INTERNSHIP TRAINING REPORT

in

BITHERKAD INDUSTRIAL CO-OPERATIVE TEA FACTORY Ltd

Submitted by

Mr.A.KARUPPAIYA

( Reg No: 108001131017 )

Under the Guidance of

Mr.B.YUVA PRAKASH, M.B.A.,

Training Report submitted to Anna University in partial fulfillment of the

requirement for the award of the Degree in

MASTER OF BUSINESS ADMINISTRATION

DEPARTMENT OF MANAGEMENT STUDIES

ADITHYA INSTITUTE OF TECHNOLOGY

COIMBATORE-641107.

JULY 2011

ADITHYA INSTITUTE OF TECHNOLOGY

(Affiliated to Anna University )

SF No.344, Kurumbapalayam Post,

Sathy Road, Coimbatore-641 107.

DEPARTMENT OF MANAGEMENT STUDIES

CERTIFICATE

This is to certify that the, “INTERNSHIP TRAINING” in BITHERKAD

INDUSTRIAL CO-OPERATIVE TEA FACTORY Ltd is undergone by

Mr.A.KARUPPAIYA submitted in partial fulfillment of the requirement for

the award of the degree in Master of Business Administration (M.B.A) of Anna

University.

Mrs. K.Vidyakala, M.B.A., M.Phil. Mr.B.Yuva prakash M.B.A.

Head of the Department Faculty Guid

Examiner

ACKNOWLEDGEMENT

I express my sincere thanks and gratitude to Mr. C. Sugumaran, BE., Chairman,

Adithya Institute of Technology for his support in all our endeavors.

I extent my heartfelt thanks to the Dr. N. Kathiravan, M.E., Ph.D., Principal

Adithya Institute of Technology, for his effective guidance and contribution in terms of

professional expertise and academic knowledge.

I express my sincere thanks to Mrs. k. vidyakala, M.B.A., M.Phil., Head of the

Department, M.B.A., for providing me an opportunity to undertake this training in

BITHERKAD INDUSTRIAL CO-OPERATIVE TEA FACTORY Ltd

My profound gratitude to Mr.B.Yuva prakash, M.B.A., my training guide for her

continued infallible guidance, motivation and support during the entire training period.

I thank Mr. M.Jeyachandran, Manager and all the Staff Members of

BITHERKAD INDUSTRIAL CO-OPERATIVE TEA FACTORY Ltd Who have

rendered their support and guidance during my training period in the organization.

I would like to express my sincere thanks to my parents and friends for their

unbounded support to make this training report a reality.

S.NO CONTENT PAGE NO

1 INTRODUCTION ABOUT THE INDUSTRY 1

2 OBJECTIVES OF THE STUDY 8

3 INTRODUCTION ABOUT THE COMPANY 9

4 OBJECTIVE OF THE COMPANY 13

5 COMPANY PROFILE 14

6 PRODUCTS OF THE COMPANY 15

7 ORGANIZATION CHART 17

8 VARIOUS DEPARTMENTS

8.1 PRODUCTION DEPARTMENT 19

8.2 MARKETING DEPARTMENT 28

8.3 FINANCE DEPARTMENT 30

8.4 HUMAN RESOURCE DEPARTMENT 32

9 FINDINGS 36

10 SUGGESTION 37

11 CONCLUSION 38

.

INTRODUCTION ABOUT THE INDUSTRY

Tea is one of the most refreshing and papular beverages of the world. India is one of

the largest tea producers in the worldwide. Indian Tea is the finest quality in the world. Tea is

being cultivated in the high range of northern and southern India. The best quality Tea is

cutting, twisting, curling, and orthodox Assam Tea respectively.

The successful running of the Bitherkad Industrial co-operative Tea factory Ltd.

mainly relies on the patronage of the small growers in the bitherkad area. The main role of

the industrial co-operative societies is to provide gainful employment to the weaker section;

they also help the farmer cultivating tea to get reasonable rate for their produce.

Began in ancient China over 5,000 years ago. According to legend, the Shen Nong, an

early emperor was a skilled ruler, creative scientist, and patron of the arts. His far-sighted

edicts required, among other things, that all drinking water be boiled as a hygienic

precaution. One summer day while visiting a distant region of his realm, he and the court

stopped to rest. In accordance with his ruling, the servants began to boil water for the court to

drink. Dried leaves from the near by bush fell into the boiling water, and a brown liquid was

infused into the water. As a scientist, the Emperor was interested in the new liquid, drank

some, and found it very refreshing. Therefore, according to legend, tea was created.

China:

Tea consumption spread throughout the Chinese culture reaching into every aspect of

the society. In 800 A.D., Lu Yu wrote the first definitive book on tea, the Ch'a Ching. This

amazing man was orphaned as a child and raised by scholarly Buddhist monks in one of

China's finest monasteries. However, as a young man, he rebelled against the discipline of

priestly training, which had made him a skilled observer. His fame as a performer increased

with each year, but he felt his life lacked meaning.

