CHAPTER - 1

Profile of the Organisation

The trainee Institutional training aims at widening the theoretical knowledge of by providing practical field experience in business and various

associated activities. I have undergone institutional training in LAKSHMI MILLS COMPANY LTD, KOVILPATTI from 19.05.2008 to 18.06.2008. I had a thorough and systematic exposure to the various dynamics of business environment. The first chapter is designed to narrate the history and growth of the organization. 1. Name of the Institution : LAKSHMI MILLS LTD., : Post Box No 1 Lakshmipuram P.O Telegram FAX Email 3. Date of Establishment 4. Mode of ownership 5. Number of promoters :1941 : Private limited : One : LAKSHMI MILL : 04632-221320 : kpt@mills.com

2. Address

Details of Occupier
Sri. G. Kuppuswamy Naidu, Rasakandalu, circuit House Road, Coimbatore-641 018.

Initial investment

S.No.
1. 2. 3. 4. 5.

Details of Investment
Cash Building Machinery Furniture Vehicles

Amount(Rs)
97,825 1,02,15,255 2,16,19,45,525 15,68,452 58,25,196

Product of the company

The Lakshmi Mills Company product range in yarn is perhaps one of the widest ever covering 100% viscose stable Fiber Yarn 100 % Polyester yarn, Polyester viscose and cotton blended yarn in various blends,100 cotton combed yarn and Lycra core yarn. Super fine combed yarn is exported to European countries and other for Eastern countries. Lakshmi Mills exported to the tune Rs. 30 million per annum. To cater to the needs of power loom and handloom weavers in domestic front, Lakshmi Mills has a well organized network of of Grey, Mercerized Gassed and Bleached yarn. The factory totally consists of 575 workers. There are 314 male workers, 261 female workers. yarn depots at Mumbai, Ichaikaranji, Kolkata, Varanasi, Pondicery, Ahmedabad and Delhi for marketing

Growth of the Organisation

Turn Over:
In 1932 the Lakshmi Mills was started with a capital of Rs.80, 000 today the Lakshmi group has grown like a massive banyan tree comprising more than a twenty concerns and hundred of ancillary units. The groups annual turnover is touching Rs.1000/- crores.

Production Capacity:
The output of the firm is gradually increasing year by year. It is details described on the following,

PRODUCTION IN LAST YEAR IN TONNE

7,000,000 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 0 6,428,813 2006-07

4,831,214

2004-05

2005-06

4,328,183

Production Details for last three years

S.No 1 2 3.

Variety Viscose stable Fiber Yarn Lycra cove yarn Polyster yarn

2004-05 Kgs 6744 1 4831,214 6281313

2005-06 Kgs 47818 4328,138 5214213

2006-07 Kgs 72381 6428813 6829412

Details personnel

S.No 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.

Designation Spinning General Badali Junior Badali Wireman Watcher Fitter Call Boy Simplex doffer Carding tevder Winder Quality Control Motor attender Total

No. of Respondents 40 6 12 5 1 3 1 3 2 3 2 2 80

Percentage 50 7.5 15 6.5 1.25 3.75 1.25 3.75 2.5 3.75 2.5 2.5 100

WELFARE MEASURES:
For the betterment of laborers and staff, they are providing the following welfare and refreshment packages.

1. Canteen:
In this plant the canteen is well equipped and modernized with steam cooking ranges and latest techniques for cooking food. It has good water. The canteen is well equipped with furniture in good condition and they are maintained well. The goods items provided in the canteen are given 50% of subsidy from co-operative store.

2. Co-operative Store:
Co-operative store provides all essential items with good quality as proper quantity. The price of items is reasonable compared to open market. Co-operative store gives credit to the member on the basis of earning capacity.

3. Housing Facility:
The mill has provided housing facilities to the labour in cheap manner. The mill facilitates the housing apartment in the name of Lakshmi Mill Colonies. Among 565 workers, more than 300 workers reside outside the colony. The colony houses are divided into five types .Each employee is accomplished according to their earning capacity.

4. Educational facility:
The management is taking effort to promote educational status of the worker children. For that the management Running three Educational Institution they are, 1) Lakshmi Primary school. 2) Lakshmi Higher Secondary school. 3) Sri. G. Venkatasamy Naidu College.

CHAPTER-II

Organisational Profile
For the smooth running of an organization it is necessary to segment its activities in to departments. The departments play vital role in a cohesive form and integer with one another to achieve its budgeted production and sales to achieve the aimed profit.

VARIOUS DEPARTMENTS OF COMPANY:

Kovilpatti branch has two units named A Mill and B Mill. A Mill has the following departments, 1. Mixing and Waste room 2. Blow Room 3. Carding 4. Preparatory 5. Spinning 6. Reeling 7. Bundling 8. Bailing 9. Maintenance 10. Electrical 11. Roll Room 12. Watch and ward section 13. General Section

In addition to the above departments Mill B has doubling section and winding section, totally 18 sections.

