1

1.1 GENERAL INTRODUCTION

The organization study aims at creating a practical knowledge, experience and exposure for
the students by giving the opportunity to know the complete performance of the organization.
This would enable the student to get a practical and real time feel of the various aspects
concerned with the organization and to relate it to the concepts and theories studied so far in
the class room. This exercise would enable the future managers to face the challenges lying
ahead. It also enables to create a good relationship with the officials.
The study was undertaken during the period from 1
st
May to 31
th
May 2013 as a partial
fulfilment of the requirement for the award of the Degree of Master of Business
Administration of Mahatma Gandhi University. This study was a good experience to know all
about Sri Ratna Lakshmi Spinning Mill.
The organizational study at Sri Ratna Lakshmi Spinning Mill was a humble effort to
understand and comprehend about the organization. Here I would like to make a study on its
success, particularly trying to concentrate on the organization and the role of its various
departments.
1.2. SCOPE OF STUDY
Organizational study encompasses the study of organizations from multiple viewpoints,
methods, and levels of analysis. It helps to study the organizational setup as a whole, i.e., how
they adapt the strategies and structures that guide them. Organization study gives the
opportunity to the students to understand the basic managerial skills and corporate culture. It
enables the students to understand their skills and interest which helps in shaping the career.
In addition to it, students come to know the history of the organization, its milestones, vision,
mission, future plans and expectations of the organization regarding the qualities and skills of
its employees.




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1.3. OBJECTIVES OF THE STUDY
. To understand the organizational framework & its functioning.
To gain knowledge about different departments of the organization and the
functions.
. To make a SWOT analysis of the organization.
To interact with managers at various levels.
To interact and observe the workers at workplace.
To interact with the managers at different levels of the organization and to
know their responsibilities.
To understand how managers make use of the management tools concepts
theories and principles in practice.
1.4. METHODOLOGY
Primary data:
Personnel and direct interviews with various departmental heads and officers in the
organization.
The activities of employees are studied by observations.

Secondary data:
Data published in websites
Company records
1.5. Limitations
The study was conducted within a short period of time.
It may lack some detailed and in-depth information about the departments
involved.


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2.1. Introduction to the Spinning Mill Industry.
The cotton textile industry is one of the oldest and most modern of industries in INDIA. With
a population of 880 million and an annual growth rate of 2%, the total production of finished
textiles provides only less than sixteen metres of cloth for every Indian. As the standard of
living is steadily improving due to the increasing literate percentage, the demand for more
clothing and better clothing also improves proportionately. So, there is an ever increasing
domestic demand for textiles in India.
The global demand for cotton textiles in the form of under-garments, Ready-made
garments and cotton apparels besides a wide range of other clothing has steadily increased
over the years. There is a steep increase in the demand for cotton textiles in European
countries, For East U.S.A. Soviet Union, Swiss, Australia because most of these countries
face acute problems of labour shortage and high labour wage rates. Also large scale textile
manufacturing has become totally uneconomic in many of these countries, As such, these
countries look towards India, with rich potentials for cotton textiles and the expertise gained
through decades envisages a good demand for cotton textiles and man-made textiles from
India.
In India, there is a steady improvement in the availability of raw cotton in different
staples, wherein, we are in a position to export raw cotton to foreign countries. We are now in
a position, due to fast technological development, to spin almost any count of yarn to cater to
any market. The developments in the cotton scene have been fabulous over the years this has
been helping India in emerging as a major supplier of quality textiles, a major bulk of which
goes to European countries, U.S.A., far-east, Swiss and Australia.
There is also a sizeable growth in the textiles machinery manufacturing industry,
which find a place in our exports, the quality of these machineries can be compared with that
of other countries quite favourably.

There is a stagnation or cutting down of the quantum of textiles produced by countries
like china and Pakistan because of their own internal problems. Even countries in far-look to
India for the supply of quality textiles in cotton and man-made, inorder to keep their business
activities going.
4

