Nithyakalyani - Main Chapters

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Chapter 1

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IntroductionCHAPTER 1

INTRODUCTION

An organization is a socialentitythat has a collective goal and is linked to an external

environment. The organization chosen by me for summer project is Sree Kaderi Ambal Mills

!" #imited$ Sivagangai %istrict. &eason for selecting this company is to kno' more about

the Structure and (unctions of the organization.

The methodology adopted for the study 'as observation$ study of records and directintervie'. )arious departments 'ere visited and data 'as collected about the structure and

functioning of each department. The overall structure 'as studied along 'ith the functioning

of various departments such as !urchase$ !roduction$ *uality$ +lectrical$ Stores$ !ersonal$

(inance and Marketing.

,

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Chapter 2Page 3


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Industry ProfleCHAPTER 2

INDUSTRY PROFILE

Indian Textile Industr

Intr!du"ti!n

-ndian textile industry is one of the leading textile industries in the 'orld. Though 'as

predominantly an unorganized industry even a fe' years back$ the scenario started changing

after the economic liberalization of -ndian economy in //. The opening up of economygave the much0 needed thrust to the -ndian textile industry$ 'hich has no' successfully

become one of the largest in the 'orld. -ndian textile industry largely depends up on textile

manufacturing and export. -t also plays a major role in the economy of the country. -ndia

earns about 123 of its total foreign exchange through textile export. -ndian textile industry is

also the largest in the country in terms of employment generation. -t not only generates jobs

in its o'n industry$ but also opens up scopes for the other ancillary sectors.

The Textile industry in -ndia traditionally$ after agriculture is the only industry that

has generated huge employment for both skilled and unskilled labour. The textile industry

continues to be the second largest employment generating sector in -ndia.

4ur economy is largely dependent on the textile manufacturing and trade$ in addition

to other major industries. About 123 of the foreign exchange earnings are on account of

export of textiles and clothing alone. Around 53 of the total excise revenue collection is

contributed by the textile industry. So much so$ the textile industry accounts for as large as

13 of the total employment generated in the economy. Around 67 million people are

directly employed in the textile manufacturing activities and it is the second largest provider

after agriculture sector. -ndirect employment including the manpo'er engaged in agricultural

based ra'0material production like cotton and related trade and handling could be stated to be

around another 89 million.

-ndian textile industry can be divided into several segments$ some of 'hich can be

listed as belo':

,otton textiles

Silk textiles

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;oolen textiles

&eadymade garments

BSC .9@ billion? during April 1999 to (ebruary 196.

Some of the major investments in -ndian textile industry are:

S'edish retailer &usta plans to import -ndian textiles and handicraft 'orth &s 199

crores >BSC 68.76 million? annually over 60@ years.

-ndia plans to set up a textile training institute in Kaduna state$ Digeria$ as per %r.

Milan Sharma$


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ritish clothing brand Superdry plans to open 19 stores in -ndia over the next five

years$ as per Mr =ames TB(S? to continue in 1 th !lan 'ith an

investment target of &s 7$999 crores >BSC 12.75 billion?.

&s 79 crores >BSC /.6 million? 'ere allocated to Ministry of Textile to incentivize

setting up apparel parks 'ithin the Scheme for -ntegrated Textile !arks >S-T!? to

house apparel manufacturing units.

A ne' scheme called the -ntegrated !rocessing %evelopment Scheme 'ill be

implemented in the 1th!lan to address the environmental concerns of the textile

industry.

;orking capital and term loans at a concessional interest of 8 per cent to handloom

sector.

Scheme of (und for &egeneration of Traditional -ndustries >S(B&T-? extended to 599

clusters during the 1th!lan.

R!ad A)ead

The -ndian textile industry is set for strong gro'th$ buoyed by both strong domestic

consumption as 'ell as export demand. The industry is expected to reach BSC 119 billion by

1919$ according to the estimates by Alok -ndustries #td.

The ,entral Silk oard sets targets for ra' silk production and encourages farmers

and private players to gro' silk. To achieve these targets$ alliances 'ith the private sector$

especially major agro0based industries in pre0cocoon and post0cocoon segments have been

encouraged.

