Organisational study at texport Overseas ltd

1. INTRODUCTION

1.1 AN INTRODUCTION ON ORGANIZATION STUDY

1.1.1 INTRODUCTION

Organizations play major role all over the world. Different organizations meet different

needs of people and provide them with products, services, or both. Due to globalization, the

world has become a global village. This has very much helped people to get their needs.

Different firm play different role and has its own importance.

Internship training is the practical orientation programme, which every MBA student has

to undergo as per the rule of Bangalore University. It is conducted with view to help students

understanding the working of the organization in different area. Considering all these, I have

chosen Texport Overseas private limited for my Internship Training in Business Enterprise.

Texport Overseas private limited is a leading manufacturer of Garments which produces

various varieties of dresses for different seasons for all Men, Women and for Kids. They have

very wide range of products for industrial use

This study will be a significant endeavor in describing the functions of Texport Overseas

pvt ltd. The project highlights the study on various departments and the functions undertaken in

the organization. It depicts the way in which the overall functions are performed and managed by

the organization and also shows the employee view point, method and levels of analysis.

SURANA COLLEGE PG DEPARTMENT Page 1

1.1.2AIM OF THE STUDY

Our 30 days organization study is aimed to get an industrial exposure and to understand the

functioning of the organization in corporate life. It is intended to help students to link the

corporate management practices in an organization with the theory.

The study is useful in assessing the quality and the performance of the company. It is also

basically aimed at the exploration of the various departments undertaken by the organization, by

providing the better knowledge at the functional level departments such as works, materials,

finance and personnel etc. Apart from that interaction and interrelationships between different

departments are also will be identified. The aim is also to provide possible guidelines and

suggestions for improving the productivity managerial efficiency of the Texport overseas pvt ltd.

1.1.3 OBJECTIVES OF THE STUDY

To understand the organizational structure of Texport overseas.

To get the knowledge about the functional and managerial aspects of Texport overseas

To know about the structure and functioning of various departments within Texport

overseas

To study how the management control various departments for the attainment of the

organizational objectives.

1.1.4 METHODOLOGY

There are 3 steps involved in an organization study. It can be described as follows

The first step is the collection of all available information from various primary and secondary

data sources. Collecting information from manuals, reports, articles, newsletters and information

provided by Texport overseas regarding the origin, facilities available in the company and a

brief on its activities and functions.

Interviewing departmental heads and other staff for understanding the activities of each

department, structure and the roles played by each of them.


Visiting the operational sites of various departments. The main aim is to obtain a physical feel of

the departments and observe the activities performed by it, and it's important to the whole

organization.

This study has been conducted using primary and secondary data. The data were collected with

the help of questionnaire; interview and observation. Two sources are used for collection of data.

1.1.5 LIMITATIONS OF THE STUDY

The study was conducted within a period of stipulated time.

The workers were busy with their work and had little time available for an interview or

conversation.

The manager's time availability for discussion were limited and frequently interrupted

due to official commitments.


1.2 INDUSTRY PROFILE

The history of the Albanian textile and garment industry lies in an almost 40 year’s

period of state owned enterprises, which operated under the centralized socialist economy. The

previous industry production was derived through a large domestic value-added chain that used

to produce from fiber until final product. Industry mainly supplied the domestic market, while

exports were managed by a single government agency. After 1990, most of the enterprises went

through a privatization process. A significant part of these enterprises didn’t change their

destination, they kept producing textiles and garments but their activity was now concentrated on

production under outward processing regime of clothes which comprise the majority of the

Albania’s exports. The industry inputs are mainly supplied by imports, using the cheap labor

advantage. The garment firms have no special technological processes, no marketing strategies

and poorvertical integration; consequently leaving abroad most of the value added in this sector.

Exports and imports are interconnected as a result of re-exportation. Imports mainly consist of

semi-final products, which are re-exported after a few assembling operations. Garment export

and import levels have been characterized by an increasing trend.

2. Standard Industrial Classification (SIC code)

1820 Manufacture of other wearing apparel and accessories

1821 Manufacture of work wear

1822 Manufacture of other outerwear

1823 Manufacture of underwear

1824 Manufacture of other wearing apparel and accessories n.e.c

B. Main Products Existing

The main products of this industry are suits, trousers, jackets, shirts and t-shirts, cotton intimate

clothes,


2. Processors

Skills would be design, innovation and marketing for niche markets for which they feel risk-

averse. Packaging takes place as part of assembling processes, based on specifications and

Conditions set out by western partners.

3. Buyers

Buyers are suppliers of raw materials,

D. Key Competitors

Domestic: high number of companies operating in the OPT production, drives competition

between them for orders and processes of foreign companies to take place in Albania.

Productivity is based on cheap unit labor and production organization efficiency only.

Developments in the international market influence trends in Albanian clothing production

Germany is the largest importer of outer garments in the EU with roughly 17 billion Euros, of

which 48% are purchased from developing countries through re-import or direct import . Imports

of tricots/pullovers, etc for women along with woven trousers for men and women have

increased significantly. Turkey is the main supplier of the German market of outer garments

occupying 14% of Germany’s total imports, followed by Italy, China, Poland (mainly re-

imports), Romania (mainly re-imports), Netherlands, Greece, Bangladesh, etc.

Great Britain is the second largest European importer. British producers use OPT to cover 78%

of imported knitted garments and 73% of imported woven garments. British imports have

recorded growth several products: tricots, pullovers for men and women, tshirts, woven garments

such as trousers, skirts, sport suits, and shawls. On the other hand, woven suit and gloves imports

have dropped. China, Turkey and Hong Kong are the main exporters of garments in the British

market. France is also a large importer in the EU. Developing countries supply 46% of its

imports. Italy, Morocco, Tunisia, etc. are the main exporters in the French market.


Limitations

• The energy crisis has been one of the key reasons that brought several enterprises to

bankruptcy and some others to raise the production cost because they use the

generators.

• The poor quality of rural infrastructure makes it difficult to reach interior areas, resulting

in making unattractive the use of domestic raw materials (such as natural wool fiber).

• Investments are still required in the four Albanian seaports in order to improve efficiency

of operations.

• Communication lines are sufficiently present in urban areas (yet, mobile communication

costs are still high), while the quality of telecommunication is still poor in rural areas.

The Internet can be accessed from almost any major Albanian city.

Conclusions/Prospects for Cluster Formation

Though the positive growth rates through the years, the industry does not represent the

Clustering potentials, since the actors work independently and not willing to develop processes

and designs. Lack of supply basis, skills in various business aspects such as marketing, design,

human management, technical skills on textiles, make difficult the upgrade of industry in the

short-run. There is no clear strategy on both the private and government side, for determining

future path of industry development. The vision remains “just surviving”. develop marketing

strategies and invest in human resources development in design and management.

Cottage stage

There are some indications that weaving was already known in the Palaeolithic. An

indistinct textile impression has been found at Pavlov, Moravia. Neolithic textiles are well

known from finds in pile dwellings in Switzerland. One extant fragment from the Neolithic was

found inFayum at a site which dates to about 5000 BCE.


