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Introduction

Raidco family curry powder factory is a unit of raidco kerala limited it

was set-up under the assistance of national co-operative development

council(NCDC) commissioned in jan 5th 2000, inaugurated by chief minister

of kerala. The co-operative which is the first of its kind in the state and had

confined its area of operation to northern revenue district start from kasergod

to eranakulam. Its head quarters is at kannur. Raidco has manufacturing unit

such as rubber roller machine manufacturing unit, wheat manufacturing

unit , curry powder manufacturing unit, etc, that are placed at different

district in kerala.

The aim of raidco family curry powder unit is to plan a virtual role in

controlling the price of essential commodities especially in the field of food

product it generate about hundred employment directly and five hundred

employment indirectly. The factory has been technical assistance from

CFTRI mysore. The factory has been awarded by ISO 9002 and RIS.

This practical training done during the period of 21 days was the part of

practical full filament of degree master of commerce. The practical training


was a great experience to knew all about the working of the functional area

in raidco kerala limited kannur.

In kannur raidco has curry powder factory and processing unit.

The major products manufacturing at curry powder factory are : chilly

powder, coriander powder, turmeric powder, masala etc, jam, squash, sauce,

etc are manufactured in processing unit. The curry powder industry has

minimum gestation period. The investment in this type of industry will be

comparatively less and technology utilization also less.

Objective of the study

The present study is conducted with the following objectives:

1. To analyze various functions performed by quality control

department in the company.

2. To evaluate the efficiency and effectiveness of quality control.

3. To analyze the quality control process for testing the quality of the

product.

4. To suggest the masseurs for improvement in the quality control

department based on the study.


Importance of the study

The success of every business concern depends partially up on the

quality of the product manufactured by the firm. The study would analyze

the quality control procedure of the company. Manufacturing and improving

the quality through good manufacturing process is an important concept of

the company.

Scope of the study

The study mainly aims analyzing and assessing the efficiency of the

quality control of the company.

Methodology

The present study is based on a single unit, and hence case study approach

is accepted as a general method of study. To evaluate the quality control of

the organization certain procedures are used mainly two types of data is

collected viz, primary and secondary data. Primary data is collected by


interviewing managerial personal and other office staff of the co. The

secondary data is collected from published statements and records of the co.

Limitation of the study

1. Owing to constrains of time a detailed and elaborate study could not

be attempted. So information’s relevant for the study has been

collected as far as possible.

2. The study is the pattern of the case study and hence conclusion is

made on a single unit its generation will have its own limitations.

Layout of the study

The study is divided into five chapters. The first chapter contains an

introduction, objective, scope, importance, and limitations study design and

company profile. The second chapter deals with various departments and its

functions. The 3rd chapter deals with theoretical view of quality control.

Forth chapter deals with analyzes and interpretation of data through

collected data. Chapter five the finding, suggestions and conclusion based

on the study.
Purchase department

Right quality and quantity of material is the responsibility of the purchase

department.

Department which is under the control of the purchase manager is in close

association with quality control department, accounts department and the

stores. Purchase department is responsible for all purchases like raw material

machine parts and also knew machines.

An ISO norms the supplier of row material in an authorized dealer the

management committee in the management review meeting gives the

authorization.

The purchase department is responsible for the timely supply of all items

required in the factory also finding new suppliers, raw material market in

peek season for each items. Comparative study of prize and quality is

according to the present market scenario.


Procedure

Row material comes under mainly two categories A and B

A - Major items.

B - Miner items.

A – Major items

Chilly, coriander, turmeric and raw rice.

Purchase order placed with approved vender for major items. The list of past

supplies has been maintained. Based on the annual production plan.

Seasonal material are purchased in bulk quantity during the crop season are

stored.
B – Miner items

Spices, pulses, boiled rice and salt.

These items need small quantities for the production of massalas purchase

from local market which is approved by the factory manager, after quality

wise comparative analyze in lab by quality control officer.

Steps followed for preparation of purchase order

1 production department will raise quantity required, analying,

a) present stock at store

b) indent from various departments

c) production plan for every month.

2 for major items, purchase department have to set minimum 3 quotations

including samples and follow the procedures mainly below.

a) purchase department will prepare price wise comparative

statement.
b) the quality control department will purchase quality wise

comparative statement.

d) based on the above recommendations purchase department

has to put the statement for approval of factory manager /

managing director.

e) after getting approval from the factory manager /managing

director purchasing department can prepare purchase order

to suppliers.