(or the textile industry$ the proposed hike in (%- limit in multi0brand retail 'ill bring

in more players$ thereby providing more options to consumers. -t 'ill also bring in greater

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investments along the entire value chain 0 from agricultural production to final manufactured

goods.

;ith consumerism and disposable income on the rise$ the retail sector has

experienced a rapid gro'th in the past decade 'ith several international players like Marks E

Spencer$ Guess and Dext having entered the -ndian market. The organized apparel segment is

expected to gro' at a ,ompound Annual Gro'th &ate >,AG&? of more than 6 per cent over

a 9 year period.

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Organiational

ProfleCHAPTER *

OR(ANI+ATIONAL PROFILE

Sree ,aderi A'-al #ills .P/ Li'ited

Sree Kaderi Ambal Mills !" #imited$ Sivagangai %istrict 'as the visionary of late

Shri.A.&.Sevugan ,hettiar to provide employment to the people of his native village. The

company had commenced operation in /56 'ith a spindelage of 1$@15 spindles$ since

then they have gro'n from strength to strength standing at a present capacity of

77$661 spindles$ 28@ doubling spindles $ 7628 T(4Fs T'o (or 4ne T'ister" and 18

&otors.

The coexistence of modernization along 'ith continuous expansion has made asignificant contribution to the gro'th of the company. As al'ays$ a committed 'orkforce of

over 599 people has been a pillar of strength in the mill.

The company has @ units 'hich are located in the same premises and the details of

each unit are given belo' in the table form.

Ta-le *01 Unit ise details !3 Sree ,aderi A'-al (r!u4 !3 #ills

SREE ,ADERI

A#5AL (ROUPOF #ILLS

SPINDLES ROTORS DOU5LIN(SPINDLES TFO6s YARN PRODUCTIONIN TONES7ANNU#

Bnit A 15$6@5 0 28@ 0 1199

Bnit /$29@ 18 0 7628 299 H 799

Bnit , /$/68 0 0 0 /79

Bnit % 2$6@@ 0 0 0 899

T!tal 889**2 : : : :

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#ilest!nes

Ta-le *02 #ilest!nes !3 Sree ,aderi A'-al (r!u4 !3 #ills

YEAR INCIDENTS/56 ,ommissioned 1$@15 Spindles.

/55 ,apacity expansion - 'ith 1@59 Spindles.

//9 ,ommissioned 821 &otors.

1991 ,apacity expansion -- 'ith //68 Spindles.

199@ ,ommissioned 75@@ %oubling Spindles.

1997 ,ommissioned 6@78 T(4 Spindles.

1998 ,apacity +xpansion --- 'ith 6@@ Spindles.

1992,apacity expansion by 26@@ Spindles.

1995 ,ommissioned 6 Dos. 4f ;ind +nergy Generators$ each of 899 K; capacity.,ommissioned 619 %oubling Spindles.

19 ,ommissioned Savio make !olar # model Auto ,onners 5 Dos. having 21 drumseach. ,ommissioned 71 T(4 in March 19.

191 ,ommissioned 285 T(4 in (eb 191.

Pr!du"ts

N!r'al Yarns

10 O4en End Cate;!r

20 Rin; S4un Yarn Cate;!r

8s I 59s both 993 !olyester and !, blends.

All yarns can be provided in both carded and combed category.

*0 Rin; D!u-led < TFO Yarn "ate;!r

All yarns can be manufactured in 'hatever blend proportion the buyer reJuires. And

the polyster fibre reJuired can be dull$ optic 'hite$ high tenacity$ etc.

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S0NO CO#POSITION COUNT

993 ,otton 8s

1 993 ,otton 9s

6 993 ,otton 8s

@ !olyester ,otton lend 9s

S0NO CO#POSITION COUNT

993 !olyester 178s >Se'ing Thread I Bndyed?

1 !, 189s

6 !, 129s

@ !, 128s

7 !, 169s

8 !, 179s

2 !, 159s


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S4e"ialt Yarns

@9s !, Slub Larn.

