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Sun creations SURANA COLLEGE PG CENTRE 1

Usha Project

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Page 1: Usha Project

Sun creations

SURANA COLLEGE PG CENTRE 1

Page 2: Usha Project

Sun creations

INTRODUCTION AND DESIGN OF THE STUDY

INTRODUCTION

The garments industry in India is one of the best in the world. An

extremely well organized sector, garment manufacturers, exporters,

suppliers; stockiest and wholesalers are the gateway to an extremely

enterprising clothing and apparel industry in India. There are numerous

garments exporters, garments manufacturers; readymade garments exporters

etc. both in the small scale as well as large scale.

Garment Manufacturing and Export industry, which most of us know is the

real engine of growth for the whole textiles sector in India. Without

substantial and quick development of this sector, there is not much scope for

the growth of Indian Textiles for exports. Foreign buyers look for a complete

package as finished product and not only fabric. Most of the far-eastern

countries especially China have developed there textile sector on the

strength of garment industries in their regions. So we have to take a proven

track for our growth.

Title of the study

“A report on Organization study on Sun creations”

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Objectives of the study

The main aim of this study is:-

To study the organization as a whole.

To gain insight of the various departments in the organization.

To know the organization structure.

To know the functions and operations of the structural performers in

the organization.

To know Quality issues and practices in the organization.

To conduct SWOT analysis.

To study the manufacturing opportunities and make appropriate

suggestions.

LIMITATIONS

Though the present study aims to achieve the above- mentioned

objectives in full earnest and accuracy, it may be hampered due to certain

limitations. Some of the limitations of this study may be summarized as

follows:-

The findings could not be fully generalized.

Detailed information of the particular department may not be

completely revealed.

Time constraint.

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PROFILE OF TEXTILE INDUSTRY

The garment industry has emerged as a dynamic and booming industry.

This trade has got socio-economic importance as it is essentially a labor in

extensive industry and has the potential to generate wide spread employment

particularly of rural and backward areas. The rapid growth of this industry in

the last few years revealed the massive export potential. 

The entrepreneur are setting up new factories and trying to employ more and

more professional to take care of senior positions of their organization. To

teach the various technical stages of garment making. Companies should

also gear up with sophisticated machineries and proper infrastructure with

pleasant environment to take care of the required quality standards and to

meet the healthy competition in the international market.

It is a major foreign exchange earner and, after IT, it is the largest employer

with a total workforce of 35 men. In 2007 textile and garments accounted

for about 18% of industrial production. The industry covers a wide range of

activities. These include the production of natural raw materials such as

cotton, Jute, silk and wool, as well as synthetic filament and spun yarn.

In addition an exclusive range of finished products are made. The Indian

textile industry accounts for about 23% of the world’s spindle capacity,

making it the second highest after china, and around 6% of global rotor

capacity.

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The industry has presence of large-scale production units a well a small-

scale independent units. The industry is manufacturer driven with spinning

having large scale operations and the retailing as the weakest link. However

now India has reached more customers, due to our growth in vertical set up

has grown international.

Government policies will promote textile exports. By providing those

subsidiaries of 8.8%.However lack of advanced processing capabilities,

Economies of scale and Fragmented industry structure are some concerns to

be addressed.

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COMPANY PROFILE

SUN CREATIONS is a Bangalore-based, private garment manufacturer

promoted by Sathish kumar,

an eminent educationist, garment-specialist and entrepreneur from the

Garden City.

The garment unit is located centrally in the city and is only 20 minutes by

drive from the Bangalore City Central Railway Station, on an 11,500 square

feet plot located in a pleasant, pollution free site.

The layout of the unit is well planned and Operating which has 11 years of

experience in the Indian garment industry. Best-in-class business practices

ensure that Sun Creations is a professionally organized and managed

company with an excellent track record spanning more than 7 years. 

Sun Creations, which was started in the year 1996 under the name DRSR

Exports, changed its name to ‘Sun Creations’ in 2005. With steadily

growing demand over the years,

Sun Creations opened a new factory in the year 2003 with a production

capacity of 1000 pieces per day.

Our facility is AQL-standard compliant and has found to be to the

conformity with our clients’ norms.

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We are currently operating at a 2.5 AQL Level.  With all operational

controls under one roof, there is always 100% monitoring and control of

quality.

Location:

The building is of total area of about 9000 Sq ft

with the possibility of expansion of each chain.

The installed capacity of stitching is about 1000 pieces per day. 