The key British industry at the beginning of the 18th century was the production

of textiles made with wool from the large sheep-farming areas in the Midlands and across the

country (created as a result of land-clearance and enclosure). This was a labor-intensive activity

providing employment throughout Britain, with major centers being the West Country;

Norwich and environs; and the West Riding of Yorkshire. The export trade in woolen goods

accounted for more than a quarter of British exports during most of the 18th century, doubling

between 1701 and 1770. Exports of the cotton industry– centered in Lancashire – had grown

tenfold during this time, but still accounted for only a tenth of the value of the woolen trade.

Prior to the 17th century, the manufacture of goods was performed on a limited scale by

individual workers. This was usually on their own premises (such as weavers' cottages)– and

goods were transported around the country. Clothiers visited the village with their trains of

pack-horses. Some of the cloth was made into clothes for people living in the same area, and a

large amount of cloth was exported. Rivers navigations were constructed, and some contour-

following canals. In the early 18th century, artisans were inventing ways to become more

productive. Silk, Wool, Fustian, and Linen were being eclipsed by Cotton, which was becoming

the most important textile. This set the foundations for the changes.

In Roman times, wool, linen and leather clothed the European population, and silk,

imported along the Silk Road from China, was an extravagant luxury. The use of flax fiber in the

manufacturing of cloth in Northern Europe dates back to Neolithic times.

During the late medieval period, cotton began to be imported into northern Europe.

Without any knowledge of what it came from, other than that it was a plant, noting its

similarities to wool, people in the region could only imagine that cotton must be produced by

plant-borne sheep. John, writing in 1850, stated as fact the now-preposterous belief: "There grew

in India a wonderful tree which bore tiny lambs on the ends of its branches. These branches were

so pliable that they bent down to allow the lambs to feed when they are hungry." This aspect is

retained in the name for cotton in many European languages, such as German Baumwolle, which

translates as "tree wool". By the end of the 16th century, cotton was cultivated throughout the

warmer regions of Asia and the Americas.

The main steps in the production of cloth are producing the fiber, preparing it, converting

it to yarn, converting yarn to cloth, and then finishing the cloth. The cloth is then taken to the


manufacturer of garments. The preparation of the fibers differs the most, depending on the fiber

used. Flax requires retting and dressing, while wool requires carding and washing.

The spinning and weaving processes are very similar between fibers, however

Spinning evolved from twisting the fibers by hand, to using a drop spindle, to using a spinning

wheel. Spindles or parts of them have been found in archaeological sites and may represent one

of the first pieces of technology available. They were invented in India between 500 and 1000

AD

Industry Sub-Sectors

The textile industry comprises the following

Organized Cotton/Man-made fiber textiles mill industry

Man-made Fiber /Filament yarn Industry

Wool and woolen Textiles Industry

Sericulture and silk Textiles industry

Handlooms, Handicrafts, The jute and jute Textiles industry

Textiles Exports

Industry Structure

The textile and apparel industry is one of the leading segments of the Indian economy and the

largest source of foreign exchange earnings for India. This industry accounts for 4 percent of the

gross domestic product (GDP), 20 percent of industrial output, and slightly more than 30 percent

of export earnings. The textile and apparel industry employs about 38 million people, making it

the largest source of industrial employment in India. The study identifies the following structural

characteristics of India’s textile and apparel industry:

India has the second-largest yarn-spinning capacity in the world (after China), accounting

for roughly 20 percent of the world’s spindle capacity. India’s spinning segment is fairly

modernized; approximately 35 to 40 percent of India’s spindles are less than 10 years old.

During 1989-98, India was the leading buyer of spinning machinery, accounting for 28 percent

of world shipments. India’s production of spun yarn is accounted for almost entirely by the

“organized mill sector,” which includes 285 large vertically-integrated “composite mills” and

nearly 2,500 spinning mills.


India has the largest number of looms in place to weave fabrics, accounting for 64

percent of the world’s installed looms. However, 98 percent of the looms are accounted for by

India’s power loom and handloom sectors, which use mostly outdated equipment and produce

mostly low-value unfinished fabrics. Composite mills account for 2 percent of India’s installed

looms and 4 percent of India’s fabric output.

The handloom and power loom sectors were established with government support,

mainly to provide rural employment. These sectors benefit from various tax exemptions and

other favorable government policies, which ensure that fabrics produced in these sectors are

price competitive against those of composite mills.

Competitive Position of India’s Textile and Apparel

Industry

India’s share of global exports of textiles and apparel increased from 1.8 percent in 1980 to 3.3

percent in 1998. However, India’s export growth was lower than that of most Asian countries

during that period. The study identifies a number of competitive strengths of the Indian textile

and apparel industry:

India has a large fiber base, and ranks as the world’s third-leading producer of cotton,

accounting for 15 percent of the world’s cotton crop. India produces a wide variety of

cotton, providing operational flexibility for domestic textile producers. In the manmade

fiber sector, India is the world’s fifth-largest producer of polyester fibers and filament

yarns and the third-largest producer of cellulosic fibers and filament yarns.

India is the world’s second-largest textile producer (after China), and is diversified and

capable of producing a wide variety of textiles. The spinning segment is fairly

modernized and competitive, accounting for about 20 percent of world cotton yarn

exports.

India’s textile and apparel industry benefits from a large pool of skilled workers and

competent technical and managerial personnel. India’s labor is inexpensive; hourly

labor costs in the textile and apparel industry average less than 5 percent of those in the

U.S. textile and apparel industry.

Growth Opportunities


India, with a population of 1 billion people, has a huge domestic market. India’s middle class,

currently estimated at 200 million, is projected to expand to include nearly half the country’s

total population by 2006. Based on purchasing power parity, India is the fourth-largest economy

in the world, has the third-largest GDP in the continent of Asia, and is the second-largest

economy among emerging nations.

India is also one of the fastest growing economies of the world. Although the

disposable income of the majority of the Indian population is low, as the Indian economy grows,

more consumers will have greater discretionary income for clothing and other purchases after

meeting their basic needs. India’s huge domestic market offers the prospect of significant growth

opportunities in domestic textiles and apparel consumption, which is expected to result in

increased trade and foreign investment, especially in certain product sectors. According to a

1999 study, the major growth areas for trade and foreign investment in India will be technical

textiles (e.g., fabrics used in aerospace, marine, medical, civil engineering, and other industrial

applications), home textiles, and apparel. The S.R. Satyam Expert Committee (SEC), constituted

by the GOI, also identified these sectors as having the greatest growth potential and

recommended various measures to promote these sectors.

1.3 COMPANY PROFILE

Texport Overseas pvt ltd was started in the year 1996. The quality garment company has

seen meteoric growth in all aspects of the textile business in a very short span of time. By doing


so it has carved a niche in the textile industry as one of the most professional and dependable

garment exporters. Along with an annual turnover of a very healthy 80 million dollars, Texport

Overseas also has bagged many distinctions like being one of the largest garment exporters to

GAP from India.

Texport Overseas pvt ltd, steered by the efforts of about 12000 employees, is known to

have the fastest growth in the garment industry. The company has 10 production factories along

with the company owned washing and embroidery units; they are formidable force to meet any

goal and deadline.

