways to increase their work efficiency. It also keeps in mind the current affairs going on in the organization. It prepares various plans for the better human resource in the organization. Thus, human resource planning plays an important role for the betterment of the organization


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3.3 Recruitment and selection :

Recruitment is the process of searching prospective employee and stimulating them to apply for the job in his organization. Selection is the process of eliminating less qualified, incompetent, the least promising candidates, and choosing the candidates with necessary competence, skills, abilities, aptitude and the highest potentiality from the application received.

In today's rapidly changing business environment, organizations have to respond quickly to requirements for people. Hence, it is important to have a well-defined recruitment policy in place, which can be executed effectively to get the best fits for the vacant positions. Selecting the wrong candidate or rejecting the right candidate could turn out to be costly mistakes for the organization. Selection is one area where the interference of external factors is minimal. Hence the hr department can use its discretion in framing its selection policy and using various selection tools for the best results. Meaning of recruitment:-Act of seeking prospective new employees or member for an organization. RecruitmentIs a vital function foe an organization to maintain its personnel.

3.1. To study the Sources of Recruitment used by the organization.

Fame Raj Empire mainly uses the internal sources to recruit the employees at the lower and middle level.

Present permanent employees; friends and relatives of present employees, retrenched employees etc are use to recruit the lower and middle level employees.Existing employees and volunteers are given opportunity to apply for a new job opening.

Considerations:- Rewards the employee for past performance. Gives the employee an opportunity for career development Retains the organization’s investment in the employee. Reduces the costs of recruitment. Reduces the amount of time necessary to orient the person to the new position. Reduces the opportunity for increasing diversity within your organization.

3.2.1 The Internal Recruitment Process does not have just benefits, this process has some disadvantages as well. The internal recruitment process is a very powerful tool, but it can be misused in hands of some employees and managers


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The managers use the internal recruitment process as a tool to transfer their own issues to the other departments. This is very dangerous as other managers will not trust the internal recruitment process and will block the ambitions of employees to be transferredIn the internal recruitment the main sources are present employees, employee’s referrals. Some Internal Sources of Recruitments are given below:

1. Transfersthe employees are transferred from one department to another according to their efficiency and experience.

2. Promotionsthe employees are promoted from one department to another with more benefits and greater responsibility based on efficiency and experience.

3. Others are upgrading and demotion of present employees according to their performance

4. Retired and retrenched employees may also be recruited once again in case of shortage of qualified personnel or increase in load of work. Recruitment of such people save time and costs of the organizations as the people are already aware of the organizational culture and the policies and procedures.

5. The dependents and relatives of deceased employees and disabled employees are also done by many companies so that the members of the family do not become dependent on the mercy of others. 3.2.2. External Recruitment :-

An opportunity given to the people outside the organization for work is known as external recruitment. the external recruitment process is a very complex hr process, which involves many parties and the clear follow up of the individual process steps is essential. The hrm function is responsible for setting and defining the external recruitment process and it has to be sure to solve several success factors in the external recruitment process. The recruitment agency is a tool for the pre-selection of the job candidates and it has to be able to meet the basic expectations to reduce the time needed from the hrm employees.The recruitment agency has to receive very clear brief about the vacancy in the organization. The hrm function and the hiring manager have to define the best job profile and the description of the ideal candidate to navigate the recruitment agency in the external recruitment process. The most crucial condition for the successful external recruitment process is a clear decision line and the agreement about the final person to decide about the new hire to the organization. The job candidates can lose their interest quickly, when the organization is not able to make a final decision and asks for additional information and time after all the job interviews are finished.


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Some External Sources of Recruitments are given below:

1. Press Advertisementsadvertisements of the vacancy in newspapers and journals are a widely used source of recruitment. The main advantage of this method is that it has a wide reach.

2. Education Institutesvarious management institutes, engineering colleges, medical colleges etc. Are a good source of recruiting well qualified executives, engineers, medical staff etc. They provide facilities for campus interviews and placements. This source is known as campus recruitment. 3. Placement Agenciesseveral private consultancy firms perform recruitment functions on behalf of client companies by charging a fee. These agencies are particularly suitable for recruitment of executives and specialists. It is also known as rpo (recruitment process outsourcing) 4. Employment Exchangesgovernment establishes public employment exchanges throughout the country. These exchanges provide job information to job seekers and help employers in identifying suitable candidates. 5. Labour Contractorsmanual workers can be recruited through contractors who maintain close contacts with the sources of such workers. This source is used to recruit labour for construction jobs.

6. Unsolicited Applicantsmany job seekers visit the office of well-known companies on their own. Such callers are considered nuisance to the daily work routine of the enterprise. But can help in creating the talent pool or the database of the probable candidates for the organization. 7. Employee Referrals / Recommendationsmany organizations have structured system where the current employees of the organization can refer their friends and relatives for some position in their organization. Also, the office bearers of trade unions are often aware of the suitability of candidates. Recruitment management can inquire these leaders for suitable jobs. In some organizations these are formal agreements to give priority in recruitment to the candidates recommended by the trade union. 8. Recruitment at Factory Gateunskilled workers may be recruited at the factory gate these may be employed whenever a permanent worker is absent. More efficient among these may be recruited to fill permanent vacanci

3.3 Recruitment and Selection Process

Recruitment and selection process begins with the rise in the requirement of manpower. As there is rise in requirement of manpower the company uses the internal and external source of recruitment. According


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to the requirement of the post the sources are used. Thereafter the selection is done. Various stages involved in the recruitment and selection process are:

In Fame Raj Empire, recruitment and selection is done sometimes by internal sources of recruitment and sometimes by external recruitment sources. If any employee seems to be hardworking and efficient for the vacant post he/she is recuited and selected for that particularly post. But if none of the employee seems to b efficient for a particular post, organization uses external source of recruitment like giving advertisement in newspapers, or ask any employee institute to search for an appropriate employee for that post.the recruitment and selection is over here is done by hr department head.

Recruitment in Fame India LtdAs per schedule, to send the details to the head office.

a) to send new joniee details to the head office’s hr office and after checking it they will approval letter with the appointment letter.B) with the appointment letter they will send a joining kit within a week from the date of received of details of new joinees.C) the appointment letter photo copy has to be sent to the hr department and to the main office and one in the unit level.D) add the name f the new joiner in muster roll and keep with security department.E) to keep record or inform when any employee transfer in or transfer out.F) induction program would be done on 15th or 30th of each month by the team leader of hr department and that person will explain the employee about the company policies, benefits of statuary and regulation , employees handout to all employees.G) to send the attendance diary on every month to the main office with ratify by unit head.H) to ensure that unit level cashier keeps shortages ready.I) to send checked salary cash sheet to the main office.J) to dispatch the salary on 1st of every month for all properties.K) to ensure that all employees get their salary by 2nd of every month.L) to send the confirmation of salary disbursed on 3rd of every month.M) to courier all the registers to the head office.N) to ensure that all the registers should come back from the head office.O) to send details about resigned employees along with full and final clearance forms/ shortages/ resignation in hard copy as well as in soft copy statement.P) full and final cheques will be dispatched by the gead office.Q) to send details about transfer in and transfer out to respective property and head office.R) to send hr mis report and head count report to the head office.S) to maintain leave record. and when the employee is been selected than two formalities are there to be fulfilled and they are as follows:- A) to fill esic, pf, bank details of employees and forward it to the head office.B) to check daily entry and exit in muster roll and remark

3.4.1 Training and development


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Training means increasing the job knowledge and developing the skills of workers by imparting systematic theoretical education and practical experience for the achievement of organizational goals effectively and efficiently.

Training is impart job related practical experience and develops the needed skills through planned programme.

