Introducation of Intership Trainning

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CHAPTER I

INTRODUCATION OF INTERSHIP TRAINNING

In plant training is an integral part of MBA program, because it gives us the practical

knowledge of what we have learnt during our study period. But practical knowledge is also

necessary along with the theoretical knowledge.

One can see how the theories and knowledge are being practically implemented. This

report is about a paper company. We prepared this report carried the information about all

department in the organization and necessary information’s of the company.

Training is the process of learning a sequence of programmed behavior. It is an

application of knowledge. It gives people an awareness of the rules and procedures to guide their

behavior.

Development is a related process. It covers not only those activities which improved job

performance, but also those which bring development of their personalities to help individual’s

progress towards the actualization of their potential capabilities.

Education is the understanding and interpretation of knowledge. Education imparts

qualities of mind and character and understanding of basic principles and develops the capacities

of analysis, synthesis and objectivity

As a MBA student, I inspired for studying various department and their contribution to

the successful running of a factory.


CHAPTER II

INDUSTRY PROFILE

A firecracker (cracker, noise maker, banger, or bunger is a small explosive device primarily

designed to produce a large amount of noise, especially in the form of a loud bang; any visual

effect is incidental to this goal. They have fuses, and are wrapped in a heavy paper casing to

contain the explosive compound. Firecrackers, along with fireworks, originated in China.

History

The predecessor of the firecracker was a type of heated bamboo, used as early as 200 BC, that

exploded when heated continuously. The Chinese name for firecrackers, baozhu, literally means

"exploding bamboo."After the invention of gunpowder, gunpowder firecrackers had a shape that
resembled bamboo and produced a similar sound, so the name "exploding bamboo" was

retained.In traditional Chinese culture, firecrackers were used to scare off evil spirits.

Firecrackers are generally made of cardboard or plastic, with flash powder or black powder as

the propellant. This is not always the case, however. Anything from match heads to lighter fluid

have been used successfully in making firecrackers. The key to loud firecrackers, however,

although in part lying in the propellant substance, is pressure. The entire firecracker must be very

tightly packed in order for it to work best. Flash powder, however, does not need to be packed

tightly, and should not be.

James Dyer Ball, in his book Things Chinese, has a detailed description about the process and

material used for making firecrackers at the end of the 19th century. At that time, firecrackers

were made by female and child workers, using straw paper to make the body of the firecracker,

while the fuse was made of bamboo paper imported from Japan, then stiffened with buckwheat

paste. The bamboo paper was cut into strips of 14 inches (360 mm) long and 1⁄3 inch (8.5 mm)

wide, laid on a table; a string of gunpowder was placed at the center with a hollow tube, then

twisted up to make a piece of fuse. The firecracker tubes were made from pieces of straw paper

wrapped around iron rods of various diameters and then tightened with a special tool. 200 to 300

firecrackers were tied up in a bunch, then red clay was spread at the bottom of the bunch and

forced into each end of the firecracker with a punch; gunpowder was poured in, then the other

end was sealed with an awl by turning the tube inward, and a fuse inserted.

Culture
Two men dressed as colonial soldiers carry a banner, exploding firecrackers, commemorating

Guy Fawkes and his co-conspirators as part of Lewes Bonfire Night celebrations.

Firecrackers are commonly used in celebration of holidays or festivals, such as Halloween,

Independence Day (also known as the Fourth of July) in the United States of America, Diwali in

India, Tihar in Nepal, Day of Ashura in Morocco, Guy Fawkes Night or Bonfire Night in the

United Kingdom, Skyfest in Ireland, Bastille Day in France, Spanish Fallas, in almost every

cultural festival of Sri Lanka (e.g. Sri Lankan New Year), New Year's Eve and New Year's Day,

Purim in Israel, and in the celebration of Chinese New Year by Chinese communities around the

world.

In Wales the slang term for a firecracker, typically used on Guy Fawkes Night, is a "jacky-

jumper".

Legality of firecrackers

Firecrackers, as well as other types of explosives, are subject to various laws in many countries,

although firecrackers themselves are not usually considered illegal contraband material. It is

usually the manufacture, sale, storage, and use of firecrackers that are subject to laws including

safety requirements for manufacture, the requirement of a permit to sell or store, or restrictions

on the use of firecrackers.

Firecracker ban

The use of firecrackers, although a traditional part of celebration, has over the years led to many

injuries. There have been incidents every year of users being blinded, losing body parts, or
suffering other injuries, especially during festivities that customarily involve firecrackers such as

Chinese New Year season. Hence, many governments and authorities have enacted laws

completely banning the sale or use of firecrackers, or banning the use of firecrackers in the street,

primarily because of safety issues.

 Australia — Australia, with the exception of its capital territory (ACT) and the Northern

Territory, does not permit the use of fireworks except by licensed pyrotechnicians. These

rules also require a permit from the local government, as well as any relevant local bodies

such as maritime or aviation authorities (as relevant to the types of fireworks being used)

and hospitals, schools, etc. within a certain range.

 Canada — Firecrackers are not authorized under the Explosives Act, thus making

importation, possession, transportation, storage, or manufacturing illegal in

Canada.Canada banned firecrackers on September 27, 1972 after media reports that two

children were killed and three others severely burned when some older children were

playing with firecrackers outside their tent. It later came out that the children inside the

tent had actually been smoking and, not wanting to tell their parents, had told them they

had been playing with firecrackers.Fireworks are still legal to buy for anyone 18 years of

age or over.

 Mainland China — As of 2008, most urban areas in mainland China permit firecrackers.

In the first three days of the traditional New Year, it is a tradition that people compete

with each other by playing with firecrackers. However, many urban areas banned them in

the 1990s. For example, they were banned in Beijing's urban districts from 1993 to 2005.

