Mba 13010025

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR
BEVERAGES PVT LTD.
Dr. D. Veerendra Heggade

Institute of Management Studies and Research
Vidyagiri, Dharwad 580 004
Approved by AICTE, New Delhi & Affiliated to Karnataka University, Dharwad
Report on Summer In-plant Training

A STUDY ON SUPPLY CHAIN MANAGEMENT
At
NECTAR BEVERAGES PVT LTD
By
Mr. DEEPAK S KOTRASHETTY
Reg. Number: MBA13010025
MBA II Semester
Submitted in partial fulfillment of the requirements for the degree of
Master of Business Administration.
INTERNAL GUIDE
Prof. Manish Kothari
Asst. Professor
EXTERNAL GUIDE
Ms. Kruthika Tikare
MIS Analyst
NBPL Dharwad
AUGUST 2014
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BEVERAGES PVT LTD.
DECLARATION
A
I here by declare that this Report on Summer In-plant Training titled
STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

BEVERAGES PVT LTD conducted at NECTAR BEVERAGES PVT
LTD, DHARWAD, submitted by me to Karnatak University, Dharwad, is a
record of an original and independent study undertaken between June and
August 2014 under the guidance and supervision of Ms. Krutika Tikare, MIS
Analyst, Nectar Beverages Pvt Ltd, Dharwad & Prof. Manish Kothari,
Assistant Professor at Dr. D Veerendra Heggade Institute of Management
Studies and Research, Vidyagiri, Dharwad.
I further declare that this project has not formed the basis for award of any
other degree/ diploma of other University/ Institution.
Date:
Place: Dharwad
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Deepak S Kotrashetty
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BEVERAGES PVT LTD.
ACKNOWLEDGEMENT
At the outset, I would like to take this opportunity to acknowledge the
support and cooperation of all those who enabled successful completion of
this Summer In-plant Training.
I have immense pleasure in expressing my deepest gratitude to our
Honorable Director Dr. C. S. Rajagopal, for his guidance, which goes a long
way to set my future career.
I wish to express my thanks to Ms. Krutika Tikare, Marketing Dept MIS
Analyst, Nectar beverages Pvt Ltd for giving me an opportunity to do my
project work. I express my heartfelt thanks to other members of Marketing
Dept for their cooperation and guidance.
I extend my thanks to Prof. Manish Kothari, Assistant Professor, Dr. Anil
Yaragatti, Academic Dean and other faculty members of our Institute for
extending valuable advice and support during the project period.
Last but not the least there were so many who shared valuable information
that helped in successful completion of this project all of whom I also wish
to thank.
Deepak S Kotrashetty
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BEVERAGES PVT LTD.
CONTENTS
SL .NO
TITLE
1.
PAGE.
NO
EXECUTIVE SUMMARY
2.
INTRODUCTION.
3.
ORGANIZATIONAL STUDY
4.
THEORETICAL BACKGROUND
5.
RESEARCH DESIGN
6.
ANALYSIS, INTERPRETATION AND FINDINGS.
7.
RECOMMENDATIONS
8.
CONCLUSION
9.
BIBLIOGRAPHY
10.
ANNEXURE
EXECUTIVE SUMMARY
A supply chain of Nectar Beverage Pvt. Ltd. is dynamic and involves the constant flow of
information, products and funds between different stages. The term supply chain conjures
up images of product or supply moving from suppliers to manufacturers to distributers to
retailers to customers along a chain.
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The competitive strategy of Pepsi Co. (Nectar Beverages Pvt. Ltd.) is that it has its
presence all over the world i.e. to make their products available throughout the country by
having their plants in different parts of world.
The supply chain strategy is that it has many plants across India in different states and to
cater the market in entire North Karnataka it has its plant Nectar Beverage Pvt. Ltd.
Dharwad. By its competitive and supply chain strategy the company is able to meet its
demand on time by having different plants. The efficiency of supply chain is achieved
through outsourcing most of its processes, cost and risk involved in performing the same
in-house is eliminated.
The company uses push strategy in marketing the products as it manufactures the
products and market them through distributors to retailers and then to final customers. It
is not based on the customer order. Company gives extra incentives to the distributors
with high sales.
The Company faces a lot of problem particularly a breakage of bottles and thus the
spillover happens. The company being engaged into food and beverages business as to
maintain its quality to the best standards therefore it is recommended to the company to
change the material of bottle manufacturing and at the same time bring them attractive
shapes of bottles to increase the visibility. In case of movement of the goods there are
chances of breaking up of bottles hence the company needs to maintain a proper packing
system so that the goods are reached safe.
The Company is engaged into business of beverages whose demand is fluctuating
throughout the year, hence the company needs to analysis the movement of the goods
based on season and keep a track on production planning and product sales as a their
demand is fluctuating
All the supply chain drivers are studied in brief w.r.t Nectar Beverage Pvt. Ltd. Dharwad.
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INDUSTRY OVERVIEW
India is the 7th largest country in the world with a population of 1000 million people and
an area of 3.29million sq.kms. Out of its about 1000 million people, approximately 250
million people are affluent middle and upper middle class sections of society with a good
purchasing power. According to the World Bank statistics released recently in
Washington, India is the worlds fifth largest economy in terms of purchasing power
parity (PPP) next to only U.S., China, Japan and Germany.
India is the country that offers the greatest potential, even more so than China. Right now,
India accounts for approximately 10% of global beverage consumption. That makes
beverage consumption in India the third largest in the world, after the United States and
China. And when it comes to carbonated soft drinks, the market has not even been
properly tapped. The situation is similar in the case of bottled and packaged juices and
water and PET packaging. Given its size, the Indian market is still in its infancy. For the
future, beverage manufacturers must invest in plants and equipment "drink technology
India" is the perfect place for them to prepare for and initiate those investments.
The country has broadly two seasons, hot and cold. The hot season can befurther divided
into two parts, summer (AprilMay) and rainy (JuneSeptember). The cold season
consists of autumn (October November and winter (December March). The
consumption of soft drinks is generally high in the hot season, although there is also
steady consumption in the cold season particularly at the time of marriages and parties.
Soft drinks are not listed as high priority items in Indias new industrial policy of 1991
and multinational companies can enter India with an equity of 51% or even up to 100%
with the special permission of the Foreign Investment Promotion Board (FIPB). Two
multinational namely, Coca Cola holding of Atlanta USA (Coke) and PepsiCo (Pepsi)
also of USA entered the country with special permission from the FIPB.
PepsiCo took over a hundred year company of Bombay called Duke and Sons Pvt. Ltd.
which had popular Soda, Lemonade and Mango Brands with a 25% share of the market in
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BEVERAGES PVT LTD.
western India. PepsiCo also acquired a majority share of 91,4% in Punjab Agro Industries
Ltd by share holdings of Voltas Ltd of the Tata group.
In December 1998 Coca Cola took over the largely non-cola multinational Cadbury
Schweppes soft drink brand in India because he invented the beverage known around the
world as Pepsi Cola.
The summer of 1898, as usual, was hot and humid in New Bern, NorthCarolina. So a
young pharmacist named Caleb Bradham began experimenting withcombinations of
spices, juices and syrups trying to create a refreshing new drink toserve his customers. He
succeeded beyond all expectations.
MEANING OF SOFT DRINK

A soft drink (widely referred to as soda, pop, or soda pop) is a drinkthat typically
contains no alcohol, though may contain trace amounts(typically lessthan 0.5% by
volume) and is usually referred to as a sugary drink. Soft drinks are often carbonated and
commonly consumed while cold and or room temperature. Some of the most common
soft drinks include cola, flavored water, sparkling water, iced tea, sweet tea, sparkling
lemonade (or other lemon-lime soft drinks), squash, fruit punch, root beer, orange soda,
grape soda, cream soda, and ginger ale.
The term "soft" is employed in opposition to "hard", i.e. drinks withhigh alcoholic content
by volume. Generally it is also implied that the drink does not contain milk or other dairy
products. Hot chocolate, hot tea, coffee, tap water, juice and milkshakes also do not fall
into this classification. Many carbonated soft drinks are optionally available in versions
sweetened with sugars or with non-caloric sweeteners, such as diet soda.
Soft drinks are non-alcoholic beverages, which quench thirst and with different tastes.
Soft drinks can be divided into
1. Carbonated: Carbonated drinks are those, which contain Carbon Di-Oxide.
Examples: Cola, Miranda (Lemon & Oranges).
2. Non-Carbonated: Non Carbonated drinks are those, which dont contain Carbon DiOxide.
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BEVERAGES PVT LTD.
Example: Mango drinks
The world beverage market is expected to see growth slow to a rate of less than 2% a year
between 2010 and 2015 to surpass $1,900 billion by the end of 5 years period, according
to the market research from MarketLine. Over the last 4 years period, the global beverage
industry experienced consumption volumes expand at over 2% annually to surpass 245
billion kilograms by 2010.
The main beverage products across the global include: bottled water, juice, sparkling and
still drinks, syrups, nectars, ready-to-drink and regular teas and coffees, dairy drinks,
energy drinks, sports drinks, fruit powders, and alcoholic drinks such as beer, wine, cider
and spirits.
As global food and beverage industry accelerates its production speed and increase
output, which also lowers costs; the beverage industry continues to become increasingly
streamlined and efficient over the recent years, and thus to boost its expansion.
GLOBAL BEVERAGE MARKET (HIGHLIGHTS BY SEGMENT):
As reported by MarketLine, the global beer market, including flavoured alcoholic drinks
and cider, gained sales worth over $585 billion in 2010, while the consumption of beer
exceeded 196 billion liters in 2010.Market growth is expected to remain steady at an an
annual rate of about 1.5% till 2015, when the market value is to reach $630 billion.
The global spirits market expanded more than 3% in 2010 to reach around $263 billion.
It is expected the market will exceed $306 billion by 2015, which will be a 17% increase
in 5 years. In 2010, the spirits market grew 2% to exceed 19 billion liters, and it is
expected to top over 21 billion liters by 2015, an 11% increase over the 5 year period.
Whiskey is now the leading segment of the spirits market, accounting over 27% of the
overall market. The EU currently represents about half of the global spirits sales, on
which Diageo is the leading company in the market with over 5% market share.
The global fruit and vegetable juice market is set to reach almost 65 billion liters by
2015, reported by Global Industry Analysts.
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BEVERAGES PVT LTD.
In the short period of time, the market is believed to recover from the global financial
crisis, attributed to particularly dynamic segments such fortified juices and natural juices.
These healthy beverages, along with regular fruit and vegetable juices, are increasingly
popular the health-conscious demand is getting higher among consumers.
Natural beverages, made without preservatives or additives, are leading the market of
fruit and vegetable juice. More and more manufacturers are adapting to this demands by
using organic ingredients and fortifying their products with ingredients including natural
fibres, probiotics, sterols, vitamins and minerals. Diet drinks is another dynamic market
segment meeting the demand created by consumers concerned by health issues such as
diabetes and obesity. Some leading players on the market include Del Monte Foods,
Cadbury, Ocean Spray and Tropicana.
The world soft drinks market was worth almost $504 billion in 2010, and market
expansion is expected to exceed 3% a year by 2015 to almost $586 billion. Carbonates are
in leading position in this market segment, with sales over $204 billion in 2010, which
represents over 40% of the overall market.
Major market share by region
US coffee sales reached almost $38 billion in 2011, up by 10% from 2010. The market is
boosted by popularity of global coffee chains such as Starbucks and single cup coffee
brewers. Major market players apart from Starbucks include Kraft Foods, Green
Mountain Coffee Roasters, Dunkin Donuts.
It seems the US tea market has fared the global recession well as the market growth in
2011 has been strong, with double digital growth from refrigerated tea in particular. The
tea market is driven by the adoption of tea by fast food chains, and specialty retailers.
Currently, European Union is the biggest market for the global fruit and vegetable juice
products, followed by the US, reported by Global Industry Analysts. Asia-Pacific is going
to show the most rapid growth, expanding at more than 4.5% a year through 2015.
In the prospective view, Growth across all sectors of the beverage industry will partly
depend on the demand of from consumer health concerns as the new industry trend.
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Companies will put more attention on diversifing their product portfolios to offer diet,
organic and fortified drinks for the health-concerned consumers. A shift in the consumer
demographics profile will continue to see growing demand in developing countries such
as India, Russia and China.
The Global Food and Beverages (F&B) sector, which comprises farming, food
production, distribution, retail and catering, has surpassed the value of $5.7 trillion USD
since 2009. The industry is one of the major contributors to growth of all economies and
has historically witnessed consistent growth, and the industry is expected to increase at a
CAGR of 3.5 percent to $7 trillion by 2014.
The Food and Beverage Industry has always had one of the biggest industry portals on
BusinessVibes as there are over 3 thousand member companies from all over the world
involving in food and beverageproduction, trading, distribution etc sectors, as well as
hundreds of event organisers presenting all kinds of exhibitions and tradeshows in
food and beverage industry.
According to the Food and Beverage Industry Global Report conducted by IMAP, here
are some highlighted facts and figures about this industry in recent years:
The global F&B industry was valued at $5.7 trillion USD in 2008 and is expected to
increase to more than $7 trillion USD by 2014, witnessing a CAGR of 3.5 percent.
The global food products industry, which consists of agricultural products and
packaged foods, generated revenues of $3.2 trillion USD in 2008. This is expected to
increase at a CAGR of 4.6 percent to $4 trillion USD by 2013
The global beverage industry, which consists of soft drinks, beers, ciders, spirits and
wines, was valued at $1.4 trillion USD in 2008 and is expected to rise at a CAGR of
2.6 percent to $1.6 trillion USD by 2013
Europe accounts for the largest share in the global F&B industry, generating revenues
of $1.4 trillion USD in 2007 and employing 4 million workers; the US held $1 trillion
USD of this market in the same year.
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Asia-Pacific is emerging as a major contributor of raw materials to the F&B industry.
Food purchases are shifting from staple foods rich in carbohydrates to more expensive
foods such as meat and dairy products. Indias F&B market was $182 billion USD in
2007-08 while the food processing sector was $72 billion USD in 2008. Chinas food
processing sector increased from $44 billion USD in 2007 to $50 billion USD in 2008
China, Russia and India have increased their production capacities. China increased its
wheat production capacity by 26 percent in 2003-07, while Russia raised its capacity
by 45 percent. Over the same period, wheat production in the US decreased by 12.5
percent.
At present, approximately 58 percent of produced food is consumed by developing
countries (majority of the increase in global population from 6.6 billion in 2008 to 9
billion in 2050 is expected to come from developing countries). This is expected to
climb to 72 percent by 2050 supported by the fact that 37 percent of the worlds
population currently lives in China and India.
The Food Retail industry earned revenues of $3.9 trillion USD in 2008 at a CAGR of 6
percent in 2004-08 and is expected to increase at a CAGR of 4.8 percent between
2008 and 2013 to reach $5 trillion USD in value.
Packaged food forms the majority of total food consumed, with developed countries
such as the US, Japan and EU, accounting for more than half of global sales of
packaged products. However, raw products, which need to be processed before
becoming edible, account for a large proportion of retail sales in developing countries.
Nevertheless, with rising income levels, consumption in developing countries is also
shifting towards packaged food products
Low cost countries are also becoming a sourcing hub for global retailers. For example,
Wal-Mart and Carrefour are now sourcing processed foods from emerging economies
such as India
India is the world's second largest producer of food next to China and has the potential of
being the biggest, backed by its food and agricultural sector. The total food production in
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India is likely to double in the next 10 years with the countrys domestic food market
estimated to reach US$ 258 billion by 2015.
With a huge agriculture sector, abundant livestock, and cost competitiveness, India is fast
emerging as a sourcing hub for processed food. The Indian food processing industry
accounts for 32 per cent of the countrys total food market.
The food industry in India has been attracting a lot of attention from foreign investors as
the country is close to the markets of Middle East, Africa and South East Asia. The
Ministry of Food Processing Industries (MOFPI) is making all efforts to encourage
investments in the sector, incentives for cold chain development and also grant-in-aid for
setting up laboratories that are equipped for testing food products.
Key Players
Coca-Cola plans to foray into India's dairy segment in the coming season with its
milk-based drink 'Maaza Milky Delite'. The beverage made from milk and mango
pulp will now be rolled across the country in 200 ml tetra packs.
Everest Spices plans to set up spices processing units in the East African country
Zanzibar at an investment of about Rs 100 crore (US$ 16.73 million), said
MrSanjeev Shah, Executive Director, Everest Spices. The firm has entered into a
memorandum of understanding (MoU) with the Government of Zanzibar for the
same.
Cadbury brand owner Mondelez International is investing heavily in sales and

