standard international precesion engineers

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STANDARD INTERNATIONAL PRECESION ENGINEERS PVT. LTD

BANGALORE INSTITUTES OF MANAGEMENT STUDIES Page 1

EXECUTIVE SUMMARY:

It is a great opportunity for me to carry the industry learning and exposure at standard

international precision engineers private limited for fulfillment of MBA course.

The endeavor of the project was mainly taken over the 4 weeks where I covered the area

starting from the industry profile to survey giving findings, suggestion and conclusion about my

topic. First one week the study was focused on the industry and the company profile and then

move towards the different departments of the company.

After the above learning I focused my study on the topic I choose organization study of

standard internationalprecision engineers pvt. Ltd.

Finally suggestions and conclusion were made after careful survey.

The global food landscape is rapidly evolving as consumer needs shift with changing

lifestyle. Food habits and tastes are amalgamated in the global melting pot. Specialty fats belong

to a unique category of fats made from all or any vegetable oils only such as water, rice bran ,

sunflower , sesame , palm oil , palmolein , blended with other ingredients such as water , salt ,

milk , with anti oxidants and other preservatives.

Growing global demands for specialty fats has made the manufacture of these fats a very

lucrative proposition for the edible oil refineries, however requires the right set of equipments

and expertise in the field. At standard international, we engineer the complete processing plant,

manufacture and supply equipments, commission at site, impart product know how and train the

operators.

Standard international precision engineers pvt. Ltd. Is 100% Shareholder Company. The

shareholders are the owners of the organization. The organization is moving with IT era.

Company has a good relationship between the employer and employees. The products

are manufactured by keeping in mind the taste of customers. The company mainly focuses on

people in international for marketing. Team work plays a vital role in the industry as all the

departments in these organizations to work in synergy with the others in order to ensure that the

product was supplies to the customer on time.


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Introduction

An Organization is a social group which distributes tasks for a collective goal. The word

itself is derived from the Greek word organon, itself derived from `organ` and it means a

compartment for a particular job.

There are a variety of legal types of organizations, including: corporations, governments, non-

governmental organizations, international organizations, armed forces, charities, not-for-profit

corporations, partnerships, cooperatives, and universities. A hybrid organization is a body that

operates in both the public sector and the private sector, simultaneously fulfilling public duties

and developing commercial market activities. As a result the hybrid organization becomes a

mixture of a government and a corporate organization.

There are a variety of legal types of organizations, including: corporations,

governments, non-governmental organizations, international organizations, armed forces,

charities, not-for-profit corporations, partnerships, cooperatives, and universities. A hybrid

organization is a body that operates in both the public sector and the private sector,

simultaneously fulfilling public duties and developing commercial market activities. As a result

the hybrid organization becomes a mixture of a government and a corporate organization.

Management is interested in organization mainly from an instrumental point of

view. For a company, organization is a means to an end to achieve its goals, which are to create

value for its stakeholders (stockholders, employees, customers, suppliers, community) moreover,

organizing is considered as the management function concerned with assigning tasks, grouping

tasks into departments, and allocating resources to departments.

An organization is defined by the elements that are part of it that belongs to the

organization, its communication, its autonomy and its rules of action compared to outside events.

By coordinated and planned cooperation of the elements, the organization is able to solve tasks

that lie beyond the abilities of the single elements. The price paid by the elements is thelimitation of the degrees of freedom of the elements. Advantages of organizations are

enhancement, addition and extension. Disadvantages can be inertness and loss of interaction.

The study of organizations includes a focus on optimizing organizational structure.

According to management science, most human organizations fall roughly into four types:


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Pyramids or hierarchies, Committees or juries, Matrix organizations and Ecologies. A variety of

methods are used in organizational studies. They include quantitative methods found in other

social sciences such as multiple regression, non-parametric statistics, time series analysis, Meta-

analysis and ANOVA. In addition, computer simulation in organizational studies has a long

history in organizational studies. Qualitative methods are also used, such as ethnography, which

involves direct participant observation, single and multiple case analysis, grounded theory

approaches, and other historical methods.

OBJECTIVE OF STUDY

To have a clear knowledge of what is an organization. To study the major factors that lead to structuring of the organization and how a good

organization structure will enable in achieving the objectives effectively and efficiently.

To study the various policies and procedures followed by an organization. To study the functions of various departments and their managers. To analyze the working system of each department. To understand and analyze the key result areas and key result activities of the company.

Research Methodology:

Primary Data: Primary data was collected by detailed interaction with the managers andnon-managerial staff of various departments.

Secondary Data: Secondary data was obtained from the annual report of the company,from the website and from the journals.

Limitations of the Study

Time allotted for the study was insufficient. A detailed study was not possible as certain areas of the organization were restricted. Difficulty in meeting with all the Top Level Officials.


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Specialty fats (bakery shortening and margarine) belonging to a unique category of fats

made from all or any vegetable oils only such as cotton seed , soya bean , rice bran , sunflower ,

sesame , palm oil , palmolein blended with other preservatives. Traditionally used as key

ingredients in puffs and pastries , aerated and special biscuits , cake and cake toppings has seen a

growing demand as substitutes for cocoa butter , milk fat , butter ect.

With the supply of the original fat not able to meet the growing global demands.

Growing global demands for the specialty fats as made the manufacture of these fats a very

lucrative proposition for the edible oil refineries however requires the right set of equipments and

expertise in the field.

The demand for edible oils in India has shown a steady grow that a CAGR of 4.43%

over the period from 2001 to 2011. The growth has been driven by improvement in per capita

consumption, which in turn is attributable to rising income levels and living standards. However,the current per capita consumption levels of India (at 13.3 Kg/year for 2009-10) are lower than

global averages (24 kg/year).1 The Indian edible oils market continues to be underpenetrated and

given the positive macro and demographic fundamentals it has a favorable demand growth

outlook over the medium-to-long term.

