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AN ORGANIZATION STUDY ON
KARLUX SPINNING MILL
Summer training report submitted to the
ANNA UNIVERSITY,COIMBATORE
for the award of the Degree of
MASTER OF BUSINESS ADMINISTRATION
Submitted by
K.PRAKASH
Reg.No:-098001117037
Under the supervision and Guidance of
Dr.V.GOVINDARAJU, M.A., MBA., M.Phil., Ph.D-MMM., M.Com., B.G.L., D.L.L.
DIRECTOR
DEPARTMENT OF MANAGEMENT STUDIES
PARK COLLEGE OF ENGINEERING AND TEKHNOLOGY
COIMBATORE-641 659
AUGUST 2010
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BONAFIDE CERTIFICATE
This is to certify that the summer training report, titled AN ORGANISATION
STUDY at KARLUX SPINNING MILL., submitted to the ANNA UNIVERSITY,
COIMBATORE in partial fulfillment of the requirements for the award of Degree of
MASTER OF BUSINESS ADMINISTRATION is a record of original work done by
PRAKASH.K (098001117037), during the period (june to july 2010) of study in PARK
COLLEGE OF ENGINEERING AND TEKHNOLOGY,COIMBATORE under the
supervision and guidance of Mr.V.Govindaraju,M.A.,MBA.,M.Phil., Ph.D-MMM.,
M.Com., B.G.L., D.L.L, Director DEPARTMENT OF MANAGEMENT STUDIES,
PARK COLLEGE OF ENGINEERING AND TEKHNOLOGY, COIMBATORE
and the training report has not formed the basis for the award of any Degree / Diploma /
Associateship / fellowship or other similar title to any candidate of any university.
_____________________________ __________________
DIRECTOR STAFF-IN-CHARGE
Viva Voce Examination held on___________________________
Internal Examiner External Examiner
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DECLARATION
I, PRAKASH.K hereby declare that the summer training report, titled AN
ORGANISATION STUDY ON KARLUX SPINNING MILL., submitted to the Anna
University,Coimbatore in partial fulfillment of the requirements for the award of the
Degree of MASTER OF BUSINESS ADMINISTRATION is a record of original and
independent research work done by me during June-July 2010 under the supervision and
guidance of Dr.Govindaraju.V, M.A., MBA., M.Phil., Ph.D-MMM., M.Com., B.G.L.,
D.L.L, Director, DEPARTMENT OF MANAGEMENT STUDIES, PARK
COLLEGE OF ENGINEERING AND TEKHNOLOGY, COIMBATORE and the
training report has not formed the basis for the award of any degree / Diploma /
Associateship / fellowship or other similar title to any candidate of any university.
Place:
Date : Signature of the student
(K.Prakash)
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ACKNOWLEDGEMENT
I extend my wholehearted thanks to Chairman Dr.P.V.RAVI, M.A(Lit), B.sc.,
B.Ed., Ph.D.,MISTE., Park College of Engineering and Tekhnology for giving me the
opportunity to study in this esteemed institution.
I record my sincere thanks to our Principal Dr.G.MOHAN KUMAR, B.E.,
M.E., MBA.,Ph.D., for giving me the permission to do the project.
I am extremely grateful to Dr.V.GOVINDARAJU M.A, MBA, M.Com,
BGL, DLL, M.Phil, Ph.D, Director, Department of Management studies and
Prof.Dr.M.PRINCE MANICKAM,B.Sc(Agri)., CAIIB., MBA., M.Phil., Ph.D,
Head of the Department, Management studies for their guidance and enthusiasm provided
to me throughout the Project work.
Finally, I express my heartfelt gratitude to my beloved Parents and Friends for
their continuous support and encouragement throughout my project work and I would
also like to acknowledge the help and co- operation rendered by all the unseen hands in
caring out this course of study.
