1.

1 ORGANIZATION STUDY AN OVERVIEW

Organizational Functioning is an important factor for any Organization to achieve
the desired goals and Objectives. This requires Co-ordination at all levels to
smooth functioning. This report aims to understand the Function of Swamy &
Swamy Plantations Private Limited relation to different departments.
As a part of two year MBA program at the end of 1 s t semester, we had to carry on
a project in an organization in order to understand the organization structure and
their functions. This was a great opportunity to get the first hand information and
understand the functioning of the various departments.
I did my Organization Study at Swamy & Swamy Plantations Private Limited,. It was a
great learning experience as it is quite necessary for all the management students.
The main purpose of doing the organization study was to study the various
departments of the organization and understand their basic functions, their
purpose, achievements, competitors and the mission and vision of the company
and their progress towards that.
All general information we get in course is all book knowledge, on which we
entirely cannot depend. It is very important to observe the actual working of an
organization

and

the

overall

structure

of

an

organization.

The

actual

professionalism can be studied only through experience.

CONCEPT OF ORGANIZATION
Organization is the process of;
1. Identifying and grouping the work to be performed
2. Defining and delegating responsibility and authority
3. Establishing the relationship for the purpose of enabling people to work efficiency together in
accomplishing objectives.
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PRINCIPLES OF ORGANIZATION
Principle means the theoretical basis on which something is built up. The theoretical
basis is formulated from fundamental truth. Some of the important principles to be followed for
developing round and efficient organizations are:

Principle of unity of objective.

Principle of specification.

Principle of co-ordination.

Principle of unity of command.

Principle of span of control.

Principle of exception.

Principle of flexibility.

Principle of simplicity.

Principle of communication.

Principle of efficiency.

REQUSITIES OF A GOOD ORGANISATION

1.1.1

The objective are to be clear, candid and well defined and the organization must have

a capacity to achieve it.

All activities therein must be implemented easily and effectively.
All activities therein must be properly coordinated.
Organization must be complete; it should include all essential activities.
The communication system within the organization must be effective.
The span of control at all level must be reasonable.
There should be provisions for future expansion, whenever needed.
All activities and functions should follow defined procedures.
The organization must be such that it promotes the morality of employees.
There should be a proper diversion of authority and responsibility.

NATURE & SCOPE

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The study focus on the overall structure of the organization. In this study, the researcher analyzed
the overall functioning of the firm and also the financial performance of the enterprise. The
researcher made a moderate attempt to have the SWOT analysis of the study.

1.1.2

OBJECTIVES

The objectives of the study are :

To understand organization structure
To understand the industrial discipline in the organization and the responsibility of the
employees
To know various activities involved in the organization
To identify strength and weakness of the organization and also identify opportunities for
improvement

1.1.3

METHODOLOGY
1. PRIMARY DATA- Primary data were collected from discussions with the Managerial
head of the various departments.
2. SECONDARY DATA- Secondary data were obtained from websites and other
concerned books.

1.1.4

LIMITATIONS
Difficulty in meeting with all the Top level Officials.
Certain areas are restricted, so a detailed study is not possible.
Time allotted for the study is insufficient.

1.2 INDUSTRY ANALYSIS

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1.2.1 GLOBAL SCENARIO

India is the largest producer of tea in the world with annual production of over 900 million Kgs,
representing over 28% of the world production of 3.2 billion kgs. The Indian Tea Industry was in
recession for the last few years due to high level of taxes, very high social cost, low labor
productivity, no commensurate change in wages to changes in productivity or realizations and
unavailability of adequate funds for replanting and rejuvenation of old tea bushes. Over the last
20 years, Indias world ranking as an exporter has come down from number one to number four,
in the face of stiff competition from Sri Lanka, Kenya, and China. During the last few years,
exports from India have been languishing owing to the low international prices particularly for
tea imported from Africa and Vietnam. This also resulted in cheap imports into India for reexports thus impacting domestic prices.
However, after seven years of recession, the Indian Tea Association (ITA) hopes to regain the
growth momentum, which it enjoyed in the mid-nineties.
The situation in the world markets for tea can be characterized by over supplies, a slow growth in
demand, and a fierce competition. It is necessary to reduce global supplies by increasing
domestic consumption, curtailing production or at least limiting further extension of area, and
developing new markets.