In terms of volumes, palm oil, soya bean oil and mustard oil are the three largestconsumed edible oils in India, with respective shares of 46%, 16% and 14% in total oilconsumption in 2010. Given the high price consciousness and varied taste preferences of Indian

consumers, ICRA expects these three oils to continue to account for the bulk of edible oil

consumption in the country.

There has been a significant gap between demand and supply of edible oil because oflimited availability of oil seeds and shifting of acreage to other crops in the domestic market.This gap has been met through imports, which account for almost 45-50% of the total oil

consumption. In H1OY2010-11,2 edible oil imports were observed to be the lowest in the last

three years in view of improvement in domestic oilseed production. Notwithstanding that, ICRA

expects the high dependence on imported oils to continue in the foreseeable future due toanticipated domestic supply constraints and the high cost competitiveness of imported oils.

Refined and crude palm oil (CPO) have accounted for the major portion of edible oil imports in

India (74% in OY2009-10) mainly due to their relatively low prices and ample availability.

ICRA expects the dominance of palm oil in imports to continue in the near-to medium term.

Given the high reliance on imports, domestic edible oil prices have largely been linked tointernational edible oil prices. After the decline in FY09, international edible oil prices remainedat subdued levels during most part of FY10. The prices of major edible oils rose in H2FY11 on

account of anticipated higher demand for bio-fuels, given the high crude oil prices as well as

expected production shortfalls in palm oil production. Prices have, however, corrected and

stabilized in recent months on account of better-than-expected CPO production fromIndonesia/Malaysia during Feb-March 2011; demand rationing due to high prices in developing


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Countries suffering from high levels of food inflation besides the geopolitical situation in the

Middle East and North Africa.

The improved pricing levels for Oil Year (OY) 2011 as compared to OY2010 have

provided some comfort to small/medium scale domestic solvent extractors and enabledrelatively better capacity utilization levels. Over the near term, edible oil prices are expected toremain firm, considering the strong demand for alternative sources of energy like biofuelsin view

of the continued rise in crude oil prices. The Indian edible oil industry is highly fragmented, with

the presence of a large number of participants in the organized and unorganized sectors. This hasresulted in severe competition and inherently thin profitability margins. Further, the profitability

of market participants has also been vulnerable to risks emanating from weak harvests;

commodity price volatility and fore movements.

ICRA notes that while the share of branded oils segment has remained low over the

years, it is poised for growth in view of rising income levels; uptrend in urbanization and

increasing quality consciousness of Indian consumers.

The Government of India has cut down import duties on edible oil since April 2008.

The current duty differential between crude and refined oils stands at 7.5%, which provides

protection to domestic refiners against competition from imported refined oils. Going forward,

the industrys profitability is vulnerable to any reduction in this duty differential.

From a business risk perspective, ICRA considers the flexibility to modify product portfolio as akey strength in a market characterized by commodity price volatility. Accordingly, players with

a Diversified presence and exposure to the three major categories of oil, namely, palm oil,

soyabeanoil and mustard oil, would be better positioned for growth as compared to players with

single product concentration.

Further, according to ICRA, the large-scale integrated players are better placed than small

and mid-sized manufacturers to withstand the challenges in the business Environment on the

strength of benefits related to economies of scale such as marginally lower cost of productionand access to cheaper working capital credit. From the perspective of revenue growth and

profitability, market participants with a high share of established branded products are better

placed than participants operating in the commoditized bulk market.

In the recent past, the Indian edible oil industry has witnessed organic and inorganic

expansion by some of its major participants. While ICRA views the increase in scale as a credit

positive, the impact of these cape activities on the capital structure and the ability to scale uprevenues and profitability to the envisaged extent will be some of the variables to be closely

observed from accredit perspective.


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BACKGROUND

Edible oils constitute an important component of food expenditure in Indian households.

Historically, India has been a major importer of edible oils with almost 30-40% of its

requirements being imported Till 1980s. In 1986, the Government of India established theTechnology Mission on Oilseeds and Pulses (TMOP) in order to enhance the production ofoilseeds in the country. The TMOP launched Special initiatives on several critical fronts such as

improvement of oilseed production and processing Technology; additional support to oilseed

farmers and processors besides enhanced customs duty on the import of edible oils.

Consequently, there was a significant increase in oilseeds area, production, and

yields until the late-1990s. However, in order to fulfill its obligations towards various

international Trade agreements and also meet the increasing demand-supply deficits, India beganto reduce import restrictions on edible oils in the late 1990s; and it was gradually brought under

Open General License.

This led to a significant slump in the domestic oil seeds market, as edible oil prices fellsharply in line With the low international prices prevailing at that time. Subsequently, the duty

structure was modified so as to maintain a duty differential between crude and refined varieties

in order to protect the domestic industry. Nevertheless, due to high import dependence, domesticedible oil prices remain highly correlated to international edible oil price movement, and this has

resulted in volatility in the key credit metrics of rated edible oil companies.

At the same time, ICRA notes that edible oil companies with benefits of large-scaleintegrated operations, multi-product offerings and recognizable branded presence in retailmarkets have fared better as compared to small/medium-scale domestic oilseed Crushers.