81 s !,


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Chapter 4

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#ole o$ %arious

&unctional'epart(ents

CHAPTER =

ROLE OF >ARIOUS FUNCTIONAL DEPART#ENTS

=010 C!tt!n De4art'entased upon the reJuirement$ Sree Kaderi Ambal Mills !" #imited 'ill purchase

cotton staple 'ise through agents. The agents 'ill send the sample. Then$ the mill 'ill fix the

rate per candy based upon the market rate and as per delivery schedules. Then$ the sample

'ill go for final approval. After that$ the agent 'ill dispatch the cotton staples. After getting

approval from the Managing %irector$ particular lot 'ill be issued for further processing.

=020 Pr!du"ti!n De4art'ent

The production activities of the unit are briefly explained belo':

Fi;ure =01 Fl! C)art !3 Pr!du"ti!n A"ti&ities

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5l! R!!'

Fi;ure =02 C!tt!n Lain; in 5l! R!!'

-n this section$ the

mixed cotton is processed and given. The output of cotton is in laps form. -n this process the

'aste cotton 'ill be removed.

Cardin;

,otton is fed into the carding machine and individual fiber is separated and cleared by

the 'ire points in licker. Deps are removed and delivered as cylindrical rope called OSliverP

and is collected in cans.

Fi;ure =0* Cardin; Pr!"ess

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Drain;

-n this process$ the sliver form is put into process and it 'ill give output of one

dra'ing sliver. -n this section$ the eight dra'ing silvers are put into process and given an

output of one finished dra'ing sliver. 4ne finished dra'ing sliver consists of 8@ silvers.

Fi;ure =0= Drain; Pr!"ess

Si'4lex

-n this section$ the roving ends are converted into thick yarn and collected in one

hundred and t'enty bobbins. Top rolls spinning are arranged in @59. The roving type of yarn

is converted into yarn cops form. The cops form of yarn 'ill be collected in cops in purified

form.

Fi;ure =08 Si'4lex Pr!"ess

?indin;

-n this section$ the yarn in cops form is processed and given final products of yarn

form and it 'ill be collected in cones 'ith reJuired 'eight. The finished product 'ill be

collected and issued to the packaging department.

Fi;ure =0@ ?indin; Pr!"ess

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Pa"$in;

-n the !acking %epartment$ the finished goods are packed in the container boxes and

supplied to the purchaser.

=0*0 ualit C!ntr!l De4art'ent

The final yarn 'hich is ready is tested for various parameters in the *uality ,ontrol

%epartment. -n the Juality control department$ everything from cotton procured from the

market to final yarn are tested in every process.

? ,otton is tested for its fibre length$ uniformity$ micronaire value$ fibre strength$

trash content$ moisture content etc.

1? -n each and every process like blo' room$ carding$ dra' frame$ comber$ simplex$ring frame$ etc.$ the final product if that process for the reJuired parameters and any

correction to be made in the process$ it 'ill be done immediately to maintain Juality.

Fi;ure =0B Testin; Pr!"ess

6? The final yarn 'ill be tested for count$ count ,)3 strength$ strength ,)3$ &KM$

uniformity 3$ thin places$ thick places$ neps hairiness$ T!-$ elongation$ classimat faults etc.

before it is delivered to the end user.

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=0=0 St!res De4art'ent

Stores %epartment is closely connected 'ith all other departments. -ts important

function is to supply the reJuired material to the concerned departments. The stores

department deals 'ith machine$ spare parts$ oil electronic items$ stationeries$ packing

materials etc.

Pur")ase Reuisiti!n

!urchase of materials initial through purchase reJuisition. !urchase reJuisition is an

indent placed to the purchasing department for purchasing the reJuisition materials. !urchase

department looks better the Juantity specification and the date of supply and this become the

basic for action of the purchase department.

Pur")ase 4r!"edure

!urchase procedure varies according to the conditions and needs of individual

undertakings. The follo'ing are the essential steps in purchasing procedures:

. &eceiving purchase indent.1. &eceiving Juotation from suppliers.6. -dentifying the economic order Juantity.@. !lacing order 'ith the suppliers.7. (ollo'0up and expenditure actions.8. &eceipts$ inspection$ storage and processing of reflection and discrepancies.

S!ur"es !3 su44l

The purchase department collects the sources of supply for various items and also

refers the list of suppliers based on their prior delivery characteristics$ reliability after sales

services offeredN prompt replacement of damaged$ defective goods$ etc$ and the regular

purchase from a fe' preferred suppliers.