Viewing these entire domestic and international market situations for cotton textiles,
the government of India has evolved some pragmatic measures regarding licensing and
production of textiles. Moreover, due to the current foreign exchange shortage, the
government is encouraging exports to foreign markets, and towards that direction. The export
market for textiles is quite encouraging and welcoming, especially cotton textiles, in the form
of apparels, Under-garments, readymade garments, made-ups etc, The global exports is 3000
Billion Dollars Indias exports amount only to 0.5% of exports, of which 40% of the
products come from SSI units. Japan is accounted for 10% of exports and a major quantum of
it comprises of ready to wear apparels and other garments.
The Indian export of garments which was 15.7% in the year 1998-99 has increased to
24.7% in the year 2003-04 and the value of the same amounts to Rs.350 crores. Nearly one-
third of a total export of 745 Million Dollars to Singapore is from our country. The supplies
to Singapore, which has in recent times, turned out to be a gateway to other countries are
Taiwan 23.1%, Japan 15.7%, china 12.6%, Hong Kong 12.2%, Singapore with its developed
infrastructure and its connection to various countries through sea has made it a gateway point
for many products originating from many of the western countries and Far-East.
The top five trading partners as in 1997 were U.S.A., Japan, Malaysia, Hong Kong and
Thailand respectively. The exports from India to Singapore amounted to 20,877 Singapore
Dollars in cotton grey fabrics and 1210 Singaporean Dollars in Man-made fabrics and 1,091
Singaporean Dollars in specialized fabrics like canvas cloth, Filter cloth, lining cloth etc.

The market for industrial fabrics has steadily improved over the years, thanks to
developed technology, where in fabrics are finding place in almost all types of industries and
end users, to name a few, they find a place in construction of dams as seen in Netherlands, in
geo textiles for the laying of roads, in automatic industries for tires and lining, in the material
sector Doctors practice gauzes and plasters, in the safety clothing sector for safety clothing
for fire fighters and in industries particularly chemicals, pharmaceuticals and petroleum
refineries. The countries that look to India for their textiles are Australia, Canada, Hong
Kong, Italy, France, and Bangladesh, Philippines, Germany and other countries of the
European Union.

5

SRI RATNA LAKSHMI SPINNING MILLS PVT LTD
3.1. HISTORY
Sri Ratna Spinning Mill is a small manufacturing company when it started in the year 1995
with 6000 spindles by a group of people who have an experience in the textiles field for about
25 years. Later in 2001 spindlier was increased to 11500. In the next stage of expansion 2006
to 2011 spindlier increased to 17760. This is the current stage of the spindlier capacity. Main
process in this industrial concern is to manufacture yarn from cotton. This manufacturing
company was started by late Perumal mudaliar, Mr. Masila mani, Mr. Balasubramaniam, Mr.
Krishnaswami, Mr. Selvam, Mr. Ramesh(CA), Mr. Mahesh(MBA). in the starting time of the
company, there is only 100 workers. Now it is increased to around 500.
Sri Ratna Spinning Mill is a manufacturing company. More than 500 employees are working
out there. The company is working 24 hrs. The job shift cycles from morning 8am to next day
8am there are totally 3 shifts. I.e. morning 8 to evening 4, evening 4 to midnight 12, midnight
12 to next day morning 8.
Each day all workers attendance is recorded with the help of computerised machine and also
there is a supervisor recording the attendance manually. Every employee are given electronic
id card which is to be swiped in the attendance machine before entering and leaving the work
premises. This procedure is adopted for the purpose of avoiding the fraud. Some employees
are illiterate so that they are not using the electronic cards. Wages are paid on daily basis
weekly basis and monthly basis. Daily and weekly wages are paid on the basis of time rate
system.






6

3.2. MISSION / VISION:
a) Vision towards Public: Ginning of cotton, spinning of yarn from cotton and
staple/synthetic fibers both for export to foreign countries and domestic markets and also for
distribution of yarn to Pontex/Ponfab/Texpro for onward supply of all primary handloom co-
operative societies functioning in the Union Territory of Pondicherry.
b) Vision towards Quality: The Policy of SRI RATNA LAKSHMI SPINNING
MILLS is to provide quality cotton yarn in a competitive rate and to ensure best customer
satisfaction
c) Vision towards Employees: Provision for continuous employment and welfare to
the employees are attached with SRI RATNA LAKSHMI SPINNING MILLS.

3.3. DUTIES:
1. Spinning of quality yarn matching the international standards.
2. Sale of yarn at very competitive rates.
3. Provision of continuous employment to the employees of the mills.
4. Provision of welfare to the employees.

3.4. MAIN ACTIVITIES / FUNCTIONS:
a) Purchase of cotton
b) Conversion of cotton into yarn
c) Sale / Distribution of yarn.



7

3.5. LIST OF SERVICES:
Provision of continuous employment to the employees of the mills.
Provision of various welfare measures to the employees of the mills.
Conducting of various awareness/training programmes to the employees of the mills.
Conducting of free medical camps for the employees.