3 quality of each purchase is fired on the basis of

a) Requirement for the marketing department

b) Production plan by production department

c) Availability of row material by purchase department

d) Quality of raw material by quality control department.

4 for approving new venders for major item there after or quotation should

be placed before MRC also with the vender feed back report to the audit

team which is formed with the the consent of managing director for vender

approval.

4 for minor items the purchase officer with approval of managing director

can add new venders in the supplier list.


If there are any immediate requirement the department has the authority to

pass all the procedures and order for item telephonically. In such cases the

supplier should be a regular supplier who believed to supply good quality

material. The purchase order in this case can be send later; purchase

department should also representative for authorization and ratification

required for the purchase from board of directors.

Stores department

Store department releases required items for representative departments

whenever it demands, always keeping the minimum stock level for all raw

materials.

Store department reports to the purchase department when ever the stock

level reaches to minimum level. Purchase department transfer these items to

the stores.

Production and maintenance department reports there requirement in ‘Goods

Requisition Notes’ to the stores department. After getting this note, the

stores department issues the item with ‘Goods Issue Note’ it also release

finished goods to the dispatch deportment when ever supply order comes

from the dealer.


The important function of the stores department is checking and clearing the

row material come into there godown on purchase order. After receiving the

material the stores department prepares goods received notice.

Ware house

There is four different ware house is there in the factory. They are;

1. Large raw material ware houses(spices)

2. Temperature and humidity controlled where houses for miner spice as

and food products.

3. Two packing material ware houses are located in various areas.

All the ware houses are kept in accordance with food materials storage

standards all ware houses are kept in accordance with HACCP

regulations.

Items including in stores

1. Row materials like spices, coriander etc.

2. packing material

3. Consumer stores

4. Consumer spares.
Place of purchase

Chilly - Karnataka and AndraPredesh

Coriander - Rajasthan and Tamil Nadu

Turmeric - Salem (Tamil Nadu)

Wheat - Punjab

Species - Purchased from local market.

Mode of payment

Minimum of one month credit level is the payment method.

Wastage is in a small level as pre-cleaning time of coriander and polishing

of wheat clearing in an ordinary manner. Fifteen days credit is allowing to

the suppliers.
Production department

Organization wealth is determined by production. Production is a process or

set of procedures to be executed in order to convert or transform a set of

inputs in to a pre-determined set of outputs in accordance with the objectives

assigned to production system.

Production is the center one in the organization as it directly with finance,

marketing and personal. Production of goods and services is a broader one.

In general production is equated with manufacturing which is a myopic

interpretation. Fundamentally they look alike.

Mainly four types of production departments are widely using. They are

product layout, processing layout, group layout and stationary layout.

According to the nature of production suitable production methods is using.

In this firm productions of row materials related to different products and

their production in different so machines are located as process layout.

The production processes of row materials are given below:

1. Drying (optional for chilly, coriander and rice)


Drying enables to reduce moister content. Drying is carried out in the

sun light or the dryer at the temperature of about 65-70 degree

Celsius.

2. Pre cleaning (for coriander and rice – done manually).

3. Roasting (optional for masalas)

4. Grinding

5. Blending (for masalas) blend each of them per ratio

6. Sieving (sieve each item with its particular sieves in the sifter)

7. Packing (packed item in polyethylene/polyester/poly laminate

pouches)

8. Weight checking (checking the pouches as per the sampling plan).

The main type of material used

1. Chilly

2. Coriander

3. Turmeric

4. Wheat

5. Spices.

The main machines using in the factory are;

1. Drying machine

2. Roasting machine
3. Grinding machine

4. Sifter

5. Packing machine.

Maintenance type

Preventive maintenance schedule is using. Schedule checklist prepared for

the maintenance. Expedition action is taken for breakdown maintenance so

that it should not effect the production.

Machinery and method of using

The fineness may be different for different products

- chilly and coriander are grinned at 500 microns

- turmeric is grinned at 300 microns

- masalas and puttu podi are at 719 microns

- appam podi at 300 microns

- wheat at 425 microns

100gm, 200gm and 500gm will be packed by using packing machines at 1kg

, 2kg will be packed by manual labors.