Issue !3 Pur")ase Order

After finalizing the Juotation of the supplier and after the approval by the !urchase

,ommittee in the unit$ purchase orders are all placed 'ith the approved and selected

suppliers.

Fun"ti!n !3 St!res De4art'ent

. &eceiving purchase indent1. Stock verification6. ,ollection of Juotation@. !lacing orders7. 4rders follo'0up

#aintenan"e !3 &ari!us re"!rds

St!res Inard Re;ister

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-n this register$ entries are made regarding particulars of supply receipt number$ date$

stores account$ stores ledger folio and partyQs account etc.

Returna-le (ate Pass Re;ister

+ntries have been made in the gate pass register 'hich contains the details of material

sent out for repair and the like. -t also contains the name of the company to 'hich it has been

sent$ description of the goods sent. -f the materials sent out had been received back$ then the

incoming date is entered in the register.

St!re Issue Sli4

The department should mention their reJuisition of materials in store issue slip. This

slip consists of number of Juantity reJuired and the description of articles reJuired.

=080 #aintenan"e De4art'ent

Maintenance activities like inspection for faults$ oiling$ cleaning$ adduction$ trail

testing etc. are essential for the up keep and economic running of the eJuipment. ;ith three

shifts of seven days 'orking$ the maintenance is reJuired to be more effective. The

maintenance may be divided into cleaning$ servicing$ lubricating and replacement. The

cleaning and servicing must be done at the end of each shift. The oiler during this time should

take the opportunity to either grease or oil the machines. Some of the points are given belo'

reJuired for a routine inspection.

Greasing of all rotating parts

&emoval of 'aste beaker$ chamber$ cases and grid bars.

,leaning of beaker chambers cases and grid bars.

The maintenance engineer shall be responsible for co0ordination and management of

engineering activities of the !lant such as:

. Management of +lectrical System$ Air ;asher and Air ,onditioning System$

+lectronic ,ontrols etc.

1. !reventive and !redictive Maintenance6. !roper control of spare parts and its consumption.

@. Supervising maintenance team

7. !reventing breakdo'ns

8. +nsuring optimum utilization and proper running of machines

2. !o'er saving initiatives

5. -S4 /999$ -S4 @999 and other regulatory administration

/. Safety management of the plant

=0@0 C!'4uter De4art'ent

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Do' a day$ no organization can leave behind the use of computers. To such extent$ it

has become a part of an organizationQs progress. +ven in small organization also$ computers

have replaced manual labour. The 'ork of accounting section and almost all other sections

are reduced to a greater extent by the use of computers. -t helps to reduce the cumber some

manual 'ork in production of payroll 'hich is most important one to a greater extent. 4'ing

to this$ the employees are provided 'ith their 'ages at correct time in a speedy manner. -t

also helps storing the data.

;indo's and (4RAS+ environment plays an important role in Sree Kaderi Ambal

Mills !" #imited for daily transactions.

=0B0 Pers!nnel De4art'ent

!ersonnel department is playing a vital role in organizing the abilities of the person

'ho are 'orking in an organization to get the maximum result from them to achieve the

common goal of the organization. The department takes all those activities that are concerned

'ith human control relationship. -t is concerned 'ith the creation of harmonious relationship

among the employees and employers.

-n Sree Kaderi Ambal Mills !" #imited$ the personnel department is headed by the

personnel officer Mr.A.Thiru )enkadam. The mill 'orks for 1@2 in three shifts 'hich are as

follo's:

Shift I : 2 a.m. to 6 p.m.

Shift I 1 : 6 p.m. to p.m.

Shift I 6 : p.m. to 2 a.m.

Attendance is marked 'ith blue ink for the shift I $ red ink for the shift I 1 and green

ink in shift I 6.

!ersonnel department consists of the Time Keeping Section. This section is headed by

Mr.M.Dagappan. -f any labour 'ho enters the gate for the job 'ill drop his identity card in

the box provided for this purpose. The person responsible for time keeping 'ill collect those

cards and mark attendance of their arrival.

;ages for labours are usually calculated based on t'o methods namely piece rate

method and time rate method. The 'ages are paid to the 'orkers on fourth of very month

after deductions like insurance premium$ festival advance etc. All the other staff members are

paid on first of every month.