KEY TRENDS & CREDIT IMPLICATIONS

Favorable demand outlook for edible oils; underpenetrated market offers significant

growth Potential:

The demand for edible oils in India has shown a compounded growth of 4.5% over thelast 10 years and is estimated at 16.2 million tones for Oil Year (OY) 2010-11. India plays an

important role in the global edible oil market, accounting for approx. 10.2% share of

consumption; 7% share of oilseed production; 5% share of edible oil production and 13.6% share

of world edible oil imports for OY2009-10. As per USDA estimates, India is the third largestconsumer of edible oils (after China and the EU-27 countries); and will account for 11% of

global edible oil demand and 16% of global imports in OY 2010/11F.Indias annual per capita

consumption has shown a steadily increasing trend from 4 kg in the 1970s to10.2 kg in the late1990s to current levels of ~13.5 - 14 kg. However, it still ranks well below the world average of

around 24 kg (per capita figures including consumption of bio-energy), thereby signifying the

high growth potential of the industry. Refer Charts 1 and 2 for trend in domestic demand andpercapita consumption of edible oils in India.


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According to ICRA, the medium-to-long term demand outlook for edible oils in India is

favorable(with expected growth in the vicinity of 4-5% p.a.), catalyzed by the growingpopulation and expected increase in per capita consumption which in turn would be driven by

changing lifestyles; growing Urbanization; increasing proportion of middle class population and

steadily rising affluence levels.

Domestic production lags demand growth, thereby leading to heavy reliance on imports :

As compared to demand growth for edible oils, the domestic oil and oilseed productionhas remained largely stagnant on account of low productivity in under-irrigated areas and

shifting of acreage from oilseeds to other crops. This has resulted in a significant demand-supply

gap, which has been met through imports which have been further incentivized by a sharp cut in

import duties. In the period from 2001 to 2008, import duties on crudesoyabean oil / palm oilwere in a prohibitively high range of 40%-90%. In order to curtail inflation, Govt revised these

protectionist tariffs downwards to 7.5% for refined palm / soybean oil and 0% for crude palm /

soybean oil in April 2008, resulting in a surge involutes of imported oils that currently meetalmost 45-50% of domestic consumption requirements.

Reduction in import volumes witnessed for the first time in the last three years during

H1OY2010-11; nonetheless, high dependence on imported oils is expected to continue.

Edible oil imports witnessed a sizeable 21% y-o-y reduction in H1 OY2010-11 (November2010- April 2011), as can be observed in Chart 4. This has largely been on account of relatively

higher domestic oilseed availability (~29-30 MT expected for OY2011 as against 24.9 MT for

OY2010) and consequently higher domestic oil production. The high crude palm oil prices(trading almost at par with soya during December 2010- February 2011), following concernsover production estimates in Malaysia, also resulted in lower imports, as edible oil players

resorted to running down of inventory levels. The subsequent improvement in estimates of palm

oil production has led to some correction in prices, which coupled with forthcoming festivedemand is likely to revive import volumes in H2OY2011.

Considering the current year domestic edible oil supply of 8.0-8.5 million tonnes perannum and factoring a normal growth of 2%-3% (through moderate expansion in cultivated area

and yield improvements) in supply, ICRA expects the significant gap between domestic demand

and supply to persist; and result in continued import dependence for at least 45% of consumption

requirements, notwithstanding the dip in imports seen in H1OY2011.

Apart from price, consumption is also influenced by regional preferences; palm, soya bean

and mustard oil are the three major edible oils.

An important characteristic of the Indian edible oil consumption pattern is the variation in

preferences across regions, driven by taste and availability. For instance, soya bean oil is mainly

used in northern and central regions of India due to the local availability of soya beans. Mustard

oil is largely consumed in north-eastern, northern and eastern regions of India, as its pungency isa desired and inherent part of the local cuisine. Palm oil has increasingly become the oil of

choice in southern India due to the warmer climate (palm oil gets a cloudy appearance in colder

climates) and easy availability from South-east Asia.


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The increased health awareness also determines the consumption pattern with mustardand soya considered healthier than palm oil, which has higher levels of saturated fats. Oils like

rice bran and olive are also gaining popularity due their consumption remains fairly low in

absolute important role to play in determining consumer choice, given that expenditure on edibleoil household budget.

In terms of volume, palm, soya bean and mustard/rapeseed oil are the three major edibleoils consumed in India and together account for 75% of the total edible oil demand, as indicated

in Chart 5. While mustard oil is almost entirely produced within the country, soya bean oil is

imported in significant quantities (about 45%-50%). Palm oil is entirely imported in crude form

for refining in port based refineries while some quantities are also imported in the refined form.

Given the cost economics and taste preferences of consumers, ICRA expects these threevarieties of an exposure to these oil varieties stand to benefit. Given the inherent volatility in

prices, ICRA believes that participants with a diversified presence across edible oil categorieswould be better placed than participants focused on a single variety of oil, due to the flexibility to

modify product portfolio in line with market parity and maintain optimum capacity utilization

levels.

High fragmentation and competition put margins of domestic participants under pressure:

The edible oil industry in India is characterized by intense competition and fragmentation,with the presence of a large number of units attributable to low entry barriers such as low capital

and low technical requirements of the business and a liberal policy regime (SSI reservation for

traditional Oilseeds and sales tax incentives by various state governments). While a number ofinefficient units closed down after reduction of high import tariffs on imported edible oils, the

average capacity utilization rates of Indian oilseed processors remain very low (at ~30%-40%),

with many of them Operating only for a part of the year, that is, during the local harvest season

of raw materials. As a result of this high competition and fragmentation, margins in the edible oilbusiness tend to be thin. Further, they are exposed to risks of commodity price volatility and

forex movements.

Notwithstanding the above, the market includes some large industry participants like

Marico Limited, Cargill India Private Limited, Adani Wilmar Limited, Ruchi Soya Industries

Limited and KS Oils Limited, which have a diversified product portfolio; multiple

manufacturing units and operate on a pan India basis mainly in the branded segment. ICRAbelieves that the larger manufacturers by virtue of their scale enjoy certain advantages like access

to cheaper working capital credit and savings in cost of production, which make them relatively

better positioned to withstand margin pressures and difficult industry conditions.

