FACTORY

PROJECT
preface

The case study on factories, in which an in depth analysis of the small

scale and large scale factories has been done. The suggestions given in
the study will provide an input to the administrators, policy makers and
owner/manager to take measures for improving the conditions of the
factories. It will also help the researchers to carryout further research in
the area.

Kriti Maheshwari

Acknowledgement
During the conduct of my study I had received help from various
individuals and organizations. At the outset I express my sincere gratitude
to my supervisor Mrs. Sonia Sharma for her able guidance. I express my
sincere thanks to the owner/manager and workers for their cooperation
without which this study could not have been carried out. I also take this
opportunity to thank all of my friends who have helped me directly or
indirectly.

Kriti Maheshwari

INTRODUCTION
A factory (previously manufactory) or manufacturing plant is an industrial site, usually consisting of buildings
and machinery, or more commonly a complex having several buildings, where workers manufacture goods or
operate machines processing one product into another.
Factories arose with the introduction of machinery during the Industrial Revolution when the capital and space
requirements became too great for cottage industry or workshops. Early factories that contained small amounts
of machinery, such as one or two spinning mules, and fewer than a dozen workers have been called "glorified
workshops".[1]
Most modern factories have large warehouses or warehouse-like facilities that contain heavy equipment used
for assembly lineproduction. Large factories tend to be located with access to multiple modes of transportation,
with some having rail, highway and water loading and unloading facilities.
Factories may either make discrete products or some type of material continuously produced such
as chemicals, pulp and paper, or refined oil products.
Discrete products may be final consumer goods, or parts and sub-assemblies which are made into final products
elsewhere. Factories may be supplied parts from elsewhere or make them from raw materials. Continuous
production industries typically use heat or electricity to transform streams of raw materials into finished products.

Small Scale industry

For small scale industry the following conditions are to be satisfied:

Investments in fixed assets like plants and equipments either held

on ownership term on lease or on hire purchase should not be more
than Rs10 million.

Less than 150 employees in a unit.

The policy reservation of items for manufacturing in small scale

industries was introduced in 1967. Initially only 47 items were
reserved, but as of today about 675 items are reserved.

Small scale industries are the second largest employers of Human

resources after agriculture in India.

They generate more employment opportunities per unit of capital

invested than large scale industries.

Employment provided to more than 273.97 lakh persons.

Rajni Aggarbatti Factory

Location: chapatti gali, nadrai gate, kansiram nagar (kasganj)
Products
1. Incense stick (aggarbatti)

2. Incense Paste (dhupbatti)

Large scale industry

Large scale industries refers to those industries which require huge infrastructure, man power and a have influx of
capital assets. The term 'large scale industries' is a generic one including various types of industries in its
purview. All the heavy industries of India like the Iron and steel industry, textile industry, automobile manufacturing
industry fall under the large scale industrial arena. However in recent years due to the IT boom and the huge
amount of revenue generated by it the IT industry can also be included within the jurisdiction of the large scale
industrial sector. Last but not the least the telecoms industry also forms and indispensable component of the
large scale industrial sector of India. Indian economy is heavily dependent on these large industries for its
economic growth, generation of foreign currency and for providing job opportunities to millions of Indians.

Parle
Location: Parle Biscuits Pvt. Ltd.
36.8 KM Milestone, Delhi Rohtak Road, Village Sankhol, Near Bahadurgarh, Dist Jhajjar, Haryana 124 507.

Products

Parle G

Krack-jack

Hide n Seek

RATIONALE

LITERATURE REVIEW
A study titled A STUDY OF THE PROBLEMS OF SICK SMALL SCALE INDUSTRIES IN
UTTAR PRADESH AND SUGGESTED STRATEGIES FOR THEIR REVIVAL was
undertaken by INSTITUTE OF DEVELOPMENT STUDIES UNIVERSITY OF LUCKNOW
LUCKNOW with the support of PLANNING COMMISSION GOVERNMENT OF INDIA
in 2006-2007. For the purpose of study a comprehensive field survey has been
conducted in selected clusters of the state. The main objective of the study is to
diagnose the problems of sick small scale industries in Uttar Pradesh and
suggesting policy measures for their revival.
Analysis shows that SSIs are facing manifold problems. The low productivity,
efficiency and performance cause industrial sickness. A total of 395 industries
were selected for detailed survey. Most of the industries were running round the
year (63.79 per cent) while slightly less than one third industries were also found
running on seasonal basis. A small proportion of industries was reported to be
running on the basis of part time while proportion of sectoral industries was
recorded highest in Agra (78.26 per cent) and lowest in Varanasi Mirzapur.