3.4.1.Meaning and Definition of development:-

“a long-term educational process utilizing a systematic and organized procedure by which managerial personnel learn conceptual and theoretical knowledge for general purpose” “an effort to provide employees with the abilities the organization will require in the future” Development: concepts• focus on current and future jobs• prepares for higher responsibilities• conceptual thinking, analysis and decision –making abilities• future growth or role in the organization or work demands• long term focus• focus on groups or teams

Education • understanding and interpretation of knowledge• does not provide definitive answers• develops a logical and rational mind• develops qualities of mind and character• understanding of basic principles• usually outside the scope of organizational activities

Training vs. Development

Training Developmentnon – managerial personnel managerial personneltechnical and mechanical theoretical and conceptual skills specific and job – related generalshort – term focus long – term focuspresent job future job Training and development need = standard performance – actual performance

Benefits of employee training


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• increased productivity: qualitative and quantitative• hightened morale / personal growth• reduced requirement of supervision• enhanced industrial safety• reduced obsolescence through continuation training / periodic training / refresher training

Responsibility for training

• top management / line responsibility - frames training policy• organizational culture that supports change, learning and improvement an important determinant of training effectiveness• personnel department plans, establishes and evaluates training programme• supervisors – implement and monitor programme• employees – provide feedback or suggestions to upgrade skills

Objectives of training

• prepare for job on entry, transfer, promotion• enhanced effectiveness in present position and potential future position• build second – line of competency• prepare for great responsibility

Training policy

what- is to be accomplished: identify objective of training [end state result]- training priorities- type of training: formal or informal- continuous or casual or periodic

who- is responsible for the training programme- is to undertake the programme: in – house or external agency or mixed faculty

when- should the training be implemented

where- should the training programme be implemented: physical location or environment

Steps in Training


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• identify gaps in skills or knowledge: i.e. Requirements• getting ready for the job:- who is to be trained: older or younger employee, superior or all• preparation of learner:- put at ease: remove apprehensions or fear- state objectives or importance of training programme- create interest• presentations of operations or knowledge- output or input orientation- tell or show or demonstrate or illustrate or question• performance try – out- explain job- try out- fault or mistake diagnosis and correctiveInterventions- compare before or after result- follow - up

Training period

• 2-3 hours at a stretch with a break• block of one week or fortnight with 1-2 hours daily• three weeks – six months – one year

training period depends upon • training needs• budget• availability of workers• availability of time

Types of Training


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Unskilled worker:• improved methods in handling machines or material

Objective:• waste reduction or reduction in production cost

Trainer:Immediate supervisor through on - the - job training

Semi-skilled worker: Coping with increased mechanization Imparted by professionals or skilled workers / inspectors On site training or training workshops

Skilled worker: Through apprenticeship: 1 – 5 years Training centers

Sales persons: Nature or quality of product Salesmanship or customer management

Supervisory staff: Improve performance / supervisory skills /

Human skills

General:• diversity training• crisis / disaster – management training

Benefits of Training

improved profitability positive attitudes towards efficiency or effectiveness or profit orientation improved morale identification with org goals improved superior – subordinate relationship improved labour – management relationship self – development or self – confidence or self – management job – satisfaction

How to make Training Effective


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commitment of management or unions match between training / corporate objectives developing a learning organization ensuring linkage between organization, operational and individual training needs proper selection of trainee

3.4.2.1 Training and development in Fame Raj Empire:- In fame raj empire, new joined employees and old employees both are given training for their development of skills in their work. Every month some professional trainers visits the organization and gives training to the employees working over there. No matter if they are old employees or new ones. Training is a compulsion part of people working over there. After every 15 days the trainers visit the organization. They even keep a watch on employees and find outs that which employee needs more training and which employee needs less training. They make employees perfect for their work to be performed in the organization. If the person is new to the company if that person is joining for the first time than that person is given training of 15 days in whish that person gets to know about the company and how the company works out but this training we can assume as a trial period for a new employee because that person will not receive any income for 15 days and here not only the person checks out the company but the company also checks out the workings of the new employee and if that person is not performing well than the company will not appoint that person in the company. is fame rajempire the newly recruited employees are given induction training to make them familiar with their job and the organization.

Induction training increases the self confidence of new recruits they feel lonely and opportunities to adjust themselves.

This training is a paid training.

At the rajempire also provide on job training to some employees.

Rajempire even provide some safety training like fire safety training.

3.5 Performance Appraisal System.


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Performance appraisal is the official and periodic evaluation of an employee’s job performance measured against job requirements.

Performance appraisal is a systematic periodic and impartial rating of employee’s excellence in matters pertaining to his present job and to his potentialities for a better job.

Performance appraisal is an objective system to judge the ability of an individual employee to perform his tasks. A good performance appraisal system should focus on the individual and his development, besides helping him to achieve the desired performance. This means that while the results are important the organization should also examine and prepare its human capital to achieve this result. This holds true even for new inductees.There is a strong linkage between induction, training and appraisal. In a large number of firms worldwide, a new recruit is expected to discuss his schedule of work in achieving his induction objective. This schedule of work becomes a part of his job for the next few months.

Performance appraisal is necessary to measure the performance of the employees and the organization to check the progress towards the desired goals and aims.

Performance appraisal takes into account the past performance of the employees and focuses on the improvement of the future performance of the employees.

Objectives :- compensating for performance- training and development programmes- feedback & personal development

3.5.1 Components of Performance Appraisal :

1. Key performance area (kpas)/key result areas (kras)2. Tasks/targets/objectives; attributes/quality/traits3. Self appraisal4. Performance analysis5. Performance ratings6. Performance review, discussion or counseling.7. Identification of training /development needs8. Ratings/assessment by appraiser9. Assessment /review by reviewing authority10. Potential appraisal.

Advantages of performance appraisal


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- improving performance- making correct decisions- ensuring legal compliance- minimizing dis-satisfaction and turnover.- values and behaviour.

Performance Appraisal in Fame Raj Empire:-

Performance appraisal plays an important role in fame raj empire. Overhere, the manager keeps a watch on his/her employees whether any employee is having difficulty in their work or not and if any employee faces problem in doing their work, their head person helps him to work effectively.Here employees feel free to express their views about their work and the management takes quick actions to solve their problems due to which they were inefficient and ineffective in their work.Here, also the process of promotion is done on the bais of performance appraisal. The head of hr department keeps a watch on each an employees performance and after that discuss the problems of the employees with them that why they are not performing well and find the corrective actions. If one employee is perfect in his/her work he/she is promoted and transferrerd to a higher position.Thus, performance appraisal system is very important for a service sector like fame.

Performance appraisal for different levels of employees.

fame rajempire provides an award to the employees of the bottom and middle level “the employee of the month”They are judged as the bases of there work; the hr head keeps a watch on the employees and in the end of the month they are rewarded as the employee of the month.The winner are provided cash as there rewards.

Objectives behind the appraisal process :

To motivate employee to do there job effectively and efficiently.

To help the superior in directing his subordinate.

To help in promotion decision.

Thus, performance appraisal system is very important for a service sector like fame.


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3.6 Promotion and Transfer PoliciesA promotion occurs when a staff member moves to a position with a higher pay, grade. In addition to a higher pay grade, a promotion usually means that the new position requires skills which are significantly broader and more complex then what the former position requires as well as possible supervisory responsibilities. Purpose of promotion:-

- to motivate employees to higher productivity- to attract and retain the services of qualified and competent people.- to recognize and reward the efficiency of an employee.- to increase the effectiveness of the employees and the organization.- to fill up higher vacancies from within the organization.- to attract competent and suitable employees for the organization.- to suggest logical training for development.

Types of promotion Horizontal promotion:-

This type of promotion involves an increase in responsibilities, and a change in designation. But the employee concerned does not transgress the job classification.

Vertical promotion:-This type of promotion results in greater responsibility, prestige and pay, together with a change in the nature of the job.

Dry promotions:-The person is promoted to just next level in hierarchy. Designations are different but no change in responsibilities. Benefits of promotion

Promotion places the employees in a position where an employee’s skills and knowledge can be better utilized.

It creates and increases the interest of the other employees in the company as they believe that they will also get their turn.

It creates among employees a feeling of content with the existing conditions of work and employment.

It increases interest in acquiring higher qualifications, in training and in self development with a view to meet the requirement of promotion

Promotion improves employee morale and job satisfaction. Ultimately it improves organizational health.


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3.6.1 Transfer:-Transfer is defined as “a lateral shift causing movement of individuals from one position to another usually without involving any marked change in duties, responsibility, skills needed or compensation”Transfer is change in assignment in which the employee moves from one job to another in the same level of hierarchy requiring similar skill involving approximately same level of responsibility, same status and same level of pay.

Reasons for Transfer

to meet organizational requirements to satisfy employee’s need to resolve interpersonal conflicts to improve employee background disciplinary decisions to minimize fraud/bribe. Benefits of Transfer transfers benefit both the employees and the organization. transfer reduce employee’s monotony, boredom etc. increase employees job satisfaction. improves employee’s skills, knowledge etc. correct erroneous placement and interpersonal conflicts. enhance human resource contribution to organizational effectiveness. Types of transfer :

1. Production transfer:-Such transfers are made when labour requirements in one factory or branch are declining. The surplus employees who are efficient or trained might be absorbed in other places to avoid layoff.

2. Replacement transfer:-This type of transfer is made to retain long service employees. The long standing employee replaces a new employee and thereby gets relief from the heavy pressure of work.

3. Versatility transfer:-It is made to develop all round employees by moving them from one job to another. It also helps to reduce boredom and monotony.

4. Remedial transfer:-Such a transfer is made to rectify mistakes in selection and placement. As a follow up, the wrongly placed employee is transferred to a more suitable job.

5. Shift transfer:-Employees may be shifted from one shift to another for personal reasons like marriage, infant care, old parents, etc.


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Fame raj empire transfer and promotion policies:- In fame raj empire if a person works effectively and is efficient of handling higher responsibilities he/she is promoted and transferred to a higher work position then his/her previous work position with increase in pay scale and increase in responsibilities.And if a person on higher position starts working inefficiently then he/she is transferred from his/her work position to a lower work position.

