INDEX.

CHAPTER CONTENTS PAGE

NO NO
I INTORDUCTION 3

II COMPANY PROFILE 7

III ORGANISATION CHART 12

IV MARKETING PROCESS 15

V DEPARTMENTS AND ITS FUNCTIONS 31

VI CRITICAL ANALYSIS 41

VII CONCLUSION 46

1
 CHAPTER-1
INTRODUCTION.

2
 CHAPTER-1
INTRODUCTION:
The textile industry is primally concerned with the design and production of yarn, cloth, clothing, and
their distribution. The raw material may be natural, or synthetic using products of the chemical industry.

1.1 INTRODUCTION OF TEXTILE INDUSTRY OF THE WORLD:

After up-downs, a global textile business and apparel industry is flourishing at high speed. The world is on
a new corridor of the industrial revolution. Analysts are anticipating more expansion with latest
technologies in textile machinery.
The textile machinery hubs like China, Germany, Italy, Switzerland, and India have already jumped in
gigantic competition to craft and bid best technologies in textile machinery.
Global industry analysts, Inc.(GIA) has declared that the global bazaar for textile machinery is estimated to
reach US$ 22.9 billion by 2017 demand for sophisticated machines that produce high-quality clothes is
increasing whatever is the technology, the purchasing decision is greatly influenced by the machines
versatility, flexibility, and price offers.
Key factors for dynamic growth in the textile machinery market contain economic revival post-recession,
rising demand for the nonwoven disposable textile product, increasing demand from promising regions,
especially Asia-pacific and going up demand for environmentally-friendly fibers. this article analyzes
some of the world leading textile machinery manufacturing countries.
The current Global apparel market is estimated at approximately US$ 1.15 trillion which forms nearly
1.8% of the world GDP.
Almost 75% of this market is concentrated in EU-27, USA, China and Japan.
The next largest markets are Brazil, India, Russia, Canada, and Australia, in descending order with a share
of approximately 18%.

1.2 INTRODUCTION OF TEXTILE INDUSTRY OF INDIA:

India’s textiles sector is one of the oldest industries in Indian economy dating back several centuries. Even
today, textiles sector is one of the largest contributors to India’s exports with approximately 15 per cent of
total exports. The textiles industry is also labour intensive and is one of the largest employers. The textile
industry has two broad segments. First, the unorganised sector consists of handloom, handicrafts and
sericulture, which are operated on a small scale and through traditional tools and methods. The second is
the organised sector consisting of spinning, apparel and garments segment which apply modern machinery
and techniques such as economies of scale.

3
The textile industry employs about 51 million people directly and 68 million people indirectly. India's
overall textile exports during FY 2015-16 stood at US$ 40 billion.
The Indian textiles industry is extremely varied, with the hand-spun and hand-woven textiles sectors at one
end of the spectrum, while the capital intensive sophisticated mills sector at the other end of the spectrum.
The decentralised power looms/ hosiery and knitting sector form the largest component of the textiles
sector. The close linkage of the textile industry to agriculture (for raw materials such as cotton) and the
ancient culture and traditions of the country in terms of textiles make the Indian textiles sector unique in
comparison to the industries of other countries. The Indian textile industry has the capacity to produce a
wide variety of products suitable to different market segments, both within India and across the world.
The Indian textiles industry, currently estimated at around US$ 120 billion, is expected to reach US$ 230
billion by 2020. The Indian Textile Industry contributes approximately 4 per cent to India’s Gross
Domestic Product (GDP), and 14 per cent to overall Index of Industrial Production (IIP).
Indian khadi products sales increased by 33 per cent year-on-year to Rs 2,005 crore (US$ 311.31 million)
in 2016-17 and is expected to exceed Rs 5,000 crore (US$ 776.33 million) sales target for 2018-19, as per
the Khadi and Village Industries Commission (KVIC).
The total area under cultivation of cotton in India is expected to increase by 7 per cent to 11.3 million
hectares in 2017-18, on account of expectations of better returns from rising prices and improved crop
yields during the year 2016-17.
Indian exports of locally made retail and lifestyle products grew at a compound annual growth rate
(CAGR) of 10 per cent from 2013 to 2016, mainly led by bedding bath and home decor products and
textiles. The Government of India targets textile and garment sector exports at US$ 45 billion for 2017-18.

1.3 INTRODUCTION OF TEXTILE INDUSTRY OF TAMIL NADU:

The Textile Industry of Tamil Nadu has its significant presence in the National and State economy. It is the
forerunner in Industrial development. Handloom, Powerloom, Spinning, Processing, Garment and Hosiery
are the various sectors of the Textile Industry in Tamil Nadu and known for the largest economic activity
next only to Agriculture in providing direct and indirect employment.
 Handlooms:
Tamil Nadu occupies a pride place in handloom sector with maximum number of handlooms in the
Country. Handloom weaving is one of the largest economic activities in Tamil Nadu. There are
4.13 lakh handlooms located in the State.

 Power looms:
The Powerloom Sector in Tamil Nadu provides employment to around 9.14 lakh workers. As
against 19.03 lakh registered powerlooms in India, 3.66 lakh are located in Tamil Nadu and

4
 of that 42,566 are covered under 164 Powerloom Weavers Co-operative Societies.

 Textile and Spinning Mills:

The Textile Mills are the backbone of Tamil Nadu's industrial development and are providing
massive employment in the State predominantly spinning-oriented. The State textile industry has a
significant presence in the national economy also.

1.4 INTRODUCTION OF SARASWATI TEXTILE INDUSTRIES LIMITED:

Saraswati Textile Industries Limited Ooty has the privilege to be the first member of the esteemed
Saraswathi Group. Founded in 1958 by the most illustrious brothers, N Kushalchand and N Gyanchand,
who is now led by the young G Sudhir, a dynamic localite from Rajasthan.
Saraswati Textile is one of the largest manufacturers and registered leading exporters of textile goods in
India. It is exporting high quality products. Saraswati Textile has designing, stitching, and printing
departments.
Saraswati Group by now is in textile cloth finishing and processing, textile spinning, color alkali industries
and power plant. N Gyanchand the present Chairman of the Group, the two creative and courageous men,
later joined by second generation, make a blend of experience and modern business knowledge, managed
the business growth and development with assistance of highly qualified team of professionals. Faith in
Almighty and in their own abilities & commitment to the cause, untiring efforts and leadership qualities of
the family, established the group, which now stands amongst Leading Industrial Groups of the Country,
under the Chairmanship of Kushalchand.
Saraswathi textile is a self sufficient textile industry. By all international standards it has various units to
cater for the textile output .The units not only supply material for the local use. But also make the material
available on loan basis to other local textile mills in emergency so their production is not stopped.
Following is a brief introduction to the units: -

UNITS
 Hall
 Cloth Centre
 Readymade Centre
 Fashion Centre
 Garments

5
All the above units are parts of the Saraswati Group of industries. These units work on different product
lines like Caustic Soda, Agriculture Fertilizers, Hydrogen peroxide, Quality fabrics and printed textile
materials, Energy etc.
So, inspite of the fluctuations in the international markets and tough competition at home, Saraswati textile
industries have never faced any crisis so far. It is an ever-growing organization with a vision to remain
productive on strong footing and cope with the demands of the 21st century.