The fabrics used are

Cotton

Viscose

Cotton/ Viscose

Polyester Cotton

Cotton Lycra

Yarn dyed stripe

Synthetic fabric

Denims

Poly Viscose

Moss Threads

Twill

Georgette

Moss-crape

Water proof fabric and many more.

Vision

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SUN CREATIONS envisions a place for itself among the top firms in the

Indian garment export industry, with maximum customer satisfaction and

retention.

Mission

SUN CREATIONS business is to Manufacture Ready Made Garments for

Men’s, Ladies and Children’s.  Our Aim is to exceed Customer's expectation

through innovation, continuous quality improvement and people

involvement.

We will profitably grow along with stake and achieve market leadership in

the core segments of our Business.

Core Values

Always strive to satisfy our clients

Always maintain highest ethical standards

Work hard, respond quickly and learn continuously

Work as a team by minimizing inefficiencies and communicating

openly

Support innovation, creativity and enterprise

Care for our clients, as they are assets of the company

Treat our client as a partner in our progress

Always strive to improve the performance of the company.

Motto

“TOTAL QUALITY & CUSTOMER SERVICE”

Clients:

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The clients are the heart of the business and all the actions of the company

must lead to their satisfaction.

People:

People are the greatest asset and strength.  All success will only be achieved

through their involvement and teamwork.

GUIDING PRINCIPLES

Quality means satisfying customer requirement, which is our top priority.

To achieve this, the work we do must be right first time.

Continuous improvement means we must eliminate waste in all areas of

the business, such as scrap, rework, excess inventory, overlap and

duplication.

We must expose and solve problems at source, putting our efforts into

prevention.

We must evolve our processes to meet the changing customer need,

always to improve quality, reliability and responsiveness.

Dealers and our sales teams are our link to the customer, suppliers are our

partners.  We must work together to meet our common on objectives.

Good working relationships are founded on trust, respect and fairness. 

We work as a team to solve problems in an open and constructive

manner.

A good reputation is hard won and easily lost.  We must conduct our

affairs within the company and in public to the highest standard of

honesty and integrity.

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Equipments

SUN CREATIONS is equipped with the state-of-the-art garment

manufacturing machines like Juki and

Single needle Sewing machines (100Nos make JUKI), Eastman Cutting

Machine, Ramson Steam Press 05nos, Fusion machine o1. 

Factory runs with a Electricity power of 75 HP and back-up power of 82.5

KVA.

WORK FORCE

SUN CREATIONS has engaged nearly 150 skilled and 50 semiskilled

employees who are qualified to carry out high quality production.

List of Equipments

SL

NODESCRIPTIONS BRANDS MODEL NO

NO

OF

M/C

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1SINGLE NEEDLE LOCK

STITCH M/CJUKI 5530 55

2SINGLE NEEDLE AUTO

THREAD CUTTING M/CBROTHER   12

3SINGLE NEEDLE LOCK

STITCH M/CBROTHER   40

4SINGLE NEEDLE EDGE

CUTTER JUKI   8

5STRAIGHT KNIFE

CUTTING M/C 8”EASTMAN

629 BLUE

STREAK2

6 FUSING M/C HASHIMA HP 440 1

7 DOUBLE NEEDLE JUKI   12

8 SNAP ATTACHNG M/C NAGAI SING NS-45 4

9 OVER LOCK JUKI 2366N 12

10 BARTAK M/C JUKI   5

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11 KEY HOLE LSM   1

12 BELT MAKING M/C KANSAI   2

13 FEED OF ARM JUKI   2

14 IRON TABLE     5

15 GENERATOR   82.5KV 1

 

Business Partners

SUN CREATIONS produces all kinds of Woven Garments for Ladies,

Men’s and Kids.

We are proud to be associated with the following Prestigious Clients as their

vendor:

      Gokuldas Images and Exports

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      Next Fashion Export

      Awesome Sports wear

      Karle Exports

      All-time Fashion

      Silk Fashion Exports

      Choudhary Exports B Sorabji Etc

Following are the labels Manufactured for the above mentioned

partners

      Nike

      Reebok

      H &M

      Wal-Mart

      C &A 

      Zara

      Allen Solly

      Peter England

      By ford

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Export Brands

•    WOOLRICH, U.S.A

•    CAILLOU

•    LPPSA, FRANCE

•    PRIMER ROLE, FRANCE

•    ARVIND (LEE KIDS)

•    KIABI, BABIES & LADIES

•    MAUI & SONS , FRANCE

 

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PRODUCT PROFILE

Product range:

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Sun creations is one of the pre-eminent Manufacturer and Exporter of

Fashionable Ready-made Garments like Ladies Skirt, Men’s Jacket, Ladies

Top, Men’s Shirt and Ladies Trouser. The company also has its own well-

established sources for fabrics and trims so as to enable it to give garments a

finishing touch at a cost-effective price. The company also believes in

service, quality and on-time deliveries.