3.6.1.2 To study promotion, transfer and demotion policies of the company.

In Fame Raj Empire promotion is done on the seniority bases.

Promotion in rajempire is given to seniority to those employees who are serving in the company since long time.

Transfer: In fame rajempire mainly production transfer, replacement transfer and shift transfer takes place for the benefit of the organization of the employees.

Demotion:Demotion means to bring down or shift a person from higher post to lower post. This is a penal action taken by manager to punish the employee.


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3.7 Wages and Salary Administration

Wage:wages, salary are the compensation of wage earners, the numerous employees who use the tools and

equipments for their employers to produce goods and services that are sold by their employees

Salary:The term salary is defined as “the remuneration paid to all clerical and managerial personnel employed on monthly or annual basis.”“the direct compensation paid to an employee compensating his services to an organization”. Salary is also known as ‘basic pay’.

3.7.1 Principles of wage and salary administration.

wage policy should be developed keeping in view the interests of the employer, the employees, the consumers and the community.

wage policy should be statedclearly in writing to ensure uniform and consistent application. wage and salary plans should be consisitent with the overall plans of the company. management should ensure that employees know and understand the wage policy of the company. compensation planning should be an integral part of financial planning. general level of wages should be proportionate with existing labour market rates equal pay for equal work should be determined.

Factors affecting wages

1. Demand for and supply of labour.2. Ability to pay.3. Labour unions4. Cost of living.5. Prevailing wage rates.6. Job requirements.7. Productivity.8. State regulation.9. Work experience.10. Demand for the product.


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Methods of Wage Payment

Time wage system :-Under this system, wages are paid on the basis of time spent on the job. The unit of time may be a day, a week, a fortnight or a month. In the past, daily wages have been the most common basis and , therefore, it came to be known as ‘day wage system’.

Piece wage system:-Under this system, remuneration is based on the amount of work done or output of a worker. One unit of output is considered as one piece and a specific rate of wage is paid per piece. Greater the number of pieces produced by a worker, higher is his remuneration. Thus, a workman is paid in direct production to his output. Process of wage determination.

1. Job analysis2. Job evaluation3. Wage survey4. Developing wage structure5. Wage administration rules6. Employee appraisal

3.7.1.2 Wage and salary structure of fame raj empire. :-

Like in every organization, wage and salary structure of fame raj empire plays an important role. Over here, it follows the time wage system. Here the employees are paid at a unit of one month. I.e., every worker is paid in the end of a month. Here their work timings are fixed. In that specific time they have to work, if any worker works more than the given time, his wage or salary do not increases as it follows time wage system method.When a new worker joins the organization he/she is being informed about the wage and salary structure of the organization. If he/she agrees to it then only they can join the organization. Here from the wage or salary of an employee a certain amount is to be cut down for their pf and esic (employee’s state insurance corporation.) And here it is the time wage system because how much time the company has allotted that employee, the wages are given to the employees.

Structure of wages and salaryGross salary= basic salary + hra( human resource allowance) + conventions + special allowances. Net salary= gross salary - provident fund – esic(employee state insurance corporation)- professional tax..

The basic pay or monthly salary of the employees of rajempire starts from 4000rs per month for the lower level. Salary of other employees changes with their respective post.

Fringe benefits are the compensation package paid other then the basic pay.


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3.7.2. Fame Raj Empire pay the following fringe benefit.

They provide paid leave for 30 days.

Pension, provident fund, gratuity to there employees. There consultant is jariwala and co-operation.

They provide diwali bonus and other occasional bonus.

They use to celebrate the birthday of the employees at the end of the month all together.

3.8 Employee Welfare Activity. Navnirman Institute Of Management 83

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Employee welfare activities are such services, facilities and amenities which may be established outside or in the vicinity of undertakings to enable the employees therein to perform their job in healthy and congenial surrounding and to provide them amenities conductive to good health and high morale.

According to Arthur James Todd, “ labour welfare means anything done for the comfort and improvement, intellectual or social, of the employees over and above the wages paid which is not a necessity of the industry.” According to “the labour investigation committee,” “employee welfare means anything done for intellectional physical moral and economic betterment of the workers, whether by employers, by government or by other agencies, over and above what is laid down by law, or what is normally expected on the part of the contracted benefits for which workers may have bargained.” Agencies of employee welfare

central government. state government employers trade unions other agencies.

3.8.1 Types of welfare activities:- Employee welfare services may be classified into two broad categories:

Intramural: These services are provided within the establishment. These include latrines and urinals, washing and bathing facilities, crèches, rest shelters, canteens, uniform, medical aid, library, recreation facilities, free or subsidized food, etc.

Extra-mural:These services are provided outside the establishment. These consist of housing accommodation, transport, maternity benefits, children’s education, sports fields, family planning and child welfare, holiday homes, leave travel facilities, workers cooperative stores, fair price shops interest free loans, etc.

Employee welfare in fame raj empire :- Fame raj empire takes a very special care for the employees working over there. If we talk about intramural facilities, it provides its employees uniform facilities, latrines and uniform facilities, canteen facilities, and also sometime provide free food facilities.Now, if we talk about extramural facilities, it does not provide any of housing or education or transportation facilities to its employees. The people working over here even does not demand any such kind of facilities.During some special occasions, workers working here are allwed to go and watch movie in free, and if there is a birthday of any employee a party is organized for the people working over there after their working hours.

Fame Raj Empire provide the welfare services to the employees within the premises.


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o Fully ventilated working condition free from pollution and noises.

o Training facility to the employees.

o Bathroom facility.

o Safeguard against hazards.

Welfare activities outside the factory.

o Provident fund, pension, gratuity.

o Medical services.

o Entertainment facility like celebrating b’day at the end of the month. Free watching movies at some special occasion.

Format of leave form Days:-_____ to:-_____From:-_____Resume date:-_____Name of the applicant:-____________________Reason:-________________________________________________________________________________________________________________________________________________________________________________________________________________Address:-________________________________________________________________________________________________________Contact no:-___________________Fame raj empireApproved by:-_______________


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3.9 Concept of Human Resource Audit:-

Audit is an important test of managerial controls. It involves examination and verification of accounts and records. Human resource audit implies critical examination and evaluation of policies, programmes and procedures in the area of human resource management. It is a periodic review to measure the effectiveness of human resource management and to determine the steps required for more effective use of human resources. Human resource audit involves a formal, systematic and in-depth analysis, investigation and comparison.Human resource audit should not be confused with the measurement of employee morale. Morale surveys are only one part of human resource audit.

3.9.1 Objectives of human resource audit

1. To review the system of acquiring, developing, allocationg and utilizing human resources in the organization.2. To evaluate the extent to which line managers have implemented the policies and programmes initiated by top management/human resource department.3. To identify short comings in the management of human resources.4. To evaluate the human resource staff.

3.9.2 Scope of Audit:

Generally, no one can measure the attitude of human being and also their problems are not confined to the hr department alone. So it is very much broad in nature. It covers the following hr areas:

Audit of all the hr function. Audit of managerial compliance of personnel policies, procedures and legal provisions. Audit of corporate strategy regarding hr planning, staffing, remuneration and other hr activities. Audit of the hr climate on employee motivation, morale and job satisfaction.

3.9.3 Benefits of H.R Audit:

It provides the various benefits to the organization. These are: It helps to find out the proper contribution of the hr department towards the organization. Development of the professional image of the hr department of the organization. Reduce the hr cost. Motivation of the hr personnel. Find out the problems and solve them smoothly. Provides timely legal requirement. Sound performance appraisal systems. Systematic job analysis. Smooth adoption of the changing mindset.

Human resource audit in Fame Raj Empire.:-There are no steps taking place in the company of hr audit. They follow simple method of controlling personnel


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Chapter-4

Opeartion

Department


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4. Operations management is an area of business concerned with the production of goods and services, and involves the responsibility of ensuring that business operations are efficient in terms of using as little resource as needed, and effective in terms of meeting customer requirements. It is concerned with managing the process that converts inputs (in the forms of materials, labour and energy) into outputs (in the form of goods and services).Operations traditionally refer to the production of goods and services separately, although the distinction between these two main types of operations is increasingly difficult to make as manufacturers tend to merge product and service offerings. More generally, operations management aims to increase the content of value-added activities in any given process. Fundamentally, these value-adding creative activities should be aligned with market opportunity for optimal enterprise performance. 4.1 Activities of Operation department Provides the productFame provides services to the consumer in the form of entertainment which includes an outstanding movie viewing experience with foods n beverages facility to the Indian audience. Combined with the availability of high quality retail space in India, the avid movie going habits of Indians and the paucity of good quality theaters in the country.