3.6. WORKING HOURS:
a) Administrative Office: 9.00 A.M to 1.00 P.M and 2.00 P.M to 5.30 P.M
b) Factory:
I shift 8.00 A.M to 4.00 P.M}
II shift 4.00 P.M to 12.00 Midnight.} Inclusive of break hours.
III shift 12.00 Midnight to 8.00 A.M}
General Shift. 8.00 AM to 4.00 P.M}










8

3.7. PROFILE OF SRI RATNA
Managing Director: Mr.K.Raja
Register Officer: Mr.Chandran
Factory Manager : Mr.Dharmalingam
Finance Manager: Mr.Moorthi
Production Manager: Mr.Gunashekaran

Bank: Karur Visaya Bank

Workers: 275
Type of workers:
Weekly wages- 140
Monthly wages- 60
Contractors- 75






9


Fig 3.8.1. Organization structure








MANAGING
DIRECTOR
ADMINSTRATIVE
MANAGER
ASST MANAGER
MAINTAIN
MANAGER
ASST MANAGER
ELECTRICAL
ENGINEER
FINANCE
MANAGER
ASSITANT
ACCOU NTANT
MARKETING
MANAGER
SALES
SUPERVISOR
PRODUCTION
MANAGER
SUPERVISOR
STAFF STAFF
YARN MANAGER
STAFF
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4.1. FINANCE DEPARTMENT





Fig 4.2. Structure of Finance Department
Finance department mainly analyse the costing activities, prepares the financial policies and
accounting statements on monthly basis. The accounting policies of this company are
All income and expenses are accounted.
Valuation of the fixed assets of the company.
Avoiding the fluctuating cost for the procurement of materials.
Low interest on borrowings has been capitalized.

4.1.1. Sources of Capital:
An individual invests the entire capital using his own skill, assumes all the risks and
losses and get all profit and gains.
5.1.2. Cost of capital:
The capital investment of the proprietor towards spinning mill division is Rs.89.96
lakhs.
4.1.3. Allocation of Funds to Various Departments:
According to the production capacity of the concern they will allocate funds to
various departments.

Finance Manager
Assistant
Accountant
11

4.1.4. Investments:
Current assets: 39.07 lakhs
Fixed assets : 50.89 lakhs

4.1.5. Credit and payment policy:
The maximum part of sales of company is made on credit basis. It assesses the credit
worthiness of customers accordingly before making credit sales. The collection period of
debtors is 1 month.
The minimum part of purchase of raw materials and spare parts are on credit basis
credit is for one month period.

4.1.6. Return for the capital invested:
There is no return for the capital because it is a sole proprietorship concern.

4.1.7. Insurance:
Insurance is covered under the circumstances of natural calamities like earthquake,
fire, accident or any other incidents that happen inside the concern.

4.1.8. Payment and collection procedures:
Depending upon the trend of the market situation, they will pay or collect the amount
immediately or within 30 days period


12

4.1.9. Budgeting and Forecasting Method:
The company prepares cash budget on basis of daily requirements, projections are
made every month and actual are compared with the anticipated figures and controlling is
done if there is any deviations. Every month there is 5% to 10% increasing.

4.1.10. Cash management:
The concern focuses on the following aspects of cash planning and cash control like
maintenance of accounts, cash budget, surplus funds, Receivable management in company,
and Accounts payable in company.

4.1.11. Integration with other departments:
The financial department do interact with other departmental functions like stores
management-stores Accounting, quality control department for approval product supplied by
the supplies, sales department about collections management, purchase department about
payments.

4.1.12. Control process:
The control process involved in financial department is cost control It means
immediate action should be taken to remove the deviations to make the improvement in the
essence of the effective control.





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4.2. MARKETING DEPARTMENT
4.2.1. Structure of Marketing Department:





Fig4.2. 3. Structure of marketing dep.

4.2.2. Role of Marketing Manager:
They will study about consumer preference, Launching a new product, Giving
consumers feed back to Technical / Research and development department, improving the
market share of the product, setting distribution network, Advertising and publicity strategic
about sales channel, logistics.
4.2.3. Marketing Policy:
Identifying the potential market, making the promotional activities in order to enhance
sales and making proposals to concerned buyers and improve sales.
4.2.4. Duties:
To keep maximum sales efficiency.
To have a look out for how profitable markets are.
To improve sales method.
To ensure that the goods reach the customer by most economical routes.
To use means for increasing sales.
To satisfy the needs of customer efficiency.