route-to-market expansion in India. The company has increased sales
infrastructure with one lakh Visicoolers in the market and it took big strides by
expanding into rural India and reaching seven states in 2013.
Capri-Sun AG has entered into a franchise agreement with SDU Beverages, an

Indian beverages firm that currently produces packaged water and soda under the
Kingfisher brand and RC Cola.
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Hardcastle Restaurants, master franchise for west and south India operations of
McDonald's Restaurants, plans to bring its coffee retail format McCafe to India.
More than 150 McCafes are expected to be set up in the next five years.
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BEVERAGES PVT LTD.
Beverages
The Indian non-alcoholic beverages market is currently growing at 15 per cent

year-on-year (Y-O-Y). As more people are trading up to packaged drinks,
consumption of non-alcoholic beverages in India is expected to increase by 16.5
19 per cent over the next three years, according to a report by the Indian Council
for Research on International Economic Relations (ICRIER) and the Indian
Beverage Association (IBA).
Within the beverages market, packaged juice has charted a high growth trajectory.
As of March 2013, the Indian packaged juices market is valued at Rs 1100 crore
(US$ 183.89 million) and is projected to grow at a compound annual growth rate
(CAGR) of 15 per cent over the next three years. Dabur India Ltd is the
established leader with a market share of 54 per cent with its brands Real and Real
Active. PepsiCo India is the second largest player with a 2530 per cent share
through its Tropicana juice brand.
Milk and tea could also witness rapid growth, as foreign firms have started
looking at India as a huge dairy market. It has been projected that Indias
packaged milk segment would grow from US$ 7.76 billion to US$ 32.9 billion
and register an annual growth of eight per cent by 2030. The top ten companies in
India account for 65 per cent of the hot beverage market.
Government Initiatives
The Government of India has allowed FDI up to 100 per cent in food processing
sector through automatic route. For promotion and development of the food
processing sector, it has allocated a sum of Rs 5,990 crore (US$ 1 billion) under
various schemes of the food processing industries ministry during the 12th Five
Year Plan.
The MOFPI and Invest India have entered into an agreement for the setting up of
an Investors Help Desk for offering online support to investors, both domestic
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and international, with regard to their queries, and guide them particularly at the
initial stage of setting up their units.
The Ministry has launched a Centrally Sponsored Scheme namely, National

Mission on Food Processing (NMFP) during the 12th Plan. A sum of Rs 204.85
crore (US$ 34.23 million) has been released to States/ Union Territories (UT)
under the scheme during FY 13 and FY 14 (up to January 31).
The Ministry is implementing a scheme for Human Resource Development

(HRD) in the food processing sector on developing technologists, managers,
entrepreneurs and manpower for quality management in the sector. The annual
manpower requirement in the industry is estimated at about 5.3 lakhs persons.
With the objective of providing incentive to create integrated cold chain and
preservation infrastructure facilities in the country, the Ministry is implementing
the Scheme of Integrated Cold Chain, Value Addition and Preservation
Infrastructure.
Road Ahead
The revival of the agriculture sector is expected to open up a plethora of

opportunities for players having strong linkages in the agri value chain. The food
processing industry is expected to be one of the biggest beneficiaries of this
process. Significant investment opportunities are yet to be tapped in the areas of
supply chain management (SCM), cold storages, financing, retailing and exports.
The MOFPI has formulated a Vision 2015 Action Plan that includes trebling the
size of the food processing industry, raising the level of processing of perishables
from 6 per cent to 20 per cent, increasing value addition from 20 per cent to 35 per
cent, and enhancing India's share in global food trade from 1.5 per cent to 3 per
cent.
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COMPANY PROFILE
About the Pepsi-Cola Company
The summer of 1898, as usual, was hot and humid in New Bern, North Carolina. So a
young pharmacist named Caleb Braham began experimenting with combinations of
spices, juices and syrups trying to create a refreshing new drink to serve his customers.
He succeeded beyond all expectations because he invented the beverage known around
the world as Pepsi Cola.
Figure no.2.1 (Caleb Braham)
Caleb Braham knew that to keep people returning to his pharmacy, he would have to turn it into a
gathering place. He did so by concocting his own special beverage, soft drink. His creation, a
unique mixture of cola nut extract, vanilla and rare oils, became so popular his customers named
it "Brad's Drink." Caleb decided to rename it "Pepsi-Cola," and advertised his new soft drink.
In 1902, he launched the Company in the back room of his pharmacy, and applied to the U.S.
patent office for a trademark. At first, he mixed the syrup himself and sold it exclusively through
soda fountains. But soon Caleb recognized that a greater opportunity existed to bottle Pepsi so
that people could drink it anywhere.
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The business began to grow and on June 16, 1903, "Pepsi-Cola" was officially registered with the
U.S. patent Office. That year, Caleb sold 7,968 gallons of syrup, using the theme line
"Exhilarating, Invigorating, Aids Digestion." He also began awarding franchises to bottle Pepsi to
independent investors, whose number grew from just two in 1905, in the cities of Charlotte and
Durham, North Carolina, to 15 the following year, and 40 by 1907. By the end of 1910, there
were Pepsi-Cola franchises in 24 states.
Figure no.2.2:First franchise of Pepsi Cola
Pepsi-Cola's first bottling line resulted from some less-than-sophisticated engineering in the back
room of Caleb's pharmacy.
Building a strong franchise system was one of Caleb's greatest achievements. Local Pepsi-Cola
bottlers, entrepreneurial in spirit and dedicated to the product's success, provided a sturdy
foundation. They were the corner stone of the Pepsi-Cola enterprise Growth was phenomenal, and
in 1909 Caleb erected a headquarters sospectacular that the town of new berm pictured it on a
postcard.
The previous year, Pepsi had been one of the first companies in the United States to switch from
horse-drawn transport to motor vehicles and Caleb's business expertise captured widespread
attention. He was even mentioned as a possible candidate for Governor. A 1913 editorial in the
Greensboro Patriot praised him for his "keen and energetic business sense."
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Fig no. 2.3 Pepsi logo