=00 Finan"e and A""!unts De4art'ent

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The success of every organization depends upon their effective utilization of finance.

-t is the backbone for the business activity. The accounts department in the mill is headed by

the senior account officer 'ho is assisted by officers and cashier. All the accounting activities

are fully computerized in the mill.

O-e"ti&es !3 Finan"e De4art'ent

. To acJuire adeJuate funds reJuired for achievement of the objectives and determine

the optimum mix of obtaining funds.1. To ensure that the funds available to the company are used in the most profitable

manner.6. To disperse the profit earned by the company to the best advantages of the

shareholders and the company.#ain 3un"ti!ns !3 A""!unts De4art'ent

&eceiving of invoices

Accounts receivable

%iscounting of bills 'ith ank

(ollo' up realization of bills and

All other accounting related matters

=00 #ar$etin; De4art'ent

Marketing is the process of communicating the value of a product or service to

customers$ for the purpose of selling that product or service. -t deals 'ith identifying and

meeting human and social needs. 4ne of the short definitions of marketing is OMeeting needs

profitabilityP.

The marketing department is headed by a Marketing Manager. All planning and

strategy formation regarding the marketing activities of the company are devised$

implemented and promoted by this department. Marketing concept may be defined as a

customer oriented philosophy that is implemented and integrated in organization to serve

customers better than competitors and achieve specific goals. -t means the philosophy$ belief

or attitude of the management of the firm 'hich guide its marketing efforts. ut the modernconcept is not confined to selling only. -t takes into account an interaction of several business

activities of customer need and desires.

The marketing department of Sree Kaderi Ambal Mills !" #imited is headed by

General Manager of marketing. Marketing information are collected from various years depot

through local representative and analyzed by market department. The company having yarn

basis sales committee headed by General Manager of Marketing$ GM Technical $ GM of

Mills. The committee 'ill revie' the marketing information and finance the product and

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price of different count of yarn. The yarn products are developed according to the demand

received from the market.

=01G0 Sales De4art'ent

Sales department consists of MS! >Manager 0 Sales !romotion? 'ho handles sales

promotion service and S&M >T?$ >Senior &egional Manager for Trading? 'ho handles traded

products. ,hief Sales Manager 'ill provide staff assistance to divisional heads of sales

department 'ho exercises overall supervision of field sales besides coordinating the sales

promotion activities.

Fun"ti!ns !3 Sales De4art'ent

Monitoring of Sales in the area

Monitoring of prices and terms of Kaderi Ambal Mill products 'ith competitors

!rocessing credit proposals for dealers and institutions.

!rocessing proposals for extending special incentives credit terms to dealers.

,ommittee 'ork for appropriate cancellation of dealers

!rocessing proposals for special agreements sales terms 'ith bulk buyers

Sales force motivation through internal and external training programmes.

!rocessing and sending replies to audit Jueries at divisional level.

Monitoring over due and outstanding of credit management

,o I ordination of sales promotion and market developmental activities

Supervising and controlling the sales promotional activities

Dire"t sales

y preparing direct invoice$ the products are sold to the customers directly.

De4!t sales

-n depot sales$ agents are appointed at different places like Tirupur$ +rode$ Salem$

,hennimalai$ Karur and Madurai. As per the reJuirements of the agents$ the product is sent to

the depot sales. Agents sell the products in their o'n name.

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Chapter 5

ConclusionCHAPTER 8

CONCLUSION

This summer project training 'as very useful to acJuire kno'ledge from various

departments of Sree Kaderi Ambal Mills !" #imited. The training 'as useful to learn various

management skills and and ho' to organize the team for success. This company is improving

their Juality$ good'ill$ market value and they are giving job opportunity to so many people.

They are the strength of the companyQs gro'th. -n the short span of summer project$ the

company management provided me a good exposure to the 'orking set up in detail.

The training has given a deep sense of understanding as to ho' an organization takes

efforts in producing a product as an effective one and ho' it can be good in competing 'ith

its competitors.

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#e$erencesREFERENCES

'''.kaderiambalmills.com

'''.ibef.orgindustrytextiles.aspx

'''.textileindia.com '''.textileindustry.com

Annual reports of the ,ompany

&eports and manuals of various departments of the company

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Documents

Nithyakalyani - Main Chapters