1.2.2 TEA INDUSTRY IN INDIA

The tea industry in India is about 172 years old. It occupies an important place and plays a very
useful part in the national economy. Robert Bruce in 1823 discovered tea plants growing wild in
upper Brahmaputra Valley. In 1838 the first Indian tea from Assam was sent to United Kingdom
for public sale. Thereafter, it was extended to other parts of the country between 50's and 60's of
the last century. However, owing to certain specific soil and climatic requirements its cultivation
was confined to only certain parts of the country. Tea plantations in India are mainly located in
rural hills and backward areas of North-eastern and Southern States.
Major tea growing areas of the country are concentrated in Assam, West Bengal, Tamil
Nadu and Kerala. The other areas where tea is grown to a small extent are Karnataka, Tripura,
Himachal Pradesh, Uttaranchal, Arunachal Pradesh, Manipur, Sikkim, Nagaland, Meghalaya,
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Mizoram, and Bihar. Unlike most other tea producing and exporting countries, India has dual
manufacturing base. India produces both CTC and Orthodox teas in addition to green tea. The
weightage lies with the former due to domestic consumers preference. Orthodox tea production
is balanced basically with the export demand. Production of green tea in India is small. The
competitors to India in tea export are Sri Lanka, Kenya, China, Indonesia and Vietnam.
Tea is an agro-based commodity and is subjected to vagaries of nature. Despite adverse
agro climatic condition experienced in tea growing areas in many years, Indian Tea Plantation
Industry is able to maintain substantial growth in relation to volume of Indian tea production
during the last one decade. There has been a dramatic tilt in tea disposal in favor of domestic
market since fifties. While at the time of Independence only 79 M.Kgs or about 31% of total
production of 255 M.Kgs of tea was retained for internal consumption, in 2008 as much as 802
M.Kgs or about 82% of total production of 981 M.Kgs of tea went for domestic consumption.
Such a massive increase in domestic consumption has been due to increase in population, greater
urbanization, increase in income and standard of living etc. Indian tea export has been an
important foreign exchange earner for the country.
There was an inherent growth in export earnings from tea over the years. Till 70s, UK
was the major buyer of Indian tea Since 80s USSR became the largest buyer of Indian tea due to
existence of the trade agreement between India and erstwhile USSR. USSR happened to be the
major buyer of Indian tea accounting for more than 50% of the total Indian export till 1991.
However, with the disintegration of USSR and abolition of Central Buying Mechanism, Indian
tea exports suffered a setback from 1992-93. However, Indian Tea exports to Russian countries
recovered from the setback since 1993 under Rupee Debt Repayment Route facilities as also due
to long term agreement on tea entered into between Russia and India. Depressed scenario again
started since 2001 due to change in consumption pattern, i.e. switch over from CTC to Orthodox
as per consumer preference and thus India has lost the Russian market. Another reason for
decline in export of Indian tea to Russia is offering of teas at lower prices by China, South Asian
countries like Indonesia and Vietnam.
The major competitive countries in tea in the world are Sri Lanka, Kenya, China and
Indonesia. China is the major producer of green tea while Sri Lanka and Indonesia are producing
mainly orthodox varieties of tea. Kenya is basically a CTC tea producing country. While India is
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facing competition from Sri Lanka and Indonesia with regard to export of orthodox teas and
from China with regard to green tea export, it is facing competition from Kenya and from other
African countries in exporting CTC teas. Because of absence of large domestic base and due to
comparatively small range of exportable items, Sri Lanka and Kenya have an edge over India to
offload their teas in any international markets. This is one of the reasons of higher volume of
export by Sri Lanka and Kenya compared to India. Another important point is that, U.K has
substantial interest in tea cultivation in Kenya.
Most of the sterling companies, after the implementation of FERA Act started tea
cultivation in Kenya. So, it makes business sense for U.K. to buy tea from Kenya and Kenya
became the largest supplier of tea to U.K. Tea is an essential item of domestic consumption and
is the major beverage in India. Tea is also considered as the cheapest beverage amongst the
beverages available in India. Tea Industry provides gainful direct employment to more than a
Million workers are mainly drawn from the backward and socially weaker section of the society.
It is also a substantial foreign exchange earner and provides sizeable amount of revenue to the
State and Central Exchequer.