Japan:

The returning Buddhist priest brought the first tea seeds to Japan. Yeisei, who had

seen the value of tea in China in enhancing religious mediation. As a result, he is known as

the "Father of Tea" in Japan. Because of this early association, tea in Japan has always been

associated with Zen Buddhism. Tea received almost instant imperial sponsorship and spread

rapidly from the royal court and monasteries to the other sections of Japanese society.

Japanese tea ceremony:

Tea was elevated to an art form resulting in the creation of the Japanese Tea

Ceremony ("Cha-no-yu" or "the hot water for tea"). The best description of this The Irish-

Greek journalist-historian probably wrote complex art form Lafcadio Hearn, one of the few

foreigners ever to be granted Japanese citizenship during this era. He wrote from personal

observation, "The Tea ceremony requires years of training and practice to graduate in art...yet

the whole of this art, as to its detail, signifies no more than the making and serving of a cup of

tea. The supremely important matter is that the act be performed in the most perfect, most

polite, most graceful, most charming manner possible”. Such a purity of form, of expression

prompted the creation of supportive arts and services. A special form of architecture (chaseki)

developed for "tea houses", based on the duplication of the simplicity of a forest cottage. The

cultural/artistic hostesses of Japan, the Geishi, began to specialize in the presentation of the

tea ceremony. As more and more people became involved in the excitement surrounding tea,

the purity of the original Zen concept was lost.

Europe:

While tea was at this high level of development in both Japan and China, information

concerning this then unknown beverage began to filter back to Europe. Earlier caravan

leaders had mentioned it, but were unclear as to its service format or appearance. (One

reference suggests the leaves be boiled, salted, buttered, and eaten!) The first European to

personally encounter tea and write about it was the Portuguese Jesuit Father Jasper de Cruz in

1560. Portugal, with her technologically advanced navy, had been successful in gaining the

first right of trade with China.

Americas:

By 1650, the Dutch were actively involved in trade throughout the Western world. Peter

Stuyvesant brought the first tea to America to the colonists in the Dutch settlement of New

Amsterdam (later re-named New York by the English).

Settlers here were confirmed tea drinkers. In addition, indeed, on acquiring the colony, the

English found that the small settlement consumed more tea at that time then all of England

put together.

England:

Great Britain was the last of the three great sea-faring nations to break into the

Chinese and East Indian trade routes. This was due in part to the unsteady ascension to the

throne of the Stuarts and the Cromwellian Civil War. The first samples of tea reached

England between 1652 and 1654. Tea quickly proved popular enough to replace Ale as the

national drink of England. As in Holland, it was the nobility that provided the necessary

stamp of approval and so insured its acceptance. King Charles II had married, while in exile,

the Portuguese Infanta Catherine de Braganza (1662). Charles himself had grown up in the

Dutch capital. As a result, both he and his Portuguese bride were confirmed tea drinkers.

When the monarchy was re-established, the two rulers brought this foreign tea tradition to

England with them.

Popular (tea):

Prior to the introduction of tea into Britain, the English had two main meals-breakfast

and dinner. Breakfast was Ale, bread, and beef. Dinner was a long, massive meal at the end

of the day. It was no wonder that Anna, the Duchess of Bedford (1788-1861) experienced a

"sinking feeling" in the late afternoon. Adopting the European tea service format, she invited

friends to join her for an additional afternoon meal at five o'clock in her rooms at Belvoir

Castle. The menu centered on small cakes, bread and butter sandwiches, assorted sweets, and,

of course, tea.

Tea cuisine:

Tea cuisine quickly expanded in range to quickly include wafer thin crust less

sandwiches, shrimp, or fish pates, toasted breads with jams, and regional British pastries such

as scones (Scottish) and crumpets (English).At this time two distinct forms of tea services

evolved: "High" and "Low".

"Low Tea” (served in the low part of the afternoon) was served in aristocratic homes of the

wealthy and featured gourmet tidbits rather than solid meals. The emphasis was on

presentation and conversation.

"High Tea” or "Meat Tea" was the main or "High" meal of the day. It was the major meal

of the middle and lower classes and consisted of mostly full dinner items such as roast beef,

mashed potatoes, peas, and of course, tea.

Tea gardens.

Here ladies and gentlemen took their tea out of doors surrounded by entertainment

such as orchestras, hidden arbors, flowered walks, bowling greens, concerts, gambling, or

fireworks at night. It was at just such a Tea Garden that Lord Nelson, who defeated Napoleon

by sea, met the great love of his life, Emma, later Lady Hamilton. Women were permitted to

enter a mixed, public gathering for the first time without social criticism. At the gardens were

public, British society mixed here freely for the first time, cutting across lines of class and

birth.