PRAKASH.K
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TABLE OF CONTENTS
Chaptr No
Description Page
No
1 INTRODUCTION
2 Company Profile
3 Industry Profile
4 Organisational Structure
5Functional departments
5.1 Production
5.2 Marketing
5.3 Finance
5.4 Stores
5.5 Human resource
5.6 R&D Department
5.7 Sales Department
6 SWOT Analysis
7Findings & Suggestions
6.1 Findings
6.2 Suggestions
8 CONCLUSION
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INTRODUCTION
KARLUX SPINNING MILL manufactures several kinds of cotton yarns
in cone,in technical specification it is termed as counts which is a unit of yarn specified
by the Textile Industries. The yarn produced here meets the necessity of the local Sizing
units and as well high quality yarns travel all over India through Buyers.
It was established in the year 2007 with a capital of 5 crore. The Managing
Director of the concern is Mr.Karthikeyan.P; he obtained his BE degree under Anna
University, Chennai in the stream of Mechanical Engineering which urged him to
become a Entrepreneur in his relevant stream. The main aim of him to start the Industry
is to establish a major Industry where the competition is less and ofcourse which offers
him a high profit being a monopoly in the local market.
The turnover of the concern is Rs.50Lakh by 2008 and have increased to Rs.75
Lakh as of 2009. The employees of the company are well trained for their work. The
management follows strict rules and regulations. The job done here is very perfect.
India's textile & apparel (T&A) industry (domestic and exports) is expected to
grow from Rs.3.27 lakh crore ($70 billion) to Rs.10.32 lakh crore ($220 billion) by 2020,
according to a research report by Technopak Advisors, a leading management
consultancy.
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COMPANY PROFILE
A brief profile of the company is given below:
Name of the Company : KARLUX SPINNERS (P) LIMITED
Year of Establishment : 2007
Address of the company : K.Ayyampalayam,
Palladam(post), Coimbatore-641662.
Installed capacity : 8200 spindles
Nature of the Business : Manufacturing of cotton Yarn in cone
Type of Industry : Textile
Location : K.Ayyampalayam,Palladam
Paid up capital : Rs.4 Crores
Loan from Bank : Rs.1Crores
Product : Yarn
Quality : 40’s,30’s
Number of workers : 100
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INDUSTRY PROFILE
Product Profile
With its strict operating principles the company manufactures yarns of the
following specification as ordered by the buyer/sizing units.
40’s count
30’s count
20’s count
10’s count
COUNT = Thickness of the Yarn Produced from cotton
Count >> = Yarn Thickness <<
Manufacturing Facility
With the turnover of around 5 to 10 Million every year, we have equipped with the
latest technology, machineries and devices. We are completely dependent and capable of
producing 30000Kgs every month, (approximately 600bags).
1 Bag = 40 Cons
1Con = 1.3 Kgs
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Some of the machinery installed in our manufacturing unit comprises of the following:
Blowroom Unit
Carding Unit
Drawing Unit
Simplex Unit
Spinning Unit
Winding Unit
Packaging Unit
2.1 RECENT DEVELOPEMENT
The machines are being upgraded every year or so to get the maximum quality
output. Thus the Industry now have upgraded all the units as a part of this measure.
Currently the company is doing business in and around Tamilnadu and is about to start a
Textile mill, a project value of 10 crores which is expected to start its operations by
march 2011. This project is targeted for 2020 ie., the time the textiles industry are
expected to grow by 6.4% from the present market situation.
The company’s growth can be attributed to the untiring dedication, hard work and
professional management of the promoters and executives ably supported by the team of
officers and employees at all levels.
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2.2 PRODUCT OF THE CONCERN
The company’s main production is Yarn which is to be upgraded as cloth
manufacturer out of yarn by the quarter month of next year.
2.3 MISSION:
Be the leader in quality yarn production
Implementing a worker friendly environment
Be the leader in innovation and research & development
Selling goods at the lowest possible price
2.4 VISION:
Aim to become a world-class company
Enter into the international company with wide ranging value added
products by implementing strategies and employing the resources
Optimum use of R&D to improve quality and to give a better value for the
money of the customer
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ORGANISATION STRUCTURE
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ORGANISATION STRUCTURE
MANAGING DIRECTOR
FACTORY OFFICIER ADVISOR
SPINNING MASTER POWER HOUSE
SHIFT SUPERVISORS ELECTRICAL SUPERVISORS
MASTRIES
LABOURERS
FITTERS
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PRODUCTION DEPARTMENT
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5.1 PRODUCTION DEPARTMENT
A business unit is established for the production and distribution of goods or
services, production management. Under takes planning, organization, direction
coordination and control of the production function be produced at the right time in right
quantity and at the right cost.