6
 CHAPTER-2
COMPANY PROFILE.

7
 CHAPTER-2
COMPANY PROFILE:
NAME OF THE COMPANY: SARASWATI TEXTILES INDUSTRIES LIMITED.

2.1 BRIEF HISTORY OF THE ORGANIZATION

Saraswati Textile Industries Limited, Ooty is undoubtedly marvelous, unique, matchless and
unprecedented organization; that is the way, it has the privilege to be the first member of the esteemed
group. It was founded in 1958 by the most illustrious brothers N Kushalchand and N Gyanchand, Now it is
led by the young and energetic G Sudhir , son of a N Gyanchand.
Today is a competitive world where international organizations and globalization are important.
Being one of the manufacturers and registered leading exporters of textile goods in INDIA, it contributes a
lot to enhance the export of INDIA .It is exporting high quality products. Its products named as “Sapna
Lawn” and “Ramraj” are amongst leader textile brands in the local market. We can see the best
designing, stitching and processing departments in Textile.
Specializing in home printed textile, dyed and bleached fabrics, apparel and fashion garments,
textile is exporting quality to virtually all parts of the world. With the latest “State of the art” machinery
and equipments, it is a complete printing, dyeing, finishing and stitching textile complex. Three huge
spinning mills, a high caliber weaving unit and a made up garments unit are working under one roof. The
unit is capable of producing high quality with a capacity of thousands of meters of finished cloth every
day.
One is always desirous of getting one’s organization as the best company in the best of the country.
Saraswati Textile Limited has proudly maintained their leadership in 100 percent pure cotton products
along with the man made fiber. The products range in pure cotton is available as sateen both in mono
cotton and poly cotton, bed sheets, pillow and quilt covers.
Counts aren’t all that counts! While counts reflect on the durability of the cloth, what reflect on the
aesthetics of the end-user are the design, color combination and mood of the fabric print. That is why;
textile never underestimates the importance of an enchanting design. Their design department is not only
well equipped with latest computers and peripherals but also manned with a highly sensitive and sensible
team of designers. These designs are based on unique but fascinating combination of age-old traditional
motifs and futuristic surreal forms giving their customers a wide range to choose from. Widening this
choice further is their design library, one of the largest in India, offering an extensive range from timeless
floral and geometric to intriguing contemporary designs and colors

8
A sizeable percentage of textile’s daily textile production by the meter is converted in-house into a ready,
saleable retail product. The “Cut & Sew” division enjoys the cutting edge in assembling and sewing of bed
sheets and sets, quilt covers, bolster, valances, curtains, table linen, bed spreads, comforter covers, pillow
cases, kitchen linen and ready made garments as per the specification defined by the customers.
From a fiber to a finished product, nothing gets spared from our ultra-sensitive, extra vigilant laboratory.
Equipped with the most modern and precision equipment, products are frequently subjected to tests against
most relevant international standards at every stage of manufacture. Tests are conducted to control
shrinkage (dimensional change), pilling resistance, abrasion, color fastness and washing fastness etc.
Much of their wide success and popularity is attributed to their technically being ahead in their printing.
The printing staff and design teams combine years of practical experience in printing with top-of-the-range
Austrian J. Zimmer rotary printing machines producing 280 cm finished width up to 12 colors per design
and maximum repeat of 91 cm. Flat bed printing facility comprised Reggiane machine with 320 cm
working width and 320 cm repeat.
Information technology plays a key role in the development of the textile sector in India. Thanks to
modern and sophisticated facility, processing to finishing of material like chintz, silicon, scotchgard, fire
retardant down proof and raisin etc, is invariably a source of pleasure. With, this worldwide clientele gets
quick quality sampling on the latest rotary strike off machine facilitating production of strike offs up to 15-
meter length.
In the last twenty-five years, Textile has established its reputation both locally and internationally as a high
quality exporter. It is specialized to produce the above said items and distribute all over the world through
their own distribution channels and agents. Saraswati Textile has also built areas of excellence in textile
zone and has developed collaborative links with the local community and local business. Textile’s export
spread over the three main continents such as America, Europe and Asia.
Inspite of the tough competition and quota system introduced by the European Union , industrialists from
Bangladesh and other Asian countries are striving to replace India. But the very name of Saraswati
Textile Industries is a guaranteed of success . Demand for the textile products has always been increasing
resulting in orders from various other zones of the world.
To this effect the marketing department of STIL never miss an opportunity to find new markets and
introduce the Saraswathi textile products catering for the taste of the buyers.

2.2 NATURE OF BUSINESS

As a leading organization of the modern world, Textile produces the variety of textile products, consisting
of items such as Bed sheets, pillow, Bed Spread, comforter covers, ready made garments, quilt covers,
kitchen aprons, Boxer shorts, Bermuda Shorts, Nighties, Bolster, valances, curtains and table linen.

9
2.3 PRODUCT LINES

Textile has a variety of products (Garments & Made ups). Following are the main products:-
Main products:
 Bed sheets
 Pillows
 Quilt covers
 Aprons
 Sarees
 Chudidar
 Curtains

2.4 PROMOTIONAL STRATEGIES

STIL use all available means to promote products and communicate information they make effective use
of strategies like Advertising, Sales promotion, Trade promotion, PR etc. to thrive in the international and
local markets .

2.5 VALUES
Customer delight, teamwork, integrity, performance, speed, innovation, care for the environmental and
welfare of the community the firm operate in all activities.

2.6 VISION
To transform the company into a modern and dynamic yarn, cloth and processed cloth a n d f i n i s h e d
p r o d u c t m a n u f a c t u r i n g c o m p a n y w i t h h i g h l y p r o f e s s i o n a l s a n d f u l l y equipped to play a
meaningful role on sustain able basis in the economy of India.

2.7 MISSION
To provide quality products to customers and explore new markets to promote/expand sales of
the company through good governance and foster a sound and dynamic team,s o a s t o
a c h i e v e o p t i m u m p r i c e s o f p r o d u c t s o f t h e c o m p a n y f o r s u s t a i n a b l e a n d equitable
growth and prosperity of the company.

2.8 CAPITAL:
RS.8 crores

10
2.9 TURNOVER:
60 crores
2.10 HOURS OF OPERATION:
8:30am – 8:30pm

2.11 NAME OF THE DIRECTOR:

MR. SUDHIR KUMAR

2.12 NUMBER OF EMPLOYEES:

Office and processing section consist of 200 employees, among whom 80 employees are skilled, 50
are semi-skilled, 20 in quality control and 50 is remaining staff, which provides different services.

2.13 OFFICIAL ADDRESS:

187/188, MAIN BAZAR,OOTY.
2.14 FACTORY ADDRESS:
No 12, Duraisamypuram 2nd Street, Anna Nagar, Tirupur – 641602.

11
 CHAPTER -3
ORGANISATIONAL STRUCTURE.

12
 n
t

Finance
department

Marketing
Department Human resource
development
department

Production
department

13
3. ROLES AND RESPONSIBILITIES OF EACH DEPARTMENT:

3.1 Merchandising department:

The various job responsibilities of this department include receiving or making the purchase order sheet,
tracking the order, making the time and action calendar, getting and giving approvals, cost finalisation,
pricing finalisation, supervising sampling, sourcing, vendor development, vendor selection,
communication and coordination.

3.2 Marketing department:

The major responsibilities of this department include sales and promotion, advertising, visual
merchandising, organising special events, public relation etc.

3.3 Finance department:

Credits, payments, inventory control is the major responsibility of this department.

3.4 Production department:

The responsibility of this department include order processing, line balancing, production planning, setting
production floor, ordering machine and equipment, maintaining optimum output, ready the production
order time, getting the quality check done and shipping on time , control the cost etc.