Russia:

Imperial Russia was attempting to engage China and Japan in trade at the same time

as the East Indian Company. The Russian interest in tea began as early as 1618 when the

Chinese embassy in Moscow presented several chests of tea to Czar Alexis. By 1689, the

Trade Treaty of Newchinsk established a common border between Russia and China,

allowing caravans to then cross back and forth freely. Still, the journey was not easy. The trip

was 11,000 miles long and took over sixteen months to complete. The average caravan

consisted of 200 to 300 camels. As a result of such factors, the cost of tea was initially

prohibitive and available only to the wealthy. By the time Catherine the Great died

(1796), the price had dropped some, and tea was spreading throughout

America:

It was not until 1670 that English colonists in Boston became aware of tea, and it was

not publicly available for sale until twenty years later. Tea Gardens were first opened in New

York City, already aware of tea as a former Dutch colony. The new Gardens were centered

on the natural springs, which the city fathers now equipped with pumps to facilitate the "tea

craze". The most famous of these, "tea springs" was at Roosevelt and Chatham (later Park

Row Street).By 1720 tea was a generally accepted staple of trade between the Colony and the

Mother country. It was especially a favorite of colonial women, a factor England was to base

a major political decision on later.

Tea and the American Revolution:

England had recently completed the French and Indian War, fought, from England's

point of view, to free the colony from French influence and stabilize trade. It was the feeling

of Parliament that as a result, it was not unreasonable that the colonists shoulder the majority

of the cost. After all. the war had been fought for their benefit. Charles Townshend presented

the first tax measures, which today are known by his name. They imposed a higher tax on

newspapers (which they considered far too outspoken in America), tavern licenses (too much

free speech there), legal documents, marriage licenses, and docking papers. The colonists

rebelled against taxes imposed upon them without their consent and which were so

repressive.

The Boston Tea Party:

By December 16 events had deteriorated enough that the men of Boston, dressed as

Indians (remember the original justification for taxation had been the expense of the French

and Indian War) threw hundreds of pounds of tea into the harbor. Such leading citizens as

Samuel Adams and John Hancock took part. England had had enough. In retaliation, the port

of Boston was closed and the city occupied by royal troops. The colonial leaders met and

revolution declared. The Trade Continued in the Orient Though concerned over

developments in America, English tea interests still centered on the product's source-the

Orient. There the trading of tea had become a way of life, developing its own language

known as "Pidgin English".

The Opium Wars:

Not only was language a problem, but also so was the currency. Vast sums of money were

spent on tea. To take such large amounts of money physically out of England would have

financially collapsed the country and been impossible to transport safely half way around the

world. With plantations in newly occupied India, the John Company saw a solution. In India,

they could grow the inexpensive crop of opium and use it as a means of exchange. Because of

its addictive nature, the demand for the drug would be lifelong, insuring an unending market.

Chinese emperors tried to maintain the forced distance between the Chinese people and the

"devils". However, disorder in the Chinese culture and foreign military might prevented it.

The Opium Wars broke out with the English ready to go to war for free trade (their right to

sell opium). By 1842 England had gained enough military advantages to enable her to sell

opium in China undisturbed until 1908.

The Clipper Days:

By the mid-1800 the world was involved in a global clipper race as nations competed

with each other to claim the fastest ships. England and America were the leading rivals. Each

year the tall ships would race from China to the Tea Exchange in London to bring in the first

tea for auction. Though beginning half way around the world, the mastery of the crews was

such that the

Global Tea Plantations Develop:

The Scottish botanist/adventurer Robert Fortune, who spoke fluent Chinese, was able

to sneak into Mainland China the first year after the Opium War. He obtained some of the

closely guarded tea seeds and made notes on tea cultivation. With support from the Crown,

various experiments in growing tea in India were attempted.

Many of these failed due to bad soil selection and incorrect planting techniques,

ruining many a younger son of a noble family. Through each failure, however, the technology

was perfected. Finally, after years of trial and error, fortunes made and lost, the English tea

plantations in India and other parts of Asia flourished. The great English tea marketing

companies were founded and production mechanized as the world industrialized in the late

1880's.