Strong linkage between domestic and international edible oil prices:


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COMPANY : STANDARD INTERNATIONAL PRECISION

ENGINEERS PVT. LTD.

ADDRESS : A-169,4th

CROSS, 1st

STAGE,

PEENYA INDUSTRIAL AREA,

BANGALORE, 56OO58

TELEPHONE NO. : 080 41272891

FAX : 080-41272892

DIRECTOR : MR.ASHOK G SHANBHAG

BUSINESS ACTIVITY : EDIBLE OIL MACHINERY

LEGAL FORM : A GOVERNMENT OF KARNATAKA

UNDERTAKING

ESTABLISHED IN : 1993


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STANDARD INTERNATIONAL PRECISION ENGINEERS PVT.LTD. An ISO

9001:2000 certified company, popularly known as STANDARD INTERNATIONAL, brings to

you, customs builds products made to clinical precision and meeting international standards like

ANSI/ASME/ISO ect. It also takes up on a turnkey basis, the complete design, fabrication,

installation and commissioning of the entire plant supported by excellent aftersales service.

STANDARD INTERNATIONAL PRECISION ENGINEERS PVT.LTD. is one of the

leading manufacturer of bakery shortening and margarine plants in India with over 100

installation in India and abroad in a short span of ten years. Surface scraped heat exchanger is the

heart of the solution provided in the form of a design, manufacture and installation of the

complete plant on a turnkey basis with some of the best selling brands in India and abroad,

company proud of having serviced clients such as bunged india, unilever srilanka, bidco Kenya,adani wilmar, india has a few of our many prestigious clients.

STANDARD INTERNATIONAL started as a fledgling unit in a 1993, as grown

phenomenally over the years. Today, it has a commanding presence, having internationally

renowned clientele. It is a company totally committed to customer satisfaction through quality

and reliability. Keeping abreast with the latest technologies and effectively using it to produce

world class range of products has been constant Endeavour of STANDARD

INTERNATIONAL.

At STANDARD INTERNATIONAL, a highly motivated team of engineers and

technocrats, highly skilled operators and dedicated workmen supplemented by a panel of

consultants are ably supported by vendors and suppliers. Mr. ASHOK G SHANBHAG, as

president and managing director of standards international makes optimum use of his vast

experience gained at several prestigious organizations both in India and abroad to produce world

class equipments to suit the most advanced and modern global technology.

STANDARD INTERNATIONAL specializes in design, research and development,

project engineering , P&I diagrams, data sheets, plant layout, specifications of various

equipments static and rotary-skid mounted equipments-modules/ packages/ systems with

associated piping, electrical and electronic automation, fabrication, manufacture, installation and

commoissiong at site etc. some of the key areas where the company has made significant

achievements are listed below.

Food and beverage industries


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Pharmaceutical industries Biotech industries Dairy industries Chemical industries Fertilizers industries Gas industries Electrical industries Electronic industries Aircrafts industries Petrochemicals industries Off shore projects Hardware engineering

Ever since its inception , standard international as constantly stayed ahead of competition

in the global scenario with a strong research and development network and adoption of quality

policy. Standard international has commanding presence with state of the art technology in the

fallowing areas.

Skid mounted equipments / modules / packages / systems, original tailor made equipments

(bio reactors, strainers , pressure vessels , filter housings , chromatography columns ), design ,

sizing , plant layout , isometric, fabrication , installation , commissioning of industrial piping.

Equipments and plants (mainly sinitators and crystallizers) for bakery shortening,

vanaspathi & margarine.

SERVICES:

Complete automation of the plant using SCADA and PLC Formulation of the recipes to suit market needs Manufacture of the fat for R&D in our pilot plant in Bangalore, India Laboratory facilities including NMR analysis of the product produced in the pilot plant Manufacture of the preproduction market testing Reconditioning of old brick packing machines ects.

Infrastructure:


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Standard international precision engineers pvt. Ltd. has provided necessary infrastructure,which includes buildings, workplace and equipment needed for

Processing such as plant and machinery, material handling equipment and measuringinstruments.

The work area will be arranged as per the different stages of work. The necessaryequipments needed for the work will be placed in the required stage. The raw materials

will enter through one end and the finished products will move from the other

Building:

The factory building is situated at a plot measuring 24,000 sq. feet. The work areacomprises of a built up area of 50,000 sq. feet. The building has basement which houses

stores and machine shop in the ground floor, with packing area and change rooms. The

first floor and the second floor houses production facility and the third floor have the

office. The marketing department, administrating department, accounts department and

after sales service departments are housed in this office.

Vision and mission statements

We are committed to continuously improving our process , products , services and

relationships to the delight of our customers through innovation , enhanced competencies and

employee motivation with due regard to the society.

Mission of standard international precision engineers pvt. Ltd.

R & D facility:

Value addition by adopting innovation, new technologies and continuous product

development is the hallmark of their R & D efforts. They have a dedicated in-house R & D

facility for product innovation and design. Highly qualified and experienced technical personnel

are involved in understanding market requirements in terms of quality, performance and user-


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friendliness, and to carryout necessary improvements in product design. Working prototypes are

made and subjected to stringent quality tests before taking up for commercial production.

MISSION, OBJECTIVES AND STRATEGIES

Like every company or organization standard international precision engineers pvt. Ltd. has set

itself some goals or targets which it strives to accomplish. The company has set strategies to

achieve the goals set and make it the basic objective of the company to achieve its set goals.