Other range includes regular tennis and boxer shorts in knits and woven,

basic T-shirts, formal shirts, trousers etc.

Customer’s Details:

Sun Creations has major clients in India as well as abroad. Few of them are listed as

follows:

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Clients DetailsClients Details

IndiaIndia Foreign Foreign

Madura goats Indus lease

Premier role, Zolla Cotton division

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ORGANIZATION CHART

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Director

HRD MGR

GEN MGR FINANCE

MARKT MGR PRODUCTION MGR

HRD OFFICER

MGR ACCOUNTS

SR.OFFCIER MARKETING

ASST MGR PRODUCTION

HRD ASST ASST MGR

ACCOUNTS

MERCHANDISERS SUPERVISORS

ACCOUNTS OFFICER

WORKERS

ACCOUNTS

ASST

HELPERS

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FUNCTIONAL DEPARTMENTS

List of Departments:

Production Department

Cutting Department

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Quality Control Department

Human Resource Development Department

Stores Department

Finance Department

4.1 PRODUCTION DEPARTMENT

Introduction:

The production department is one of the core parts in every process-

based industry. Addition, it plays a vital role in the organization for smooth

going in every sugar industries;

LOCATION: The Production unit is located at #44, 60 feet road,

Srinivasnagar, Pattegarpalya, Bangalore, Karnataka- 560072.

Production Capacity:

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The factory is equipped with state of the art machinery and equipment

including high tech lab testing capabilities. Combed cotton yarns are

procured only from the largest and most modern spinning mills in India

where stringent controls guarantee exacting standards. Integrated elastic

weaving and fabric knitting along with carefully controlled fabrics dyeing

and processing ensure consistently high standards of finished garments.

With modern and efficient production and quality control system led by a

team of highly qualified technologists, quality standards are at par with Sun

Creations products available worldwide.

GLOBAL COMPLANCE STANDARDS

Sun Creations has been independently audited and approved by

internationally recognized ‘Intertek Testing Services (ITS)’ for safety and

production system. The company has also been certified by the adherence to

universally principles covering labor, human relations and all applicable local laws

pertaining to industrial production.

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WORK FLOW MODEL:

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Receiving fabric Quality checkin

g

StoresCutting

Sewing Quality checkin

g

Quality auditPacking

Finished goods

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4.2 CUTTING DEPARTMENT

Cutting Inspection

Marker gives the marker plan according to sizes, all the components

with respect to the size, on a paper, which is done by plotter.

Then lays are laid on the table one above the above accurately; on this

lay marker planned paper is placed.

Cutter with straight knife cuts according to the marker plan, thus

different components are cut.

Inspection in cutting

All the cutted components are inspected

If there are any defects, that panel is rejected ,and that rejected panel

is are cut i.e. another replica is made.

Again it is inspected by QC.

Then inspected components i.e. acc to sizes all the components are

stored in a bag.

This bag is sent for sewing section.

Cutting is the very first process in garment manufacturing. The cutting

department receives the fabric from the fabric department after inspection.

The main objective of cutting section is cutting of garment parts

accurately, economically and in sufficient volume to keep the sewing room

supplied with work.

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As soon as fabric receives after inspection, a sample of fabric is sent

to testing for shrinkage test, once it approved then widthwise segregation is

done for fabric bundles and then issued to the cutting process. According to

the size ratio and production rate of sewing department cutting section plans

for the lays to be laid.

INSPECTION PROCEDURE

Every fabric has to be inspected 100% incase 15% with the consent of

concerned merchandiser approvals.

The fabric is inspected in a full width

The distance from the machine should not be more than 3 feet.

Any defect shall be counted in accordance with the length of the defect.

4.3 QUALITY DEPARTMENT

Quality is the main feature in a product that delights the customer by either

meeting or exceeding expectations. As per ASQC (American Society for

Quality Control)

“Systematic approach to the search for excellence.”

“Fitness for use” i.e. combination of characteristics or properties of product

which makes the product usable.

Quality is every body’s concern. A product of service noted for its quality is

never happened by accident. It is the result of careful planning, control and

management process.

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Managing of quality and quality importance:

Most of the people have a conceptual understanding of quality has relating

one or more desirable characteristics that a product or service should

possess. What is quality? Many of us attribute different terminology to the

term quality. For many, quality is good appearance, better prints of color,

better durability etc., however quality means conformance to requirements.