METHODOLOGY
The Present Study
In this study, our endeavour has been to study the social environment in the
factory and to see the process of manufacturing products. It is interesting to
know the differences between small scale industry and large scale industry.

Objectives

To examine links between the lives of factory workers and social,

demographic, geographic, and economic variables.
To examine the total production of both the factories and how it
produced.
To assess the comparison between both the factories.

Name of Factories: Small scale- Rajni Agarbatti Factory

Large scale- Parle Agro

Approach
The study was focused on the first two objectives, namely examine links between
the lives of factory workers and social, demographic, geographic, and economic
variables, and the total production of both the factories and how it produced.

Primary Survey (Qualitative)

The study aimed at to examine the links between lives of factory workers/
labourers and social, demographic, geographic, and economic variables or
characteristics.

Tools
Two tools are used, one is Interview Schedule with sub questions namely general
questions and factory environment, and second is Observation Diary for
collecting data. In Parle Agro I used only one tool i.e. Observation diary because,
talking to workers is prohibited and they are also very far from us.

Data Collection
Data was collected through a case study method. I visited both the factories and
introduced themselves and the purpose of the study. After obtaining verbal
consent from the head/ manager, and assuring them of confidentiality, they
administered the interview schedule, carefully in the order explained to them.

The manager of Parle Agro did not approve me to taking interview of the
workers.

Sample
In Small scale factory I interviewed 5 workers and in large scale factory I just
observed the workers.

Results and
discussion
Small scale factory- rajni agarbatti
factory
In 1970 the rajni agarbatti factory was established by Mahinderpal
Malpani in Kasganj, now Kansiram nagar, Uttar Pradesh. At the time of
establishment only Agarbatti or incense stick was manufactured but now incense
sticks only perfumed in the factory and incense paste cones are also only
perfumed. Only incense paste is wholly manufactured in the factory.

Process
Raw materials testing -> mixing -> moulding -> perfuming -> packaging
Process of production
Step 1
Raw material testing
In this step the owner himself test or check the quality of raw material. The raw
materials used in incense paste are guggal, dhoop wood, charcoal powder etc. all
of the raw material buy from kannauj.
Step 2
Mixing
All the raw materials mixed in a fixed quantity to make incense paste or dhoop
paste.
Step 3
Moulding
The paste moulded into shapes of dhoop batti.
Step 4
Perfuming
All the products perfumed in this step with different types of perfume to make
different products. The perfuming is done by male workers through hands.

Step 5
Packaging
All the final products go to this stage for packaging in attractive colourful packets
with different names. The packaging is also done by hands but only female
workers do this job.
Factory Culture
The timings of the factory is 9 a.m. to 5 p.m. All type of workers including daily
wage worker and permanent worker work in this factory. Female worker are only
in packaging department. Workers are come to the factory from nearby villages.
At the time of higher production the owner employ more daily wage workers for
fulfillment of the targeted production and the timings are also high. They gave
bonus to the permanent employees at the time of diwali festival.

Observation
total no. of workers- 100
No. of males - 70 (approx.)
No. of females- 30 (approx.)
Per day wage workers- 50
Permanent workers- 50
Hindu- 75 (approx.)
Muslim- 25 (approx.)
poor class workers- 60
Middle class workers- 40
Average Family Members- 6
Most of the people are local. Some people also came from nearby villages
namely, Bilram, Chhavni, etc.
some workers like the factory because it is near to their residence. some of the
workers doing the job because of the family pressure and economic condition.
annual profit of the factory- 9.6 lakh
annual productionin this factory there is lack of stability. only 10 workers are working more than 10
years.
the owner and the workers do not enjoy social activities together.

on occasion of diwali permanent workers recieve bonus.

Large scale factory-Parle

IN 1929 a small company by the name of Parle products emerged in British
dominated India. A small factory was setup in the suburbs of Mumbai to
manufacture sweets and toffees. A decade later it was upgraded to manufacture
biscuit as well.
Mainly in Bahadurgarh Parle plant manufactured biscuit include PARLE-G, MONACO and
KRAKJACK.