In the beginning, the textile machines were imported from Japan and England. But now, Lakshmi Machine Works Ltd., Coimbatore, popularly Known as LMW is supplying modernized machines. The other important sources of machineries are Lakshmi Automatic Looms, and Padma Tools.

VARIOUS FUNCTIONAL DEPARTMENTS:

a. Purchase department b. Production department c. Quality control department d. Sales department e. Personnel department

I). PURCHASE DEPARTMENT: a) Raw Materials:

The company purchase cotton from Andhra Pradesh, Gujarat, Maharastra, Punjab, Hariyana, and also outside of India like Russia, Pakistan, Egypt, U.S.A., etc.,

b) Machinery:
The company imported the machineries from England, Japan, U.K., West German and Switzer land. Now they produce the modernization machineries by themselves. In Lakshmi Machines Works, Lakshmi Automatic Looms, latest modern machineries were connected to this mill.

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II). PRODUCTION DEPARTMENT: A). Store Room:

Here, the store keeper maintenance the raw cotton, as per the needs of the production, the store keeper issue the raw cotton by the FIFO method that means, first come first out, here the store keeper maintenance not only the cotton but also keep the viscose, and polyester.

b). Mixing:
The next process is mixing the cotton as per the production. Here the cotton mixed with the polyester or with the viscose. This mixing determines the counts of yarn.

c). Blow Room:

In this process the mixed cotton made into LAP. The LAP means the unsized cotton made in to a roll.

d). Carding:
In this process the LAP purified and made into small thickness cotton roll.

e). Drawing:
Here, the thick cotton roll made in to thin yarn.

f). Simplex:
In this process the thin yarn made into Bobbin it is also a major function.

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g). Spinning:
This is the main and major function of the spinning mill. Here the Bobbin made into yarn.

h). Doubling:
This is also an important function. But it is not always done; this process will do only when the yarn is a very thin size.

I). Packing:
This is the final stage. The cones are packed on the basis of determined weight.

j). Inspection:
Inspection department consists of inspection work like checking the quality and quantity of yarns and in order to avoid the poor quality and quantity of yarn.

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III).QUALITY CONTROL DEPARTMENT:

The Lakshmi Mills Company Limited has the quality control department. It manufactured the quality products to meet the customer needs and competition. Effective quality can be maintained by implementation of ISO 9001 quality management system and continuously improving its effectiveness. As per the SPIN plan Lakshmi Mills Company follows the production. The production is carried on in a large-scale manner, so there may be the chances for stoppages due to count change, power failure, maintenance of machineries and laybacks, electrical faults and repair generator load adjustment etc. these are under the control of quality control department.

IV). SALES DEPARTMENT:

The Lakshmi Mills Company Limited engaged in the manufacture and marketing of cotton and synthetic blended yarn. The company produces variety of yarns to keeps highest productivity and efficiency. The product range in yarn is 100% viscose stable fiber yarn, 100% polyester yarn, viscose and cotton blended yarn in various Blends, 100% cotton combed yarn and Lycra core yarn. Superfine combed yarn is exported to European countries and other for eastern countries like Japan etc. 100% cotton fabrics are exported to United Kingdom, Italy and other European Countries. The Lakshmi Mills Company Limited exported to the value of Rs. 300 million per annum. The company keeps abreast of the global advancement and is constantly upgrading the products to take up the global challenger.

V). ELECTRICAL DEPARTMENT:

They have the separate department called electrical. They control whole electrical thing and machineries in the mill. Their generator departments

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help a lot. In their mechanical shop department they have furnished and vanished the technical works.

VI). MISCELLANEOUS DEPARTMENT:

Apart from all other department the lorry drivers, van drivers and fire service members all come under the control of miscellaneous department.

VII). PERSONEL DEPARTMENT:

Lakshmi Mills Company Limited having well established procedures for in day-to-day affairs of administration department. The main functions of the personnel department are to administer the matters connected with the human resources. Personnel department in Lakshmi Mills Company has classified its functions.

A). Recruitment and selection:

The Lakshmi Mills Company Limited requires labours continuously and recruitment is held at once in every three months, the workers are selected on the basis of SITRA [South Indian Textiles Research Association] test at Coimbatore. The last five years Lakshmi Mills Company recruits only female workers, it will be continued in the future also. Lakshmi Mills Company now introduced the new schemes. Lakshmi Female Suyamwaram Scheme for educated and unemployed females. Through this scheme the company gives training to them and provides employment opportunity with in the mills. The female workers are selected on the basis of three years agreement. On the completion of three years Rs.30.000 will be paid to all.