Detailed InfoOverall in India fame has around 25 theaters. Fame is providing not only the entertainment facility but also provides with the other facility that a consumer needs. Fame not only provides an outstanding movie experience but also it acts as a producer, distributor and exhibitor in the value chain of film making. Fame uses a little resource and provides a lot to the consumer.

In Raj Empire fame India ltd. There are main two operations operated which are projection and member of consumer delight team (mcdt). Raj empire fame ltd. Has two levels :- raj theatre pvt. Ltd (rtpl) situated on third floor and Chandra Vijay enterprise Pvt. Ltd (cvpl) situated on fourth floor.

Totally there are six screens, three on each level. They are as follows:-

Level-1 rtpl Level-2 cvplName of screen Number of seats Name of screen Number of seatsEgypt 487 Russian 452Chinese 306 French 283Roman 224 Arabian gold 88

Total = 1840 seatsOn each level there is a projection room which handles all the screens of that level. A specialized employee is being appointed for the projection room. And here we use Christe company’s projector in all the screens. We also have one screen in which we use UFO facility in French.


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Now comes the mcdt area of operation which is also divided into two parts: - canteen area and box office. Box office is situated on the ground floor and the canteen area is situated on both the levels. Competitive Advantages

Raj empire fame pvt ltd. Provides various facilities to the consumer that other theatres do not provide like different types of atmosphere while watching the movie.eg. If consumer sits in egypt screen he/she would feel d atmosphere of egyptian culture. it also provides best quality of foods n beverages compared to other theatres. Seats over here are more comfortable and consumers appreciate its seating facilities. Only raj empire fame pvt ltd. provides the facility of mobile booking and home delivery of tickets, none other theatre provides this kind of facility. Raj empire fame pvt ltd gets situated on the most paush areas of the city. Like in surat it is situated at bhatar road which is considered one of the paush areas of surat. Raj empire also covers the problem of parking facility as it has its own parking facility. The mcdt also plays crucial part and provides the company to stand in the competition.

4.2 Service operation Process objective: to make sure that it services are delivered effectively and efficiently. This includes fulfilling user requests, resolving service failures, fixing problems, as well as carrying out routine operational tasks. The following is the process of service operation: Event managementProcess objective: to filter and categorize events and to decide on appropriate actions. Event management is one of the main activities of service operations.

Incident managemnetProcess objective: to manage the lifecycle of all incidents. The primary objective of incident management is to return the service to users as quickly as possible. Request fulfillmentProcess objective: to fulfill service requests, which in most cases are minor (standard) changes or requests for information? Access managementProcess objective: to grant authorized users the right to use a service, while preventing access to non-authorized users. The access management processes essentially execute policies defined in it security management. Access management is sometimes also referred to as rights management or identity management. Problem managementProcess objective: to manage the lifecycle of all problems. The primary objectives of problem management are to prevent incidents from happening, and to minimize the impact of incidents that cannot be prevented.


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Proactive problem management analyses incident records, and uses data collected by other it service management processes to identify trends or significant problems.

Its operations managementProcess objective: to monitor and control the it services and it infrastructure. The process it operations management executes day-to-day routine tasks related to the operation of infrastructure components and applications. This includes job scheduling, backup and restore activities, print and output management, and routine maintenance. Its facilities managementProcess objective: to manage the physical environment where the it infrastructure is located. Facilities management includes all aspects of managing the physical environment, for example power and cooling, building access management, and environmental monitoring. 4.3 Its facilities of Fame Raj Empire There are 5 properties in gujarat namely: - fame raj empire- surat, anand, bharauch, fame 7c’s- vadodara and vihar cinema- vadodara. These all properties are being handled by one it sector which is situated in fame raj empire, surat.This sector contains three major lines of film making and they are production, distribution and exhibition. This all three sectors work in a process in this department and let us elaborate this process.

There are mainly three types of operational activities which takes place in the fame:-

1). Projection

2). M.c.d.t

3). Box office


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4.1 Plant layout

4.1.1Projection: -

there are two projection rooms in the fame (rajempire). One is above the first level under which three screens are in operation that is egyptian, chinese and roman. The second projection room is above second level under which remaining three screens are in operation that is french, Russian and arabian gold.

4.1.2M.c.d.t: -

m.c.d.t counters are situated on both the level separately. On both the level m.c.d.t counter has very limited relationship. For arabian gold there is a separate m.c.d.t counter which serves only the customer of arabian gold. We can say that raj empire has a cellular layout because different m.c.d.t take places at a particular floor and in different form.

4.1.3.Box office:- In Raj empire box office are situated at two places. One at the entrance for the common public and other at the first floor for the corporate tickets. Only reserved tickets are sold through this box office and to the limited people, which is on the first floor.


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4.1.Layout of screens in fame :

Egyptian

Chinese

EXIT

A 24 23 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 A 22

B 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 B 23

C 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 1 C 25

D 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 1 D 25

E 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 1 E 26

F 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 F 25

G 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 G 22

H 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 H 22

I 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 I 22

J 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 1 J 23

K 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 1 K 26

L 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 7 6 5 4 3 2 1 L 26

M 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 EXIT M 19

306Screen

Centr

al Ais

leCentr

al Ais

le

Centr

al Ais

leCentr

al Ais

le

235

71

Screen Chinese

Entry

Low

er

Level

Cross aisle

Pre

mie

rSilver

Roman


EXIT EXIT

A 31 30 29 28 27 24 23 22 21 20 19 18 17 16 15 14 12 11 10 9 8 7 6 5 4 3 2 1 A 28

B 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 B 31

C 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 C 31

D 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 D 31

E 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 E 30

F 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 F 31

G 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 G 31

H 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 H 31

I 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 8 7 6 5 4 3 2 I 27

J 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 8 7 6 5 4 3 2 J 27

K 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 8 7 6 5 4 3 2 K 27

L 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 8 7 6 5 4 3 L 26

M 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 8 7 6 5 4 3 M 26

N 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 8 7 6 5 4 3 N 26

O 33 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 O 28

P 33 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 P 28

Q 33 32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 Q 28

487Screen

Cross AisleCentral

Ais

leCentral Ais

le

Central Ais

le

Central

Ais

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84

403

Screen Egyptian

Low

er L

evel

Prem

ier

Silver

Entry

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A 22-(24) 21-(23) 20-(22) 19-(21)18-(20) 17-(19) 16-(18) 15-(17) 6 5 4 3 2 1 A 14

B 22-(24) 21-(23) 20-(22) 19-(21)18-(20) 17-(19) 16-(17) 15-(16) 14-(15) 13-(14) 12-(13) 11-(12)10-(11) 9-(10) 8-(9)7-(8) 6-(7) 5 4 3 2 1 B 22

C 21-(23) 20-(22) 19-(21)18-(20) 17-(19) 16-(17) 15-(16) 14-(15) 13-(14) 12-(13) 11-(12)10-(11) 9-(10) 8-(9)7-(8) 6-(7) 5 4 3 2 1 C 21

D 21-(23) 20-(22) 19-(21)18-(20) 17-(19) 16-(17) 15-(16) 14-(15) 13-(14) 12-(13) 11-(12)10-(11) 9-(10) 8-(9)7-(8) 6-(7) 5 4 3 2 1 D 21

E 21-(23) 20-(22) 19-(21)18-(20) 17-(19) 16-(17) 15-(16) 14-(15) 13-(14) 12-(13) 11-(12)10-(11) 9-(10) 8-(9)7-(8) 6-(7) 5 4 3 2 1 E 21