Since its inception, the focus has always been on the production and export of high

quality fashion garments and in the last decade, Texport Overseas pvt ltd, has Excelled in this

regard. The client list speaks volume for the commitment Texport Overseas pvt ltd, has towards

customer satisfaction. The markets to which a chunk of exports go to are USA, CANADA, UK,

IRELAND, AUSTRALIA, FRANCE, SPAIN, and ITALY. The clients have relied on a

company’s commitment and that is a testimonial to the always on the time delivery and quality

checks, finishing and shipment are all taken care by exceptionally motivated and experienced

staff. Texport overseas has ISO 9001:2000 certification for marketing for readymade woven

garments.

The company strives to provide the best value and services to the customers and that is

why their client lists includes the big players of fashion industries like Polo Jeans Company,

Ralph Lauren, Van Heusen, GAP, DUNNES, Tommy Hilfiger and American Eagle.

The organization has been consistently achieving its target, with production capacity of

over 800 thousand high quality garment pieces every month, Needless to add the entire

production is subject to stringent quality check by the Quality Assurance Department Personnel.

The company is recognized as one of the fastest growing in the industry with an annual turnover

of 80 million US $.

INTEGRATING OPERATIONS


Quality is achieved neither by man or machines alone, but by an optimal relationship

between both. At Texport Overseas, we boost the cutting-edge technology complemented by a

fleet of trained professionals.

PRODUCT SAFETY IN THE FACTORIES

All factories have Hashima and Cintex conveyor type metal detection machines. They

have strict needle control system in their factories. Extra care is taken for button/snaps

attachments.

SPANNING THE SPECTRUM

Texport Overseas has achieved mastery in working with all kind of oven fabrics and in

manufacturing a range of diverse garments.

TECHNOLOGY

The state-of-the-art manufacturing facilities employ the latest in sophisticated

infrastructure and machinery, from modern cutting and spreading machines, specialized washing

infrastructure to the Switch track, Auto sleeve attaching machine, Auto jig machine, Pocket

welting machines, Bar track machines with computer designed EPROM’s, Automatic Velcro

cutting, Multi needle pin-tucking machine, Feed of the Arm and Electronic keyhole machine,

which ensures that the finish of the garment is perfect.

High-class fashion garments and fabric are washed at Texport Overseas washing and

laundry unit under controlled conditions to get the preferred finish. Our washing unit has a

washing capability of 35000 garments a day.

Apart from production, we give clients the finish they desire using specialized washing

infrastructure such as enzyme wash, stone wash, silicon softener, rubber ball wash etc. For

denims, specialized washes are bleaching grinding, notching, sandblasting, potassium

permanganate spray and hand sanding.

CURRENT PRODUCT OFFER INCLUDES


For men: Shirts, shorts, pants, jackets and lounge.

For women: Skirts, trousers, nightwear, dresses, tube tops and jackets.

For children: Convertible pants, windshield jackets, paijammas, jumpers, Overalls and

tops. They are also specialized in works like Embroidery, Printing, and Garment over

dye, sequins, bead works and hand works too.

GROUP OF COMPANIES

SHALINI CREATIONS

C.S. INDIA

NISHA DESIGNS-I

NISHA DESIGNS-II

TEXPORT OVERSEAS-I

TEXPORT OVERSEAS-V

TEXPORT CREATIONS

DELIVERING VALUE

Efficient turnaround time.

Uncompromising quality.

Reliable service.

The consistent customer-focus has fetched Texport Overseas business from some of the

most recognized labels in the industry. Among them are GAP, POLO JEANS Co,. RALPH

LAUREN, TOMMY HILFIGER, ABERCROMBIE, and FITCH, ARMANI EXCHANGE,

JCPENNY, MOTHER CARE, DUNNIES, KOHLS, MATALAM.

ORGANIZATION OVERVIEW


Managing Director- SATISH GOENKA

Established- 1996

Capital- Rs 99 lakhs

Employee classified- 1500 non productive

10500 productive

Production factory- 10

Future plans- More business


1.4 PRODUCT PROFILE

Texport has a wide range of products in garments for Men, Women and for Kids capable

of manufacturing quality garments over a wide range of styles.

FORMAL WEAR FOR MEN

Texport provides Men’s formal wear also known as formal dress is the customary term

used for men’s attire that is suitable for formal social occasions, such as a ballroom dance, prom,

wedding, debutante cotillion & formal garden party or dinners . Formal wear usually constitutes

wearing black and white garments. There are three main types of men’s formal wear Morning

Dress, Black Tie & White Tie. Below you can read about each type.

Morning Dress - Morning dress is a daytime men’s formal wear attire. That consists of a

tailcoat or cutaway jacket, waistcoat, and striped trousers that is typically worn with an

ascot as opposed to a bow or euro neck tie.

White Tie - White tie is the most formal evening dress attire. Men’s white tie formal

wear will consist of the following dress coat, waistcoat, white bow tie and starched

shirt.


Black Tie - Men’s black tie formal ware is a semi-formal evening attire. A dress shirt

that is white, cream or black. The wearer can choose to wear either a vest or

cumberbund that is a color of their choosing. The wearer can choose from either a bow

tie or a more modern look like the euro tie that usually matches the vest or cumberbund.

CASUAL WEAR FOR MEN

Nice variety and nice styles of casuals are produced for men in different colors and in different

seasons.

JEANS WEAR FOR MEN

There are different styles of jeans which are produced to men in different colors.


JACKETS FOR MEN

Jacket Styles - There are many different styles of jackets to choose from. FORMAL WEAR

FOR WOMEN


At Texport Overseas you will find formal dresses that will fit and flatter every woman's

figure. Whether she is slender and petite or busty, they have a selection of dresses that are

designed to enhance her figure. At Texport Overseas there are cocktail dresses, long evening

gowns and short prom dresses for all shapes slender and slim or full-figured or well-proportioned

and hour glass shaped

CASUAL WEAR FOR WOMEN

Texport Overseas has a fabulous selection of day wear dresses and casual dresses for you

to choose from for any occasion. Whether customer are shopping for a beach or party dress, sun

dress, wedding guest dress, career or office dress, or special occasion dress all are available here.

Customer will find collection of day dresses from short dresses and casual dresses to long

dresses for day wear. And also find the hottest styles and trends including halter dresses, one

shoulder dresses and spaghetti strap sun dresses for a stylish and carefree look at any occasion.

Here they have colorful print dresses and solid color dresses in so many styles and sizes that

customer will surely to find the perfect day dress for any occasion.


JEANS WEAR FOR WOMEN

PARTY WEAR FOR WOMEN


Texport produces different kinds of party wears to women at different style.

JACKETS FOR WOMEN

KIDS WEAR FOR BOYS

KIDS WEAR FOR GIRLS


All kinds and a good quality of Jackets are produced to women who can fit them quite comfortably.

Nice variety of dresses is produced for boys and different kinds of dresses are manufactured in different seasons.

Different varieties of dresses are produced to girls of various seasons and different colors are produced in a nice quality.

BABY WEAR

VISION

To provide the world class fashion wears and to promote the company’s image in the

customer’s minds, with the competent workforce.

MISSION

To promote and uphold its image as makers of latest international trend fashionable

products.

To promote fashion and quality product.

To build up reputations of international fashion.