Board of Directors
Chief Executive officer
Sales Manager
Executive Executive Executive
14

4.2.5. Product and policies:
Product is a thing which consists of bundle of expectations. The Product policies are:
Product planning and developments: it means deciding in advance about future
product. It consists of three levels.
The first level is selling a product; the second level is quality, package, style, brand,
etc..... The third level is guarantee, Follow-up, delivery, operating guidance etc.....
Product positioning=> I t means the product will create more image to the consumers.
Product Identification=> It means easily identifying a product through which
manufacture will give more ideas about that product.
Packaging=> It means the product will give more attraction, Package for safety etc

4.2.6. Marketing products:
Table 4.2.6.1
Cotton yarn:
4.2.7. Advertisement Policies and Procedures:
The concern will follow direct advertising. It includes.
Sales letters
Booklets catalogue
Packages inserts
Circular letters
Quality

100% Cotton Carded/Combed
Weaving/Hosiery Auto Coned Spiced
Single.
Count Range
Ne 20/1 - Ne 40/1
Ne 20/2 - Ne 40/2
15

4.2.8. Sales promotion activities:
Sales promotion activities like advertisement, Publicity through Newspaper,
Magazines, Participating in textile fairs in all areas and promotional activity through online
media.

4.2.9. Responsibilities of Sales Manager:
Co-ordinating the sales of the concern and manage the consumer wants and needs
about the product

4.2.10. Marketing Research activities:
Marketing research activities includes both direct and indirect marketing activities
like purchase of raw material, production, ware housing, Insurance, Transportation,
Advertisement, Selling etc...

4.2.11. Marketing Conditions: -
Number of customers : Lot of customers
Nature of Market : Bulky sales
Orders : Orders are average
Buyer behaviour : Good (Payment duly)

4.2.13. Kind of sales:
1. Cash Sales
2. Credit Sales
The period allowed for credit is 15 days.

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4.3. HUMAN-RESOURCE DEPARTMENT
4.3.1. Structure of HR Department:





Fig 4.3.4 Structure of HR dep.

4.3.2. Role of HR Manager:
Human-Resource manager will recruit the employees, retain the employees, and
negotiate with Non-Management Representatives to decide the salary structure, maintaining
employee records as per labour law like ESI act, PF act Etc....

4.3.3. Employee Profile:
The total number of employees working in that concern is 217 including 13 office
staffs. The factory works in 3 shifts per day each of 8 hours. The employees required per shift
is
Supervisor -2
Fitter -2
Workers in Autoconer -10
Workers in Carding -12
Workers in Comber -6
Chie HR Manager
Personnel
Manager
Assistant Manager
17

Workers in Drawing -8
Workers in Simplex -4
Workers in Spinning -4
Workers in Winding -3
Workers in Packing -5

In factory 27.20% of the work force is represented by Females. The company
management is providing the most update production technology and working environment
suited for the welfare of employees.
The company already applies a range work shift arrangements and it is continuously
researching new solutions, aiming at the safeguard of employment, more flexible work time
tables, as well as the elimination of continuous night shift work, thus allowing to all its
employees a more socially oriented and convenient life style. 30.0% of the total staff is
without any foreseen night shift work.

4.3.4. Recruitment and Selection process:
The recruitment of the employees to the company takes place directly or
through the recruiting agencies and selection is based upon the skill and experience of
the employee in each condition. The employee must be 18 yrs old.

4.3.5. Training and Development:
When they recruit workers, they divide the workers into two categories.
i. Experienced workers and
ii. ii. Inexperienced workers.
The experienced workers are directly allowed for work and in the case of the
inexperienced workers, the company is giving necessary training with the skilled workers of
18

the company who are already working there for a period of six weeks. Depending upon the
performance of the fresher in the training period, they will allocate a cadre of work to the
workers.

4.3.6. The Minimum Wages Act, 1948:
While the Minimum Wages Act has been revised several times (namely in 1950, 1953
and 1963), the basic aim of the legislation is to provide detailed guidelines for the minimum
wages that are to be paid to workers as also to discover violations of minimum wage laws.18
The legislation in furtherance of the same provides for specific penalties for certain offences
and has provisions for imprisonment and fine for defaulters of the same. Thus the legislation
provides for wages for overtime, payment of minimum rates of wages20, penalties for certain
offences etc.

4.3.7. Performance Appraisal process:
Depending upon the workers performance in the work, attendance, punctuality,
conducted characters the concern will give certain benefits or perks to the workers once in a
year. The nature of the industry is such that due to the excess of supply insofar as labour is
concerned, there is no fixed demand and supply of labour. As a result of this, there is usually
an adverse bargaining power for the worker and the worker is inclined to accept whatever
task is given to him/her in the industry and in whatever conditions he/she is made to work in.

