CHAPTER 1

INTRODUCTION ABOUT ORGANIZATIONAL STUDY

1.1. INTRODUCTION

An organization is a social arrangement which pursues collective goals,

which controls its own performance, and has a boundary separating it
from its environment. Organization is the association formed by a group
of people who see that there are benefits available from working together
towards some common goal.

Organization studies are the study of individual and group dynamics in

an organizational setting, as well as the nature of the organizations
themselves. Whenever people interact in organizations, many factors
come in to play. Organizational studies attempt to understand and model
these factors. Organization study is necessary to any MBA graduate as it
helps them to connect theory with practice.

Organization study refers to the study of the organization as a whole and

getting adequate knowledge with various departments in the
organization. The study was carried out at Toolfab Engineering
Industries, Trichy. This study is based on the different aspects and
dimensions of different departments of the company.
1.2 SCOPE OF THE STUDY:

 This study is conducted in the ToolFab Engineering industries,

Trichy. And this study tells us an overall view of the organization
and functions carried out by different departments like
Manufacturing, Maintenance, Marketing, Human Resource, Sales
and Finance etc.

1.3. OBJECTIVES OF THE STUDY:

 To understand the organizational framework audit’s functioning.

 To gain knowledge about different departments of the
organization and the functions.
 To study about the procedure of purchase and sales.
 To study the interdependence of different departments.
 To make SWOT analysis of the organization.
  To understand the difference between theoretical and practical
aspects of functioning organization.
 To understand how information is used in organization for
decision making at various levels.
 To study overall performance of the organization.
 To understand how the key business processes are carried out in
an organization.

To understand the performance measurements of employees and various

employee welfare activities, Training activities

1.4. REASON FOR THE STUDY

 To find out strength and weakness of the organization.

 To find threats and opportunities of the organization.
 To gain knowledge about different departments of the
organization and the functions.
 To study overall performance of the organization.
 To make SWOT analysis of the organization.

1.5. LIMITATIONS OF THE STUDY

 There were difficulties in obtaining data from executives and

managers due to their busy work schedule.
 And in depth study of the company should not be carried out due
to shortage of time.
 The reliability of data used for study largely depends upon the
company reports and the information given by executives.

The company has the limitation to disclose their financial details, so as a

detailed analysis of financial performance of the company is not possible
CHAPTER 2
2.1. INDUSTRY PROFILE:

Heavy Engineering Equipment and Machine Tools Industry is the

backbone of the entire manufacturing sector. Being a part of capital
goods sector which contributes 12% to the manufacturing sector,
represents a vast multi-disciplinary field with numerous end use
application areas. The capital goods sector plays a major role to build
economy of the country. It has a strong production base capable of
manufacturing the diverse range of machinery and equipment to serve a
cross section of user industry segments ranging from defense, oil and
gas, refinery, nuclear, chemical and petro chemicals, machine tools, to
consumer durables, fertilizers, automobiles, textiles, steel, cement, paper,
construction, mining, etc. It contributes more than Rs.25,000 Cr. to the
Government exchequer annually in terms of various taxes and levies.
The annual production of the capital goods industry is approx. Rs. 2 lakh
crore (including heavy electrical equipment). Potential of the capital
goods sector in India is still largely untapped. For development of
Machine Tools, Textile Machinery and Construction & Earthmoving
Machinery, Development Councils have been constituted by the
Department. The major Industry Associations associated with this sector
are Textile Machinery Manufacturers Association (TMMA), Indian
Textile Accessories and Machinery Manufacturers Association
(ITAMMA), Indian Machine Tools Manufacturers Association
(IMTMA) and Indian Construction Equipment Manufacturers
Association (ICEMA).
2.2. INDUSTRY STRUCTURE
2.3. INDUSTRY GROWTH

Industries in India have been expanding by leaps and

bounds since independence. Despite the global economy experiencing
downturns, the resilience of Indian entrepreneurs has driven the country
from nothing to its zenith position. The fabrication industry is a crucial
component to the country’s overall manufacturing status

The emerging trends such as outsourcing of fabrication services

create opportunities for growth of the industry in India. Design services
such as product improvement and maintenance, designing of
manufacturing systems and product designing are increasingly being
outsourced to Asian countries and India is among the top countries
receiving the contracts. It is estimated that by the year 2020, India will
be a $40 billion market for fabrication and engineering outsourcing
services.