1.2.3 ENVIRONMENTAL STUDY - PEST ANALYSIS

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A PEST analysis is concerned with the environmental influences on a business. The acronym
stands for the
Political
Economic
Social
Technological

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Political factors
Trade Agreements
Employment laws
Tax policy
Trade restriction and Tariffs
Political stability
Environmental regulations
Industry specific regulations

Economic factors
Demand for food and beverages
Customers buying power
Exchange rate and taxation
Economic growth
Foreign Investment
Foreign Investment
Interest Rate
Raw material Availability

Social factors
Population growth rate
Health Consciousness
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Social cultural changes

Trend of Buyers
Career attitude
Consumer preference
Change in life style and occupation
Education

Technological factors
Advances in manufacturing
IT developments
Research and development activities
Industrialization

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1.2.4 MARKET FORCES - PORTERS MODEL

T h rea t o f
S u b s titu t
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B a r g a inP ir o d u c t
ng
Pow er of
S u p p lieT hr r e a t
of new
E n tr a n
ce

B a r g a in
in g
Pow er
of T h
B u y e re
in d
u st
ry

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Industry rivalry [High]

Low switching costs.

There are approximately700 tea companies in India hence there is intense rivalry amongst
them.
Market is dominated by a large number of unorganized players.
Industry growth is slow.

Bargaining Power of Buyers [High]

Not much product demarcation in terms of taste also low switching cost.
There are a large numbers of buyers purchasing the manufactured goods.
Buyers purchase a huge quantity of the industrys total production.
The bargaining power of buyers is extremely high as the buyers have numerous options
on hand.

Bargaining power of suppliers [Low]

There are substitute like coffee available.

Suppliers product creates low switching cost.
There are a large number of produces of tea in India.

Threats of substitutes [Moderate]

Substitutes coffee, cold drinks, fresh juices

Existing customers are loyal
The existing products quality and performance may be better.
Substitutes price may be lower. As there are so many players in the industry a price war
is unavoidable.

Threats of new entrants [High]

Encouraging government policies like food and beverages act.

Large untapped rural markets for branded tea segment in rural India and Indian tea in
global markets.

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2.1 BACKGROUND OF THE ORGANIZATION

