STiR coffee and tea magazine

Volume 3, Number 5

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STiR tea & coffee industry international 69 "We went through a bit of soul- searching," following that experience, eventually settling on a structure of worker committees pioneered at Tata Steel, explains Thomas. It took another eight months to work out the details. To- day volunteer committee members are elected by secret ballot from the work groups they represent. These commit- tees, one for each of KDHP's 82 agri- culture divisions and one committee per factory, oversee day-to-day operations. A consultive committee comprised of workers represents several divisions and factory committees. A central man- agement committee sets policy. Manag- ers learn the Tamil language and work hard to communicate. Innovation and direction is from the bottom up, rather than top down. Has it worked? In the decade since the program was first introduced revenue has doubled to $47 million. Productivity, measured in kilos per day, has risen from 33.3 to 48.9 kilos and production is up 2.5 million kilos a year. The garden lost INRs80 million in 2004-05. In 2012-13 the net profit was INRs123 million ($2 million) The worker who clocks the best productivity level every year is automatically el- evated to the position of worker-director of the company for the following year. As a result, the employees are aware of their own worth and their worth to the company, explains Thomas. "The management culture adopted in KDHP is also an invaluable reason for KDHP's success. The democratic, bottom-up approach is the reason for the contin- ued and unparalleled success of the participatory management structure," he said. Commitment to sustainability Rainforest certification attests to the company's goal of remaining in harmony with the surrounding beauty. Certification is considered a good strategy for tea exporters but long before it was formally recognized, KDHP closely adhered to all 10 of RA's guid- ing principles. Certification was routine given the garden's investment in social and environmental management, conservation, wildlife protection, water conservation, fair treatment and good working conditions for workers, occupational health and safety, community relations, integrated crop management, soil management and conserva- tion, and integrated waste management. "As the next step, we are planning to make the movement further inclusive by helping the small tea growers in the state also achieve RA certification, which will further enhance and enrich their livelihood and living environment," said managing director Thomas. In his modestly-appointed office, Thomas stresses the importance of sustainable practices. The fast-growth forest provides renewable fuel for the garden's factories and the reservoirs provide electrical power. It is good business to protect the land and wildlife and it is important to his goal of increasing exports to Western markets. "KDHP operates with transparency, which is one important reason why the gar- den has received 29 awards for excellence," he said. "Sustainability practices have always been a way of life at KDHP," said Thomas. Mechanization Tata Global Beverages c.e.o. Ajoy Misra said that "technology is the key pillar for our growth." KDHP benefitted from Tata's significant investment in factory machinery, Kanan Devan Hills Plantations Nyamakad Chundavurrai Letchmi Gundumally Madupatty Guderale Nullatanni KDHP factories are spotless and equipped to process large volumes. Seven Estates 82 agricultural divisions Total Acreage 58,744 acres (23,783 ha) Rainforest Alliance Certified 21,856 acres (8,845 ha) Production 22 million kilos (2013)

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