2.4. AUTO VISION

VISION 2020:
 Core vision and values:
  First and foremost core value:”Time, Quality and
Integrity”.
 To be a premium corporate company with a clear
focus on each business division.
 Understanding and optimizing the engineering
requirements of the customer, by expertise team.
 Fine defined production line for each product to
handle mass volume.
 Cost effective work organization.

2.5. FUTURE
The engineering and fabrication industry is the largest
out of all the industrial segments of India, accounting for about 3% of
the country’s GDP and providing employment to more than 4 million
semi-skilled and skilled workers.

The future outlook of the industry is expected to grow even more,

owing it to the development of infrastructure, favorable policies, new
investments in the oil and gas, power projects, and petrochemical
industries. Further growth in the manufacturing industries will also boost
the growth of the fabrication industry. Since the export market is
offering more opportunities for exploration, the contribution of India in
global fabrication exports is anticipated to grow.

In general, the fabrication industry is a promising market. With

the development in the associated industries such as infrastructure, the
industry is expected to hit over $150 billion by 2017.
CHAPTER 3
3.1. COMPANY PROFILE

TOOL FAB TOOL FAB ENGINEERING INDUSTRIES PRIVATE

LIMITED is a private limited Company incorporated on 10/12/2004 and
is 12 Years 7 Months 7 Days old. It is classified as Indian Non-
Government Company and is registered at RoC-Chennai. Its authorized
share capital is Rs. 110,000,000.00 and its paid up capital is Rs.
110,000,000.00

TOOLFAB ENGINEERING INDUSTRIES PRIVATE LIMITED's

Annual General Meeting (AGM) was last held on 2015-09-30 and as per
records from Ministry of Corporate Affairs (MCA), its balance sheet was
last filed on 2015-03-31.

TOOL FAB ENGINEERING INDUSTRIES PRIVATE LIMITED's

registration number is 54889. U28113TN2004PTC054889 is the
Corporate Identification Number of this company. Its registered
address is E3-10, DEVELOPED PLOTS ESTATE, TRICHY, Tamil
Nadu.
TOOL FAB ENGINEERING INDUSTRIES PRIVATE LIMITED is
involved in fabricated structural products of metals other than iron and
steel, manufacturing, Manufacture of fabricated structural products of
metal other than of iron or steel.

Current status of TOOL FAB ENGINEERING INDUSTRIES

PRIVATE LIMITED is - Active.

PRODUCTS:

Pressure Parts: All type of coils, loose bends, water wall panels,
headers, Tanks, Pippings, skid assembly, welded bifurcates, fabricated
unequal tee, Drums and ring header.

Wind-Mill Towers: Conical, Tubular, Hexagon and lattice types.

Conveyor Equipments : All type of Pulleys with Shaft, Drive Head &
Tail End Station, Idlers, Standard shiftable Frames, Transition Frames,
Belt Scrapers, Skirt Board, Crawler Pad.

Ducting: Square, Elbow, Transition, Circular, Equal Tee, Unequal Tee,

Chimneys, Reducers, David Assembly, Flue Gas Duct, Cold Gas Duct,
Oil Air Duct, Air Foil Duct etc.

Dampers: Gate, Auto- dampers, Circular dampers, Isolators, Wind Box

Assembly.

Structural Columns: ‘+’ Columns, ’I’ Columns, Box Columns, Ceiling

Girders. Structural Beams: Welded Beams, Bracing Beams, Bracing
Boxes, Buck stay beams, Monorails.
Expansion Bellows: All type of Bellows in MS & SS.