3.5 Human resource development department:

Hiring new personnel, salaries, wages distribution, training of the workforce, record keeping etc. is done
by this department..

14
 CHAPTER- 4
MARKETING PROCESS

15
 CHAPTER- 4
4.1 MARKETING PROCESS:
Companies which adopt a market orientation recognize that export marketing is vital to the success
of companies. Exports are the major portion of textile production. Let us consider for a moment how
export marketing plays a major role in the progress of group. More than 90 % of Saraswathi’s Textile
products are exported to different countries of the world. The export department is taking suitable and
proper steps to enhance the value of Textile in the international market. In this way Textile has been
proudly mainiting its leadership in 100% pure cotton products along with the man made fiber. Textile
Industries Limited is value adding to the country’s silver fiber by vertical integration of the product line.
The product range consists of the following but is not limited by this list. It has ability to be immediately
turning its infrastructure to meet any specialized requirements of the ever demanding export markets both
local and international.
The product range in pure cotton is available as Sateen both in mono cotton and poly cotton, Bed
sheets, Pillows, Quilt covers, Aprons, Kitchen aprons, Boxer shorts, Bermuda shorts, Curtains, Comforter
Shells, Bed in a bag, Swag set, Festoon set, Place mates, Nighties, ready made garments, are available in
most exotic and fascinating designs. Saraswathi textile has pioneered in the following fabrics unrivalled by
any other in the industry.

BUYER’S INQUIRY
The work of export department starts from Buyer’s inquiry. First the buyer inquires the STIL
regarding his required specified products, which he wants. Inquiries are received from customers through
any one of the following sources:-
 Textile exhibitions
 Personal visit to customers
 Customer’s visits of STIL
 Faxes, Telephone, Mail, E-Mail, etc.
In the buyer’s inquiry, the buyer specifies the required quality, design and quantity of fabric. In case of
made ups/garments the specification and requirements of products are also demanded.

REPLY TO INQUIRIES
After receiving the inquiry from buyer, the Deputy export Manager ensures that all the inquiries for
the products are processed efficiently in STIL: is STIL in a position to fulfill the customer requirement
efficiently and within time. The Deputy Export Manager satisfies himself that the company has the
16
capability of fulfilling the offer. Now the DEM (Deputy Export Manager) and GM (General Manager
Export) make analysis of inquiry to make decision to produce it or not.

GREY PROCUREMENT SHEET

The Export Manager analyses the order confirmation sheet received from the customer and
prepares Grey Procurement sheet accordingly. The Deputy Export Manager, General Manager Export and
Chief Executive sign the Grey Procurement sheet and also costing sheet. This Grey Procurement sheet is
faxed to Grey Fabric Procurement Department.
Following is the format of Grey Procurement sheet,
GREY PROCUREMENT
Buyers order no : STI/360/07
Supplier : STIL
Buyer : Franco
Construction : 76 x 56 / 35 x 35
Width : 93``
Price / meter : 30 $
Weight of fabric : 95 gm / m2
Weave : Plane
Loom : Shuttle’s
Quantity : 50000 Mts.
Delivery : As soon as possible
Piece length : 80 % 80 Mts. Up, 20 % 25 Mts. Up
Process : Printing
Mending : Mending should be done

For Saraswathi textile

Deputy Manager Export General Manager Export

SALES CONTRACT
The export manager prepares the sales contract in accordance with the order confirmation sheet.
The Deputy Manager Export signs this sales contract and it is faxed to the customer for his counter
signature.
If the customer wants some changes in the sales contracts then the General Manager Export and the
Deputy Export Manager make analysis of these changes as per requirement of the customer and make

17
decision whether these changes are workable for them or not. If these changes are workable for the STIL
then new sales contract as per new amendments is faxed to the customer for his counter signature.

BUYER’S PURCHASE ORDER

After signing the sales contract the buyer gives the order regarding the specified design, quality and
quantity. The purchase order consists of date, purchase order no, terms, shipment date, prices, vendor
name, reference no; description of products required and price of products. The purchase order is received
from the importers, which is on their letterhead and is signed by the concerned authorities of that
organization. The format of order is like this,
PURCHASE ORDER
EXIMPO, INC. Export House / Manufacturer / Distributors / Agent

PURCHASE
ORDER

TERMS Against L/C VENDOR

SHIPMENT
DATE
01 / 07 / 2007 Saraswathi textile industries limited
SHIP VIA Sea
P. O. No. Main Bazaar,
PRICES C & F us c 5%
Ooty.
Our Ref. # Description 22 / 06 / 2001 970002 Qty Rate $ Amoun
INDIA
t$
Design HORIZONS
Process Pigment Printed
Construction 100 x 80 / 40 x 40 Sheet sets
76 x 56 / 35 x 35 Accessories
Blending 52 / 48 Sheet sets p/c
65 x 35 Accessories p/c
Loom Shuttle less / Power loom
Style # Bed in a Bag
370537 Twin 480 23.85 11484.
370540 King 600 28.35 00
17010.
370555 Euro shams 84 1.25 00
370557 Table round 96 2.25
105.00
216.00
18
 35815.
00

STRIKE OFF PROGRAM

Most of the customers send there own designs in the form of Artwork and fabric sample in case of
the printing of the design of the customers. The Deputy Export Manager and Export Manager discuss the
design comprehensively with the manager Design department. textile has a rotary strike off machine from
J-Zimmer Austria with 15 meters blanket for making strike off’s as per buyer’s requirements. Strike Off
program is prepared by the Export Manager and it is distributed to all the concerned departments e.g.,
Designing, Engraving and Printing, etc.
The Deputy Manager Export and Manager Export do inspection of the Strike Off as per buyer’s
instructions before its dispatch. If it is as per requirement of the customer then it is dispatched to the
customer otherwise it is processed again to meet the demands of the customers.

OPENING OF LETTER OF CREDIT

If the customer approves the strike off then STIL consider this for bulk production and if he needs
some changes in design and colors then the Export Manager passes this information to the Designing and
Printing Department to meet the demand of customers.
Before the bulk production, the Deputy Export Manager asks the customer to open Letter of Credit as per
terms and conditions of the Sales Contract. The Deputy Export Manager studies comprehensively all the
clauses of L/C. If any amendment is required then these amendments are managed with the customer.
The Export Manager prepares the Production Schedule as per requirements of the customer and it is signed
by the Deputy Export Manager. The production schedule is distributed to all the concerned departments.

Following is the format of Letter of Credit and Production Schedule,

PRODUCTION SCHEDULE
Party : FRANCO, INC.
Order no : 786 / 05
SGP no : STIL 5
Quality : 76 x 56 / 35 x 35 PC 70 / 30 Printed cloth 84`` finish from
87``, 63`` Grey width printed and calendar cloth.
Product : White, Dyed
19
Quality Standards:
Pilling rating : 4 Washing :4
Rubbing fastness : Dry 4, Wet ¾ Bowing: 1% Crocking: 1%

ASSORTMENT:
COLOR QUALITY QUANTITY WIDTH
White 76x56 / 35x35 32000 Mtrs. 87``, 84``
White 76x56 / 35x35 11000 Mtrs. 63``, 60``
Dyed ivory color 76x76 / 30x30 11000 Mtrs. 93``, 83``
100% Cotton

FINISHING : We will give you Standards

PACKING : Role on Tube
SHIPPING MARK:
Order no. Roll no. Hungry port Mtrs.
Saraswathi Textiles Gross Weight Made in Ind. Net Weight
Note: We will confirm you shipping mark.
Manager Export
CC to,
GM Processing Grey Department Design Department
Laboratory Department Printing Department Dyeing/Bleaching Department
Finishing Department Packing Department Accounts Department

QUALITY CONTROL
The Export Manager is responsible for quality of the work during processing. The Export Manager
daily visits the production department and gives the proper guidance to the production department’s
employees regarding the processing of Fabric. At each stage of processing samples are sent to the
laboratory for inspection, and laboratory tests are very helpful for maintaining the quality.
In the quest of quality in today’s technologically advancing era ,STIL is able to analyse in detail the
procedures of checks and numerous tests to balance out through the involved stages of processing to
enhance and make quality a consistent feature. Control Shrinkage, Pilling Resistance, Abrasion, Color
Fastness, and Washing Fastness are the few processes very carefully monitored.