PRODUCTION PROCESS
CARDING
WINDING DEPARTMENT
BLOWROOM
DRAWING
SIMPLEX
SPINNING DEPARTMENT
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The spin plan or the counts to be manufactured will be decided well in advance according
to the market demand or the demands of the customer. Again it depends upon the raw
material availability and balancing of the process in each department.
Job production
Mass production
Small batch production
GINNING
A cotton gin (short for cotton engine) is a machine that quickly and easily
separates the cotton fibers from the seeds, a job previously done by hand. These seeds are
then used to grow more cotton, produce cottonseed oil, or, if badly damaged, are disposed
of. It uses a combination of a wire screen and small wire hooks to pull the cotton through
the screen, while brushes continuously remove the loose cotton lint to prevent jams.
The ginned cotton fibre, known as lint, is then compressed into bales which are
about 1.5m tall and weigh almost 220 kg. Only 33% of the crop is usable lint.
Commercial cotton is priced by quality, and that broadly relates to the average length of
the staple, and the variety of the plant. Longer staple cotton (2 1/2 in to 1 1/4 in) is called
Egyptian, medium staple (1 1/4 in to 3/4 in) is called American upland and short staple
(less than 3/4 in) is called Indian.
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BLOW ROOM
Blow room installations consists of a sequence of different machines to
carry out the above said operations.Moreover Since the tuft size of cotton becomes
smaller and smaller, the required intensities of processing necessitates different
machine configuration.
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Basic operations in Blowroom :
Opening
Cleaning
Mixing/Blending
Microdust removal
Uniform feed to the carding machine
Recycling the waste
Opening in blowroom means opening into small flocks.Technological
operation of opening means the volume of the flock is increased while the
number of fibres remains constant. i.e. the specific density of the material is
reduced.
The larger the dirt particle , the better they can be removed
Since almost every blowroom machine can shatter particles, as far as
possible a lot of impurities should be eliminated at the start of the
process.Opening should be followed immediately by cleaning, if possible in
the same machine.
The higher the degree of opening, the higher the degree of cleaning. A very
high cleaning effect is almost always purchased at the cost of a high fibre
loss. Higher roller speeds give a better cleaning effect but also more stress
on the fibre.
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Cleaning is made more difficult if the impurities of dirty cotton are
distributed through a larger quantity of material by mxing with clean cotton.
The raw cotton arrives in the form of large bales. These are broken open and a
worker feeds the cotton into a machine called a "breaker" which gets rid of some of
the dirt. The cotton may not be consistent in quality from bale to bale and samples
will be taken. This machine cleans the cotton of the remaining dirt and separates the
fibres. The cotton emerges in the form of thin "blanket" called the "lap". An
important quantity is called the "tex" which basically measures the mass per metre.
Ideally the tex of the emerging lap should stay more or less the same. The final end
product of the mill, the yarn, needs to be of constant quality and character and this
is achieved by checking the cotton through all the preceding stages.
CARDING
"Card is the heart of the spinning mill" and "Well carded is half spun" are
two proverbs of the experts.These proverbs inform the immense significance of
carding in the spinning process.
High production in carding to economise the process leads to reduction in
yarn quality.Higher the production, the more sensitive becomes the carding
operation and the greater danger of a negative influence on quality.The
technological changes that has taken place in the process of carding is remarkable.
Tex is the weight in grams of 1 km of yarn
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Latest machines achieve the production rate of 60 - 100 kgs / hr, which used to be 5
- 10 kgs / hr, upto 1970.
Purpose of Carding :
to open the flocks into individual fibres
cleaning or elimination of impurities
reduction of neps
elimination of dust
elimination of short fibres
fibre blending
fibre orientation or alignment
sliver formation
The two main ways to card fibers are by
Hand
Machine
HAND CARDING
To card by hand, the person carding holds a carder in each hand. The
carder in their non-dominant hand rests on their leg. They place a small amount of
fiber on this card and pull the other carder through, while taking care to catch some
of the fibers. By catching some fibers on the moving card, the fibers are separated,
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which allows vegetable matter to fall out, and they are aligned. Once all the wool
has been transferred, the person carding repeats this process until all the fibers are
aligned and the fiber is satisfactorily clean of debris. They then roll up their carded
wool into a neat rolag.