Tea Inventions in America; Iced Tea and Teabags:

America stabilized her government, strengthened her economy, and expanded her

borders and interests. By 1904, the United States was ready for the world to see her

development at the St. Louis World's Fair. Trade exhibitors from around the world brought

their products to America's first World's Fair. One such merchant was Richard Blechynden, a

tea plantation owner. Originally, he had planned to give away free samples of hot tea to fair

visitors. However, when a heat wave hit, no one was interested. To save his investment of

time and travel, he dumped a load of ice into the brewed tea and served the first "iced tea". It

was (along with the Egyptian fan dancer) the hit of the Fair. Four years later, Thomas

Sullivan of New York developed the concept of "bagged tea". As a tea merchant, he carefully

wrapped each sample delivered to restaurants for their consideration. He recognized a natural

marketing opportunity when he realized the restaurants were brewing the samples "in the

bags" to avoid the mess of tealeaves in the kitchens. Tea Rooms, Tea Courts, and Tea Dances

Beginning in the late 1880's in both America and England, fine hotels began to offer tea

service in tearooms and tea courts. Served in the late afternoon, Victorian ladies (and their

gentlemen friends) could meet for tea and conversation. Many of these tea services became

the hallmark of the elegance of the hotel, such as the tea services at the Ritz (Boston) and the

Plaza (New York).By 1910, hotels began to host afternoon tea dances as dance craze after

dance craze swept the United States and England. Often considered wasteful by older people

they provided a place for the new "working girl" to meet men in a city, far from home and

family. (Indeed, the editor of Vogue once fired a large number of female secretarial workers

for "wasting their time at tea dances").

Green Teas:

Green tea makes up only ten percent of the world's produced tea. The Japanese tea

service (in which green tea is used), is an art form in and of itself. The serving of a full

Japanese tea service would be beyond the ability of most properties and as a result, should

not be attempted. Green tea is not generally part of the afternoon tea tradition as appropriate

to hotel use.

China TeasKeemun: Is the most famous of China's black teas. Because of its subtle and

complex nature, it is considered the "burgundy of teas". It is a mellow tea that will stand

alone as well as support sugar and/or milk. Because

OBJECTIVES OF THE STUDY

� To study the organization structure of bitherkad industrial cooperative Tea factory

Ltd.

� To know about the method of leaf collection and grading

� To know the production process of bitherkad industrial co-operative Tea Factory Ltd.

� To understand the financial performance of the factory.

� To understand the functioning of different departments in the organization and find

out Strength, Weakness, Opportunities and Threats of the company

INTRODUCTION ABOUT THE COMPANY

The company has registered in the name of bitherkad industrial co-operative Tea factory as

on 10-11-1992, the factory is functioning in bitherkad from 23-11-1992.

The bitherkad industrial tea factory commenced the production process on 28-06-1998

of operation of the industrial with the village of nelliyalam and nellakottai. The main activity

of the industrial is regarded with the processing and distribution of area. The bitherkad

industrial co-operative Tea factory had nearly 1200 small growers. And the factories include

or cover 1780 acres of land within the area. Bitherkad industrial co-operative Tea factory is

the 17th position in the co-operative industrial movement in the state in tea trade. The industry

started with only 158 members and now the members in the factory has increased to 1098 and

share at the end of the year is 14071600 (it include Rs.95, 05,700 given by the Tamil Nadu

Government)

The company has the production capacity 8.00 laksh kg Tea per year. The

company has been accredited by ISO 9001. Managing director is Mr.Jeyachandren. There

are 100 employees working.

Tea is indigenous to India and is an area where the country can take a lot of pride.

This is mainly because of its pre-eminence as foreign exchange earner and its contributions to

the country’s GNP.

In all aspects of tea production, consumption and export, India has emerged to be

world leader, mainly because it accounts for 31% of global leadership over the 150 years. Tea

production in India has a very interesting history to it.

The range of tea offered by India – from the original ORTHODOX to CTC and

GREEN TEA, from the aroma and flavour of Darjeeling tea to the strong Assam and Nilgiris

tea –remains unparalleled in the world.

Here are some statistical facts about the Indian tea industry:

� The total turn over of the tea industry is around Rs.10, 000 corers.

� Since independence tea production has grown over 250%, while land area has just

grown by 40%.

� There has been a considerable increasing in export too in the past few years.total net

foreign exchanges earned per annum is around Rs.1847 crores.

� The labour intensive tea industry directly employs over 1.1 million workers and

generates income for another 10 million people approximately. Women constitute

50% of the workforce.

Tea trading in the domestic market is done in two ways-auction and private selling.

Market reports are received from the six major auction cenres in

India,namely,Calcutta,guwahati,siliguri,cochin,coonoor and coimbatore.

The export market for indian teas are mainly in the Russia and cis countries with 90

million kgs of the total exports are going to these countries.

This is equivalent to 43% of india’s tea exports. India exports tea to most of the

European countries, U.S.A., Japan,West Asia and the Asia pacific region. In fact, there is

hardly any country where Indian tea is not found.

The first tea used in England came from China, and it wasn’t until the 19th century

that tea growing spread to other countries and indigenous tea was discovered in assam. The

UK is the largest importer of tea.

The English quickly developed an almost unquenchable thirst for the drink and

began searching for a way to get tea without having to buy it solely from china. In 1835 the

English East India company,upon discovery of an indigenous variety of camellia sinensis in

assam, India ,established their first experimental tea plantation there.