To be the Brand of the first choice. To design, manufacture and market high quality products on time and at the lowest cost. To be one of the Top edible oil machinery manufactured Company in India. To be a national player.

Objective of standard international precision engineers pvt. Ltd.

To become the most admired edible oil machinery Company in India. To maximize its sales and profits. To replace the usage of old brick packing machines etc..

Strategies of standard international precision engineers pvt. Ltd.

Putting up a booth at trade shows to encourage drop bys. Inviting current customers to suggest the names of prospects. Contacting the organizations and associations where the prospect belongs. Using telephone, mail and internet to find leads. Cultivating other referral sources as suppliers, dealers and non competing sales

representatives..


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MAJOR CLIENTS:

Eight plants commissioned for Bunge India pvt.ltd. Earlier (m/s Hindustan lever ltd.)Intrichy, bundi and pondichery including a pilot plant for research and development.

Twelve plants commissioned for adani Wilmer ltd. In locations mundra, Kakinada,Mangalore, krishnapattanam, tuticorine.

Fourteen plants commissioned for m/s ruche soya ltd. In over six location in India Five plants commissioned at m/s foods facts and fertilizers ltd. Five automatic commissioned in Kenya BIDKO Oil industries Uganda and Tanzania Fully automatic SCADA controlled plant for southern refineries ltd. Mozambique and

JVL agro industries ltd. Kolkata.

Three plants successfully commissioned for NMK industries, srilanka 45 gram sachet filling machine successfully commissioned at unilever srilanka Fully automatic batching system with other accessories supplied and commissioned at

m/s areej vegetables oils and deri.

Three plants successfully commissioned for m/s Gemini edibles and fats pvt. Ltd. InKakinada and krishnapattanam.


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Managing Director

DGM

MarketingDept

HR Dept ProductionDept

Purchasedept

Accountant

Account

Assistance

Account

Clerk

Qualitycontrol

Dispatchdept

Executiv

workers

Assis.

worker

s

Ass. pm

workers

assistant

workers

assistant

workers

assista

workers

Financedept

helpers


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Organizational structure refers to the basic hierarchical procedure in which the organization

carries out their business and accompanying baggage that shows whose tasks are divided and

integrated.

Pascal and Athos in their book The Art of Japanese Management says that

Organization structure emphasizes that the quality of management depends on the goodness of

which amongst all those key managerial dimensions.

OVERALL ORGANISATION STRUCTURE:

The organization objective and strategies have direct bearing on the organization structure. It

is visualized that edible oil machinery has the following strategic goals:

To provide high quality products. To satisfied customer needs through well designed strategies. To mobilize the resources from external and internal sources and to develop long term financial

plans, capital investment and profit plans.

To develop policies governing organization design, compensation, human resourcesdevelopment, human relations and human resource retention.

The procedures, processes and routines that characterize how the work should be done:

financial systems; recruiting, promotion and performance appraisal systems; information

systems.


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SHARED VALUES:

CalledSuper ordinate Goals When the model was first developed, these are the core values of

the company that are evidence in the corporate culture and the general work ethic.

STYLE:

The style of leadership adopted

STRATEGY:

The plan devised to maintain and build competitive advantage over the competition

STAFF:

The employees and their general capabilities


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SKILLS

The actual skills and competencies of the employees working for the company

STRUCTURE:

The way the organization is structured and who reports to whom

SYSTEMS:

The daily activities and the procedures that the staff members engage in to get the job done.


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SENITATORS: (SSHE )

CRYSTALIZERS.

Company manufacture, export and supply range of industrial crystallizer that are usedin refinery plants for dewaxing of oils like sunflower and palm oils. These industrial crystallizers

deliver excellent result owing to implementation of cutting-edge technology in theirmanufacture. The mechanically advanced industrial crystallizers are capable of producingsuperior quality crystals. Their heavy duty construction and cost effectiveness makes them

applicable in various industries.


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Resting tubes

The resting phase is one of the most important phases of the production cycle, as this is

where the final crystal structure is given time to settle and develop the desired consistency prior

to packaging. In this phase a well-designed resting tube can contribute significantly to give your

products a unique character.

Company resting tube helps to ensure that your customers achieve excellent results

whenever they use your products. After all, it is the texture of the product that determines the

way the margarine performs a resting tube is mandatory for consistency and high product

performance for packed products, especially table, cake and puff pastry margarine. The GSresting tubes are fully compatible with a wide range of different packing machine brands.

Edible Oil Processing Equipment


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SIPEPL in association with its supporting manufacturers, supported by reputed

consultants and experienced oil technologists, offer the state of art equipment and plants fromconcept to commissioning:

Oil Seeds handling and Oil Mills Continuous De-gumming Continuous Neutralization Continuous and Batch Bleaching Continuous and Batch Deodorizing Physical refining Dry Fractionation of Palm Oil Hydrogenated Oil Plant De-waxing Soap Stock Acidulation Fat Splitting and Stearic Acid Solvent Extraction Plants

Companies Team has a vast experience in the physical refining of various kinds ofvegetable oils, which includes palm, palm oil, palm kernel, soybean, rice bran and cottonseed

oil.

company offer a proven technology that is the best, simple and user friendly to

achieve maximum color and FFA reduction with optimum performance and quality

parameters of finished product.

EDIBLE OIL PROCESSING EQUIPMENTS:


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DOUBLE JACKET KETTLE:

Double Jacket Kettle is one of the fruit andvegetable processing machines used for mixing of

ingredients with the pulp of fruit with simultaneous

heating.

