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PRABHURAM MILLS LTD

INTRODUCTION
The Indian textile industry is one of the largest in the world with a massive raw material and textile manufacturing base. Our economy is largely dependent on the textile manufacturing and trade in addition to other major industries. About 27% of the foreign exchange earnings are on account of export of textiles and clothing alone. The textiles and clothing sector contribute about 14% to the industrial production and 3% to the gross domestic product of the company. The textile industry accounts for as large as 21% of the total employment generated in the economy around 35 mill people are directly employed in the textile manufacturing activities. Indirect employment including the manpower engaged in agricultural based raw material production like cotton and related trade and handling could be around another 60 million. Prabhuram mills, a cotton spinning mill located in the industrially background district in Alappuzha is one of the units of kerala state textile corporation limited. A government of kerala undertaking site of the mill is at kotta near karakad Chegannur Kotta is remote undeveloped village in the mulakkuzha panchayath of chengannur, Alappuzha district, it is industrially and economically a backward area.Nearly 75% of the people of the area belong to the middle and low income group. Unemployment is a ramp act of there area. Under this circumstances steps taken for starting a spinning mill was a blessing to the natives of this area. The project received the whole hearted co- operation of the people. They donated lands and came voluntarily to work for the construction of the two roads to the mill site.

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OBJECTIVES OF THE STUDY


1. To study about the organization
2. To analyse various functions performed by the various departments in the organization

3. To gather managerial practical experience in an organization 4. To secure practical knowledge regarding the Materials, HIR, Finance, Technical Services & Production aspect involved in the organization. 5. To know about the actual flow of communication procedure followed in an organization. 6. To know the level of degree to which each departments in an organizations interact with each other to accomplish their goals. 7. To conduct an over all estimation of the effectiveness of the existing organizational.

SCOPE OF THE STUDY


Modern business is dynamic. Even the organization structure may be changes in near future. There the scope for further study about the company is extended due to technology and changing circumstances

LIMITATIONS OF STUDY
1) The officers were bust with their routine engagements, it was rather difficult to spare their time for detailed discussion. 2) It was very difficult to stipulate a time for the workers because they are very busy with their work. 3) Knowledge about some subjects related to the company was very limited.

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RESEARCH METHODOLOGY
Research methodology is away to systematically solve the research problems. It may be understood as a science of studying how research is done scientifically. It is necessary for the researches to know no only the research study and explain why we are not using others. So that research result are capable of being evaluated either by the research himself or by others. In order to get feedback from the workers direct interaction with them is very much suitable for an organization like Prabhuram mills because of different areas of operations like personal and administrative job, technical job, production and sales related jobs, and chemical laboratory related jobs. More over the direct interaction with the employees help to cross check the views and ideas expressed by the employees. In this method when we approach the employees we get a good idea regarding what the employees think how they perceive the things satisfaction and their views. The purpose of methodology solution is to describe the reasoning procedure. This includes the overall research design, sampling procedure and the data collection methods to analysis procedure. The data collection for the study is obtained from primary and secondary sources. Sources of primary Data The primary source of data are direct observation, interviews etc Observation method The Observation method is the most commonly used methods. The information obtained in this method relates what is currently happening. It is not complicated by either the past method behavior and future intention or attitude. This method is particularly suitable in studies which deal with subjects who are not capable of giving verbal reports of their seeling for one reason on the other.

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Sources of secondary data Secondary data means the data which is already available that is, they refer to the data which may either be published data. Usually published data are available in a) Various publications of central, state government b) Technical and trade journal c) Books magazines and newspapers d) Reports and publications connected with business and industry etc and reports prepared by research scholars, universities economists etc e) Company websites

