ORGANIZATION STRUCTURE TRAINING

AT
HATSUN AGRO PRODUCT Ltd.

A Report submitted in partial fulfillment of the requirements for the degree of

Master of Business Administration

By

SUVETHA SEKAR

REGISTER NUMBER
2128053

Under the Guidance of

PROF. SONIA MATHEW

MBA PROGRAMME
SCHOOL OF BUSINESS AND MANAGEMENT
CHRIST (DEEMED TO BE UNIVERSITY), BANGALORE
(Times New Roman, Font Size 16, Centre Alignment, Bold)

JUNE 2020

1
 ORGANIZATION STRUCTURE TRAINING
AT
HATSUN AGRO PRODUCT Ltd.

A Report submitted in partial fulfillment of the requirements for the degree of

Master of Business Administration

By

SUVETHA SEKAR

REGISTER NUMBER
2128053

Under the Guidance of

PROF. SONIA MATHEW

MBA PROGRAMME
SCHOOL OF BUSINESS AND MANAGEMENT
CHRIST (DEEMED TO BE UNIVERSITY), BANGALORE

JUNE 2020

2
 Declaration

I hereby declare that the Organization Structure Training report on HATSON AGRO
PRODUCT Ltd., has been undertaken by me for the award of Master of Business
Administration degree. I have completed this study under the guidance of Prof. Sonia
Mathew.

I also declare that this Organization Structure Training report has not been submitted for the
award of any Degree, Diploma, Associate ship, Fellowship or any other title, in CHRIST
(Deemed to be University) or in any other university.

Place: Bengaluru ______Signature_____________

Date: Suvetha Sekar

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 Certificate

This is to certify that the Organization Structure Training report submitted by Suvetha Sekar
is a record of work done by her during the year 2021 under my guidance and supervision in
partial fulfillment of the requirements of Master of Business Administration degree..

Place: Bengaluru ______Signature______________

Date: Prof. Sonia Mathew

MBA Programme
School of Business and Management
CHRIST (Deemed to be University)
Bangalore

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Certificate by Corporate in Letterhead

5
 Acknowledgement

I am indebted to all the people who helped me accomplish this Organisation Structure
Training successfully.

First, I thank the Vice Chancellor Dr Fr Abraham VM, CHRIST (Deemed to be

University), Bangalore, for giving me the opportunity to do my project.

I thank Dr.Jain Mathew, Dean, Dr.GeorgyKurien, Associate Dean(Main Campus),

Dr.Jeevananda S, Associate Dean (Kengeri Campus), Prof.Sirish V, Head (Main Campus),
Prof. Krishna MC, Head (Kengeri Campus), of MBA programme, School of Business and
Management, CHRIST (Deemed to be University), Bangalore, for their kind support.

I thank Prof. Sonia Mathew for her support and guidance during my training. I
remember her with much gratitude for her patience and motivation, but for which I could not
have submitted this work.

I wish to express my sincere thanks to my corporate mentor, Mr PQR, Manager, XYZ

Ltd., for giving me an opportunity to work under her guidance and successfully complete my
training.

I thank my parents for their blessings and constant support, without which this
training would not have seen the light of day.

Suvetha Sekar
2128053

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Synopsis

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Chapter Page
TABLE OF CONTENTS
No. No.
1
INTRODUCTION TO ORGANIZATION
2
ORGANIZATION STRUCTURE
3
FUNCTIONAL DEPARMENTS
4
SWOT ANALYSIS
FUNCTIONAL HIGHLIGHTS ACROSS KEY RESULT
5
AREAS
FINDINGS, RECOMMENDATIONS AND
6
CONCLUSIONS

REFERENCES / BIBLIOGRAPHY

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Table Page
No. LIST OF TABLES No.

9
Fig Page
No. LIST OF FIGURES No.

10
     

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 CHAPTER 1

INTRODUCTION TO
ORGANIZATION

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1.1 INTRODUCTION:
Hatsun Agro Product Ltd is a manufacturing industry that is committed to
provide enriching nutrition to families by introducing them to an extensive range of high
quality dairy products. It also manufactures and markets quite a large degree of products for
both cooking and consumption for example : milk, curd,  ice creams, dairy whitener,
skimmed milk powder, ghee, paneer, and lots more.
Hatsun has become one of the familiar brands in the households of millions of
Indian houses. Few brands that are associated with hatsun, that are familiar like, Arun
Icecreams, Arokya milk, Hatsun curd, Hatsun paneer, Hatsun ghee, Hatsun dairy whitener,
Ibaco, oyalo.
Hatsun has a healthy global presence where diary ingredients are exported over
42 countries, especially America, the Middle East, and South Asian markets.