In 2004, 37 people were killed in a stampede when four million people gathered for a

rumored Lantern Festival firework display in nearby Miyun.Since the ban was lifted, the
firecracker barrage has been tremendous. An unusual feature is that many residents in

major cities look down on street-level fireworks from their tower blocks. Bans are rare in

rural areas.

 Czech Republic — Firecrackers are legal in the Czech Republic.

 Hong Kong — Fireworks are banned for security reasons, as some speculate a connection

between firework use and the 1967 Leftist Riot. However, the government stages a

fireworks display in Victoria Harbour on the second day of the Chinese New Year.

Similar displays are also held in many other cities in and outside China.

 Indonesia — Firecrackers and fireworks are generally forbidden in public during the

Chinese New Year, especially in areas with significant non-Chinese populations, to avoid

conflict between the two. However, there are some exceptions. The usage of firecrackers

is legal in some metropolitan areas such as Jakarta and Medan, where the degree of racial

and cultural tolerance is higher.

 Italy — Firecrackers are legal and can be bought without a licence by anyone 18 years of

age or over.

 Malaysia — Firecrackers are banned for similar reasons as in Singapore. However, many

Malaysians smuggle them from Thailand and the Philippines.

 Norway — The government of Norway decided to ban rockets in early 2009. Other types

of fireworks are still allowed.

 Philippines — Fireworks and firecrackers are widely available throughout the

Philippines, but are banned in Olongapo City (since 2008) and Davao City (since 2001).
 Republic of Ireland — Fireworks and firecrackers are not permitted in the Republic of

Ireland; however, many people smuggle them from Northern Ireland, where they are

legal. They are most common around Halloween.

 Singapore — A partial ban on firecrackers was imposed in March 1970 after a fire killed

six people and injured 68. This was extended to a total ban in August 1972, after an

explosion that killed two people. and an attack on two police officers attempting to stop a

group from letting off firecrackers in February 1972. However, in 2003, the government

allowed firecrackers to be set off during the festive season. At the Chinese New Year

light-up in Chinatown, at the stroke of midnight on the first day of the Lunar New Year,

firecrackers are set off under controlled conditions by the Singapore Tourism Board.

Other occasions where firecrackers are allowed to be set off are determined by the

tourism board or other government organizations. However, their sale is not allowed.

 Sweden — Only rocket-type fireworks are allowed in Sweden. The ban of firecrackers

was effectuated by the EU Parliament and Swedish government effective December 1,

2001, but in 2006 the EU Parliament changed the laws, allowing smaller types of

firecrackers. By 2008, the law had to be in effect in all EU member countries, including

Sweden.

 Taiwan — Beginning in 2008, firecrackers are banned in urban areas, but still allowed in

rural areas.

 United Kingdom — In 1997, firecrackers became illegal, but most other consumer

fireworks are legal.

 United States — In 2007, New York City lifted its decade-old ban on firecrackers,

allowing a display of 300,000 firecrackers to be set off in Chinatown's Chatham Square.


[16]
Under the supervision of the fire and police departments, Los Angeles regularly lights

firecrackers every New Year's Eve, mostly at temples and the shrines of benevolent

associations. The San Francisco Chinese New Year Parade, the largest outside China, is

accompanied by numerous firecrackers, both officially sanctioned and illicit.

 Vietnam — In 1994, the Government decided to ban firecrackers nationwide. Only

fireworks displays produced and performed by the government are permitted.

Firecracker brands, packs and labels

Early (pre-1920s) Chinese firecrackers (also known as "Mandarin firecrackers") were typically 1⁄2

to 2 inches (13 to 51 mm) long, and approximately 1⁄4 inch (6.4 mm) in diameter, and were

charged with black powder. Mandarin crackers produced a less loud, duller thud compared to

modern flash-light crackers (which utilize a different explosive known as flash powder).

Mandarin crackers produced a dimmer, less brilliant flash when they exploded also. Individual

Mandarin crackers were most often braided into "strings" of varying lengths, which, when

ignited, exploded in rapid sequence. Generally, the strings (sometimes containing as many as

several thousand crackers) would be hung from an overhead line before ignition. Most Mandarin

crackers were colored all red and did not generally have designs or logos decorating their

exterior surface (or "shell wraps"). Occasionally a few yellow and green Mandarin crackers were

created and would be braided into the predominantly all-red strings to symbolize the emperor

and the ruling class, while the numerous red crackers symbolized the common man.

Once flash powder, which produces a significantly sharper and brighter bang, replaced black

powder as a firecracker's explosive charge (circa 1924), manufacturers began competing to gain

loyalty of typical consumers (that is, mainly boys eight to 16 years old). Thousands of brands
were created during the flash-light cracker's heyday from the 1920s through the early 1970s.

Only a small percentage of brands lasted more than a year or two. Collectors now seek the

various labels from the era.

Until the mid-1980s, firecracker production was low-tech. They were handmade, beginning with

rolling tubes. Once the firecracker tubes were rolled by hand (commonly from newspaper) and

labelled, and then filled with powder, their ends were crimped and fuses inserted, all by hand.

These finished firecrackers were usually braided into "strings" and sold in packs which came in

many sizes, from the very small ("penny packs" containing as few as four to six firecrackers) to

the most common size packs (containing 16 and 20 crackers per pack), to larger packs

(containing 24, 30, 32, 40, 50, 60, 72, 90, 100, and 120 firecrackers), to huge "belts" and "rolls"

(packages containing strings of several hundred to several thousand crackers—Phantom

Fireworks sells rolls as large as 16,000 firecrackers )Firecracker packages were wrapped in

colourful and translucent glassine paper, as well as clear cellophane, with glassine the most

popular.