MACHINE CARDING
Machine carding is done on a device called a drum carder. These
devices vary in size from small to large. Depending on the size of the carder, the
number of rollers varies. In Kitchen type carders, they have two drums, or rollers.
One is small, and used to catch the fibers and feed them in. The other drum takes
the fibers from the first drum, and, in the process of transferring them from one
drum to another, the fibers are straightened out and made more orderly.
In Carding the fibres are separated and then assembled into a loose strand
called sliver or tow. The carders line up the fibres nicely to make them easier to
spin. The cotton leaves the carding machine in the form of a sliver; a large rope of
fibres.
There are two types of feeding to the cards
1. feeding material in the form of scutcher lap
2. flock feed system (flocks are transported pneumatically)
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SIMPLEX
In this process the output of drawing is drafted, twisted to make roving bobbin
form.In simplex section, sliver is fed and roving is produced. Finisher sliver is drafted
and very low twist is inserted to form Roving. Roving is final preparatory shape of yarn
in Back process stage, which will be converted into yarn in ring department.
SPINNING
The spinning machines take the roving thins it and twists it, creating yarn which it
winds onto a bobbin. The term "spinning" is sometimes used to denote this final
process in the production of the yarn. This involves attenuating (stretching) the yarn
to the required tex. There by giving the thread strength by adding twist and winding
it on to a bobbin.
There are two main methods
Mule spinning
Ring spinning
MULE SPINNING
The MULE was originally developed by Samuel Crompton from the
"jenny". In mule spinning the roving is pulled off a bobbin and fed through some
rollers, which are feeding at several different speeds. This thins the roving at a
consistent rate. If the roving was not a consistent size, then this step could cause a
break in the yarn, or could jam the machine. The yarn is twisted through the
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spinning of the bobbin as the carriage moves out, and is rolled onto a cop as the
carriage returns. Mule spinning produces a finer thread than the less skilled ring
spinning. The mule operated in two stages. In one stage the whole 'front' of the
machine is moved away from the back part stretching and twisting the thread as it
did so. It would move several feet (say 5 feet). In stage two the front carriage
moved back and at the same time wound the stretched yarn on to a bobbin (or cop).
Mules would be placed in lines so that the front of one faced the front of the
next. As the carriages moved forward, towards each other, only a narrow gap would
be left between them for the spinner to walk between. The mules were tended by
spinners, piecers, doffers.
Piecers would mend broken threads and
doffers would remove the full cops
Doffing is a separate process. The attendant winds down the ring rails to
the bottom. The machine stops. The thread guides are hinged up. Removing the
bobbin coils thread around the spindle, and placing the new bobbin on the spindle
firmly traps the thread between it and the cup in the wharf of the spindle. This
done, the thread guides are lowered and the machine restarted.
RING SPINNING
Ring spinning is a method of spinning fibres, such as cotton, flax or wool, to
make a yarn. The ring frame developed from the throstle frame. Ring spinning is a
continuous process, unlike mule spinning which uses an intermittent action. In ring
spinning, the roving is first attenuated by using drawing rollers, then spun and wound
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around a rotating spindle which in its turn is contained within an independently rotating
ring flyer. Traditionally ring frames could only be used for the coarser counts- but they
could be attended by semi-skilled labour.
The ring was a descendant of the Arkwright water Frame 1769. It was a
continuous process; the yard was coarser, had a greater twist and was stronger so
was suited to be warp. Ring spinning is slow due to the distance the thread must
pass around the ring, other methods have been introduced. These are collectively
known as Break or Open-end spinning.