To create and maintain the brand loyalty of its customers.

To serve the national economy and attain self-reliance.

ACHEIVEMENTS

Texport has been recognized by the Indian Government Authorities for its contribution to

exports from India.

Customers Admirations for outstanding performances and creativity,

Recognition from National Association of the Blind.


Various types of dresses is produced to kids at different seasons and in different colors with a nice quality.

2.1 ORGANIZATION STRUCTURE


Managing director

Fabric sec workers

Finishing sec supervisor

Workers

supervisors

Floor in charge

Production mgr

Production mgr

maintenance

In-line QC’s

A. Q. A. M’S

Account mgr

Admin & HR MGRQ.A ManagerFactory manager

workers

Finishing sec in charge

Finishing sec. mgr

Cutting sec in charge

Fabric sec in charge

Fabric sec.mgr

Asst.Gen. managerGen. Manager

(

2.2 DUTIES AND RESPONSIBILITIES OF DEPARTMENTAL HEADS

Finance Manager

He is responsible for financial matters in the organization. He prepares financial plan. He

assesses the financial needs of the organization and sources of the finance. He should be an

expert in the field of financial management. He should know different tools used in the financial

management ratio analysis, fund flow analysis, cash flow analysis, Budgeting etc. All these are

necessary to prepare a sound financial policy for the organization. He is also responsible for

financial planning, raising necessary fund, controlling the use of funds, appropriation of profits

etc. Other functions include financial forecasting and planning, procurement of funds, investment

decision, management of income, management of cash, deciding upon borrowing policy,

negotiations for new financing, analysis and appraisal of financial performance, advising the top

management, co-coordinating and control, helping in valuation decisions, and tax administration.

Accounts Manager

He is responsible for keeping the details of day book, ledger and P.F registers. Moreover, he

should record and maintain all the details of the sales tax calculation and related documents and

produce them on demand.

Marketing Manager

He is charge of the marketing department of the organization. The marketing department aims to

increase the turnover of the organization, market share, and profitability of the organization. The

marketing manager should be tactful. He should know marketing concepts product mix,

promotion mix, price mix, distribution mix etc. He should be known the strength and weakness

of the firm’s products. He is also able to design and implement market strategies to enhance turn

over and capture new markets.

Human Resource Manager


A human resource manager occupies a very important position in an organization. The duty of

the human resource manager is to recruit and develop Personnel required by the organization.

They are involved in manpower planning, training, maintenance, compensation etc. The other

responsibilities of the human resource manager are formulation and development of personnel

policies, employees training and development, transfer, promotion, etc., maintaining personnel

records of each employee in the organization, establishment of good relation with employees,

effective communication of the personnel policies and programmers of the management to

employees, responsible for advising line manager, responsible for welfare activities and

responsible for solving the problem of employees.

Purchase Manager

Duties and responsibilities of the purchase manager are:

Prepare purchase budget.

Receive purchase requisition, and ascertain the material requirements.

Ascertain the sources of supply.

Invite tenders from the approved suppliers.

Select the supplier offering the best terms and conditions.

Issue purchase order to the supplier selected.

Follow-up the purchase order to avoid any delay in delivery.

Receive goods received note and the inspection report.

Return the material which are not according to specifications or secure adjustment with the

supplier.

Verify the invoice with regard to quality, price and other relevant particulars and pass it for

payments.

Send the invoice to the accounting section.


3 FUNCTIONAL AREAS

Human resource department

Accounts department

Marketing and Merchandising department

Purchases department

Documentation department

Production department

Quality control department

Maintenance department

3.1 HR AND ADMINISTRATIVE DEPARTMENT

Of all the factors of productions, man power is the most important for all the work

inside an organization. It is a matter of common knowledge that every business organization

depends for its effective functioning not so much on its material or financial Resources as on its

pool of able and willing Human Resources.

The head of the Admin Department defines “personnel management as the field of

management which has to do with planning, organizing, controlling various operative activities

of procuring, developing, maintaining and utilizing a labour force in order that the objectives and

interest for which the company is established are attained as effectively and economically as

possible and the objectives and interest of all levels of personnel and community are served to

the highest degree”.

CERTAIN RECRUITMENT SOURCES

Internal Search

Advertisement

Employees Recommendations

Employment Agencies

Temporary Help Service


Colleges and Universities

Professional Organizations

Casual or unsolicited Applicants

Other Sources

RECRUITMENT PROCEDURE

1) The employment exchange compulsory notification of vacancies Act.1959

stipulates that every establishment in public sector shall before filling vacancy in any

employment in the establishment in public sector should notify the vacancies to the concerned

employment exchanges any failure to notify such vacancy is an offence punishable under that

Act. Therefore the chief executive of public establishments shall notify vacancies to comply with

the Act.

2) Recruitment to managerial and professional posts carrying a starting basic salary

excluding DA and other allowances of Rs 15000 / per month and above shall be made by

selection from the applications received through sufficient advertisement in newspapers. The

candidate sponsored by the employment exchange shall be selected from the applications

received through sufficient advertisement in newspapers. The candidate sponsored by the

employment exchange shall also be considered for selection .If the details are furnished by the

employment exchange, call letters are issued to the short listed candidates for the interview or

test.

3) Selection to all other post outside the preview of public service commission shall

be made from among the candidate sponsored by employment exchange. In this case filling up of

vacancies by generating applications through advertisements in newspapers should be attempted

only after obtaining non availability certificates from employment exchange.

4) Recruitment to vacancies should be made by committees set up by board of

directors with not less than 3 members and at least 1 of them being government representative.


5) In respect of direct recruitment the principles of reservations as applicable to

government appointments should be adhered to the principles of communal rotations and laid

down in Rule 15 to 17 of the Karnataka subordinate service Rules part II shall be followed.

6) No preferences shall be given to the apprentice of the undertaking while making

recruitment against permanent vacancies.

7) The practice of hiring persons on daily wages to man posts, which can be called

through employment exchange, shall be discontinued. All existing vacancies should be

anticipated and actions should be taken to fill them. All amounts spent on hiring daily wage

employee shall be treated as irregular expenditure, which could be recovered from the appointing

authorities.

8) The instructions already issued by the government to these extend they are

contrary to the foregoing procedure will be cancelled from the date of issue of the circulars.

OTHER HR ELEMENTS

Bonus

Employees who get more than Rs.4500 per month are eligible for bonus. Almost all

employees of Texport Overseas get it.

Provident Fund

Provident Fund is a fund provides a compulsory contribution for the future of an

employee after his retirement or for his dependent in the event of his early death. In such

fund employee and employer contribute equally. In Texport Overseas PF was first

introduced in the year 1986. The PF contribution is 12% of Basic salary from both

employee and Texport Overseas

Gratuity

Minimum amount payable as gratuity is Rs. 4500. Employees having continuous service

of 5 years are eligible for gratuity calculated as follows

Gratuity = Basic Pay + Dearness Allowance * 15 * Number of years / 26


ESI

All the employees working here including casual and contract whose salary does not

exceed Rs 10,000 per month are covered under this Act. As and when employees are

registered with ESI, they are entitled to Sickness benefit, Disable benefit, Dependent and

Maternity benefit from ESI.