PASTEURIZERS:
http://www.sifterinternational.com/pl_fruits_vegetables1.htmlhttp://www.sifterinternational.com/pl_fruits_vegetables1.htmlhttp://www.sifterinternational.com/pl_fruits_vegetables1.html


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Customers of company can also avail from us Pasteurizers that is provided with quick

release steel agitator, which is fully detachable. Our range of Pasteurizers is also available with

an automatic cycle that restarts in case electrical supply failure. This array of Pasteurizers is

made in stainless steel as per the requisite quality standards in addition to this, we also provide as

per the specifications and requirements of our clients.

AUTOMATIC WEIGHING MACHINE:

Company is one of the renowned manufacturers and exporters of a

range of automatic weighing systems. These machines are manufactured using the finest quality

raw materials procured from the trustworthy vendors in the market. Our range of automatic

weighing machines are greatly admired and appreciated by our clients for its sturdy construction,

durability and easy to operate features.Features:

* Weighing Range: 20 Kg to 100 Kg

* Micro Processor Controller: Imported

TWIN HEADING FILLING STATION:


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Silent Features:

* Simple in Design* Easy to Operate

* Low Power Consumption & Maintenance Free

* Highly Accurate* Range: 5ml. to 1000ml.

* Speed: 300 to 1500 Fils/Hour

* Packing Material: Bottles, Jars & Pouches

EDIBLE OIL PACKING MACHINE:

This Machine can pack edible Oil in Centre Sealed Pouches made Of L.D.P.E LaminatedFil Fully automatic, compact and Robust machine.

Simplified operation and low maintenance Top quality components and best workmanship All parts are made of food grade Stainless steel Fast changeover of pouch size and filling volume Photoelectric mark registration system for precise cutting and sealing of the pouches can

be provided

Can be custom-made to suit specific requirements


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TUBE FILLING MACHINE:

Overview of the Equipments

* Body Structure of SS 304 and contact parts in SS 316

* Machine is Useful for any kind of Paste / Gel / Semi Liquid Products

* Suitable for Laminated & Aluminium Tube

* Automatic Loading & Unloading operations.

* Volume can be fill from 10 ml to 300 ml

* Machines runs at the speed of 120 to 150 Tubes per Minute

* Crimping & Sealing online

* Online Batch Coding can be integrated.

* Mechanically driven machine,

* Built on Angles & Mounting plates in M.S. duly powder coated & Cladded.

SACHET PACKING MACHINE:


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Application

Edible Oil Granules Dal Powders

Application

Automatic packaging of granule, liquids, pastes, powder etc. in formed pouch for the food,

pharmaceutical, chemical and other industries.

Standard Feature

The machine can automatically complete the products measuring, conveying and feeding,filling and bag forming, date code printing, bag sealing and cutting.

Servo-motor control bag pulling system. High precision fiber optic photo sensor control, PLC control system. Preloaded operation menu on 5.7" touch screen, can easily set and change the packing

parameter, displays daily product.

Optional Parts

Shaped pouch forming device Gusset pouch forming device Date code printer Sachet header hole punch

Optional Measuring Filler

Volumetric cup filler Electrical weighing filler Vibratory counting filler Piston filler for viscous pastes

TECHNICAL DATAMeasuring Range (ml,gm) 0.5-1000

Bag Length (mm) 20-600

Bag Width (mm) 10-350

Speed (Bag/min) 15-50


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CIP SYSTEM

:

In the brewer and beverage industry, proper and careful cleaning of the equipment isessential. A correct cleaning process ensures the high quality of your products. CIP (Cleaning in

Place) is this premium process.

CIP guarantees optimum cleaning of your equipment. The CIP process runs in a closedcycle, eliminating contamination from the outside environment. Key elements in CIP units arethe tanks containing the cleaning detergents. These detergents are usually low concentrations of

caustic, acid or detergents, used cold or hot. The other tanks are water tanks used for fresh water,

reclaimed water, hot water etc.
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Holvriekas CIP units are standard or tailor-made to suit your specific needs without

exceeding them. Our specialists have extensive experience in configuration of manual, semi-automatic or full-automatic CIP units. We are capable to meet all your specific demands.

SKID MOUNTED EQUIPMENTS:

FOOD & BEVERGE EQUIPMENTS: PIPING AND COMMISSIONG:


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DEPARTMENTALIZATION

Departmentalization means dividing the functions with their identity to carry out with

advantages of division of labor and specialization.

A department is a division, branch, regiment or some other organizational unit, over

which manager has authority for performance of task thus departmentalization is the process of

dividing organization task into manageable unit, the department is composed various managerial

position and relationship to each other for achievement of organizational goal. The major

function can be divided into,

Finance Department Human resources Department Marketing Department Production Department Quality Control Department Purchase department

MERITS OF FUNCTIONAL ORGANISATION

1. SPECIALIZATION- Better division of labor takes place which results in specialization offunction and its consequent benefit.

2. EFFECTIVE CONTROL- Management control is simplified as the mental functions areseparated from manual functions. Checks and balances keep the authority within certain

limits. Specialists may be asked to judge the performance of various sections.

3. EFFICIENCY- Greater efficiency is achieved because of every function performing alimited number of functions.


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4. ECONOMY- Specialization compiled with standardization facilitates maximum productionand economical costs.

5. EXPANSION- Expert knowledge of functional manager facilitates better control andsupervision

DEMERITS OF FUNCTIONAL ORGANISATION

1. CONFUSION- The functional system is quite complicated to put into operation, especiallywhen it is carried out at low levels. Therefore, co- ordination becomes difficult.

2. LACK OF CO-ORDINATION- Disciplinary control becomes weak as a worker iscommanded not by one person but a large number of people. Thus, there is no unity of

command.

