A Project Report On INDUSTRIAL VISIT IN PARLE PVT. LTD.

SESSION (2010-2011)

MAHATMA JYOTI RAO PHOOLE UNIVERSITY, JAIPUR

Submitted by: MANOJ KUMAR

PREFACE
There is a large gap between theoretically and practical knowledge about handling and managing a business. Only books knowledge cant help in building up an effective administrator. A thorough and practical study, knowledge and learning can only be useful to become more eligible and competitive. Due to this point of view each and every student of M.B.A. has to undergo the industrial visit to execute business enterprise as per norms of our institute which is really helpful to the students for making their bright career. Master of Business Administrator course is designed with the objective of preparing the most competent person with a view to achieve this objective in the best possible manner. According to its compulsory for every students of M.B.A to take visit under any enterprise of the industry, to get information, knowledge and practical learning about specific specialized field and of industry at all. I have prepared this report after visiting in PARLE PRIVATE LIMITED in this report I have collected during visit.

ACKNOWLEDGEMENT
Success in any endeavor calls for co-operation and guidance from seniors and colleagues.

Gratitude is short lived but when put in black and white; one hopes it to enjoy a longer life. Many people have given their valuable time and ideas to enable me to complete my project and project report. I am deeply indebted to all for their ideas and assistance, and I bear the entire responsibility for weaknesses in the project. I cannot forget the wholehearted support, which has given me an expert and learned supervision of Mr. S.K. JENA, HR DEPARTMENT of the company for giving me the opportunity to undergo this projection in company. I am highly obliged to express my praise and profound thanks to my project guide i.e faculty members for their expert guidance and co-operation throughout the making of our project and we are highly obliged to them for supervision, encouragement and valuable advice. My gratitude to all those, who responded to our questionnaire in a well, defined manner and helped us in completing my project report. Lastly I would like to thank all those, who have, directly or indirectly, helped me in making the project.

EXECUTIVE SUMMARY
The report is an earnest endeavor made to understand the present market scenario in biscuits captured by the Parle and the other competitor brands viz., Britannia, Priyagold, ITC. The researchers were required to see the coverage by Parle Products Pvt. Ltd., and bring out the potential and loyal retailers so that the company could maintain the market leadership in the existing business scenario in the biscuits and the confectionaries. During the course of study the researchers visited around 410 unorganized retail stores and 30 organized retail stores and analyzed all major brands of biscuits available as well as studied the brands, which are most preferred among the retailers. The study encompasses the penetration of the existing Parle products (biscuits and confectionaries) and the market potential for the new products like Golden Arch, Nimkin, Monaco Funion, Melody softee, Mazelo and Imli Bite. Their motive was to study the working of the distributors in Jaipur market. They have mentioned the problems and the loop holes in the Parles distribution system and the promotional tools, which they have found during the course of the study and recommended various corrective measures for it. Their study also comprises the comparative analysis between organized and unorganized retail stores in terms of brand availability with the help of hypothesis testing.They also studied the behaviour of consumers about their preferences for biscuits, candies and their overall buying behaviour with the help of questioneeries

ANALYSIS
After visiting the PARLE factory as industrial visit the researchers analyzed that the best selling branded biscuit company offers its customers with large variety of biscuits (parle-g, krack-jack, Monaco, hide and seek etc.), confectionaries (mangobite, melody, poppins) and snacks (Musst bites) It aims TO SERVE PEOPLE AND NATION

The privately owned self financed company provides motivation and confidence to its staff and other related members by providing various facilities and organizing certain events. It has a very open work culture. The atmosphere is so comfortable and relaxed that helps in increasing productivity and efficiency. It lunches and outstation team-building exercises that augment inter-personal relations and mutual understanding. Parle has found its way into the Indian hearts and home. It spreads happiness and joy among the people of all ages. As one comes to visit their plant, they welcome them whole-heartedly and cooperate with them in the best way they can. They are the strict followers of Japanese culture.

Work place management system was originated from Japan: :- SEIRI REORGANIZATION :- SEITON NEATNESS :- SEISO CLEANING :- SEIKETSU STANDARDIZATION :- SHITSUKE DISCIPLINE They are also known as 5s

INDUSTRY
Indian Biscuit Industry: According to Indian Biscuit Manufacturers' Association (IBMA), after stagnating growth of about 14 per cent in 200607, biscuit industry grew by 17 per cent in 2007-08 due to excise duty exemption on biscuits with MRP up to Rs 100 per kg, Indian Biscuit Manufacturers Association. ). Therefore, Indian biscuit industry has demanded a reduction in value added tax to four per cent from the current level of 12.4 per cent on biscuit, so that the growth rate can go up to 20 per cent. The Rs 8,000-crore industry hopes that the biscuit segment will have over 20 per cent annual growth in the next five years if VAT is reduced to four per cent India, world's third largest biscuit producer after the US and China, produces nearly 19.5 lakh tonnes annually and the states, however, have imposed the VAT at 12.5 per cent, which is very high. According to IBMA, organised sector produces around 55% and the balance 45% being contributed by the unorganised bakeries. In terms of volume biscuit production by the organised segment in 2006-07 is estimated at 1.47 million tonnes. Per capita consumption of biscuits in the country is only 1.8 kg, as compared to 2.5-5.5 kg in the South Eastern countries, and in Europe and US, respectively. In India per capita consumption of biscuits is estimated at a low 1.9 kg, reflecting the huge potential for growth of the industry. Over 900 million Indians buy and eat biscuits with varying frequency in any year. The penetration of branded product in this segment is quite significant, and