Allowances

Financial incentives are used to motivate employee for higher works however individuals

have various needs, which they want to satisfy while working in the organization. People

at comparatively higher level of managerial hierarchy attach more important to

psychological needs, which cannot be satisfied by money alone. The following are some

important financial and non-financial benefits provided by Texport Overseas are,

House rent allowance (HRA)

Conveyance Allowance (CA)

Shift allowance

Washing allowance

Cash tending allowance

Sewing allowance

Stitching allowance

Fabric duty allowance

Education Allowances

Attendance Allowance

Housing loans

Vehicle loan

Casual leave

Earned leave


3.2 ACCOUNTS DEPARTMENT

Finance is the life blood of any business. It should be concerned with the activation of

funds and wide application of funds. The duties of finance departments are to perform these

functions effectively.

ACCOUNTING POLICY

1) Convention

The final statements are prepared under the historical cost convention in accordance

with applicable accounting standard that was relevant to presentational requirement of

the Companies Act 1956.

2) Fixed Assets

Fixed assets are stated at cost of acquisition and additional if any, less accumulated

depreciation, is provided at rates and methods prescribed in the schedule XIV of the

Companies Act on straight line method in respect of plant and machinery and railway

sliding belonging production. The depreciation is calculated on the basis of Companies

Act and for income tax audit it is added to the profit and recalculated as per the audit

rules.

3) Excise duty

Excise duty on manufactured is accounted for as and when goods are dispatched is

accordingly no provisions is made in respect of duty due on goods manufactured, but

not dispatched nor included in valuation of stock.

4) Gratuity

Gratuity liability and leave is accounted on the basis of actuarial valuation.

5) Inventory System

Work-in-progress is valued at the cost and stock of raw materials, chemicals, fuel and

stores are valued at weighted average cost on monthly basis.


FUNCTIONS OF DEPARTMENT

The company maintains a clear and perfect accounting system. The main activity of the

Finance Department is Working Capital Management, Preparation of Fund statement, cash Flow

Statement, Balance Sheet, Profit and Loss Account etc. Secretarial work relating to Board comes

under the review of the Finance Department. Most of the activities carried out by the Finance

Department are pertaining to long term and short term requirements of the operation, closing

purchase bill, maintaining the account of contractors, subcontractors, income tax deduction,

salary discrepancy, dealing with the financial institutions with imports and exports are also the

functions of the Financial Department.

Purchases are Recorded and Analysed

The Finance Department of the company keeps the accounts of purchase of spare parts,

raw materials etc. and accounting entries are made in the books of accounts of the

company on day to day basis, on the basis of bills and supporting vouchers of each item.

Each voucher is essentially numbered to avoid discrepancy. If the company makes any

miscellaneous purchase, the finance department analyses the details of the purchase

afterwards.

Salary Section and Pay Division

The main function of the department is preparation and disbursement of salary of

officers, members of office staff and workers. The department keeps salary register

pertaining to each of the above sections, which facilitates charges in salary due to

granting of annual increments and deduction due from the salary. The disbursing of

salary is crediting the amount to the respective bank account of the employee. Certain

employees are paid by cheque. The department is maintaining sub ledgers for

deductions made in the salary such as PF, Insurance Premium Advance etc. Another

important function is computation of income Tax where as its deductions and prompt

remittance to IT Department.

Sales and Revenue Accounting

The department is calculating and paying sales tax and central excise duty to the

concerned Government every year.


Costing

Annual budget and cost sheet is prepared at the outset of every year and on the basis of

the department fixes the floor price of each product of the company.

Calculation of Depreciation

The department calculates the depreciation. Depreciation is provided on straight-line

method in the case of plant and machinery of production unit and written down value

method in case of other assets of the company.

AUDITING

Auditors are appointed by the Government for a period of one Year and also by the

organization. There exist an external audit and internal audit.

1) Internal Audit

These are part of the organization. There is an internal auditing sector. They are in

the charge of periodical audit. The main objective of the internal auditing is to

determine that the quality management system is effectively implemented, maintained

and confirm to:

Planned arrangements

Requirements of ISO 9001:2008

The established quality management system

2) External Audit

Statutory Audit

Account General's Audit Inspection Audit

Sales Tax Audit Income Tax Audit

Cost Audit

3.3 MARKETING AND MERCHANDISING DEPARTMENT


Marketing Management has become very crucial in business planning and decision

making. In today’s world, Marketing is a complex and a vital business philosophy. The value of

which cannot be ignored. Dynamic changes are taking place every moment and are a likely to

take place in future, with the changes in attitude and value of society.

Merchandising encompasses “planning involved in marketing the right merchandise or

service at the right place, at the right time, in the right quantities, and at the right price”.

Definition

Marketing is defined as “a social and managerial process by which individual and groups

obtain what they need and want through creating, offering, and exchanging products of the value

with others.

Merchandising refers to “activities aimed at quick retail sale of goods using bundling, display

techniques, free samples, on-the-spot demonstration, pricing special offers and the other point-

of-sale-methods.

Objectives

The marketing objectives are set to increases the profits of the company through cost

reduction, increasing market shares, creating new customer base and the same time maintaining

the existing customer loyalty.

MARKETING AT TEXPORT OVERSEAS

They have well established marketing team with a wide network of customers spread

across the globe. Around 60 people working in this department in the area of 20000 sq ft.

Promoting the brand is the task of the marketers. They design the brand personality according to

customer requirements and aspirations. They identify, plan and organize activities that boost

their image and decrease their expenditure. U.S.A and Europe are the two major markets of the

TEXPORT OVERSEAS Products to these countries are exported on FOB basis.


3.4 PLANNING DEPARTMENT

The function of planning department helps the merchants to determine the costing of the

particular style and this work starts only after the approval of the order, they also tell whether the

company is capable of producing the Particular style in the given span of time and also helps

them to know the capacity of floor production on receiving the order from the merchants they

starts to decide the date of PP meeting (pre-production) with the departments in accordance to

production, finishing. The planning department then calculates and plans order quantity, sample,

order breakup.

Then they finally come to conclusion about the production about the entire style.

Secondly, they confirm the details given to the concerned units i.e. they confirm the order

quantity, sample and other similar information from them in consultation with GM and FM.

Thirdly, they confirm this consultation if it’s the final decision and then they also get a

confirmation from the various department. Whatever the order quantity is the finishing time of

the particular garment is fixed as 45 days.

Then the planning department will follow up with the factory till the order is finished

and shipment is done. The planning department is responsible for the timing input of the raw

material to the production floor, and they must make sure that each day is worth full, as the work

goes faster in the sewing floor the production can be able to meet the other sources like washing

(after the sewing), finishing, buttoning, ironing, marketing. In case of the due in sewing then it

will cost the company for the shipping. There is no communication from department to

department its only thought mails and sometimes phone calls, any type of change or modification

shall also be through mails and these copies of mail are keeping for the record.


3.5 FABRIC STORE DEPARTMENT

Fabric sourcing department is basically engaged in determining how and where it is

merchandise i.e. fabric will be obtained. It works in co-ordination with the merchandising

department and looks after the delivery of the required goods within the scheduled time and cost.

A fabric source must have knowledge about a all varieties of fabric in order to execute their

function effectively.