4.3.8. The Employee State Insurance Act, 1948:
The ESI is a legislation whose basic purpose is to provide for certain benefits to
employees in case of sickness, maternity and employment injury. It states in its scope that
it applies to all industries except seasonal industries. The legislation clearly provides that
the employer is not to dismiss or punish an employee through a period of sickness or in any
way reduce or discharge through the period of maternity benefit.
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The employee during his period of sickness is entitled to medical benefits as well as
cash benefits equal to about half his/her daily wage per day for a period of 56 days per year.
Moreover, the legislation provides for the hospitals that the employee is entitled to access as
under the ESI legislation. These hospitals are by and large those established and maintained
by the Corporation25 and the provision of medical treatment is by the State Government.

4.3.9. The Maternity Benefit Act, 1961:
The MB Act can be read somewhat in consonance with the provisions of the ESI
legislation. It provides for establishing a benefit of pregnant workers average daily wages
during their absence 6 weeks before and 6 weeks after giving of birth or 21 S.22,
This legislation further and very importantly protects pregnant workers from being
dismissed through their maternity period. If the employer has failed to provide the worker
with medical care, then the legislation places the bonus on the employer to ensure that a
medical stipend is provided to the worker by the employer. The mother is also allowed 2
nursing breaks through her period of work a day.

4.3.10. Compensation plan:
When the workers works more than one shift per day, the company is providing leave
on other day or paid extra salary.

4.3.11. Financial and Non-Financial Incentives:
The concern has provided a bonus of 17% for Deepavali and 10% for pongal to all
workers. They provide free residence for some of the workers who are coming from other
states and also provide food facilities at low cost.


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4.3.12. Welfare Benefits:
The concern will provide Provident Fund, ESI, Leave salary, Gratuity, to permanent
workers working in that concern. The company is providing medical assistance (Medical
Checkup) to all staffs and workers without any cost.

4.3.13. Trade Unions:
Instead of trade union there is Non-Management Representatives (NMR) functioning
in that concern. The meeting was held once in 3 months, between Managing Director and
Non-Management Representatives. PSMWA is the trade union of Sri Perianayagi spinning
mills.

4.3.14. Discipline Administration:
The concern shall not engage in or support the use of corporal punishment, mental or
physical co-ercion and verbal abuse.
For Example: When workers take long leave without permission the concern will warn them
only, they will not take any severe actions.
4.3.15. Grievances Handling Procedure:
Once in three months committee meeting will be held. In that committee the workers
may give certain suggestions and the committee members will takes necessary actions
immediately.

4.3.16. Availability of resources
The company provides the necessary funds for all WHP activities.
A range of internal and external social and health related services are available to employees.

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They include:
Canteen facilities, lockers and rest rooms in each production unit.
First-aid and medical examination facilities in each production unit.
Rehabilitation facilities
Availability of regular medical consultation and social assistance
Additional private health insurance to all employees
Free holidays and excursions
Wedding allowances















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4.4. PRODUCTION DEPARTMENT
4.4.1. Machineries Available For Production:
The production department is the heart of the organization in a manufacturing
concern. This concern is having installed capacity of 11 Ring frame machines of these 4 no
are 26 counts and 7 no are 34 counts. Also there are 4 nos of Autoconer winding. The other
machineries that go hand in the process of manufacturing are
Mixing Bale Opener-1
Monocylinder-1
Unimixer-1
Vetal Scanner-1
Silver Lap Machine-2
Ribbon Lap Machine-2
Comber Lap Machine-13
Drawing Lap Machine-3
Simplex Lap Machine-4

4.4.2. Receiving and Processing Orders
They received the orders from various companies namely Surpass Apparels, other
Knitting Units. The Raw material of this company is white cotton. White cotton is the
primary raw material. There are other fibers also used as the raw material for conversion of
the cotton into yarn. The conversion into yarn is done in the spinning department. The
following processes are involved in converting cotton into yarn.