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INDUSTRY PROFILE
The textile industry is a term used for industries primarily concerned with the design or manufacture of clothing as well as the distribution and use of textiles. The manufacture of textiles is one of the oldest of human technologies. In order to make textiles, the first requirement is a source of fiber from which a yarn can be made primarily by spinning. The yarn is processed by knitting or weaving which turns yarn in to cloth. For decoration the process of colouring yarn or the finished material is dying. English inventors in the 18 th century began to automate textile cottage industry processes including carding spinning and weaving.James Hargreaves developed the spinning jenny a device which replaced eight hand spinners in one operation. Richard Arkwright assembled this processes and started the first factory on the Derwent river in Crom ford, England in 1771.In1792, Smuel Slater of Rhode Island opened a yarn spinning mill in Dawtucket, Rhode Island, the first successful automated yarn spinning in the US following the American revolution the national Manufactory went out of business in 1796. 1793 Eli whitney and Hogden holmes developed a simplified method of removing the cotton lint from the seed.In the early 1800s cotton was raised in the southern United States And exported to mills in England and the north. Leaders such as William Gregg of south Carolina advocated a home based textile industry for the south but the time was not right. Northern mills resisted to growth of mills out side New England. Textile machine was built in New England New jersey and imported from Europe. After the civil was, the south slowly replaced slaves with free workers. The industry remained largely in the north until after the 1880s.Leaders such as Edvin Michael Holt and family of Alamance country,North Carolina built mills in large numbers through out the south as the 19 th century closed Glencose cotton mil and mill village are preserved today. Cotton mills in New England began to decline in importence.World war 2nd emphasized the need for self sufficiency. Following the war however imported machinery and dyes; especially from Germany and ST JOHNS COLLEGE PTA5

PRABHURAM MILLS LTD Switzerland once again supplemented and eventually replaced domestic supply. In the 1990 a new world order began to replace the made in the USA ideas. Buying from the lowest cost producer drove many textile manufacturers out of the production side and in to imports. Manufacturing companies changed to marketing companies

INDIAN TEXTILE INDUSTRY


Industrialization has an important role in the economic growth of the nation. The modern industrial system was started in India during the fifties of the 19th country. The first among the industries functioned under the factory system was the cotton textile industry. Indian textile industry has an overwhelming presence in the economic life of the country. A part from producing one of the basic necessities of life the textile industry also plays a pivotal role through its contribution to industrial output earnings of the countryCurrently the textile industry contributes about 14% to industrial production 4% to GDP and 16.63% to the country export earnings. It provides direct employment to over 35 million people who include substantian number of SC,ST and women. The textile sector is the second largest providers of employment after agriculture. The Indian textile Industry is extremely varied with the hand span and hand women sector at one end of the spectrum and the capital intensive sophisticated mill Sector of he other decentralised power loom or hosiery and knitting sectors from the largest section of the textile sector. The close linkage of the Industry agriculture, ancient culture tradition of the country making the Indian textile sector unique in comparision with the textile industry of the other countries. These also provide the Industry with the capacity to produce a variety of products suitable to different market segments both within and outside the country. The total textile mills in the country are 1062 composing of 781 spinning and 281 composite in mills. The capacity utilization in the spinning sector of the organized textile mills industry ranged between 80% to

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PRABHURAM MILLS LTD 93% during the period 2002 -2003 to 2006-2007 while the capacity utilization in the weaving ranged between 41% to 63% during the same period. One main reason of sickness in the organized textile is the industry structural transformation resulting the composite units in the organized sector losing ground to power looms in the decentralized sector. The other causes of sick or closure of the industry include low productivity due to lack of modernization stagnation, in demand and inability of some units to expand their export market increases in the cost of inputs, difficulty in getting timely adequate working capital etc. MARKET FOR COTTON TEXTILE IN INDIA On the eve of independence, cotton textile industry constituted the largest segment of Industry in India. Even after the partition, India possessed the second largest textile industry in the world and was the second to USA, Cotton textiles are one of the biggest industries in India providing employment for 12 lakhs workers. Government of India declared a new policy on 24th July 1991. It period the way for industrial expansion and unfiltered on the entry of foreign capital in to the country were also released. The new policy facilities introduction of advent technologies by giving automatic approval of foreign investment and radically there of. The new policy will need the industry in production and export of the country also it will encourage new enterprises and relive than the economic and other strains for which they were suffering and this will ultimately leads to better performance.