FABRIC SHRINKAGE

1. Percentage of washing shrinkage lengthwise and widthwise should be received and

fabric section and recorded – the suppliers should ensure that the shrinkages are as specified by

the buyers (international standard limitsare 3% lengthwise and 3% widthwise)

2. Shrinkage is done roll to roll with CSV (centre to selvedge) and RSV (rinning selvedge)

3. If the washing shrinkage % is more that 1.5% then the shrinkage test to be conducted for

all the rolls/ bales received (100% of rolls)

FABRIC INSPECTION

In garments, four point grading system is followed in the fabric department.

All the fabrics are inspected under the 4 point inspection system. Points are assigned based on

the standard fault size for every type of fault and colored stickers are then put for the

identification of serious defects in the subsequent process.

Fault description under the 4 point inspection system:-

LEVEL POINT

0-3 inches 1

3-6 inches 2

6-9 inches 3

Over 9 inches 4


After inspection of the roll / takka is done, if the roll is passed / rejected, a sticker is put on the

respective rolls. It contains following information.

Tag used

PASS FABRIC

No-

Style no-

Colour-

Shade-

Bale no-

Total mtrs-

No of pcs-

STORAGE

Location system of storage is followed i.e. fabric packages are stored in two areas.

Checked fabric and

Unchecked fabric.

FABRIC ISSUE

The fabric store issues the fabric for cutting on Challan. All fabric is not issued at one go;

instead it is issued as required. The Challan contains information regarding style no , colour,

buyer’s name, and quantity to be issued and issued for which production unit.


3.5 ACCESSORIES STORE DEPARTMENT

The accessories department controls the accessories sourcing from various suppliers and

supply of accessories to the various departments at specified time as per requirement. The

department does the function of buying of accessories centrally. After the accessories is

delivered by the supplier the accessories department performs the function of inspection. And

after due inspection the trims are stored in the store and then are issued to the particular

department on requisition.

The obvious duty of the Trims and Accessories Store Department is to keep the stock of

different accessories and trims, Machine Accessories, Consumables and Packing materials.

Trims and Accessories like – Threads, Labels, Hand Tags, Buttons, etc;

Machine Accessories like – Needles , Presser Foot etc;

Consumables like – Oil, Grease, Chalks, etc;

Packing Materials like – Poly Bags, Cartoons, Hand Bags, etc Spares of the Machines;

They also keep the stock of folders and attachments;

STORAGE

The trims and the accessories store had different racks allotted buyer wise, for

the storage of incoming trims and accessories. The goods are stored in boxes or cardboard or in

plastic bins


Thread

The thread shade number, the ticket number, tex number etc are checked.

Zippers

Zip runner, teeth of the zips, the color, and the logo should be checked.


Twill tapes

Width, color, size are checked and in case of any major damage the particular roll is

replaced.


Main label

The main label is for most important in any kind of garment, the print, and color

should be checked.


Size label

Size label indicates the size and even in this the printing matter should be checked.


Wash/care label

This label indicates the washing instruction and how the particular garment should be

taken care of.


I.D label

This is one of the most important labels, in this label the “Identity” number of the

manufactured company is printed, this helps the buyer to identify the vendor of the particular

style.


Price tickets

Size number, style number, color, code number, and price are indicted in this label.

Bar code label

This used for computerized record, while the garment is sold, this bar code, size, shade,

manufacturing country, and also the price.

Poly bags


The poly bags are used as per buyer specifications. In poly bags there are 2 main kinds,

master poly bag and individual poly bag packing. The printing matter, dimension of the bag is

checked so as it fit the garment.

Carton boxes

The box dimension, printing matter, net weight, packing ratio, size and shade all these

information should be checked.

VISUAL CHECK


The items were checked for shade, color, type, style, write up, etc. as per the

specification sheet. If required, the appropriate trims were washed as per the specification to

ensure that shade variation, bleeding do not takes place.

The department receives the BOM (Bill of Material) from the PPC, which has all

the details of the material to be ordered for a particular order in case of the trims and accessories

of the garment. While for the machine spares, consumables, attachments, etc. The maintenance

department gives the Purchase Requisition to the store department

The BOM contains

Order number

Buyer

Style

Order quantity

Shade

Quantity to be ordered

Vendor

Delivery date

Trim Card contains

Main label

Additional label

Size label

Wash care label

Content label

Loop label

Tapes and backing

Extra tags


CAD ROOM [Computer Aided Design]

Garment exports has its own CAD department for varied style garments. Garments are made

with the help of CAD software.

Functions of CAD Room

CAD department is responsible for the following functions

Determining cutting average for costing.

Making the most efficient cutting marker.

Development and alteration of patterns.

Development of size set pattern by grading.

CAD [Computer Aided Design]

CAD is an innovative approach to pattern making provided in an integrated suite of

software which includes Pattern Design, Grading, Detailing, Marker Layout and a fully featured

CAD drafting system. It is quick, powerful and accurate – yet provides the flexibility to match

your unique requirements at an affordable price – all in one software package.

Markers

Markers are layout of pattern pieces for the purpose of cutting. Great effort is made to

arrange patterns in the most material economizing manner, within the constraints of fabric type,

width, nap and fabric designs (e.g.,. plaid or stripes). This marking is done using the “marker

making software”.

Rules for marking for cutting

Align edges to minimize the number of turns for the automatic cutter.

Pieces should have a common cutting line or be separated.

Don’t let curves touch flat edges or sharp corners.

No sharp corners in the selvage (upper one – half inch of the marker)


CUTTING ROOM

Acquire fabric from fabric store

Firstly the fabric is issued according to style no, lot no, shrinkage% and left for relaxing.

Then one sixe pattern making is done and is checked by placing the hard pattern over it.

Bulk cutting

Lay wise manpower requirement must be planned.

Cutters must be trained on the methods of accurate cutting, especially for parts with deep

curves. If possible diagrammatic representation of the direction movement of the cutter

needs to be illustrated.

The size of the straight knife for cutting light weight fabrics should be 6th only.


Straight knife must be uniformly sharpened from top to bottom as frequently required,.

This ensures even sharpening along the full.

Note: If sharpening of blade is uneven/ inconsistent, it would result in uneven depth of notch

marks and variation in cutting too…

For Band knife cutting, patterns preferably made of tin should be used.

The patterns used for band knife must be changed regularly upon monitoring the wear

and tear on the pattern, due to frequent usage.

Numbering

Numbering plan must be given by the numbering incharge, specifying the style #, colour,

P.O No., Serial No,. No. Of garments cut, sizes.

All the parts shall be numbered in a pre determined sequence and at pre determined

location.

Numbering stickers gum strength (Light/Medium/Heavy) has to be decided keeping in

mind the kind of fabric being cut.

Bundling & sorting

Cuts shall be bundled in to a pre determined bundle size and will be segregated size wise

and stored in bags.

Bags shall be store in racks batch wise.

Issues of cut bundles to batches be done out as per the loading plan.

Bundled tags will have details such as lot no, serial no, size, bundle no.

Mention shade category (A, B, C) on the cut panels for easy identification and tracking.