1.2 HISTORY OF THE ORGANISATION:

Hatsun Foods was first formed as a private limited company in March 1986
by R G Chandramohan. In April 1986, the company was partnered with Chandramohan & Co
as a partnership firm that has been promoted by the same promoter. During the same month
Chandrmohan & Co was dispersed and all the assets and liabilities of the firm conferred with
the company except the Arun brand name which was devolved with R G Chandramohan. In
1987 the company attained the Arun brand name liabe to a payment of 1% royalty on the
company's gross ice cream sales revenue.
The company has became a public limited company in August 1995.Till
April 1995 the company was doing its manufacturing activities. It cancelled its production
facilities at Tolgate unit since the facilities became old and live longer than its values. The
company has made a new 250-kVA windmill for power generation. In January 1996,
Company’s name has been modified with the authorization of the Central Government from
Hatsun Milk Food Limited to Hatsun Agro Product Limited in effect from 7 April 1998.The
Company has stretched its activities and entered into production and sale of Toor Dhall and
Urad Dhall under the brand name 'Apurva'. Ajith Dairy Industries too joined with the
company. The company has also integrated Hatsun Foods Company Ltd. During 2000-2001
the company's second dairy plant was made to order at Belgaum.

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 In 2007 Hatsun Agro Products (HAP) began a new format of ice cream
parlour called Arun Unlimited Parlour'. In 2010, Hatsun Agro Products (HAP) specially
made dairy plants at Madurai.In 2012, Hatsun Agro Products (HAP) started a new premium
ice cream parlour format called IBACO'. During the year the company assigned dairy plants
at Thalaivasal in Tamil Nadu a milk processing plant at Honnali near Davengere Karanataka
and also initiated commercial production at its curd plant located at Vellichandai Dharmapuri
district in Tamil Nadu.
In 2013 Hatsun Agro Products (HAP) finished the attainment of the resources
of a cattle feed plant from SKM Egg Products Export (India) Limited. In 2014, Hatsun Agro
Products (HAP) gained dairy business of Jyothi Dairy Private Limited. In 2015, Hatsun Agro
Products (HAP) developed a feed mill unit owned by VKS Farms Private Limited
Coimbatore. In 6 March 2017 Hatsun Agro Products (HAP) publicized that it has appointed
wind power plants with 24 MW capacity at Tuticorin district Tamil Nadu. The power
fabricated from the plant will be used for captive utilization.
Hatsun Agro Products specially made an automated packaging film unit a
greenfield project at Wallajabad near Chennai and initiated its commercial creation in
October 2017.In June 2018, Hatsun Agro Products commenced a rights issue of equity shares
for prepayment/repayment of borrowings availed by the company. The rights issue was
proposed in the ratio of one share for every 16 shares held on the record date. The issue was
priced at Rs 555 per share.
1.3 VISSION, MISSION AND STRATEGIES OF THE ORGANISATION:
 VISION:
Hatsun Agro Product has a very determined vison of to become the nationally
admired OSHE(Occupational Safety, Health, and Environment) leader in the Agro industry
space.

 MISSION :
To Create a safe and productive non-polluting environment by developing and
implementing a world-class OSHE framework based on leadership commitment and
stakeholder involvement.

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  STRATEGY:
Hatsun Agro Product Limited is dedicated to ensuring that all employees,
contractors, and visitors are safe and healthy while on the job. They will continue to pursue
their interest in Occupational Safety, Health, and the Environment by:
 Prioritizing Occupational Safety and Health in everything we do.
 Ensure that all legislative regulations relating to safety, health, and the environment
are followed to the word and spirit.
 Employee participation and empowerment are key to achieving continuous
improvement in Occupational Safety, Health, and Environmental performance.
 Establishing appropriate procedures and work habits, as well as providing the required
resources and offering ongoing training.