A ring frame was constructed from cast iron, and later pressed steel. On each
side of the frame are the spindles, above them are the draughting (drafting) rollers and
on top is a creel loaded with bobbins of roving. The roving (unspun thread) passed
downwards from the bobbins to the draughting rollers. Here the back roller steadied the
incoming thread, while the front roller which was moving much faster pulled thread out
(attenuated) forcing the fibres to mesh together. The rollers are individually adjustable,
originally by mean of levers and weights. The attenuated roving now passes through a
thread guide that is adjusted to be exactly above the spindle. Thread guides are on a
thread rail which allows them to be hinged out of the way for doffing or piecing a broken
thread. The attenuated roving passes down to the spindle assembly, where it is threaded
though a small ring called the traveller. It is this that gives the ring frame its name. From
here it is attached to the existing thread on the spindle.
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Like the hour and minute hands on a mechanical clock, the traveller, and the
spindle share the same axis but travel at different speeds. The spindle travels faster. The
bobbin is fixed on the spindle. In a ring a frame, the different speed was achieved by drag
caused by air resistance and friction. The spindles rotate at 7000 to 8000 rpm, this spins
the yarn. The traveller, winds the yarn on the bobbin. The ring on the traveller is fixed on
a lifting ring rail which guides the thread onto the bobbin in the shape required: ie a
cop. The lifting must be adjusted for different cotton counts.
CONE WINDING
Ring spinning produces yarn in a package form called cops.Since cops
from ringframes are not suitable for further processing, the winding process serves
to achieve additional objectives made necessary by the requirements of the
subsequent processing stages.
Following are the tasks of winding process
Extraction of all disturbing yarn faults such as the short, long thick ,long thin,
spinners doubles, etc
Manufacture of cones having good drawing - off properties and with as long a
length of yarn as possible
paraffin waxing of the yarn during the winding process
introduction into the yarn of a minimum number of knots
achievement of a high machine efficiency i.e high produciton level
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BEAMING
The beam is a long cylinder with flanges and perhaps 600 threads are
wound on to it side-by-side. The machine is watched over by a "beamer". The full
beam is very heavy. In early days beaming was often done in the weaving mill but
then tended to be transferred to the spinning mill which would send the full beams
to the weavers. Note that this is more specifically called a "warper's beam"
SIZING
The yarn is a little fragile for the rough treatment imposed by the weaving
process and a "size" is applied to make it more robust. A number of warper's beams
(as above) are placed at the back of the sizing machine and the yarn is drawn
through and wound on to a "weaver's beam". If the machine is fed by 8 warper's
beams of 500 threads each then the weaver's beam will have 4000 parallel threads.
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MARKETING DEPARTMENT
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5.2 MARKETING DEPARTMENT
Marketing management refers to the identification of consumer’s needs and
supplying their goods and services which can satisfy these works. It involves the
following activities.
Marketing me search to determine the needs and expect of consumers.
Planning and developing suitable products.
Setting appropriate prices.
Selecting the right channel of distribution and
Promotional activities like adder testing and salesmanship to communicate
with the customer purchase and stores purchase.
The Marketing department creates the report for strategic planners, marketing
executives and export managers whose primary concern is to market the yarn
manufactured at high returns.
With the globalization of this market, managers can no longer be contented with a
local view. Nor can managers be contented with out-of-date statistics that appear
several years after the fact.So the managers should be focused on the new
technology machines that are being upgraded every now and then.
The report begins by summarizing the world exporter’s market for yarn. The total
level of exports on a worldwide basis is based on a model that aggregates across
over 150 key country markets and projects these to the current year.
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There are more requirements in the market due to the growth of textile industry.
So it doesn’t need the aggressive market.
The company is supplying its materials to the companies like
Sowndarya Textiles,
Adheeswara Tex,
K.M.N Textiles.,
FUNCTIONS
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MARKETING CONCEPT
The term marketing concept pertains to the fundamental premise of modern
marketing. This can be laid out as recognizing consumer needs/wants, then designing
products and services that correlate with consumer desires.
MARKETING ORIENTATIONS
An orientation, in the marketing context, relates to a perception or attitude a firm
holds towards its product or service, essentially concerning consumers and end-users.
There exist several common orientations
Product Orientation
Sales Orientation
Production Orientation
Marketing Orientation
PRODUCT ORIENTATION
A firm employing a product orientation is chiefly concerned with the quality of
its own product. A firm would also assume that as long as its product was of a high
standard, people would buy and consume the product. This works most effectively when
the firm has good insights about customers and their needs and desires.