Re cutting and End bit Control

Layers shall mark both end bits with roll number, cut- lot number, mater age – all the bits

every lay shall be bundled and given to re-cutting department.

End – bits should be always laid face up, no change in laying procedure without prior

information from the in – charge.

End – bits should be placed separately (Shade wise) to avoid discrepancies, the roll &

taka number should be written and staked separately.


.

3.6 SAMPLING DEPARTMENT

Basic workflow

The sampling department is one of the most important departments.

Sampling department directly co-ordinates with the merchandising and production department.

Sampling is done to see the how the product will look like when produced in bulk and to check

whether there are any discrepancies in the pattern are made according to the buyer’s

specification.

Merchandiser procures order from the buyer. The buyer spends specification sheet,

sketch, fabric details, stitch type etc to the merchandiser. Merchandiser fills the information

along with the details regarding costing, average, size set and approval into a style package and

hands it over to the sampling department head.

Sampling is the product development stage. It is a process by which small numbers of

garments are made of as to match the buyer requirement and to get approval from the buyer so as

to start off production. The sampled garments represent the accuracy of the patterns and quality

of production skills and technique.

Types of Samples

Proto Sample.

Fit Sample.

Pilot Run Sample.

Pre Production Sample.

Pre Size Set.

Size set.

Shipment Sample.

Details attached to the garment sampling


After the confirmation of the order, each sample sent to the buyer has the following

details attached to it with the help of a tag. It contains the details pertaining to both what the

buyer has demanded and what supplement fabric they have used.

Ref no.

Color.

Fabric.

Composition.

Description.

Quantity.

Style no./ Size.

Store.

SEWING DEPARTMENT


Functioning of the department

The production floor does production in two types, once during pilot run production

where they have to produce about 150-200 garment for new style.

The production floor will receive details like;

The style of the garment.

Number of operators required.

The batch for which the style has to be installed.

Any extra kinds of machines that are to be used for the particular style.

Target for each day.

Breakup of the production quantity.

After receiving all these details they send a request for the cut parts from the cutting and

sorting section and the request is sent to the accessories that are required for the particular style

then start the production then they start the production for the new style.

Before starting the production the production floor does a process of batch setting for the

floor which is training the operators fpr the new style that has to be produced bulk, this teaching

session will go on for 3 – 4 days maximum. After this batch setting process the production for


the next day starts with the smaller commitment i.e., may before 50 pieces for the entire day and

then the production gradually increase from 50-100-150 and so on, this will make the operators

learn slowly and precisely about the process that has to be carried out for the particular style.

Once the cut parts is received from the cutting and sorting section then the parts are

prepared and assembled according to the line that is planned. After the assembling of the parts is

done then there will be a line checking, where the shade matching and measurements are

checked and sent.

The flow of material in the production floor is through the bundle system and each

operator gets a bundle containing similar pieces and there will be about 15-20 pieces each bundle

and the operator completely finishes the jobs and sends it to the next operator to do the next

operation on them. Each bundle will contain same component of different garments. The

movement of materials within the operators in the batch line is generally zigzag motion which is

followed.

The production manager helps the planning department during planning or allocating

a particular line for the style by telling them the capacity of the line and also telling them the

capacity of the line and also telling them about the skills of the operators. Then has the

production moves on parts checking report is maintained near the “check points” in which the

garment partially finished are checked and corrected if any defects noticed. Then finally target

report is maintained in which the target %, achieved target, dispatch target is noted down per

day.

Work flow in Sampling

Pattern made for selected sizes.

Pattern sent for approval.

In case of changes the patterns are alterated.

Then again sent for approval.

The various types of approval of the garment is;

Style.

Color sample.

Fit sample.


Pre-production sample.

Only after the sample is approved by the following sampling the next process is started.

If the sample is satisfying the buyer, they order for the bulk production.

The production time any kind of style is just-45 days. Any the number of production may

vary from one buyer to another but the completion time rests the same.

MAINTAINENCE ROOM

MACHINE MAINTAINENCE

A part from having quality system and the best practices, “machine maintenance” is also

a very importance is to get quality for products. Unacceptable quality for products often results

ill-maintained machine. Break down and prevent maintenance is primarily aimed towards

reduced down time and increased life respectively, Proper machine maintenance is also

necessary to avoid causalities at the floor. The function of preventive maintenance includes

Care of the fitting.

Adjusting settings.

Oil changing.

Outward or inward reports.

Needle weekly reports.

Needle log card.

3.6 FINISHING DEPARTMENT

Soon after the garment is completed it sent for washing, and after the other finishing work is

done, such as re-checking of measurements,

Ironing.

Trimming

Buttoning.

Tighting of the buttons.

Blowing of dirt.

Shade checking.


Fabric auditing.

Workflow of finishing department

Receive from wash.

Hands feel checking.

Shade checking.

Buttons sharking.

Button checking.

Inside and top side trimming.

Inside and top side checking.

Keyhole trimming.

Dusting.

Pressing as per required standard.

Measurement checking.

Presentation checking.

Sleeves cluing.

Final auditing.

Price tag attachment.

Needle detection.

Label checking.

Folding as per standard.

Packing after auditing.

The finishing department is the department which comes after all the department and

it place an equally importance role in the final appearance of the garment. This department

includes majority of the following steps.

Shank attaching

Firstly, the marking of the buttons placing are marked in the marking section units. Then the

button is fixed with the button stitching machine.

Button Stitching Machine


The machine does not have a feed teeth instead there is another place known as Feed

Plate only but not teeth like structure as the other.

Instead of pressure foot like in other machine there a work lamp on the both sides which holds

the button in-between and gets sewn along the two holes while the fabric is placed.

Bobbin winding in this machine is fixed on top of the machine. It gets winded as the stitching is

being performed.

After the button is attached then from the wrong side wrapping is done so that the button does

not get removed. The machine operation used for this is wrapping and knotting machine.

TRIMMING

This involves the removal of extra threads from the garments at the stitched area:

PRESSING

The pressing is done after the garment has been completely inspected and the garments are

pressed on the basis of how they will be folded during packing.

SEMI – PRESSING

This happens when a garment is difficult to inspect in the crushes manner as it comes

from the washing department hence, they do a partial pressing for the garment and then inspect it

and trim it and then send it to the complete pressing process.

CHECKING


The 3 main checking processes are followed before passing it to the next section i.e.

Final checking.

Presentation checking.

Measurement checking.

METAL DETECTOR MACHINE

Before packing, the garments are passed through the metal detector machine in which

metal items like needle points are removed from this machine. It is mainly used for checking in

children garment so that no harm is made to the customers. This machine is made of magnetic so

it identifies any metal piece in the garment when passed through it.

PACKING


The packing is always done in the cartoon boxes and these are several criteria for the

packing of the garments they are as follows

There are generally 2 kinds of packing in the garments

The garment is individually packed/ wrapped in the poly bag those design will be

specified by the buyer i.e. either with the hanger attached or plain poly bag packing and

then entire garment (as per the packing criteria) is arranged in the cartoon box.

The other method is that the garments are just folded and arranged in the cartoon box

without putting them in the poly bag.

The packing criteria followed in each cartoon box as already mentioned is done in different ways

which is as follows;

Solid Packing

In this method of packing, the cartoon box will include garments of single color and

name size.