20
Acquisition of the best possible quality control equipment ensures best quality products. Unit has a most
modern and latest computerized equipment in its laboratory, for every test required for fabric, including
shrinkage, rubbing fastness, light fastness and weaving of the fabric.

FINISHING
Finishing depends upon the buyer’s order. If the end product is made-up (in stitched form) then the
Export Manager prepares Stitching Schedule as per requirement of the customer mentioning all the details
of stitching and packing and sends this schedule to the stitching department.
The Export manager does inspection of the made-ups goods at every stage of production of make-up, e.g.
cutting, stitching, packing, etc. and before the shipment the Export Manager does the inspection of the
consignment.
Manager Export maintains all the records of the correspondence of the customers in a very organized way.
He also maintains records for each shipment for future reference.

DISPATCHING
After completing the finishing of the cloth as per requirements of the buyers, the cloth is packed as
per requirements and shipped to the port or as per mentioned in the L/C.

EXPORT DOCUMENTATION DEPARTMENT

All the documentation required is maintained in this department. The Export Manager and Banking
Manager supervise this department. This department prepares all the papers, which is necessary for
banking negotiations. They prepare these documents and send them to their bank for collection of
payments.
Following are the important documents, which are prepared by this department,
 Bill of Exchange 2 Copies
 Commercial Invoice 6 Copies
 Packing List 3 Copies
 3/3 Original Bill of Lading (As per L/C requirement)
 Certificate of Origin 2 Copy
 Beneficiary’s Certificate 2 Copies

21
 Generalized System of Preferences 2 Copies
 Inspection Certificate 1 Copies
 Weight Note
Following are the formats of these documents,

The Manager, Ref. STI-360/07

The Bank of Punjab Date: 30-08-2007
Railway Road Branch,
Coonoor.

Dear Sir,

Documents for US$: 73,030.52 for negotiation against letter of credit number IC019466U dated 14-
06-07 from WACHOVIA BANK, NA CHARLOTTE, NC US

We are pleased to enclose the following documents for Negotiation under above mentioned letter of credit,
please credit the amount to our CD Account at the time of negotiation.

1. Bill of Exchange 2+0

2. L/C 1+1
3. Commercial Invoice 3+3
4. Packing List 0+2
5. Single Country Declaration 0+2
6. Container Load Manifest 0+2
7. Bill of Lading 2+3
8. Inspection Certificate 0+2
9. Protocol Test Certificate 0+2
10. Beneficiary’s Certificate 0+2
11. Beneficiary’s Certificate Along With Courier Receipt 0+2
12. Beneficiary’s Certificate Along With Email Copy 0+2
13. Form 'E' Duplicate & Triplicate 2+0

Invoice Value Freight FOB Value

$75,289.20 $3,500.00 $71,789.20 22

W.H.T 1.00%

E.D.S 0.25%
Thanking you,

Yours truly,

(120 DAYS FROM BILL OF LADING FOR 97 PCT OF THE

INVOICE VALUE)
FOR SARASWATHI TEXTILE IND. LTD
EXPORT MANAGER

23
BILL OF EXCHANGE

INVOICE NO.STI-360/07

FOR US$: 73,030.52 DATED: 28-08-2007

AT 120 DAYS FROM BILL OF LADING FOR 97 PCT OF THE INVOICE VALUE OF THIS
FIRST OF EXCHANGE (SECOND) OF THE SAME TENOR AND DATE BEING UNPAID PAY TO
THE BANK OF PUNJAB, RAILWAY ROAD BRANCH,COONOOR,INDIA.

OR ORDER THE SUM OF U.S. DOLLARS SEVENTY THREE THOUSAND THIRTY AND
CENTS FIFTY TWO ONLY.
VALUE RECEIVED AND CHARGE THE SAME TO ACCOUNT OF 1175 CARTONS MADE UPS.
DRAWN UNDER: WACHOVIA BANK, NATIONAL ASSOCIATION CHARLOTTE, NC

L/C NO. IC019466U DATED: 14-06-2007

TO,

1525 WEST W.T. HARRIS BLVD. – NC0742,

CHARLOTTE NC 28262-8522
ATTN: LC UNIT

24
BILL OF EXCHANGE

INVOICE NO.STI-360/07

FOR US$: 73,030.52 DATED: 28-08-2007

AT 120 DAYS FROM BILL OF LADING FOR 97 PCT OF THE INVOICE VALUE OF THIS
SECOND OF EXCHANGE (FIRST) OF THE SAME TENOR AND DATE BEING UNPAID PAY TO
THE BANK OF PUNJAB, RAILWAY ROAD BRANCH, COONOOR,INDIA.

OR ORDER THE SUM OF U.S. DOLLARS SEVENTY THREE THOUSAND THIRTY AND
CENTS FIFTY TWO ONLY.

VALUE RECEIVED AND CHARGE THE SAME TO ACCOUNT OF 1175 CARTONS MADE UPS.
DRAWN UNDER: WACHOVIA BANK, NATIONAL ASSOCIATION CHARLOTTE, NC

L/C NO. IC019466U DATED: 14-06-2007

TO,

1525 WEST W.T. HARRIS BLVD. – NC0742,

CHARLOTTE NC 28262-8522
ATTN: LC UNIT

25
COMMERCIAL INVOICE
INVOICE NO : STI-360/07 DATE: 24-08-07
FORM E NO : ABL-0006544 DATE: 24-08-07
MANUFACTURER : SARASWATHI TEXTILE INDUSTRIES LTD
6-K.M. SARGODHA ROAD FAISALABAD INDIA
APPLICANT : FRANCO MANUFACTURING CO
555 PROSPECT STREET METUCHEN, NJ 08840
SHIPPED PER S.S : MAERSK VIRGINIA VOY-0712
FROM CHENNAI (INDIA) TO : DILLON, SC USA
DRAWN UNDER L / C NO : IC019466U DATE: 14-06-07
PAYMENT TERM : 120 DAYS FROM BILL OF LADING FOR
97 PCT OF THE INVOICE VALUE

MARK DESCRIPTION QUANTITY UNIT AMOUNT

& NO
PO 7592 1175 CARTONS. PRICE
US$ US
CFR DOLLARS
PO 7634
DILLON,
CARTON PO NUM STYLE NUM QTY UOM SC
NO. PROD DESC
INCLUSIVE
1 – 698. 7592 M4391Q 4536 PC DSNY
OF
CMFSHL TW DRDRY PR
1 – 477. TERMINAL
7592 M4392Q 3840 PC DSNY HANDLING
CMFSHL FL DRDRY PR CHARGES

7634 M8611Q 5724 PC CMFSHL

3840 PCS 22,963.20
TW BRTZ HLLYWOOD
10260 PCS 52,326.00
MERCHANDISE DESCRIPTION: 5.98/PIECE
5.10/PIECE
55 PERCENT POLYESTER AND 45 PERCENT
COTTON WOVEN COMFORTER SHELLS
(HTS A6307.90.9889) AS PER PO 7592 AND
7634.

