Management Assignment On Hillock Agro Foods (I) Limited

By:Dhruval Vyas MBA in Multimedia Management Term 1

Context

This assignment has been made to gain the knowledge of the management and its structure of Hillock Agro Foods India Limited.

From this assignment, it has been evaluated that Hillock Agro Foods India Limited is having common structure with common management style. From this assignment, one can gain the knowledge about Hillock Agro Foods India Limited and its management skills. Hillock Agro Foods India Limited is Gujarat, India based company which tries to make an impression in the Indian market with its products. Company is facing problems in its management structure, but now, company may change its management to make better outcomes.

Index 1. 2. Management Company Profile

Sector Establishment Structure Vision and Mission

3.

Characteristics of the Company

Managerial Roles and Responsibilities Leadership Style Decision Empowerment

4. 5. 6.

Internal / External Problems Conclusion / Review References & appendix

Management
Management is combination of different processes to accomplish the desire outcome. Management is the mixture of two concepts, Arts and Science. Management needs practical knowledge, creativity, individual skills, etc. that is Art. While, Management is having its own principles, own methods, which are generally approved worldwide, this makes it Science. Reference
1.

Peter Drucker (1993) defined management as Supplying knowledge to find out how existing knowledge can be best applied to produce results is, in effect, what we mean by management. But knowledge is now also being applied systematically and purposefully to determine what new knowledge is needed, whether it is feasible, and what has to be done to make knowledge effective. It is being applied, in other words, to systematic innovation.

Management term has become popular these days, but it existed since long time. Egyptians were using it to make Pyramids, Indians used it to make Temples before centuries, Chinese people were using management to build Great Wall of China. These all examples show that management was there, but they did not have the different processes of management. These days, Management is a combination of Planning, Controlling, Organizing and Leading and Directing. Management needs skills like, communicating perfectly within the organisation, motivating, improving standards, innovating new ideas, team spirit, etc. etc. Management has become goal-oriented. Even, Management includes the external affairs as well like, Industrial situation, economic environment, industry analysis, competitors, etc. etc.

Management has changed with different type of economy. Production based economy, Product based economy, Customer based economy, Knowledge based economy, Digital based economy. At the moment, World is in Knowledge based economy. Knowledge based economy refers to knowledge and the technology which helps to understand the current market and market segments. This helps in management of the company to talk the strategic decisions, planning according to it, organising, controlling, leading, etc. etc.

Company Profile
Sector of the Company:

Hillock Agro Foods India Limited Works in the Agriculture sector that is indulged in manufacturing of wheat flour of different types depending on their composition of wheat, moisture and their filtering. This is Fast Moving Consumer Goods(FMCG) industry.

Establishment: Hillock Agro Foods India Ltd was established in February 1995 through an Initial Public Offering (IPO). The companys promoters and largest shareholders (they have 51% stake in the company) have more than 20 years of experience in flour milling business in the region.

Number of Employees:

As of now the total work force of Hillock Agro Foods India Ltd is 40 workers including the management team and back office support.

Management Structure:

The company has one Chairman and Managing Director (CMD) who overlooks the whole organization. CMD is supported by two Joint Managing Directors (JMD) one for production and one for Administration and Marketing who overlook the employees in their respective fields.

Management Structure

Chairman and Managing Director:

Hillock Agro Foods India Limited is having a Single person in position of Chairman and Managing Director (CMD). He is on the top level management. He controls the company and also takes care of Financial Department under him. He is having more than 20 years of experience in this industry. He was previously working with similar company and later on, he joined Hillock Agro Foods India Limited as a leading promoter of the company.

Joint Managing Director:

This company is having 2 Joint Managing Director (JMD). One JMD takes care of production part of the company while another JMD takes care of Administration and Marketing part of the company.

Production JMD is having two middle level management people under his position, Miller and Manager. Miller is having authority to handle his workers as per strategic plans and process. Manager is having 3 departments under him, Trading department, Purchase department and Store department.

Administration and Marketing JMD is having five middle level management people under his position, Charter Accountant, Company Secretary, Legal and Legislation Manager, Marketing Manager

and Customer Relationship Officer. Charter Accountant takes care of Accounting Department of the company and he is having one subordinate under him called Accountant. Company Secretary is an individual person who does work under Administration and Marketing JMD. Legal and Legislation Manager is the person who takes care about companys legal matters. Marketing Manager works for the Marketing Department and having one subordinate under him. Customer Relationship Officer works individually under Administration and Marketing JMD.

Vision and Mission:

Vision: Hillock Agro Foods India Limited is having vision of becoming one of the best flour Producing Company in the region. Company wants to provide higher returns on the investment to the investors.

Mission: Hillock Agro Foods India Limited is having mission to launch new products in the market with better quality.

Characteristics of the Company

Managerial Roles and Responsibilities:

CMD is having position in Top Level Management. His role is to achieve the all types of goals, like strategic goals, vision, mission, etc. He is also handling Finance Department under him. His role also includes the financial requirements of the company as well. CMD is having Decision Making Empowerment.

