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If everyone reading this donated Rs 100, our fundraiser would be over today. Read now Close Shri Mahila Griha Udyog Lijjat Papad From Wikipedia, the free encyclopedia Jump to: navigation, search Shri Mahila Griha Udyog Lijjat Papad SMGULP [Link] Type Worker cooperative Industry papads

soaps and detergent bakery products masala (spices) flour Founded Girgaum, Mumbai (March 15, 1959) Mumbai, India

Headquarters

Key people Jyoti Naik, President Employees Website 42000[1] [Link]

Shri Mahila Griha Udyog Lijjat Papad, popularly known as Lijjat, is an Indian

women's cooperative involved in manufacturing of various fast moving consumer goods. The organization's main objective is empowerment of women by providing them employment opportunities. Started in the year 1959 with a seed capital of Rs. 80, Lijjat has an annual turnover of around Rs. 650 crore, with Rs. 29 crore in exports (As of 2010[update]).[2] It provides employment to around 42,000 people.[1] Lijjat is headquartered in Mumbai and has 67 branches and 35 divisions all over India[3].

Lijjat is primarily a cottage industry, urban by its origin, that has spread to the rural areas[4]. It is considered as one of the most remarkable entrepreneurial initiatives by women that is identified with female empowerment in India[5]. Contents [hide]

* 1 History * 2 Organization structure and management * 3 Products and divisions * 4 Culture * 5 Role in women empowerment * 6 Contribution to social service * 7 References * 8 External links

[edit] History

Lijjat was the brain child of seven semi-literate Gujarati housewives from Bombay (now Mumbai). The women lived in Lohana Niwas, a group of five buildings in Girgaum. They wanted to start a venture to create a sustainable livelihood using the only skill they had i.e. cooking. The seven women were Jaswantiben Jamnadas Popat, Parvatiben Ramdas Thodani, Ujamben Narandas Kundalia, Banuben. N. Tanna, Laguben Amritlar Gokani, Jayaben V.

Vithalani, and one more lady whose name is not known[6].

The women borrowed Rs 80 from Chaganlal Karamsi Parekh, a member of the Servants of India Society and a social worker[6]. They took over a lossmaking papad making venture by one Laxmidasbhai[7] and bought the necessary ingredients and the basic infrastructure required to manufacture papads. On March 15, 1959, they gathered on the terrace of their building and started with the production of 4 packets of Papads[8]. They started selling the papads to a known merchant in Bhuleshwar. From the beginning, the women had decided that they would not approach anyone for donations or help, even if the organization incurred losses[9]. Ramdas Padhye, ventriloquist, with his Bunny used in Lijjat Papad advertisement The Rabbit remains a part of the Lijjat Papad packing

Chaganlal Karamsi Parekh, popularly known as Chaganbapa, became their guide[4]. Initially, the women were making two different qualities of papads, in order to sell the inferior one at a cheaper rate. Chaganbapa advised them to make a standard papad and asked them never to compromise on quality. He emphasized to them the importance of running it as a business enterprise and maintaining proper accounts[10].

Lijjat expanded as a cooperative system. Initially, even younger girls could join, but later eighteen was fixed as the minimum age of entry. Within three months there were about 25 women making papads. Soon the women bought some equipment for the business, like utensils, cupboards, stoves, etc. In the first year, the organization's annual sales were Rs. 6196[11]. The broken papads were distributed among neighbours[7].

During the first year, the women had to stop production for four months during the rainy season as the rains would prevent the drying of the papads[4]. The next year, they solved the problem by buying a cot and a stove. The papads were kept on the cot and the stove below the cot so that the process of drying could take place in spite of the rains[6].

The group got considerable publicity through word of mouth and articles in

vernacular newspapers. This publicity helped it increase its membership. By the second year of its formation, 100 to 150 women had joined the group, and by the end of the third year it had more than 300 members[6]. By this time, the terrace of seven founders could no longer accommodate the members and the ingredients, so the kneaded flour was distributed among the members who would take it to their homes and make papads[4]. The papads were brought back for weighing and packaging.

An attempt to start a branch in Malad suburb of Mumbai, in 1961, was unsuccessful[12]. In 1962, the name Lijjat (Gujarati for "tasty") was chosen by the group for its products. The name was suggested by Dhirajben Ruparel, was chosen in a contest held for the purpose, with prize money of Rs. 5[7]. The organization was named Shri Mahila Griha Udyog Lijjat Papad[6]. In many Indian languages, Mahila means women, Griha means home, Udyog means industry. By 1962-63, its annual sales of papads touched Rs. 1.82 lakh (Rs. 182,000)[4].

In July 1966, Lijjat registered itself as a society under the Societies Registration Act 1860[6]. In the same month, on Chaganbapa's recommendation, U N Deodhar, the chairman of KVIC personally inspected the Lijjat[4]. KVIC or Khadi Development and Village Industries Commission is a statutory body set up by the Government of India for development of rural industries. In September 1966, KVIC formally recognized Lijjat as a unit belonging to the "processing of cereals and pulses industry group" under the Khadi and Village Industries Act. It was also recognized as a "village industry". In 1966, KVIC granted it a working capital of Rs. 8 lakhs (0.8 million) and was allowed certain tax exemptions[6].

An attempt to start a branch in Sangli town, in 1966, was unsuccessful[12]. The first branch outside Maharashtra was established at Valod, Gujarat in 1968[11]. After tasting tremendous success with their papads, Lijjat began producing other products like khakhra (1974), masala (1976), vadi, wheat atta, and bakery products (1979). In 1970s, Lijjat set up flour mills(1975), printing division (1977) and polypropylene packing division (1978). The group also initiated some unsuccessful ventures such as cottage leather (1979), matches (1979), and agarbattis (incense sticks)[13].

In July 1979, the general secretary of a trade union tried to interfere in Lijjat's

affairs, making certain demands on behalf of a few member-sisters. L. C. Joshi, Labour Advocate of Bombay and a well-known industrial relations expert, was called for consultations. In his observations on "Who owns Lijjat?", he clarified that member-sisters were competent to take a decision for their own and it was not open for an outside agency to interfere with the internal working of Lijjat[14].

In 1985, the Lijjat branch at Jabalpur was taken over by one Shantilal Shah as his own unit, which he ran with the help of a Sanchalika (branch head), who was wife of his employee. Lijjat went through tremendous pressures and court stay orders to retrieve the situation[15].

In 1987, Lijjat purchased new premises at Kamal Apartments in Bandra, a suburb of Mumbai. The registered office shifted to the Bandra with effect from July 1988[7]. In 1988, Lijjat entered the soap market with Sasa detergent and soap[16].. Sasa had annual sales of Rs 500 million, accounting for 17 percent of Lijjat's total turnover in 1998. In March 1996, the 50th branch of Lijjat was inaugrated in Mumbai[17].

In 1980s, Lijjat also started taking part in several trade fairs and exhibitions, which improve its sales and made the brand name "Lijjat" well-known among the people[7]. The advertising was undertaken through the vernacular newspapers, television and radio. The institution sponsored programs and gave away gifts for the winners of specific shows in the television[18]. The money for advertisements was spent by the Polypropylene Division, which recovered the same by adding it to the price of the bags that it supplied to all the branches and divisions throughout India[19].

In the 1980s and 1990s, Lijjat started attracting attention of foreign visitors and officials. The Vice-President of Uganda, Dr. Speciosa Wandira-Kazibwe, visited Lijjat's central office in January 1996, since she wanted to start a similar institution in Uganda[20]. Lijjat started exporting its products with the help of merchant importers in the United Kingdom, the United States, the Middle East, Singapore, the Netherlands Thailand, and other countries. Its annual exports accounted for more than US$2.4 million in 2001[11][21]. As its popularity grow, Lijjat started facing the problem of fake Lijjat papads being introduced in the market. In June 2001, three persons were arrested in this connection, in Bihar[4]. Lijjat's website explains the identification

features of original Lijjat papads.

Lijjat received the "Best Village Industries Institution" award from KVIC for the period 1998-99 to 2000-01[22]. In 2002, the "Businesswoman of the Year" award was given to "The Women Behind Lijjat Papad" at The Economic Times Awards for Corporate Excellence[23]. At the awards ceremony, the President of Lijjat urged the State Governments of Maharashtra and Punjab to reconsider their decision of withdrawing the tax exemption on Lijjat's Sasa Detergent.

In 2002, Lijjat had a turnover of Rs 3 billion and exports worth Rs.100 million. It employed 42,000 people in 62 divisions all over the country[6]. The 62nd branch became operational at Jammu and Kashmir in 2002, enrolling over 150 members[11].

In 2003, Lijjat received the "Best Village Industry Institution"[22]. It also received the PHDCCI Brand Equity Award 2005[24].

Lijjat marks its 50th year of existence on March 15, 2009.[25]. [edit] Organization structure and management

Lijjat believes in the philosophy of sarvodaya and collective ownership. It accepts all its working members as the owners and an equal partaker in both profit and loss[9]. The members are co-owners and fondly referred to as "sisters". All the decisions are based on consensus and any member-sister has the right to veto a decision[26]. Men can only be salaried employees (accountants, drivers or security guards), and not the members of the organization (i.e. they are not the owners)[11]. Lijjat organization structure

The running of the organization is entrusted to a managing committee of twenty-one members, including the President, the Vice-President, two secretaries, and two treasures[11]. Sanchalikas are in-charge of various branches and divisions. The office bearers of the managing committee and

the sanchalikas are chosen from among the member-sisters on the basis of consensus every three years [27]. Each branch has a committee eleven member-sisters, again chosen by consensus.

The central office at Mumbai previously coordinated the activities of various branches. But, as the organization grew, the authority was decentralized in terms of work and sharing of profits at the branch level. However, the sanchalikas still need the managing committee's approval before they undertake any new project or activity.

All the branches follow the same set of instructions and have similar accounting system. To co-ordinate various branches in a region or state, there are branch coordination committees and area meetings of various branches in a state. The annual general meeting is attended by membersisters representing branches and divisions all over India.

Currently, Lijjat has branches in seventeen Indian states -- Andhra Pradesh, Bihar, Delhi, Gujarat, Haryana, Jharkhand, Jammu and Kashmir, Karnataka, Kerala, Madhya Pradesh, Maharashtra, Orissa, Punjab, Rajasthan, Tamil Nadu, Uttar Pradesh, and West Bengal.

Account books are easily accessible to all the member-sisters, ensuring transparency. Lijjat follows its own financial accountability principle. There is no credit method for running operations in the organization. Every payment is done on a daily basis, except for the outside supply of raw material. Profits and losses are shared equally among the members of a given branch. In the initial days of Lijjat, the profits of the first six months were shared equally among all sisters in the form of gold. This sharing practice is still in effect, but now the decision whether to share the profits in gold or in cash is made at the branch level[28]. The cost of national-level advertising is borne by all branches and divisions, depending on their individual production abilities.

Because of Lijjat's main motive of generating self-employment for women, no machinery is used at the production level, and everything is done manually. However, computers are now being used in some of the Mumbai branches for accounts and administration[11].

The quality of papads can vary due to quality of water used in various parts of India. To avoid any inconsistencies, the final products are tested in the Lijjat's laboratory in Mumbai. In the monthly meetings, the quality issue and modifications are tested[4]. The central office purchases and distributes all ingredients to maintain the quality of the final product. For example, the urad dal is imported from Myanmar, asafetida is imported from Iran, and black pepper comes from Kerala. The committee often makes surprise visits to various branches to assure that production conditions are hygienic[11]. When a new branch of Lijjat opens, a neighboring Lijjat branch helps it by guiding and training new members.

On successive failures of a branch to abide by the organization's philosophy of consistent quality and production of papads, the central committee reduces the daily wages of its members by 1 rupee. The member-sisters are also rewarded for extra effort. For instance, in 2002, the member-sisters at the Rajkot branch received Rs 4,000 each as bonus, while the member sisters at Mumbai and Thane branches received a 5-gram gold coin as an incentive[11]. Several issues of Lijjat Patrika enumerate the names of the names/numbers of the member-sisters, who were rewarded with the cash or gold, for their extra efforts[7]. Lijjat collection flowchart Lijjat distribution flowchart [edit] Products and divisions

Lijjat's manufactures several products, of which the papad is the most famous:

* Papad (Five flavours: lasan, moong, mirch, Punjabi and urad[9]) * Khakhra * Appalam * Masala * Vadi * Gehu Atta (Wheat flour)

* Bakery products * Chapati * SASA Detergent Powder * SASA Detergent Cake (Tikia) * SASA Nilam Detergent Powder * SASA Liquid Detergent

Lijjat has several divisions and manufacturing units[29]:

* Flour Division (Vashi) * Masala Division and Quality Control Laboratory (Cotton Green) * Printing Division (Cotton Green) * Advertising Division, Bandra * Khakhra Division, (Buhari, Valod district) * Chapati Divisions at Wadala, Borivali, Mulund and Kandivali * Polypropylene set-up (Kashi-Mira Road) * Vadi factory (Valod) * Bakery Division (Valod) * Detergent Powder and Cakes manufacturing unit (Dahisar) and office (Borivali)

[edit] Culture

Lijjat Patrika, the in-house magazine, is published and circulated for a nominal rate to those interested in the activities of Lijjat. It is published in many languages, including English, Gujarati, Marathi and Hindi. It has emerged as a strong mode of communication for information related to significant events and initiatives at Lijjat, in addition to presenting articles on women[11].

Member sisters across all branches of Lijjat recite an all-religion prayer before beginning their daily activities[11]. The sisters are free to choose their activities and each activity is given equal importance.

Leaving the organization is voluntary. No member sister can be asked to leave unless or until she goes against the organizational principles. There is no fixed retirement age at Lijjat. Once, when the president Jyoti Naik was questioned about this anomaly, she said that there was no need to make provision for a retirement age, as the emphasis obviously was on earning one's bread through daily work, all through one's life[7].

Because of Lijjat's main motive of generating self-employment for women, no machinery is used at the production level, and everything is done manually. However, computers are now being used in some of the Mumbai branches for accounts and administration[11]. [edit] Role in women empowerment

The growth of the Lijjat is often seen in the larger canvas of women and their empowerment. The organization has undertaken various efforts to promote literacy and computer education for member-sisters and their families. A literacy campaign for sisters began through literacy classes at Girgaum on June 18, 1999. Later, the managing committee decided to start such classes in all its branches[11]. From 1980 onwards, Lijjat started giving Chhaganbapa Smruti Scholarships to the daughters of the member-sisters[30].

The member-sisters used their organization as a medium to promote their and their families' welfare. In the Valod centre they set up an educational and hobby centre for the rural women. Orientation courses in typing, cooking, sewing, knitting and toy making as well as other courses like child welfare, first aid and hygiene were taught[31]. The first ever pucca (tarred) road in Valod to be built and inaugurated in 1979 was with the help of the Lijjat, Valod branch[32].

In 1979, Lijjat teamed up with UNICEF to organize a seminar in Mumbai on "Child Care and Mother Welfare", as part of the International Year of the Child

celebrations[33]. In October 1984, Bhadraben Bhatt represented Lijjat at the UNESCO sponsored international workshop on "The role of women in the assimilation and spread of technological innovation" held at NITIE, Powai[34]. Alkaben Kalia represented Lijjat at the national level meeting on women convened by the National Commission on Self Employed Women[35].

At the behest of Mother Teresa, the member-sisters also took part in some activities of Asha Dhan, an institution to care for destitute women[36].

Lijjat member-sisters also tried to start a co-operative bank, but the effort was not very successful[37]. [edit] Contribution to social service

On several occasions, the Lijjat member-sisters have undertaken social service activities such as distributing nutritious food for poor children, donating money for conducting community marriage, instituting prize-money for spread of primary education, undertaking blood donation drive, organizing health camps, plantation drives and even making donations to Government bodies[7]. In 1999, the Mumbai City felicitated [Link] [Link], Lijjat President, as an outstanding woman in the field of social work[38].

Lijjat undertook the rehabilitation of Chincholi (Jogan), the earthquake affected village in the Latur district of Maharashtra. The institution provided the finance and supervised the work of construction of fifty-eight houses for the people of the village. Member-sisters donated money from their daily vanai (wage)[39]. After the 2001 Gujarat earthquake, all the branches of Lijjat gave a total donation of more than Rs 4.8 million, including Rs 1 million from the central office. Lijjat built forty houses for the rehabilitation of the people of Bhujpur (Bhachau) in Kutch District[40]. [edit] References

1. ^ a b Surekha Kadapa-Bose (2005-04-01). [([Link]) "Their kitchen radiates energy"]. The Hindu Business Line. ([Link]). Retrieved 2007-01-15. 2. ^ Lijjat Papad sales crosses Rs 650 cr mark. Sakaal Times, 13 September

2010. 3. ^ "Organization: About Us". Lijjat. [Link] id_Section=7. Retrieved 2006-02-04. 4. ^ a b c d e f g h Surekha Kadapa-Bose. "A model of modern development". The tmtc Journal of Management. [Link] %[Link]. Retrieved 2007-01-15. 5. ^ Seema Sharma and Kanta Sharma. Encyclopaedia of Indian Women. Vol. VII: Women Employment. New Delhi, Anmol, 2005, 11 vols., cxliii, 4476 p., ISBN 81-261-2292-7 6. ^ a b c d e f g h "Successful Women Entrepreneurs: Shri Mahila Griha Udyog Lijjat Papad (Lijjat)". ICFAI Center for Management Research. [Link] %[Link]. Retrieved 2007-01-08. 7. ^ a b c d e f g h Malathi Ramanathan. "Grassroots Developments in Women's Empowerment in India: Case Study of Shri Mahila Griha Udyog Lijjat Papad (19592000)". [Link] Retrieved 2007-01-15. 8. ^ "organization - The Beginning". Lijjat. [Link] Retrieved 2006-02-04. 9. ^ a b c "Queens of PAPADom". The Times of India. 2001-12-06. [Link] Retrieved 2007-01-15. 10. ^ Pathak, Ramnarayan Nagardas, Punyashlok Chhaganbapa, translated into English by [Link], Published by Shri Mahila Griha Udyag Lijjat Papad, Jan. 1980, p.114-117 11. ^ a b c d e f g h i j k l m Deepti Bhatnagar (IIM-A), Animesh Rathore ((IIM-A)), Magi Moreno Torres (World Bank), Parameeta Kanungo (World Bank).. "Empowering Women In Urban India: Shri Mahila Griha Udyog Lijjat Papad". The tmtc Journal of Management. [Link] Retrieved 2007-01-16. 12. ^ a b Lijjat Patrika, Vol. 1,Issue 3, March, 1979, p.6. 13. ^ Lijjat Patrika, Vol. 1, Issue 3, March 1979, pp.7-11 14. ^ Irresponsible Trade Union Activities in Lijjat, Lijjat Patrika, Vol. 1, Issue 11, Jan.1980, p.3-5

15. ^ Lijjat Patrika, Vol.6, Issue 12, February 1985, pp.5-6. 16. ^ Lijjat Patrika, Vol. 11, Issue 8, Dec. 1988, p.7. 17. ^ Lijjat Patrika, Vol. 17, Issue 4, April 1996 p.3 18. ^ Lijjat Patrika, Vol. 18, Issue 3, March 1997, 8 19. ^ Lijjat Patrika, Vol. 6, Issue 7, Sept. 84, p.6; Vol. 8, issue 2, April, 86, p.3; Vol. 9, issue 10, Jan. 87, p.3. 20. ^ Lijjat Patrika, Vol.17, Issue 2, Feb. 96, pp.1, 4. 21. ^ "The incredible story of Lijjat Papad!". [Link]. 2005-04-15. [Link] Retrieved 2007-02-04. 22. ^ a b "Organization: Milestone". Lijjat. [Link] Retrieved 2006-02-04. 23. ^ "The Economic Times Awards for Corporate Excellence". The Economic Times. Archived from the original on 2007-02-17. [Link] [Link]/etawards/[Link]. Retrieved 2007-02-04. 24. ^ "PHDCCI Awards for Excellence: 2005". [Link] Retrieved 2007-02-04. 25. ^ "Indian meal starter lasts 50 years". BBC News. 2009-03-11. [Link] Retrieved 2009-03-11. 26. ^ Lijjat Patrika, Vol. 6, Issue 10, Dec. 1984, p.4-B 27. ^ "Feet on the ground". Businessworld. [Link] SectionId=416&ArticleId=1067. Retrieved 2007-02-04. [dead link] 28. ^ "Editorial: Reflecting Women's Real Strength". The Tribune. 2002-0919. [Link] Retrieved 200702-04. 29. ^ "Organization: Diversification". Lijjat. [Link] Retrieved 2006-02-04. 30. ^ Lijjat Patrika, Vol.2, Issue 6, August 1980, p.5; Vol.2, Issue 7, Sept. 1980;Vol. 6, Issue 4, June 1984, p.4; Vol.6, Issue 7, Sept. 1984, p.3; Vol.7, Issue 7, Sept. 1985, p.3; Vol. 7, Issue 8, Oct. 85, p.6 31. ^ Lijjat Patrika, Vol. 1, Issue 12, Feb. 1980, p.7

32. ^ Lijjat Patrika, Vol. 1, Issue 6, June 1979, p.7 33. ^ UNICEF-Lijjat Seminar of Child Care and Mother Welfare, Lijjat Patrika, Vol. 1, Issue 10, Dec.1979, p.4 34. ^ Lijjat Patrika, Vol. 6, Issue 9, Nov. 1984, p.7 35. ^ Lijjat Patrika, Vol.10, Issue 9, Dec. 1987, p.3 36. ^ Lijjat Patrika, Vol.1, Issue 10, p.4; Vol. 2, Issue 2, April 80, p.1;Vol. 2, issue 7, Sept.1980, p.4 37. ^ Lijjat Patrika, Vol.2, Issue 9, Nov.1980, p.4 38. ^ Lijjat Patrika, Vol. 18, Issue 10, Oct. 1997, p.16 39. ^ Lijjat Patrika, Vl.14, Issue 8-9-10, Nov. 93- Jan.94, pp.1 &3;Vol. 17, Issue 1, Jan.96; p.; Vol.20, Issue 7, July 1999, p.1 40. ^ Bhujpur Punarvas, Shri Mahila Griha Udyog Lijjat Papad.

[edit] External links

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Be it an evening snack, or a banquet or a meal at home, the pappad finds its due place on the dining table. No Indian meal is complete without it, and India's biggest `papad' success story is undoubtedly, Lijjat. Everyone enjoys 'rags to riches' stories and everyone likes tales of stupendous success achieved through sheer determination. The story of Shri Mahila Griha Udyog Lijjat Papad is all that and much more. Intro To the Industry: Shri Mahila Griha Udyog Lijjat Papad is registered under the KVIC Act- (Khadi & Village Industries Commission)

The Khadi and Village Industries Commission (KVIC) is a statutory organisation established in 1956 by an Act of Parliament. It plays a pivotal role in the strengthening of rural economy by promoting and developing khadi and village industries. The main objectives of the KVIC include skill improvement, providing employment in rural areas, transfer of technology, rural industrialisation and promoting self-reliance among the people and to build up a strong rural community base. The functions of the KVIC are generally to plan, promote, organise and assist in implementation of programmes for the development of khadi and village industries. To achieve this, it undertakes: Financing of eligible agencies; Building of reserves of raw materials and implements supplying them at such rates as may be decided; Training of persons employed or desirous of seeking employment in khadi

and village industries, supervisors and other functionaries; R&D in khadi and village industries products; Promotion and encouragement of cooperative efforts among the persons engaged in khadi and village industries. The Khadi & Village Industries Commission (KVIC) has been playing an important role in the Indian economy as a vehicle for generating large-scale employment with low capital investment and short gestation period. Emphasis is to provide improved tools and implements to the artisans in khadi as well as various village industries.

History Of The Firm: Shri Mahila Griha Udyog, the makers of the famous Shri Mahila Griha Udyog Lijjat Papad Papad, is an organisation, which symbolises the strength of a woman. Only women can become the members of the organisation. All members are also the owners of the organisation and are fondly referred to as 'sisters'. There is a central managing committee of 21 members to manage the affairs of the organisation. To aid the management, there are also Sanchalikas to look after the day-to-day affairs of the individual centers and also of that of the Udyog as a whole. The organisation functions on the basis of consensus and each member has 'veto' powers.

The Beginning:

It all began on 15th march. 1959 which was a warm summer day with the sun shining brightly in the cloudless sky. A majority of the women inhabitants of an old residential building in Girgaum (a thickly populated area of South Bombay), were busy attending their usual domestic chores. A few of them, seven to be exact, gathered on the terrace of the building and started a small inconspicuous function. The function ended shortly, the result - production of 4 packets of Papads and a firm resolves to continue production. This pioneer batch of 7 ladies had set the ball rolling. As the days went by, the additions to this initial group of 7 was ever-increasing. The institution began to grow. The early days were not easy. The institution had its trials and tribulation. The faith and patience of the members were put to test on several occasions - they had no money and started on a borrowed sum of Rs. 80/-. Self-reliance was the policy and no monetary help was to be sought (not even voluntarily offered donations). So work started on commercial footing Today, Lijjat is more than just a household name for 'papad' (India's most popular crispy bread). Started

with a modest loan of Rs 80, these women took its turnover from Rs 6,196 in the first year to Rs 300 crore in the next few decades, involving over 40,000 women on its revolutionary march. This story fanciful at any rate. But to say so would be undermining the contribution of a well thoughtout Gandhian business strategy, equally well executed by his followers, late Chhaganlal Karamshi Parekh and Damodar Dattani, who worked

tirelessly from behind the scene. Their vision was clear an exclusive womens organisation run and managed by them, a quality product that these women had the expertise to make, and, finally, a work environment which is not competition-driven and mechanised but based on pure labour and love for the organisation and its people. Lijjat is today guided by separate divisions of advertising, marketing, sales promotion and exports. There is greater coordination between branch offices (different production and marketing units) and centralised marketing, advertising and exports departments. the cooperative now has annual sales exceeding Rs 301 crore (Rs 3.1 billion). What's more stunning than its stupendous success is its striking simplicity. With quality consciousness as the principle that guided production, Shri Mahila Griha Udyog Lijjat Papad grew to be the flourishing and successful organisation that it is today. Core values: Shri Mahila Griha Udyog Lijjat Papad is synthesis of three different concepts, namely (1) The concept of business (2) The concept of family (3) The concept of Devotion All these concept are completely and uniformly followed in this institution. As a result of this synthesis, a peculiar Lijjat way of thinking has developed therein. The institution has adopted the concept of business from the very beginning. All its dealings are carried out on a sound, pragmatic and commercial footing - Production of quality goods and at reasonable prices. It has

never and nor will it in the future, accept any charity, donation, gift or grant from any quarter. On the contrary, the member sisters donate collectively for good causes from time to time according to their capacity. Besides the concept of business, the institution along with all it's member sisters have adopted the concept of mutual family affection, concern and trust. All affairs of the institution are dealt in a manner similar to that of a family carrying out its own daily household chores. But the most important concept adopted by the institution is the concept of devotion. For the member sisters, employees and well wishers, the institution is never merely a place to earn one's livelihood - It is a place of worship to devote one's energy not for his or her own benefits but for the benefit of all. In this institution work is worship. The institution is open for everybody who has faith in its basis concepts.

Market Positioning As a business enterprise, the declining sales figure for three consecutive years Rs 298 crore (1999-2000), Rs 288 crore (2000-2001) and Rs 281 crore (2001-2002) is a matter of concern for Lijjat management. Some of its home turf in Maharashtra and Gujarat has been captured by a growing competitive local market. But Lijjat has also expanded to the North Delhi, Punjab, Himachal Pradesh and, with the latest branch in Jammu, to the Kashmir market as well. Though each branch is responsible for the marketing of its products in the areas allotted to it, the new

centralised marketing offices now procure surplus production from different branches and market it at an allIndia level. This coupled with a healthy upward trend in the export of Lijjat papad positions Lijjat as the strongest brand in the papad industry. The other big brands in the papad market are Bikaner, MDH and Saktibhog, but none seem to be able to make any dent in Lijjats share of the industry as their core business is not papad. Lijjat markets its products through a wide network of dealers and distributors all across the country, and has never chosen to sell or push its products directly through the vast network of its offices and sister-members even during the initial years. Rather, over the years, Lijjat has developed cordial and mutually beneficial relationships with its dealers. Sisters (employees) claim they believe in doing the business wisely and on sound business ethics. Dealers are given a set commission of seven per cent and retailers earnings are fixed between Rs 25 and Rs 26 on the investment of Rs 14 for 200 grams and Rs 150 for 2.5 kilogram packs respectively.

Management: President Jyoti J. Naik Vice - President [Link] [Link] Treasurer [Link] [Link] Treasurer Kum. Pratibha H. Trilotkar Secretary [Link] M. Pawar Secretary Smt. Sunanda [Link]

Diversifications: Shri Mahila Griha Udyog has diversified its various activities. Besides it's world famous papads, it also currently has A Flour division at Vashi (Mumbai) where flour is milled from Udad Dal and Moong Dal.. A Masala Division at cotton Green(along with a Quality Control Laboratory) at the same place where different kinds of spice powders like Turmeric, Chillies, Coriander and ready mix masala and like Garam masala, Tea masala, Pav-Bhaji masala, Punjabi Chole Masala etc. are prepared and packed in consumer packs. A Printing Division also at the same place. Lijjat Advertising Services at Girgaum (Mumbai). A Khakra Division at Buhari (Dist-Valod). An Export division at Wadala. Chapati divisions at Mumbai. A Polypropylene set-up at Kashi-Mira Road. A Vadi producing factory at Valod. A Bakery division at Valod. A Detergent Powder and Cakes manufacturing unit at Dahisar and office at Borivali (Bombay). Marketing Activities: Products- Papads , Khakras, Masalas, Lijjat ATTA, Swadeshi ATTA,Detergents

Pricing Shri Mahila Griha Udyog Lijjat Papad adopts a Cost Plus Pricing Strategy for all their products. The Lijjat

products are targeted at the middle and lower segments of society. These segments are highly price sensitive and hence this method of pricing allows them to market their products extensively.

While calculating the price the following expenses are taken into consideration: - Cost of Raw material - Rolling Charges - Packaging Costs - Transport - Selling Expenses - Administrative expenses A certain markup is then added to these costs to account for the profits. Manufacturing Process

Sale of Papad amounts to about 45% of total sales. Hence, we have studied the production process of Papads. The manufacturing process for making papad starts at 5:00 a.m. everyday. All the sisters or bhaginis are fetched from their homes at brought to their respective production centers in institutional vehicles. These sisters who arrive at 5:00 a.m. are responsible for kneeding the papad dough. After 7:00 a.m. the rest of the sisters come in and dough is distributed to each one of them in dabbas. These sisters take the flour to their respective houses, roll out papads and place them in the sun for drying. It is extremely essential that the papad once rolled gets a sufficient number of hours per day to dry in the

sun and that is the reason that the entire process is initiated at 5:00 a.m. Every morning when the sisters come to work, they bring with them the rolled out papad of the previous day. Only on giving this in do they receive dough for the next day. From every 1000 gms of the dough, the weight of the final papad will amount to only 800 gms. From every 1000 gms of dough, 120 small papads of 5 inches each and 65 papads of 7 inches each can be rolled out.

For 1 kilogram of papad rolled out, a sister earns a pay of Rs 16/-. For any faulty papad rolled out, a penalty is charge to the sister amounting to a few paise. Most of the centers carry up to 15 days inventory. The sanchalika of each center ensures that there is no wastage or pilferage by counting the papads that are bought in each day.

From 8:00 to 9:00 a.m., the packing process takes place. The packing bags are manufactured by Lijjat itself, so as to maintain high standards and quality. This is also done to prevent duplication of their product, which could occur if this process was outsourced.

Quality of the product is of utmost importance. If a slight defect is identified in a days production, then the entire production will be destroyed. To maintain standard and assured quality, the purchase of raw materials is carried out by a central authority. The main raw material, Udad dal, is bought and processed in Nashik

and Vashi. This is then transported to the Mumbai Head Quarters and then channelised to various centers across the country as per their requirements. Distribution

In Mumbai, Shri Mahila Griha Udyog Lijjat Papad has 18 branches. The daily production is collected at the 6 depots. From here the various products are distributed to the authorized Distributors who in turn deliver it to the retail outlets all over the city, such that every resident of Mumbai is a hop, skip and jump away from the nearest shop selling Lijjat distribution flow chart

Apart from production, the branch is also responsible for marketing its products in the area allotted to it. The wide network of dealers and the goodwill that Lijjat products enjoy with customers make the marketing relatively easy. To maintain the high quality and standard of Lijjat products and uniformity in taste for the same product from different branches, the central office supplies the raw material mung and urad flour -to all its branches. This remains the only involvement of the central office in the entire production and marketing exercise of the branch office. The distributors pick up the quantity of papad they require and pay cash on delivery because Lijjat pays their bens (members are called bens, or sisters) every day. Since they have an estimate of the quantity each distributor takes, they produce accordingly. This ensures that they neither stock inventory nor pay

heavily for storage. They have about 32 distributors in Mumbai. Each distributor picks up an average of 100 boxes per day from the depot. This is where their job ends. They are not involved in how and where a distributor delivers as long as he stays within the area they have marked for him. Generally each distributor has his three-wheeler and about eight to ten salesmen to deliver to retail outlets within his territory. To select a distributor, they first give an advertisement in newspapers for the areas they have marked. Members from their marketing division personally go and check the godown facilities and only on their approval do they appoint distributors. A distributor pays us Rs150000 as deposit. They make it clear to them that they must pay on delivery if they want their distributorship. This system is followed all over India and it works well for them. When they discover that there is demand in a particular place, they open a new branch, like they recently opened one in Jammu and Kashmir. Whether or not they have a centre in an area, their goods reach there. For example, they do not have any centre in Goa, but they have appointed a distributor for that area to ensure that Lijjat papads reach Goa. Their communication with distributors is regular through monthly meetings where they discuss their problems and also the issues that they may have about quality, price, reach, etc.

Lijjats Ranchi branch was established in November 1997 bifurcating it from

the only branch in Bihar at Muzaffarpur. It pays Rs 11,000 per month as rent for the building that houses its office and workshop. A trekker (thirteen-seater passenger vehicle) has also been purchased for the conveyance of sister-members from home to the Lijjat office and back. This branch has 165 sister-members and sold papad worth Rs 0.65 million in November 2002. Vanai charge is Rs 14 per kilogram of papad and each sister was paid Rs 250 as extra vanai charge on Dipawali. The Muzaffarpur branch, according to Lijjat sources, paid Rs 2,500 as extra vanai charge to its sister-members. Similarly, the Mumbai and Thane branch distributed gold coins of five grams to each of the 4,056 sister-members a couple of months ago. The branch averages around four rupees as gross profit and one rupee as net profit from per kilogram of papad. As an experiment, Lijjat has insulated its sister-members from joblessness. These women also work from their homes, where help from other family members not only adds up to the income but also makes the work more enjoyable. At the workplace they are self-respecting, hard-working and sisterly to one another. More importantly, besides the strength of womanhood, Lijjat is also an experiment in the restoration of the essence of womanhood. The Lijjat women offer an alternative to the highly competitive and stressful work environment defined and dominated by men in which a woman competes with a man more as a man than a woman, says an elderly Gandhian, TK Sumaiya, of Bombay Sarvodaya Mandal. They do not have individual door-to-door salesmen or women selling from homes -- only the appointed

distributor for the area. The same system is followed for other products, but they may have different distributors and depots for different products. Shri Mahila Griha Udyog Lijjat Papad has a policy of not allowing any sales to be made on credit terms. All sales are made on cash-at-delivery or advance payment basis.

A close check is kept on the distributors to make sure that the products reach every nook and corner of the cities. They make sure that every retailer, no matter what size, stocks their brand of products if they are stocking any other brands of the same product. Promotions

At Shri Mahila Griha Udyog Lijjat Papad, they believe that the best promotion they could possibly receive is by word of mouth. Therefore they concentrate more on cost effectiveness and quality rather than on more expensive modes of promotion like advertisements.

Therefore their annual expense on advertisements and promotions amounts to Rs. 60 Lakhs, a mere 0.2% of total turnover. The extremely famous Bunny rabbit campaign continues to be aired on specific regional channels. For e.g. Alpha Gujarati, Alpha Bengali, Sun etc. They also advertise in English and regional newspapers.

The distributors also need to be motivated properly, so that they in turn make a greater effort to sell large volumes of the products to the retailers. Targets are set quarterly for the distributors. Should they exceed this target, the distributor will receive a further 1% discount.

Sources Of Capital

Shri Mahila Griha Udyog Lijjat Papad secures its funding only through Banks. Their main bank is Bank Of India, followed by Bank of Baroda and Dena Bank. The bank interest charges are generally at 16%. Lijjat pays the interest to bank at this rate. Since Lijjat is registered under the KVIC Act, they receive a subsidy on this interest paid. Therefore at the end of the year, after procuring the necessary certificates from KVIC, 12% of the interest paid is reimbursed to Lijjat. Thus, in actuality Lijjat pays interest at the rate of 4%. Working Capital Management and Tax Benefits The working capital for PCPI (Processed Cereals and Pulses Industries) amounts to Rs. 790 Lakhs. While that of Detergent amounts to Rs. 80 lakhs. As per the notification issued by the State of Maharastra sale of Papad by Shri Mahila Griha Udyog Lijjat Papad is exempt from the levy of sales tax for the period upto 31st March, 2002.

Shri Mahila Griha Udyog Lijjat Papad was granted exemption from the State of Maharashtra from the sales tax on sale of detergent products up to the financial year 1994-95. Shri Mahila Griha Udyog Lijjat Papad has made an application for getting appropriate exemptions under Sales Tax Act under the subsequent years. Furthermore, based upon a decision in the similar case, Shri Mahila Griha Udyog Lijjat Papad is contending that, it being a charitable Institution, is not a Dealer within the meaning of Sales Tax Act and not liable to be assessed under the Bombay Sales Tax Act.

Recently the Government has passed a new provision, which does not include detergent in the PCPI list of

products. Therefore, Shri Mahila Griha Udyog Lijjat Papad is liable to pay the Sales Tax for their Sasa Detergent Powder. Negotiation is currently being carried out with the government to exempt this product from Sales Tax as well.

Exports Their exports alone account for Rs 10 crore (Rs 100 million). Shri Mahila Griha Udyog Lijjat Papad started exporting in 1980. At that time they, directly exported the products themselves. However, this endeavor was shot lived and they stopped direct export in 1982. Today they export through Merchant Exporters, as they do not have the required skilled manpower. All export sales are made on advance payment basis. The merchant exporters provide the cartons with the delivery addresses printed on them. The papads are packed in these and returned to the merchant exporters. When the papads are exported to countries where languages other than English are used, then inserts are added in the packets with all the details given in that local language. They export to:

United Kingdom United States of America Middle East Th a ila n d Other European Countries

Problems

1) Previously Detergent, along with all the other products of Lijjat was exempt from sales tax. Recently the Government has passed a new provision, which does not include detergent in the PCPI (Processed Cereals and Pulses Industries) list of products. Therefore, Shri Mahila Griha Udyog Lijjat Papad is liable to pay the Sales Tax for their Sasa Detergent Powder. Negotiation is currently being carried out with the government to exempt this product from Sales Tax as well.

2) The rolled papads need to be dried for a certain number of hours. This entire process is done in the bhaginis homes. Therefore in the monsoon when it rains it is difficult to dry the papads outdoor. This now has to be indoors. The bhaginis stay in small houses and space is a constraint hence fewer papads are produced during the monsoon season. This is the reason that Lijjat does not export in monsoons. The solution adopted by Lijjat is to provide extra money to the bhaginis during monsoons to purchase

kerosene lamps to enable faster drying of papads. Our suggestion is to hire an additional space during monsoon in a central position near the depots, with kerosene lamps where the bhaginis can come and dry their papads. This will lead to higher production which can be exported.

3) Another problem expressed by them is competition in sales of their detergents (Sasa) from established

brands like Nirma. We feel one of the reasons for this problem is lack of advertising, as compared to the advertising executed by their competitors. As stated earlier, Lijjat spends only 0.2% of their total turnover equal to Rs. 60 lakhs on promotions. They need to increase their investment in advertising through electronic media and print media, which will create greater awareness about their detergents and increase sales. Also, currently they dont use direct selling to sell their products. They rely mainly on word of mouth which has been successful for their papads but has not worked so well for their other products like detergents. We feel they should adopt direct selling as it involves low cost and it will definitely widen their reach and create more awareness about their products.

4) Lijjat currently exports through merchant exporters and does not involve itself in direct exporting. We feel they can save on the margin that the merchant exporters make, by appointing their own distributors in the main countries and this will enable them to reduce cost and increase profit margin. Conclusion-

Can the formula work again with another product and in another region? Says Dr Suresh Kumar Agarwal, a Ranchi-based doctor with MBBS, MS degrees, a herbal medicine practitioner, a researcher and leading supplier of medicinal plants, who has also experimented with the running of a co-operative hospital for five years, ``Ninety per cent of health problems do not require a visit

to a doctor or the consumption of allopathic pills, but can be prevented, checked and treated with locally available medicinal plants in the house itself by informed family members or local vaids for no money. But the fact that there is no money to be made from it has resulted in the poor growth rate of home-grown medicine systems. The same is true about the Lijjat experiment. It makes almost equal money for all its people and makes just enough money. No one would become a millionaire by setting up another Lijjat. If this aspect of Lijjats operations is not very good news for machine and money-driven corporates owned by tycoons, the essential message that Lijjats success conveys has definitely fired the imagination of women and rural folks. In many parts of Maharashtra and Gujarat, locally manufactured and marketed eatables are catching on. There is hardly any NGO or voluntary organization nowadays which does not try to create employment and funds, small or big, along Lijjats line. As a business house, Lijjat itself has been trying to rewrite its own success with another product with varying degree of success. Grounded spices, khakhra, black pepper powder, detergent powder and cake, vadi, bakery products, wheat filthier are on Lijjats menu but papad with a sales figure of Rs 288 crore remains at the top. Among similar ventures which came a cropper are incense sticks, leather bags, tiffin boxes and matchsticks. But most promising among them is the chapati division with six branches in Mumbai. Here, the women come in to work at around seven in the morning and make chapatis as they are

prepared in homes. Packed Lijjat chapati, ftheir for Rs five, are available at retail shops in Mumbai. These centers also procure orders from hotels, office canteens, etc. and the clientele in Mumbai includes some big names from the hotel and catering industry. As the pace of life increases, little time is available to most people in metros like Mumbai to cook their own food. There are good prospects for women forming small groups and catering to the local demand for homemade chapatti or similar products, says Ashok Bhagat, a leading social worker engaged in tribal welfare activities in the Gumla district of Jharkhand. Next time there is Lijjat pappad on the table, you sure can see a Chandralekha or Suja's dimpled fingers deftly roll out the crisp pappad. It is made with love and care, just like from their mama's kitchen. A Success Story of Lijjat Papad Download this Document for FreePrintMobileCollectionsReport Document Report this document?

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more Project on brand awareness of lijjat papad - Document Transcript

1. A PROJECT REPORT ON BRAND AWARENESS OF LIJJAT PAPAD FOR SHRI MAHILA GRIHA UDYOG LIJJAT PAPAD IN PARTIAL FULFILLMENT OF MASTERS IN

BUSINESS ADMINISTRTATION (M.B.A.) UNIVERSITY OF PUNE BY MADHUVANTI DESHPANDE M.B.A. (2005 2007) GUIDED BY MR. JAYANT PRADHAN (LIJJAT PAPAD) PROF. YUVRAJ LAHOTI (VIM)VISHWAKARMA INSTITUTE OF MANAGEMENT, PUNE - 48 1 2. ACKNOWLEDGEMENTI take the occasion to thank Lijjat Papad for giving me opportunity to work on thisproject, which helped me to increase my practical knowledge & got experience tointeract with customers. I would like to thank my project guide Prof. Yuvraj Lahoti sir, for hisguidance, cooperation, & encouragement. I would also like to thank Director, sir [Link] Joshi for his guidance. I am also grateful to Mr. Jayant Pradhan sir, (senior head mktg) for providingme necessary information & proper approach towards my study & project work. Ithank him for all the guidance & cooperation he gave. I am always thankful to my family members who always gave me moralsupport & advice, my friends, especially all respondents of my [Link] Deshpande. 2 3. TABLE OF CONTENTSSr no. Headings Page no. 1 Introduction 1-3 2 Executive Summary 4-5 3 Scope & Objective Of Project 6-8 4 Company Profile 9-15 5 Product Profile 16-18 6 Research Methodology 19-22 7 Data Analysis & Interpretation 23-35 8 Findings & Conclusion 36-37 9 Suggestions 38-39 10 Limitations 40-41 11 Annexure 42-44 12 Bibliography 45-46 3 4. INTRODUCTION 4 5. INTRODUCTIONPapad is very familiar product to all of us. Many people consume it daily while manyenjoy various occasions like parties, marriages, [Link] has unique importance in India hospitality. In Sindhi community Papad &Pani is served as 1st welcome [Link] acts in supportive or supplementary role in regular food. It ranks equal withpickles & other dishes. Papad can be fried or roasted or it can also get in [Link] has health values. The raw material used is Udad dal & Moong dal, both arealkanes so they reduce acidity. Validity of Lijjat Papad is 3 [Link] MAHILA GRIHA UDYOG LIJJAT PAPAD For the women, by [Link] main strength of organization is the philosophy they follow. They neither have lotof money nor they have influential people, but still organization survived. It isrunning very well inspite of no one is running it. In fact it is growing. The concepts itfollow are 1) The concept of Business. 2) The concept of Family. 3) The concept of [Link] basic principles of Self-reliance, Coownership, & Faith in Dignity of labor,the organization also follows 3 golden rules as 1) All the rights of the organization must belong to members only. 2) There must be maintenance of LIJJAT quality at any cost. 3) There must be clean & time bound accounting system. 5 6. ABOUT PROJECT TITLE:Lijjat Papad is quite popular & well established

brand from long time. It started in1959 by 7 ladies. At present it has 64 branches & 40 divisions all over India. Lijjt ismajor player in papad industry. My project work was to find out what people thinkabout the brand after lot many years served by Lijjat Papad. This was an attempt toknow current brand image, customer s suggestions & innovations people want. 6 7. EXECUTIVE SUMMARY 7 8. EXECUTIVE SUMMARYMy project work was to find out the brand awareness of Lijjat Papad in currentscenario. Lijjat is major player in organized market holding 60% share. It has scope toimprove in sales & increase market share. For this what customers feel, think, &expect from the brand should be exactly known. To find out this information, was myproject. Market in Pune city was targeted. Various areas in city were selected. Surveywas conducted using questionnaire. The information about various attributes &factors was collected. All the data collected, primary data was filtered & analysed, represented in theform of graphs & charts. Secondary data was also used in report such as companyprofile, product profile etc. on the basis of analysis of data, conclusions were [Link] survey gave knowledge about customer s satisfaction, loyalty & their feel aboutthe brand. The survey gave an insight into organized market of Papad & competitorsof Lijjat Papad. On the basis of findings & conclusions, suggestions were given. There many limitations of this project like, biased reply, customers busy,heavy rains, time constraint as the project has time limit of 2 months, area limitationetc. 8 9. OBJECTIVE & SCOPE OF PROJECT 9 10. OBJECTIVE & SCOPEOBJECTIVES:Lijjat is major player in organized market of papad industry. It is holding 60% marketshare. It s other competitors are Bikaneri Saral Pravin Bedekar Lijjt has scope to increase it s market share as it is holding only 60%. For this, the brand has to improve itself in many aspects. So it is very necessary to know what customers think, feel, & want in this brand now. The objectives are listed as below. 1) To find out brand awareness of Lijjat Papad on following parameters. a) Product quality b) Product varieties c) Customer loyalty d) Unique factors of the brand e) Company image 2) To analyse & evaluate satisfaction of customers towards- a) Taste b) Availability c) Quality d) Packaging 3) To find out drivers for purchase of Lijjat Papad- a) Emotional factors Security Social approval Self respect Joyous/ Cheerful 10 11. 4) Word associated with brand a) Honest b) Reliable c) Upper class d) Daring 5) To find major competitors. 6) Cases of defective papad & feedback of customers. 7) To find most effective medium of publicity. SCOPE: There are very large no of customers of Lijjat Papad spread over various areas. I studied

market in Pune city & conducted survey in some areas. Locations Prabhat road Sahakar nagar Bibvewadi Kothrud Gultekdi The customers from various apartments, bunglows, row houses were [Link] house wifes were the respondents. I surveyed 60 customers. 11 12. COMPANY PROFILE 12 13. COMPANY PROFILE Shri Mahila Griha Udyog Lijjat Papad (Recognised by Khadi & Village Industries Commission)It is a womens organisation of the women, by the women and for the women. It wasstarted in 1959 with 7 lady members with a borrowed sum of Rs. 80/- at Girgaum [Link] turning point of our Institution was in 1966 when it was registered under theBombay Public Trust Act 1950 and also registered under Societies Registration Act,1860 and got recognition from Khadi & Village Industries Commission as a [Link] objective of the Institution is to provide employment to the ladies to enable themto earn decent and dignified [Link] women who can render physical work in this Institution without distinction ofcaste, creed and colour and agrees to abide by the objective of the Institution canbecome a member of the Institution from the date on which she starts working. Papadproduction work starts at early hours in the morning i.e. 4.30 a.m. Lijjat have minibus which picks the members from the closest point of residence to the branch andback [Link] branch is headed by a Sanchalika to see the production of the branch. Theyhave a Central Managing Committee, which consist of 21 members out of, which wehave 6 (Six) elected Office Bearers i.e. President, Vice - President, 2 (Two)Secretaries and 2 (Two) [Link] the branches are autonomous units for the purpose of profitability and the profit orloss as the case may be of such unit is borne by the owner sister members of thatbranch by increasing or decreasing their rolling charges accordingly. The credit forrapid progress goes to the constant vigilance on the part of sister membersmaintaining the quality of Lijjat Papad with their hard work. 13 14. Besides Lijjat Papad the Institution has other products like Khakhra, Masala, Wadi,Detergent Powder & Cakes, Bakery Products & Chapaties. At present it has 63Branches & 40 Divisions and gives self-employment to about 40,000 sister membersall over India with Sales turnover of Rs. 300 Crores which includes Rs. 12 Crores [Link] are made through Merchant Exporters to countries like UK, USA, MiddleEast Countries, Thailand, Singapore, Hongkong, Holland, Australia and [Link] Institution has received an award from Khadi & Village Industries Commissionas a "Best Village Industry" for the period 1998-1999 to [Link] 6th September 2003 our Institution has received the Economic Times Award of"Businesswomen of the Year 2001-02 for Corporate Excellence".In January 2003 they received the award for Best Village Industries at the hands ofHonble Prime Minister Shri Atal Behari Vajpayee at New [Link] was

featured in various T.V. Channels, which include BBC World in theprogramme "Business Bizarre".The Institution, over the years, has paved the way for women to become self-reliantand self-confident. Lijjat has provided them the right platform to improve their statusin society ORGANISATION - Core ValueShri Mahila Griha Udyog Lijjat Papad is synthesis of three different concepts, namely(1) The concept of Business(2) The concept of family(3) The concept of DevotionAll these concept are completely and uniformly followed in this institution. As aresult of this synthesis, a peculiar Lijjat way of thinking has developed therein. 14 15. The institution has adopted the concept of business from the very beginning. All itsdealings are carried out on a sound and pragmatic footing Production of qualitygoods and at reasonable prices. It has never and nor will it in the future, accept anycharity, donation, gift or grant from any quarter. On the contrary, the member sistersdonate collectively for good causes from time to time according to their [Link] the concept of business, the institution along with all its member sisters haveadopted the concept of mutual family affection, concern and trust. All affairs ofthe institution are dealt in a manner similar to that of a family carrying out its owndaily household [Link] the most important concept adopted by the institution is the concept of [Link] the member sisters, employees and well wishers, the institution is never merely aplace to earn ones livelihood - It is a place of worship to devote ones energy not forhis or her own benefits but for the benefit of all. In this institution work is [Link] institution is open for everybody who has faith in its basis concepts MILE STONES OF THE INSTITUTIONThe Institution has received many Awards over the years but the few toremember. 1. Recevied Award from Khadi & Village Industries Commission as Best Village Industries Institution for the period 1998 - 1999 to 2000 2001 15 16. 2. The Economic Times Award given to the Institution for CorporateExcellence "Business Woman Of the Year" on 6th September 20023. At the National Convention on "Rural Industrialisation", held by Khadi &Village Industries Commission along with Ministry of Agro and Rural Industries atNew Delhi on 14th March 2003, Smt. Jyoti J. Naik, President of the Institutionrecevied the "Best Village Industry Institution" award from Honble PrimeMinister Shri Atal Bihari Vajpayee 16 17. ORGANISATION ManagementSix Office - Bearers President1. Smt. Jyoti J. Naik - President2. Smt. Kamal D. Dhandore - Vice-President3. Smt. Sunanda R. Belnekar - Secretary4. Smt. Gangavati H. Naik - Secretary5. Smt. Priyanka G. Redkar - Treasurer6. Smt. Kshama M. Sutar - Treasurer ORGANISATION Diversification 17 18. Shri Mahila Griha Udyog has diversified its various activities. Besides its

worldfamous papads it also currently has A Flour Division at Vashi (Mumbai) where flour is milled from Udad Dal and Moong Dal. A Masala Division at Cottongreen (alongwith a Quality Control Laboratory) at the same place where different kinds of spice powders like Turmeric, Chillies, Coriander and ready mix masala and like Garam Masala, Tea Masala, Pav Bhaji Masala, Punjabi Chole Masala etc. are prepared and packed in consumer packs. A Printing Division also at the same place. Lijjat Advertising Division at Bandra (Mumbai) A Khakhra Division at Buhari (Dist-Valod) Chapati Divisions at Wadala, Borivali, Mulund & Kandivali (Hanuman Nagar) A Polypropylene setup at Kashi-Mira Road. A Vadi producing factory at Valod. A Bakery Division at Valod. A Detergent Powder and Cakes manufacturing unit at Dahisar and Office at Borivali (Mumbai). 18 19. PRODUCT PROFILE 19 20. LIJJAT PAPAD:- PRICE LIST OF DIFFERENT VARIETIES Udad Udad Udad Moong Udad Moong Punjabi with with with (50% Special Special(50% MasalaItems Pepper Garlic Red Udad & Udad & 50% Special & Chillies 50% Moong) Chillies Moong)Small 12.00 12.00 12.00 12.00 13.00 13.00 13.00Size100gmsmini 24.00 24.00 24.00 24.00 26.00 26.00 26.00size200gmssmall 24.00 24.00 24.00 24.00 26.00 26.00 26.00size200gmsBig 30.00 30.00 30.00 30.00 33.00 33.00 33.00size250gmsSmall 55.00 55.00 55.00 55.00 62.00 62.00 62.00/ Bigsize500gmsSmall 108.00 108.00 108.00 108.00 122.00 122.00 122.00/ Bigsize [Link] 264.00 264.00 264.00 264.00 300.00 300.00 300.00/ BigSize2.5kg. 20 21. MANUFACTURING PROCESSThe manufacturing process in Lijjat is a continuous process. Daily chores start inearly morning around 4:30 am or even earlier depending upon the work load. In the 1st stage flour is kneaded into the dough & is pounded in big [Link] chunks of pounded dough are sent for distribution among the rolling sisters. In the 2nd stage the papad rolling sisters srrive from their home to productioncenters to take the pounded dough. They can take as much as may be desired by [Link] go back to their home & roll out the papad. The rolled papad are dried in clean,airy, open space, mainly in the bright sunlight. The dried papad are usually deliveredback to the production center next day when the sisters come to take fresh dough. Thesisters receive their rolling charges as soon as they deliver papad. In the 3rd stage papad received from sisters are checked for their quality &packed. The papad packets are then sent for marketing. The entire process is verysimple & carried out manually without using any complicated machine. The sisters have standardized the entire process. For the 1st stage properlycleaned empty cans or tins are kept ready & in each tin 11 kg flour is poured. Fixedquantity of masala i.e herbs & powdered spices are then added in the flour. Largetubes of water containing necessary

proportion of salt & soda-bi-carb are alsoprepared & kept ready. In order to save time & expedite the work, this part of theprocess is usually carried out on the previous day so that the flour kneading work canimmediately startin the early morning. When desired quantity of water & masala are added in each batch of 11 kg dryflour & the flour is kneaded in dough, the weight of the dough go up to 17 kg. it isvery easy to find out the whether the dough is properly kneaded & pounded. It doesnot require much skill. 1 kg of pounded dough should yield 820 gm of dried papad as nearly 120 gmcan get evaporated during the process of rolling & drying of papad. However theyhave fixed lower norm of 810 gm of as standard yield & in addition to that a furtherloss of 10 gm is considered as acceptable loss. This is how the papad rolling sisterwho take 1 kg of dough must have to deliver back at least 800 gm of dried papad. 21 22. RESEARCH METHODOLOGY 22 23. RESEARCH METHODOLOGYINTRODUCTION-Research methodology is a way to systematically solve the research problem. It mayunderstood as science of studying how research is done scientifically. Various steps &techniques adopted for research are studied in research [Link] TO BE COLLECTED- a) Primary data: It is that data which is collected for the 1st time. Primary data I collected was- Customer s view about various attributes of brand. Customer s actual experience of the brand. Customer s expectations & suggestions. Major competitors. Current market share of Lijjat Papad. b) Secondary data: It is that data which is already assembled & need not to be collected. The secondary data was Company profile Product profile It was collected from internet, company booklets & [Link] COLLECYTION METHOD-For this project, the primary data which needed to collect for the 1st time was gatheredthrough survey technique which most effective & popular technique for datacollection. The survey was conducted with the use of questionnaire. 23 24. RESEARCH INSTRUMENT-Questionnaire consists of following types of questions. a) Closed ended: These are the questions that specify all the possible answers that are easy to tabulate & interpret. Further sub-types used are 1. Dichotomous questions: These are the questions with only 2 possible answers. 2. Multiple choice questions: These are the questions with more than 3 or more answers. 3. Rating scale: It is a scale that rates some attribute from poor to excellent. b) Open ended: These type questions allow respondents to answer in their own words & often reveal about how people think. They are especially useful in exploratory research where researcher is looking for insight into how people think rather than how many people think in a certain way. The sub-types used are- 1. Unstructured questions: Respondents can answer in unlimited [Link] ways. 2. Word association: Respondents mention the which comes to their mind when the hear the

brand name. 24 25. SAMPLING:Sample is small group of 60 consumers is taken under consideration from totalcustomer population. This small group represents the total population. In the project Istudied market in Pune city. As it was impossible to approach all respondents of city,a sample was selected which represent whole city. The areas selected were- Prabhat road Kothrud Gultkdi Bibvewadi Sahkar nagar DATA EVALUATION: All the data collected was not accepted as it was collected. It was filtered & only relative data is introduced in the report which helped in achieving objective of the project. 25 26. DATA ANALYSIS &INTERPRETATION 26 27. DATA ANALYSIS & INTERPRETATION 1. FINDING OUT CUSTOMER LOYALTY OF LIJJAT PAPAD CUSTOMER LOYALTY Years of product % Population usage 10 1 to 5 25 6 to 10 20 11 to 15 35 16 to 20 3 21 to 25 7 26 to 30 Customer Loyalty Chart 7% 10% 3% 1 to 5 6 to 10 25% 11 to 15 35% 16 to 20 21 to 25 26 to 30 20%Majority of the customers are from 16 to 20 years product usage [Link] means customers are much loyal to the brand for considerably highduration of 16 to 20 [Link] 10% is from 1 to 5 years product usage group, so new customers ofbrand are comparatively [Link] of the customers are old customers enjoying the brand for more than 10years. 27 28. 2. ASSESING ORGANISED MARKET OF PAPAD. ORGANISED MKT OF PAPAD Comp name % Share Lijjat 60 Bikaneri 17 Jain 9 Bedekar 7 Pravin 5 Saral 2 Organised Market of Papad 5% 2% Lijjat 7% 9% Bikaneri Jain Bedekar 17% 60% Pravin Saral Lijjat Papad is holding 60% share of organized [Link] next major player is Bikaneri Papad , holding 17% of [Link] weakest player is Saral Papad . 28 29. 3. PAPAD INDUSTRY SCENARIO IN INDIA(ORGANISED & UN- ORGANISED MRKTS PAPAD INDUSTRY SCENARIO (ORGANISED, UN- ORGANISED MKT) Sectors % Share Home made 31 Local Brands 9 Organised mkt 60 Papad Industry Scenario 31% Home made Local Brands 60% Organised mkt 9%Organized market is holding major share of 60% in papad [Link] un-organized market is holding 40% share, contributed by Home Made31%, & Local Brands 9%.Local brands actually are that products which are not branded but marketed,but for convenience they are called as Local Brands. 29 30. 4. FINDING OUT UNIQUENESS OF THE BRAND IN CUSTOMER S MIND. UNIQUENESS OF THE BRAND Factors % Weightage Taste 72 Quality 12 Variety 16 Uniqueness Of The Brand 16% 12% Taste Quality Variety 72% Majority of the customers feel the Taste as most unique factor. The next factor is variety. Customers feel more satisfied because there are

considerable varieties of Lijjat Papad which are consumed according to the occasions. People are quite trusted towards quality of Lijjat Papad, but when compared with taste & variety, it has got lower weightage. 30 31. 5. RANKING OF DIFFERENT ATTRIBUTES OF LIJJAT PAPAD . a) Packaging Ranking % Weightage 1-Very Good 23 2-Good 52 3-Bad 18 4-Very Bad 7 Rankings Given To Packaging 60 52 % Weig h tage 50 40 30 23 18 20 7 10 0 1-Very 2-Good 3-Bad 4-Very Bad Good Ranks Most of the customers feel that packaging is Good . 18% customers gave Bad ranking to the packaging. They suggested to improve in packaging as it becomes somewhat sticky. 23% customers gave Very Good ranking, & only 7% gave Very Bad ranking. 31 32. b) Availability Ranking % Weightage 1-Very Good 69 2-Good 27 3-Bad 2 4-Very Bad 2 Rankings Given To Availability 80% Weightage 60 40 69 20 27 2 2 0 1-Very 2-Good 3-Bad 4-Very Bad Good Ranks Majority of the customers, 69%, gave Very Good ranking to availability. Bad & Very Bad rankings are given by very few customers, i.e 2% each. 27% said it is Good So in all, availability of Lijjat Papad is best. 32 33. c) Company Image Ranking % Weightage 1-Very Good 29 2-Good 64 3Bad 7 4-Very Bad 0 Rankings Given To Company Image 70 64 60 50% Wt 40 29 30 % Weightage 20 7 10 0 0 1-Very 2-Good 3-Bad 4-Very Good Bad Ranks Most of the customers, 64%, have Good image of the company in their minds. Very few customers gave Bad ranking. 29% gave Very Good ranking. Considerable no. of people know about organization, It is by the women & for the women . 33 34. 6. CUSTOMER S FEEL ABOUT THE BRAND Feelings Customer % Joyous/Cheerful 29 Social Approval 14 Self Respect 11 Security 46 Feelings About The Brand 29% Joyous/Cheerful 46% Social Approval Self Respect Security 14% 11%Most of the people buy the brand because they feel that healthwise Security for the product, like they trust that all the ingredients used arepure & are of good quality.29% people feel Joyous to eat various varieties of Lijjat Papad onvarious occasions.14% buy it as Socially Approved product. They have image of productthat people from good society buy this product.11% customers feel self respect for buying good quality product inaffordable price. 34 35. 7. WORDS DESCRIBING THE BRAND WELL. Words % Customers Honest 37 Upper Class 20 Daring 4 Reliable 39 Words Describing The Brand Well 39% 37% Honest Upper Class Daring Reliable 4% 20% Reliable (39%) & Honest (37%) are the best words to describe the [Link] few, only 4%, think that it is Daring , as there are very less innovationsintroduced to the brand.20% people think that it is Upper Class brand. 35 36. 8. FINDING OUT MOST POPULAR MEDIUM OF PUBLICITY OF LIJJAT PAPAD .

Media % Customers Advertisement 50 Retailer 26 Relatives 22 Peer Group 2 Most Popular Medium Of Publicity 2% 22% Advertisement 50% Retailer Relatives 26% Peer Group The most popular medium of publicity is Advertisement . Retailers & Relatives are near about contributing same, 26% % 22% respectively. The least popularity is of Peer Group , 2%. 36 37. 9. SALE OF LIJJAT PAPAD IN PUNE. Year Sales In Crores 2002 16.7 2003 16.43 2004 17.48 2005 20.24 2006 25.26 Sales In Pune 30 Sales In Cro res 25 25.26 20 20.24 16.7 16.43 17.48 15 10 5 0 2002 2003 2004 2005 2006 YearSales of Lijjat Papad are increasing as per this 5 year s [Link] somewhat dropped in [Link] that in 2004, 2005, 2006, it is ever [Link] is quite high in 2005-2006. 37 38. 10. SALES ALL OVER INDIA. Year Sales In Crores 2002 279.48 2003 287.25 2004 278.22 2005 311 Sales All Over India 320 Sales In Crores 310 311 300 290 287.25 280 279.48 278.22 270 260 2002 2003 2004 2005 YearSales all over India is following somewhat zig-zag [Link] in 2005 have jumped to 311 crores from 278.22The vast increase in sales was due to better managed distribution networks& depot system evolved in many parts of the country. 38 39. FINDINGS & CONCLUSION 39 40. FINDINGS Many people who come across defective papad do not complaint to company, they just ignore it. Many customers complained about packaging, that it become somewhat sticky many times. Some customers said that , 1 variety should made such that it should more thicker & larger in size so as to make masala papad. People are much satisfied about the taste of papad which is the main reason for their purchase. People respect this brand as reliable & honest brand & feel joyous eating lijjat papad. Lijjat papad has developed loyal customers & good environment in organization. CONCLUSIONAs a summer trainee in Lijjat Papad , I would like to conclude my project work on Brand Awareness Of Lijjat Papad . It was realy very interesting interacting withcustomers & have an insight into brand image in their minds. The main aim was to know the factors & attributes of brand which customerlook when he goes to buy Papad. From the survey, in all concluded that people arequite satisfied with the brand, especially due to it s taste. The organized market of papad industry is growing, because more & morewomen are getting employed, income levels have increased & most of the womendon t get time to roll papad at home. So Lijjat Papad as major player in organizedmarket has even better opportunities in future. Some customers have complained about packaging & prices wherecompany has to improve. But in all it can be concluded that most of the customers aresatisfied about the brand, & are well aware of various attributes of the brand. 40

41. SUGGESTIONS 41 42. SUGGESTIONSForecast market trends & try to adjust supply accordingly so as increasemarket share & take advantage of established brand [Link] to bring more innovations like more varieties, sizes & their [Link] should improve it s [Link] to time market survey should be [Link] consumers perceive that price of Lijjat Papad is somewhat high so ifpossible company should think on it s price positioning in market by revisingprices. 42 43. LIMITATIONS 43 44. LIMITATIONSAREA LIMITATION:The study was limited to Pune city only. Hence findings may differ from other partsof India where I have not [Link]-RESPONSE ERROR:It is almost impossible to obtain data from each & every respondent covered insample. There are always some respondents who refuse to give [Link] CONSTRAINTThere was time constraint to this project. The project has to be completed within [Link] RESPONDENTMany times respondents were so busy that they didn t give reply. There were biasedreplies [Link] REASONSThere were heavy rains during the period of survey. So there was many times problemin conducting survey & transportation. 44 45. ANNEXURE 45 46. QUESTIONNAIRE FOR TESTING BRAND AWARENESS OF LIJJAT PAPADName:Age:Address: 1) which brand of papad do you use? a) Lijjat c. Ganesh b) Bikaner d. Any other- 2) From how long you are using this brand? 3) what are the factors according to you makes purchasing of Lijjat Papad a unique experience? a) Taste c) Quality b) Variety d) Any other- 4) Rank the brand according to following factors- 1. Very good 2. Good 3. Bad 4. Very badTastePackagingQualityComp. imageAvailability 46 47. 5) What do you feel when you buy Lijjat Papad?a) Security c) Social approvalb) Self respect d) Joyous/cheerful5) Does Lijjat Papad completely satisfy your requirements?a) Yes a) No If not, which requirements?6) How well do the following words describe the brand?a) Honest c) Upper classb) Daring d) Reliable7) Do the people you admire & respect use this brand?a) Yes a) No8) Are you aware of all the varieties of Lijjat Papad?a) Yes a) No9) Which are the other brands you have purchased in last few months?a) Yes a) NoIf yes, why?a) Change in packaging c) Non-availabilityb) Price increase d) Innovation10) Through which medium you came to know about Lijjat Papad ? a) Advertisement c) Relativesb) Retailer d) Peer group 47 48. REFERENCES 48

49. REFERENCESBOOKS o Marketing management Philip Kotler o Research methodology C.R [Link] o [Link] 49 50. This document was created with Win2PDF available at [Link] unregistered version of Win2PDF is for evaluation or non-commercial use only.

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