The batch number, MRP, manufacturing date, expiry date in sealed

manually.
Production capacity

200 tones / month are the production capacity. The utilization of the capacity

is 100 tones / month.

Types of machines

There is mainly eight types of machines are involved in process they are:

1. Grinding machine : for grinding purpose

2. Huller machine : using for polishing the wheat

3. Sifter machine : for sieving purpose

4. Packing machine : for 100gm, 200gm, and 500gm (above 500gm

done manually

5 Pre-cleaner : using for cleaning the coriander

6 Roaster

7 Drier

8 Mixer.

All machines are purchased from Ahamedabad and Gujarat with one year

guarantee.

Power

Factory has HT connection. Under it they have to pay 25,000 minimum with

a limited units upon it they have to pay unit/paisa. Ordinarily company has

50,000 Rs / month for power.


Quality control department

Quality control is a name given to the collection of

management technique and devices used to manage, monitor and control all

this steps in the production of a product of desired quality. Quality control

has more than a paper empire, it is more than a set of statistical formulas and

tables for acceptance and control. Indeed it is more than a departmental unit

responsible for quality control.

In this raidco family curry powder unit has a good

quality control department, as its product is related to food item, that is why

giving more importance to these quality aspects. This quality control

department testes samples of row materials from suppliers, row material

purchased samples from production area also random checking of finished

goods. The quality control department should draft the specifications for row

materials aspects ISO norms.

Row materials are inspected individually by visual inspection and then by

physical analyzes. --------------- Well as chemical analyzes are tested and

weights of finished pouches are also checked. This test is carried out for

each batch in case of chilly, coriander, turmeric, rice powder and curry

powder.
Awards

1. ISO 9002

2. BIS

These two, ISO 9002, BIS are awarded that the organization goal all ready

for quality work.

Quality policy

1. To supply food products as per customers and legal requirements.

2. To assure timely delivery of materials as per the agreement with in the

dealers/agents and continue improvement of effectiveness of quality

management system

3. The company will deliver the best value for the money of the

customers.

4. To ensure the quality of the product the co follows modern

technologies.

Quality objectives

1. Assuming the product as per specifications

2. Maintaining and improving quality through good manufacturing

process

3. To stimulate an aggressive quality consciousness among all company

together.
Finance / accounts department

Source of finance

1. Shared capital

2. Deposit from dealer

3. Deposit from staff

4. NCDC loan

5. State government

6. Cash credit

These are the sources of finance

Policies of accounting

1. Fixed assets are valued at cost of acquisition less depreciation

2. Depreciation on fixed asset is calculated and provide on straight line

method 10% depreciation is charging

3. Investment is valued at cost

4. Valuation of inventories of finished goods is at cost

All types of ledgers and registers are keeping

Share capital 7 crore

1 20,000 ‘A’ class share of Rs 500 /each 1,00,00,000


2 20,000 ‘B’ class share of Rs 100 /each 20,00,000
3 58,000 ‘C’ class share of Rs 1000 /each 5,80,00,000
7,00,00,000
Paid up capital

No of members Class No of shares Value Amount


1056 A 3023 500 15,11,500
398 B 407 100 40,700
1 C 37123 1000 3,71,23,000
3,86,75,200

1. more than 1 crore from NCDC loan

2. more than 50 lakhs from District Co-operative bank loan 1,50,00,000

in the capital for land, building and machinery charging 10% of

depreciation

Turn over

2003-2004: Rs 2,32,00,000

2004-2005: Rs 2,42,00,000

2005-2006: Rs 2,08,00,000

Purchase amount

2003-2004: Rs 2,17,00,000

Auditor
Assistant registrar of Co-operative bank is the auditor for the

organization. The auditor is appointing according to the rules of the co-

operative sector

Marketing / sales department

Marketing is social and managerial process by witch individuals and

group obtain what they want and need through creating, offering, and
exchanging products of value with other. This marketing includes the

concepts of exchange concepts, product concept / service concept ,

production concept, network concept, sales concept, and satisfactory

concept and relation ship concept. Marketing comes clear only when all

this concepts comes there.

Marketing is certain and delivery of standard of living of customers.

RAIDCO FAMILY CURRY POWDER UNIT has a very good

marketing and sales department. They are doing there marketing all over

Kerala in a systematic way and also planning to market there products in

Gulf countries also. Marketing department working in good systematic

way that gives them good result.