It was largely unsuccessful at the beginning. In 1835 varities of tea from the yunnan

and keemum provinces of china were introduced in Darjeeling, India ,and soon thrived.

Some of the most prized and expensive indian black teas come from this high mountain

region.

One year later tea was cultivated in cylon(sri lanka). Luckily, for tea growers and

consumers, a fungus wiped out the coffee crop in ceylon in 1869, then its’ main export. This

opened the door to increased tea production and exportation.

By the early 1900’s tea was being cultivated in java, Sumatra, Indonesia, Kenya and

other parts of America. Presently, the United States has been added to the list of tea producers

as there is one plantation in North Carolina

AREA OF OPERATION

The factory has provided the area of operation of village nellakottai panchayat like

bitherkad, pattavayal, kunnalady, pakkana, ponnany.The factory collects green leaf from

theses areas.

ISO Certification

The factory has been accredited with ISO-HACCP certification by the det norske

veritas, Netherlands based accreditation body with effect from 22-01-2004 and subsequently

renewed up to 2013, the certified status is likely to result in better sale average in the ensuing

year. The factory is first among industrial tea co-operative limited to acquire ISO certification

and first of all Tea factories to get HACCP (Hzard analysis critical control point) certification

also.

Responsibilities and authority

The responsibilities of key personnel who initiate action,identify quality problem

provide solution,verify implementation of solution and control further processing are

demarcated clearly keeping in view the main activity of each department. The authorities of

personnel are commensurate with responsibility assigned.

Classification of workers

Workers are classified as

� Permanent workers

� Temporary workers

� Casual workers

Wages of workers

Daily wages are given to workers dearness Allowances yearly bonus uniform and

increment is given for senior workers.

Gratuity provide to permanent employees at the time of retirement of designation

12% of wages is contribute to employee provident fund. The same percentage of amount of

must be provided by the management to the workers.

Safety measures

This firm takes all the safety measures to safeguard the employess from various health

hazard and accidents. This firm follows the instruction of health inspectors every passages to

made with a width of 3feet.

The doors are made of 3feet’s width and 7 feet height. Belt guard are used for conversing the

fans and pulleys of every machine.

Cyclone fans are kept on the top of dryer to collect the fiber dust with tea so that if

may not through the factory building. Industrial device are used in the order to reduce the

smoke coming out the factory chimneys. The smoke pipes are built so highly so that the

smoke may not comes back into the firm and cause pollution. All wrings are inspected and

maintained daily to avoid any short circuit

Loans and advance of the employee

� Interest bearing advance

� Interest free advance

Interest bearing advance

� Marriage advance

� Warm cloth advance

Interest free advance

� Advance for purchase of khadi and loom cloth.

� Festival advance

� Educational advance

OBJECTIVES OF THE COMPAN

� To provide employment opportunities to the people living with in the area of

operation

� The factory mainly engaged in the fulfilment of needs of the Members.The industry

collected green leaf from members every day that used for the production process.

� To give reasonable price for the small growers through the improvement of the

quality of the tea

� .We are commited to produce safe superior quality tea by adobting new technology in

the manufacturing process by Improving the effectiveness of our quality food safety

Management system

� We shall provide good working environment for staff and Workers for their up

gradation of human skills.

COMPANY PROFILE

Name of the company : Bitherkad Industrial Co- operative Tea Factory Ltd.

Established : 23-11-1992.

Place : Bitherkad,Nilgiris.

Manager : M.Jeyachandran.

No of employees : 100

Product : Tea

Control : department of industrial and commerce.

Production capacity : 8.00 laksh kg per year

Shift : 3-shift

E-mail : bitherkadtea@yahoo.co.in

Phone no : 04262-227708

PRODUCTS OF THE COMPANY

Black tea

Black teas are the most consumed of the four types of treas. They are the highest in caffeine.

Black tea is the most popular tea in the world. It is the most widely used in making iced tea

and English tea. Since the process of making black tea consists of three main stages,

‘cutting’, ‘twisting’, and ‘curling’, it is also known as C.T.C tea.

Image of the black tea

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 flavour is described as light, and sweet.

You should sleep white tea in water that is below the boiling point.

There is also considerably less caffeine in white tea than the other varieties (15 mg per

serving, compared to 40 mg for black tea, and 20 mg for green). Some studies have also

shown that white tea contains more active cancer-flighting antioxidants than green tea.

Image of the white tea

Green tea

Green tea is nothing more than the leaves of the camellia sinensis that have been processed

a certain way. Green teas, like white teas, are closed 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.