Others: Steam Flow Diverter frame, Steam Flow Duplex Flap,

FlapArm, Gear Box Assembly, Toggle Arm, Seal Air Fan Frame,
Guillotine Top Frame, Track Plates, Bends, Reducers, Venturi Meter,
Flow meter, Panels, Diffuser, Air Header Blocks, Casing Walls, Skirt
Assembly, Track Plates, Doom Bridges, Mill Housing Armoring Plates,
1400 Ltrs. Bucket.

HEAVY ENGINEERING:

UTILITY BOILERS:
WINDMILL TOWERS:
RAILWAY OVER BRIDGES:
 CUSTOMERS

 M/s. Bharath Heavy Electricals Limited - Tiruchirapalli – TamilNadu.

 M/s. Hindustan Newsprint Limited - Kottaiyyam – Kerala.
 M/s. Andhra Pradesh Power Generation Corporation – AP.
 M/s. TamilNadu Generation & Distribution Corporation – TamilNadu.
 M/s. Neyveli Lignite Corporation.
 M/s. Mantakraf Limited.
 M/s. Fouress Limited.
 M/s. Larsen & Toubro.
 M/s. Thysun Krupp Limited.
 M/s. Bharath Earth Movers Limited.

SHARE CAPITAL:

AUTHORISED CAPITAL --- 110,000,000

PAID UP CAPITAL --- 110,000,000

3.2. ORGANISATIONAL STRUCTURE:

3.3. STRATEGIES AND POLICIES

Business Policy and Strategic Management Corporate Strategy is the

pattern of major objectives, purposes or goals and essential policies or
plans (for achieving those goals), stated in such a way as to define what
business the company is in, or is to be in, and the kind of company it is,
or is to be.

3.4. SYSTEMS

Identifying, understanding and managing process as a system

contribution to the organization effectiveness and efficiency in achieving
its objectives.

A. Inventory control system:

An effort to achieve and maintain an ecological balance between the

cost incurred and cost solved by holding material in stock is called
inventory.

ABC analysis for stock control.

FIFO methods for issuing materials

B. Accounting System:

Financial statements are prepared under the historical cost

conventions on an accrual basis and comply with the accounting
standards refer to sec 211(3c) of the companies Act 1956

C. Remuneration System:

1. Piece rate system is followed to employees.

3.5. SKILLS

The 3 types of skills that are essential in an organization are

given below:
  Top management skills
 Supervisory management skills
 Technical and clerical skills

1. Top management skills:

Top management includes board of directors,
secretaries, and unit chief. Top management skills
include balancing, integrating, setting, priorities,
developing standards, conceptualizing, leading,
persuasive, and planning process.

2. Supervisory management skills:

It includes additional general manager, deputy general
manager, senior manager and manager. Every
supervisor in the unit should sound technical
knowledge of his field to provide proper instructions
and guidance to operatives, accuracy in work, and
communication skills for interactions with the higher
management.

3. Technical and Clerical skills:

 Technical skills are required from an individual as per
the project requirements. For technical skills employee
should not be an engineer/ diploma holders. They hired
also uneducated employees because they wants to do
some social work for poor people.

Candidates who have passed industrial training institute are

engaged scheme under trade apprentices’ for a year. Besides
fulfilling the training requirements under the apprentices act

3.6. STAFF
3.7. STYLE OF MANAGEMENT

Democratic style:

In this style, the manager allows the employees to take part in decision-
making: therefore everything is agreed upon by the majority. The
communication is extensive in both directions (from employees to
leaders and vice versa). This style can be particularly useful when
complex decisions need to be made that require a range of specialist
skills: for example, when a new ICT system needs to be put in place, and
the upper management of the business is computer-illiterate. From the
overall business’s point of view, job satisfaction and quality of work will
improve, and participatory contributions from subordinates will be much
higher. However, the decision-making process could be severely slowed
down unless decision processes are streamlined.
3.8. SHARED VALUES

Our customers are our business

 Listen to and understand their requirements.