Raidco has the marketing area all over Kerala. Through dealer network

company has district wise area representatives under this they have taluk

wise area distributors.

Distributors – Relations

Four area sales offices are there, located in Kannur, Calicut, Kottayam

and Trivandram. It has good marketing system through its dealer, which

comes around 14 menbers.


Company is adopting ‘Direct to retailers’ system in one district (Wynad)

on experimental basis. Sales representatives are responsible to submit

monthly sales report to marketing department. Company is supplying

according to the order by respective dealer through prescribed ordering

form. If order received verbally or telephonically a written statement is

made and order requirement are agreed before there acceptance.

Goods are supplying as per order with in week using dealer network. For

this purpose marketing department is desired to start regional godown to

stock the goods.

Promotion policy

Advertisement program covers different media like Television, News

papers, Magazines, Theaters and also Railway station platform, Wall

paints, Banners, Stickers, and Hoardings etc.

Advertising agency = Idea world

Sales promotion method includes company items to dealers. Dealers may

give cash discount up to 4% to 10% for ready payment. The company also

adopts other attractive scheme in festival season.

Pricing

Price of the product changes from each batch. The pricing of the products

based on the rest of the production.


According to this method only ‘RAIDCO FAMILY CURRY POWDER’

doing there marketing and sales in Kerala.

Feed back

Company appoints district wise sales representatives for immediate feed

back. Marketing manager conducting an area sales meeting for knowing

sales of the product and complaint from customers, area sales representatives

are in close contact with sub dealers and retailers for recognizing the
customer preference, complaints goods replaces immediately by marketing

department.

In addition to the marketing department conducts sales meeting in every

month to analyze the sales in this meeting the Marketing manager will give

necessary instructions to the sales representative.

Competitors

1. Mangala Curry powder

2. Amma Curry powder

3. Eastern Curry powder

4. Saras Curry powder

5. Rani Curry powder

6. Panda Curry powder

7. Diners Choice Curry powder

Among this Raidco comes under first five

Company is giving 15 days credit policy only for those giving bank

guarantees. Company is now in growing stage, day by day company’s

market share is increasing although there are a lot of competitors are there

while this unit was establishing, again Raidco is showing a good


performance. Now company is aiming to come among leading 3 positions in

curry powder market.

Human resource department

Factory has 50 causal workers and 20 permanent employees.

SHIFT OR WORIKING HOURS

1st shift 6.00 am To 2.00 pm

2nd shift 2.00 pm To 10.00 pm

General shift 9.00 am To 5.30 pm

3rd shift (if necessary) 10.00 pm To 6.00 am

General shift is only for ladies. Other shift only gent’s workers are working.

Tea brake is there for 10 minutes 2 times and half an hour lunch breaks.

Trade unions

KCEU - Kerala Co-operative Employ Trade Union(CITU)

KCEF - Kerala Co-operative Employ Front (INTUC)

Recruitment policy

The head office situated in Kannur under take the placement. Recruitment is

done through Advertisement-Written test – Interview- Selection.


Probation period is up to one year. Recruitment is also from the educational

institution like industrial training institute. Continues training schedule is

giving.

On-the-job training is given for employees. Individual records for training

are kept and maintained properly. Evaluation is on the basis of ranking.

Wage and salary

Administrative department is responsible for wage and salary. Wage and

salary is giving according to the kerala state rules. LD clerk grade employ

are given to pay scale of Rs.3295/- in probation period after that these will

get Rs.80/- additional and 38% dearness allowance. Apprentice trainee will

be given a stipend of Rs.1090/- casual workers according to factory act men

Rs.75/- day woman also driven Rs.70/-day also an additional amount of one

day wage for a week.

Bonus, PF, Allowances

Bonus 8.33% is, and giving up to 20% in the profitable year. Provident

found deduction of 12% from salary, pention benifites deduction of 12%

from salary. Employee is getting medical allowance of Rs 100, production

worker get Rs 300 as uniform allowance and 20 washing allowance.

RETAIRMENT AND TRANSFER OF EMPLOY

Age for retirement in 58 years will be given PF and pension Fond.


Transfers: punishment transfer, requested transfer and general transfer.

General transfer is normally performed in April or May.

Three types of leave allotted to the workers.

- 15 casual leaves

- Earned leave of 20 days in the ratio of 18:1 and medical leave of ten

days.

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