The final operation involved applying a branded label on each pack, then bundling finished

packs into wholesale lots called "bricks" which contained an average of 80 packs each (varying

according to the size of the packs being bundled; for example, packs of 32 crackers might have

40 packs per brick, compared to packs of 16 or 20 with 80 packs per brick).


CHAPTER-III

COMPANY PROFILE:

We are one of the largest cracker suppliers from the much known "CRACKER CITY" of India. We have more than

200 varieties of Pyro, Fancy and Aerial cracker items of more than 10 superior quality fireworks.We offer high

quality crackers and gift boxes to you at very low cost. With the term "very low cost", we mean that we are pricing

each individual item with typical Sivakasi wholesale cost.

Consistent with the purpose, MADHURA FIRE WORKS aims at bringing colourful

environment through product innovation with high technology. This will strive to lead the

pyrotechnic sector very high in the fireworks industry. This shall be achieved through high

productivity with lesser costs, continuous improvement in technological break-through and

human resources..
AN INNOVATIVE TEAM SPIRIT - That is what best describes MADHURA FIRE WORKS

and its Groups which was promoted in the early 60's. Our groups lives by its core value of

commitment, concern, integrity and Quality. Our manufacturing based unit of Fireworks, Colour

Matches, Packages, Chemicals, Printing and Polythenes has rapid growth by the constant

supports of our satisfied Customers in and around India and Abroad.


" MADHURA FIRE WORKS for Happy Moments"
Our Traditional Products of Sri Krishna Brands brings peoples together by happiness and joy.

Making good use of human resources and developing novel varieties with the power of

scientific research and development. The market percentage of our Sri Krishna Brands has

increased rapidly every year. Our continuous innovation in Trade fulfills our customer

satisfaction.
OUR PRODUCTS:

 Sparklers

 Chakkars

 Twinklings Stars

 Flower Pots

 Rockets

 Atom Bombs

 Pencils

 Cartoons

 Fancy Fireworks

 Flash Light Crackers

 Tukkada & Bijili Crackers

 Chorsa Crackers

 Giant Crackers

 Fancy Chinese Crackers

 Festival One Sound in Box

 Festival Chorsa Garlands

 Fancy Night Carnivals

 Colour Fountains

 Lillyput Colour Series

 Whistling Celebrations

 Con Fetti Celebrations

 Colour Comets
 Holiday Shells

 Aerial Novelties

 Millennium Colour Series

 Florals

 Cakes

 Fancy Expo Rockets

 Paper Caps

 Serpents

 Colour Matches

 Gift Box

OUTLINE OF COMPANY PROFILE


Area of operation : Entire the Sivakasi District

No. of dealers registered : 729

No. of dealers functioning : 617

No. of women dealers functioning : 69

No. of wholesalers :6

No. of standard dealers functioning :1

Total number of members : 1, 10,139

(Women – 33041)

Average cracker procurement at present : 2, 60,000 it’s per year

Average cracker sales during : 1, 80,000 it’s per year

Number of cracker storage centres :4

Number of crackers distribution routes : 32

Total crackers sales centre :5

Total number of cracker area : 777

Total number of crackers agent : 39

Total number of employees : 537

Crackers procurement team :5

Crackers collection route : 46

Crackers supply route : 21

Other staff members : 450

The Organisational hierarchy


Managing Director

HR Production QA Marketing Finance


Dept Dept Dept Dept
Dept

General Manager

Operation Manager Materials Finance HR Marketing


Manager Q&A Manager Manager Manager Manager

Maintenan
ce Manager

Executives
Executives Executives

Officers
Officers Officers

Operators Technician

MISSION:
To schedule work properly so that the jobs are completed on time

To provide quality services with unsurpassed dedication

Constantly strive for excellence in meeting customer satisfaction

To be a responsible corporate citizen contributing health a safe environment.

VISION:

To develop efficient work procedures and process in order to increase the

crackers union employees

To provide a satisfactory physical and mental environment for the organisation

To organize duties and responsibilities of employees within dairy

To develop satisfactory lines of communication between the management and

the employees in the union.

AWARDS AND REWARDS:

ISO 9002 awarded for production, supply of Crackers.

Sivakasi is an ISO 9001:2000 certified organization since 24.10.2002.

Tamil Nadu state government supported to the company to the company.

They reduced the taxes for the Crackers.

Government gives loans at very lower interest and sometimes government

discounting the loan also.


CHAPTER IV

FINANCE DEPARTMENT

MEANING OF FINANCE:

A branch of economics concerned with resource allocation as well as resource management,

acquisition and investment. Simply, finance deals with matters related to money and the markets.

To raise money through the issuance and sale of debt and/or equity is called finance.

In simple words, Arrangement of funds is called finance. All organizations need finance for

operating its different activities. So, we can say finance is just like blood for survival the

business in changing economic environment. Fund, money, saving, cash, reserves and assets are

the basics of finance. Finance word is very deep and in modern age, this word is also known

Business Finance. To create equilibrium in  business finance, we used different tools like

financial analysis, financial planning, ratio analysis, cash flow analysis, fund flow analysis and

working capital management analysis.

Primary Functions of finance department in Crackers Corporation Limited:

The five basic corporate finance functions in the company are described as those functions

related to;

1) raising capital to support company operations and investments ( financing functions);

2) selecting those projects based on risk and expected return that are the best use of a company's

resources (aka, capital budgeting functions);


3) management of company cash flow and balancing the ratio of debt and equity financing to

maximize company value (aka, financial management function);

4) developing a company governance structure to encourage ethical behavior and actions that

serve the best interests of its stockholders (aka, corporate governance function); and

5) management of risk exposure to maintain optimum risk-return trade-off that maximizes

shareholder value (aka, risk management function).

SECTORS OF FINANCE DEPARTMENT

 Account section.

 Payment section.

 Pay bill section.

 Marketing section.

 Auditing section.

 Cash section.

ASSETS

The assets of aavin union falls under two categories.

 Fixed assets.

 Current assets.

FIXED ASSETS
Land, building, plant and machinery, computer and accessories, vehicles(light and heavy),

office equipment, furniture and fitting, milk deport and parlors.

CURRENT ASSETS

Cash and bank balances, insurances claims.

The book maintained in this departments are,

 Cash book.

 Ledgers.

 Balance sheet.

THE BOOK MAINTAINED IN THIS DEPARTMENT:

 Cash book

 Day book

 Sundry creditor book

 Sundry debtor book

 Receipt bill book

 Bank payment voucher book

 Journal voucher book

 Bank reconciliation statement

 Debit note book

 Credit note book

 Purchase note book

 Sales book
 Casual labour management book

 Employees welfare register

Main functions of Finance Department in Crackers Corporation Limited:

 Preparation of budget, appropriation of accounts, re-appropriations, surrender and

savings.

 Control of expenditure and ways & means position.

 Audit Treasury administration Administration of Taxes i.e. Sales Tax, Entertainment Tax,

Luxury Tax and Entry Tax etc.

 Service Conditions including Freedom Fighters Pensions.

 Resource mobilisation through loans, Institutional Finance, Small Savings, Credit and

Investment and public debt.

 Financial concurrence and advice. Compilation of Codes, Rules and procedures

concerning financial transactions and having bearing on State finance and their

implementation. Safety and investment of funds from consolidated funds, contingency

fund and public account. Contract, recovery and refund of revenue etc.

Responsibilities of finance manager in Crackers Corporation Limited:

The finance department head is MR. S. Sharma, who has expert and experience governs the

finance department. The responsibilities of finance department in the company are as follows:
Almost every firm, government agency, and organization has one or more financial managers

who oversee the preparation of financial reports, direct investment activities, and implement cash

management strategies. As computers are increasingly used to record and organize data, many

financial managers are spending more time developing strategies and implementing the long-

term goals of their organization.

The duties of financial managers vary with their specific titles, which include controller,

treasurer or finance officer, credit manager, cash manager, and risk and insurance manager.

Controllers direct the preparation of financial reports that summarize and forecast the

organization's financial position, such as income statements, balance sheets, and analyses of

future earnings or expenses. Controllers also are in charge of preparing special reports required

by regulatory authorities. Often, controllers oversee the accounting, audit, and budget

departments.

Treasurers and finance officers direct the organization's financial goals, objectives, and budgets.

They oversee the investment of funds and manage associated risks, supervise cash management

activities, execute capital-raising strategies to support a firm's expansion, and deal with mergers

and acquisitions.

Credit managers oversee the firm's issuance of credit. They establish credit-rating criteria,

determine credit ceilings, and monitor the collections of past-due accounts. Managers

specializing in international finance develop financial and accounting systems for the banking

transactions of multinational organizations.


Cash managers monitor and control the flow of cash receipts and disbursements to meet the

business and investment needs of the firm. For example, cashflow projections are needed to

determine whether loans must be obtained to meet cash requirements or whether surplus cash

should be invested in interest-bearing instruments. Risk and insurance managers oversee

programs to minimize risks and losses that might arise from financial transactions and business

operations undertaken by the institution. They also manage the organization's insurance budget.

Financial institutions, such as commercial banks, savings and loan associations, credit unions,

and mortgage and finance companies, employ additional financial managers who oversee various

functions, such as lending, trusts, mortgages, and investments, or programs, including sales,

operations, or electronic financial services. These managers may be required to solicit business,

authorize loans, and direct the investment of funds, always adhering to Federal and State laws

and regulations. (Chief financial officers and other executives are included with top executives

elsewhere in the Handbook.)

Branch managers of financial institutions administer and manage all of the functions of a branch

office, which may include hiring personnel, approving loans and lines of credit, establishing a

rapport with the community to attract business, and assisting customers with account problems.

Financial managers who work for financial institutions must keep abreast of the rapidly growing

array of financial services and products.

In addition to the general duties described above, all financial managers perform tasks unique to

their organization or industry. For example, government financial managers must be experts on
the government appropriations and budgeting processes, whereas healthcare financial managers

must be knowledgeable about issues surrounding healthcare financing. Moreover, financial

managers must be aware of special tax laws and regulations that affect their industry.

Financial managers play an increasingly important role in mergers and consolidations, and in

global expansion and related financing. These areas require extensive, specialized knowledge on

the part of the financial manager to reduce risks and maximize profit. Financial managers

increasingly are hired on a temporary basis to advise senior managers on these and other matters.

In fact, some small firms contract out all accounting and financial functions to companies that

provide these services.

The role of the financial manager, particularly in business, is changing in response to

technological advances that have significantly reduced the amount of time it takes to produce

financial reports. Financial managers now perform more data analysis and use it to offer senior

managers ideas on how to maximize profits. They often work on teams, acting as business

advisors to top management. Financial managers need to keep abreast of the latest computer

technology in order to increase the efficiency of their firm's financial operations


STRUCTURE OF FINANCE DEPARTMENT

Internal check followed by Crackers

Internal check implies a system of instituting checks on the day-to-day transactions which

operate continuously as part of the routine system whereby the work of one person is proved

independently or is complementary to the work of another, the object being the prevention or

early detection of errors of fraud.

Objectives of Internal Check

2. To minimize the possibilities of errors, fraud or irregularities.

3. To enhance the efficiency of clerks in a business as the assignment of duties is based

on the principle of division of labour.

4. To distribute work in such a way that no business transaction is left from recording.

5. To prepare final accounts with ease and efficiency. An efficient system of internal
check can make accounts more regular and reliable.

6. To exercise moral pressure over the staff.

Internal check with regard to cash receipts by Crackers

1. The receiving cashier and the paying cashier is different individuals in the company.

4. All cheques, postal orders and drafts which are received in the name of the business

must be crossed by means of a rubber stamp with ‘Account Payee’ only.

5. All cash received must be remitted to the bank on the every day of the receipt.

6. For cash received after the close of banking hours and kept in the vault of the

business house, a separate entry is to be made in the register of the late remittances.

7. Before the cash is kept inside the vault, the cashier and the responsible official is

checked up the total cash and tally it with daily total of cash receipts maintained by the cashier.

8. All sums that the received daily is listed by some person other than the cashier.

9. Printed receipts are issued for all remittances received. The receipts are signed by a

responsible official.

10. All unused receipt books is kept in the safe custody of a responsible official.

13. Bank reconciliation statements are prepared periodically and the statement of

balances is tallied.
15. The payment into the bank is verified the next day by the responsible official.

Internal Check as to Cash Payments by Crackers

3. No payments is made without proper authority and evidence in support of payment.

4. Acknowledgement is obtained for all payments made.

5. While accepting vouchers there shall be verifications as to whether the payments

exceeding Rs.20 bear sufficient stamp duty.

6. All vouchers in support of payment is filed separately in serial order to facilitate

verification.

7. All payments as far as possible over a certain amount is made by cheques.

8. No payments is made to the creditor unless the confirmation of balance due to him.

9. No payments is made without the sanction of a responsible official who is authorized

for the purpose of payments.

10. No bearer cheques is issued.

Cost accounting department

Cost accounting is the process of recording, classifying, allocating and reporting various costs

incurred in the operations of an enterprise. The complex system of large scale production in

factories created new problems in accounting. The financial accounting was exposed of its

limitations. It failed to meet the needs of modernization of industries. The need for
determination and control of costs as well as problems of pricing in large industrial organizations

necessitated inventions and applications of new set of principles of accounting and thus emerged

cost accounting as an advanced phase of financial accounting.

Objectives of cost accounting department in Crackers

1. Ascertainment of cost

It enables the management to ascertain the cost of production, or product, job, contract or

service or unit of production so as to develop cost standard. Costs may be ascertained, under

different circumstances, using one or more types of cost accounting principles standard costing,

marginal costing, uniform costing etc.

2. Fixation of selling price

Cost data are useful in the determination of selling price or quotations or tenders. Apart

from cost ascertainment, the cost accountant analyses the total cost into fixed cost and variable

cost. This will increase the volume of sales more sales that previously thus leading to maximum

profit.

3. Cost control

The object is to minimize the cost of manufacturing. Comparison of actual cost with

standards reveals the discrepancies – variances. If the variances are adverse, the management

enters into investigations. So as to adopt corrective action immediately.

4. Matching revenue with cost


The determination of profitability of each product, process, department, etc. is the

important object of costing.

5. Special cost studies and investigations

It undertakes special cost studies and investigations and these are the basis for the

management in decision making or policies. This will also include pricing of new products,

contraction or expansion programmes, closing down or continuing a department, product mix,

price reduction in depression etc.

6. Preparation of financial statement, profit and loss account and balance sheet

To prepare these statements, the value of stock, work-in-progress, finished goods, etc. are

essential; and in the absence of costing department, when it has to close the accounts it rather

takes too much time. But a good system of costing facilities the preparation of statements, as

figures are easily available; they can be prepared monthly or even weekly.

Preparation of cost sheet

The company prepares carefully the cost sheet in order to fix the selling price. The

expenses of a product are analysed under different heads in the form of a statement. The

statement is called cost sheet. It is a statement showing the total cost under proper classifications

in a logical order.

Purpose of cost sheet

1. It provides details of total cost.


2. It provides cost per unit in different stages.

3. It helps for comparison and cost control.

4. It is helpful for preparation of tender and quotation etc.,

5. It acts as basis for fixation of selling price.

Methods of pricing of material issue

1. First in first out method (FIFO)

Materials are issued in the order in which they are received in the store. It means that the

materials received first will be issued first.

Advantages

1. This method is simple to understand and easy to operate.

2. The closing stock is valued at the current market price.

3. This method is more suitable in time of falling prices.

4. Deterioration and obsolescence can be avoided.


5. Issues are priced at cost, no profit or loss arises from pricing.

Methods of Remuneration (or) Wages

The remuneration paid to employees should reduce labour turnover, increase productivity

employees and improve the quality of output. There are two basic methods of wage payment;

Payment made on the basis of time spent by the workers in the factory irrespective of output

produced.

Payment of wages on the basis of production or work done irrespective of time taken by

the workers. They follow piece rate system in the company.

Piece Rate System

This is also called ‘payment by results’ the workers are paid on the basis of output

prodded by them. The earnings of the workers depend on the number of units of output

produced and the wage rate per unit received by the worker.

SWOT ANALYSIS:

Strengths:

 Very high profit from International markets during peak season.

 The company has a sound financial base mostly through plough back of earnings

Weakness:
 company’s plants are locating in south and west parts of the country resulting into higher

transportation cost to serve other geographical areas.

 Effect of Historical Government Policies

 Lower Productivity and Cost Competitiveness

 Wastage of high level raw materials.

Opportunities:

 Concern has reputation among financial institutions to get financial assistance

Threats :

 Frequent changes in government policies

 Govt. Taxation policy – against manufacturing sectors

 There is high incidences of taxes on products both direct and indirect taxes

 Industry attracts very high taxes as the govt. does not consider it high priority area.
MARKETING DEPARTMENT

MARKETING MANAGEMENT BY CRACKERS LTD.,

The marketing management of crackers., which has process through which goods and

services move from concept to the customer. As a practice, it consists in coordination of

four elements called 4P's: (1) identification, selection, and development of a product, (2)

determination of its price, (3) selection of a distribution channel to reach the customer's place,

and (4) development and implementation of a promotional strategy.

As a philosophy, marketing is based on thinking about the business in terms of customer

needs and their satisfaction. Marketing differs from selling because (in the words of Harvard


Business School's emeritus professor of marketing Theodore C. Levitt) "Selling concerns itself

with the tricks and techniques of getting people to exchange their cash for your product. It is not

concerned with the values that the exchange is all about. And it does not, as marketing invariably

does, view the entire business process as consisting of a tightly integrated effort to

discover, create, arouse, and satisfy customer needs."

GENERAL MANAGER

DEPUTY GENERAL MANAGER

MARKETING MANAGER

ZONAL OFFICER

SUPERVISOR

 The finished product are export to foreign countries like Sweden, USA and Australia

etc,.

 They have domestic markets also

 The company has made arrangements for fabrics and garments made out of yarn

manufactured by the company.

 The garments were launched initially in domestic market under the trade name

ARCADIA which received a good response.


The ultimate purpose of production is to them in a high profit besides the primary objective

of any business undertaking is to sell the goods successfully. Secondly the ultimate goal of the

proprietor or business undertaking is to earn optimum profit. It can be achieved by either by

increasing sales or decreasing the overheads to some extends like production, purchasing,

finance etc., Sales are making marketing and it from major portion in these dynamic economics

activities and effect to it. Hence sales plays a viable part company as well in the competitive

market.

Sales promotion and others are implemented by effective business and the second one is

waste control and cost control is implemented by the executives and worker of the company.

SWOT ANALYSIS OF MARKETING DEPARTMENT IN CRACKERS LTD.,:

Strengths:

 timely deliveries

 consistent supplies

 prompt services

 high quality product ranges

 It has a significant and consistent growth over the years.

Weakness:

 It has inadequacy to oppose to foreign market needs.

 It is evolving slowly from small-scale unit to a minimum large market player.

 Increased global competition in the post 2005 trade regime under WTO

 There is no direct export to abroad.

Opportunities:
 Globalization and liberalization in India has created new markets abroad for Indian

products

 Lot of unexplored market

 There is increase in scope for specialized and high quality products

 There is no immediate threat of entry by any technically superior company in this

industry sector

 Export potential growing

Threats :

 The rate of demand for increase is not very high

 There is chance to immediate entry after a longer period

 Competition in Domestic Market

Ecological and Social Awareness

Frequent changes in government policies

 Liberalization – Entry of MNC’s / private sector – More compensation

YARN SALES

Yarn is manufactured by spinning unit and taking into current total market requirements,

exports order and yarn required for the weaving unit. Accordingly yarn is manufactured in

opened, cut the sophisticated order machines and through ring frames as per monthly production

programmers chalked out.

DIRECT SALES
The sales concluded directly to the buyer from the seller without any mediator. The

company enters into a contract directly with the buyer. The goods must be sent to the buyer

within the stipulated period as per the contract. The contracts have been entered into the parties

as per the terms and delivery of goods and sending of invoices either directly or through bank

will made. Another copy is sent to accounts department. At the time of receipts of invoices,

accounts department debits the parties account and when the cheque is cleared credit the parties

account. If due means periodical follow – ups are made.

To control expenses

The sales of goods is the chief activity for every trading company. And every aspect of a

sales must be adequately and documented. The sequence of operation of sales is as follows.

The enquiries

It should be forward first to the managing director and to the office then he will forward

it to the sales manager who will take appropriate action to follow it up.

The quotation

For the necessary enquiries the company quotation will be given. This is an after to

supply at a price. Goods are of prescribed quantity and prescribed quality.

 EXPORTS

It exports for the finishing product to

 Australia

 Switzerland

 Scandinavian

 Far east & middle east


 USA and

 Other Europe countries.

The wide network of communication channels systematically well connected systems.

The receipt of weaving, stitching etc., are maintained by system. They are 14 system & laptop.

They have telephone connections with intercom Facility connected to various departments

through the receptionist & internet facility either STD / ISD facilities. Apart from this they have

separate e-mail connection and separate fax facility in their firm’s name making effective contact

with their buyers all over the world. They maintain correspondence with their buyers through e-

mail as well as fax.

Marketing

At marketing hinges around the simple concept of growing sales by giving the customer what

they want it. For it’s the business, the Company makes direct sales to major publishing houses,

which enables the Company to make prompt and timely delivery. In order to achieve this, the

daily production and dispatch schedule is circulated among all shop floor members to integrate

its manufacturing function with its marketing.

For its , the Company sells its output through a network of dealers located in Kolkata, Patna,

Ranchi, Raipur, Siliguri, Cuttack and Chennai. The strategic location of its dealers enables it to

adequately service demand emerging from these pockets. It also sells its writing and printing

paper through institutional sales to educational and government institutions. The Company

empowers its customers to do so consistently through a rigorous supply chain management that

comprises the following features :


• The dedication of parts of our installed capacities to our customers, resulting in output

predictability.

• The replenishment of the customer's inventory as per their requirements (every day to

once a week)

• An ability to cater to unforeseen customer needs through the provision of an adequate and

fresh buffer stock at all times.

• The ability to cater to batches as small as 9 MT to as large as 16 MT

• A month wise production schedule that integrates the requirements of the marketplace

with the reality on the shopfloor.

HUMAN RESOURCE DEPARTMENT

The role of Human Resources is changing as fast as technology and the global

marketplace. Historically, the HR Department was viewed as administration, kept personal files

and other records, managed the hiring process, and provided other administrative support to the

business. Those times have changed.