JMD is having position in Top Level Management. Both JMD are having roles of achieving their particular departments processes, goals and outcomes. They are having decision making empowerment as well.

Miller is having position in Middle Level Management. His role is to manage the workers under him and get the desired outcome into the manufacturing process.

Manager is having position in Middle Level Management under Production JMD. His role is to take the trading department, purchase department and store department with him and achieve the particular process outcome.

Charter Accountant is having position in Middle Level Management under Administration and Marketing JMD. His role is handle the accounting department and also to achieve the desired profit out of business. He is having one subordinate with him called Accountant.

Company Secretary is Middle Level Management person. His role is to carried out all secretarial work of the company is desired way. He also keeps records of all company meetings and Annual General Meetings (AGM). Legal And Legislation Manager is also Middle Level Management person. His role is to work out on legal side of the business. He has to keep good contacts with government bodies and legal authorities.

Marketing Manager and Customer Relationship Officer is one person in the company. This person looks after both the department and also having one subordinate in marketing department. Marketing Manager and Customer Relationship Officer is having position in Middle Level Management. He takes the strategic decisions from top level management and forwards it to marketing subordinate and rest he works individually.

Lower level Management has roles of achieving their particular duties and roles forwarded to them from their individual department heads.

Leadership Style:

Leadership means to get the work done by group of people or subordinates by an individual entity or a group of higher level authorised persons.
Reference 2.

The role of leadership in management is largely determined by the organisational culture of the company. There are several different leadership styles that can be identified within each of the following management techniques. Transformational Leadership Transactional Leadership Laissez-Faire Leadership

Hillock Agro Foods India Limited is having a Transactional Leadership Style. Top level management takes the leadership and passes on some authority to Middle level management. But that is just related to their individual departments. Major authorities remain with Top Level Management.

Decision Empowerment:

An empowered decision is achieved when the decision making authorities are confident that the decision is correct against a reference of the possible choices, and that the decision is right for the companies pre-conceived objectives and business environment. The important point is that the decision made is not nearly as important and the consciousness with which the decision is made.
Reference 3.

Decision Empowerment is the major aspect of the company. In Hillock Agro Foods India Limited, Decision empowerment is given to CMD and JMDs. These persons are having Decision Empowerment in the business. They take the decision and forward it to Middle Level Management and then these decision are forwarded to lower level management.

Internal and External Problems

Internal Problems:

Leadership Style: Hillock Agro Foods India Limited is having problem with its leadership style. Company believes in Transactional leadership style. Top level management is not considering any suggestions or guidance from its middle lever or lower level management.

Financial Management: Financial Department is held under CMD of the company. This department is solely handled by CMD. In this department, other person are not authorised to take decision. But, JMDs are allowed to give suggestions to CMD.

Communication within the Company: Communication problem is one of the major problems inside the company. Hillock Agro Foods India Limited is also facing the same problem. Internal Communication gap exists in the company within middle level management and lower lever management and also internally in middle level management.

External Problems:

Competitors: Hillock Agro Foods India Limited comes under Fast Moving Consumer Goods (FMCG) industry. In this industry, there is cut-throat

competition. Many companies are offering same products in the market. Due to FMCG industry, competition is within the region. There are 23 other companies within the region in FMCG industry. Bhagwati Rollers Flour Mills is the market leader in this particular industry which exists in the marketing for more than 40 years.

Government Policies: Government policies affect the company as well. Government comes up with different policies in every new budget. This policies impacts on the strategies of the company which finally impacts on the management of the company. For Example, Company was having exporting FMCG goods contracts as well. But Government has changed the rules and regulation for exporting FMCG products.

Environment Conditions: Hillock Agro Foods India Limited is having wheat products manufacturing business. In this business, environment conditions play vital role. Production of raw material in this business is based on environment conditions. In manufacturing process, environmental conditions are also taken into consideration.

Conclusion
Hillock Agro Foods India Limited is a public limited company which relates to FMCG Industry. This Company is having healthy competition in the market. After observing its management aspects, one can come to know that Hillock Agro Foods India Limited seems to have good Management levels and its distribution channel. But, inside the company, employees are having internal affairs. Company is following transactional leadership which closes the doors for improvements and also restricts the middle level and lower level managements to give their feedbacks and suggestions. Company is not adopting the knowledge based economy system and thus, company is not generating any technological growth in the market. Company is having strict empowerment structure. CMS and JMDs are the only authorities to take decisions and make new strategies and working plan. Company needs to improve its standards in relation with leadership styles and decision empowerment module.

As far as external factors are concern, company is not responsible in political changes and government rules and regulations. But, company can make contingency plan for this. This may help them to improve in another way. Company is having desired management structure as per the Indian trends and the market situation. This type of management structure is mostly followed by the FMCG industry in India.

References
1.

Blurt

It

website

(April,

3rd,

2010),

http://www.blurtit.com/q863734.html 2.

SOS Website, date April 3rd, 2010.

http://www.sos.net/~donclark/leader/leadcon.html#definition

3.

W.D. Bell Consulting, Website, April 3rd, 2010,

http://www.bellos.co.za/index.php?q=con,6,%20Decision %20Empowerment