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SALES ORIENTATION
A firm using a sales orientation focuses primarily on the selling/promotion of
a particular product, and not determining new consumer desires as such. Consequently,
this entails simply selling an already existing product, and using promotion techniques to
attain the highest sales possible.
Such an orientation may suit scenarios in which a firm holds dead stock, or
otherwise sells a good that is in high demand, with little likelihood of changes in
consumer tastes diminishing demand.
PRODUCTION ORIENTATION
A firm focusing on a production orientation specializes in producing as much
as possible of a given good. Thus, this signifies a firm exploiting economies of scale,
until the minimum efficient scale is reached.
A production orientation may be deployed when a high demand for a good exists,
coupled with a good certainty that consumer tastes do not rapidly alter.
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MARKETING ORIENTATION
The marketing orientation is perhaps the most common orientation used in
contemporary marketing. It involves a firm essentially basing its marketing plans around
the marketing concept, and thus forging products to suit new consumer tastes.
As an example, a firm would employ market research to gauge consumer
desires, use R&D to develop a good attuned to the revealed information, and then utilize
promotion techniques to ensure persons know the good exists. The marketing orientation
often has three prime facets, which are:
Customer orientation
Organizational orientation
Mutually beneficial exchange
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FINANCIAL DEPARTMENT
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5.3 FINANCE DEPARTMENT
Financial management is that part of the management which is concerned with
the planning, directing and controlling of all activities relating to procurement and
utilization of the financial resources of an enterprise for business process.
Finance is a much more important of every business firm to run production and
marketing activities. So finance is life blood of the company. In the company finance
department to organize financial activities may be created under the direct control of the
board of directors. In the department head is financial manager. The manager financial
policy matters will be decided by the finance committee while routine activities are
delegated to lower levels.
The Finance Department is responsible for the financial functions and
activities of the Council and for the administration of the Council's fiscal policy.
Financial statements (or financial reports) are formal records of the
financial activities of a business, person, or other entity. In British English, including
United Kingdom company law, financial statements are often referred to as accounts,
although the term financial statement is also used, particularly by accountants.
The finance manager raise capital from capital market (i.e. shares,
debentures, loan from banks, financial institution and public).
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The Company has started with the capital of Rs.5 Crore but now it has
more than Rs.7 Crore as its capital is increasing since established.
Fund arising from the operations are increasing during the year except 2009-
10.The liquidity of the company is decreasing. The average of liquid ratio
throughout the period is above the standard (1:1), which is good for the
company.
Current assets are properly utilized to affect the given quantity of sales. The
Gross Profit ratio is good except the year 2008-2009.More fluctuations are
found in Net Profit ratio.
Though there is an increase in production and sales, it is not proportionate
with the increase in fixed assets. Inventories are cleared fast in the concern.
Thus the inventory is managed efficiently by the concern.
The debtor’s collection period is somewhat high; this indicates the receivable
management is not effective. The Gross Profit and Net Profit are increasing
throughout the study period. There is a steady increase in the production and
sales of the company.
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Financial statements may be used by users for different purposes:
Employees also need these reports in making collective bargaining agreements
(CBA) with the management, in the case of labour unions or for individuals in
discussing their compensation, promotion and rankings.
Owners and managers require financial statements to make important business
decisions that affect its continued operations. Financial analysis is then performed
on these
statements to provide management with a more detailed understanding of the
figures. These statements are also used as part of management's annual report to
the stockholders.
Prospective investors make use of financial statements to assess the viability of
investing in a business. Financial analyses are often used by investors and are
prepared by professionals (financial analysts), thus providing them with the basis
for making investment decisions.
Financial institutions (banks and other lending companies) use them to decide
whether to grant a company with fresh working capital or extend debt securities
(such as a long-term bank loan or debentures) to finance expansion and other
significant expenditures.
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Government entities (tax authorities) need financial statements to ascertain the
propriety and accuracy of taxes and other duties declared and paid by a company.
Vendors who extend credit to a business require financial statements to assess the
creditworthiness of the business.