The positive result of these changes is that HR professionals have the opportunity to play

a more strategic role in the business. The challenge for HR managers is to keep up to date with

the latest HR innovations—technological, legal, and otherwise.

Its strength is its team of highly dedicated and competent professionals, with a shared

vision of delivering only the best, every time. It is its firm belief that every individual's potential
should be constantly upgraded, through a series of well thought out training programs. It is with

this belief that we have every one of our employee trained in Yoga and Meditation, to uplift them

at both the physical and spiritual plane and importantly, make them better at concentrating

towards, total customer satisfaction.

 Human resource involves in all sources in each and every management activities.

 It is an utilization of human/manpower all the areas in organization i.e., supply of human

in all sources(till first to last stage)

 First step in human resource department is to maintain “ATTENDENCE” of the

employees/worker/labours of organization.

 The promoters are already well-trained in the labour management. The labour

requirement will be met as under :

 Recruiting labour from villages around the factory,

 Procuring labour by buses and vans from nearby villages,

 In-due-course workers’ quarters will be provided inside the factory where at least 60% of

the labour will be given quarters and subsidized, food thus assuring permanent and

quality man-power.

It is already reaping the rewards of our truly unique approach, in the shape of our ever

increasing list of satisfied clientele

 While person do over time they can get amount for their work.

 The main work of the HR is to select right person for right job in right time

 Major involvement of HR in all over the organization is necessary to stand best


 HR provides all the basis necessity for its workers

 Welfare schemes like

 ESI – Employee State Insurance

 PF - Provident Fund

 Medical facilities for their family members

 Providing loans etc.,

 When the new person joint into concern HR provides welfare for them in

following way:

 Training – training according to their knowledge and capacity

 Offer( placement) – fixing them in a job according to their eligibility

 Proper fans and lighting facilities is provided for each labour & staffs.

 Incentives are provided to the staff and labour.

 First and facility is provided.

 Company gives bonus to all the labours on the month of October only.

 It gives increment on the month of April in each year to the labours.

 It create transport facility to distance labours.

 Company gives shoes, masks & Helmets to dyeing labours.

 Company made a medical check-up to all the labours in each year.

 Company supply clean and taste drinking water.Every year increment and bonus

are provided for workers.

 Giving common uniforms for workers, cap, mask etc., for their welfare

 Transportation facilities are provided for them


 Each and every department trainer is appointed to train new employees

 In training period all safety measures are coached them

 Maximum training period was 15 days

 According to casual person it increases

 According to their working capacity they get “permanent”(P.T)

SWOT ANALYSIS:

Strengths:

 Team work is one of the essences of its’s ability to success as a trusted preferred supplier.

 Highly motivated and well trained employees.

 Low Cost Skilled Labour

 Better working environment.

 Satisfied workers with good salary.

 Effective management systems with confidence and mutual faith, from the top to the

bottom of the organization structure.

 Top level management involvement & coordination with employees.

Weakness:

 Excess manpower

 Inadequate compensation payable to employees

 No disciplinary action taken for late comers

 Less promotional activity

 High remuneration leads to high cost of production

 Labourers are rarely availed in market


Opportunities:

 Number of trained and technically skilled employees are availed

 The company has a good working environment, which is helpful to a harmonious

industrial relations.

Threats :

 Frequent changes in government policies

 Skilled and technically trained employees are induced with high remuneration by other

competitor concern.

Human resource management serves these key functions:

1. Recruitment & Selection

2. Training and Development

3. Performance Evaluation and Management

4. Promotions

5. Redundancy

6. Industrial and Employee Relations

7. Record keeping of all personal data.

8. Compensation, pensions, bonuses etc in liaison with Payroll

9. Confidential advice to internal 'customers' in relation to problems at work


10. Career development

The following rewards are provided by the company to its employees:

 pensions/additional voluntary contributions

 permanent health insurance/critical illness cover

 bonuses and incentive pay

 benefits and non-cash recognition

 company cars

 sick pay

 pay reviews

 equal pay.

Recruitment of employees by Company:

Recruitment and selection are very important function of Human resource management. The

success of every organization depends upon how human resources are effectively or properly

managed and utilized because unless the right type of people are hired (selected) even the best

plans of the organization cannot produce god results. Hence the right man for the right job and at

the right time is essential for the smooth flow of activities in the organization.

The Company recruits its employees in the following manner:

There are also two sources of Recruitment, namely:

 Internal sources

 External sources
Internal sources

The internal sources refer to present working employees of the company. The company recruits

its own internal people though promotions and transfers. It means when vacancies arise, those

who have been already working in the institutions are promoted thereby filling the vacancies.

Some of the internal sources of recruitment include:

1. Present permanent employees

2. Present temporary or casual employees

3. Retrenched or Retired employees

4. Dependants of deceased, disabled, retired, and present employees

External sources

When the requirements of the recruitment cannot be meet from internal sources then in such

cases external sources can be adopted. It has to tap external source for various positions.

Running organizations have to recruit employees from outside for filling the position whose

specifications cannot be met by the present employees and for meeting additional requirement of

manpower.

Some of the external sources of recruitment include:

1. Advertisement in Newspapers, Journals, TVs and Radio.

2. Employment exchange and Agencies.

3. Placement cells in colleges, Universities and management institutions.

4. Deputation

5. Trade unions

6. Casual labour or Applicant


7. unconsolidated Applications

Selection of employees by the company

Selection is the process of finding out the most suitable candidates to the job out of the

candidates recruited. Selections are done compromising the requirement of a job with the

applicants’ qualifications.

Management should select the right employees for the right job at the right time. The main

objective of selection is to choose the best qualified and suitable candidates for performing the

job most effectively. Satisfying employee’s needs and wants as well as the fullest development

of his potential is part of the objective.

Interview

An interview is a face to face, observational and personal appraisal method of evaluating the

applicants. Interview is universally used tools in any selection procedure and interviews are

designed to serve important area of employment, training, human relation and labour relations.

The interview should bring out attitude rather than fact. There are various interviews carried out

by different organizations according to the nature of job. They include:

1. Informal interview

2. Formal interview

3. Planned interview

4. Group interview
5. Patterned interview

6. Panel interview

7. Depth interview

8. Non-directive interview

9. Walk in interview

10. Stress interview

11. Exit interview

Among these interviews normally follows a few interviews such as informal interview, formal

interview, panel interview and exit interview.

Medical Examinations

The selected candidates are medically examined by the company’s doctor or approved medical

practitioners. Medical tests depend upon the nature of the job because certain jobs require certain

physical qualities like clear vision, perfect hearing, strong stamina, tolerance of hardworking

conditions, and clear tone among others.

Reference checks:

The references given by the candidate in the application forms are verified and checked out. This

helps to ascertain facts given by the candidate in the application form.

Appointment order:
The selected candidates are issued with appointment letters after recommendation of the

selection board and approved compitenent authority in the company.

Placement:

The candidates are required to report on duty within a stipulated time. It is the duty of personnel

department to place the candidates in different departments or branches. While giving placement,

it is initially a probation period and finally placement is given on the successful completion of

the probation period.


ADMINISTRATION DEPARTMENT:

Administration is to control and monitor all the function and activities. Totally there 479

employees work in company. The disciplinary action is taken by this department.

The various function included in human resources department are formulation of developing

human resource plan, policies, recruitment, selection, training and development, promotion,

demotion and performance appraisal.

FUNCTIONS

 To look over the welfare of the workers.

 Fixing of salary, increments for daily routine workers.

 Prepare agenda for the meeting to monitor their annual income increment.

 Supply free crackers to the workers.

 Fixes the day-to-day activities of dairy.

 The union board is responsible for the overall financial sanction and policy decision

on procurement and meeting.

WELFARE FACILITIES:

Welfare services may broadly be classified in to two categories intramural activities which are

provided within the establishment such as latrines and urinals, crèches, rest centers , canteens ,
uniforms etc Extramural activities which are undertaken outside the establishment such as family

planning , child welfare cooperative stores , vocational guidance , holiday homes , leave travel

facilities, transport to and from the place of work etc.,

HOUSING:

Housing is the primary need of a workers family is civilized life. Without a roof to cover his

head, the worker naturally feels frustrated about his poor standard of living in big cities. A good

house means possibility of home life, happiness and health.

TRANSPORTATION:

The committee on labour welfare 1969 recommended the provision of transport facilities to

workers so that they can reach the workplace punctually and comfortably.

CANTEEN, RESTROOM AND LUNCH ROOM:

Canteens established inside factories generally offer food at subsided rates. In modern

organizations, food courts offering a continental and inter continental cuisine have become quite

popular in recent times.

The royal commission on the labour on the view that welfare is one , which must necessary ,be

elastic , bearing a somewhat different interpretation in one country from another , according to

the different social customs the degree of industrialization and the educational developed of the

worker.

PROMOTION:
Promotion channel are fixed for each category completion of qualified period, we promote the

person to the next category. As per the seniority and also under the educational qualification

prescribed for the post.

DEMOTION:

As when necessity arises and also according to the disciplinary taken by the management. If the

individual disciplinary action is not satisfied to the management suddenly the management

demotes the person from higher posts to lower post.

TRANSFER:

Mostly transfer is depending upon the hands of the administration as and when required by the

management.

TRAINING AND DEVELOPMENT:

Training and various aspects linked with computerization has been drawn .In a systematic

manner and given to the needy person in a selected field , such as paste ration of the processed

milk ,milk payment bill etc., Training for milk production selection can be given in institute of

milk production cooperative society.

GRIEVANCES:

Grievances committee can be arranged to find the solution for the problem of the individual.

RETIREMENT FUNCTION:
At the time of retirement of the worker of the company gives one gram gold coin each and every

worker and also the company arrange retirement functions to the worker.

SHIFT DETAILS:

There are three different shifts in Aavin

 First shift : 6.00 am to 2.00 pm

 Second shift : 2.00 pm to 10.00 pm

 Third shift : 10.00 pm to 6.00 am

LEAVE DETAILS:

 Casual leave : 12 days only

 Early leave : 30 days only

 Medical leave : 18 days only

MEDICAL LEAVE:

Medical leave are given on the bases of is experience the given below,

No of year of experience No of days


5 years 90 days
10 years 180 days
15 years 270 days
Up to 20 years 360 days
Above 21 years 540 days

PERMISSION:
Permission is granted to the employees twice per month.

MEDICAL ALLOWENCES:

Medical allowances are provided to the employees of Rs. 125 per month.

BONUS:

Bonus is given to the workers on the basis of 8.33% production link etc, incentives.

ATTENDENCE:

Attendance is followed regularly 1 hour permission is granted for the late comers note more than

twice in a month.

EMPLOYEES DETAILS:

Permanent employees : 320

Contract base employees : 138

Security : 59

Total : 517

CONCLUSION

During this training period, practically it was useful to gather some knowledge

about how the management is very important for a crackerst company and how it integrates all
departments together to bring out the efficient production with better utilization of available

resources effectively and efficiently

This industrial training has provide in and depth knowledge about the functions &

performance of various activities of this company. All the departments are been coordinated

properly to achieve the full results. There is proper harmony & good relationship between the

people integration and co-operation that leads the organization successfully.

The opportunity was provided to know the production and marketing of this

company. It feeds knowledge to us to maintaining of working capital is essential to meet its daily

day to day expenses.

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