26
 PRINTED COMFORTER SHELL FULL

PRINTED COMFORTER SHELL TWIN

"THE ARTICLES ON THIS INVOICE DO NOT

CONTAIN ANY EMBROIDERY, LACE BRAID,
EDGING, TRIMMING, PIPING OR APPLIQUE
WORK."

FOB INVOICE VALUE US$: 72,052.20

SEA FREIGHT VALUE US$: 3,237.00
TOTAL
75,289.20
US$:-

LESS 3% DISCOUNT:
2,258.68
==========================
NET AMOUNT US$: 73,030.52
==========================
CERTIFIED THAT ABOVE GOODS ARE OF INDIAN ORIGIN

For SaraswathiTextile Industries Ltd.

Manager Exports
FORMAT B/L OF INVOICE STI-360/07

SHIPPER. : SARASWATHI TEXTILE INDUSTRIES LTD,

MAIN BAZAAR,
OOTY, INDIA.

CONSIGNEE : TO THE ORDER OF:

FRANCO MANUFACTURING CO., INC,
555 PROSPECT STREET, METUCHEN,
NJ 08840, ATTN: CAROLE ECKEL.
27
 FORM 'E' NO. AIB-0045918 DATED: 30.09.06

NOTIFY PARTY : FRANCO MANUFACTURING CO

555 PROSPECT STREET,
METUCHEN, NJ 08840.
AND ALSO NOTIFY:
ROGERS AND BROWN,
2 CUMBERLAND STREET,
CHARLESTON, SC 29401.
ATTN: IMPORT DEPARTMENT.

VESSEL NAME : ___________________________? SHIPPED ON BOARD.

PORT OF DISCHARGES: CHARLESTON SC. USA..

------------------------------------------------------------
MARKS&NOS. DESCRIPTION OF GOODS.
------------------------------------------------------------
PO 7592 1175 CARTONS.
PO 7634 -------------
CARTON NO. 55 PERCENT COTTON 45 PERCENT POLYESTER
1 – 698 SHEET SETS AND 55 PERCENT POLYESTER AND
1 – 477. 45 PERCENT COTTON WOVEN COMFORTER SHELLS
AS PER PO 7592 AND 7634.
PO NUM QTY UOM STYLE PRODUCT DESCRIPTION
2646 6972 SET M4281P TW SHTST
7586 6300 PC M4691Q TW CMFSHL

GR. WT.
14858.550 KGS
NET WT.
12450.900 KGS
L/C NO. IC019466U DATE: 14-06-07

CONTAINER NO. TPHU-508055-5 1X40 STD

FREIGHT & DDC PREPAID BREAKUP MUST BE SHOWN ON B/L.

28
WEIGHT NOTE
Ref: STI-360/07
Dated: 24/08/07
Reference letter of credit no. IC019466U DATE: 14-06-07
35,336 meters.
Quality: 76x56 / 35x35 PC 70/30%
Weight per square meter. 92grms.
1) 5,555 meters
Quality: 76x76 / 30x30 100% cotton
Weight per square meter: 120grms.
Total rolls: 228
Total meters: 40921
Total gross weight: 8540.400kgs.
Total net weight: 8132.400kgs.

For SARASWATHI TEXTILE INDUSTRIES LIMITED

Export Manager

INSPECTION CERTIFICATE
EXIMPO, INC.
Export House / Manufacturer / Distributor / Agent Date: 20/07/07
This is to certify that 228 cartons are being shipped against invoice no STI-360/07 dated 20/07/07 in
accordance with purchase order no. 9003726 and 9003725.
The merchandise is 100% new and according to the specification required by M/S Domestication USA.

For EXIMPO, INC.

Design Manager

29
SINGLE COUNTRY DECLARATION
STI-360/07
I Export Manager hereby declare that the articles listed below and covered by the entry to which
this declaration relates are wholly the growth, product or manufacturer of a single foreign territory or
country or insular possession of the United States as identified below. I declare that the information set
forth in this declaration is correct and true to the best of my information, knowledge and belief.
A. INDIA (COUNTRY NAME)
B. _____________________ (COUNTRY NAME)
C. _____________________ (COUNTRY NAME)
D. _____________________ (COUNTRY NAME)

Marks of Identification Description of Article Country of origin

Number and Quantity
As per Invoice No: 1175 cartons
STI-360/07 1850 pieces /unit /set
Date 19/07/07 of Comforter, Set bed INDIA
Style #9003725 in a bag
Style #9003726 1000 twins
850 Comforter
L/C No: IC019466U
Date: 14/06/07

30
 CHAPTER- 5
DEPARTMENTS AND ITS FUNCTIONS:

31
 CHAPTER- 5
5.DEPARTMENTS AND ITS FUNCTIONS:
5.1 Merchandising department:
The concept of term “Merchandising” can be traced dated back from the early historic period when the
emergence of the trade between the countries. There are numerous notes about the existence and evolution
of trade between the bigger civilizations in those periods like Greek, Roman, Indian, Chinese, and Egypt
.But during those days the meaning of the term merchandising confined merely to exchange of materials or
commodities which were availed from nature or produced from nature and they were not manufactured for
specific purpose or specific customers. There was exchange of materials which fulfills the basic needs of
living like commodities, live stocks, textiles and luxurious items like gold diamonds, precious stones.
Earlier days the production of goods was home based and family oriented which were not mass produced.
In the industrial period, home production was replaced by factory system and hand operations were
replaced by machines. Mass productions were followed by large-scale consumption.

TYPES OF MERCHANDISERS

1)FASHION MERCHANDISER:

Fashion merchandising involves all the activities starting from the fashion forecasting, design and product
development till to retail sales and this also include
production merchandising and retail merchandising. This will be taken care by the buyer’s part. Fashion
merchandise includes items of retail merchandise which have decorative value either with or without also
having functional value. Fashion merchandise includes mostly item of apparel since they can all be
decorative and functional.

32
 Fashion merchandising refers to all the planning and activities involved in bringing the right fashion
merchandising at the right place at the right time with right quantity at the right price and with right sales
promotion. The fashion apparel world exists between the designer and the retail customer. The field of
fashion merchandising exists to service the designer customer relationship.

2) EXPORT MERCHANDISING :

Apparel export merchandising may be defined as ‘all the planning & activities involved right from the
buyer communication & order receiving till the execution or shipment of the order by fulfilling the
following factors is called an export merchandise.
I) Right Merchandise
Retailers must fill their shelves with the merchandise that customer wants.
II) Right Place
The location of the merchandise is of prime importance since it decides the accessibility. Much
merchandise is seasonal in nature and must be on hand when it is most needed. III) Right Time
Much merchandise is seasonal in nature and must be on hand when it is most needed.
IV) Right Quantity
A profitable balance between volume of sales and amount of inventory is the desired goal.
V) Right Price
Merchandiser must arrive at a price that is high enough to give the store profit and yet low enough to
meet the competition and customer expectations of right price.
VI) Right Promotion
Right balance between the investment and the appeal created for the customers.