3. DIFFICULTY IN FIXING RESPONSIBILITY- Because of multiple authorities, it isdifficult to fix responsibility.

4. CONFLICTS- There may be conflicts among the supervisory staff of equal ranks. They maynot agree on certain issues.

5. COSTLY- Maintenance of specialists staff of the highest order is expensive for a concern.

FINANCE DEPARTMENT :

Organization require finance department to maintain certain function such as budgeting,

auditing, payment of bills, recovery of the dues and accounting of the organization.

This department is concerned with decision regarding capital budget, structureand working capital management. Capital budget plan to invest in building and

machinery equipments and R&D etc.

Capital structure once decision taken to invest projects it has to figure out ways tofinance them. Working capital management is concerned with short term financial

management i.e. day to day planning.


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OBJECTIVES

Financing and mobilization of cash Provide up to date account of all activities. To protect financial interest of company. Exercise cost control and cost reduction technique. Control for inflow and outflow of cash

FUNCTIONS

To send the report to the office To look into the payment of salaries In charge of record keeping Day to day super vision of account staff Responsible for checking/payment of supplier bills To prepare annual inventory, audit.

STRUCTURE OF FINANCE DEPARTMENT

General manager

Accounts officer

Accounts assistance


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NUMBERS OF WORKERS: 100

Department (HRD) playing a major role in staffing, training and helping to manage people so

that people and the organization are performing at maximum capability in a highly fulfilling

manner.

FUNCTION OF HUMAN RESOURCE DEPARTMENT

To maintain good and harmonious industrial relations. To manage employee convinces, discipline etc. To rate employees performance. To look after the housekeeping, cleanliness, garden etc. To maintain communication equipment and public relations. Maintain attendance list. Training and recruitment

Recruitment and Selection

In SIPEPL usually the internal and external source of recruitment are used for the

recruitment of staff or workers.

Training and Development

After appointing the applicant if he is into functional level, training will be given tothem. But if they are into management level development programmed is conducted to

them.

As we know there are 2 types of training, like on the job training and off the jobtraining. Here in this organization they have on the job training. Here they have to

work in team and with experienced persons and they have to get the training from them.

In such a type of training the employee will observe each and every work which is


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going in the factory and he can have practical knowledge. Here they can clarify their

doubts immediately.

Employee Welfare:

Working Environment:

Maintaining safety and cleanliness measures. Control of effluents. Convenience and comfort during work. Workmen safety measures like maintenance of machines and tools, providing guards,

hand glouses, goggles, etc.

Workshop sanitation and cleanliness, temperature, humidity ventilation, lighting etcConveniences:

Providing of drinking water. Cloak rooms, rest rooms, etc. Provide food & snacks if there is over time. Uniform & shoes are provided.

Health Services for Workers:

Emergency aid (First Aid) Medical examination Giving hints on safety measures. Health caution Safety

Leaves

The company provides Casual Leaves for 15 days in a year


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MARKETING DEPARTMENT :

Marketing is a social process by which individuals and groups obtained what they need and

want through creating, offering and freely exchanging products and services of value with others.

According to American Marketing Association gives definition as marketing is the

process of planning and executing the conception, pricing, promotion and distribution of ideas,

goods and services to create exchanges that satisfy individuals and organizational goals.

Objectives of Marketing:

To fulfill the customer satisfaction. To increase the company sales. To distribute quality products in the market. To explore the new market for the companys products. Ultimately to attain the companys objectives. Balance the demand and supply of products. Organize and develop the market share of effectively. Prepare sales budget.

Policies:

1. Keep a watch on the market conditions.2. Branch officials and agents should always be in touch with customer.3. Orders are always taken on first cum first basis and credit sales are negotiated only

after knowing buyers credibility and prior approved of management.

4. The transporter approaches marketing section for billing and other variousdocument required as per company policies.

Functions:-


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1. To capture the markets share.2. To collect information about revenue.3. Maintain sales and other accounts.4. To attain major market shares.5. To over competition.

THE OBJECTIVES OF THE EXPORT ORIENTED UNIT :

The main objectives of the EOU scheme is increase exports, earn foreign exchange to the

country, transfer of least technologies stimulate direct foreign investments and to generate

additional employment.

With some of the best selling brands in India and abroad , we proud of having serviced

clients such as bunge india, unilever srilanka, bidko Kenya , adani wilmer , india as a few of our

many preestigeous clients.

MAJOR CLIENTS:

Bunge India pvt. Ltd. Trichy Adani wilmar limited, Kakinada m/s foods fats & fertilizers, tadapalligudan bidco oil industries ltd. Uganda and Tanzania JVL agro industries ltd, Kolkata NMK industries , srilanka Unilever ltd. Srilanka M/s Gemini edibles and fats, krishnapattanam.


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PURCHASE DEPARTMENT:

In every organization success is mainly depending upon the efficiency of the

purchase department. This is due to the fact that, every organization requires materials during its

functioning. Hence, purchase department fulfill all the materials needed for each and every

departments in an organization.

This section outlines the way in which the subcontractor are approved purchase

documents are reviewed and verification of purchased product by customer is provided.

Function of purchase manager

To set and maintain and purchase quality polices. To ensure the provision of qualified staff and resources. To set and operate suitable systems to select, audit and engaged suitable subcontractor

with regard to commercial viability technical competence, quality and general

performance.

To monitor using suitable system, to supply quality assured material as par schedules. To give necessary guide lines to the subordinates to perform their duties properly and to

give necessary training requirements for his department personal development.

Material planning is made before purchase Normally the company purchase on credit

The work of purchase department is to provide uninterrupted supply of material inside

for production consumption. The selections of supplier were considered with party wise

rejection rate supplied material. They rate their vendors based quality, quantity, service, time,

cost etc. another consideration for selection is urgency of material. The usual credit period

range from 15 to 20 days. The order mainly placed through Fax and phone.