Popular definitions is “Quality is what customer ask”

Definition given by ISO is as follows “Degree to which a set of inherent

characteristic* fulfills requirement.”

In many manufacturing process there are two general aspects of fitness for

use –

Quality of design and

Quality of conformance.

Before commencement of production operation commences, it is necessary

to understand what is to be designed and made. This follows the actual

manufacturing of the intended product. Finally it must be ascertained

whether me product designed and manufactured is what was intended.

Hence it is convenient to mink of all matters related to quality of a product n

terms of three functions i.e. specifications, productions and inspection.

Continuous improvement process is the focus of today’s quality revolution.

In companies that are involved in this revolution, this continuous

improvement has two components

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1. Philosophy

2. Problem solving/ graphical techniques

Philosophy: there are common points in the operating philosophies in these

companies they are follows:

That improving quality by removing the causes of problems in the

system inevitably leads to improved productivity.

That the person doing the job is most knowledgeable about the job.

That people want be involved and do their job well.

That every person wants to feel like a valued contributor.

That more can be accomplished working together to improve the

system than having individual contributors working around the

system.

That a structured problem solving process using graphical techniques

produces better solutions than in an unstructured process.

That graphical problem solving technique let us to know where we

are.

Though a number of statistical techniques are used in industrial,

manufacturing and other business situations mostly used and widely

understood statistical tools are known as seven quality control tools.

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The most commonly practice quality control tools in the company are:

Process pro diagram

Check sheet

Run chat

Control charts

Histogram

Pareto chart

Cause and effect diagram

Structure of Quality Control Department

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Classification of defects:

The standard calls for defect to be classified critical, major and minor.

Critical defect:

A critical defect is a defect that judgment and experience indicate is

likely to result in hazardous or unsafe conditions for individuals using,

maintaining or depending upon the product or a defect that judgment

experience indicate is likely to prevent performance of the tactical

function.

Major defect:

It is a defect other than critical that is likely to result in failure or to

reduce materially the liability of the unit of product for its intended

purpose.

Minor defect:

It is a defect that is not likely to reduce materially the usability of the

unit of product for its intended purpose or is a departure from established

standards having the bearing on the effective use or operation of the unit.

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YARN DEFECT:

Slub

Snarl

Slft yarn

Hairiness

Uneven loops

Needle breakage

Dropped stitches

Wrong yarn

Irregular loops

Oil streaks

Vertical lines

Thick place

DYEING DEFECTS:

Shade variations

Hazzy dteing

Streaks

Specky dyeing

Colour spots

Colour bleading

Crease marks

Patches

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PRINTING DEFECTS:

Misprint

Repeat marks

Uneven printing

Print impression

Colour stains

Hazzy printing

Poor whiteness

Print washout

SEWING DEFECTS:

Open seam

Skipped stitches

Broken stich

Seam failure

Excessive seam

Improper stitch balance

Ragged edges

Needle cutting

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PACKING DEFECT:

Wrong folding size

Wrong folding method

Wrong hang tag

Wrong tissue paper

Missed hang tag

Missed tissue paper

Poly bag torn

QUALITY CONTROL DEPARTMENTS

1. Fabric quality department

2. Cutting quality department

3. Sewing quality department

4. Final wash checking

5. Finishing

6. Product safety department

FABRIC

Key job responsibilities.

Assurance of quality incoming fabric knits.

Generating report based on the shed and shrinkage values.

Implementation of quality system in section.

Record and documentation to meet ISO standards.

100% inspection for all.

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Shade or shrinkage

100% checking for all roles

Actual garments wash for shade and shrinkage activity

Cutting

A quality control person who checks and monitors the procedure.

Quality control should check each component of the entire garment.

After cutting quality control indentifies any fabric defect on cut pieces

and recut if necessary.

Defect has to be recorded in the report form with number of bundles

examined.

Production (Sewing)

Confirmation to buyer requirements on construction.

Cross checking the batch layout to that of idea allocation.

Cross checking the trim card to trim used in the batch.

Monitoring the m/c settings.

Monitoring on operator to m/c quality and construction altering the

supervisor and production team for positive action. Critical issues are

highlighted through traffic light system.

Finishing

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Confirmation to requirement of the product.

Cross checking the construction.

Cross check on trim card on to trim approved.

Auditing based on the AQL systems.

Cross check on the presentation of the garments that to approved

STD.

Records and documentations.

Hourly production reports.

Audit report on workmanship, measurement specification and

packing.

Final audit report on packed goods.

Trim auditing

100% auditing of all the trims and accessories will be done by Q.C.