Swamy & Swamy Plantations Private Limited
Housed in the serene blue hills, popularly known as The Nilgiris which houses the bio-sphere
reserve in itself and is home to many unique flora and fauna in the vicinity of Coonoor, is the
prestigious tea garden HIGHFIELD ESTATE. Located at an elevation of 1800maters above
MSL, the garden is naturally endowed with the favorable environment for tea cultivation. The tea
garden is a surrounded by Reserve Forest and a stream flows through the Estate which is a boon.
At Highfield Estate this setting is being harnessed by professionally competent people to offer
quality tea to consumers.
A little history on the Highfield Tea Garden reveals that this garden was under the ownership of
Mrs. Miller, E.G.A, during the pre-independence period. Later it was maintained by M/s. J.S.
Omrigar & Sons, Bombay, till 1958, followed by M/s. Ratan Lal & Sons till 1972. Then the
Estate came under the ownership of the Founder Chairman Late S.K. Kumaraswamy. Now, the
Estate is guided by the industrious and enthusiastic Chairman Mr. K. Kandavadivel, whose
foresighted and insightful thoughts has placed the Estate in a prestigious niche.
The Estate is managed by Mr. Benjamin Bino, whose professional competency in production
both in field and factory aids adopted scientific crop production techniques to realize highest
crop yields, apart from manufacturing quality tea. The high yield levels experienced in the Estate
is made possible by practicing chemical oriented inorganic inputs. Continuation of high input
chemical-oriented tea husbandry could harm the natural resources that support cultivation of tea.
Hence with a long-term concern, a shift towards organic tea cultivation practices is embarked
upon, in the Estate, now. Our conviction in favor of the organic practices is attempted by
preserving the natural vegetation, the rivulet that runs through our Garden and creating facilities
to prepare compost (out of Goat and Cow During raised in the garden) and vermicompost.
Further, we have obtained the certificate for implementing Organic Practices in Tea Cultivation
from Control Union, Mumbai. We are also making efforts to obtain similar certifications from
International Bodies like Rain Forest Alliance(RFA) and Institute for Market Ecology(IMO) for
our Eco-friendly cultivation practice.
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Previously the company was manufacturing black CTC Tea. Later on the Company went for up
gradation and started dual Manufacture of CTC and Orthodox black teas. After the companys
green initiation it has started manufacturing Green Tea to cater to the requirements of health
conscious and organic tea lovers.
In view of above, one will appreciate that we are taking efforts in the Organic front focusing the
people who have become health conscious and are looking towards organic food and beverages.
In addition to its mainstay viz. the tea garden, the Estate houses a recreational park sprawling
over 4 acres. The breeze swept part with its flora attraction offers a panoramic view of the
mountain landscape which is unique and scenic as well. The relaxed ambience present in the
Park offers a smoothening and refreshing experience. For the sporty persons, training in Golf,
Horse Mounting and Riding is available.

2.2 THE MISSION AND VISION

MISSION OF SSP
To produce a consistently high quality product, exceeding customer expectations, at the lowest
cost and creating an environment for work excellence, ensuring sustained growth with
commitment towards social and environmental values.
VISION OF SSP
To collectively create a unique and sustainable business with the commitment and involvement
of all the employees as partners.
VALUES OF SSP
To conduct our business with complete transparency while aiming for treating people with care
and compassion.

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2.3 SWOT ANALYSIS

STRENGTH

Strong demand for tea in the domestic market

Well maintained tea gardens
Employee ownership in equity capital
Salubrious climatic conditions for tea cultivation
Strong production base
Motivated manpower with experience and expertise in tea production
Strong research and development department
Effective participative management structure
Nilgiris gaining popularity in world tourism map
Successful non-tea operations
Largest tea corporate in south India
Good export performance

WEAKNESS

Difficulty in mechanization due to geographical structure of land

Bulk of Tea sales happens through auctions where the price is highly unstable
The company is not having an established brand in market
Diminishing availability of labor
Old age of the tea bushes

OPPORTUNITIES

New international operations

Growing demand for tea as a health attribute
Develop branded tea by promoting RIPPLE which is presently in its initial stage
Huge scope available for tourism and related areas
Establish itself as a premier agri-corporate

THREATS

Increasing labor costs and cost of production

Changing climatic conditions can affect the yield of tea production
Competitions faced in the domestic as well as international markets
The need to support the huge man power
Lack of manpower availability to meet labor intensive plantation operations