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Objectives: -

To procure right materials In right qualities From right and reliable sources of supplies To procure materials economically i.e., at reasonable price To secure and deliver materials at right placers and at right time. Purchase department

has to perform certain activities, duties and function in order to achieve the objects

mentioned above.

Duties and responsibilities of the purchase department

To keep records indicating possible materials and their substitutes Maintenance of relevant records of reliable sources of supplies, price materials Making contracts with right sources of supplies Analyzing / evaluation of offers / quotations to procure the materials


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PRODUCTION DEPARTMENT:

Standard international precision engineers pvt. Ltd. More concentrate on production

department. Production is the process by which goods and services are created. The other word

used with production is manufacturing. Production process is also one of the areas for

maximization of the profit. So production process is managing the plan. An important role in the

organization is to achieve its objectives.

Production management involves all the factor of production, together and putting them

to option use in order to realize the objectives of stating the firm i.e. creation of goods and

services.

Modern production management present certain characteristic, which makes it look

totally different from what it was during the past.

Production department plays a very important role in the entire organization as such it

acts as a main enter for the whole organization where the conversion of raw material into

finished product has takes place.

Hierarchy (production department)

Manager

Dept Manager

Asst Manager

Technical Officer

SupervisorsTechnicians

Helpers


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Functions: -

The functions of production department are as follows: -

1) Procurement of raw material.2) Maintain and produce the standard quality products.3) Using of advanced technology.4) Maintaining inventory of both raw material and finished products.

THE PRODUCTION PROCESS IS INCLUDING THE FALLOWING STEPS:

PROCESING:

Batch preparation Pre processing Processing Remelting Panels

The processing includes the series of function from the products like tanks, pasteurizers, high

pressure plunger pump, sinitators and crystallizers,

Automation SCADA Packaging.


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QUALITY CONTROL DEPARTMENT:

The edible oil machineries is not a short time consumed goods. So the long time quality

of the products is achieved by concentrate on quality control department .

SIPEPL main policy is maintain quality of products.

Quality control is a part of production department, input measured, checked up to

standard set with assured and control over to get best quality of output.

It is recommended that as for as possible statistical quality control SQC method may be

used for the controlling the quality of the product during prediction. In addition effort should be

made gradually introduce a quality management system in accordance with ISO9001 has

appropriate to the activities to the organization.

Quality refers to the sum of its characteristics that describes the product which is

generally expressed in term of specific product characteristics such as length, color, width etc.

The quality department make the quality assurance manual giving broad guidelines for

each department based on this department will have prepare document for procedure.

STEPS INVOLVED IN QUALITY CONTROL

Control of Engineering Quality

Assist in the evaluation of customer requirements to arrive at clear understanding of theproduct quality objectives.

Review design documents for conformance to design standard and practice and foridentification of potential quality problems.

Audit the release and distribution of design document.Control of Purchased Material Quality

Assist in evaluating and selection of suppliers/subcontractors Assured that purchase materials confirms to the requirement of the purchase order and

specifications.


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Lack in providing good working environment.

OPPORTUNITIES:

Edible oil industries never have low demand, it is helpful to production moremachineries.

As per the infrastructure is concerned SIPEPL has a Well equipped & Sophisticatedinfrastructure which helps the company to meet the customers Demand In time.

By looking at the present Infrastructure, Skilled Workforce, Technology & emergingdemand condition Company is planning to expand their factory. The demand for the

products of SIPEPL is also increasing, so Company has got a clear & bright future.

At present it has Good raw material sources to enhance production. Support and large production capacity.

THREATS

1. Competition from other global leaders.2. Government interference may reduce growth potential.3. Entry of new multinationals companies.


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FINDINGS:

The activity of the SIPEPL organization close downwards from managing partners to theemployee.

There is a proper selection and placements of each employee in the optimum use ofHuman Resources are taken care in the organization.

The personnel ability and potential of each employee is organized and encourage. The different activity of the company decided according to their function. Work is

assigned to employees according to their specialization and there is proper division of

departments in the organization.

Competition in the field of quality is very high for the products that the company isinvolve in, the company supervise because of its quality products.

There is no employee union in the company. A promotion activity of products is less. Employees safety training program is conducted fortnightly. The service offered by the company should be improved.


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SUGGESTIONS:

The customers expect good cooperation from the company. The company should improve customer lounge. The company should understand the need of a customer.

The company should give the quick and timely service to customers

The company is advised to come up with higher promotional measures. It can increase sales by giving more emphasis on advertisement i.e. by attractive display

of product should be offered at outlets which motivate sales.

Human Resources department needs to focus on motivational measures of the employee. The company should invest more money in advertisement campaign. The company should adopt Just In Time Process Production.


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CONCLUSION:

SIPEPL is the best edible oil systems company in Bangalore, because of its good serviceand quality of products. The offers which are provided by sipepl are affordable to every

sector of people.

Customers of SIPEPL are satisfied with the new offers as well as the service theyprovide, and they also provide different models of heating systems through the company

in different ways.

The network of SIPEPL has rapidly spread over India. It is having better improvement inthis modern world so it is an ever shine company in heating elements field at present.

The above points reveal that the SIPEPL is a good competitor to its competitors because

it provides high quality products at lower prizes and it also giving loan facilities at lower

rate of interest. The company has never compromised for quality and in fact this has

been our secret of our stay in the market not with the standing.


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BOOKS

1 Human resource management

ASHWATHAPPA

2 Marketing department

PHILIP KOTLER

3 Production management

ASHWATHAPPA

GOOGLE

1. TRADEINDIA.COM2. INDIAMART.COM

COMPANY STAFFS.

Documents

standard international precesion engineers