 OBJECTIVES:

Hatsun Agro is the largest private sector Dairy Company in India having wide
range of dairy products catering to million households ranging from Milk, Ghee, Panneer,
Curd to Ice creams.
 Their main objective is to achieve sustainability at every stage of the goods'
life cycle, from procurement to distribution, and they do so to the best of their
ability, without sacrificing quality, brand building, distribution infrastructure,
and world-class manufacturing techniques.This policy has been effectively
communicated to all staff.
 All Hatsun units have sufficient mechanisms and processes in place to
guarantee that the Policy and legislative provisions are followed, including
grievance redress through members of management committees.
 Compliance with the policy will be monitored on a quarterly basis by the
Senior Management Committee. The Policy's implementation will be overseen
by the Board's CSR committee.

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1.4 PROFILE OF PRODUCTS:

FRESH MILK GHEE ICECREAM OTHERS

AROKYA offers Hatsun offers milk  Arun Icecreams Hatsun brand, the
 full cream based products offers Company offers
milk, Ghee.  Arun  curd,
 double toned Icecreams  paneer,
milk,  iCone,  butter,
 toned milk,  Arun  cooking
 curd Icecreams butter
 milk cans.  iBar  dairy
 Kid's Bars. whitener

Arokya Milk offers IBACO offers Hatsun Dairy

 milk-based  Ice Cream Ingredients products
refreshments, Cakes include
such as  Signature  milk
 milkshakes, Cones. powder,
 yogurt shakes, such as

 yogurt  full cream

toppings, milk powder

 paneer  dairy

 snacks whitener,

coffee  Cream
products,
 butter oil,
 frozen
cream
 lactic butter.

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 CHAPTER 2

ORGANIZATIONAL STRUCTURE

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18
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 CHAPTER 3

FUNCTIONAL DEPARTMENTS

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The functional departments of hatsun agro product limited is as follows:

 Milk procurement
 Human Resource management
 Ditribution
 Logistics
 Marketing
 Operation Sales
 Quality Management
 Animal Husbandry
 Finance
 Audit
 Corporate Affairs

 MILK PROCUREMENT:
Hatsun Agro Product buys fresh milk from farmers directly. Hatsun
has over 10,000 Hatsun Milk Banks (HMBs) encompassing over 13,000 villages to
help with this process. The total quantity is computed based on the quality and
number of litres poured by the farmer. This procedure is followed by every farmer
that brings milk to the HMB. Hatsun takes a number of steps to assist farmers in
obtaining enough quantities and quality of milk (as per strict QA standards). At
almost 1100 locations, a new and improved technique for procuring and chilling milk
at the village level called ABC (Active Bulk Cooler) has been implemented. As the
milk is cooled at the beginning of the process, commencing in the village, this helps
us improve quality and maintain freshness.
 Farmers have more freedom to pour their milk (3 hours of milk collection
every shift).
 Instant chilling at the village level within 2 hours (improving the quality of
farmers' milk).
 Avoiding milk deterioration and spillage
 Improved MBRT hours
 Reduce aluminium can consumption

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The process flow diagram for milk procurement is given below:

Feeding practices of animals

Medication for animals

Cleaning of milking area/udder/teats

Milking through cleaned milking equipment

Milk Collection

Checking the quality of milk at collection centers

Transfer of milk to clean cans and putting lid

Transportation of milk cans to chilling center/ABC through route vehicles

Grading of milk – Organo leptic inspection (OT)

Sampling Testing (As per quality plan)

Weighment

Chilling ≤4°C

Storage ≤5°C

Testing (As per quality plan)

Dispatch to dairy through tankers Along with quality report (≤5°C)

Figure 3.1 flow diagram of Milk procurement

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Hatsun ensures that its products are procured in a sustainable manner throughout a diverse
product portfolio.
 This policy has been effectively communicated to all staff.
 All Hatsun units have sufficient mechanisms and processes in place to guarantee that
the Policy and statutory provisions are followed, including grievance redress through
members of Management committees.
 Compliance with the policy will be monitored on a quarterly basis by the Senior
Management Committee. The Policy's implementation will be overseen by the
Board's CSR committee.

 QUALITY MANAGEMENT:

The basic framework of how quality management is done in HAP is shown

Figure 3.2 Framework of Quality management process

The following ten practices are identified to be followed by HAP for Quality
Management :
high management commitment and support, quality organisation, worker
coaching, worker participation, supplier quality management, client focus, continuous
support, quality system improvement, information and analysis, and the use of applied
math quality techniques.