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2.4 PRODUCT MIX

White Tea
White tea is similar to green tea, in that it's undergone very little processing and no fermentation.
But there is a noticeable difference in taste. Most green teas have a distinctive 'grassy' taste to
them, but white tea does not. The flavor is described as light, and sweet. You should steep white
tea in water that is below the boiling point.
There is also considerably less caffeine in white tea than the other varieties (15mg per serving,
compared to 40mg for black tea, and 20mg for green). Some studies have also shown that white
tea contains more active cancer-fighting antioxidants than green tea.
As with all teas, there are many varieties of white tea, with poetic names such as: white peony,
golden moon, silver needle and white cloud. White teas are produced mostly in China and Japan,
but the Darjeeling region of India also produces some fine white teas.
Green Tea
Green tea is nothing more than the leaves of the camellia sinuses that have been processed a
certain way. Green teas, like white teas, are closer to tasting like fresh leaves or grass than the
black or oolong. They are also lower in caffeine and have higher antioxidant properties.
Preparation
First, the green leaves are seen how much oxidation should take place before drying them out.
Tea leaves have enzymes in their veins. When the leaf is broken, bruised, or crushed, the
enzymes are exposed to oxygen resulting in oxidation. The amount of oxidation depends upon
how much of the enzymes are exposed.
Processing of Green Tea
The processing of green tea is similar to that of white tea in that it does not oxidize. After the
leaves are plucked, they are (sometimes) laid out to wither for about 8 to 24 hours. This lets most
of the water evaporate. Then, in order to neutralize the enzymes thus preventing oxidation, the
leaves are steamed or pan fried. Next the leaves are rolled up in various ways and tightness. After
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that, a final drying takes place. Since no oxidation took place, the tea has more of a green
appearance. From there, it goes off to be sorted, graded, and packaged.
Black Tea
Black teas are the most consumed of the four types of teas. They are the highest in caffeine.
Black tea is the most popular tea in the world. It is the tea most widely used in making iced tea
and English tea. Since the process of making black tea consists of three main stages, cut, torn
and curled, it is also known as C.T.C tea. After cutting, the leaves are first spread on shelves
called withering racks.
Air is blown over the leaves to remove excess moisture, leaving them soft and flexible. These
withered leaves are then crushed between the rollers of a machine to release their flavored juices.
In the tearing process the cells of the leaves are exposed and the oxidation process begins. They
are then taken to the fermenting room where under controlled temperature and humidity, they
change into copper color. Finally they are dried in ovens, where they are curled by heat and
become brownish black.
It is made by steaming the leaves in large vats. The steaming prevents the leaves from changing
its green color, hence the name. The leaves are then crushed in a machine and dried in ovens. It is
produced by using many of the same techniques that were practiced centuries ago.
Scented Tea
Scented or Flower tea is either green or white tea that has been infused with certain flowers,
which impart a delicate and interesting taste, and of course a wonderful aroma. As with black tea
and milk or sugar, flowers were added to green tea originally to disguise a less than favorable
taste in the poorer varieties. This is still the case with many commercially produced flower teas,
which hide the taste of very cheap tea behind a strong flowery presence. Flower teas, in
particular the delicious jasmine, have gained such a following both in Asia and the Western
world, that many people only drink this variety. The Seven Cups jasmine teas combine really fine
quality green and white teas with a subtle but distinct jasmine flavor, and are a real treat,
especially for dedicated jasmine fans. They are the best jasmine teas we've ever tasted.
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3.1 ORGANIZATION STRUCTURE THEORETICAL PERSPECTIVE

An organization structure refers to the determination of organization system of the enterprise it

determines the programs and procedures by which the administrative relations of an enterprise
are defined and established. No activity of the organization can go out of this structure. As the
policy of the enterprise determines the limits within which the enterprise has to work. In the
same manner organization structure determines and defines the shape and size of the enterprise
according to which the administrative and organization decisions have to be taken. It is also the
framework of activities of the enterprise, it may also be considered as the map of the building to
be constructed. Organization structure can be defined, as the organization structure of an
organization deals with its organizational arrangements.

TYPES OF ORGANIZATIONS STRUCTURE

FORMAL ORGANIZATION:It refers to the planned structure of jobs and positions with clearly defined objectives and
functions. It is consciously created by top management for the accomplishment of enterprise
objectives. It is made up of official relationships and channels of communication. Formal
structure is governed by established rules and procedures. Formal organization tends to be stable
and predictable. Thus, it is represented in the organization chart and manual of the enterprise.

INFORMAL ORGANIZATION:Informal organization arises from the personal and social relations of people. It is not formally
designed but develops spontaneously out of interactions between persons. It is influenced by
personal attitudes, likes and dislikes. Informal relations cut across formal channels. People
working together in an enterprise frequently come into contact and develop personal or social
relations outside the formal structure.