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Pepsi-Cola enjoyed 17 unbroken years of success. Caleb now promoted Pepsi sales with
the slogan, "Drink Pepsi-Cola. It will satisfy you." Then after World War I, the cost of
doing business increased drastically. Sugar prices see sawed between record highs and
disastrous lows, and so did the price of producing Pepsi-Cola. Caleb was forced into a
series of business gambles just to survive, until finally, after three exhausting years, his
luck ran out and he was bankrupted.
It wasn't until a successful candy manufacturer, Charles G. Guth, appeared on the scene
that the future of Pepsi-Cola was assured. Guth was president of Loft Incorporated, a
large chain of candy stores and soda fountains along the eastern seaboard. He saw PepsiCola as an opportunity to discontinue an unsatisfactory business relationship with the
Coca-Cola Company, and at the same time to add an attractive drawing card to Loft's
soda fountains. He was right. After five owners and15 unprofitable years, Pepsi-Cola was
once again a thriving national brand.
PepsiCo Inc. is best known for its soft drink Pepsi and Mountain dew and yet, over the
years it has also created logo items, such as T-shirts, hats and duffel bags with the Pepsi
globe design. These are part of its marketing strategy to promote the drinks in the minds
of the people making the drink a part of the life of their life. But that sort of marketing has
its limitations. These items can be taken to the beach but they are not a 'brand'. In today's
lifestyle a brand name is what is needed to succeed. It is the brand name that Grabs the
attention of the consumer and retains their loyalty as price, quality etc. become associated
with the name accordingly. So the logo accessories that were promoted by Pepsi may
have been used but they did not create an awareness of Pepsi in any market other than that
of soft drinks.The Indian Carbonated Beverage Industry is a very dynamic industry. The
soft drinks are the life style brads and are closely related with the consumers. The passion
for cricket in the country makes it a unique market. The Indian Carbonated Beverage
Industry is worth Rs.1000crore, which is equal to 270millon cases i.e. 6480millon bottled.
The current growth rate of industry is 8%. Among the total Cola product 62% is of soft
drinks and 36% is an orange, cloudy lime, clear lime and mango juices.
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The Group's principal activities are to manufacture market and sell salty, sweet and grainbased snacks, carbonated and non-carbonated beverages and foods. The Group operates in
four divisions: Frito-Lay North America manufactures markets and sells branded snacks,
which includes Lay's potato chips, Doritos flavored tortilla chips and Cheetos cheese
flavored snacks. PepsiCo Beverages North America manufactures beverage concentrates,
fountain syrups and finished goods for Pepsi, Diet Pepsi, Pepsi One, Mountain Dew, Mug
etc. PepsiCo International manufactures a variety of salty and sweet snack brands
including Sabritas, Gamesa and Alegro.Quaker Foods North America manufactures,
markets and sells cereals, rice, pasta and other branded products, which includes Quaker
oatmeal, Cap'n Crunch and Life ready-to-eat cereals, Rice-A-Roni, etc. On 28-Feb-2005,
the Group acquired Snack Ventures Europe, on 02-Jan-2006, Star Foods and on 12-Jan2006, Stacy's Pita Chip Company.
Pepsi Cola Pepsi Cola beverage business was founded at turn of the century by Caleb
Bradham a New Bern N.C druggist who formulated Pepsi Cola. Pepsi Cola Company
now produces and markets nearly 200 refreshment beverages to retail, restaurants and
food service customers in more then 190 countries and territories around the world and
generates revenue of over 18 billion dollars. Although Pepsi holdings over the years have
become diverse in such fields as the snack industry and restaurants industry this portfolio
will discuss its core business and its highly successful business of beverages. The soft
drink industry customer base is probably the widest and deepest base in a world that is
flooded with some many categories. According to Beverage Digest the customer base for
soft drinks is a whopping 95% of regular users in the United States.
This represents a large field of potential customers for Pepsi Cola. Yet although Pepsi
could just use the majority fallacy to market their product, Pepsi prefers to segment itself
as the beverage choice of the New Generation, Generation Next, or just as the Pepsi
Generation.
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These terms adopted in Pepsis advertising campaigns are referring to the markets that
marketers refer to as Generation X. The Generation X consumer is profiled to be between
the ages of 18 to 29. They have high expectations in life andare very mobile and active.
They adopt a lifestyle of living for today and not worryingabout long term goals. Those
Pepsis main emphasis on this segment they also have afocus on the 12 to 18 year old
market. Pepsi believes if they can get this market to adopt their product then they could
establish a loyal customer for life. Pepsi Cola is situated in an industry that is dominated
by two competitors, Coca-Cola and of course themselves. Although Pepsi and Coke
basically go after all consumers who purchasesoft drink beverages Coca-Cola targets its
products at the head of household. This isevident in many of the advertisements.
SHARE HOLDERS
PepsiCo shares are traded principally on the New York Stock Exchange in the United States. The
company is also listed on the Amsterdam, Chicago, Swiss and Tokyo stock exchanges. PepsiCo
has consistently paid cash dividends since the corporation was founded.
CORPORATE CITIZENSHIP
At PepsiCo, we believe that as a corporate citizen, we have a responsibility to contribute
to the quality of life in our communities. This philosophy is expressed in our
sustainability vision which states: PepsiCos responsibility is to continually improve all
aspects of the world in which we operate environment, social, economic creating a
better tomorrow than today. Our vision is put into action through programs and a focus
on environmental stewardship, activities to benefit society and a commitment to build
shareholder value by making PepsiCo a truly sustainable company.
PepsiCos beverage business was founded 1898 by Caleb Bradham, a New Bern, North
Carolina druggist, who first formulated Pepsi-Cola. Today Brand Pepsi is part of a
portfolio of beverage brands that includes carbonated soft drinks, juices and juice drinks,
ready-to-drink teas and coffee drinks, isotonic sports drinks, bottled water and enhanced
waters. PBNA has well known brand such as Mountain Dew, Diet Pepsi, Gatorade,
Tropicana Pure Premium, Aquafina water, Sierra Mist, Mug, Tropicana juice drinks,
Slice, Dole, Tropicana Twister and Tropicana Seasons Best.
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BEVERAGES PVT LTD.
Anthony Rossi as a Florida fruit packaging business founded Tropicana in 1947. In 1954
Rossi pioneered a pasteurization process for orange juice. For the first time, consumers
could enjoy the fresh taste of pure not-from-concentrate 100% Florida orange juice in a
ready-to-serve package. The juice, Tropicana Pure Premium, became the companys
flagship product. PepsiCo acquired Tropicana, including the Dole juice business.
Gatorade thirst quencher sport drink was acquired by The Quaker Oats Company in 1983
and became a part of PepsiCo with the merger in 2001. Gatorade is the first isotonic
sports drink. Created in 1965 by researchers at the University of Florida for the school's
football team, "The Gators," Gatorade is now the world's leading sports drink. PepsiCo
Beverages North America includes the United States and Canada.
PEPSICO INTERNATIONAL
Pepsi-Cola began selling its products outside the United States and Canada in the mid1930s, opening in the United Kingdom in 1936. Operations grew rapidly beginning in the
1950s. Today, PepsiCo beverages are available in more than 170 countries and territories.
Brands include Aquafina, Gatorade and Tropicana. In addition to brands marketed in the
United States, PepsiCo International brands include Mirinda, Seven-Up and many local
brands. PepsiCo began its international snack food operations in 1966. Today, products
are available in nearly 200 countries. Often PepsiCo snack food products are known by
local names. These names include Gamesa and Sabritas in Mexico, Walkers in the United
Kingdom, Smiths in Australia, Matutano in Spain, Elma Chips in Brazil, and others. The
company markets Frito-Lay brands on a global level, and introduces unique products for
local tastes.
Pepsi in India
After Coco-cola was asked to leave India, Pepsi began to lay plans to enter this huge
market. Pepsi worked with an Indian business group to seek government approved for its
entry over the objections of both domestic soft drinks companies and anti-multinational
legislators. Pepsi saw the solution to lie in making an offer that the Indian Government
would find hard to refuse. Pepsi offered to help India export some of its agricultural
products in volume that would more than cover the cost of importing softdrink
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BEVERAGES PVT LTD.
concentrate. Pepsi also promised to focus considerable selling efforts on rural areas to
help in their economic development. Pepsi further offered to transfer food processing,
packaging and water - treatment technology to India.
Pepsi Foods Limited (India) Started its operations in 1989 and has three business division
namely Beverages, Exports and foods. It has set up a fully integrated operation in India Manufacturing, R&D, Marketing, Distribution, and franchising - covering vegetable
processing exports, snack foods, beverage & restaurants. In the beverage line it has set up
a holding company to further accelerate growth in future through new initiatives, joint
ventures and acquisitions. Pepsi has also taken the capital intensive route to owning and
running its own bottling factories alongside of its franchises.
Pepsi entered India and became a major company. Today Pepsi in India is a Major Player
in soft drinks industry and it is known for its marketing efforts.
COMPETITORS PROFILE
COCA COLA
Overview:
The Coca-Cola Company is the worlds largest beverage company, generating $22.0 billion in net
operating revenues in 2004. The Coca-Cola Company markets four of the worlds top-five softdrink brandsCoca-Cola, diet Coke, Sprite and Fanta. Our beverage offerings encompass nearly
400 brands, including coffees and teas, juices and juice drinks, sports drinks and waters, as well as
carbonated soft drinks.
With operations in more than 200 countries, we have a diverse workforce of approximately
50,000 individuals. Together with our subsidiaries and bottling partners, we strive to be an
integral and contributing member of each of the communities where we operate.
Competition faced by Pepsi:
When speaking about the corporate sector, the main competition is from the coca cola. It is not
only in India but throughout the world both the companies are to increase their market share.
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BEVERAGES PVT LTD.
From the recent survey conducted by the advertising and marketing journal, it is stated that coco
cola is performing better than Pepsi.
The major competitor is Coca-Cola along with local/unorganized sector.
Figure No: 2.4: Pepsi and Coca-Cola as rivals in this image
Pepsi and Coca cola are the major companies in the soft drink industry throughout the world. The
total worth is Rs.4200 crore rupees of BSD industry is perfect duopoly with the two usual global
giants.
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BEVERAGES PVT LTD.
NECTAR BEVERAGES PVT LTD DHARWAD
Figure No 2.5: Nectar Beverages in Dharwad
A .Background and Inception of the company:

Necessity is the mother of invention. Late ShriModhubabTimblo, Prominent industrialist
and business entrepreneur of Goa, found that the soft drinks in northern part of Karnataka
are being supplied from outside the State. Hence he found the need of producing soft
drinks for people of Karnataka from the land of Karnataka and from the water of
Karnataka itself. Accordingly the dream of modern manufacturing plant came into reality
in 1984 and Nectar Beverages Pvt. Ltd., a beverages plant was commissioned on the out
skirts of Dharwad, on the N.H. NO.4.
Nectar Beverages, belongs to big house of Goa, under the banner of Formento Group. The
group deals in Hotel, Soft drinks, and 100% E.O.Us of Mining in Goa, Karnataka and
Andhra. All the employees work as partners in progress and growth of the company.
Nectar Beverages is headed by Mr. PrashantTimblo, the ideal son of the illustrious father
late Mr.Modhubab.Nectar Beverages has carved a special niche in the map of soft drinks
in the country, thus enjoys the highest reputation in the soft drinks market for quality
products of international brand such as Pepsi, 7 Up, Mirinda (Orange), Mirinda (Lemon),
Everest Soda, and Slice etc. Utmost care is being taken from the beginning of collection
of the raw water till it turns into a sophisticated flavor drink.
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BEVERAGES PVT LTD.
Figure No 2.6: Marketing department of Pepsi Company at Dharwad
Mahakoshal is a Sales and Marketing department of Pepsi Company, at Dharwad Bottling

unit. It was started in the year 1996. Mahakoshal is located in 10 acres of land. The
department consists of 25 employees covering 13 districts and 70 stockists. The districts
namely Chittradurga, Shimoga, Hassan, Haveri, Davengere, Hospet, Gadag are the target
markets of N.B.P.L.
The other departments like Production and Administration line consists of 50 permanent
workers, 100 seasonal workers and 30 Staff Executives. The organization provides
festival offers to the employees. Every year the organization provides two sets of
uniforms including shoes and caps to the workers. The organization financially takes care
of its employees by providing them various loans like Housing loan, festival loan etc. The
wages are being paid to the workers on Monthly basis irrespective of them being
permanent or seasonal. The annual turnover of Mahakoshal is 12 - 15 crores.
The organization has fully fledged transport facility assisted with 100 small and big
vehicles employed on contract basis. There are two Distributors each in Hubli who takes
care of distributing the products to respective retailers with the help of Customer
Executives.
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BEVERAGES PVT LTD.
Nature of the business carried:
Nectar Beverages Private Limited (NBPL) is bottling process of PEPSICOproducts.
Refilling the collected empty bottles from 13 districts of north Karnataka and also the pets
(the plastic bottles) are prepared in the plant itself and beverage is filled in different
quantities like-600ml, 1liter & 2liter.
The plant is operating with two types of business viz.
1. Two way business (Re-cycle)
2. One way business (pets and tetra pack)
NBPL is the target based company i.e. AOP (Annual operation planning) in
Mumbai or Delhi in the month of November or December Minimum 40 lk cases of all all
types of soft drinks on priority bases will be assigned to each plant.
Chart No 1 Showing the Period of business
1 Jan
2 Feb
20% (Mini season)
3 Mar
4 April
5 May
60% (Peak season)
6 Jun
7 July
8 Aug
5% (Weak season)
9 Sept
10 Oct
11 Nov
15 %( Transit season)
12 Dec
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BEVERAGES PVT LTD.
Vision, Mission & Quality Policy:
Vision:
1 - Create commonality of interests.
2 - Reduce daily monotony.
3 - Provides opportunities & challenges
Mission:
Company is Committed to produce and deliver top quality product to our consumer.
Every incoming raw material is checked for quality by the Quality Assurance
Department.
They use only high-grade sugar.
Apart from this, on line and final product checks are carried out at regular
intervals.
They purchase raw materials only from approved sources, approved by