is valued at Rs 2,500-3,000 crore. None of the other wheat-based segments is as developed as the biscuits industry. The biscuit segment has developed with large markets of mass consumption covering over 90% of the overall potential market. The unorganised sector accounts for over 50% of the market. The market has been growing at a CAGR of 6-7% pa. Biscuit is a hygienically packaged nutritious snack food available at very competitive prices, volumes and different tastes. According to the NCAER Study, biscuit is predominantly consumed by people from the lower strata of society, particularly children in both rural and urban areas with an average monthly income of Rs 750. India Biscuits Industry came into limelight and started gaining a sound status in the bakery industry in the later part of 20th century when the urbanized society called for readymade food products at a tenable cost. Biscuits were assumed as sick-man's diet in earlier days. Now, it has become one of the most loved fast food product for every age group. Biscuits are easy to carry, tasty to eat, cholesterol free and reasonable at cost. States that have the larger intake of biscuits are Maharashtra, West Bengal, Andhra Pradesh, Karnataka, and Uttar Pradesh. Maharashtra and West Bengal, the most industrially developed states, hold the maximum amount of consumption of biscuits. Even, the rural sector consumes around 55 percent of the biscuits in the bakery products. The annual production of biscuit in the organized sector continues to be predominantly in the small and medium scale sector before and after dereservation. Confectionary Industry

Production area Besides the industrial areas in leading metropolis the bakery product & confectionery are carried on small- scale basis also at household level. Whereas, the confectionery industry has developed remarkably with the international brand mingling with the domestic market toffees, chocolates etc. produced at large scale in important industrial regions of the country. Growth promotional activities In 1977- 78 Government reserved the confectionery bread and biscuit manufacturing for small scale and restricted entry of large producers. During the last 2 decades, small and unorganized players shared the growth in the industry. Currently, there are an estimated 2 million bakeries across the country engaged in production of bread, biscuits and other products The Indian confectionery market is segmented into sugar-boiled confectionery, chocolates, mints and chewing gums. Sugar-boiled confectionery, consisting of hard boiled candy, toffees and other sugar-based candies, is the largest of the segments and valued at around Rs 2,000 crore. The confectionery industry has a current capacity of 85, 000 tonnes, the market is growing at the rate of 10-15% per annum. The estimated annual production of bakery products in India is in excess of 3 million tonnes, of which bread accounts for nearly 50% and biscuits 37% in volume terms in the organized sector.

Types Chocolates, hard-boiled sweets, chewing gum and other products are a major

growth area. The bakery industry includes basic baked products like breads, biscuits, cakes, pastries, rusks, buns, rolls etc. The Confectionery Industry in India was a closely held business potential for several decades in the past predominantly driven by cost factors and limited market and consumer perceptions. Confectionery product being an impulse generated demand exercise was more dependent on trade push and intermittent consumer pull thereby resulting in very narrow spectrum of brand activity. The retail and market penetrations even today continue to be in the rural and semi urban and urban markets where bulk of the sales activity takes place through B and C class outlets. Confectionery being a child-oriented product, it is largely sold by individual counts at the retail trade level. The potential child consumer for this category of products in the past was largely influenced by the relevant socio-economic factors and media explosions.

ABOUT PARLE
Parle Products has been India's largest manufacturer of biscuits and confectionery, for almost 80 years. Makers of the world's largest selling biscuit, Parle-G, and a host of other very popular brands, the Parle name symbolizes quality, nutrition and great taste. With a reach spanning even the remotest villages of India , the company has definitely come a very long way since its inception. Many of the Parle products - biscuits or confectioneries, are market leaders in their category and have won acclaim at the Monde Selection, since 1971. With a 40% share of the total biscuit market and a 15% share of the total confectionary market in India , Parle has grown to become a multi-million dollar company. While to consumers it's a beacon of faith and trust, competitors look upon Parle as an example of marketing brilliance.

HISTORY
In 1929 a small company by the name of Parle products emerged in British dominated India. The intent was to spread joy and cheer to children and adults alike, all over the country with its sweets and candies. The company knew that it wouldnt be an easy task, but they decided to take the brave step. A small factory was set up in the suburbs of Mumbai, to manufacture sweets and toffees. A decade later it was upgraded to manufacture biscuits as well. Since then, the Parle name has grown in all directions, won international fame and has been sweetening people's lives all over India and abroad. Apart from the factories in Mumbai and Bangalore Parle also has factories in Bahadurgarh in Haryana and Neemrana in Rajasthan, which are the largest biscuit and confectionery plants in the country. Additionally, Parle Products also has 7 manufacturing units and 51 manufacturing units on contract.