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Advantages of the organization structure:The organization structure has the following advantages in the enterprise:

Necessary for the management:- it is necessary for the management of the business and
industrial enterprise. In the absence of a clearly defined organization structure, the
management cannot discharge its duties properly because the structure defines and
defines the relation between all the departments of the enterprise and the rights and duties
of all the in the enterprise. It also tells us about the managerial approach.

It reveals the drawback of an organization:- organization structure is an important

document of an enterprise. It serves as the guidelines to explain what should be done in
the enterprise. Actual performance of the enterprise is compared with this document. The
way it reveals the drawback of an organization

Helpful in delegation:- it is also helpful in providing the suitable training to the

employees of the organization and defining their duties. It helps in delegating proper
authority to the employees so that they can discharge their duties effectively and
efficiently.

Helpful in training:- It is also helpful in providing suitable training to the employees and
defining their duties like mentioned in the above. It defined the requirements of all the
suitable postages and it also determines the need, nature, and the from of the training
required.

Disadvantages of organization structure:-

The organization structure follows from the certain defects:

It is difficult to change it: - Management is a dynamic science. To make is a real science,

must be practical, no hard and fast line can be drawn in the activities of enterprise,
organization structure is the definite determination of activities. Therefore, it develops
rigid ness in the activities and becomes difficult to make any changes easily.

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It reveals only the formal relations:- A very important drawback of the organization
structure is that it is only a formal document. It defines only the formal relations among
the employees of an enterprise. But in practice, there are two types of relations among
them. Formal and informal and organization structure does not define informal relations.

It creates conflicts:- Organization structure makes clear difference in the rights and
duties of all the employees of the enterprise. It is the feeling of boss and subordinate
among them. It also develops the feeling of superior and inferior. It also develops the
feeling of senior and junior.

TYPES
1. Pre-bureaucratic structure- This structure is most common in smaller organizations and
is best used to solve simple tasks. They follow a flat hierarchy system.
2. Bureaucratic structure- They are suited for complex or larger scale operations. Under
this structure:Functional structure- This structure groups specialize in similar skills in separate
units. It is well suited to organizations with a single or dominant core product
because each subunit becomes extremely adept at performing its particular portion
of the portion.
Divisional structure- It is formed when an organization is split up into a number
of self-contained business units, each operating as a profit centre.
3. Line organization- It is also known as scalar or military organization. In this structure,
there is a vertical line of authority running from the top to the bottom of the
organization. Here, the command is through a straight and unbroken line. All persons at
the same level are independent of each other. The authority and responsibility of each
position is specified. The man at the top has the highest authority and it is reduced at
each successive level down the hierarchy. Every person is in direct chain of command.
Line organization can be of two types. In pure line organization all individuals at a
given level perform the same type of work and they are grouped into divisions only to
facilitate effective supervision and control. In a departmental line organization work
performed in each department is of a different type.
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4. Functional organization:Under functional organization, the organization is divided into a number of functional
areas. Each function is

managed by an expert in that area. Every functional area

serves all other areas in the organization. Thus, an individual in the organization
receives instructions from several functional heads. Every functional expert enjoys
functional authority over subordinates in other departments. Within a functional
department every operating executive receives orders from several functional
specialists.
5. Line and staff organizationLine and staff organization is a combination of line and functional structures. Under it,
line authority flows in a vertical line in the same manner as in the line organization. In
addition, staff specialists are attached to line positions to advise them on important
matters. These specialists do not have power of command over subordinates in other
departments. They are purely of advisory nature. Thus, staff positions are created to
support the line managers. Every staff specialist, however, has line authority over the
subordinates in his own department.
6.Matrix organizationMatrix organization is a hybrid grid structure wherein pure project organization is
superimposed on a functional structure. It is a two-dimensional pattern developed to
meet the problems of growing size and complexity of undertakings. Such undertakings
require an organization structure more flexible and technically oriented. Matrix
structure has been defined as any organization that employs a multiple command
system that includes not only the multiple command structure but also related support
mechanism and an associated organizational culture and behavior pattern. Thus, a
matrix organization is characterized by an overlapping of command, control and
behavior patterns. In this organization, there is a permanent functional set up. In
addition, temporary project groups are created to handle infrequent short-term projects.