F 18-(20) 17-(19) 16-(17) 15-(16) 14-(15) 13-(14) 12-(13) 11-(12)10-(11) 9-(10) 8-(9)7-(8) 6-(7) 5 4 3 2 1 F 18

G 18-(20) 17-(19) 16-(17) 15-(16) 14-(15) 13-(14) 12-(13) 11-(12)10-(11) 9-(10) 8-(9)7-(8) 6-(7) 5 4 3 2 1 G 18

H 18-(20) 17-(19) 16-(17) 15-(16) 14-(15) 13-(14) 12-(13) 11-(12)10-(11) 9-(10) 8-(9)7-(8) 6-(7) 5 4 3 2 1 H 18

I 18-(20) 17-(19) 16-(17) 15-(16) 14-(15) 13-(14) 12-(13) 11-(12)10-(11) 9-(10) 8-(9)7-(8) 6-(7) I 18

EXIT

J 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 J 21

K 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 K 21

L 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 L 16

229

171

58

Screen

Pre

mie

rSilver

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le

Centr

al ais

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Centr

al

ais

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Screen Roman

Low

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Level

Russian

EXIT EXIT

A 29 28 27 26 25 21 20 19 18 17 16 15 14 13 11 10 9 8 7 6 5 4 3 2 1 A A 26

B 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 B B 29

C 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 C C 29

D 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 D D 29

E 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 E E 29

F 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 F F 29

G 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 G G 29

H 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 H H 29

I 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 8 7 6 5 4 3 I I 25

J 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 8 7 6 5 4 3 J J 25

K 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 8 7 6 5 4 3 K K 25

L 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 8 7 6 5 4 3 L L 25

M 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 8 7 6 5 4 3 M M 25

N 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 8 7 6 5 4 3 N N 25

O 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 8 7 6 5 4 3 O O 25

P 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 8 7 6 5 4 P P 24

Q 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 8 7 6 5 4 Q Q 24

452

Upper

Level

Screen Russian

Screen

Centr

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Russ

ian

Entry

French

EXIT

A 23 22 21 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 A

B 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 B

C 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 C

D 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 D

E 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 E

F 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 F

G 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 G

H 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 H

I 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 I

J 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 J

K 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 K

L 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 2 1 L

M 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 6 5 4 3 EXIT M

Screen French

Upper

Level

Fre

nch

Screen

Centr

al ais

le

Centr

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le

Entry


Raj Empire 2011

Arabian Gold

A 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 16

B 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 16

C 14 13 12 11 10 9 8 7 6 5 4 3 2 1 14

D 14 13 12 11 10 9 8 7 6 5 4 3 2 1 14

E 14 13 12 11 10 9 8 7 6 5 4 3 2 1 14

F 14 13 12 11 10 9 8 7 6 5 4 3 2 1 EXIT 14

88

Screen Arabian Gold

Gold

Upper

Level

Screen 11 mt wide

Centr

al ais

le

Centr

al ais

le

Entry

4.2 Operational planning

Operational planning is the function of management which decides about the resources that will be required for future operation at right time, in right amount of required quality and at minimum cost.

At Raj empire mainly operational planning takes place which is for 1-3 months only or even less than it.

In raj empire operational planning is mainly done in projection room, both the other department are service oriented so it doesn’t require much planning.

4.2.1 Planning in projection room: - As per the timing of the show scheduled by the top management planning of reels of the scheduled movie is done so that there is no delay in the projection.

Project planning is part of project management, which relates to the use of schedules such as gantt charts to plan and subsequently report progress within the project environment. Initially, the project scope is defined and the appropriate methods for completing the project are determined. Following this step, the durations for the various tasks necessary to complete the work are listed and grouped into a work breakdown structure. The logical dependencies between tasks are defined using an activity network diagram that enables identification of the critical path. Float or slack time in the schedule can be calculated using project management software. Then the necessary resources can be estimated and costs for each activity can be allocated to each resource, giving the total project cost. At this stage, the project plan may be optimized to achieve the appropriate balance between resource usage and project duration to comply with the project objectives. Once established and agreed, the plan becomes what is known as the baseline. Progress will be measured against the baseline throughout the life of the project. Analyzing progress compared to the baseline is known as earned value management.


http://en.wikipedia.org/wiki/Earned_value_management

http://en.wikipedia.org/wiki/Resource_management

http://en.wikipedia.org/wiki/Project_plan

http://en.wikipedia.org/wiki/Cost

http://en.wikipedia.org/wiki/Estimate

http://en.wikipedia.org/wiki/Resource_(project_management)

http://en.wikipedia.org/wiki/Project_management_software

http://en.wikipedia.org/wiki/Float_(project_management)

http://en.wikipedia.org/wiki/Critical_path_method

http://en.wikipedia.org/wiki/Activity_network_diagram

http://en.wikipedia.org/wiki/Activity_network_diagram

http://en.wikipedia.org/wiki/Dependency_(project_management)

http://en.wikipedia.org/wiki/Work_breakdown_structure

http://en.wikipedia.org/wiki/Work_(project_management)

http://en.wikipedia.org/wiki/Task_(project_management)

http://en.wikipedia.org/wiki/Duration_(project_management)

http://en.wikipedia.org/wiki/Scope_(project_management)

http://en.wikipedia.org/wiki/Gantt_chart

http://en.wikipedia.org/wiki/Schedule_(project_management)

http://en.wikipedia.org/wiki/Project_management

Raj Empire 2011

The inputs of the project planning phase include project charter and the concept proposal. The outputs of the project planning phase include the project requirements, the project schedule, and the project management plan

4.3 Operational strategies for services:- Types of service design a different department.

4.3.1 Projection

Projection is an internal activity carried by the executives or employees, so that the movie is projected on the screen. It is partly hidden process. Projection room has been located above the screen and entry in it is prohibilated. Sound system display of movie on screen is done from projection room.

4.3.2 M.c.d.t

Foods, softdrinks, etc.m.c.d.t provided by them are carried over in this department. Cleaning services are also included in this department.

4.3.3 Box office

In this department mainly selling and booking of tickets take place. Box office directly deals with the customer. Executives are employed to deal with the people

Every executives employees has its own id to sell the tickets, the person himself is responsible for the sale on his id.


http://en.wikipedia.org/wiki/Project_Charter

Raj Empire 2011

For selling the tickets they have a role with them, which consists of a code no. On the role. When the person starts his transaction, he puts his role no. In his id and stops it when it is completed.

4.4 Operational scheduling:- It is a process of deciding when each job in production process shall be executed i.e. It is a process of deciding starting and finishing date of various operation on various machines in connection to manufacture various products.

4.4.1 Box office:- Tickets are allotted to the people according to first come first bases. Only the top three rows are reserved for the corporate classes and other are allocated to the common public according to the customer priority. Online selling tickets/internet booking only the unsold tickets are shown and the corporate reserved seats are not shown on internet booking. Before 45 minutes from the show starts those corporate reserved seats are released for common customer, even for internet selling purpose.

4.4.2 Projection:- A movie is bought to them in several no. Of reels which is of 20-25 minutes. Before the movie is to be projected these reels are to be sticked manually. These reels are been stick by cello tape. These reels are placed on the platter (a study machine through which reel is adjusted) with the help of blade and rings this reel is send through to the machine after this movie is projected on the screen.

Movies are even shown on more than one screen on the same level through rollers. These rollers are attached on the walls of the projector room.

This process is hidden and it is to be completed before the movies has to be projected.


Raj Empire 2011

After the movie is completed these reels is separated again by cutting the cello tape and arranging them again in the boxes.

4.4.3 M.c.d.t:- servicing of foods and drinks are done on the counters outside the screen and even inside the screen during the interval time and the time in which movie is going on. some employees serve some food articles and soft drink in the screen itself. it is an on-the-spot transaction so there is very less need of scheduling in it. Servicing is done according to the customer’s order.

Scheduling done by management for timing of movies :


Raj Empire 2011

Movie Show Time Interval End Movie Show Time Interval End

CHALO DILLI 10:15 AM 11:22 AM 12:37 PM THOR (2D) (HIN) 9:30 AM 10:35 AM 11:40 AMCHALO DILLI 12:45 PM 1:52 PM 3:07 PM FALTU 11:45 AM 12:50 PM 2:05 PMCHALO DILLI 3:15 PM 4:21 PM 5:33 PM THANK YOU 2:10 PM 3:22 PM 4:45 PMCHALO DILLI 5:40 PM 6:46 PM 7:58 PM THANK YOU 4:50 PM 6:02 PM 7:25 PMCHALO DILLI 8:05 PM 9:11 PM 10:23 PM THANK YOU 7:30 PM 8:42 PM 10:05 PMCHALO DILLI 10:30 PM 11:36 PM 12:48 AM THANK YOU 10:10 PM 11:22 PM 12:45 AM


SHOR IN THE CITY 9:15 AM 10:21 AM 11:23 AMDUM MAARO DUM 10:00 AM 11:08 AM 12:21 PM SHOR IN THE CITY 11:30 AM 12:36 PM 1:38 PMDUM MAARO DUM 12:25 PM 1:33 PM 2:46 PM SHOR IN THE CITY 1:45 PM 2:50 PM 3:50 PMDUM MAARO DUM 2:50 PM 3:58 PM 5:11 PM SHOR IN THE CITY 3:55 PM 5:02 PM 6:07 PMDUM MAARO DUM 5:15 PM 6:25 PM 7:40 PM SHOR IN THE CITY 6:15 PM 7:21 PM 8:23 PMDUM MAARO DUM 7:45 PM 8:55 PM 10:10 PM SHOR IN THE CITY 8:30 PM 9:36 PM 10:38 PMDUM MAARO DUM 10:15 PM 11:25 PM 12:40 AM SHOR IN THE CITY 10:45 PM 11:51 PM 12:53 AM


SOURCE CODE (HIN) 9:15 AM 10:15 AM 11:20 AMTHOR (2D) (HIN) 11:30 AM 12:35 PM 1:40 PM CHALO DILLI 9:00 AM 10:05 AM 11:15 AMNAUGHTY @ 40 1:45 PM 2:51 PM 3:53 PM DUM MAARO DUM 11:20 AM 12:31 PM 1:48 PMTHOR (2D) (HIN) 4:00 PM 5:06 PM 6:13 PM CHALO DILLI 1:55 PM 3:01 PM 4:13 PM