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 sometime 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 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 package

ORGANISATION CHART

managing director

Production line

Administrative line

Tea maker Accountant

Mechanic

Junior assistant Junior assistant

Electrician

Typist Record clerk

Workers

PHOTO GALLERY

VARIOUS DEPARTMENTS

� Production department

� Finance department

� Marketing department

� Human Resource department

PRODUCTION DEPARTMENT

Production means the process of converting raw-material into a product, ready for

delivery to the purchaser. In a tea factory, production means converting tea leaves into tea

dust for consumption.

Production department is the place where production takes place. Tea maker is the

head of this department, who controls all the functions of the department.

Raw material:

Two to three leaves and a build is recommended as a raw material for processing

black tea in south India. The reason for the requirements of two or three leaves and bud is due

to the fact that chemical which contribute to the quality as contained in the tender leaves at

greater proportion.

Therefore recommended shoot composition in south India for quality black tea

manufacture are,

� Two or three leaves and but and single/two leaves banjis-85%

� Immature shoots-5%

� Coars leaf-10%

MACHINERY LAYOUT

WITHERING TROUGH

CTC ROTORVANE

FORMENTAR

RTD FIBRE FIBRE BT(RC)

DRIER

SORTING WINNOWING

PULVARISER

GRADES

STORE ROOM

PACKING

PRODUCTION PROCESS

FRESH TEA LEAF

WITHERING

CRUSHING

FERMENTATION

DRYING

FIBER MAT

SORTING

QUALITY CHECKING

PACKING

DISPATCH

PRODUCTION PROCESS

Fresh tea leaf fresh tea leaf

Fire wood withering

Labour crushing tea

Machinery fermentation

Power drying

Fiber mat

Sorting

Quality checking

Packing

Dispatch

Tea processing is the method of in which the leaves and flushes from tea

plant are transformed into the dried leafs for brewing tea. The types of tea are distinguished

by the processing they undergo. In its most general form, tea processing involves oxidation of

the leaves and its molecules, stopping the oxidation of the leaves and its molecules, stopping

the oxidation, forming the tea and drying it. Of these steps, the degree of oxidation plays a

significant role of determining the final of the tea, with curing and leaf breaking contributing

to flavour by a lesser amount.

Most of teas are processed by the CTC (cutting, twisting and curling) method of

production. CTC described the use of machinery that mechanically chops up both leaves,

buds and stems without discrimination as to the quality of end product.

process Input Output

CTC produces tea that is finely ground and low quality. All the leaves, buds and stems are

ground down to an equal size, mostly dust and fanning’s and is mainly used in tea bags filled

with lower quality tea.

Production process of CTC tea passes through different stages they are as follows;

� Leaf collection

� Withering

� Crushing

� Cutting, twisting, curling

� Fermentation

� Drying

� Sorting

� Packing

Leaf collection

This is the first stage of tea production process. Leaves are collected from

plantations and outsiders. Leaf plucking is mainly done by women. The factory sends

collection agents to different areas and they collected green leaves from the tea growers. This

step is over, after recording the quantity in the records.

Image of the tea estate

Withering

It is a procedure which brings about physical and chemical changes in the shoots to

produce quality, apart from conditioning the flush for rolling by reducing turgor, weight and

volume.

Withering process done in withering trough

Previously the flush used to be withered under the sun. Now this process is

generally achieved either by thinly spreading the flush on mats, or in thick layers in trough

for 8-18 hours depending on the condition of the leaves.

Green leaves are put into trough. There are five troughs available. Each troughs

capacity is 3200 kg to 4800 kg. Leaves are put into trough for withering process. It is

believed that nearly 30% of the weight of the fresh leaf consists of water. To remove this

moisture racks kept for 12 to 14 hours. Sometimes heated air is forced over these racks if the

atmosphere around is humid. This is done until the leaves become dry and soft ready for

rolling.

Cutting, twisting and curling

The next processing in tea manufacturing is CTC (cutting twisting and curling)

of crushed leaves. Fine CTC rollers are used in the factory for this purpose. The roller

revolves 30 to 40 times per minutes. The leaves are rolled in brass rolling tables.

Image of CTC machine

Five CTC roller used in the factory for this purpose. The temperature should be

maintained using humidifier. The primary object of rolling is to crush the leaf into small

sizes. In addition, it processes out the juices and a thin film of juices is coated on the surface

of the leaf particles to enhance chemical change

Fermentation

It is the process of oxidation of leaves. The mechanical aspects involves spreading

out of the leaves macerated by rolling a layer 5-8 cms thick, for 45 minutes to 3 hours,

depending on the quality of the leaves.

Fermenting machines make the process continues, that is, every unit of macerated

leaf has to be spread out for individual treatment. Fermentation is the processes during which

the polyphenols in the tea leaf are oxidized in presences of the enzymes and subsequently

condensed to form colored compounds contributing to the quality attributes of tea.

Fermentation starts immediately after cell rupture.

After rolling the leaves are passed on for fermentation. Through this process tea is

particularly oxidized and the leaves changes colour and terms bright coppery red. To

undertake this process it is the fermenting drums, which are used. CTC machine consist to

two drums. The leaves are put into the drums to oxidize the leaves. After this process tea are

ready for drying. The company has two fermentation drums

Drying

It reduces the moisture of content of rolled and fermented leaves from 45-50% level

to a 3% level in dried black tea. It also allows development of black tea aroma. Drying is

ssphysically achieved by blowing hot air through fermented leaves are they are conveyed in

chains. The drying process lasts for about 20 minutes.

The keeping quality of tea mainly depends on the drying technique and the final

moisture contents in the tea. The objectives of drying are to terminate the biochemical

changes and to remove moisture to have better quality. During the process of drying water is

removed from the fermented leaf and its colour turns form coppery red to black and

fermentation is arrested. The fuel used for fire is firewood and briskets. At most care must be

taken so that the required temperature is maintained between 145 f and 245 f.

Sorting

Sorting may be defined as a procedure in which particles of bulk tea are separated into

grades of different sizes. This sizing can be done either manually or by using different sizing

equipments.

Sorting meshes of various sizes are used to grade the tea. It is the operation in which

particles of bulk tea are separated into various grades of different sizes conforming to the

trade requirements. It is to remove fiber from the tea and separate the tea particles into

various grades relevant to made requirement.

Packing

This is the last stages of a productions process. The dust is packed in jute bags,

containing light polythene bags. Each bag can hold 50 – 55 kgs of tea. Tea dust is packed

first in plastic covers and then in the bags so that the tea does not lose its flavour. These jute

bags are stitched using electronic bag close machine. After affixing the name and address of

manufacturing, the date of packing, expiry date, weight of tea these are entered on the front

side of the bag. Electronic weighing machine also used in the packing room for taking proper

quality check. Then the packed tea is sent to the store room and from there to the markets.

MARKETING DEPARTMENT

Marketing management is a business discipline which is focused on the practical

application of marketing techniques and the management of a firm marketing resources and

activities. Rapidly emerging forces of globalisation have compelled firms to beyond the

borders of their home country asking international marketing highly significant and an

integral part of a firm’s marketing strategy.

Auction system

Auction makes it possible to distribute a large quantity of tea within a shortage period

and with an organized manner. Further more it provides reliable means of selling and buying

tea. In India out of 800 mkg bulk packaged tea, 500 mkg is through public auction annually

takes place among five important stake holders.

They are as follows:-

Auction organizers

Seller/manufacturers

Brokers/auctioneers

Buyer

Warehouse keepers

Sales made in the factory

The bitherkad industrial co-operative Tea factory manufacturing the tea and sell their

products. The sales of these products are constructed by three ways.

They are as follows:

Auction sale

Retail sale within the factory

The factory makes good sales average compared to the factory under the industrial

co-operative serve. The sale made with factory to their members and non members. They are

given 1kg tea without tax.

Any people in the customers purchase 50 kg tea and above that will be charged the whole

sale rate. The factory opened the branch shop at pattavayal to increase the sales of their

products and to satisfy their new customers.

Brokers

� Tamil Nadu Tea Brokers Limited

� Contemporary Taryette Private Limited, Forbes Tea Brokers Private

Limited

FINANCE DEPARTMENT

Financial management entails planning for the future of a business

enterprise to ensure a positive cash flow. It includes the administration and maintenance of

financial assets. Besides, financial management covers the process of identifying and

managing risks.

The primary concern of financial of financial management is the

assessment rather than the techniques of financial qualification. A financial manager looks at

the available data to judge the performance of enterprises. Managerial finance is an

interdisciplinary approach that borrows from both managerial accounting and corporate

finance.

Some experts refer to financial management as the science of money

management. The primary usage of this term is in the world of financing business activities.

However, financial management is important the all levels of existence because every entity

needs to look after its finances.

MEMBERSHIP AND SHARE CAPITAL OF THE COMPANY

There were 1106 members. Members contribute of share capital is 45,

65,900/- as on 30-04-2011 which the investment by the Government of Tamil Nadu was Rs.

95, 05,700.

ACCOUNTING AND REGISTER MAINTAINED

The society follows double entry system of accounting. The books

maintained by the society are day book, and leaf in take register, general ledger, sundry

creditors and sundry debtors.

� Day book- it is prepared by the accountant. Daily

� Transactions are recorded in the day book.

� Cash book- it is prepared by the cahier. The transactions

concerned cash are recorded in this book.

� Leaf intake register – the quality of leafs in taken are

recorded in this Book

� Leaf cash payment register- all the payment for the in taken

leafs are shown in this register.

� Stock register – the stocks of finished products are recorded

in the Register.

� General ledger – receipts and issues of all the items are

recorded in this ledger

HUMAN RESOURCE DEPARTMENT

Human resource management is the understanding and application of the

policy and procedures that directly that affect the people working within the project team and

working group. These policies include recruitment, retention, reward, personal development,

training and career development. The success of an organisation depends upon the ability of

its human resource.

The responsibility of key personnel , who initiate action , identify quality

problem provide solution , verify implementation of solution and further processing are

demarcated clearly keeping in view the main activity of each department the authorities of

personnel are commensurate with responsibility assigned.

CLASSIFICATION OF WORKERS

Workers are classified as

� Permanent workers

� Temporary workers

� Casual workers

Shift of working

The factory maintained three shifts:

� 8 am to 5 pm

� 5 pm to 1am

� 1 am to 8am

Wages to workers

Daily wages are given to workers. DA, yearly bonus, uniform and

increments etc are given for senior workers.

Gratuity provided to permanent employees to the retirement of designation

12% of wages is contributed to employee provident fund. The some percentage of amounts

must be provided by the management to the workers.

Safety measures

This firm takes all the safety measure to safe guard the employees form various health

hazard and accidents. This firm follow the instruction of health inspector. Every passage is

made with of 3 feet.

The doors are made of 3 feet width and 7feet height. Belt guards are used for covering the

fans and pulleys of every machine.

Cyclone fans are kept on the top of dryer to collect the fibre dust with tea so that it

may not over through the factory building .industrial are used in the firm I order to reduce

the smoke coming out of factory chimneys. The smoke pipes are built so highly so that the

smoke may not come back into the firm and cause pollution.

Loans and advance of the employee

� Interest bearing advance

� Interest free advance

Interest bearing advance

� Marriage advance

� Warm cloth advance

Interest free advance

� Advance for purchase of khadi and handloom cloth

� Festival advance

� Educational advance

All organization beings with their operation three major ingredients for its,

success viz financial resources, physical resources and human resources and effective

utilization of employees in an organization is the most often a critical factor in the successful

accomplishment of mission. Without human efforts, the organisation cannot accomplish their

objectives. Personal management.

SWOT ANALYSIS

Swot analysis is a tool for auditing an organisation and its environment. It

is the first stage of planning and helps marketers to focus on key issues. SWOT stands for

strengths, weaknesses, opportunities, and threats.

Strength and weakness are internal factors. Opportunities and threats are

external factors SWOT analysis is a strategic planning method used to evaluate the strengths,

weakness, opportunities, and threats involved in a projector in business venture. It involves

specifying the objective of the business venture or project and identifying the internal and

external factors that are favourable and unfavourable to achieve that objective.

The usefulness of SWOT analysis is not limited to profit seeking

organizations. SWOT analysis may be used in any decision making situation when as desired

end-state (objective) has been defined. Examples include: non-profit organisations,

governmental units, and individuals. SWOT analysis may also be used in pre-crisis planning

and preventive crisis management. SWOT analysis may also be used in creating a

recommendation during a viability study/survey.

STRENGTH

� An industrial co-operative in Tamil Nadu

� Management is committed and confident

� Experience staff

� Auction sale

� Finance stability

� Raw material available near factory

WEAKNESS

� Non availability of labour force

� Lack of private sale

� Break down of machinery

OPPORTUNITIES

� Concentrate on private cash sale

� Innovation of tea products to seize the tea market

� Irrigation facility to increase the production of tea leaves

THREATS

� Power cut

� Climate change will affects production of tea leaves

� The entrance of new competitors

FINDINGS

� The main goal of this factory is not serve the society than

profit making.

� Since the raw materials cannot be stored for more than a day ,

the seasonal fluctuation of production of tea leaves is directly

proportional to the volume of the production.

� There is no alternative system so that break down in any

machinery will affect the production process.

� There is only three shifts are in the factory, the working time of

the factory is 8 am to 8 pm.

SUGGESTIONS

� Inventory level should be managed efficiently for achieving better

performance.

� The factory should introduce cost reduction initiatives Appoint technically

efficient supervisors in the organisation so that they effectively lead and

guide the organization.

� Pollution control measures should be adopted , in order to reduce the sound

pollution and dust , which affect the health of the workers, maintain proper

communication between labours to supervisors

� To identify the strength and weakness of each employees and give proper

training to them.

� To maintain better working environment.

CONCLUSION

The study on bitherkad industrial co-operative Tea factory Ltd was

conducted for the purpose of understanding about Tea industry and functions of tea factory.

This study was very helpful in understanding the managerial and operational function

involved in the process of making final products.

Bitherkad Industrial Co-operative Tea factory Ltd. It provided good

employment opportunities for the local people. This factory helps the farmers by giving

reasonable rate for their tea leaves.