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  The price per litre of milk is established by testing the quality.
 The two key quality parameters are Fat and SNF .
 The farmer is paid every 10 days based on this.
https://www.ijtsrd.com/papers/ijtsrd39921.pdf
 HUMAN RESOURCE MANAGEMENT:
The company considers its people resources to be its most valuable asset, and
attracting, retaining, and developing talent as a resource as its top priority. The
company creates a pleasant working environment that encourages innovative thinking.
Training programmes have been organised for personnel at all levels, as necessary, as
part of workforce development and to improve operational efficiency. The Company's
HR programmes are focused on developing capabilities and engaging people through
a variety of activities to assist the organisation consolidate and achieve long-term
growth. Throughout the year, the working relationships at all of the manufacturing
facilities remained positive. Employee communication was effective through multiple
means, ensuring that all employees were brought up to date on the current company
condition. It has aided the company in developing mutual trust and confidence among
employees.
 DISTRIBUTION :
The route plan defines the pick-up timing and schedule, ensuring the milk
sourcing truck arrives at the Hatsun Milk Chilling Centre (CC) on time. HAP operates
over 1,200 rural milk sourcing routes with an allocated route plan.

Figure 3.3 Distribution Diagram

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 LOGISTICS:
HAP has a cold-chain network that is efficient and extensive, ensuring that
their customers receive fresh milk every day. On a daily basis, the puff-insulated
trucks drive around 5,00,000 miles across Tamil Nadu, Karnataka, Andhra Pradesh,
Telangana, Maharashtra, Kerala, Goa, Gujarat, Chhattisgarh, and Orissa. With over
3078 Hatsun daily Outlets, we also have a strong logistics and distribution network
for our products.
In the ice cream and milk industries, the company has a strong logistics and
distribution network. Arun Icecreams has around 2305 parlours scattered across Tamil
Nadu, Andhra Pradesh, and Karnataka. The company also has fourteen cold room
distribution sites strategically positioned for quick and easy distribution of its goods.
The Company's milk distribution network includes 1400 Hatsun distribution
centres and 650 Arokya / Hatsun Milk dealers. More than 1348 vehicles handle
distribution, each traversing a distance of 200 to 250 kilometres every day.
https://www.indiamart.com/hatsun-agro-products-limited-chennai/infrastructure.html
 ANIMAL HUSBANDRY:
The Animal Husbandry team is vital to improving dairy farm
profitability by increasing milk production efficiency and lowering costs. Animal
Husbandry professionals work closely with the feed team to supply farmers with a
complete combination of forages and concentrates. In addition, trained animal health
professionals recruited by the Company safeguard the health of the animals, allowing the
farmers to continue to supply the Company with high-quality milk. They also educate
farmers on the best practises for preventing cattle diseases. In addition, trained animal
health professionals recruited by the Company safeguard the health of the animals,
allowing the farmers to continue to supply the Company with high-quality milk. They
also educate farmers on the best practises for preventing cattle diseases. The villages are
visited by a skilled crew of inseminators who give AI services using high-quality bulls.
The purpose of this procedure is to ensure that milch cows produce a calf with
improved genetic traits every year. With a first-of-its-kind Cattle Management System,
all of the cattle are efficiently managed. They're marked, and their data is kept track of.
The company works directly with large farms to find appropriate technologies that will

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assist decrease labour and uses powerful tools to help monitor bulls and improve their
output, resulting in cost savings and increased profitability.

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 CHAPTER 4

SWOT ANALYSIS

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SWOT stands for Strengths, Weaknesses, Opportunities, and Threats, and it's a useful
tool for identifying where a company or organisation is now and where it might go in the
future. It considers both internal and external elements, such as a company's strengths and
weaknesses, as well as opportunities and threats. The procedure can provide you with a
strategic perspective of the company and the environment in which it works. Many
students, corporations, and organisations use this crucial, although difficult-to-understand,
tool for analysis. HAP is the subject of the following SWOT analysis. HAP’s Strengths,
Weaknesses, Opportunities, and Threats are depicted in this analysis. The SWOT analysis
will provide us with a clear view of the current business environment in which HAP
operates.

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