Media and the general public are also interested in financial statements for a
variety of reasons.
Finance department is running with the help of efficient and experienced manager.
SOURCE OF FUNDS
The source of funds in Karlux Spinners are as follows:
Deposits from promoters/directors
Financial Institutions
Loan from banks
FUNDS UTILISATION
The funds raised through the above ways are utilized as follows:
Repayment of loans
Acquisition of fixed assets, immovable properties
Production, Selling and distribution activities
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Investments
Reserve fund creation
Payment of taxes
ACCOUNTING SYSTEM
The company is using “Tally ERP” module Version 7.2 accounting software for its
accounts Maintenance. Also the company has developed its own separate software for
wages, Inventory (both raw materials and stores).
All the transactions are recorded in the respective books such as
Sales Book
Purchase Book
Cash Book
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STORES DEPARTMENT
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5.4 STORES DEPARTMENT
Store plays a vital role in the operations of a company. It is in direct conduct
with the user department in its day-to-day activities. The most important objectives of
store are to provide is located nearer to the production with to save material cost in as
effective manner.
The following are the important function of stores section.
Management of receipts.
Issue control on material.
Documentation received.
Inspection of materials.
Computerization of the data received from user department.
Codification of materials.
Physical verification of stores.
Stock vacation.
These stores thus get the raw material one after tools and raw punch through EOQ
(Economic Ordering Quantity) method and also by requires demand in the market.
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HUMAN RESOURCE DEPARTMENT
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5.5 HUMAN RESOURCES DEPARTMENT
In organizations, human resource is important to determine both current and
future organizational requirements for both core employees and the contingent workforce
in terms of their skills/technical abilities, competencies, flexibility etc. The analysis
requires consideration of the internal and external factors that can have an effect on the
resourcing, development, motivation and retention of employees and other workers. The
external factors are those largely out-with the control of the organization and include
issues such as the economic climate, current and future trends of the labor market e.g.
skills, education level, government investment into industries etc. On the other hand
internal influences are broadly within the control of the organization to predict determine
and monitor, for example the organizational culture underpinned by management
behaviors (or style), environmental climate and the approach to ethical and corporate
social responsibilities.
Framework
Human Resources Development is a framework for the expansion of human
capital within an organization or (in new approaches) a municipality, region, or nation.
Human Resources Development is a combination of training and education, in a broad
context of adequate health and employment policies that ensures the continual
improvement and growth of the individual, the organization, and the national human
resourcefulness.
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Recruitment & Selection
In order to fill the worker class cadre, the requirements are notified to a HR
broker. The broker himself have well established framework of subunits, which
makes search for the suitable employees.
The maximum employees working here are from the outskirts of southern Tamil
Nadu, who mostly are uneducated and seek job for their family survival.
Training
The Human resource thus obtained are then well trained on their job profile and
re-training programmes are arranged for under performers.
Labour Management
A canteen functions within the company premises which satisfies the basic
requirements of the emplooyes.
Vehicle facilities are arranged and are ready at any time to the nearby town for
shopping,hospital etc....
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Time office is under the control of personnel department, maintaining shift wise
workers attendance register and staff registers. The mill is functioning continuously
except the national holidays and local festivals. All the employees of the mill are
provided with medical facility. Personnel department is responsible to maintain the
discipline of the mill and directly reporting to the top-level management. Engagement of
daily casuals for the leave and absenteeism are dealt by Time-keeper in the time office.
The working is under Triple Shift
12.00 am to 7.00 am – First shift
7.00 am to 3.30 pm – Second shift
3. 30 pm to 12.00 am – Third shift
ADVISOR
SUPERVISOR
SECTION SUPERVISOR
LABOURS
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This personnel department creates close relationship between the management and
the workers. The workers should feel that they are working in a friendly environment.
Thus the personnel department is very essential for every organization.
MEDICAL FACILITY
Actual medical expenses are reimbursed to the employee in case of accident
occurs in the company while performing duty.
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5.6 R&D DEPARTMENT
R&D has a special economic significance apart from its
conventional association with scientific and technological development. R&D investment
generally reflects a government's or organization's willingness to forgo current operations
or profit to improve future performance or returns, and its abilities to conduct research
and development.