PARLE QUALITY
Hygiene is the precursor to every process at Parle. From husking the wheat and melting the sugar to delivering the final products to the supermarkets and store shelves nationwide, care is taken at every step to ensure the best product of long-lasting freshness. Every batch of biscuits and confectioneries are thoroughly checked by expert staff, using the most modern equipment hence ensuring the same perfect quality across the nation and abroad. Concentrating on consumer tastes and preferences, the Parle brand has grown from strength to strength ever since its inception. The factories at Bahadurgarh in Haryana and Neemrana in Rajasthan are the largest biscuit and confectionery plants in the country. The factory in Mumbai was the first to be set up, followed soon by the one in Bangalore, Karnataka. Parle Products also has 14 manufacturing units for biscuits and 5 manufacturing units for confectioneries, on contract.

PARLE CORE VALUES

An in-depth understanding of the Indian consumer psyche has helped Parle evolve a marketing philosophy that reflects the needs of the Indian masses. With products designed keeping both health and taste in mind, Parle appeals to both health conscious mothers and fun loving kids. The great tradition of taste and nutrition is consistent in every pack on the store shelves, even today. The value-for-money positioning allows people from all classes and age groups to enjoy Parle products to the fullest.

PARLE AWARDS
Parle products have been shining with the golds and silvers consistently at the Monde Selection ever since they were first entered in 1971. Monde Selection is an international institute for assessing the quality of foods and is currently the oldest and most representative organization in the field of selecting quality foods worldwide.

PARLE PRODUCTS
Biscuit Goodies:

Parle - G Krackjack Magix Monaco Kreams Parle 20-20 Cookies Nimkin Chox Hide & Seek Bourbon

Hide and Seek Hide & Seek Milano Digestive Marie Parle Marie Milk Shakti Golden Arcs Kreams Gold Monaco Jeera

Toffees And Candy

Melody Mango Bite Kaccha Mango Bite Poppins Kismi Toffee Kisme Toffee Bar Mazelo Kismi Gold Orange Candy Xhale 2 in 1 Eclair Golgappa Melody Softee Parle Lites

Parle G
Every nation dreams of a better tomorrow. And every nations tomorrow lies in the hands of its children; children who make the nation proud in every aspect; the young geniuses who shape the future of the nation. So its important to nourish these young minds, for after all its a question of the nations future. Filled with the goodness of milk and wheat, Parle G is a source of strength for both body and mind. Treat yourself to a packet of Parle-G to experience what has nurtured and strengthened the minds of millions of genius Indians for over 65 years. Its more than just a biscuit. A meal substitute for some, a tasty and healthy snack for many others. Consumed by some for the value it offers, and many others for its taste. Little wonder that its the Largest selling Biscuit Brand in the world.

Ingredients :
Wheat Flour, Sugar, Partially Hydrogenated Edible Vegetable Oils, Invert Syrup*, Leavening Agents [ 503 ( ii ), 500 ( ii ) ], Salt, Milk Solids, Emulsifiers [ 322 or 471 & 481 ( i ) ] and Dough Conditioners [ 223 ]. Contains Added Flavours (Artificial).* (d - Glucose, Levulose

kachha mango bite

The glider got copied and became a jet plane. Western hits got copied and became Anu Malik songs. The typewriter got copied and became a keyboard. Similarly, we have managed to copy the tangy flavour of raw mangoes in a candy which is a little sour, a little sweet and certainly a little mischievous. We call it Kaccha Mango Bite. It truly is a kacche aam ka copy Ingredients : Sugar, Liquid Glucose, Acidulants ( 270 ). Contains Permitted Synthetic Food Colours ( 102, 133 ) and Added Flavour (Nature Identical).

C0CLUSION:
By visiting the Parle plant at Neemrana, I have observe that their marketing strategy for maintaining their brand image in the customers mind is that they dont compromise with the quality of their products. After visiting the PARLE factory as industrial visit I observed that the best selling branded biscuit company offers its customers with large variety of biscuits (parle-g, krack-jack, Monaco, hide and seek etc.), confectionaries (mangobite, It aims melody, TO poppins) SERVE and PEOPLE snacks AND (Musst bites) NATION

The privately owned self financed company provides motivation and confidence to its staff and other related members by providing various facilities and organizing certain events. It has a very open work culture. The atmosphere is so comfortable and relaxed that helps in increasing productivity and efficiency. It lunches and outstation team-building exercises that augment inter-personal relations and mutual understanding. Parle has found its way into the Indian hearts and home. It spreads happiness and joy among the people of all ages. As one comes to visit their plant, they welcome them whole-heartedly and cooperate with them in the best way they can.

BIBLOGRAPHY:
PARLE WEBSITE: WWW.PARLEPRODUCT.COM WWW.GOOGLE.COM