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b). Wages and salary:

In the Lakshmi Mills Company wages are paid under the payment of wages Act 1936, wages are paid to the workers every 10 th of month. There are two types of wages are paid to the workers in Lakshmi Mills Company. Direct wages [ Basic Wage + Fixed Dearness Allowance + Variable Dearness Allowance + AI + House Rent Allowance ] without any extra wages like PF, ESI, Gratuity and other allowances are also paid to the worker in Lakshmi Mills Company.

c). Training:
In the Lakshmi Mills Company Limited, the trainers from SIMA, SIRA are giving training. The training is provided practically to the trainees in Lakshmi Mills Company.

d). Welfare Measurer:

Labour Welfare as Efforts to make life worth living for Women Lakshmi Mills Company provides many welfare facilities to encourage the workers. They are providing fringe benefits like canteen, rest rooms, etc., they also providing economical benefits such as retirement benefits, medical facilities and quarters etc.

e). Security:
As a security measures the company have twenty five watchmen.

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CHAPTER-III

Area of training

This Chapter is framed to bring out the various types of training undergone during the training period. This type of training imparts necessary self confidence, sense of commitment & involvement to the business realities. In the course of training, I had a practical exposure in the following departments, 1) Accounts Department 2) Sales Department 3) Production Department 4) Quality Assurance

ACCOUNTS DEPARTMENT
In Accounts department, all the works has been computerized. They prepare the journal, cash books, bill vouchers, statements, etc. I have done the work of preparing journal, cash book, Bill, etc. for maintaining the accounts, they have program in FoxPro. Some of the accounts are recorded manually like journal orders.

Vouchers
Whenever purchases are made, they are entered in the voucher entry. The following vouchers are prepared in the system, 1) Cash Vouchers 2) Bank Vouchers 3) Journal Vouchers 17

Cash Book
In cash Book, all the cash transactions are entered in the separate format. The particulars are entered in the computer as follows, (EG) MANI & CO chq No. 9846/28.05.2008 The profit & loss a/c of Lakshmi Mill Ltd., for the year 2007 are enclosed as,

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SALES DEPARTMENT
First, the orders are received from the parties. If the Party is a regular customer, the customer gives the same type of order. The organization prepares JOB card and sent it to the factory for production. If the party is a new customer, then they will give the designing unit to make film. Now orders will be entered in the system. Then, they will prepare job card and it will be sent to the factory for production.

PRODUCTION DEPARTMENT
In production department, the computer is mainly applicable to the production planning control, because every year machine capacity statement has to be taken for the production activities. They prepare production schedule daily and monthly.

QUALITY ASSURANCE
In Lakshmi Mills Limited the goods are produced as per the specified quality & quantity. To maintain quality, there is a quality assurance department. ISO Audit and quality improve meeting is once in a month. The following inspection and testing are made by them, 1. Raw material inspection 2. In process testing 3. Final Inspection

RAW MATERIAL INSPECTION

Raw material for Mill is raw cotton. The raw cotton is being inspected. The moisture content in the cottons also tested.

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IN PROCESS TESTING
In process testing, wastages are taken from Blow Room, Carding & Comber. The schedule is given for employees. With in that schedule, they have to complete the process.

FINAL INSPECTION
The final product yarn is also tested according to its length, strength & twist.

EXECUTIVES, THEIR POWERS & DUTIES: Managing Director

Mr. Sundaram is the Managing director of Lakshmi Mills Ltd.

Duties and Powers

He performs the administrative activities like, 1. Planning 2. Organizing 3. Staffing 4. Directing 5. Co-ordinating 6. Reporting 7. Budgeting

Responsibilities
1. Smooth functioning of business 2. For arranging finance from various sources for the business. 3. Expansion and Development of Business. 25

Purchase Manager
Mr. Venkateswaran is the Purchase manager of Lakshmi mills Ltd.,

Duties and Powers

1. Import the raw materials and components scarce / critical indigenous raw materials and drawings. 2. Process quality control and training facilities for the development of supervisors and artisan skills.

Sales Manager
Mr. Renu Gopal is the Sales Manager of Lakshmi Mills Ltd.,

Duties and Powers

1. To plan, built and maintain effective organization, design and utilize efficient control procedures. 2. The professional approach requires through analysis, market, efficient qualitative personal selling objectives, appropriate sales policies and personal selling strategy.

Accounts Manager
Mr. Panner is the accounts manager of Lakshmi mills Ltd.,

Duties and Powers

1. He is entitled to prepare separate trading & profit and loss A/C for each department, in addition to the final Accounts for the business as a whole. 2. Accounts will have to be prepared in such a way as to show cost, sales, profit or losses of each department separately.