For example: 20 shirts of a similar color and the size say‘s’ will be put in one box.

Ratio packing

In this method the cartoon box includes garments of same color but of different sizes

according to the ratio;

For example; S: M: L: XL-5:7:7:5

Mixed packing

In this method the cartoon box include garments of different color but of same sizes in a

particular ratio form.

After the packing is done the garments are kept in the stones until the buyer sends the

buyer AC for the inspection purpose before delivering them and over the QC arrives he

will check them according to the AQL level and they see if the garment has to be

accepted or rejected.

Work flow of packing section


They check for perfect pressing.

Check for the neat trim of top side and inside.

Check of folding, as per specified standard.

Arranged the garments in specified order.

Arranged according to size.

3.7 PURCHASES DEPARTMENT

Objectives

Make sure of continuous availability of materials.

No excessive investment in materials.

Make sure of minimum wastage.

Make sure of the purchase price being reasonable and that matches the quality and

service.

To upgrade technical efficiency of production.

Functions

The two functions of the Purchase department at texport overseas are as follows

Preparing indent for materials to be received by the user department.

Placing purchase order of different raw material required from production.

Proper buying of materials, merchandise and procurement of the material at the right

time is of great importance in any business. Purchase department at Texport ensures that

materials are obtained at right time with required quantity at required place from right source and

at a right cost, so that there is smooth flow of production.

There are about more than 200 suppliers of raw materials in Texport Overseas. Raw materials

will be ordered through placing a purchase order with the respective suppliers.

FUNCTIONS OF STORE DEPARTMENT


Goods should be stored properly so as to protect from danger, deterioration, theft,

pilferage etc.., hence care should be taken to safeguard the material. The stores department at

Texport performs the following main functions.

Receipt of goods into stores department.

Protection of materials.

Issue of materials to the different departments.

Maintain stock of materials.

Maintain records.

PROCEDURE TO RECEIVE THE GOODS

Indent of materials to be received from the users department.

Purchase order is placed.

Receiving the goods along with the invoice/ delivery challan.

Preparation of goods received report.

Sending goods received note (GRN) to purchase department and accounts department.

The payments for different materials are made according to the payment schedule.

DOCUMENTS MAINTAINED IN STORES DEPARTMENT

Bin slip.

Stores ledger.

Goods received report.(GRR)

Goods received note.(GRN)

Stores requisition issued note (SRIN)

Delivery note.

Purchase indent.

Purchase order.

3.8 DOCUMENTATION DEPARTMENT

This department is constituted exclusively for import and export functions, with the

working strength of 8 people. Documentation department serves as a facilitator for the imports

and exports.


DOCUMENTATION REQUIRED FOR EXPORTS

The following are the basic documents used in export transactions

Approval from AEPC (Apparels Export Promotion Council).

Approval from chamber of commerce3.

Invoice(gives description of goods)

Export packing list inspection certificate.

Order copies of party.

Bill of lading.

Shipping bills/bills of export.

EXPORT PROCEDURE

First, enquires are received from foreign buyer and also from Merchant exporter.

Texport overseas garments will forward the price list, Export brochures and other

relevant information.

The foreign buyer will negotiate on price and other terms and conditions.

An acceptance of the terms and conditions of an price, a proforma invoice is sent to the

buyer for advance payment of full value of the order of for opening an irrevocable letter

of credit payable at sight.

On receipt of the confirmed order with payer’s letter of credit the production is taken up.

The moment the goods are ready it is normally packed in containers,

On pre-shipment, the documents are prepared and the consignment will be handed over to

the shipping owner for the shipment to the concerned port form any Indian ports.

After the consignment is put on board of ships, the shipping agent will handover ‘The bill

of lading’ (3 copies), non-negotiable copies and other post shipment copies like GR

forms, shipment bills etc.

4 SWOT ANALYSIS

A scan of internal and external environment is an important part of the strategic planning

process. Environmental factors internal to the firm usually can be classified as strengths(S) or


weakness (W), and those external to the firm can be classified as opportunities (O) or threats (T).

Such an analysis of the strategic environment is referred as SWOT analysis.

4.1 STRENGTHS

Strong market in USA and Europe.

The garments made are of world class quality.

Full in- house production capacity.

Huge work force.

Customized product.

4.2 WEAKNESS

Weak publicity.

Dependence on cotton fabric coupled with poor and low quantities.

Low productivity rate, because of low investment in Research and Development.

Less shares in the domestic market, as the exports are mainly to Europe and USA.

4.3 OPPURTUNITIES

Greater demand for the product in USA and Europe.

Growth in the domestic market.

Use of new technologies may add upon for the quality of the product.

Implement training and development program.

4.4 THREATS

Currency fluctuations.

Global recession.

Emergence of new manufacturer’s with the updated technology.

5 FINDINGS AND SUGGESTIONS

FINDINGS

From the available data, following analysis is made with regard to “ORGANISATION

STUDY OF TEXPORT OVERSEAS PRIVATE LIMITED”


International Standard that is being followed as far as the quality of the products is

concerned.

Has well trained employees to operate the machines.

Provides excellent services to its employees like canteen, medical facilities,

transportation etc.

Premises are huge and designed in such a way that the raw materials can easily

transferred from one department to another.

Safety is given main preference.

Discipline is being followed within the campus.

Pollution level is low.

Quality of the products is assured by doing nine different quality tests.

Excellent training and development system.

Employee performance appraisal system.

No discrimination for race, religion, decision making and actions.

Texport Overseas have undertaken several development programmes for the welfare of workers.

They have also taken measures to make the work environment more efficient.

SUGGESTIONS OR RECOMMENDATIONS

Taking the factors discussed in the earlier sections into considerations, I would like to give some

suggestions / recommendations towards organization and its work style.


Research and Development has to be carried out so as to compete with latest

technological advancements in the field of textiles so that the company can stay

competitive and reach the higher goals.

Skills improvement and use of new technology needs to be kept in mind in order to

increase productivity.

The company has to integrate itself in terms of either producing the raw material in

house or within group companies.

The company should diversify, that is, start or enter the domestic or overseas market

with its own brand.

The company can also think over the vehicle parking facilities for the workers and

staff.

Management needs to give complete knowledge about the duties and responsibilities

to the workers.

CONCLUSION


Texport Overseas produce ready-made garments. The staff and workers at Texport were very

friendly and encouraging. Major portion of the produce will be exported. Texport Overseas has a

very strong market in USA and Europe.

It’s my pleasure to do my Organizational Study at “TEXPORT OVERSEAS PVT LTD”.

It was a great opportunity for me to get exposed to all functions and activities of an organization,

at Texport. This Organizational Study has enriched my knowledge on industrial practicalities.

Through this Organizational Study, I learnt a lot about the organization activities, which is really

impossible by studying at textbook.

BIBILOGRAPHY


Website

www.texportoverseas.com

BOOKS REFERENCE

Dr.K.Ashwathappa, Human Resource and Personnel Management, fourth edition, Tata

McGraw hill publishing company limited, New Delhi.

Prasanna Chandra, Financial management, Tata McGraw hill publishing company

limited, New Delhi.

.


http://www.texportoverseas.com/