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3.2 THE ORGANISATION STRUCTURE OF THE FIRM

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4.1 TEA MANUFACTURE DEPARTMENT

The operations and the production of all the 8 factories i.e., 4 orthodox and 4 CTC factories fall
under this department.
The main functions of the department are:

Preparation of monthly manufacturing and disposal plan for each factory.

Responsible for proper implementation of the manufacturing policy.
Preparation of yearly and mid-term manufacturing plan for own and bought leaf
Yearly maintenance of the factories
Carries out an annual inspection of all the factories on which a detailed report for each

factory is made
It monitors stock movement from the factories on a daily basis
Responsible for any enquiries relating to production from any of the factories
Monitoring grade percentage and outturn achieved by each factory
The department generates statements on:
Daily statement on factory-wise stock
A fortnightly report on grade percentage
Monthly stock check report
Monthly statement of waste percentage of made tea to green leaf
Fortnightly report on sifted tea outturn

4.2 FIELD DEPARTMENT

The department is mainly responsible for preparation and implementation of all agricultural
policy and practices which includes:
Preparation of guidelines for estates revenue budgets as well as verifications
Responsible for mid-term revision of budgets
Annual inspection of the 2 estates is carried out by this department followed by a detailed
report
Handling capital expenditure of all the estates
Daily handling of leaf diversions to the different factories from the estates depending on
the factories and market requirements based on the manufacturing plan

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 Depending upon planting and infilling requirements for all the estates, plant allocation is
done from this department
All tea board inspections and sanctions for subsidy are looked after by this department
This department conducts in-house training programs on agricultural practices for
management staff as well as general staff, supervisors and workers.
Organizing and conducting training programs for new assistants
A considerable amount of day to day correspondence between the department, estate and
other departments is handled
Generation of reports on fuel operation policies implementation and monitoring, felling
and planting programs, allocation of firewood to factories and estates and inter-estate
transfer of firewood

4.3 FINANCE DEPARTMENT

Finance is the life blood of business. It rightly termed as the science of money. Without
adequate finance, it is impossible for any business firm to carry out its activities. The term
finance refers to money or funds available to a firm. There is a necessity of managing the
funds properly and efficiently for achieving the object of the business. Financial activity is
concerned with the planning and controlling of the firm financial resources. Business finance
is concerned with the acquisition and utilization of funds in a business enterprise. It involves
raising the needed funds, judicial use of funds and controlling the funds used in business.
Financial management is an integral part of the overall management. This department
handles all matters relating to estates and companies accounting procedures and financial
reporting. The functions of the departments:

All taxes related works filing of returns, income tax, KGST/CST/VAT, etc
Estate fund management
Payroll preparation and reconciliation of all the departments
Department budgeting
Audit reports
All stock accounts reconciliation
PF reconciliation for all staff
Gratuity returns
Current bill collection and accounting
Sundry debtor and creditors ledger maintenance
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Telephone bills remittance and reconciliation

Inter-estate accounts and reconciliation
Journal keying
Tea transfer reconciliation
Job invoice reconciliation

4.4 MARKETING DEPARTMENT

Marketing being the most important it is concerned with analyzing the market , discovering the
opportunities , formulating marketing strategies , developing the special strategies and tactics,
proposing a budget and establishing a set of control. Tea trading in the domestic market is done
in two ways, Auction and private selling. Auction sale is considered to be the best method for
sale of tea because tea is a commodity with infinite variety and with wide spectrum of buyers.
The functions of the departments are;

