Industrial Visit Report - Surya Foods
Industrial Visit Report - Surya Foods
Industrial Visit Report - Surya Foods
IILM Institute organized an industrial visit to Surya Food & Agro Ltd, Noida as a part of the Program for its first year batch 2012-14 on 27th July'12. The visit was intended to expose the participants to the real industry where they would see themselves in the near future. It was organized by our placements team which is headed by Mr. Raghuvansh Mathur. and was made compulsory for the selected 30 people from each campus ie- Gurgaon and Lodhi Road. On the day, we assembled at the campus gate at 8:00 in the morning from where Ms. Pragya Sonawane from the faculty had accompanied us for the visit. On arrival, we were welcomed by Mr. BC Dhyani (Production Manager) and Mr. S P Pandey (Production In-charge) who were responsible to take us to tour the facility and also explain the entire process of manufacturing. The Company owns three productions units across India and each unit has a specialized range of product to manufacture. The plant we visited at Noida was specialized for the production of biscuits like CnC, Snacks and Marie Lite. This plant is the largest of all plants owned by the company with a capacity of producing 500 tonnes of biscuits per day. The total employee strength who are engaged in the complete process is about 1500 people across India. Apart from this they have a developed a strong distribution channel through the 100 super stockiest and 3500 distributors which are spread across the country. The complete production and packaging of the product is planned and the plant is designed in a way that there is a proper directed channel taking in line from the starting to the end of the process. The complete making involves 5 integral steps
MIXING
This is a process where all ingredients are put together in right proportion for dough formation. Major ingredients are flour , fat ,sugar and others as per the product. These ingredient are then fed into Mixers where mixing is done and dough is prepared for molding. While mixing, following points needs to be considered for better results. Mixing time : Normally any mixing can be done within 15-25 minutes and much
depends on speed of mixer , flour characteristics or temperatures required for dough. Dough Temperatures : The temperature of the dough should range between 35 deg c - 42 deg c as per variety of the biscuit. Dough consistency: This is checked manually by stretching the dough. It should not break and neither should it be very elastic. For cracker variety - Dough should have additional ingredient like yeast and should be kept for 10- 24 hrs.
MOLDING
In this section, the dough is passed through several rolls to form sheets. This sheet is then converted into one uniform sheet of desired thickness, generally 6-5mm. Moulder/Cutter is then used to give the variety of the shape and sizes. Above process is mainly for cutting variety. It also includes dough sheet conditioning, which is done as per the ambient conditions of the plant. Steam Spray- to moist the web surface. Blower- to dry the dough surface. Floor dusting- to dry the wet surface of the dough. Toppings- They are done through mechanical, vibratory or sprays and a hopper is placed above the plant line after the cutter. The toppings could be milk, salt, sugar, cashews, pista nuts etc..
BAKING
This process involves the heating of the wet dough pieces of desired size and shapes in the oven band. They are passed through swivel panel web. Heat is transferred on band through all the three ways of heat transfer ie- conduction, convection & radiation.Both physical and chemical changes happen in the oven band.
COOLING
This is the most important step in the process. When biscuit is taken out of the oven, the temperature for them is around 75-90 degree C. These biscuits are then cooled at room temperature by passing them over the conveyor belt for distance of 1.5 times of the baking time. This makes the biscuit ready for packaging.
PACKAGING
These biscuits are now fed into packing machines either manually or with help of auto feeders. They are fed in uniform stacks as per the guidelines adjusted depending upon the variety of the biscuit. Then, they are wrapped with packing machines and wrappers are sealed at both the ends with the help of heaters. Theses packs are then put into cartons and are ready to dispatch. Waste Management- There are two types of wastage that happens to occur in the process of manufacturing. First is the waste material fallen on the ground while molding the dough and cutting it into the size and the shape of the biscuit. Such waste is 1% which is marginal and acceptable which goes into the total wastes. Second, is the broken biscuits which are collected in the tray of the multi-pack wrapping machine, since they are not packed and sold to the customers. Therefore, these wastes accumulated is then used for cattle feeding.