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4.4.2.1. Blow Room:
A blow room is that line consists of opening, cleaning, mixing and lab making
machines. The cotton received in a hard processed bale from more over it contains several
impurities. The blow room machines perform the function of opening up hard processed bale
led and cotton impurities object. To open the compressed layer of the bale of cotton or any
stable fibers, To blend varieties of cotton in the desired proposition to prepare the raw
material for spinning process.
To extract the impurities like broken seed, husk, leafs, stones, sands, hard fibers,
immature fibers, dust and other foreign material from the cotton by opening and beating.
The features of the blow room are
To open the compressed layer of bale of cotton or any stable fibers
To blend different varieties of cotton in a desired proposition
To extract impurities
To convert the mass of the cotton fibers into uniform cotton fibers
The object of the fiber recovery section of blow room is recovering
maximum spindle fibers

4.4.2.2. Carding:
The wall opened cotton is fed into the carding machine inorder to improve
penalizations of the filler and also to convert the loose fillers into rope room. It extract 90%
of the context of cotton CPS opened cleaned and converted in the form of the rope technically
it is called as a Silver Total Carding Machine. Carding was 6% tag and one time lab
processing was 1.10 hours, carding silver cone weights 24.5 kgs.
The features of carding are:
To unwind and open the ball into small fumets
To extract the mat seeds bit and all other thresh particular from the cotton
To deposit the silver in the can
fiber to fiber separation
To convert ball to silver
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4.4.2.3. Drawing:
To get better uniformity, carding silver are doubled and drafted into the same
thickness of single carding silver and again converted into drawing cone. This cone are
doubled at the other side of the drawing machine and drafted to the same thickness of single
carding silver is cone and again drawing cone are double at the other side of the drawing
machine and drafted to the same thickness of a single breaker drawing, silver drawing
machine is used to improve the uniformity of the carding silver.
The raw cotton which is in flat condition in the bales is well opened and cleaned by
the primary processed known as blow room carding. Due to the transfer mechanism of carded
fibers between cylinder and stripping causes the position of the fiber to lie haphazardly in the
carded silver. This arrangement in the carded silver will make the yarn uneven and parallel.
But we are in position to make uniform and regular silver. The uniformity of the silver may
be increased by making the fibers parallel to each other.
The features of drawing are
To improve the uniformity of the silver
To straighten the fiber, the fiber is arranged in parallel order to each
other and also the axis of the silver
To removal of Hooks
To pulling down of material
To removal of short fiber


4.4.2.4. Simplex:
The purpose of this section is to reduce to drawing silver to a suitable size with a
slight twist, this is called roving threads and it is received through bobbins.
The features of simplex are
The main feature is a speed frame
To reduce the thickness of the material and parallelization to make the
product more even
To improve the twist into material
25

To wind the rove into the bobbing
To built material on the bobbin in a suitable shape (i.e.) cylindrical
body with conical ends

4.4.2.5. Spinning:
It is the final process where the round bobbin is reeled in spinning frame to produce
yarn. The yarn is round on bobbin are given further trust of high speed and draft to produce
counts in yarn. The production depends on the yarn count numbers of spindles.
The features of spinning are
Drafting the cotton
twisting
To wind the yarns in suitable bobbin
To give suitable package of next process

4.4.2.6. Cone Winding:
For making scalable package of single and double yarn cones are formed on cone
winding machine. The sale price of cone yarn is more. The yarn in a bundle from cones
weighting almost like an area for general purpose cones are packing in cardboard for
marketing.
The main of winding are the primary purpose is warp winding is on take yarn from
small package and convert into large package like cones. Ring cops contains small amount of
yarn in length and weight wise is about 60 to 70 grams. By passing the material from the ring
cops containing more impurities like thick and the thin.
The features of cone winding are,
To remove thick and thin places
To remove foreign materials
To give suitable packed for next process

26

4.4.2.7. Doubling:
Yarn doubling frame is similar to ring frame. Her creel of doubling frame has the
cheese of yarn. The yarn from the two cheesed at a time is taken and twisted on to the
bobbins care. The yarn is taken in doubling process as some time one yarn breaks and a long
yarn would on the doubling is not looked properly by the attendant and a defect is to be
rectified immediately at time of breakages and yarn as single would also removed from the
bobbin.

4.4.2.8. Packing:
The yarns from the reeling machines are packed into bales each for marketing. It is a
final stage. The cotton is converted into yarn and used for various purposes.
The concern produce the yarns depending upon the orders receivable counts will vary
from 10S to 100S.This concern will mainly produce counts from 20S to 40S. The concern
will take mainly batch wise orders. They are planning the orders according to the market
demand condition.
4.4.3. Wastages:
The wastage material of this concern is purchased by other small concerns and using
those materials they are making second quality yarns.
The wastage produced by each section is as follows:
Autoconer section-2%
Carding section-0%
Comber section-22.5%
Drawing section-1%
Simplex section-1%
Spinning section-6%
Conewinding-0%
27

4.4.4. Records:
They are keeping record separately for storing raw materials, work-in-progress,
spares, finished goods, and tools. First they entered by manual note and then entered into
system. Every day production assistant manager will check the availability and reported to
mill manager. Every day mill manager passed the records to the Head office.