independent laboratories of international repute.
The entire ranges of equipments are made out of superior grade Stainless steel
Material.
Special attention is given to,
Personnel Hygiene and Sanitation
House keeping
Good manufacturing process
Special attention is also given to keep the Factory Surroundings Clean and Green
by growing Lawn.
Quality Policy:
Make, sell and deliver the beverage to the consumer as it was designed, in order
to derive preference. Nectar Beverages follows one quality standard across the globe.
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BEVERAGES PVT LTD.
Nectar Beverages soft drinks meet the local Indian standards (Health Ministry Standards
for carbonated beverages notified July 15, 2004) which compare to the best in- class and
most stringent international standards being followed anywhere in the world.
The products comply with the Prevention of Food Adulteration Act (PFA) directive on
the use of water in the preparation of soft drinks. The company also complies with Bureau
of Indian Standards (BIS) for packaged drinking water. It uses a six-stage water
purification process to deliver this standard consistently.
Nectar Beverages has a long-standing commitment to protecting the consumers whose
trust and confidence in its products is the bedrock of its success. In order to ensure that
consumers stay informed about the global quality of all Nectar Beverages products sold in
India, Nectar Beverages products carry a quality assurance seal on them. The One
Quality Worldwide assurance seal appears on the entire range of Nectar Beverages
beverages.
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BEVERAGES PVT LTD.
PRODUCTS PROFILE:
Main Brands of the company:
Pepsi
Glass bottle
200ml
Glass bottle
300ml
Tin
250ml
PET bottle
600ml
PET Bottle
2 litres
MIRINDA LEMON
DVHIMSR, Dharwad
Glass bottle
200ml
Glass bottle
300ml
Tin
250ml
PET bottle
600ml
PET Bottle
2 litres
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BEVERAGES PVT LTD.
MOUNTAIN DEW
Glass bottle
200ml
Glass bottle
300ml
Tin
250ml
PET bottle
600ml
PET Bottle
2 litres
SLice
DVHIMSR, Dharwad
Glass bottle
200ml
Glass bottle
250ml
PET bottle
500ml
PET Bottle
1.2litres
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BEVERAGES PVT LTD.
7UP
Glass bottle
200ml
Glass bottle
300ml
TIN
250ml
PET bottle
600ml
PET Bottle
2litres
MIRINDA
Glass bottle
200ml
Glass bottle
300ml
TIN
250ml
PET bottle
600ml
PET Bottle
2litres
AQUAFINA
DVHIMSR, Dharwad
PET bottle
500 ml
PET bottle
1 Litres
PET Bottle
2Litres
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BEVERAGES PVT LTD.
VARIOUS PRODUCTS OF NBPL:
1. Pepsi: It is a carbonated drink with the ingredients such as phosphoric acid, fructose
corn syrup, carbohydrates, caffeine, sugar and color.
2. Mirinda (Orange): It is a fruit drink with the ingredients like sugar, orange flavor and
color. It is orange flavored and is mostly preferred in the summer season. The
promotion of this product is done by highlighting the orange fruit.
3. Mirinda (Lemon): It is a fruit drink with the ingredients like sugar, lemon flavor,
citric acid, sodium bicarbonate.
4. Slice: It is a noncarbonated fruit drink with the ingredients like mango pulps, coloring
agents, sugar etc and it is the well known brand among the Pepsi products with the
unique taste and has been most successful in attracting the customers.
5. Lehar Soda: It is a carbonated drink with the ingredients such as phosphoric acid,
caffeine, phosphoric acid etc and this is the soda product and is most preferred in bars.
6. 7-Up: It is a carbonated drink with the ingredients such as carbonic acid, citric acid,
sugar etc.
7. Mountain Dew: It is carbonated drink this is basically promoted for the youngsters.
8. Aquafina: They will buy from outside for sale.
9. Nimbooz by 7up:It is a noncarbonated fruit drink with the ingredients like lemon sugar
etc and it is the well known brand among the Pepsi products with the unique taste and
has been most successful in attracting the customers. The pets brought from main
production plant.
AREAS OF OPERATION:North Karnataka bottling, distribution & marketing is done
by Mahakoshal NBPL. NBPL has its registered office in Dharwad and they are operating
in most part of the North Karnataka Districts. They are supplying these products to 13
districts which are listed below.
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BEVERAGES PVT LTD.
THE NBPL IS OPERATING REGIONALLY IN 13 DISTRICT VIZ
1. Dharwad
2. Gadag
3. Haveri
4. Davanagere
5. Belgaum
6. Bagalkot
7. Hassan
8. Shimoga
9. Chikkamagalur
10. Bijapur
11. Bellary
12. Chitradurga
13. Karwar
Ownership Pattern:
Company is registered under companies Act of 1956 in the registrar office of
Karnataka, Bangalore. Company was incorporated on 28th May 1984. It is basically
private limited company. PEPSICO has out sourced bottling and marketing of its products
in North Karnataka to Nectar Beverages Private Limited TheJaipuria groups of Goa own
it.
Infrastructural Facilities:
Nectar Beverages Pvt. Ltd is located in outskirts of Dharwad, near to Agricultural
University. It is having 5.25 acres area, with good transportation facility. Company is
having suitable buildings for Production & Administration. Production building also has
Quality Control Department & Administration building has different Departments like
H.R, Finance, and Sales & Marketing.
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BEVERAGES PVT LTD.
And also which provides sufficient and good facilities for the employers such as big
manufacturing plant and other facilities such as,
Loading and unloading with well equipped or with help of lift trucks.
Rest room for workers.
Canteen facility
Free medical facility and visiting doctor.
Good building
Online requisition or Online orders are accepted.
Water purifying plant and that water is used for garden.
Self power generation as well as from KPTCL.
Sufficient stock facility
System
System refers to the formal process and procedure used to manage the
organization, including the management control systems, performance management
measurement and record systems, performance measurement and reward systems,
planning, budgeting resource allocation systems information system and distribution
systems.
a) Sales forecasting system:
In Nectar Beverages, there are 3-territory developments managers given different
areas, the sales are forecast depending on the previous years sales.
b) Order receiving system:
In order receiving system the customer executives will take a major part they will
go to each distributor in various areas and take the order form the distributor. The
collected orders will be shown to the area sales manager and area sales manager will give
indent to the marketing manager of Dharwad, the area sales manager will take care the
crates which will be sent back to the plant for refilling.
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BEVERAGES PVT LTD.
Chart No: 2.1:
c) Order execution system:

When territory development manager receives order for different territory it will
send to the production department. The stock that is there in production department will
be loaded to the truck and order is executed to the distributor of different areas.
d) Logistic system:
There is not so big logistic system in Nectar Beverages. The stock will be just
interchanged between the near district places. The indent given by the distributor will be
delivered within 2-3 days of indent received.
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BEVERAGES PVT LTD.
Chart No.2.2:ChartShowing Production Work Flow Model
Raw materials
Sweetening agent
Syrup Preparation
Co2 &
carbonation
Concentrates
Bottle washing
Filling bottles
Effluent treatment
plant
Bottle line
Quality Assurance
Store
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BEVERAGES PVT LTD.
1. WATER AND WATER TREATMENT
Pure water is tasteless, colourless and odourless. Water as it occurs in nature,
whatever the source, always contains impurities in solution or in suspension. The
determination of these impurities makes water analysis necessary and the control of
these impurities makes water conditioning essential.
The various sources of water can be classified as Rainwater, surface water, ground
water. Irrespective of the source of water, the water has to be tested and treated before
raking into the production.
Testing and Treatment procedure adopted at M/s. Nectar BeveragesPvt.Ltd.,
Dharwad. The source of water at Nectar Beverages Pvt.Ltd. is ground water. The
water is tested on various parameters like, Hardness, Alkalinity,Suspended Impurities
and Microorganisms.
Treatment Procedure:
There are two types of water treatment adopted at Nectar Beverages Pvt.Ltd.
1) Chemical Batch Treatment: This water is used for beverage purpose.
2) Ion Exchange: This water is used for Boiler Feed water, Cooling tower, D.G.Sets,
Condenser, Heat Exchanger & Bottle washer.
Chemical Batch treatment process:

Here, the raw water is collected in storage tanks and dosages for chemical treatment given
according to the characteristics of the raw water. The source of raw water is bore well. At
preset; we are holding three water treatment storage tanks, out of which two tanks are of
3, 00000 liters. Capacity and one is 4, 00000 liters capacity.
Raw water is collected from the bore wells in the storage treatment tanks and analyzed the
characteristics of raw water viz. P-alkalinity, M-alkalinity, temporary hardness and
calcium hardness, afterwards chemical dosages are fixed. After addition of chemicals,
mechanical agitator stirs the water, and 3 hours contact period is given before taking the
water for production.
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BEVERAGES PVT LTD.
Treated water passed through sand filter to remove and floc carry over, then an activated
carbon filter, which removes chlorine, and off tasted/odor causing impurities.
Finally it goes through 5 Micron pore size polishing filters to remove and carbon that may
have been carried out over from the carbon purifier, and then through ultraviolet. Chlorine
concentration is maintained at 6 to 8 PPM level before carbon filter and 2 hours contact
time prior to de-chlorination.
Details of Chemicals used:

1. Lime: Added to remove alkaline compounds from water to an acceptable level and
to reduce temporary hardness.
2. Bleaching powder: Added for chlorination to oxidize microorganism.
3. Ferrous sulphate: Added for coagulation and flocculation i.e., to remove the
suspended solids and also insoluble materials created by chlorination and
alkalinity reduction is removed. The sludge is drained and the treatment tanks
cleaned with water after every treatment and then fresh raw water is taken for
fresh treatment.
2. SWEETENING AGENT AND SYRUP PREPERATION:

Sweetening agents are that subsistence, which when blended with flavor, acid, etc., will
provide satisfactory sweet taste in the finished beverage. They also furnish body, which
helps to carry or transits the flavor. They also give energy or food value to the beverage.
Sugar is the sweetening agent, which is used in our industry. Sugar is color less or white
when pure and derived from sugar cane.
Syrup Preparation:
The preparation of the syrup is certainly one of the most important operations in the
beverage plant, both from the standpoint of sanitation and control of concentration. The
object in syrup making is to prepare satisfactorily bended and finished syrup from which
uniforms beverages of high quality can be produced.
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BEVERAGES PVT LTD.
Normally required quantity of sugar of high quality is added to treated water and heated
to 850C, in a high grade stainless steel double jock vessel.
Filter paper and Hyflosupercel are used as filter aid. The temperature of the clear syrup
thus obtained is brought down to 200C and stored is called Simple syrup. When the
syrup is completely prepared by the addition and blending of all flavoring ingredients it is
called as Ready / Finished / Flavored syrup. The syrup is ready for use in production
process.
3. CO2 AND CARBONATION

The phenomenal of acceptance of carbonated beverage as a form of refreshment is done
in part to a unique taste, Zest, and sparkle imparted to the beverage by Carbon Di-Oxide.
It also adds to the life of the beverage. The CO2 used for Beverage purpose are 99.9%
pure, free from moisture, air, oil, grease and other impurities.
The amount of CO2 dissolved in solution is called as volumes. The number of volumes of
gas in the finished beverages has a definite relationship to the taste of the beverage.
Correct carbonation means a sparkling, stimulating, thirst quenching beverage that
completely refreshes and satisfies the consumer. Since there is definite relationship
between taste and carbonation, it is extremely important to determine and maintain the
carbonation, which has proved most acceptable through experience in consumer section.
The technique adopted at M/s. N.B.P.L. For carbonating the beverage is as under:
The ready syrup, which is prepared and stored in ready syrup tanks, is taken to the
bottling line. It is passed through a machine called Premix where the syrup is
automatically diluted with treated water to the required level. Once it is diluted it is sent
to the carbonator for carbonation. For carbonating the beverage a mechanical device
known as CARBONATOR is used. Co2 gas enters the carbonator through a valve at the
top of the body of the carbonator.
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BEVERAGES PVT LTD.
The dome as well as the body of the carbonator is filled with gas. Syrup is sprayed into
the carbonators from the top, which flows down through the baffle plates provided inside
the carbonator.
4. CONCENTRATES
Flavoring Materials used in making carbonated beverages are primarily are alcoholic
extracts, emulsions, alcoholic solutions or fruit juices. Concentrates or nonalcoholic
beverage bases are supplied by our principal company from Channo (Punjab) having
international standards. On addition of Concentrate to the simple syrup we get respective
finished syrup ready for further process to bottle beverages.
Figure No 2.7: Concentrating Filling
5. BOTTLE WASHING AND BOTTLE INSPECTON

One of the most important aspects of the bottling operation is the cleaning of the reusable
bottle when it returns to the bottling plant. In order to be reused the bottle must be sterile,
of acceptable appearance, rinsed free of any detergent or sterilizing agent, and of good
mechanical strength.
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BEVERAGES PVT LTD.
The object of bottle washing is to product both a clean bottle and sterile one. The fact that
the bottle looks clean does not indicate it is sterile, and on the other hand, a dirty looking
bottle may be a sterile one. The present day bottle washer is designed to both clean and
sterilize bottle before sending them to the filling line.
Bottle Washing Compounds:
Members of the alkali family of chemicals make up the basis of most bottle washing
compounds. Caustic soda is the principle ingredient because it has by far the germicidal
properties.
They also add certain chemicals to caustic solution to improve the detergent action of the
solution. Three factors are crucial in the germicidal efficiency of the washer. These are:
contact time, caustic strength and temperature.
Operations of the Bottle Washer:

1. The first step in the operation precedes the washer. When the cases of empties return to
the bottling plant, they must be sorted and culled to remove especially dirty bottles, or
ones contaminated with paint, tar, etc., or chipped or broken bottles. This operation is
often done by hand.
2. The inspected bottles are feed into the bottle washing machine, automatically. The
bottles are turned upside down to drain any contents and given a pre rinse spray wash
both internally and externally with plain water with certain pressure. This operation is
called pre rinse operation. Then the bottles are moved to pre wash compartment, where
the bottles are spray washed both internally and externally with 1 to 1.5% caustic
solutions at 450C to 550C temperature.
3. Bottles are then, moved into a tank in the bottle washing machine, where the bottles are
soaked with caustic solution of 3 to 3.5% at 750C temperature. To get these best
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BEVERAGES PVT LTD.
results that bottles are to be soaked in this compartment for a minimum of 7 minutes at
the caustic strength & temperature given as above. This operation cleans and sterilizes
the bottle.
4. Then the soaked bottles are moved to a compartment called Hydro, where again the
bottles are given spray wash both internally and externally with 1 to 1.5% caustic wash
at 50 to 550C.
5. Bottles are moved to a compartment called pre-final compartment where again the
bottles are given spray wash with soft water to remove the caustic traces. Here the
temperature is maintained around 40 to 450C.
Finally bottles free from caustic moved to a compartment called final rinse compartment
where the bottles are again, water sprayed both inside and outside with soft water to
deliver clean and sanitary bottles to the conveyor enrooted to filler at ambient
temperature. Before the bottles moved through the conveyor, the bottles are subjected to
methylene blue test to ensure the bottles are free from mold and as also tests are carried
out to determine whether the bottles are free from caustic traces. These tests are done at
random, finally the inspection is been done.
Bottle Inspection:
The clean bottles undergo inspection after they leave the washer and before they
arrive at the filler. Inspection can be done visually by an individual. It is a job
requiring a great deal of concentration and no individual can be efficient for long
stretches at time. Provision should be made for changing inspectors frequently, and
adequate bring diffused light should be provided which illuminates all parts of
thebottle effectively, but does hot glare in the operators eyes.
A receptacle should be provided, convenient to the inspector for non-usable bottles,
and cases should be handy to accumulate unclean bottlers for rewashing. Those
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BEVERAGES PVT LTD.
bottles found acceptable to the empty bottle inspector are sent for filling and
crowning.
6. FILLING AND BOTTLING LINE