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CHAPTER-IV

Impact of Computerization

The term computer is used shortly for general purpose automatic electronic digital computer. A computer is an electronic device that accepts input data, manipulates the data and produces the output. Existing staff is not enough to run the business, successfully. To avail new technology means, the data processing with modern electronic devices that are incredibly fast are used. The existing staff may not be adequate skilled to carry out more jobs with in the available time.

ADVANTAGES OF COMPUTERISATION:
Effective data processing enables sound decision, efficient operator and helps to succeed in competitive world. Computerizations help to reduce the manual work. It helps to reduce huge clerical works. Also it provides error free and accurate results. Since computerization reduces the manual work, it helps to reduce the salary expenses. At the same time, expenses for maintaining the computer is very low. Thus it helps in reducing the expenses also. Due to the computerization, the generation of reports becomes easier.

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HARDWARE CONFIGURATION
System1

Monitor Keyboard CPU Mouse Processor Processor Speed Hard Disk Capacity RAM

: : : : : : : :

HP 17 I Ball HCL HP P4 4 GHZ 160 GB 512 MB

System2

Monitor Keyboard CPU Mouse Processor Processor Speed

: : : : : :

LG HP (mt) key HP HP P4 3 GHZ

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Hard Disk Capacity RAM Printer Printer Size Printer Model

: : : : :

120 GB 41 GB LASER Normal 1020

SOFTWARE AND PACKAGES

The packages used by the factory were user friendly and the names of the packages are, Visual Basic Ms-Office and TALLY

VISUAL BASIC Introduction

It is easy for user to create simple and complex windows programs, and visual basic controls make it possible for us to create more powerful programs faster than ever. It provides complete knowledge to use visual basic as Object Oriented Techniques to create programs that are powerful, robust and efficient. Visual Basic is a capable of producing any program with very easier and efficient.

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Features of visual basic

Visual Basic provides a graphical environment in which the user can visually design the forms and controls that became the building blocks of our applications. Visual Basic supports many useful tools that will be more productive. These includes projects, forms, class objects, templates, custom controls, add-ins and database managers. We can use this tool together to create complete applications in months, weeks, even days. Producing an application using another language can take much longer. Version 6 of visual basic is specifically designed to utilize the internet. It comes with several controls that allow the user to create web based applications, called active X executables. These work just like stand-alone visual basic applications, but they are accessed through the Microsoft internet explored 4 web browser. Using this new style of application, the user can revise our existing visual basic applications and distribute them through the internet. These templates provide the use with a frame work to develop server side components as well as Smart web pages and applications.

Enhancement to the code editor

A great deal of the work done in creating programs & takes in the code editor, Microsoft has added some more new features that make it easier to use. It includes the following features, 1. Drop down properties list displays a dynamic list of the properties and methods available for an object. The user can select the property or method by typing only the first couple of characters instead of having to type out the entire word. Pressing enter or the space bar selects the desired entry in the list. This saves time and cuts down on typographical errors.

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2. Parameter information displays that is required for a particular function or method. This is similar to quick information. 3. The data tips window while in break mode, displays as a tool tip, the value of a variable over which the mouse pointed is placed.

MS-OFFICE
Microsoft Office comprises of the following, 1. Microsoft Office Manager 2. Word for windows 3. Excel 4. PowerPoint 5. A mail workstation license 6. Access One of the best things about office is that Microsoft has standardized look and feel of the component applications. For instance, most of the menus and the top menu choices in word, Excel and PowerPoint are nearly identical. And all the programs in the office collection share common modules for things like spell checking and special text effects.

Word Processing with word for windows

It is used to create, format and print documents in word for windows, perhaps the most important program in the office packages. Version 6 of this word processing is a major upgrade to an already full featured program. It is used to make work even easier and faster, including how to use words sophisticated mail merge and macro capabilities.

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Working with Excel

Excel has several new features to compute and track of all sorts of interdependent data, to perform complex calculations. Also has the feature to display pleasing charts & graphs. It also spices up the word by including graphics and special annotations. It speeds up work with macros.

TALLY
It is an important accounting package. In Lakshmi Mills tally package is used to maintain accounts like TRIAL BALANCE, JOURNAL ENTRIES, BALANCE SHEET, BUDGET etc.,

Advantages of TALLY:
The major advantage is, We can create Multi currency accounting in Multi language. It can accept encrypted data and make security control to the accounts. Performing standard accounting function

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CHAPTER V

Conclusion
The training had undergone in the institution of LAKSHMI MILLS LIMITED me a sense of academic satisfaction. I feel that it was a good experience in such a fast growing business town and in my career too. I took this opportunity to bridge the gap between the theoretical Idea and practical world. I am very much impressed and thankful for the on the Job Training program as it had given the future plan of the organization and to increase the sales.

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