In 2006, the world's four largest spenders of R&D were the United States
(US$343 billion), the EU (US$231 billion), China (US$136 billion), and Japan (US$130
billion). In terms of percentage of GDP, the order of these spenders for 2006 was China
(US$115 billion of US$2,668 billion GDP), Japan, United States, and EU with
approximate percentages of 4.3, 3.2, 2.6, and 1.8 respectively.
The product range is developed so that production processes are as efficient as possible
and the products are technically superior, hence possessing a natural advantage in the
market place.
Research and development is nowadays of great importance in business as the
level of competition, production processes and methods are rapidly increasing. It
is of special importance in the field of marketing where companies keep an eagle
eye on competitors and customers in order to keep pace with modern trends and
analyze the needs, demands and desires of their customers.
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Unfortunately, research and development are very difficult to manage, since the
defining feature of research is that the researchers do not know in advance exactly
how to accomplish the desired result. As a result, higher R&D spending and does
not guarantee "more creativity, higher profit or a greater market share.
The company will support the worker more and they pay more offers through the
company growth and they will give a special care to the employees.
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5.7 SALES DEPARTMENT
The organization of the sales department will depend, of course, upon the size of
the company and the nature of the business. The principles underlying its organization
remain much the same, however. The nature of the organization depends somewhat upon
whether the salesmen travel out of the home office or from divisional headquarters or
branches. In the latter case there will be a general sales manager at headquarters who
exercises supervision over the branch sales managers.
The following are the functions of sales department in the company
to increase the sales volume considering a particular period of time.
to find appropriate persons/ agencies to carry out the sales activities.
to help marketing department in meeting the sales volume fore casted by
then.
to analyze the demands of markets.
to study the consumer's psychology, study market fluctuations, prepare
sale budgets, explore new markets and the process begins again - attract
and retain customers, etc.
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SWOT ANALYSIS :
STRENGTHS :
Abundant Raw Material availability that helps industry to control costs and
reduces the lead-time across the operation.
Availability of Low Cost and Skilled Manpower provides competitive advantage
to industry.
Growing Economy and Potential Domestic and International Market.
Industry has Manufacturing Flexibility that helps to increase the productivity.
WEAKNESS :
Industry is highly dependent on Cotton.
Lack of Technological Development that affect the productivity and other
activities in whole value chain.
Higher Indirect Taxes, Power and Interest Rates.
Lacking to generate Economies of Scale.
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OPPORTUNITIES :
Growth rate of Domestic Textile Industry is 6-8% per annum.
Increased Disposable Income and Purchasing Power of Indian Customer opens
New Market Development.
Emerging Retail Industry and Malls provide huge opportunities for the Apparel,
Handicraft and other segments of the industry.
Greater Investment and FDI opportunities are available.
THREATS :
Competition from other developing countries, especially China.
Continuous Quality Improvement is need of the hour as there are different
demand patterns all over the world.
Threat for Traditional Market for Powerloom and Handloom Products and forcing
them for product diversification.
To make balance between price and quality.
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FINDINGS & SUGGESTIONS
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FINDINGS & SUGGESTIONS
5.1 FINDINGS
The problems are identified in the following areas:
1. Scarcity of Labour
2. Power shortage which affects the production process
3. Increase in fuel cost according to changes in International rates
4. Interest rates are high
5. Changes in Government policies/ restriction and control measures with
respective wages, taxes, license and power etc.,
5.2 SUGGESTIONS
1. Goverment should provide power without any delay and restriction
2. Incenitves to farmers for cotton cultivation
3. Living standards for the residential workers should be improved
4. Having a strict control over the fuel prices
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CONCLUSION
The organization study has been done to know the overall process of the Karulux
Spinning Mill. From the study they are producing yarn according to the required counts
ordered by the customers. The wastage of the production is 2%. The quality of the
product is good. The capital will be provided directly from the managing director. They
are marketing their product to the company by their own vehicles. The short term as well
as long term financial position of the company is sound, hence the overall study reveals
that the efficiency and effectiveness of the company in managing the firm is good.