Figure No 2.8: Filling and bottling line
The bottles, on a suitable conveyor line arrive at the rotary filler, which is equipped with
filing heads. The beverages filling unit includes a filling tank, whichreceives beverage
from the carbonator. The tank is also connected to the gas chamber of the carbonator.
This connection insures balanced pressure and a proper beverage level in the tank.
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BEVERAGES PVT LTD.
When the proper level of beverage in the bottle is reached, the supply is cut off and the
top gas pressure in the bottle is shifted to the atmosphere. Once the top pressure has been
released, the bottle is removed from the valve and passes to the crowner. The crowning
unit consists of the hopper for holding the crown supply, a crown chute and the crowning
mechanism. The crowned bottle then moves from the crowner on to the out feed
conveyor.
Final Inspection Point:
Then the sealed bottles are moved on a conveyor line and it is subjected to a final
inspection, where the inspector checks for UN crowned bottles over/under filled bottles,
foreign matter (if any), and for any other visual defects. Once the inspector satisfies with
the quality of product and package, he allows moving the bottles, further to the collecting
table, where the bottles are manually collected and put in the crates of 24 bottles and
moved further for warehousing, and awaiting shipment.
7. PLANT SANITATION
The most scrupulous sanitation practices are essential in soft drink plant. The highest
standard of cleanliness for premises, personnel and equipment is obviously necessary due
to the type of operation involved that of manufacturing a food product. Sanitation is
necessary to insure the keeping qualities, proper appearance and full flavor of any soft
drink. When the equipment becomes contaminated, yeast, bacteria or mold
microorganisms begin to appear in the finished beverage. Increased number of these
microorganisms will cause the development of undesirable tastes and odors and ultimate
spoilage of the product. Nothing will kill the demand for a beverage any quicker than offtastes and odors or product spoilage. Hence sanitation, good plant housekeeping and good
manufacturing practice are strictly implemented at N.B.P.L.
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BEVERAGES PVT LTD.
8. QUALITY ASSSURANCE:
Figure No. 2.9: Quality Assurance Department Lab

Perhaps the most important activities in a bottling plant are those concerned with the
maintenance of the standards of purity and uniformity set for the beverages produced.
These activities can be grouped together under the heading of Quality Assurance.
To get the top most quality of finished product, all the ingredients such as water, sugar,
Co2, concentrate are strictly inspected and analyzed by our Quality Assurance
Department. Apart from raw materials, on line sampling, finished products are also tested.
Samples of beverages produced are picked up from the market for testing by independent
laboratories of international repute.
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BEVERAGES PVT LTD.
9. EFFLUENT TREATMENT PLANT
The effluent water charged by N.B.P.L is properly treated and neutralized to maintain a
value of C.O.D., B.O.D., pH and T.D.S in water as per the guidelines prescribed by the
Water Pollution Board of Karnataka. For this N.B.P.L has full fledged effluent treatment
plant.
PRODUCTION DEPARTMENT
Chart No. 2.3:Showing Hierarchy of the Production Department
GM
(PLANT)
SHOPPING
EXECUTIVE
STORE EXECUTIVE
MANAGER
PRODUCTION
QUALITY
CONTROL
EXECUTIVE
PRODUCTION
EXECUTIVE QUALITY
CONTROL
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CHEMIST
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BEVERAGES PVT LTD.
Future growth and prospects
The companys products enjoy 50% of the market share. Since its inception it has grown
too many folds, which is the result of the hard working and dedicated employees and
associates of the company. More importantly is the consumer and customers satisfaction
and confidence in our products. This attributes to the fact that the unit has registered more
the 45% growth consistently.
In order to meet the increasing demand for soft drinks in Karnataka enhanced production
capacity has been installed. To overcome the chronic problem of electricity failure the
company has installed a generator with enhanced power capacity of 320 KVA.
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BEVERAGES PVT LTD.
Mckinseys 7S Framework:
The McKinsey 7S model can be applied to elements of a team or a project as well. The
alignment issues apply, regardless of how you decide to define the scope of the areas you
study. Let's look at each of the elements specifically.
Figure No: 2.10:McKinseys 7S Framework
1. STRUCTURE
Organization structure gives concrete shape to the organization. The structure
specifies division of work activities and shows how different function or activities are
linked. It also indicates the organizations hierarchy and authority structure, and
shows its reporting relationships. It provides the stability and continuity that allow the
organization to survive the comings and goings of individuals and to coordinate its
dealings with the environment.
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An organization structure can be viewed as accomplishing four different distinct
functions:
Dividing work into manageable segments,
Recombining work in a logical and efficient manner(work teams, departments,
etc)
Distributing power (authoritative)to direct or coordinate work.
Establishing channels of commutation and the directive or non directive nature of
information flow. In present case nectar beverage has a typical organization
structure as shown below:
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BEVERAGES PVT LTD.
Chart No. 2.4: Organizational Chart
Director
Plant
Manager
operation
Deputy general
manager(account
and finance
Manager (HRD)
Deputy
Manager
Manager accounts
Assistant manager
(excise tax)
Assistant
manager (acc
&finance
Executive
accounts
Senior
executive (HR
admin)
Executive (HR
admin)
HOS (Head of
sales)
Assistant
manager
Security officer
cum vigilance
officer
Security
Account
Assistants
Deputy
Manager
productions
Production
supervisor
Manager
(Shipping &
logistics)
Executive
(shipping)
Supervisor
Production
executives
Workers
Time office
Clerk
Maintainance
manager
Engineer
Executive
(Maintenance)
Staff, billing
clerks
DVHIMSR, Dharwad
Worker
Unit
manager(sales
and marketing)
TDM,MDM
MEM(territory
development
manager
ADC(area
development
counsellor)
SCE (senior
customer
executives
Chief Manager
(quality control)
Deputy
manager(QC)
Customer
executive
Trainee
Assistant manager
(QC)
Executives
Staff chemistry
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BEVERAGES PVT LTD.
2. SKILLS
Human skill plays significant role for the progress and proper functioning of the
organization. Training is one of the essential act of increasing the knowledge and skill
of an employee for doing a particular job. So training is imparted to employees to and
utilizing a systematic and organized procedure by which employees learn technical
knowledge and skills for a definite purpose.
In other words, it improves changes and moulds the employees knowledge, skill,
behavior and aptitude towards the requirements of the job and the organization. So,
trained employees would be a valuable asset to an organization. As organizational
efficiency, productivity, progress and development to a greater extent depend on
training.
Organizational objectives like viability, stability and growth can also be achieved
through training. It is important as it constitutes a significant part of management
control.
Training enhances 4Cs viz
Competence
Commitment
Creativity
Contribution for the organization
Nectar beverage prefers and impart on the job training to training to their employees.
So here are the steps taken to impart necessary skills on the job training. The training
programmers commonly used to train operative and supervisory personnel discussed
are discussed below
ON JOB TRAINING METHODS:
This type of training also known as job instruction training is the most commonly
used method. Under this method, the individuals is placed on a regular job and taught
the skill necessary to perform that job. The trainee learns how to perform a job, he is
also a regular worker rendering the service for which he is paid.
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BEVERAGES PVT LTD.
The problem of transfer of trine is also minimized as the person learns on-the-job. The
emphasis is placed on rendering services in the most effective manner rather than learning
how to perform the job.
So on job training methods include:
Coaching
Job instruction/training through step by step
3. STYLE:
Top down
At Nectar beverage, the style that is followed in the working of the organization is top
down. All the rules and regulation orders and decision are given by the top
management people namely board of directors, or the precedent which flows down to
the other members of the organization.
Line relationship:
The relationship existing between two managers due to delegation of authority and
responsibility and giving or receiving instructions or orders is called line relationship.
The line relationship generally exists between a superior & a subordinate. Line refers
to those positions of an organization which have responsibility, authority & are
accountable for accomplishment of primary objectives.
Managers identified as line are not subject to command by staff position. In case of
disagreement between line & staff, the line manager has the right to make final
operating decisions. Line authority represents uninterrupted series of authority &
responsibility delegating down the management hierarchy.
In other words the Board of Directors authority to the managing directors who inturn
delegates a part of his authority to the General Manager. The general manager in turn
delegates a part of his authority to different departmental heads & through them to the
supervisors. However the line managers are completely responsible & accountable for
the results achieved by the employees of the respective departments & sections.
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4. STRATEGY:
The strategy in the McKinseys 7S framework includes the direction and scope of the
company. It also includes the integrated vision and direction of the company, its
purpose, mission, objectives and goals and policies.
Price strategies
The price of all Pepsi products is fixed by its parent company, Pepsi India ltd. If any
changes in the price setting are required then NBPL can send a resolution to the parent
company. Sometime price can be fixed depending upon the competitor activity.
Basically Prices are fixed taking factors such as
Bottle charges
Tax rate
Transit cost to distributors.
AOP Strategy
Annual Operation planning is carried out every year where all the managers of various
franchisees meet at one place to decide on various aspects like pricing, Marketing
Promotions, Additional Coolers, and about the targets for the next year.
Promotional activities of NBPL

The company generally sells product directly to retail stores and outlets by their
employees. Over the past few years, product creation has slowed down. The company
has stopped concentrating so much on creating so many new products, and has turned
their concentration to attaining new franchises and advertising. The acquisition of
contacts with smaller franchises is important in order to continue growing revenue.
The advertising concentration has become necessary as a defensive maneuver to deal
with competitors.
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BEVERAGES PVT LTD.
Brand recognition is the significant factor affecting Pepsis competitive position. Pepsis
brand mane is known well throughout 90% of the world today. The primary concern over
the past few years has been to get this name brand to be even better known.
Packaging changes have also affected sales and industry positioning, but in general, the
public has tended not to be affected by anew products. The primary competitor of the
Pepsi Company is Coco-Cola Company. Pepsi and Coca-Cola make up anywhere from
75% to90% of the market where they operate.
Advertising Sources
Different Media used for advertisement are
1. Press advertisement.
2. Television by parent company.
3. Glow Signs.
4. Sign Boards.
5. Wall paintings.
6. Dealer Boards.
7. Sponsoring of Tournaments.
8. Banners.
9. News papers and posters.
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BEVERAGES PVT LTD.
Promotional Strategy
NBPL to increase its sales has come out with various promotional schemes some of
them are:
Bar men Scheme: Under this scheme waiter in the bar have to collect 500 Pepsi
crowns for which a surprise gift is awarded to them. And if they collect 250
crowns a Pepsi T-Shirts is given to them.
Under the Crown Scheme: This is the Promotional scheme for the retailers where
they have to check out the numbers under the crown and the said numbers is
converted in to cash and is paid to them.
Eatery Scheme: It is a special scheme for all eating points such as bakeries, hotels,
convenience points, where the waiters have to promote and influence the
customers to buy only Pepsi products, this scheme is audited by the company
representatives by visiting these points as a customers and verifying the progress.
Road Shows: Various road shows are carried out the company representatives as
promotional activities.
National Scheme or Space Club Scheme: It is a special scheme for the retailers
where they have to display the Pepsi products in their outlet and attract more
customers. The scheme is audited by hired agencies and is awarded based on the
findings.
Benefit Scheme: It is a scheme where the retailer is given 1 or 2 cases for free for
purchase of more than 10 cases.
Cash Discount: If a retailer purchases in a bulk quantity then a cash discount of

100 or 200 is given to them.
Quantity Purchase Scheme: Under this scheme if retailers purchase 100-200 Or

300 cases then items such as Bike, T.V, or a Fridge is awarded to them.
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BEVERAGES PVT LTD.
5. SYSTEM:
The system of McKinsey 7S framework includes all process and information flows
that links the organization together.
The company has 100% management information system. it helps the company very
much in their day to day business administration. It also help to conduct , review and
sales position periodically and to plain for better management of the organization.
6. STAFF:
The staff of McKinsey 7S framework includes the human resource management, rewards
and recognition.
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BEVERAGES PVT LTD.
DEPARTMENTS AT NBPL, DHARWD
From the organization structure shown above we can observe that the Department is done
on the basis of standard functions of the management.
1)
HR DEPARTMENT
2)
MARKETING AND SALES DEPARTMENT
3)
4)
FINANCE DEPARTMENT
1. HUMAN RESOURCE DEPARTMENT:

Human Resource Management (HRM) is the function within an organization that focuses
on recruitment of, management of, and providing direction for the people who work in the
organization. Human Resource Management can also be performed by line managers.
Duties and Responsibilities of HR Manager in Nectar Beverages are
To implement provisions such as standing orders of the company factories act etc
to meet the statutory requirement.
To delegate the responsibility to workers, assessing the need of imparting training

to workers.
To ensure safe working conditions for the employee
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BEVERAGES PVT LTD.
B) RECRUITMENT PROCESS IN NECTAR BEVERAGES:
The recruitment policy adopted by the organization has influence on its employees
and on the efficiency of the company. So the recruitment policy adopted by the
company should aim at right kind of potential candidates to ensure right kind
candidate have been stimulated for the job.
The recruitment policy adopted by the Nectar Beverages Pvt Ltd is as follows:
The recruitment policy in the company begins with receiving the information
about
the vacancy from the concerned department.
The plant manager and the HR Manager and other departmental heads discuss the
necessity of the job and take the decisions accordingly.
The HR Manager develops the job description and job specification
The next step is giving the advertisement for the requirement of the candidates for
required job.
SELECTION PROCEDURE IN NBPL:

A nectar beverage has the simple selection procedure, as it is the franchisee unit. The
company follows the following procedure for selection.
1) Application banks
2) Preliminary interview
3) Tests
4) Final interview
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BEVERAGES PVT LTD.
The total manpower strength of the company is distributed across major categories as
under:
BOARD OF DIRECTORS OF NECTAR BEVERAGES
1. Mr. S. K. Jaipuria
2. Mr. R. K. Jaipuria
3. Mr. Gandhi
4. Mr. P. U. Devasai
HEAD OF DEPARTMENT OF NECTAR BEVERAGES

1. Human Resource Department:
Mr. R. A. Baakale
2. Sales and Marketing Department:
Mr. Glen DSouza
3. Finance Department:
Mr. K. Chetan
4. Production Department:
Mr. M. A. Pritviraj
TOTAL EMPLOYMENT OF NBPL:
DVHIMSR, Dharwad
CEO
01
H.O.D
27
Executives
34
Staff
51
Trainee
21
Workers
114
Append Trainee
Permanent
116
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BEVERAGES PVT LTD.
Chart No. 2.5:Hierarchy
SALES AND MARKETING DEPARTMENT

Marketing is a viewpoint, which looks at the business process as a highly integrated effort to
discover, create, arouse and satisfy consumer needs.
ROLES AND RESPONSIBILITIES OF SALES DEPARTMENT:

a. Sales Department is having the rounding system to every retail outlets in the local
markets once in a week. In case the retailers are finished with stocks they contact
through phones then the stocks are sent to them.
b. After collecting the order from the retailers the sale department orders the
production department to prepare the required stock to be sent on the mentioned
date.
c. Details of the payment procedures, transportation procedure, delivery dates, etc
are also handled by the sales departments.
d. Sales team settles down the deal with the retailers and takes the invoice agreement
and then documentation process is carried.
e. The sales dept. sends the invoice copy to the shipping department which carries
the work of transforming the mentioned goods to the vehicle from the stock room,
and inform back to the sales department with the acknowledgement.
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BEVERAGES PVT LTD.
Production is the process by which raw materials and other inputs are converted into
finished goods.
Chart no. 2.6:Hierarchy
In marketing department, there is a Unit Manager under him there are Head of Sales
Managers who assists Territory Development Managers (TDM) depending on their
location. The role of TDM is to oversee the proper flow of work and sales of his region.
Under TDM there is Area Developing Coordinators (ADC) who are assistingCustomer
Executive (CE). The number of CE given under a ADC differs from region to region
depending on the size of town and city, in big cities like Hubli, Belgaum some of the
ADC have 5-6 CEs, where as in the Haveri, Shimoga, Chickmangalur there may be 3-4
CEs. This CE assists Pre-Selling Executive (PSE) and Route Agent (RA). The work of
PSE is to bring the customers and create demand and to conveyance the customers to buy
the beverages. The route agents are responsible for the clients of PSE and to supply the
material, look after the stocks in stores, shops etc., RA and PSE have close link between
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BEVERAGES PVT LTD.
distributors and customers because they are responsible to look out the stocks,
conveyance to buy and supply the orders.
Selling Process
NBPL follows 5 steps in selling their products:
Introduction.
To check the stock of the retailer.
To prepare an order.
Dealing with the customer.
Settling the deal
Price Setting
The price of all Pepsi products is fixed by its parent company, Pepsi India ltd. If any
changes in the price setting are required then NBPL can send a resolution to the parent
company. Sometime price can be fixed depending upon the competitor activity.
Basically Prices are fixed on considering few factors such as
Bottle charges
Tax rate
Transit cost to distributors.
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BEVERAGES PVT LTD.
Works
1. Incentives are fixed on the basis of targets achieved by the sales representatives.
2. Once in 2 or 3 months Training programs are conducted to keep sales
representatives focused on the job.
3. Monthly target are also fixed to them.
4. Based on monthly targets every year the company chooses out the best TDM
(Territory Development Manager) and ASM (Area Sales Manager).
5. NBPL sponsors local tournaments through which it can promote sales.
6. Holds monthly meetings of members of sales and marketing to identify strengths
and weakness of the products to different regions and make new schemes
Advertising Sources
The present Punch line of Pepsi is "OH YES ABHI". Different Media used for
advertisements are;
1. Press advertisement.
2. Television by parent company.
3. Sign Boards.
4. Wall paintings.
5. Dealer Boards.
6. Sponsoring Tournaments.
7. Banners.
8. Newspapers and posters.
9. And many more
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BEVERAGES PVT LTD.
Brand Ambassadors
Company has well reputed people as their brand ambassadors such as
Sports Celebrities
Film Celebrities
M.S. Dhoni
RanbirKapoor
Sachin Tendulkar
Priyanka Chopra
Mohammed Kaif
Sharukh Khan
Rahul Dravid
Katrina Kaif
SouravGanguly
Salman Khan
Zaheer Khan
Asin.
Promotional Schemes
NBPL to increase its sales has come out with various promotional schemes some of them
are:
Bar men Scheme: Under this scheme waiter in the bar have to collect 500 Pepsi crowns
for which a surprise gift is awarded to them. And if they collect 250 crowns a Pepsi TShirt is given to them.
Under the Crown Scheme: This is the Promotional scheme for the retailers where they
have to check out the numbers under the crown and the said numbers is converted into
cash and is paid to them.
Eatery Scheme: It is a special scheme for all eating points such as bakeries, hotels,
convenience points, where the waiters have to promote and influence the customers to
buy only Pepsi products, this scheme is audited by the company representatives by
visiting these points as a customer and verifying the progress.
Road Shows: Various road shows are carried out by the company representatives as
promotional activities.
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BEVERAGES PVT LTD.
National Scheme or Space Club Scheme: It is a special scheme for the retailers where
they have to display the Pepsi products in their outlet and attract more customers. The
scheme is audited by hired agencies and is awarded based on the findings.
Benefit Scheme: It is a scheme where the retailer is given 1 or 2 cases for free on
purchase of more than 10 cases.
Cash Discount: If a retailer purchases in a bulk quantity then a cash discount of 100 or
200 is given to them.
Quantity Purchase Scheme: Under this scheme if retailers purchase 100-200 Or 300
cases then gift items are awarded to them.
Functions of Sales Department:

1. Sales Department is having the rounding system to every retail outlets in the local
markets once in a week. In case the retailers are finished with stocks they contact
through phones then the stocks are sent to them.
2. After collecting the order from the retailers the sale department orders the
production department to prepare the required stock to be sent on the mentioned
date.
3. Details of the payment procedures, transportation procedure, delivery dates, etc
are also handled by the sales departments
4. Sales team settles down the deal with the retailers and takes the invoice agreement
and then documentation process is carried.
5. The sales dept. sends the invoice copy to the shipping department which carries
the work of transforming the mentioned goods to the vehicle from the stock room,
and inform back to the sales department with the acknowledgement.
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BEVERAGES PVT LTD.
Chart No. 2.7:Production Department: Hierarchy
Overall Nectar Beverages Pvt. Ltd Mission:

To achieve every batch incoming raw materials are checked for quality by quality
assurance departments.
Using high grade sugar.
The online and final product checks are carried out at regular intervals.
To purchase raw materials only from approved sources, approved by independent
laboratories of international repute.
Using equipments of superior grade stainless steel material.
To give special attention to
Personnel hygiene and sanitation
House Keeping
Good manufacturing process.
To give special attention to keep the Factory Surroundings.
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BEVERAGES PVT LTD.
FINANCE DEPARTMENT
FINANCE IS THE LIFE BLOOD OF EVERY ORGANISATION
Every company needs finance to carry on its business operation and to achieve its target.
Finance is that administrative area or set of administrative functions in an organization
which relate with the arrangement of cash and credit. So the organization may hence carry
out its means to achieve its objectives as satisfactory as possible.
Business finance is that basis of activity which is concerned with the acquisition and
conservation of capital funds in meeting the financial needs and over all objectives of a
business.
The aim of every business is to make profit which means earning of money with least
expenditure of money. It is therefore rightly said that Business needs money to make
money Money invested in business can beget more money to it if it is managed properly.
Therefore money or finance invested in business will have to be managed systematically
with accurate planning and control.
Financial management has objectives of business such as maximization of wealth etc. The
term financial management refers to the application of skills in the manipulation, use and
control of funds.
Appointment of Auditors:
Auditors appointment will be done at the Head office (Delhi). At present companys
auditor is O.P. Bagla& Co (Delhi). Yearly twice auditing is conducted i.e. in the month of
July and December.
Software used in the Finance Department:
From 2005, Company started using the Profit (+) windows based software for
maintaining the financial records. This year company used the Profit software for its day
to day operations.
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BEVERAGES PVT LTD.
Training in the Finance Department:

In the Finance Department, on the job training method is followed for the new
employees. Along with the on the job training, Head Office (Delhi) conducts some lecture
type of training once in three months.
7. SHARED VALUES:
The shared value of McKinseys 7S framework includes the guiding concepts. Values
and believes of the company. It also includes the long term vision of the company.
Values of the Company are:
Punctuality
Integrity
Honesty
Loyalty
Credibility
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BEVERAGES PVT LTD.
SWOT ANALYSIS:
Strengths:
Pepsi have a broader product line and outstanding reputation.
Merger of Quaker Oats produced synergy across the board.
Record revenues and increasing market share.
Lack of capital constraints (availability of large free cash flow) Great brands,
strong distribution, innovative capabilities. Number one maker of snacks, such as
corn chips and potato chips.
PepsiCo sells three products through the same distribution channel.
For example, combining the production capabilities of Pepsi, Gatorade and
Tropicana is a big opportunity to reduce costs, improve efficiency and smooth out
the impact of seasonal fluctuations in demand for particular product.
Weaknesses:
Pepsi hard to inspire vision and direction for large global company.
Not all PepsiCo products bear the company name.
PepsiCo is far away from leader Coca-cola in the international market - demand
is highly elastic.
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BEVERAGES PVT LTD.
Opportunities:
Food division should expand internationally.
Noncarbonated drinks are the fastest-growing part of the industry and this market
is under served.
There are increasing trend toward healthy foods.
Focus on most important customer trend - "Convenience".
Threats:
Beverage industry is mature.
Pepsi is blamed for pesticide residues in their products in one of their most
promising and emerging market .e.g. in India.
Over 50 percent of the company's sales come from Frito-Lay; this is an area if
the market takes a downturn.
The Biggest threat to Pepsi is from Non-Carbonated Soft drinks wherein they
should focus more.
PepsiCo now competes with Cadbury Schweppes, Coca-Cola, and Kraft foods
(Because of broader product line) which are well-run and financially sound
Competitors).
Size of company will demand a varied marketing program; Social, cultural,
Economic, political and governmental constrains.
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BEVERAGES PVT LTD.
RESEARCH DESIGN
Title of the study for summer in plant training is titled as:
A study on the Supply Chain Management at NBPL
METHODOLODY:
The methodology includes personal interaction with finance manager of the organization.
The aim of methodology is to present clear picture of the procedure followed in this
study. It also gives detail idea of the firms procedure adopted in conducting the study.
Data collection method:
Primary Data
Secondary Data
Primary Data:
Information has gathered from discussions, observations &interactions with the
departmental managers.
Secondary Data:
These data collected from companys websites, annual reports, stores ledger and
journals.
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BEVERAGES PVT LTD.
Objectives Of Overall Supply Chain
1. To identify supplier of the nectar beverages
2. To study plant of nectar beverages
3. To study the distributor of nectar beverages.
4. To study the retailer of nectar beverages
1. SUPPLIER OF NECTAR BEVERAGES

1. A) Number of Suppliers:
Nectar Beverages purchases materials from 92 suppliers
1.B) Location of Suppliers:
All the suppliers are located in India. And most of them are in Karnataka,
Rajasthan and Goa.
SOME OF THE NAMES AND LOCATION OF THE SUPPLIERS