 We satisfy our customers through proactive,timely, and cost
effective job delivery.
 Delivery of continuous quality improvement and innovation
with all of our services.
 Help our customers succeed now and in the long term through
our own performance.

We achieve through people and teamwork

 The work we perform is safe, productive and valued;

 We continue to invest in developing our workforce skills;
 We are open , honest and respectful of each other;
 We listen to our people and help them achieve their life
goals;
 We communicate and celebrate our achievements;

Success is our driver

 Create a winning attitude.

 Set challenging goals and deliver on commitments.
 Seek new ideas and manage risks proactively.
 Deliver on budget,on time and fit for purpose.
 Be innovative and resourceful.

3.9. Departments and Functions

 CHAPTER 4

QUALITY MANAGEMENT:
 In our Organization, continuous improvement
to process is not an assignment, but a way of life. This tradition
of quality consciousness is linked directly to the company’s
history of excellence and Success. Raw materials are sourced
predominately from reputed companies and customers
approved suppliers. Keeping the product characteristic in mind,
the film is designed with product economics in mind. We have
assigned well experienced personals to inspect the projects each
and every stages up to dispatching as per ISO standard
procedure.
TOOLFAB’s Product Quality is powered by:
1. ISO 9001:2000 Certification for Quality Systems
2. ISO 3834: Part II Certification for Weld Shop
approval.
3. IN House NDT Technicians and NDT Equipments
4. Testing Methods: Visual, Dimensional, Ultrasonic,
Radiographic, Magnetic Particle Examination
CHAPTER 5

SWOT ANALYSIS:
S-STRENGTH
The strengths of the manufacturing industry are that it is relatively
stable. Although the demand for manufacturing tends to fluctuate with
the ups and downs of the economy, it is characterized by regular periods
of recovery following any downturn. Moreover manufacturing has
become highly efficient over the last century, with the ability to
maximize both the profits as well as the productivity of the workers and
machines

W-Weakness

A weakness of the manufacturing industry is that much of it is built on

the production of non-essential goods. This means that a severe
downturn in the economy can have a crippling effect on it. Another
weakness is that it is a mature industry. This means that there is heavy
competition and little room for growth. As a result, the manufacturing
industry can be a cash cow for those who are already in it but may be
unattractive to new entrants.

O-Opportunities

Opportunities in the manufacturing industry are in the technology and

bio-technology areas. These are growing market segments with higher
profit margins. Additionally, they are knowledge-dependent market
segments that require highly specialized workers, which makes it
difficult for low wage countries to compete in this market segment,
thereby providing an edge to more industrialized countries. Foreign
markets with a growing middle class are providing opportunities for
technology and bio-technology manufacturers to increase their
profitability through exports.

T-Threats
The largest threats to the manufacturing industry in developed nations
are from low wage countries. The low wages of these countries have
made it impossible for many businesses in developed nations to compete,
requiring them to either close or move overseas to find cheap labor.
Increasingly, India is an even bigger threat to the manufacturing
industry, with its ability to supply highly educated workers at low wages
to fill roles in the high-tech manufacturing market segment.
 CHAPTER 6

LEARNING EXPERIENCE:
 The study was conducted with a view to understand the functions of an
organization, and its various departments. During the course of study I
was successful in achieving these objectives and could familiarize with
the organization and its environment.

This study has improved my confidence by its

successful completion to undertake such studies in the future
 CHAPTER 7

CONCLUSION:

The study in TOOLFAB Engineering Industries has enabled

me to understand the various needs of an organization, how an
organization of corporate nature functions and how important it is to
have a right relationship between the employer and the employee or the
management.

BIBLIOGARPHY

1.www.toolfabengg.in
.