3)MODERN RETAILING:

The modern retailing in India is at the blooming stage with currently accounting to 5% in the total retail
market in India. Organized retailing is growing at the rate of 27% and by 2015 it is estimated that
organized retailing would be US$ 110 billion, around 20% of the total retail market. The apparel and
clothing industry being positioned at the first place and also the spending on apparel and clothing among
the customers are getting increased, it is very important to study the changing behavior of customers.

5.2 Marketing department:

33
 Many International markets are now extremely competitive due to the liberalization of the world
trade and investment environment. In industry after industry, capable competitors confront each other
around the globe. To be profitable in such an environment, a firm must make a clear and viable strategic
choice with regard to its position on the efficiency frontier, and action at the operational and strategic level
that support this position. That is why marketing strategy of the STIL is to satisfy customer through its
goods & services in line with the feed back from customer & timely shipment. The export department is
handling the international market in a very proper and appropriate manner. The export department consists
of competent and skilled team of professionals. Taking into consideration that the 90 % of total production
of Saraswathi textile is exported through out the world, the export department tries its best to generate
valuable customers through out the world.
5.2.1 PROMOTIONAL STRATEGIES
STIL use all available means to promote products and communicate information they make
effective use of strategies like Advertising, Sales promotion, Trade promotion, PR etc. to thrive in
the international and local markets

1. The Role of Advertising

As a tool of marketing, advertising is the structured and composed non – personal communication
of information .It is persuasive about products services or ideas. STIL’s advertising makes the buyer aware
of the products and communicates the information about the products floated in the market. On a broader
scale their advertising engorges the development of new products and speeds their acceptance.

It fosters employment, gives consumer and businesses and wide variety of product choices.

2. The Role of Public Relations

In this world of growing economies and tough competition, corporations realized that the direct
personal contact and relationship with consumer is the prime opportunity to build and maintain
relationships that result in future sales. Also it is way to create mutual goodwill.

The Primary Role of Public relation is to manage the organization‘s reputation and help build public
consent for its enterprises. In today’s completive environment public consent can no longer be assumed .At
STIL this aspect is given due attention .The CEO is always willing to meet visitors, pay visit and know the
public consent. There is team of efficient managers who explore every avenue. They plan execute the
public relations programmes. They constantly monitor and analyse changes of attitudes in variety of
publics. They visit shopping centers conduct interview analyse incoming mails and field reports .The

34
organization uses PR to manage relationships with vendors, the employees customers, stock holders
competitors and the public in general.

3. The Role of Sales Promotion

Sales promotion is direct inducements that offer extra incentives with the objective to enhance or
accelerate the product’s moment from the producer to the consumer. Saraswathi Textile Industries Ltd
believes in direct inducement. So their prizes, extra products, gifts or specialized information are offered to
the consumers. The consumers are invited to visit a store , ask for literature , personally examine displayed
product or takes some other action .These incentives add tangible immediate and extra value to the brand
.To become a market leader a brand needs both advertising and sales promotion . STIL’s sales promotion
is creative and hard to imitate. Their coloring combination, designs and prints are unique.

4. The Role of Trade Promotion

To move their products from the distribution outlets to the point of consumption, marketers employ
two types of strategies: push strategy and pull strategy. Push strategies are offensive tactics that are
designed to attract customers and increase the demand for the products. The push strategies are defensive
tactics designed to secure the cooperation of the retailers, gain some space and protect against the
competitors. Trade promotion is an aspect of push strategy. Textile Industries Ltd uses this channel to push
the product ahead and gain self-space. The CEO never any opportunity to introduce textile’s products in
the great global exhibitions from China to Germany, Textile Industries Ltd is on the top of the list of the
Ministry of Trade and Commerce to introduce themselves in the international markets through the trade
promotion exhibitions and programme.
5.2.2 PRICING STRATEGY
When the DEM confirms that the required design can be easily prepared in STIL, and then he
replies to the buyer “we are in a position to make your order”. The EM takes Grey fabric price from the
Grey fabric procurement department. The EM calculates the prices then the DEM checks and signs the
costing.
Most of the customers send their own designs in the form of Artwork and fabric samples in case of printing
of the design of the customers. On instructions of DEM, the EM asks the sampling department and also
coordinates for the sampling requirement and its dispatch, if the customer for quality purpose requires it. If
the price quotation is workable for the customer then he places order with terms and conditions mutually
agreed.

35
Sometimes if prices are not workable for the customer, he offers his target price. Then the DEM and EM
recalculate this price and if it is workable for STIL then DEM proceeds to ask the customer for order
placing otherwise does not proceed.
There are three pricing strategies being used in STIL,

Competitive base price Price prevailing in competitive international market

Customer base price Mutually negotiated price between customer & STIL
Product base price Product price as per customer specification

5.2.3 DISTRIBUTION MIX OF STIL

There are two ways of distribution adopted in STIL,

1 Direct channel
2 Indirect channel
1. Direct channel
1.1 STIL

Mostly STIL deal and distribute their goods direct to customers. They have three zones for different
sectors, zone 1 deals with South America, Middle East and South Africa. Similarly zone 2 deals USA,
Canada and Australia customers and zone 3 deals with Europe.

1.2 CUSTOMERS
Zone 1: Luckeller, SDE, Demick, SGI, Commercial Valencia, WRT Home Choice

Zone 2: Franco, Eximpo, Ellery, Beco, Waltmark, Target, Eadeco, and Andrew
Distribution, Marimac Group, Depsche

Zone 3: Manor Park, K-Shaw, Coop, Doutex, and Halge Flasher, Pamec, L3C SAS

2.Indirect channel

2.1 AGENTS / MIDDLE MAN

STIL also deal and distribute their goods through agents/buying Houses to avoid heavy losses
in foreign countries because of unknown market situations in the beginnings of its business
and investing huge amounts in that particular country.
36
 Zone 1: MRC

Zone 2: Rehmat, Spring, Giltex,

Zone 3: Intergroup, Fintex

5.3 Production department:

The responsibility of this department include order processing, line balancing, production planning, setting
production floor, ordering machine and equipment, maintaining optimum output, ready the production
order time, getting the quality check done and shipping on time , control the cost ,pricing,distribution
channel etc.

5.3.1 PRODUCT PLANNING, DEVELOPMENT & MANAGEMENT:

At STIL strategies are adopted for managing the existing textile products adding new ones and
discarding out dated prints and patterns. In the executive meeting strategies are made regarding ,packing
and other marketing incentives , compensation of loss and replacement of damaged goods.
At the initial stage of planning the marketing , processing and production manager meet together in a
meeting presided over by the CEO the design , the quality and texture of the product are discussed in
detail . The processing and production manager have to confirm that the product canbe easily prepared in
the STIL . The CEO gives the final approval.
Product development Process
The standard quality products of STIL are popular both at home and abroad the products are prepared
according to the customer requirements. Like other established organizations STIL based the
development of their products on the following steps:
i. Generating Product ideas
By studying the market demands information is gathered public trends feed back is collected from
the current customer and the prospective customers. Also the products of other organizations are
analyzed including their position in the market.
ii. Screening the Ideas
Product ideas are evaluated to determine which ones warrant future prospects.
iii. Business Analysis

37
 A dynamic idea is expended in two-way concrete business proposal. Here starts the function of
efficient .
The business analysis enables the management to achieve the following objectives : -
a. Identify the product features as per requirements.
b. Assess market demands, competition and profitability.
c. To make the final plans to development of the product.
iv. Trail Model
Considering that the business analysis is favorable, the management approves the products for the
development. Suggestions from the finance department regarding the cost of production are given due
importance. It is assessed whether cost wise he product is feasible or not.
The production prepares a trail model of the product. This strategy is considered positive for the product
development.
V. Commercialization
The organization determines on full scale if it is successful I the market example of STIL product
planning and development is Ramraj and Spana Laun . Theses two products attract the customer on large
scale. The buyers’ response and periodical market reports tell the administration what changes to bring
about in quality and designs .