SOURCE CODE (HIN) 6:20 PM 7:16 PM 8:13 PM DUM MAARO DUM 4:20 PM 5:31 PM 6:48 PMFAST & FURIOUS 5 (HINDI) 8:20 PM 9:30 PM 10:45 PM CHALO DILLI 6:55 PM 8:03 PM 9:21 PM

FAST & FURIOUS 5 (ENGLISH) 10:50 PM 12:01 AM 1:18 AM SHOR IN THE CITY 9:30 PM 10:36 PM 11:38 PM

PICTURE CENSOR MTR LENGTH RUN TIME DISTRIBUTOR 1st HALF 2nd HALF RUN TIME NO OF SHOWS DIGITAL/PRINT GENRE

DUM MAARO DUM A 3575.82 02:10 FOX STAR STUDIOS 1:05 1:05 2:10 8 PRINT

CHALO DILLI U/A 3179.36 02:00 EROS INTERNATIONAL 1:00 1:00 2:00 9 PRINT

SHOR IN THE CITY U/A 3013.06 01:50 BALAJI MOTION PICTURES LTD 1:00 0:50 1:50 8 PRINT

FALTU U/A 3459.63 01:25 RAJAT ENTERTAIMENT 1:00 1:05 2:05 1 PRINT

THANK YOU U/A 3829.62 02:20 UTV SOFTWARE COMMUNICATIONS LTD 1:07 1:13 2:20 4 PRINT

THOR (2D) (HIN) U/A 01:55 PARMOUNT FILMS 1:00 0:55 1:55 3 PRINT

SOURCE CODE (HIN) U/A 2544.97 01:35 52 WEEKS 0:50 0:45 1:35 2 UFO

NAUGHTY @ 40 A 3006.92 01:50 TILAK ENTERPRISES PVT LTD 1:00 0:50 1:50 1 UFO

FAST & FURIOUS 5 (ENGLISH) A 02:10 PARAMOUNT FILMS 1:05 1:05 2:10 1

FAST & FURIOUS 5 (HINDI) A 02:10 PARAMOUNT FILMS 1:05 1:05 2:10 1

0:00 0

0:00 0

0:00 0

38

Start Time: 8:00 AMEnd Time: 1:00 AM

Movies Discontinued:

Schedule for 5 May 2011 - Thursday onlyFame Raj Empire Surat - Mumbai Circuit

(Egyptian) Screen 1/487 (Chinese) Screen 2/306ANALOG

ANALOG ANALOG

ANALOG

TOTAL NO OF SHOWS

(French) Screen 5/283ANALOG

(Roman) Screen 3/224 (Russian) Screen 4/452

ANALOG / DIGITAL (UFO)(Arabian Gold) Screen (GOLD) 6/88

Schedule of different shows in different screen :


Raj Empire 2011

Session (Egyptian) Screen 1/487 Time (Chinese) Screen 2/306 Time (Roman) Screen 3/224 Time (Russian) Screen 4/452 Time (French) Screen 5/283 Time (Arabian Gold) Screen (GOLD) 6/88 Time

0 12:00 AM SHOR IN THE CITY 9:15 AM SOURCE CODE (HIN) 9:15 AM 0 12:00 AM1st THOR (2D) (HIN) 9:30 AM DUM MAARO DUM 10:00 AM SHOR IN THE CITY 11:30 AM THOR (2D) (HIN) 11:30 AM CHALO DILLI 9:00 AM2nd CHALO DILLI 12:45 PM FALTU 11:45 AM DUM MAARO DUM 12:25 PM SHOR IN THE CITY 1:45 PM NAUGHTY @ 40 1:45 PM DUM MAARO DUM 11:20 AM3rd CHALO DILLI 3:15 PM THANK YOU 2:10 PM DUM MAARO DUM 2:50 PM SHOR IN THE CITY 3:55 PM THOR (2D) (HIN) 4:00 PM CHALO DILLI 1:55 PM4th CHALO DILLI 5:40 PM THANK YOU 4:50 PM DUM MAARO DUM 5:15 PM SHOR IN THE CITY 6:15 PM SOURCE CODE (HIN) 6:20 PM DUM MAARO DUM 4:20 PM5th CHALO DILLI 8:05 PM THANK YOU 7:30 PM DUM MAARO DUM 7:45 PM SHOR IN THE CITY 8:30 PM FAST & FURIOUS 5 (HINDI) 8:20 PM CHALO DILLI 6:55 PM6th CHALO DILLI 10:30 PM THANK YOU 10:10 PM DUM MAARO DUM 10:15 PM SHOR IN THE CITY 10:45 PM FAST & FURIOUS 5 (ENGLISH) 10:50 PM SHOR IN THE CITY 9:30 PM

RUNNING TIME CENSOR Genre Last wk GENRE02:10 A PRINT 0 002:00 U/A PRINT 0 001:50 U/A PRINT 0 001:25 U/A PRINT 0 002:20 U/A PRINT 0 001:55 U/A PRINT 0 001:35 U/A UFO 0 001:50 A UFO 0 002:10 A 0 0 002:10 A 0 0 000:00 00:00 0 0 000:00 00:00 0 0 000:00 00:00 0 0 0

Start Time: 8:00 AMEnd Time: 1:00 AM

0Movies Discontinued:

PARMOUNT FILMS

TILAK ENTERPRISES PVT LTD52 WEEKS

0

PARAMOUNT FILMS

0

FOX STAR STUDIOS DUM MAARO DUM

0

0

THOR (2D) (HIN)SOURCE CODE (HIN)

FALTUUTV SOFTWARE COMMUNICATIONS LTD

NAUGHTY @ 40

FAST & FURIOUS 5 (HINDI)

3

TOTAL NO.OF SHOWS 38

PARAMOUNT FILMS

0

1

010

BALAJI MOTION PICTURES LTD SHOR IN THE CITYCHALO DILLI

RAJAT ENTERTAIMENT8

EROS INTERNATIONAL

FAST & FURIOUS 5 (ENGLISH) 1

2

THANK YOU

8

4

9

1

ANALOG

NO.OF SHOWSDISTRIBUTOR

ANALOG / DIGITAL (UFO)ANALOG

00

Fame Raj Empire Surat, Mumbai Circuit

ANALOGANALOGANALOG

FILM

Schedule for 5 May 2011 - Thursday only

4.5 Quality Control:-

Those activities which assure that quality creation is performed in such a manner that the resulting products will infact perform its intended function.


Raj Empire 2011

Project control is that element of a project that keeps it on-track, on-time and within budget. Project control begins early in the project with planning and ends late in the project with post-implementation review, having a thorough involvement of each step in the process. Each project should be assessed for the appropriate level of control needed: too much control is too time consuming, too little control is very risky. If project control is not implemented correctly, the cost to the business should be clarified in terms of errors, fixes, and additional audit fees.Control systems are needed for cost, risk, quality, communication, time, change, procurement, and human resources. In addition, auditors should consider how important the projects are to the financial statements, how reliant the stakeholders are on controls, and how many controls exist. Auditors should review the development process and procedures for how they are implemented. The process of development and the quality of the final product may also be assessed if needed or requested. A business may want the auditing firm to be involved throughout the process to catch problems earlier on so that they can be fixed more easily. An auditor can serve as a controls consultant as part of the development team or as an independent auditor as part of an audit.Businesses sometimes use formal systems development processes. These help assure that systems are developed successfully. A formal process is more effective in creating strong controls, and auditors should review this process to confirm that it is well designed and is followed in practice. A good formal systems development plan outlines:

A strategy to align development with the organization’s broader objectives Standards for new systems Project management policies for timing and budgeting Procedures describing the process Evaluation of quality of change

4.5.1 Total quality management Total quality management (or tqm) is a management concept coined by w. Edwards deming. The basis of tqm is to reduce the errors produced during the manufacturing or service process, increase customer satisfaction, streamline supply chain management, aim for modernization of equipment and ensure workers have the highest level of training. One of the principal aims of tqm is to limit errors to 1 per 1 million units produced. Total quality management is often associated with the development, deployment, and maintenance of organizational systems that are required for various business processes.

Tqm and six sigmaThe main difference between tqm and six sigma (a newer concept) is the approach. Tqm tries to improve quality by ensuring conformance to internal requirements, while six sigma focuses on improving quality by reducing the number of defects.

4.5.2 Ways of Quality Control

Quality for fame (rajempire) is to entertain the people by clear pictures, sound, quality or tasty foods, and even relaxing and clean sitting arrangement.


http://en.wikipedia.org/wiki/Six_Sigma

http://en.wikipedia.org/wiki/Supply_chain_management

http://en.wikipedia.org/wiki/W._Edwards_Deming

http://en.wikipedia.org/wiki/Budgeting

http://en.wikipedia.org/wiki/Strategy

http://en.wikipedia.org/wiki/Consultant

http://en.wikipedia.org/wiki/Financial_statements

http://en.wikipedia.org/wiki/Risk

http://en.wikipedia.org/wiki/Audit

Raj Empire 2011

For this before every show begins and ends in a screen; cleaning department cleans the area.