Approval of trims and accessories is based on the merchant pre-

approval.

Record and documentation.

Product safety

This department ensures the product is being manufactured in safe

condition so as to avoid any mental contamination in the garment.

To meet the satisfaction of the customer safety.

Employees are also taking of the products safety care.

Management duties in maintaining the quality

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1. Management is linear in spending money on required materials and

machineries.

2. They check day to day quality progress with the help of quality

assurance department.

3. They identify the workers problem in maintaining the quality if any.

4. They provide facilities for their work and to get good output from

them

5. They provide good quality machineries and other required materials

which are necessary to maintain the quality.

6. They check the documents day by day to solve the problems if any.

4.4 HUMAN RESOURCE DEVELOPMENT DEPARTMENT

Human resource department:

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CHIEF MANAGER – HRD DEPT

TRAINING MANAGER

ASST TRAINING MANAGER

INSTRUCTOR

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Function of Human resource:

Training need assessment

Vocational training

Internal and external training

Recruitment

Appraisal

Promotion

Apprenticeship training

Transfer

Wage and Salary admin

Grievances handling

Disciplinary action

Personnel admin

Sun Creations is committed to a healthy work environment and the well

being of employees. Global manufacturing has brought a whole new

spectrum of possibilities. To succeed, the company is committed to high

quality products - and high standards for our employees.

The company is proud of our tradition of conducting its business in

accordance with the highest ethical standards and in compliance with the

laws of the United States and have the countries in which it produces,

buys and sells its products. Sun Creations is committed to legal

compliance and ethical business practices in all operations and seeks to

do business with Suppliers who share that commitment. It actively seeks

to engage as its Suppliers, companies that offer their workers safe and

healthy workplaces.

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Sun Creations will not tolerate exploitative or abusive conditions once

known. No Code can be all-inclusive, but we expect our Suppliers to act

reasonably in all respects and to ensure that no abusive, exploitative or

illegal conditions exist at their workplaces.

Sun Creations enquires its Suppliers to extend principles of fair and

honest dealing to all others with whom they do business, including

employees, Subcontractors and other third parties. We also require our

Suppliers to ensure and to certify to us that no abusive, exploitative or

illegal conditions exist at the workplaces of their Suppliers and

Subcontractors. Sun Creations will only do business with Suppliers who

obey the laws of the country in which they operate and the principles

expressed in this Code of Conduct.

Sun Creations will only do business with Suppliers who have certified to

us that their business practices are lawful, ethical and in compliance with

the principles set forth in this Code of Conduct. Moreover, Sun Creations

will only do business with Suppliers who have agreed to be subjected to

the scrutiny of its Compliance Program under which they will be

inspected and evaluated to ensure their compliance with this Code of

Conduct.

Forced Labor: Sun Creations will not purchase products or components

thereof from Suppliers that use forced labor, prison labor, indentured

labor or exploited bonded labor, or permit their Suppliers to do so.

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Child Labor: The company will not purchase products or components

thereof manufactured by persons younger than 15 years of age or

younger than the age of completing compulsory education in the country

of manufacture where such age is higher than 15.

Harassment or Abuse: Sun Creations Suppliers and Subcontractors

must treat their employees with respect and dignity. No employee shall

be subject to physical, sexual or psychological harassment or abuse.

Non discrimination: Sun Creations Suppliers and Subcontractors shall

not subject any person to discrimination in employment, including hiring,

salary, benefits, advancement, discipline, termination or retirement, on

the basis of gender, race, religion, age, disability, sexual orientation,

nationality, political opinion, or social or ethnic origin.

Health and Safety: Sun Creations Suppliers and Subcontractors shall

provide a safe and healthy working environment to prevent accidents and

injury to health arising out of, linked with, or occurring in the course of

work or as a result of the operation of employer facilities. Employers

must fully comply with all applicable workplace conditions, safety and

environmental laws.

Freedom of Association: Sun Creations Suppliers and Subcontractors

shall recognize and respect the right of employees to freely associate in

accordance with the laws of the countries in which they are employed

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Wages and Benefits: The Company’s Suppliers and Subcontractors

recognize that wages are essential to meeting employee's basic needs.

Sun Creations Suppliers and Subcontractors shall pay employees at least

the minimum wage required by local law regardless of whether they pay

by the piece or by the hour and shall provide legally mandated benefits.