Product
Manufacturer
Location
Sugar
Dudganga
Chikodi
Plastic Caps for Lehar & 7up
Oriental Container
Murbad
Pet Bottles (Green Color)
AMD Industries Ltd
Rajasthan
Crowns for Slice & 7up
Integrated Caps Pvt Ltd
Nidia
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BEVERAGES PVT LTD.
Some of the materials that are purchased from these suppliers are as follows:
Sugar
Label
Crown
Crates
Pet bottles
Carbon dioxide.
2. FACILITY OF THE COMPANY

Facility is one of the important drivers in supply chain. Before setting up the
facility the important decision is to choose the location. Nectar Beverages is
Located in Dharwad.
2. A) Factors affecting in Selection of company
Some of the important factors that affected while choosing Nectar Beverages
location are as follows.
Near to the market.
Road way facility.
Less investment in plant and building.
Near to suppliers.
2. B) Capacity of plant
The capacity of a production unit is its ability to produce or do that which the customer
requires. Nectar has a plant capacity of 50,000 Cases per day.
2. B.A) Bases for choosing Capacity of Plant
The capacity of the plant is set on the basis of seasonal fluctuations. When summer
season occurs, capacity of Plant is increases and when winter and rainy season occurs
plant capacity is suddenly decreases. It all depends on demand of customers.
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2. C) Production Schedule of the plant
Production scheduling is the management and allocation of resources, events and
processes to create goods and services. A business adjusts its production schedule based
on the availability of resources, client orders and efficiencies. The goal of production
scheduling is to balance client needs with available resources while operating in the most
cost-efficient manner. The companys production schedule is:
February to May the company manufactures in 3 shifts.
June to January the company manufactures in only 1 shift.
2. C.A) Different Types of Products produced in Factory

Products that are produced in Nectar Beverages are:
Pepsi
Mirinda Orange and Apple
Mountain Dew
Slice
7up
Aquafina etc
2. C.B)Day on which products are produced on what quantity
Now they are stopped producing products on Day wise. They produce products based on
Order of products, placed by customer on some Quantity.
2. D) Warehousing Facility
Warehousing is the storing and maintaining the finished goods. Nectar Beverages is
maintains its soft drinks in warehouses up to Dispatching.
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BEVERAGES PVT LTD.
2. D.A) In-House/Out House warehouse
Nectar Beverages has a warehousing facility in the factory plant itself. The factory has the
storing units called Hubs for storing their finished goods. These hubs are located in 6
locations of North Karnataka. The warehousing is maintained by the factory itself.
2. E.)Modes of transportation
Transportation is the process of transferring the raw material from the Suppliers to factory
Mode of transportation used by Nectar Beverages is road.
2. E.A) Types of Vehicle (TL or LTL)
Truck load is a load or amount that fills or could fill a truck. Almost all the trucks that
leave the company reach to the hubs. Hubs need more number of finished products to fill
the Pepsi distributors orders. So all the vehiclesare truck loads.
2. E.B) In-House /Out-House Transportation

Transportation also can be outsourced by many of the firms or company to reduce the cost
of transportation.
Between suppliers to factory, Nectar Beverages outsources its
transportation work to different transporters. They are:

Tamatkar Travelers.
Mahalaxmi Travelers.
3. DISTRIBUTORS OF NECTAR BEVERAGES:
Distributor is a middle man between a manufacturer and a retailer.
3. A) Number of Distributors
Nectar Beverages has 142 distributors throughout North Karnataka.
3.B)Location of Distributors
All distributors are located throughout North Karnataka.
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BEVERAGES PVT LTD.
3. C.)Modes of transportation
In this, Transportation is the process of transferring the finished goods from the
factory to the distributors.Distributors also use the road mode of transportation to
send the products to retailers.
3. C.A.) Types of Vehicle (TL or LTL)
Truck load is a load or amount that fills or could fill a truck. Almost all the trucks
that leave the company reach to the hubs. Hubs need more number of finished
products to fill the Pepsi distributors orders. So all the vehicles are truck loads.
3. C .B) In-House /Out-House Transportation
Transportation also can be outsourced by many of the firms or company to reduce
the cost of transportation. Between Facilities to distributors, Nectar Beverages
outsources its transportation work to different transporters. They are:
Tamatkar Travelers.
4. RETAILER OF NECTAR BEVERAGES

Retailers are Middlemen between Distributor and consumer. Retailers are helps in reach
final product to customers. Nectar beverages is having huge number of Retailer, they are
located throughout Karnataka.
4. A.)Modes of Transportation
In this, Transportation is the process of transferring the finished goods from the
Distributors to the retailers. In this customer directly take products from retail shop.
4 .A.A) Types of Vehicle (TL or LTL)
Less than Truck load is a load or amount that fills or could fill a LTL. Almost all the
LTL s that leaves the distributors center reach to the retailer center. It is based on retailer
small orders. So all the vehicles are less than truck loads.
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BEVERAGES PVT LTD.
4 .A.B) In-House /Out-House Transportation
Transportation also can be outsourced by many of the firms or company to reduce the cost
of transportation. Between
distributors to retailer, Nectar Beverages outsources its
transportation work to different transporters. They are:

Tamatkar Travelers.
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BEVERAGES PVT LTD.
Chart No. 2.8: Overall Supply Chain Network
Total number of Suppliers- 91

Hubs- 6
Total number of
Total number of distributors- 142
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BEVERAGES PVT LTD.
DRIVERS OF SUPPLY CHAIN:
Facility Driver
0BJECTIVE OF THE STUDY
1. To study about the factory location.
1.1 To know where the factory is located.
1.2 To study what is the reason for choosing that location
1.3 To know where the manufacturing and storage of inventory takes
place.
1.4 To know the total number of warehouses of the factory.
1.5 To know where the warehouses are located.
2
To recognize the production schedule.

2.1 Reasons for a specific production schedule.
To know the maximum capacity of the firm.

3.1 To know how much capacity is being utilized by the company.
To know the cost per unit of production.
To know what is the actual time taken to produce a unit
To recognize how many types of products are produced.

6.1To know what are those types.
To know what are the fraction of production orders completed on time and in
full?
What are the numbers of locations covered by the company?

8.1 Total no of distributers comes under the company
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BEVERAGES PVT LTD.
1. FACILITIES
1.Facility Location
Facility is the place where the manufacturing as well as the storing of products takes
place. It is one of the important drivers in supply chain management. Decisions regarding
facilities are a crucial part of supply chain design.
1.A.Nectar Beverages factory location
The Nectar Beverages factory is located in the following address:

Nectar Beverages Pvt Ltd,
Near to GTC,
Belgaum road,
Dharwad.
1. B Reason for choosing that location
Nectar Beverages has specific reasons to choose this location. They are as follows.
Near to the market:Dharwad location is considered as the middle place of
North Karnataka region. So it becomes near to the markets that are catered
by the firm.
Road way facility: the company uses the road way of transportation. The
location a good road way facility.
Less investment in plant and building: the factory was earlier run by Coca
Cola company and they used to manufacture Thumps-up there. So the
investment on new building and machinery was reduced to Nectar
Beverages.
Near to suppliers: almost many suppliers of the company are also located in
North Karnataka itself. So this helps to procure the materials immediately as
and when required. Which can helps to reduce the cost of holding access
inventory as well as transportation cost.
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BEVERAGES PVT LTD.
1. C. Manufacturing and storage of inventory
The factory location consists of both the manufacturing and the storage of inventory
facility. As the storage of inventory reaches to the maximum level, the products are
shifted to the different hubs for distribution.
Figure No 2.11: Manufacturing and storage of inventory
1. D. Total number of warehouses of the factory.

Most of the times, the factory alone cant be able to supply to all 170 suppliers at once. So
there are warehouses between the Factory and the Distributors. These warehouses are
called Hubs. Nectar Beverages has 6 Hubs.
Figure No 2.12: Warehouses of the factory
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BEVERAGES PVT LTD.
1. E. Location of Warehouses
Hubs of the factory are located in different parts of North Karnataka. The places are
mentioned as follows.
Dharwad
Gadag
Motebennur
Chitradurga
Mudalagi
Anantpur.
2. PRODUCTION SCHEDULE
Production scheduling is the management and allocation of resources, events and
processes to create goods and services. A business adjusts its production schedule based
on the availability of resources, client orders and efficiencies. The goal of production
scheduling is to balance client needs with available resources while operating in the most
cost-efficient manner. The companys production schedule is:
February to May the company manufactures in 3 shifts.
June to January the company manufactures in only 1 shift.
Basis for Choosing the Production Schedule

The production schedule is decided on the basis of the demand for the product in the
market. At the time of peak season factory uses maximum capacity and less capacity at
the time off seasons.
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BEVERAGES PVT LTD.
3. MAXIMUM CAPACITY OF THE FIRM
The capacity of a production unit is its ability to produce or do that which the customer
requires. Nectar has a plant capacity of 50,000 Cases per day.
3. A. Capacity is being utilized by the company
At the time of summer season the factory utilizes its whole capacity by doing three shifts
of work, whereas at the time of off season the factory works only for one shift. Factory
capacity utilization is 100% at the time of peak season and
35% at the time of off
season.
4. COST PER UNIT

Cost per unit is a cost that is incurred for producing one unit of product. The cost per unit
of Nectar Beverages is approximately 2 Rs per unit.
5. TIME TAKEN TO PRODUCE A UNIT

Approximately it takes 5 seconds to produce one unit of product.
6. PRODUCTS PRODUCED IN THE FACTORY

The factory manufactures 7 types of products.
6. A Types of products
Pepsi
Aquafina
Slice
7up
Mirinda Lemon and Orange
Mountain Dew
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BEVERAGES PVT LTD.
7. FRACTION OF DELIVERY ORDERS COMPLETED ON TIME
At the time of peak season 99% of the delivery orders are met by the company in full.
And at the time of off season the 100% is the delivery orders completed on time by the
company.
8. NUMBER OF LOCATIONS COVERED BY THE COMPANY

Nectar Beverages covers whole the North Karnataka market. It covers 13 districts. They
are as follows
1) Hassan
2) Shimoga
3) Chikmagalur
4) Chitradurga
5) Bellary
6) Dharwad
7) Belgaum
8) Bijapur
9) Davangere
10) Gadag
11) Haveri
12) Bagalkot
13) Uttara Kannada
8.A. Number of Distributor
Nectar Beverages has 170 distributors throughout North Karnataka.
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BEVERAGES PVT LTD.
2. TRANSPORTATION DRIVER
Objectives of the study
1. To study the transportation of the company
1.1. To find out modes of transportation
I.e. Road/Railway/Water/Air
1.2. To identify, company is using in-house or out-source in transportation
1.2.1. To find out the Bases and Method for choosing out source
1.2.2. To find out the name of the outsourcing company
1.2.3. To find out the Total Number of outsourcing company
1.3. To find out Total number of Vehicles used for transportation
1.3.1. To know the Total Number of LTL
1.3.2. To know the Total Number of TL
1.4 To find out which all the Supply stages transportation are used
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BEVERAGES PVT LTD.
1. TRANSPORTATION:
Transportation is Backbone of Every supply chain. Transportation moves raw materials,

products between different stages in a supply chain and it is important supply chain driver
because products rarely produced and consumed in the same location.
1.1.Modes of transportations:
Nectar beverages company using Road mode for overall transportation. Because it is
situated in near NH4 (Belgaum and Pune National highway)
1.2. In-house or out-source in transportation:
Transportation can be performed in-house or out source. Nectar Beverages company
outsource its transportation.
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BEVERAGES PVT LTD.
1.2. A. Bases and Method of choosing out source:
Before outsourcing transportation company need to considered different factor. Like total
cost, availability of raw material, nearest to market, Nectar Beverages choose their
outsource considering total cost factor(low bid factor). They find out that, outsourcing
reduces over all total cost. On every 2 year once company calls tender for transportation
outsourcings. They will choose the outsourcing company on the bases of lowest bid
factor.
1.2.B.Name and Numbers of the outsourcing company
Nectar Beverages outsources its transportation work to 2 different transporters. They are:
Tamatkar Travelers.
1.3.Total number of Vehicles used for transportation
Vehicles are tool for transportation. Nectar Beverages uses 250 Vehicles for overall
transportation. Vehicles are mainly used in Nectar Beverages are TL (Truck Load) and
LTL(Less than Truck).
1.3.A.Total Number of LTL
Figure 2.13: Light Truck Load Vehicle
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BEVERAGES PVT LTD.
LTL is less then truck load. It is used between distributors and retailers. Here retailers
make order in small quantity. So distributor consolidates some of retailers order, it makes
quantity of goods is more and helps in reducing total cost and cost per unit .Total Number
of LTL used by Nectar Beverages 150.
1.3.B. Total Number of TL
Figure No 2.14: Truck Load Vehicle
TL is truck load. It is used between supplier to manufacture and manufacture to

distributors. Here order is in bulk quantity. Total Number of TL used by Nectar
Beverages 100
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BEVERAGES PVT LTD.
1. Between Supplier and Nectar Beverages(Manufacture):
Figure No 2.15: Supplier and Nectar relationship
Supplier
Manufacturer
supplier
Supplier
TL is used in this stage because here the orders are in bulk quantity. It helps to reduce the
total cost of transportation and cost per unit.
2. Between Nectar Beverages and Distributor