5.4 FINANCE DEPARTMENT:

The part of an organization that manages its money. The business functions of a finance
department typically include planning, organizing, auditing, accounting for and controlling its company's
finances. The finance department also usually produces the company's financial statements.

TO PREPARE THE BUDGET

It is duty of finance department of company to make the budget before actual providing money to any
department. It will be helpful to fulfill each department with minimum cost. Finance department can take
the past records from respective department.

FINANCIAL MANAGAEMENT
In this function finance department gets money from capital market at very low risk and cost. Finance
department analyzes all the resources of funds and create a good financial structure of company. In this
structure, finance department analyze whether it will decrease the overall capital of cost on cash basic or
not a finance manager.

38
MANAGEMANT OF INVESTMENT OF COMPANY
The making financial structure, finance department invests debenture holders and shareholders money in
best projects for getting highest return on investment. For this finance department has to take investment
decision. These investment decisions can be taken with the help of capital budgeting and investment
analysis techniques.

MANAGEMENT OF TAX
Management of taxes is also the function of finance or finance department. Taxes may be direct or indirect.
Finance department continue watches the amendments and updates in tax laws and also create good
corporate relation with government by paying return corporate tax on the time.

5.5 HUMAN RESOURCE DEPARTMENTS

An efficiently run human resources department can provide your organization with structure and the
ability to meet business needs through managing your company's most valuable resources its employees.
There are several HR disciplines, or areas, but HR practitioners in each discipline may perform more than
one of the more than six essential functions. In small businesses without a dedicated HR department, it's
possible to achieve the same level of efficiency and workforce management through outsourcing HR
functions or joining a professional employer organization.
 Recruitment
The success of recruiters and employment specialists generally is measured by the number of positions
they fill and the time it takes to fill those positions. Recruiters who work in-house as opposed to companies
that provide recruiting and staffing services play a key role in developing the employer's workforce. They
advertise job postings, source candidates, screen applicants, conduct preliminary interviews and coordinate
hiring efforts with managers responsible for making the final selection of candidates.
 Safety
Workplace safety is an important factor. The Occupational Safety and Health
Act of 1970, employers have an obligation to provide a safe working environment for employees. One of
the main functions of HR is to support workplace safety training and maintain federally mandated logs for
workplace injury and fatality reporting. In addition, HR safety and risk specialists often work closely with
HR benefits specialists to manage the company's workers compensation issues.
In a unionized work environment, the employee and labor relations functions of HR may be combined
and handled by one specialist or be entirely separate functions managed by two HR specialists with
specific expertise in each area. Employee relations are the HR discipline concerned with strengthening the
employer-employee relationship through measuring job satisfaction, employee engagement and resolving
workplace conflict. Labor relations functions may include developing management response to union

39
organizing campaigns, negotiating collective bargaining agreements and rendering interpretations of labor
union contract issues.
 Compensation and Benefits
Like employee and labor relations, the compensation and benefits functions of HR often can be handled
by one HR specialist with dual expertise. On the compensation side, the HR functions include setting
compensation structures and evaluating competitive pay practices. A comp and benefits specialist also may
negotiate group health coverage rates with insurers and coordinate activities with the retirement savings
fund administrator. Payroll can be a component of the compensation and benefits section of HR; however,
in many cases, employers outsource such administrative functions as payroll.
 Compliance
Compliance with labor and employment laws is a critical HR function. Noncompliance can result in
workplace complaints based on unfair employment practices, unsafe working conditions and general
dissatisfaction with working conditions that can affect productivity and ultimately, profitability. HR staff
must be aware of federal and state employment laws such as, the Fair Labor Standards Act, the National
Labor Relations other rules and regulations.
 Training and Development
Employers must provide employees with the tools necessary for their success which, in many cases,
means giving new employees extensive orientation training to help them transition into a new
organizational culture. Many HR departments also provide leadership training and professional
development. Leadership training may be required of newly hired and promoted supervisors and managers
on topics such as performance management and how to handle employee relations matters at the
department level. Professional development opportunities are for employees looking for promotional
opportunities or employees who want to achieve personal goals such as finishing a college degree.

40
 CHAPTER- 6
CRITICAL ANALYSIS

41
 CHAPTER- 6
CRITICAL ANALYSIS:
6.1 CRITICAL ANALYSIS

The internship at saraswati Textile has added much to my knowledge. In this report I have written

introduction and history of STIL. Where then I have written vision, mission and core values adopted by the

industry. I have also done the critical analysis of Textile. According to my knowledge following factors

have disturbed the functionality of the organization.

 POLITICAL FACTORS

It is fact all government agencies and influential groups that somewhat influence various
organizations and individuals in a given society are included among political factors. Present change in the
political scenario can definitely be favorable for economy of the next financial year .All the sanctions,
which were imposed by the USA after the nuclear explosion, have been removed. Now with the change of
political situation, the exports of the country are increasing day by day. In this way foreign exchange
earning has increased.

It is also duty of the government to take care of textile sector and make good policies for this sector for the
exports and imports.

 ECONOMIC FACTORS

The products of textile have positive image in local and international market .The economic
environment consists of factors that reflect consumer purchasing power and spending pattern. The
consumptions of STIL products are considered best in quality in most of the international markets.
Textile has a large impact on their markets. So, before entering the international markets, the Textile
must consider the changes in major economic variables such as income, cost of living, interest rates
savings and borrowing patterns.

 SOCIAL FACTORS

The cultural and social environment is made up of institutions and other forces that affect a
society’s basic values, perceptions and preferences and behaviors. People grow up in a particular society
that shapes their basic beliefs and values.
This is the policy of textile that the products for exports are designed according to the beliefs and values of
the international consumers. The products are made according to the changing lifestyles and liking and
disliking of the customers.

42
 TECHNOLOGICAL FACTORS
Being one of the largest in the textile sector, STIL has great financial resources and they are always
in a position to install the latest and advanced machinery in their production department. With the help of
modern technologies they are in position to design new products. After the introduction of new
technologies in designing and production department, STIL is planning to introduce flat bed thermo sole,
bleaching plant and their own powerhouse. The flat bed for which they are planning to install is the first
ever photo printed machine in Faisalabad textile sector. While in the engraving they are going to install
CST engraving for flat bed screens and it is the first machine introduce by the manufacturing company of
Germany. Introduction of new technologies creates new markets and opportunities for Textile Ltd.
Companies that do not keep up with technological changes soon will find their products out-dated and they
will miss new product and market opportunities. Because of good financial resources Textile has been
prompt in introducing new technology in all its departments.

6.2 SUCCESS & FAILURE OF PRODUCTS

Saraswati Textile is producing quality products throughout the world especially in local market.
This is because of its quality of yarn and fabrics. Fabric is based on quality yarn and yarn is based on the
quality of cotton. Top Management is basically of religious-minded people so the public respects its
products. STIL started this unit for its production since 1970 because of being Ooty’s oldest unit; the
demand of its product is very high.
The prices of its products are very high due to high quality spinning, weaving and finishing cost. That’s
why most of its products are out of the range of the poor people. There is no fare price shop in the unit as
well as in the open Market. The products are acceptable in the market because of their durability and high
quality. The major reason for the failure of some products is that poor people do not understand the
quality; they only understand price level.