4.4.5. Quality control techniques:
The concern was received certain quality certificates from the respective concerns.
ISO 9001:2000 for Quality production
ISO 14001:2004 for Environment
SA 8000:2001 for Social welfare.
In carding section they maintain standard quality of 0.125% with the lab weight of 58
grams; noils will vary depending upon the raw material.

4.4.6. Procedure to Deal with Complaints:
When the complaint is received from any concern, the general manager will attend the
complaint and passed to mill manager. The mill manager will pass this complaint to
production department; the production manager will attend the complaint and reported to the
mill manager whether it is real or unreal.

4.4.7. Product Usage:
The product yarn is mainly used for manufacturing Hosiery garments, Fabric cloths,
Etc. The Efficiency usage between men and machine is 25% and 75% respectively.


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4.4.8. Maintenance System Followed:
Every month they are checking condition of wheels and belts, Top roller buffing,
Bottom roller greasing, Variator pulleys greasing, all grease nipple greasing, Conveyor drive
checking.
Every year overhauling the coiler box, spindle oiling, Actual spindle shifts. Once in six years
they are changing the Rings in spinning section. Once in six months they were overhauling
the conveyor gearbox.

Table 4.4.3: YARN QUALITY PARAMETERS
3. 100% Cotton Carded
Sl.No.
Count (All
Ne)
RKM U%
Count
CV%
Strength
CV%
Imperfections
Thin Thick Neps Total
1
20s
Weaving
14.60 11.10 1.15 4.60 8 70 204 282
2
30s
Weaving
14.50 14.07 1.24 4.04 40 173 480 693
3
20s
Knitting
13.00 10.7 1.20 4.00 5 60 180 245
4
30's
Knitting
14.01 13.62 1.20 5.07 33 128 399 560
5
30/2
Weaving
16.10 9.53 1.39 4.10 0 5 41 46
6
20/2
Knitting
14.783 8.11 1.50 3.06 0 2 17 19
29






1 20's Hosiery 20 10.2 1.5 4.0 1 10 20 41
2 30's Hosiery 17 11.2 1.5 6.0 8 27 22 57
3 40's Hosiery 14.5 11.8 2 6.0 12 35 40 87
30

Sl.No. Count
(All Ne)
RKM U% Count
CV%
Strength
CV%
Imperfections
RING
SPUN
Thin Thick Neps Total
1 20s
Hosiery
16 8.2 1.5 5.0 0 8 22 30
2 24s
Hosiery
16 8.7 1.5 5.0 0 10 30 40
3 30s
Hosiery
16 9.3 1.5 5.0 1 15 44 60
4 34s
Hosiery
16 9.6 1.5 5.0 1 20 59 80
5 40s
Hosiery
16 10.2 1.5 5.0 0 25 63 90
6 20s
Weaving
19 8.5 1.5 5.0 0 10 25 35
7 24s
Weaving
19 9.0 1.5 5.0 0 12 33 45
8 30s
Weaving
19 9.8 1.5 5.0 1 17 48 66
9 34s
Weaving
19 9.9 1.5 5.0 2 20 63 85
10 40s
Weaving
19 10.6 1.5 5.0 4 25 66 95
31

4.4.9. Quality policy:
1) SIRO CLEARED free from foreign fiber contaminations. Our yarns are cleared in auto
corners using siro clearers, which improve the appearance of the dyed fabric.
2) KNOTLESS YARNS TFO TWISTED AND SPLICED SRI PERIANAYAGI
SPINNING MILLS offers knotless doubled TFO Yarns which improve the fabric appearance
and increase the loom efficiency, using our Two for One Twisted and Spliced Yarns.
3) MODERN MACHINERY FOR SUPERIOR QUALITY SRI PERIANAYAGI
SPINNING MILLS has installed machineries from world class leaders like - LMW
SCHLAFHORST MURATA VEEJAY.











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5.1. Strengths
The Company has capacity to produce cotton yarn of 20s to 100s in Sri Rathna
Spinning Mills as well as synthetic yarn and blended yarn up to 80c.
Company has captive power/D.G. set capacity 150 KVA for ASM
The products are in good reputation & captured Delhi, Calcutta, Bombay, Coimbatore
market.
Adequate go downs facilities available in the mill for raw materials & finished
products.
Skilled labour is available in plenty.
Manufacturing capacity present across the entire range and across entire value chain
yarn, fabric, process house and garments
Installed Capacity can be enhanced with up gradation of technology.