Work Hours: Sun Creations Suppliers and Subcontractors shall not

require their employees to work more than the limits on regular and

overtime hours allowed by the law of the country of manufacture. Except

under extraordinary business circumstances, Sun Creations Supplier and

Subcontractor's employees shall be entitled to one day off in every seven-

day period. The company’s Suppliers and Subcontractors must inform

their workers at the time of their hiring if mandatory overtime is a

condition of their employment. Its Suppliers and Subcontractors shall not

compel their workers to work excessive overtime hours.

Overtime Compensation: Sun Creations Supplier and Subcontractor

employees, shall be compensated for overtime hours at such premium

rate as is legally required in the country of manufacture or, in countries

where such laws do not exist, at a rate at least equal to their regular

hourly compensation rate.

Contract Labor: Sun Creations Suppliers or Subcontractors shall not use

workers obligated under contracts which exploit them, which deny them

the basic legal rights available to people and to workers within the

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countries in which they work or which are inconsistent with the

principles set forth in this Code of Conduct.

Environment: Sun Creations Suppliers and Subcontractors will comply

with environmental rules, regulations and standards applicable to their

operations, and will observe environmentally conscious practices in all

locations where they operate.

Customs Compliance: Sun Creations Suppliers and Subcontractors will

comply with applicable customs law and, in particular, will establish and

maintain programs to comply with customs laws regarding illegal

transshipment of apparel products.

Drug Interdiction: Sun Creations Suppliers and Subcontractors will

cooperate with local, national and foreign customs and drug enforcement

agencies to guard against illegal shipments of drugs.

Legal and Ethical Business Practices: Sun Creations Suppliers and

Subcontractors must fully comply with all applicable local, state, federal,

national and international laws, rules and regulations including, but not

limited to, those relating to wages, hours, labor, health and safety, and

immigration. The company’s Suppliers and Subcontractors must be

ethical in their business practices.

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Penalties: Sun Creations reserves the right to terminate its business

relationship with any Supplier who violates this Code of Conduct or

whose Suppliers or Subcontractors violate this Code of Conduct. Sun

Creations reserves the right to terminate its business relationship with

Suppliers who fail to provide written confirmation to Sun Creations that

they have a program in place to monitor their Suppliers and

Subcontractors for compliance with this Code of Conduct.

Environment conditions for the work

Neighborhood safety and cleanliness, attention to approaches.

House keeping up keeping of premises, compound wall, gardens, and

so forth. Passages and doors, white washing of walls and

maintenance.

Workshop, sanitation, temperature, humidity, ventilation lighting,

elimination dust, smokes, fumes, gases.

Control of effluents

Convenience of comfort during work, i.e. operative postures and

seating arrangements.

Distribution of work hours and provision for rest hours, meal times

and breaks.

Supply of necessary beverages , tablets, and milk

Workmen’s safety measures i.e. maintenance of machines and tools,

fencing of machines , providing guards, helmets, aprons, goggles and

first head equipments

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Notice boards, postures, pictures, slogans; information or

communication.

CONVENIENCES

Provision for drinking water and water coolers

Canteen services

Clock room, rest rooms, reading rooms and library.

Transportation facility for employees and workers.

Employees Health services

Factory health centre

Dispensary

Ambulance and emergency aid

Medical examination for employees

Health education and health research

Family planning services

Employees Recreation

Indoor games

Strenuous games to be avoided during the intervals of

work

Corporate Environment Benefits

Sun Creations offers a competitive and comprehensive flexible benefits

package, which includes:

Insurance

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Medical

Dental

Life

Vision

Flexible Spending Accounts

Retirement

Enrichment

Employee Discounts on Jockey Products

Business Casual Work Environment

Summer Hours

Flextime

Vacation Buy

Employee Appreciation Events

Full-service, on-site Cafeteria

Education Support Program and Individual Development

Employee Assistance Program

Adoption Reimbursement

4.5 STORES DEPARTMENT

Stores or storage is the function of receiving, storing and issuing materials. It

involves supervision or the clearance or incoming supplies, to ensure that

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they are maintained in good condition, safely and in readiness for use when

required while they are in storage and issuing them against authorized

requisitions. In short, it is connected with the physical handling and

wellbeing of the stock.

After inspection, the purchased material is taken to store for preservation if

they are meant for stock in the stores department of the company.

Preservation or storage is another aspect of materials management. With

proper management and co-ordination (particularly with purchasing,

receiving and inspection), storage can contribute to effective operation of the

company.

Purpose

The main job of the stores department is to ensure proper receipt of the raw

materials and proper storage of the materials and to follow FIFO method.

Structure of Stores Department

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4.6 FINANCE DEPARTMENT

“Finance” is the life blood and nerve system of any business organization,

just as circulation of blood is necessary in the human body to maintain life

finance is an essential to the business organization for smooth running of the

business.