Therefore we can say that for cleanliness they use inspection method for quality control.

Even for food they use inspection method for quality check. They use to check every machine daily i.e. Popcorn and soft drinks machine.

For all the department/services like quality of screen, voices etc and if any problems in any of the heavy machine are maintained by just on time method

4.6 Inventory Control:- Inventory is to be maintained in a very large amount by fame raj empire only for the foods and drinks department.


Raj Empire 2011

It is to be maintained up to rupees 1,400,000 for all the materials like popcorn tub, cone, oil, spices, cold drink packs, glasses, etc required by the service department.

The main supplier/vendor of these materials is from surat that is choice marketing which is located in city light area. There are even 25-30 different vendor for other material like corn is been bought from hyderabad; other boxes, glasses, plates, etc are bought form mumbai.

Samosa are delivered by sugar and spice so no need to maintain its stock as they supply it readily as per the order given to them.

Inventory level is maintained in a sheet showing the opening and closing level of all the materials.

These stocks are send level wise.

Inventory for other department like projection rooms, box office’s tickets are kept in a very short amount as they are not needed frequently.

Box office :- for the minimum wastage of tickets the first three and the last three tickets are left empty so that the other tickets does not affect when the process is going on.

Chapter: - 5 Navnirman Institute Of Management 102

Raj Empire 2011

Finance

Department

Introduction:


Raj Empire 2011

Financial management is the study about the process of procuring of financial resources and the effective utilization of funds with a view to maximize the profit as well as wealth. The company identifies the financial management as an important part in order to achieve heights in the open market where the number of competitors arrives as time passes. Company’s financial management is mainly concerned with effective utilization of its capital funds that it is the most important economic resources. 5.1 Activities of Finance department

Providing funds to different departments Finance department provides all kind of utility and liquidity of funds within the various

departments of the company. In the same manner the finance department provides fund and effective utilization of the funds to all of the departments.

To marketing department :

Marketing department requires some amount of funds to pay various kinds of expenses occurred during the sales and promotion of the product. Mostly marketing department requires the fund flow for the following expenses.

promotional expenses sales commissions advertisement expenditure labeling and packing cost distribution cost

The finance department of the company provides fund for all of the necessary expenses. Except this it

also advices the marketing department for the efficient utilization of the funds.

To H.R department: Hr department requires money to pay to the personnel working for the organization. Hr department

requires fund mostly to pay salaries and other administrative expenses. The hr department gets provided the following expenses.

salaries and wages bonus and other incentives employee welfare expenses training and development costs of personnel some other expenses related to personnel of organization


Raj Empire 2011

Every year good amount of funds is invested into the hr assets. The company believes that the personals of the organization are the assets for them. And so the good amount of funds should be invested on them so as to get higher returns.

To Production department:Production department requires comparatively large amount of funds then other departments of the

company. The production of the product and its process requires huge amount of funds. The expenses occurring into the production department are as follows.

production cost purchase of raw materials purchase of plant and machineries factory cost labor cost fixed overheads

The expenses of the production are much higher so the finance department keeps an eye on the all

expanse occurred and try to cut down the production cost of the product to get larger margins of product.

5.2 Cash Budget

Cash Budget: This budget represents the amount of cash receipts and payments, and a balance during the period. It is prepared after all the functional budgets are prepared by the chief accountant either monthly or weekly.

Fund Flow StatementThe fund flow statement is a financial statement which reveals the methods by which the business has been financed and how it has used its funds between the opening and closing balance sheet dates. Thus, a fund flow statement is a report on movement of funds explanning wherefore works capital originates and where into the same goes during an accounting period. This statement consists of two parts- (1) sources of funds and (2) application of funds. The difference between the two shows the net changes in the working capital during the period. Funds flow statement is a useful tool in the financial manager’s analytical kit. The basic purpose of this statement is to indicate where funds came from and where it was used during the certain period. Generally speaking, the fund flow analysis requires the preparation of two statements:- (1) statement of changes in working capital and (2) fund flow statement.


Raj Empire 2011

Statement of changes in working capital

For the year 2008Particulars Year2006-2007 Increase/decrease in

working capital 2006 2007 Increase DecreaseCurrent assets 1) inventories2) sundry debtors3) loans and advances

84913652256673362310196

216128253298092456514435

1312146104141994204239

---

Total=(a) 96557804 Current liabilities 2) current liabilities3) provisions

11439399531096939

23771791532086435

123323920989496

Total=(b) 124313416Decrease in working capital 27755612 124313416 124313416

For the year 2009Particulars Year2007-08 Increase/decrease in working capital 2007 2008 Increase DecreaseCurrent assets 1) inventories2) sundry debtors3) loans and advances

216128253298092456514435

312114461767686567666241

9598628469594111151806


237717915 32086435

353040451 78066669

115322536 45980234

Total=(b) 161302770Decrease in working capital 40721508 161302770 161302770

For the year 2010


Raj Empire 2011

Particulars Year2008-09 Increase/decrease in working capital 2008 2009 Increase DecreaseCurrent assets 1) inventories 2) sundry debtors3) loans and advances

312114461767686567666241

583289862596751597716305

271175482906530050064


353040451 78066669

555712253 10342282

67724387

202671802

Total=(b) 67724387 202671802Decrease in working capital 101356532 202671802 202671802

Re-arrangement of Balance Sheet and P & L A/c.

Common size balance sheet

Particulars 2007-08 2008-09

Source of funds: 1. Share holder’s funds: a) share capital 315,895,090 347,952,620 b) reserve & surplus 255,390,879 624,709,492

2. Loan funds: a) secured loans 231,535,259 204,303,216 b) unsecured loans 874,300,003 519,610,000 deferred tax liability (net) 1,139,295 7,866,387 1,678,260,526

1,704,441,715

Application of funds: 1. Fixed assets 649,514,097 1,101,373,491 2. Investments 50,153,786 68,704,786 3. Net current assets:


Raj Empire 2011

(a) current assets, loans & advances:

A) inventories 2,161,281 3,212,144B) sundry debtors 53,298,092 61,767,686C) cash & bank balances 689,708,217 215,826,525D) loans, advances& deposits 456,514,435 567,686,241

total current assets(a) 1,201,682,027 848,492,596

(b) current liabilities & provisions:

A) sundry creditors 237,717,912 353,040,451B) other liabilities 0 0C) provisions 32,089,435 7,806,669

total current liabilities(b) 269,807,347 360,847,120 net current assets(a-b) 931,874,680 487,645,476

Net current assets 1,678,260,526 1,704,441,715

Common size balance sheet

Source of funds: 2009-10

1. Share holder’s funds:

a) share capital 347,952,620

b) reserve & surplus 540,471,728

2. Loan funds: a) secured loans 466,609,561

b) unsecured loans 602,350,000


Raj Empire 2011

deferred tax liability (net) - 2,017,383,909

Application of funds:

1,643,585,3441. Fixed assets 13,430,000

2. Investments

3. Net current assets:

(a) current assets, loans & advances:

A) inventories 5,832,898

B) sundry debtors 62,596,751

C) cash & bank balances 205,284,125

D) loans, advances& deposits 597,716,305

total current assets(a) 871,430,079

(b) current liabilities & provisions:

A) sundry creditors 555,712,257

B) other liabilities 0

C) provisions 10,342,282

total current liabilities(b) 566,054,539

net current assets(a-b) 305,375,540

2,017,383,540

Common Size P & L A/c.

Particulars 2007-08 2008-09 2009-10


Raj Empire 2011

Incomes:

1. Revenue from operations 882,057,723 925,752,743 1,335,568,7502. Other incomes 101,659,549 125,882,139 63,962,827

983,717,272 1,051,634,882 1,399,531,677

Expenditure: 1. Direct costs 428,447,470 324,266,987 539,854,9712. Personnel costs 79,743,548 119,092,907 146,732,3923. Other administration expenses 243,550,179 355,605,635 54,376,5294. Depreciation/amortization 89,359,958 72,685,874 123,952,5945. Interest 31,132,265 22,149,596 39,551,0186. Amortization of fcmitda 0 0 1,357,813

872,233,420 893,800,999 1,365,925,317 Net profit/loss before tax 111,483,852 157,833,883 33,606,360Less: provision for taxation 13918019 16994808 (749,832)Net profit/loss after tax 97,565,833 140,839,675 34,356,192Add: balance of profit & loss a/c (75,769,182) 19,303,891 158,935,313 Net profit for appropriations 21,796,651 160,142,966 193,291,505

5.4 .Working Capital Management


Raj Empire 2011

Woking capital may be regarded as the lifeblood of the business. Its effective provisions can do much to ensure the success of a business. The term working capital refers to the gross working capital and represents the amount of funds invested in current assets.Working capital, also known as "wc", is a financial metric which represents operating liquidity available to a business. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital. It is calculated as current assets minus current liabilities. If current assets are less than current liabilities, an entity has a working capital deficiency, also called a working capital deficit. Net working capital is working capital minus cash (which is a current asset) and minus interest bearing liabilities (i.e. Short term debt). It is a derivation of working capital that is commonly used in valuation techniques such as dcfs (discounted cash flows).

