INTRODUCTION
An organization should be created and modified after conducting a management which includes studying the program, workload, and nature of the work, the reason for adding new positions and the justification for it and the available human resources. Since Food Arrangement and Trading Corporation is a new structure, it is necessary to conduct an organization and management survey. This government company was formed by merging National Trading Limited with former Nepal Food Institute. Organization and management survey of this organization has been carried forward keeping in mind the perspective of federalism implementation.
Nepal Food Corporation, established on 17 Marga 2031 under the full ownership of the Government of Nepal, has completed 45 years. After National Trading Limited merged with it and became a government company, the current organizational structure, recruitment, manpower and work process of the Nepal Food Corporation have become insufficient to carry out the works mentioned in its charter and regulations, as per the instructions given by the Ministry of Industry, Commerce and Supply from time to time. Supplying food to consumers in remote areas, selling and distributing food at reasonable and subsidized rates, and ensuring food stock in the amount specified by the government should be done. Supplying food to consumers in remote areas, selling and distributing food at reasonable and subsidized rates, and ensuring food stock in the amount specified by the government should be done. From this it can be said that the works of this company are not completely professional but also related to public interest. Therefore, this organization and management survey has been conducted to prepare a sound, active and capable organization structure that can carry out the tasks mentioned in the charter in a fully professional manner by carrying out such tasks in terms of transportation and using protected resources.
OBJECTIVES:
i. To study the charter and regulations of the new company by reviewing the works done by veteran Nepal Food Organization and National Trading Ltd.
ii. Preparing the format of the organization and Recruitment list by analyzing the accepted vision, goals, objectives, strategies and business plan of Food Management and Business Company.
iii. Preparing a new organizational structure and necessary manpower blueprint by analyzing the workload based on the vision, mission, objective, strategy and business plan format.
iv. Preparing the organizational structure that suits the provincial structure by identifying the needs of the office.
v. To suggest the necessary policies, strategies and procedures to the newly formed organization to make it a timely and efficient organization.
vi. Preparing a report by analyzing organizational inter-relationship.
vii. Make organization information and communication friendly and present suggestions to make work organized and efficient.
FINDINGS:
1. Problems seen in the existing organization:
a. There is duplication of work at the inter-branch level.
b. The organization structure is small, tight and not well maintained.
c. The work description could not be determined according to the nature of the work of the branches.
d. The administrative machinery is running on the old pattern.
e. Lack of development of division of labor and specialization.
f. Scope of work is not clearly defined.
g. Unable to implement an organizational integrated system based on the nature of work.
2. Problems seen in the existing recruitment
a. Non-recruitment at the relevant level according to the nature of the work, i.e.; Market Analyst.
b. Various services, posts, names and salary could not be matched.
c. The position according to the nature of the work and the educational qualification according to the position could not be determined properly.
d. Availability of manpower is very low due to lack of recruitment according to the nature of work.
e. In order to maintain the ease of work according to the branch responsibilities, there is an inappropriate recruitment structure.
f. Unable to maintain proper balance between the manpower of multi-disciplinary areas.
g. Due to the fact that there is no recruitment system that can generate positive returns in the overall performance, there is a shortage of staff according to the workload
h. Employees who have been working in the same position for a long time have not developed their morals.
RECOMMENDATIONS:
After proper study, the following recommendations were made to Nepal Food Organization and National Trading Ltd:
1. This report has arranged the posts as per the provisions of existing personnel administration regulations of the company, as the volume and scope of work increases in the new environment, positions with new qualifications and abilities are required. For this, two posts like Chartered Accountant and Market Analyst should be made specialist posts and entered into the 6th level, promoted every 4 years to reach the 10th level and after retiring from that post, it seems appropriate to make arrangement so that they can again be appointed to 6th level. Such posts should be considered as specialist posts. The rules should be amended for this. It is appropriate to create and fill specialist posts in accordance with the Civil Service Act and Regulations.
2. The decision to run or shut branches or depots and factories has a major impact on organizational structure and turnover. In the past, there were no criteria for establishment, contraction, closure and restoration of branch office or depot office. The guidelines with the criteria for allowing the opening of depots should be approved by the Board of Directors and implemented. Along with this, the pre-determined details required for the criteria should be approved and made public by the board of directors and arrangements should be made to open only branches or depots that meet the specified criteria.
3. If the employees, who are currently working as contractual workers, retire in any way, it is recommended to arrange a system to gradually reduce the number of contractual workers without appointing new employees in the vacant posts
4. It is also recommended to arrange the services of vehicle drivers, office assistants and security guards in the regional office and its subordinate offices under contract.