6.3 LIST OF MAJOR COMPETITORS

 Chenab Textile Mills
 Nishat textile Mills
 Crescent textile Mills
 Masood Textile.
 Afroz Textile Mills
 Amtex Pvt Ltd.
 Bissmillah Textiles
 Kamal Textiles

43
6.4 FUTURE PROSPECTS OF THE ORGANIZATION
STIL is one of those well organized and established textile units which have ISO9001: 2000, ISO
14001:1996, Oeko-tex and are working under the certification of SA8000 and WRAP; that is why the
turnover of the employees is very low. To meet WTO a requirement top management is planning to invest
huge resources in modernizing the existing machinery set up so far and is also extending buildings in this
unit.
Most of the printing in the pervious years was based on pigment dyes. Now on the demand of some Hi-
tech customers from Germany (customers who pay high price) Reactive machine for printing and washing
are being installed. Similarly to replace manual packing new machinery has been ordered for the
mechanized packing, which will further protect the products for the exports.
This is the era of information technology; the top management has already developed IT cell in the unit
and is planning to develop E-Commerce. Future of this unit is very bright because top management’s main
focus is deadly strict on quality management in production as well as on time management.
In all matters the management of STIL focus on log term planning. Short planning is made in case of
immediate and unexpected matters. The management keep themselves abreast of the international
situation, natural calamities, the cultural aspects and the changing trends of the customers. Thus their
future plans have pragmatic implication.

6.5 SWOT ANALYSIS

6.5.1 STRENGTHS
 Adequate financial resources
 Specialized in printing
 Have a diversified units of industries
 Good market image
 Competent management and workers
 Have ability to compete with competitors
 In home facility of production
 Loyal customers
 Loss sustaining capacity
6.5.2 WEAKNESSES
 Uncertain chances of promotion
 Salary package less attractive
 Centralized decision making

44
  Lack of a proper human resource system, hence employees are not motivated to develop their
creative and innovative abilities.
 Due to high turn over the organization is not enjoying the economy of scale.
6.5.3 OPPORTUNITIES
 Large scale productions because of new market coverage and increasing demands
 Introduction of new variety in garments
 Extension of fashion-designing & stitching departments

6.5.4 THREATS
 GST and WTO pose biggest threats
 Instability of prices due to currency devaluation
 Entrance of new and quality conscious competitors
 Low price offered by the competitors
 Strong promotional activities by the competitors to convince buyers
 New quality, environmental and social accountability standards overhead are increasing rapidly.

45
 CHAPTER-7
CONCLUSION:

46
 CHAPTER-7
CONCLUSION:

The Saraswati Group of industries started their industrial activity in 1956 in the textile weaving sector
under the patronage of two brothers, N Kushalchand and N Gyanchand. At present the Group can rightly
feel proud of playing a vital role in the textile cloth spinning and finishing process and is having Choler
Alkali industries and a power plant. textile is one of the largest manufacturers and registered leading
exporter of textile goods in India. The organization is a registered exporter of textile products of our
country and is exporting quality products through out the world.
STIL has its own designing both manual and computerized. The patterns and designs are prepared in the
developing and screen making department. textile has large number of designs that comply with latest
requirement and patterns of variegated nature. They use extensive range of colours and print on varied
fabrics, such as poly cotton 50:50 plain weave, 100% cotton fabric plain weave, and percale, Sateen in
bleached, dyed and printed form.
In addition to fabrics STIL has a well set stitching department fitted with 120 machines for producing
value added textile products i.e. bed sheet sets, quilt covers, comforter shells, pillow covers, curtains, table
cloth and also ready made garments of export patterns and quality. Equitation of the best possible control
equipments ensures the best quality products. The laboratory of STIL is well supplied with the standard
quality equipments. Hence all tests concerning fabric shrinkage, rubbing fastness, bowing and washing of
the fabric are accurately conducted. The Group of industries is on the way to progress with giant steps. The
spinning Mill is producing very fine quality yarn. Hence the shortage of yarn and the unavailability of
chemicals are no problems. Rather these problems have been totally eradicated and this has caused the
rapid progress of the Group as a whole.

During my intern ship at the Textile Mills, I observed that STIL is among the foremost manufactures and
exporters of Textile products in India. The world market has acknowledged the quality of the products; that
is why the export programmers of Textile Industries are successful. The internship provided me an
opportunities unity to survey and find out the factors that have contributed to the success of STIL. The
following facts were noted to this regard:

1. The Role of Environmental Culture

The environmental culture of the organization has played and is playing a vital role for the success
and progress of STIL. The environment can be termed ideal because of the refined behavior of the
managers and mutual understanding among those equal in ranks. They all work in friendly atmosphere
and the interaction among the employees is based on good will and good faith. The CEO himself visits
every department daily. The matters are discussed and problems are solved on the spot. In addition to

47
this the chairman of SGI himself is often on a visit to have first hand knowledge and to know about the
problems and welfare of the employees.

2. The Quality Machinery , Equipment and Laboratory

The machinery and equipment installed at STIL are of standard quality. The processing plant
consists of sizing shearing, dyeing, mercerizing and calendaring units. The printing department
contains two rotaries and is equipped with installations from J. Zimmer, Austria. The processing
department has to handle cotton, poly cotton fabrics. It can produce printed fabric upto 280cm finished,
with 8 coloured design.

The laboratory is well equipped with the imported machinery. The testing is up to maximum standard
of accuracy, almost 100% in order to ensure the quality of the product and meet the standard set by the
customers. As laboratory is the backbone of textile industry, it is carefully monitored. To ensure high
level of maintenance, the laboratory is fully air- conditioned.

3. Discipline and Implementation of Rules

Discipline and implementation of rules and regulation is a marked feature of STIL that has led to its
success. The efforts of Human Resource department are appreciable in this regard. Both management
and the employees possess a willing zeal to abide by the rules and regulation. Hence the shifting time,
the lunchtime and closing time are observed strictly, but in congenial atmosphere.

4. Customer Satisfaction
Like all other established national and multinational organizations “Customer satisfaction” is the
motto of STIL. The customer satisfaction has a top priority at the STIL. The organization is known
for producing standard quality products. As such 90% of their products are exported .It was
observed during the internship that right from the first step of processing the standard and quality of
the product as required by the customer is kept in view. Every effort, every finished product sent,
gives a message to the customer :” you matter most”. The dyeing, the bleaching, the printing and
finishing, and above all, the packing of export cotton products-all processes are done keeping the
customer’s demands in view.

5. Use Of Cyber Technology

Another outstanding factor of STIL is introduction of cyber technology in various
departments. Most of the employees in the departments are computer literate. The use of computer
system has boosted up production and efficiency of work. The laboratory, the Administration
office, the import and export departments, are well supplied with the latest computer gear. STIL has
its website on the inter-net.

6. The Design Studio

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 An important factor that has led to the success of STIL is its Design Studio. The designers
of STIL are skilled persons and are expert in their fields. This department is mostly active in
producing innovative and original designs. Consequently; STIL’S products like ready-made
garments and finished material are never rejected abroad.

7. Facilities For The Employees and General Public

Textile Industries Ltd also provide residential and transport facilities to their employees. In
The backyard of the organization there is the residential area called Vasanti Nivsas. The employees
have to pay nominal rent for their residence. The facility is free for the trainees.

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