Financial Management involves managerial activities concerned with the

acquisition and the business purpose. The finance does with procurement of

money taking into consideration of today as well as future need and finance

is required to purchase machinery and raw materials, to pay salaries and

wages and also for day-to-day expenses.

This study is carrier out at Sun Creations, Bangalore. In this company Senior

Manager is the head of the finance department with five deputy managers

and the account officer.

In their modern days, the scope of financial management is not so narrow. It

is broadly concerned with the acquisition and use of funds by a business

firm function is responsible for funds availability working capital

management, capital expenditure control, cost reduction, accounts

consolidation, pricing asset management, insurance and tax management and

management information systems and statuary compliance.

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The finance section at Sun Creations Limited., can be classified in to two

parts

1. ROUTINE FINANCIAL MATTERS OF DAY TO DAY

TRANSACTION

To look after cash and bank accounts.

Investments

Credit and collections

Investors relations

Debit and credit reconciliation.

Correspondence with bankers.

2. SPECIAL FINANCIAL FUNCTIONS

To monitor the financial function of the company.

Arrangement of funds for payment to supplier and creditors.

Working capital management.

Cash flow and funds flow statements projections.

Doing all the accounting jobs budgeting.

Internal audit.

Protection of assets.

Correspondence with financial institutions.

Monitoring investments to be made by the company.

Cash management.

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PAYMENT OF WAGES:

Timely payment of wages to the tune of ten to fourteen works is paid on 5 th

of each month payment is made after preparing the wage sheets incentives

payable to workers based on their productivity and also calculate the casual

labors ranging between 500 to 700 are paid separate calculation.

PURCHASE ACCOUNTING:

Responsibility of correct and times payment to the suppliers/vendors lies

with the financial department, and entry is made into a MRIR control

register. Then it is verified whether the details in the MRIR tally with bill

sent by the supplies to the company. The bill is maintained in the pending

bill file then MRIR contains details like item code, quality purchased,

suppliers etc., it also remarks as inspection department as to whether the

material has been accepted partially accepted or rejected.

BILLS PAYABLE:

Finance department maintains a bills payable control register, which

contains a bills payable number, name of the party, bill date, amount,

income tax to be deducted. The bill is passed after complying the bill

amount as per purchase order is accepted and can be paid along with the

order. The bill payable vouchers is used to pass the journal entry when an

advance payment is made this is attached to MRIR and the bill.

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LIQUIDITY:

Statement of weekly cash flow required and sent to the head office and local

banks.

BUDGETING:

At Page Industries Limited., budgeting is done annually and quarterly

budgeting may be said to be the act of building budgets. A budget is

coordinated plan, expressed in financial terms, for the operations and

resources of an enterprise for some. Specific period the marketing and

production department faculty prepares a budget and finalizes the volume to

be produced. The selling price and amount received from scrap is also

determined based on the budget. The fiancé department has to prepare

expenditure budget capital budgeting.

MIS:

No separate MIS department to regulate information flow. But each

department in company, such as stores, fiancé and production, planning and

control has their own MIS system, which they maintain in order to process

information smoothly.

EDP (ELECTRONIC DATA PROCESSING)

The need to process data is nearly as old as society itself. Data can be

considered as a collection of symbols with a manner. It is always plunk. It

may be number words, charts, names; address etc. computer is an integral

part of EDP. In Page Industries Limited., the EDP section is well equipped

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with 13 monitors and 1 server. The data processing here involves the

processing of large number of receipts output is in form of updated records

reports invoice and other business documents. The Business data processing

oriented computers are designed for getting output with high speed sorting

and facilitate the conversion of stored data into report format.

CASH MANAGEMENT:

Cash is the most important current assets for operation of a business. Cash is

the basic input needed to keep the business cash is the basic input needed to

keep the business running on a continuous basis. It is also the output that is

expected to be realized by selling the service or product manufactured by the

firm.

CASH FORECASTING AND BUDGETING:

Cash budget is the most significant devise plan for and control of cash

receipt and payment. Cash budget is a summary statement of the firms

expected cash inflows and outflows over a projected time period. Cash fore

casting may be done on short or long term basis the commonly used design

for short – term cash forecasts are,

One year divided into months.

One quarter divided into months.

One seventh divided into weeks.

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SIGNIFICANT ACCOUNTING POLICIES:

1. Accounting basis and conversion:

The accounts are prepared under accrual basis and under the historical

cost convention method except for scrap sale proceeds.

2. Expenditure and Revenue Recognition:

The expenses accruing in financial years and ascertainable with

reasonable accuracy on cut off data are provided for in the accounts.

DEPRECIATION:

All fixed assets are stated at cost less depreciation. Fixed assets are

capitalized at cost inclusive of installation and other incidental expenses.

Depreciation in capacitor division is stated on straight line basis. At rates

specified in schedule of the companies Act 1956. In the capacitor division

the depreciation is calculated on basis of written down value method at the

rates specified as under. Building 10% Plant and Machinery and equipment

25%, furniture 10% computer 60%, Vehicles 20% and 25%.

Depreciation on additions during the year has been calculated for full year

and items of plant and machinery and furniture and fixture costing Rs.

5000/- each has been depreciated full.

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INVESTMENTS:

All investments are considered as long term and are stated at cost.

INVENTORIES:

Inventories are valued at lower of cost or cost or net realization value. Stock

of raw materials, stores, spaces and materials are valued at cost. The cost is

determined of FIFO basis. Cost includes expenses on procurements, excise

and custom duties. Cost of finished goods and work in progress includes

cost of conversions and other costs incurred in bringing the inventories to

their present location and condition.

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STRENGTHS

Having a stable own financial resources for running the organization

at domestic and international level

The company has a good market share worldwide. Hence it requires

less awareness or any advertisement for their products.

Adequate Number of Styles and Price Ranges

Highest Brand recall because of its continuous promotion strategies

Good infrastructural facility that support a quick movement of raw

material

Highly skilled and dedicated work force

WEAKNESSES

The outlets do not offer incentives to the customers as offered by

other companies.

They do not have separate unit for training

Sun Creations is giving credit to the dealers and hence cash flow is

very slow.

The cost of the products are high comparing with other competitor,

because of heavy demand for their products the company is not

allowing the employees to have rest periods. All though they may be

paid over time remuneration, the healths of the employees are

affected much.

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OPPORTUNITIES

More buyers are coming to the country

New designs to satisfy the current trend

Utilizing skilled manpower to maximum extended

Modernization of company activities in case of Production (Eg CAD,

SAP etc...)

Can increase market share in the basic range of garment products.

THREATS

The company has adopted and adopting a new technology according

to changes in the production technology, quality and better services,

but the employees is not having that much skill to work with the new

technology as the company is not providing training to the employee

because the employees are not giving any agreement with the

company that they will stay for longer duration.

Many companies are entering the filed of manufacturing of under

garments.

Cheaper import of raw materials from other country

Stiff competition in the basic range of products in by the competitors

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SUMMARY OF FINDINGS

World class sewing machines which are facilitated with international

standards.

Due to cut through in the market there has been some reduction in the

market shares.

The company has quality certification for ISO-9001, ISO-14001, and

ISO - 18001.

QS-9000, TS 16949, QI-Certification which is meant for its quality

Safety, productivity and environment protection.

Insufficient time for completing task.

Improper management of Raw materials.

Almost all employees have undergone training in various levels.

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SUGGESTIONS

Increase the product profile.

The company should hire more number of skilled workers.

The company should satisfy customer needs and try to create a good

interaction with them.

Utilizing skilled manpower to maximum extended

Can increase market share in the basic range of products

There should be contest for dealers and the dealer making the highest

sales and timely repayment can be rewarded or can be offered free

packages tours, cash incentives, gift vouchers etc.

Pop display materials must be more attractive. If there are any

discounts offers words like free, hurry, offer, product name and gifts

etc should be made highly visible in the pop materials like danglers,

posters and sun boards.

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Conclusion

It gave an opportunity to learn the practical knowledge in the

corporate world. From the study it can be said that, the brand image of Sun

Creations products of the company is well established in the market. The

demand for the products is increasing at the same time while there is severe

competition in the market. Competition is growing faster in such a way that

the market is becoming wider and more competitors are arising. The

organization has to give importance to dealers who play an important role in

the market. Hence the company has to under take aggressive promotional

activity to improve their sales.

To conclude, it was an experience which has given an insight on

how to apply and use the managerial concepts, functions, aspects practically

in the corporate world. Its very important for individuals to get adjusted to

the organization work culture. One more important aspect was work culture

in the organization. Sun Creations has on excellent work culture for its

employees hence it is able to perform better and maintain consistency in the

global market.

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BIBLIOGRAPHY

WEB SITES

1. www.ourindia.com/nift

2. www.ieo.org

3. www.apparel.indiamart.com

4. www.indiagarmentexports.com

5. www.suncreationindia.com

BOOKS

“Production and Operation Management” by Ashwathappa-1st

Edition , 1999, Himalaya Publication.

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