TL is used in this stage because here also the order is in bulk quantity. It helps to reduce
the total cost of transportation and cost per unit.
Figure No 1.16; Nectar and Distributor Relationship
Distributors
Manufacturer
Distributors
Distributors
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BEVERAGES PVT LTD.
2. BETWEEN DISTRIBUTOR AND RETAILER.
Figure No 2.17:Distributor and Retailer relationship
Distributors
Retailers
Retailers
Retailers
Retailers
LTL is used in this stage because here also order is in small quantity. So the distributor
consolidates some of retailers order, it makes quantity of goods is more and helps in
reducing total cost of transportation and cost per unit.
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BEVERAGES PVT LTD.
1.5: Transportation Network
Chart No. 2.9: Transportation Network
Retailers
Distributors
Retailers
Hub
Supplier
Distributors
Supplier
Manufactures
Retailers
Distributors
Supplier
Hub
Retailers
Distributors
Retailers
SDMCET Dept. of Management Studies
1. Between supplier and Manufacturing-Direct shipping network, TL is used in this

stage.
2. Between manufacture and distributors warehouse- TL is used in this stage.
3. Between distributor and Retailer- milk run- LTL used for this stage.
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BEVERAGES PVT LTD.
DATA ANALYSIS AND INTERPRETATION

1) Address Details Of All Developer Branches Of The Company
Table No.3.1: Representation of supply chain management having all the address of the
developer branches of the company
Contents
Number of Employees
Percentage
Responded
Yes
93
80%
No
23
20%
Graph No.3.1: Representation of supply chain management having all the address of the
developer branches of the company
20%
Yes
No
80%
Interpretation: From the above graph it is a clear evident that 80% of the supply chain
management having all the address of the developer branches of the company
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BEVERAGES PVT LTD.
2) Ratings On The satisfaction level Working Strategies Of Supply Chain Management
Department On The Basis Of The Current Programs
Table No. 3.2: Representing the satisfaction level on working strategies of supply chain
management department on the basis of the current programs
Contents
Number of Employees
Percentage
Responded
Outstanding
82
70%
Excellent
24
20%
Good
10
10%
Average
Graph No 3.2:Representing the satisfaction level on working strategies of supply chain

management department on the basis of the current programs
0%
10%
Outstanding
20%
Excellent
Good
70%
Average
Interpretation:From the above analysis it is evident that 70% respondents rated the
working strategies of Supply Chain Management as Outstanding while the remaining
20% rated the strategies to be excellent and 10% rated the strategies to be good.
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BEVERAGES PVT LTD.
Q3: Is the supply chain management department is having sufficient transportation?
a) Yes
b) No
Table No 3.3: Representing supply chain management department is having sufficient

transportation
Contents
Number of Employees
Percentage
Responded
Yes
116
100%
No
Graph No.3.3: Representing supply chain management department is having sufficient

transportation.
100%
0%
Yes
No
Interpretation: From the above analysis it is clear evident that the supply chain
management department is having a sufficient transportation.
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BEVERAGES PVT LTD.
Q4: According to the current growth process of the organization, which of the following
needs much attention and progress to boost the production?
Operational activities
Tactical activities
Current programming strategies
Table No. 3.4:Representing the needs of much attention and progress to boost the
production
Contents
No. of Employees
Percentage
Responded
Operational Activities
47
40%
Tactical Activities
47
40%
Current Programming
22
20%
Activities
Graph No.3.4:Representing the needs of much attention and progress to boost the
production
Activities Required to Boost Production

20%
40%
40%
Tactical activities
Current programming
strategies
Interpretation: From the above graph it is clear that 40% attention has given to
Operational Activities and another 40% has to concentrate to Tactical Activities and the
remaining 20% has concentrated on Current Programming Strategies.
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BEVERAGES PVT LTD.
5.
Choose the right option, where the supply chain department is facing problem in
taking care of the raw material?
During storage
Packaging
Testing of packaging
Evaluation of defective raw material
Table No. 3.5: Representation of various problems faced by supply chain management
department while taking care of raw materials
Contents
During Storage
Packaging
Testing of Packaging
Evaluation of Raw
materials
DVHIMSR, Dharwad
Number of Employees
Responded
Percentage
52
38
13
45%
33%
11%
13
11%
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BEVERAGES PVT LTD.
Graph No.3.5: Representation of various problems faced by supply chain management

department while taking care of raw materials
Chart Title
During storage
11%
11%
Packaging
45%
33%
Evaluation of defective
raw material
Interpretation: From the above graph, it can be interpreted that storage of the raw
materials is being high importance that is 45% respondents agree on this, 33% consider
packaging to be important factor, 11% consider Testing of packaging to be important
factor while 11% consider evaluation of defective raw material to be important factor of
consideration for various problems faced by supply chain management department while
taking care of raw materials.
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BEVERAGES PVT LTD.
6.
How do you rate the delivery activity of the department?
Excellent
Very effective
Good
Average
TableNo.3.6: Representation of satisfaction ratings of delivery activity of the department

Contents
Number of Employees Responded
Percentage
Outstanding
47
40%
Excellent
47
40%
Good
22
20%
Average
Graph No.3.6: Representation of satisfaction ratings of delivery activity of the

department
Satisfaction ratings of delivery activity

0%
20%
Excellent
40%
Very effective
Good
40%
Average
Interpretation: From the above graph it is clear that the rating of delivery activities is
excellent and very effective as 80% respondents have rated for it, while another 20%
have rated it to be good.
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BEVERAGES PVT LTD.
7. The supply chain department in which the production department complained late
delivery of raw materials?
a) Yes
b) No
Table No.3.7: Representing supply chain department in which the production department
complained late delivery of raw materials
Number of Employees
Contents
Responded
Percentage
Yes
No
116
100%
Graph No. 3.7:Representing supply chain department in which the production

department complained late delivery of raw materials
120
100
100
80
60
Series1
40
20
0
0
Yes
No
Interpretation: From the above graph it is evident that no respondents have complained
about late delivery of the raw materials and hence satisfies about the delivery mechanism
DVHIMSR, Dharwad
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BEVERAGES PVT LTD.
FINDINGS
1. It can be interpreted that storage of the raw materials is being high importance that
is 45% respondents agree on this, 33% consider packaging to be important factor,
11% consider Testing of packaging to be important factor while 11% consider
evaluation of defective raw material to be important factor of consideration for
various problems faced by supply chain management department while taking
care of raw materials.
2. It is evident that 70% respondents rated the working strategies of Supply Chain
Management as Outstanding while the remaining 20% rated the strategies to be
excellent and 10% rated the strategies to be good.
3. It is clear evident that the supply chain management department is having a
sufficient transportation.
4. It is clear that 40% attention has given to Operational Activities and another 40%
has to concentrate to Tactical Activities and the remaining 20% has concentrated
on Current Programming Strategies
5. It is clear that the rating of delivery activities is excellent and very effective as
80% respondents have rated for it, while another 20% have rated it to be good.
6. It is evident that no respondents have complained about late delivery of the raw
materials and hence satisfies about the delivery mechanismThe Peak season for
the period of business is April may and June where 60% of sales is done.
7. It is a clear evident that 80% of the supply chain management having all the
address of the developer branches of the company
8. Nectar Beverages is operating in 13 districts of Karnataka.
9. The Indent will be delivered in 2-3 business days of the indent received.
10. Total number of permanent employees is 116.
11. Total Number of TL (Truck Load) used by nectar beverages is 100/day
12. Total Number LTL (Lower Truck Load) used by nectar beverages is 150/day
13. Nectar Beverages outsources its transportation work to only 4 different
transporters.The Company calls for transportation outsourcing once in 2 years for
tenure of 2 years
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BEVERAGES PVT LTD.
RECOMMENDATION
1. The Company has to use the GPS tracking system in order to track the movement
of goods in each of the vehicle so that the goods can be reached on time.
2. In case of any accidents or mishaps happens the company can get to know with
the help of the GPS tracker.
3. The Company faces a lot of problem particularly a breakage of bottles and thus
the spillover happens. The company being engaged into food and beverages
business as to maintain its quality to the best standards therefore it is
recommended to the company to change the material of bottle manufacturing and
at the same time bring them attractive shapes of bottles to increase the visibility.
In case of movement of the goods there are chances of breaking up of bottles
hence the company needs to maintain a proper packing system so that the goods
are reached safe.
4. The Company is engaged into business of beverages whose demand is fluctuating
throughout the year, hence the company needs to analysis the movement of the
goods based on season and keep a track on production planning and product sales
as a their demand is fluctuating
5. The company should concentrate on developing vendor base management system
or transportation based outsource activities
6. The company should develop vendor grievances cell so as to involve vendors in
effective lane handling distribution systems through their feedbacks, reciprocating
on it and implementing suggestions.
7. The company as to develop parallel crisis handling teams to take care of
contingencies during transportation mishaps.
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BEVERAGES PVT LTD.
CONCLUSION
From the study it is found that the nectar Beverages Pvt. Ltd is one of the strongest
manufacturing vendor of Pepsi Inc and has develop effective supply chain management
systems over a period of time. The Company strives hard to deliver Right Goods at the
Right Place and at the Right time to the Right Customer, however the company has to
concentrate on developing vendor based management systems for transportation based
outsourcing activities and have parallel crisis handling teams to take care of the
contingencies.
The Company faces a lot of problem particularly a breakage of bottles and thus the
spillover happens. The company being engaged into food and beverages business as to
maintain its quality to the best standards therefore it is recommended to the company to
change the material of bottle manufacturing and at the same time bring them attractive
shapes of bottles to increase the visibility. In case of movement of the goods there are
chances of breaking up of bottles hence the company needs to maintain a proper packing
system so that the goods are reached safe.
The Company is engaged into business of beverages whose demand is fluctuating
throughout the year, hence the company needs to analysis the movement of the goods
based on season and keep a track on production planning and product sales as a their
demand is fluctuating
DVHIMSR, Dharwad
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BEVERAGES PVT LTD.
BIBLIOGRAPHY
BOOKS
1) Philip Kotler, Keller, Koshy and Jha, Marketing Management, Pearson
Publications, 9th Edition
2) Naresh K. Malhotra, Satyabhushan Dash, Marketing Research: An Applied
Orientation, 6th Edition, Published by Dorling Kindersley (India) Pvt. Ltd
(licensees of Pearson Education), ISBN: 978813173181
WEBSITES
3) www.businessvibes.com/blog/report-global-beverage-market-outlook-2015
4) http://indiainbusiness.nic.in/newdesign/index.php?param=industryservices_landin
g/337/1
JOURNALS
5) Company Brochures, Pamphlets
DVHIMSR, Dharwad
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BEVERAGES PVT LTD.
ANNEXURE
QUESTIONNAIRE
Q1: Is supply chain management having all the address of the developer branches of the
company?
a) Yes
b) No
Q2: Rate the working strategies of supply chain management department on the basis of
the current programs?
Outstanding
Excellent
Good
Average
Q3: Is the supply chain management department is having sufficient transportation?

a) Yes
b) No
Q4: According to the current growth process of the organization, which of the following
needs much attention and progress to boost the production?
Tactical activities
Current programming strategies
DVHIMSR, Dharwad
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BEVERAGES PVT LTD.
Q5: Choose the right option, where the supply chain department is facing problem in
taking care of the raw material?
During storage
Packaging
Evaluation of defective raw material
Q6: How do you rate the delivery activity of the department?
Excellent
Very effective
Good
Average
Q7: Is there any case recorded by the supply chain department in which the production
department complained late delivery of raw materials?
a) Yes
DVHIMSR, Dharwad
b) No
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THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

BEVERAGES PVT LTD.

Dr. D. Veerendra Heggade

Report on Summer In-plant Training

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

I here by declare that this Report on Summer In-plant Training titled

STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

ANALYSIS, INTERPRETATION AND FINDINGS.

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

MEANING OF SOFT DRINK

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

Cadbury brand owner Mondelez International is investing heavily in sales and

Capri-Sun AG has entered into a franchise agreement with SDU Beverages, an

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

The Indian non-alcoholic beverages market is currently growing at 15 per cent

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

The Ministry has launched a Centrally Sponsored Scheme namely, National

The Ministry is implementing a scheme for Human Resource Development

The revival of the agriculture sector is expected to open up a plethora of

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

Figure no.2.1 (Caleb Braham)

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

Figure no.2.2:First franchise of Pepsi Cola

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

Fig no. 2.3 Pepsi logo

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

Competition faced by Pepsi:

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

Figure No: 2.4: Pepsi and Coca-Cola as rivals in this image

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

A .Background and Inception of the company:

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

Mahakoshal is a Sales and Marketing department of Pepsi Company, at Dharwad Bottling

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

20% (Mini season)

60% (Peak season)

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

They use only high-grade sugar.

They purchase raw materials only from approved sources, approved by

Special attention is given to,

Personnel Hygiene and Sanitation

Good manufacturing process

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

THE STUDY ON SUPPLY CHAIN MANAGEMENT AT NECTAR

c) Order execution system: