project report on designing a … report on “designing a sustainable business model of food...

National Institute of Industrial Engineering SIFE NITIE

1

National Institute of

Industrial Engineering, Mumbai

PROJECT REPORT

ON

“DESIGNING A SUSTAINABLE

BUSINESS MODEL of FOOD

PRODUCTS MANUFACTURING

FOR SHG”


2

Abstract

Student in Free Enterprise (SIFE) is an international organization that brings

together the top leaders of today and tomorrow to create a better and more

sustainable world through the positive power of business. SIFE global network

consist of business executives, university students and academic leaders. SIFE

NITE has taken the initiative by establishing project such as “PRAYATNA”, “E-

JAAGRAN”, “SANKALP” & “FIN-GYAN”.

In 2010, to create & maintain the sustainability of Project “Fin-Gyan”, a new

Project “OJASWINI” rejuvenated. Its main aim is to boost women empowerment by

starting self driven enterprise which initially focuses to provide the food products for

the students in NITIE & IIT Institute. To execute this project NITIE assistance is also

of prime importance.

Project “OJASWINI” is initiated by SIFE NITIE student to help in creating confidence

and awareness among the members of SHG regarding health, nutrition, education,

hygiene and economic up liftment. We are dedicating this project to woman in Vihar

Lake, Darga village & Morargi Nagar.


3

Contents

Title Page No. Introduction

Current Scenario

4

4

Metier for the Masses

7

Business Process: Phase 1 Phase 2 Phase 3

7 9 10

Budget Analysis

8

Impact on Community

11

Project Prospect

11

Acknowledgement 12


4

1. Introduction:

SIFE (Student in Free Enterprises) is the non-profit organization that

works with the leaders in business and higher education to mobilize University

student to make a difference in their communities while developing the skill to

become socially responsible business leaders. As a part of NITIE Business

Education, we try to implement our Knowledge to develop the business concepts in

the people those who are under up liftment.

The empowerment of women refers to providing the necessary rights and

responsibilities to women in order to make them self-reliant. Empowerment is the

process of building capacities of women, creating an atmosphere which will enable

people to fully utilize their creative potentials. Empowerment gives women, the

capacity to influence decision making process, planning, implementation and

evaluation. Empowerment realize them their potential, team work capability,

dedication, decision making, greater control over the circumstances which would free

them from the shackles of custom beliefs and practices.

2. Current Scenario:

Considering the History of India, Women’s education got a fillip after the

country got independence in 1947 and the government has taken various measures

to provide education to all Indian women. As a result women’s literacy rate has

grown over the three decades and the growth of female literacy has in fact been

higher than that of male literacy rate. While in 1971 only 22% of Indian women were

literate, by the end of 2001 54.16% female were literate. The growth of female

literacy rate is 14.87% as compared to 11.72 % of that of male literacy rate.

Fig. 2.1 Survey in Vihar lake Village

All members from Ojaswini team along with senior members visited the village.


5

As a result the team decided to

design the Business Plan and

execute it to empower the women.

The best plan was to carry out the

Population survey in the diameter of 3

m around NITIE campus. The survey

depicted the broad view about the

interest and willingness of women to

strengthen their family. We did the

survey in the Darga Village, Morarji

Nagar, Vihar lake Village and

collected the names of 70 women to

know there interest in work together

and earn together.

Fig. 2.2 % of Women interested in SHG

The list of some of the women is as follows.

Sr.

No.

Name Are

they

aware

of

SHG?

Are

they

willing

to form

SHG?

Skills they

want to

apply in

business?

Àre they

willing to

relocate

themselves

outside

village for

assigned

value?

How

much

free

time

they can

spend

in

work?

1 Radha Ghatan No Yes

Papad

Making,

Sewing

Yes 3-4

hours

2 Asha Jadhav No No Papad

Making Yes 2 hours

3 Sheetal Jadhav Yes Yes Sewing No 3 hours

4 Kavita Jadhav Yes Yes Papad

Making No 3 hours

5 Parwati Kolekar Yes Yes Sewing Yes 3-4

hours

6 Sunanda

Jadhav Yes Yes No Yes 3 hours

% of Women interested in SHG


6

7 Meena Ghatare Yes Yes No Yes 3-4

hours

8 Ranjana

Basant Yes Yes

Papad

Making No 3 hours

9 Ankita Harwate Yes Yes Papad

making Yes 3 hours

10 Bharti Jadhav Yes Yes Papad,

Sewing No 3 hours

The survey carried out indicated the positive result.

Out of 70 women 25 were ready to form a SHG group and run their self owned

enterprises. Most of them (50%) prefer Papad making as their initial start; less than

20% prefer Sewing. This was sufficient for the head start.

Fig 2.3. % of Women for Business Start up

So, the team in discussion with SHG members, Faculty advisor Assoc. Prof.

V.B.Khanapuri & Ojaswini team members decided to design the robust structure

for Papad making enterprise.


7

3. Metier for the Masses:

To design the process, the first meeting was held on 28th Aug. 2010 with Assoc.

Prof. V. B. Khanapuri.

Design was formulated in backward approach i.e. from customer to suppliers. As

to run the pilot project, the target audience was identified as NITIE Hostel Mess

1/2 & 3/4.

Fig 3.1 Phase 1- Business Process

The plan was designed in 3 phases.

Phase 1:

Link A:

SHG members will be manufacturing papads in the room which will be

provided in NITIE campus.

Seek sponsorship from Companies to finance initial investment.

Training for papad making, Hygiene conditions to be maintained will be

delivered to them by authorised trainer.

Supply of Raw material i.e. Urad Dal, Papad Masala, etc. on monthly basis.

Papads will be delivered to NITIE Mess & colony of same quality as provided

now but with same or low price.

As per Staff Club Secretary Mr. Pathankar, staff members will take control

over the SHG members to manage the enterprise

Link A Link B


8

Days in

month

30 Retail Price W/s Price

Monthly(No.of

Papads)

Daily

(No) Rs./kg Daily Monthly

Rs./kg Revenue

Shop A 90 78 47430 160 67 1139 34170

Shop B 88 80 48450 50490 160 65 1105 33150

84

Shop C 90 75 45900 160 70 1190 35700

1. Enter the no. of days in a current month in A2

2. Enter the Demand in between cell D21 to D25

Mess 1/2 Mess 3/4 Total

Shop

No. of

Ladies

Share Per

Ladies

(Monthly) gm/kg of udit dal 797

NITIE Mess

Strength 400 400 1600 A 15 2278 Fulkhar 28

L&T 0 B 15 2210 Salt 28

0 C 15 2380 shoup 8

0 2380 Meera 28

0 Hing 8

0

Profit

Monthly

Urad Dal Papad Requirement

51000 1700 81600

Cost Calculation Sell Price


9

Link B:

SHG members will be absorbed by Lijjat.

Ladies in rotation will collect the dough from the Lijjat centre for the entire

SHG members.

Dough will be brought to the NITIE campus room or to SHG members

respective room(home).

Ladies will make the Papads and supply it to Lijjat centre next day earning

salary of Rs. 22/kg from the third day.

Staff Club members still will have the authority over the SHG to manage it.

Phase 2:

Fig 3.2 Phase 2 Business Process

Link A of phase 1 is followed.

Proposed collaboration with L

& T for supplying papad to

their canteens and generating

revenue.

Fig. 3.3 Capacity of making Papad

L & T recording it as CSR activity. Packed papads will be made available to

canteens with packaging material having NITIE, SIFE NITIE & L&T logo.


10

We can see the capacity to make papads are high. Unless we get market it

will be under utilizing the capacity of women and thus hampering their growth.

Phase 3:

Fig. 3.3 Phase 3 –Business Process

Expanding the no. of SHG in near- by village.

Collaboration with IIT Bombay to supply Papads in Messes.

Collaboration with NGO’s to create the market for papads in retail stores.

Out of 3 phases, first 2 phases are already in progress. Following people are in

contact from L & T.

1. Mr. Mabel Abraham- CSR Head, L & T

2. Mr. Karthik Iyer- Manager, Welding Shop Dept.

Following people helped in coordinating with Vihar lake village, Darga Village for

surveying and various other initiatives.

1. Mr. Deepak

2. Mr. Dharma respectively.

3. Mr. Dinesh Mohite helped in coordinating with Lijjat centre at Bhandup.


11

4. Impact on Community:

If we have 25 members in SHG,

considering the family of 4, the business plan

will have an impact on at least 100

people at a time.

It will contribute to increase in their family

income as well as overall growth of

ladies and their children.

Fig. 4.1 Impact on Community

5. Project Prospect:

Our aim is to provide integrated social empowerment of women to

Help them in establishing self-reliant Women’s Self Help Groups (SHG's).

Achieve all-round empowerment of women by ensuring direct access

and control over resources.

Fig. 5.1 Business Network

Help in creating confidence and awareness among the members of SHGs

regarding health, nutrition, education, hygiene and economic up liftment.

Empower women by providing sustainable employment opportunities.

Help in upgrading their skills, forming viable groups, providing access to

credit facilities and arranging for marketing linkages.

SHG

25 Members

Husband + Wife 2 Children


12

6. Expectations from NITIE:

1) Infrastructure: A room which will be the work centre for making

Papads. It will be well equipped with electricity, water facility and

furniture like fan, chairs (minimum 4), one table and one notice

board/white board.

2) Staff: Lady Members from Staff Club to manage the SHG at Work

Centre. She will be take control over the SHG; managing the supply

demand, salaries of SHG members and coordinating between

suppliers, distributors, customers.

3) Staff Club: Staff Club Senior Authorities will help us in providing any

Licences required from BMC, sponsorship from any company, NGO

contacts for expansion of enterprise and providing the Manager for

Enterprise.

And no doubt, Director’s Support and motivation in co-ordinating all activities.


13

ACKNOWLEDGMENT

It is our privilege to express our sincerest regards to our SIFE Faculty Advisor Prof. V. B. Khanapuri & President Mr. Rahul Singh for their valuable inputs, able guidance, encouragement, whole-hearted cooperation and constructive criticism to rejuvenate the project. We deeply express our sincere thanks to Staff Club Secretary Mr. Pathankar for kind support, motivation and guidance for facilitating our proposal in front of NITIE Director. We take this opportunity to thank all our SIFE Members who have directly or indirectly helped in designing our project. Last but not the least we pay our respects and love to our parents, friends for their cooperation and support.

project report on designing a … report on “designing a sustainable business model of food...

Documents