Process of production
1st step:
At first we were watching how the mixture of biscuits is prepared. In this they were using some
ingredients i.e. MAIDA, SALT, MILK, GHEE, SUGAR etc.
2nd step
:
After mixing the ingredients the mould theminto shape of biscuits with wording parle-g.
3rd step:
In the third step we found that the biscuits aresend to the big Owens for baking use ten types
of temperature 1st 220 then 350 and in last 220 c.
4th step
:
After baking the biscuit procedure of cooling is done
.
5th step
:
In last step packagings of the biscuits is done and forward them for big cartoons packaging.
Factory culture
Work force culture of Parle is very systematic. In Parle plant permanent worker and contract worker
both work. And time schedule of the work is 24hour and shift divided in three equal parts 8 hour shift.
And they follow the rule of Indian labour rule.
They have very good relationship between Parle family means employee of Parle and management.
When they know the problem of an employee they give a suitable solution. For example if worker of
Parle, got some family problem than their 2-3 staff goes to their house with some gift for their
children and they give the solution of problem. Also they give spiritual treatments at
Barahamkumari and they also guideline for their children education etc.
Observation

Total no. of workers- 1200

no. of females- 300
no. of males- 900
all are permanent workers.
hindu- 840
Muslim- 240
Others- 120
the localites mostly do lower post job. upper post jobs are occupied by educated urban people near
factory.
some workers like the factory because it is near to their residence.
workers find factory environment suitable for themselves.
50% workers are working before 10 years, according to manager.
workers participated in social get together which mostly organised by the manager.
they give bonus to some of their workers and other recieves gift, mostly on the occasion of diwali.
Comparison
workers of the small scale factory namely rajni agarbatti factory are changes frequently. but in large
scale factory i.e. parle, it does not happen, most of the workers there are permanent.
in both the factories female contribution is very little.
in both the factories we see that localites work more.
in large scale factory workers participate in social activities but it does not happen in small scale
factory.

conclusion
by this we concluded that large scale factories are more organised than small
scale factories. but in small scale factories workers are more attached to each
other, they visit each other houses on festivals. the large scale factory work as
per the labour rule but not the small scale. in small scale i also found that
electricity is illegally used. both the factories are licensed as per the indian law.
Suggestions
small scale industries or factories provide employment to many people near to
their residences and easy to open up. at the other hand large scale factories
need more skilled labour than small scale, because of this, limited people get the
opportunity to work in large scale. because of this reason i suggest that
vocational training institutes should be open in remote areas, so that small scale
factory also can get trained work force and people can go towards large scale
without any hurdle. the owner of the rajni aggarbatti factory has to participate in
social activities with their employees, to make their relation good. by doing so
worker of the factory became stable.

BIBLIOGRAPHY
http://en.wikipedia.org/wiki/Factory
http://www.slideshare.net/jennna/small-scale-industries-14624041
http://www.answers.com/Q/What_is_large_scale_industries
http://planningcommission.nic.in/reports/sereport/ser/ser_ssi.pdf
https://www.scribd.com/doc/54358061/A-Project-Report-on-Industrial-Visit-ofParle-Plant-at-Bahadurgarh#scribd

Annexure
Interview Schedule for factory workers
General Questions
1Name (optional)2 Age3 Sex4 Religion6 Education9 your Annual income10 Annual family income8 Family members5 Address-

Factory Environment
Q.2 From how many years you are working in this factory?
Q.4 Do you like to work in this factory?
Q.8 Do you meet your colleagues outside factory? If yes, how many times?
Q.5 Do you like the working conditions of the factory?
Q.3 How many hours in a day you work in the factory?
Q.7 Do you receive bonus on special occasions like New Year?
Q.6 do you receive any travelling allowance?
Q.1 what is your post?

Annexure
Interview Schedule for Manager or Owner

NameAgeSexReligionEducationYear of factory establishmentIs your factory registered?

Annual income of factoryAnnual expenditureAnnual ProductionTotal number of workersNo. of workers on per day wagesNo. of females working in the factory, and what kind of work they are doing?
How many workers doing work in the factory more than 10 years?
What are the timings of doing work in the factory?
Are the timings for male and female workers are same?
From where, most of the workers came?
Do you provide any cab facility to your workers?
Do you participate in social activities with your workers? (For examplecelebrating festivals, birthday, etc.)
How many products are manufacturing in your factory and what are their names?
What kind of raw material do you use and where you buy from?