COMPANY PROFILE
Year of Establishment Nature of Business Major Markets : 1992 : Manufacturer, Retailer : Indian Subcontinent, East Asia, Middle East and South East Asia
Surya Food & Agro Ltd. was incorporated in November 1992 and commenced its commercial operations of manufacturing & selling of biscuits under the nameof Priyagold in October 1993. Over a period, the company has established strong manufacturing capabilities and has also invested substantially in developing consumer preference for their products. The trademarks / brands Haq Se Maango & Priyagold have emerged as one of the most powerful brands in the FMCG sector. The company is committed to invest in brands, manufacturing capabilities, deliverables and distribution strength. Geographical PresenceSurya Foods, has three plants located in Greater Noida, Lucknow & Surat. They also outsource some of their requirements to another plant located in Hyderabad. The capacities has reached 1,50,000 MT p.a., which along with strong brand building and distribution capabilities has enabled them to command a sizable market share in the biscuit market despite competition from well-established players in the industry. ProductsBadam Pista Biscuits Butter Bite Premium Biscuits Cashew Biscuits Cheese Cracker Biscuits Cnc Biscuits Cream Chocolate Biscuits Kids Cream Butter Biscuits Kids Cream Strawberry Biscuits Milk Biscuits Snacks Zig Zag Biscuits Marie Lite Biscuits
After establishing the foothold in biscuit industry, they continued to adopt strategy to identify and commercialize profitable growth opportunities by leveraging established brand and distribution network. Following this strategy, they diversified into manufacturing of fruit juices through the wholly owned subsidiary Surya Fresh Foods Ltd. in January 2006.The manufacturing facility is located at Greater Noida, U.P. They have consciously invested in creating markets for fruit juices and have established brands such as Fresh Gold & Treat. Both the brands are also well established and have penetrated into the fruit juice market aggressively by commanding considerable market share. They have also forayed into the aerated fruit drink segment with the launch of Fresh Fizzy. They are also diversifying into manufacturing of chocolate, toffee and candies through their wholly owned subsidiary Surya Processed Food Pvt. Ltd. at Haridwar, Uttarakhand. Priyagold wins Indian Railways Catering Tender Our sales and marketing team has been working towards innovative and effective marketing tools to remain competitive in a fiercely competitive environment. We have won a tender floated by Indian Railway Catering and Tourism Corporation Ltd. (IRCTC), which allows us to set-up food kiosks for sale of our range of products i.e. biscuits & fruit juices and other future launches at Railway Stations spread across various cities in India. This will give us enhanced brand visibility and would contribute considerably to the turnover. This initiative has added new dimensions to our marketing and distribution effort. StrategyTheir strategy of strengthening the brands especially the umbrella brand Priyagold has resulted in creating immense brand recall value. They are continuing the effort with a scientific approach, which will result in growth of customer base, price premium, consumer loyalty which is expected to result in increased earning and ultimately enhancing enterprise value of the company. Thus, the companys manifesto is to build on the present strength created over the years and diversify into products and geographic portfolio. They aim at achieving profitable growth by penetrating into the consumption market to enhance market share by constantly innovating on product profile, investing in infrastructure thereby accelerating the top line growth to enhance the market share. They are also aggressively marketing the products in institutional category. Presently, products viz. biscuits and fruit juices are supplied to Airlines, Hotels, Railways, Canteens Stores Department (CSD) and organized retail outlets.
PromotersShri Ballabh Prasad Agarwal (Chairman & Managing Director) He is the founder Director and Promoter of the company. He has about 35 years of experience in the business and industry. He is a well known personality in the biscuit manufacturing industry and has received U.P. Ratan award for his entrepreneurship. He is responsible for overall working of the company and is instrumental in making strategic decisions of the company. Under his leadership, the company has grown manifold and achieved an International Quality Crown Award, London 2004 for best quality biscuit manufacturer. He is also the President of Indian Biscuit Manufacturers Association (IBMA) and Vice President of All India Food Processors Association (AIFPA). AwardsChairman of Surya Food & Agro Ltd. Received the International Quality Crown Award in London. The Economic Times, Thursday 11 June 2008 Brand Equity Award-"Priyagold is the highest debutant at no 10." CompetitorsThe Company faces competition from various domestic as well as multi national companies. The competitors of the Company includes multi national companies such as Parle Biscuits Ltd. Britannia Industries Ltd. ITC Ltd. And domestic players especially in northern region of India such as Anmol Bakers Ltd. Super Snacks Pvt. Ltd. Bakemans Industries Ltd. Bakewell Agro Ltd. Cremica Agro Food Ltd. Gokul Food Pvt. Ltd. And other small unorganized sectors.
Market ShareThe Indian biscuit industry is the largest among all the food industries and has a turnover of around Rs 80bn and it is growing at the rate of 12-15% pa. Biscuit industry in India in the organized sector produces around 70% of the total production, the balance 30% being contributed by the unorganized bakeries. The unorganized share is shrinking over a period of time. The per capita consumption of biscuits in our country is only 2.1kg, compared to more than 10kg in the USA, UK and West European countries and above 4.25kg in South East Asian countries. Priya Gold is growing at a very fast rate and is the market leader in North & West, and comprises a market share of ~12% in the biscuit segment, The fruit juice market is estimated at around Rs50bn with Rs12bn being in the organized sector. in juices segment, we are the third largest after Tropicana & Dabur. We are exporting biscuits, fruit juices, fruit drinks to Middle East, South African countries and receiving offers from other Asian countries. Presently, our contribution of exports to our total revenues accounts for about 4-5%, but we are rapidly focusing on increasing the same. LEARNING OUTCOME The industrial visit was a great help to understand the working of the manufacturing industry and how the complete process is worked on. It has helped us to get a clear view of how the biscuits are manufactured. It has also proved helpful in understanding the role of different people and how each of them contribute their bit in achieving organizational goals. It has helped us to become more aware of different departments in the organization, and what are the different career opportunities available in this particular sector. The visit has also made us clear about the quality standards maintained and also the efficiency in carrying out the process is well organized. It has also contributed us to understand what areas should we focus in the next two years.
Personally, I would like to mention that as I am from human resource background, this visit was quite useful to me to understand the human resource of the manufacturing unit. Till now, I have been a part of a financial firm where the employees were highly qualified, but here in the manufacturing unit people were skilled but not qualified. As an HR manager, you should know your employees well and also their role and responsibilities in the attaining of the organization goals. If I ever plan to work in sector like FMCG in future, I would be able to understand the employees and their skill set which was only possible through this visit. And would be in a place where I will be able to manage the human skill efficiently. As a part of HR, your responsibilities start from the recruitment to the exit of the employee taking care of their stay in the organization throughout. And without the complete information and knowledge this process can not be completed in manner. This visit also helped me to understand the organization hierarchy that is practiced in this particular sector and the managerial practices followed. Therefore, I would like to conclude that the overall experience and exposure which was made available to us was quite helpful and will be useful to us in coming years. Would also like to thank the institute, the entire placement team, the faculty members and the staff at the Surya Foods, who had welcomed us and enabled our learning by sharing and giving us the complete knowledge about the plant. A Sincere thanks to Ms. Pragya Sonawane for guiding us althrough the visit.