5.2. Weaknesses
The major weakness of the company is inadequacy in the availability of Working
Capital Funds;
Inadequacy in the availability of raw materials limiting the production capacity.
Knitted garments manufacturing has remained as an extremely fragmented industry.
Global players would prefer to source their entire requirement from two or three
vendors and the Indian garment units find it difficult to meet the capacity
requirements.
Labour force giving low productivity as compared to other competing
countries.
Major threat is envisaged in view of very less employees due to implementation
VR/VS Scheme.
Payment due to labourers including their retirement benefit have been paid to a large
extent and balance amount ,if any, would be paid shortly. Therefore no labour unrest
is expected


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5.3. Opportunities
Tremendous potential for backward and forward Integration and expansion exists.
Increased Market Share is assured due to the lifting of quota thus boosting export of
textile goods.
Export to become double in next five years.
Textile industry to get a boost from the Govt.
Government funding for future developments.
Availability of information about best practices in human resources.
Stable growing and requirements in cotton yarn.

5.4. Threats
Threat from the financial Institution & Banks has been resolved by paying off their
OTS dues.
Booming investment by the foreign establishments creating stringent competitive
market.
Unanticipated intervene on investment by the Government.
Deficit utilization of huge invested fixed assets due the variation of awarding and
duration of contracts.
Insufficient room for allotment of establishment costs in idle periods.
Other organizations may attract employees and business away from this industry.











34

FINDINGS

All the departments are well organized and managed by different managers, and all
the departments are functioning very well and active. The organization structure is
divided in to several units like Finance, Marketing, Human Resources, and Production
etc These all departments are headed by different head units but at the same time
they work for same objective with full co-ordination which shows the unity level
about the organization.
During the study, it was found that it is indeed a healthy organization with a lot of
well unique functions. This organization basically being a spinning mill industry, it
has a large investment and a large number of people working in it and there is a well
established organizational structure with the top level management, the middle level
management and the bottom level management.
There is a full swing total quality management system and it works efficiently and
ensuring the total quality of the organization and its product and services.
In the companys system of materials management, there are very less chances of
damaged goods and scrap items being raised. The company takes necessary steps to
see that no items become scrap in the store and damaged goods doesnt come in and
go out of the company.
All the employees and laborers work very hard towards achieving the goal. Even the
higher authorities work very hard without wasting time towards the organization goal.
An Organization study also makes me learn that any objective cannot achieve with a
short span of time it has to be done through systematic ways. Finally, in any
organization time management play important role because each activity should be at
a right time at right place.






35

SUGGETIONS

One important suggestion is that more care and concern should be given to the clients
to retain the trust of existing valued customers.
Company should try to improve technical services after the installation of all its
manufactured items. No doubt the company products have technically edge over
competitors but in longer run they have to build stronger strategies in marketing their
products.
Company is hiring lot of heavy equipments for the completion of the job in time. It is
advisable that, if they would purchase more heavy equipments like heavy duty cranes
and excavators, they would be in a position to make more profit.
During the study, it is noticed that, open purchase orders are issuing for the
purchasing of materials. Open purchase orders are the order with no value. This may
lead to malpractice and it should be discontinued immediately.
Another important matter which was noticed, in rare cases purchase orders are issuing
after the supply of materials. This practice also should be discontinued so that the
chances of miss-appropriation can be controlled to a great extent.
An important area which is to be taken more care is the awarding of sub contract
works. It is advisable that, the company is in a position to execute the same job which
is sub contracting, profit earning can be increased to a great extent.
Firm has opportunity to operate successfully in emerging markets by using
its great strengths.
Strong competition in current market and also desire to make rapid growth, Market
development has become favorable strategy for current situation.






36

CONCLUSION
The practical training undergone in SRI RATNA LAKSHMI SPINNING MILL
has given me the opportunity in knowing the functioning of the concerns like working
process, Performance Etc...This practical experience has given me a clear idea about the
concern in view of corporate sense. As per the observation made it was noticed that the
companys main focus is on the quality of the product. This is in order to retain the customer
and to increase the sales of the company.
Management and workers mutually depend on each other to overcome the changing
conditions, which indicates the existence of cordial relationship among them and takes much
effort to achieve its target and move in the path of progress effectively and efficiently.














37

ABBREVIATION

DG Diesel Generating
VRS Voluntary Retirement Scheme
VSS Voluntary Separation Scheme
KW Kilowatt (measure of power equivalent to 1000 watts)








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