Working capital = current assets − current liabilitiesA company can be endowed with assets and profitability but short of liquidity if its assets cannot readily be converted into cash. Positive working capital is required to ensure that a firm is able to continue its operations and that it has sufficient funds to satisfy both maturing short-term debt and upcoming operational expenses. The management of working capital involves managing inventories, accounts receivable and payable and cash.

Circulating nature of working capital

The interaction between current assets and current liabilities is, therefore, the main theme of the theory of working capital management. The goal of working capital management is to manage the firm’s current assets and current liabilities in such a way that a satisfactory level of working capital is maintained.

5.5 Ratio Analysis with interpretation

Liquidity ratios: cash on hand, bank balance, bill, receivable, debtors etc are such asset which are readily available for paying current liabilities as and when they arise. These are called liquid assets. Where such assets are in sufficient proportion as compare to current liability, the “liquid position” of the company is said to be satisfactory. Current ratio A liquidity ratio that measures a company's ability to pay short-term obligations. The current ratio formula is:

also known as "liquidity ratio", "cash asset ratio" and "cash ratio". Particulars Current assets Current liabilities


http://en.wikipedia.org/wiki/Liquidity

http://en.wikipedia.org/wiki/Profit_(accounting)

http://en.wikipedia.org/wiki/Assets

http://en.wikipedia.org/wiki/Current_liabilities

http://en.wikipedia.org/wiki/Current_assets

http://en.wikipedia.org/wiki/Accounting_liquidity

Raj Empire 2011

Year 2008 1201682027 269807347

Current ratio= 1201682027/269807347= 4.45:1

Year 2009 848492596 360847120

Current ratio= 848492596/360847120= 2.35:1

Year 2010 871430079 566054539

Current ratio=871430079/566054539= 1.54:1

Liquid ratio: Liquid ratio is also termed as "liquidity ratio",”acid test ratio" or "quick ratio". It is the ratio of liquid assets to current liabilities. The true liquidity refers to the ability of a firm to pay its short term obligations as and when they become due.

[liquid ratio = liquid assets / liquid liabilities] liquid asset = current asset – stock - in – trade

liquid liability = current liability – bank overdraft


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Particulars Liquid assets Liquid liabilities

Year 2007 1199520746 269807347

Liquid ratio= 1199520746/269807347= 4.45:1

Year 2008 845280452 360847120

Liquid ratio= 845280452/360847120= 2.34:1

Year 2009 865597181 566054539

Liquid ratio=865597181/566054539= 1.53:1

Stock turnover ratio:

Stock turnover ratio or inventory turnover ratio means a considerable amount of capital tied up in financing the raw material, work in progress and finished goods. It is important to ensure that the level of stocks kept as low as possible, consistent with need to fulfill customer's orders in time

stock turnover ratio= cost of goods sold --------------------- average inventory

average inventory=(opening stock+ closing stock)/2


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Particulars Cost of goods sold Avarage inventory

Year 2008 515930994 1505209

Str = 515930994/1505209= 343 days

Year 2009 777191794 2686713

St = 777191794/2686713= 289 days

Year 2010 1096291928 4522521

St = 1096291928/4522521= 242 days

Conclusion: This ratio is very important to judge the ability of the management with which it can move the stock. The higher the turn over the, the more profitable the business would be. Hear the increasing rate of the stock turnover ratio shows the good condition of the business.

Debtors turnover ratio:

Debtor’s turnover ratio or accounts receivable turnover ratio indicates the velocity of debt collection of a firm. In simple words it indicates the number of times average debtors (receivable) are turned over during a year.

Formula of debtors turnover ratio:

[debtors turnover ratio = net credit sales / average trade debtors]

[debtors turnover ratio= sales / closing debtors] Particulars Sales Closing debtors


Raj Empire 2011

Year 2008 515930994 53298092

Dtr=515930994/53298092= 9.68 times

Year 2009 777191794 61767686

Dtr= 777191794/61767686= 12.58 times

Year 2010 1096291928 62596751

Dtr=1096291928/62596751= 17.51 times

Conclusion : the debtors turnover suggest that number of time the amount of credit sales is collected during the year, hear this ratio shows that the collection of credit sales is done average 8 times during the year.

Creditors turnover ratio: This ratio is similar to the debtor’s turnover ratio. It compares creditors with the total credit purchases. It signifies the credit period enjoyed by the firm in paying creditors. Accounts payable include both sundry creditors and bills payable. Same as debtor’s turnover ratio, creditor’s turnover ratio can be calculated in two forms, creditors’ turnover ratio and average payment period.

Following formula is used to calculate creditors turnover ratio:

[creditors turnover ratio = credit purchase / average trade creditors]

average creditors = opining + closing creditors / 2

[creditors turnover ratio= purchase / closing creditors] Particulars Purchase Closing creditors


http://www.accountingformanagement.com/debtors_or_receivable_turnover_ratio.htm

http://www.accountingformanagement.com/debtors_or_receivable_turnover_ratio.htm

Raj Empire 2011

Year 2008 315932476 190356464

Ctr= 315932476 / 190356464= 1.66 times

Year 2009 473163745 315814915

Ctr=473163745 / 315814915= 1.50 times

Year 2010 599553820 506623588

Ctr=599553820 / 506623588= 1.18 times

Conclusion : The creditors turnover suggest that number of time the amount of credit purchase is paid during the year, hear this ratio shows that the payment of credit purchase is done only 2 times during the year which is good for the company.

Profitability ratios:

Gross profit ratio : Gross profit ratio (gp ratio) is the ratio of gross profit to net sales expressed as a percentage. It expresses the relationship between gross profit and sales.

[gross profit ratio = (gross profit / net sales) × 100]

Particulars Gross profit Sales


Raj Empire 2011

Year 2008 140498110 515930994

Gpr=140498110/515930994*100= 27.23%

Year 2009 172112883 777191794

Gpr=172112883/777191794*100= 22.15%

Year 2010 256983066 1096291928

Gpr=256983066/1096291928*100= 23.44%

Net profit ratio : Net profit ratio is the ratio of net profit (after taxes) to net sales. It is expressed as percentage. [net profit ratio = (net profit / net sales) × 100] Particulars Net profit SalesYear 2008 111483852 515930994

Npr=111483852/515930994*100= 21.60%

Year 2009 160142966 777191794

Npr=160142966/777191794*100= 20.61%

Year 2010 245291505 1096291928

Npr=245291505/1069291928*100= 22.37%

Conclusion :Net profit ratio indicate companies profitability. There is no any standard ratios for it. It depends upon the company. This ratio is usually expressed in percentage. Here ratio shows that the net profit ratio for the last year is high in compare to the year 2006-2007and 2007-2008, which indicate that company’s profitability is going rising.

Return on equity


Raj Empire 2011

Return on equity (roe) measures the rate of return on the ownership interest (shareholders' equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). Roe shows how well a company uses investment funds to generate earnings growth.[roe= net profit / shareholder’s fund * 100]

Particulars Net profit Shareholder’s fund

Year 2008 111483852 315895090

Roe=111483852/315895090*100= 35.29%Year 2009 160142966 347952620

Roe=160142966/347952620*100= 46.02%

Year 2010 245291505 347952620

Roe=245291505/347952620*100= 70.50%

Working capital turnover ratio: Working capital turnover ratio indicates the velocity of the utilization of net working capital. [working capital turnover ratio = cost of sales / net working capital] Particulars Sales Net working capital

Year 2008 515930994 931874680

Wctr=515930994/931874680= 0.55

Year 2009 777191794 487645476

Wctr=777191794/487645476= 1.60

Year 2010 1096291928 305375540

Wctr=1096291928/305375540= 3.59


http://en.wikipedia.org/wiki/Shareholders'_equity

Raj Empire 2011

BIBLIOGRAPHY

By the Help of Manuals

Fame annual Report of 2010 & Internet.

By The Help of Other Sources

By the head’s and the consultant of the Fame Raj Empire

By The Help of Website

WWW. Fame. Com

WWW.multiplex.fame COM

WWW.WIKIPEDIA.COM

WWW.fame raj empire surat.COM

By The Help of Book

Philiph Kotler of Marketing

Ashwathappa of Production

Bs Shah of human resource

Management accounting


http://WWW.WIKIPEDIA.COM/

Raj Empire 2011


Raj Empire 2011


Documents

Raj Empire Project (Hard Bond)