Look for exports

Send samples to various buyers and finalize the blend prices for exports
Look for tie-ups for marketing of our tea with various companies
Try to increase the sale through other channels like consignments to find alternate

markets
Closely monitoring of stocks at the factories to ensure that there is minimal stock build
up
To ensure packing, blending and dispatch of poly packs
To anticipate market movements to ensure the movement of tea without compromising on
prices
To find new markets for value added teas like organic tea, green tea etc
Visit markets to get feedback from buyers and communicate the requirements to the
factories to maximize the prices

4.5 INDUSTRIAL RELATIONS DEPARTMENT

This department handles all matters relating to the service conditions of the employee,
disciplinary actions, industrial disputes etc. the functions of the department are;

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 All matters concerning appointment, salary, fringe benefits, statutory benefits, transfers,

and retrials of all categories of employees.

Co-ordinate handling of all legal matters with our legal firms
Posting of acting nurses for leave vacancies in the estate hospitals
Determination of workers as well as staff bonus and productivity
Linked incentives
Represents the management in case of any industrial disputes
Handles eviction cases, compensation cases etc
Conducts domestic enquiry courses covering all estates on how to conduct an enquiry
Liaison with trade unions
Conducting DAC/FAC etc.
All matters relating to security agencies
Assisting community development and social welfare works and welfare activities
Determination of parameters for plucking incentives schemes for each month

4.6 ADMINISTRATIVE AND LEGAL DEPARTMENT

This is the legal department of the company and deals with legal, land and other legislation at all
level with the government. The functions of the department are:

Handling of all land matters concerning SSP

All civil, criminal and such others cases related to SSP
Land survey and area certificate preparation
Preparation of deeds and agreements
All central excise matters pertaining to the company
Factory license renewal
Renewal of petroleum license
Management of staff profession tax
All matters relating to patent application, weights and measures, pollution control acts

and rules
Panchayat building tax and plantation tax
Insurance matters relating to all the estates
Road tax remittance, company vehicles checklist
SSP house employees leave register
Forest passes application and all connected works

4.7 QUALITY CONTROL DEPARTMENT

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The qualitative assessment of tea cannot be determined by any chemical analysis, even in todays
techno-savvy world there is no substitute for the tasters trained and sensitive taste buds, in the
evaluation of the tea. The main functions of the department are;
End product evaluation based on various criteria like dry leaf, appearance, infusion and
liquor strength.
Daily tasting sessions on the teas manufactured are undertaken and the feedback on the
teas with approvals to various destinations is informed to factories through daily tasting

reports
Generates and circulates fortnightly and to-date ranking reports
Monthly setting of benchmark and standard samples for auction marks
Conducts monthly brokers tea tasting sessions
Preparation and evaluation of blends and blending of teas based on the market

requirements
Responsible for allowing only quality teas to enter the market

4.8 HUMAN RESOURCE DEPARTMENT

Man power or human resources or people at work of an organization consists at all individuals
engaged in any of the organization activities regard less of levels. Manpower is one of the
primary resources. Personal management is that part of the process of management which is
primarily concerned the human aspects of an organ. Its purpose is to establish and maintain good
personal relations at all levels of an organization. Without efficient use of human resources,
management can never accomplish organizational objectives. Personal management is also called
personal

administration,

labour

management,

and

manpower

management.

The

functions of the department are:

Planning, recruitment, selection, induction and placement

Performance management system
Potential assessment system
Training and career development programs

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 Implementation and follow up on various certifications that deal with monitoring

statutory compliances
Involve in special projects and tasks as and when advised by the top management

4.9 MDS SECRETARIAT

The functions of the department are:
All matters pertaining to the functioning of the guest houses in Coonoor
Maintenance of bungalow inventory account
All administrative matters relating to management staff-transfer, leave, allowance,
vehicle loans, leave processing and their follow up
All routine correspondence from MD to

various

estates,

factories,

department and external sources

All arrangements concerning company visitors
Advice the finance department for crediting any reimbursement to the management staff
account
All matters of correspondence concerning management staff.

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