5. There should also be a decision on delegation of authority along with the decision to approve the organization structure. If the employees does not do what he is supposed to do, necessary actions and punishment that he should get should also be specified. It also creates an objective basis for rewarding and punishing employees.
6. If the manpower required for the operation of the mill; can be kept under the service contract according to the company’s need, it can bring effectiveness in the service delivery and also reduce the financial liability.
7. While classifying the services/groups of the organization, under the administrative service, various groups should be added and posts like market analyst, statistical officer, information technology officer should be included under it. By efficiently using and managing the immovable assets of National Trading Limited, a state-of-the-art commercial complex should be built and small quantities of food from Nepal Food to large packages for commercial purposes should also be kept in the strategy through this department. For example, the purchase of rice, sugar, coffee, tea etc. are purchased by Market Identification and Trade department at the agreed price. Thereafter, they increase the price for commercial purpose and place them at their outlets or in the display room of other organization and private sector; this also falls under the scope of this department. In this regard, a separate guideline should be created, pilot tested and the guidelines should be modified by removing the obstacles and weaknesses. There should be a positive review of the guidelines as per the need or annually so that the market is suitable.
8. National Trading Limited should continue the good practices such as export of sugar in the European market, operation of petrol pump, sales of consumer goods, machinery tools, construction materials, electronics goods, duty-free and taxable beverages and exportable goods and this department should get the opportunity of fully conducting business transaction of exportable goods.
9. Also, on the occasion of festivals, the company should be made profitable by providing concession and operating fair price shops cooperating with the state and local level governments and maintaining healthy competition with the private sector.
10. By continuing the practice of exporting 10,000 to 13,000 metric tons of raw sugar to Europe annually by National Trading Limited, establishing commercial relations with sugarcane farmers and sugar producing mills, this department should also be responsible for arranging the export of sugar in quantities determined by demand.
11. It seems that this department should go towards increasing profits by operating a closed warehouse and also operating a taxable shop at Tribhuvan International Airport. A commercial complex should be built on the lands that are very important from the commercial point of view, transferred from the National Trading Limited in the name of the company. For financing sources, an environment where loans can be taken with organizations such as employee savings fund and investment fund should also be arranged.
12. In the past, National Trading Limited has done the work of collecting financial resources for the projects by selling and distributing material aid goods received from the friendly countries and this department should continue this work as well.
13. The proposed organization and management survey is requested to identify the proposed market and provide specific work details to the business department. Business policies and practices adopted by this department should be competitive with the private sector. It seems necessary to create a group of competent and qualified employees with the right to make quick decisions, adequate financial resources, a thorough study of market demand and supply, and a competitive and result-oriented work environment.
14. According to the current structure of the company, in addition to the regular functions of the central, regional, main branch, branch and depot offices, there is a need to develop the capacity of the employees, as there is a need to have sales and display rooms for rent in the shopping malls, and the successful combination of decision-making ability, process and authority is necessary.
15. Separated from the mandate of a strictly controlled environment, before starting the work of commercial business in a new environment, this department should create a buying and selling guide and conduct a pilot test to make it implementable and take consulting services from subject experts. According to such a directive, certain rights to lease shopping malls with the private sector, to appoint and fire sales persons, to determine the price of goods, to reduce the market price, should be entrusted to this department.
16. The current policy regarding wastage seems to cover food only. Since it is also a trading company, it seems that this company has to adopt a general rebate and recovery. Apart from food grains, other commercial items should also be removed from drying, leakage, wastage etc. In the same way, a policy should also be decided regarding the wastage from livestock. In addition, there is a need to give the task of making new standards of accounting to the Internal Audit and Accounting Department proposed in the new structure.
17. It has come to be known from interactions with the corporation that the corporation is planning to purchase its own transport vehicles and expand its petrol pumps limited to Bhairahawa to all seven provinces in order to discourage the trend of stopping the transportation and sale distribution of petroleum products in the form of protest.
18. It is seen that there has been increase by 340 percent in petrol import in ten years, 248 percent n diesel import, 172 percent in ATF import and 265 percent in LPG while the kerosene import has decreased by 68 percent during this ten-year period. If we consider the monetary analysis, it seems that the amount of petroleum products purchased by the corporation has increased by 384 percent during past ten years. The increase in the purchase of all fuels except kerosene to the demand for fuel supply is an indicator of the need for a qualitative increase in the storage and transportation network of the corporation in the future.