In cotton textile industry the main raw material is cotton, which is converted in to yarn and the yarn is converted in to cloth. Cotton is the most widely used textile fiber today. It is the name given to the product of a class of plants scientifically known as Gossipium.

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COTTON TEXTILE INDUSTRY IN KERALA The survey of the industries made during the year 1985 -86 showed that cotton textile industry had a growth in Kerala with 25 units with 13068 spindles and Rs 7229.71 lakh invested capital. Kerala at present has32 textile mills. The district wise distribution of the Industry is given in the table . 2 3 4 5 6 7 8 9 10 Alappuzha Ernakulam Kannur Kollam Kottayam Kozhikode Malappuram Palakkadu Thiruvananthapuram Thrissur 2 4 4 2 1 3 2 3 3 8

NATURE OF THE TEXTILE BUSINESS As in other industries, technological advances globalization and changing business practices are affecting the textile Industry. One significant change is the increased emphasis on quick response to customer demands. Thus ability is vital in an industry that sells its products in an ever changing fashion consciout market. Quick response capability links apparel producers more closely to related firms in the textile and retail sectors of the economy. Other technologies affecting the textile industry include computerized equipment and material transport systems. Computers and computer controlled equipment did in many functions, such as design making and cutting, overhead conveyor systems ,transport material between sewing machine operators and between Processes. Despite these changes, however, the apparel industry especially its sewing function has remained significantly less automated than many other manufacturing industries. ST JOHNS COLLEGE PTA8

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The textile industry traditionally has cosisted of production workers who perform a specific function in an assembly line. This organizational philosophy increasingly is being replaced by a team concept in which garments are made by a group of sewing machine operator in a module is trained to perform nearly all of the functions required to assemble a garment. Each team is responsible for its own performance, and individuals usually receive compensation based on the teams performance. These changes have greatly altered The atmosphere and responsibilities from those of the traditional assembly line. CURRENT SCENARIO OF TEXTILE INDUSTRY The ongoing globalization process is replete with threats from our competitors.

Particularly the export led economics like china to destabilize our export and local markets. At the same time one should also realize that it offers unlimited opportunities. In order to withstand the competition both in international and domestic markets and accelerate and export growth, it is imperative to identify the strength and weaknesses the textile Industry hindering Its growth. It is imperative to identify the strengths of this industry in terms of a strong raw material bases skilled manpower and low wage costs, this industry has immense potential in the globalised textile economy. However given the nature and extent of the fragmentation and technology condolence in the decentralised sector, it calls for a focused action plan and programmers to accelerate and sustain the growth level of the different segments of the Industry. The national textile policy 2000 has envisaged a foreign exchange earning to the tune of Us $50 billion by the year 2010. Besides many important measures have been spelt out in the policy document. Before formulating the textile policy, the govt. of India had set up a committee under the chairmanship of Mr. Sathiyam to examine and draw up action points on various sectors of the textile. Industry accordingly the committee in its report had outlined critical issues for development and growth. In the textile industry, the weaving sector has been identified as one of the poorest technological links in the value chain. What makes the problem more serious is that the decentralized sector both the power looms and the handlooms, which are accounting for the production of 76% of our fabric needs is marked by an overabundance

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PRABHURAM MILLS LTD In a country like India where labour is abundant and the unemployment poses a serious threat to the economic growth of the country, there is always a controversy about the production technologies to be adopted. The mill sectors competitiveness is at stake given the mushrooming of a large power loom sector that has production function advantages. The textile production in case of the later enhants like power looms has therefore upset the entire production scenario. The power looms and mills are able to go for mass production with better quality products. In spite of the fact that the industry could assimilite high technology and there for better quality production in the market, it has never adapted to the modern technology and therefore has remained obsolete

The share of textile industry to country total exports is 16.63% Indias contribution in global textiles and apparel market is 3.9% and 3% respectively. The major sectors for exports are: - Readymade garments, Cotton textiles, Textiles made from man maid fibre wool and woolen goods,silks handicrafts and coir. The share of Indian textiles export in imports of EU is increased from 6% to 7%.

PROCESS FLOW CHART OF TEXTILE INDUSTRY


RAW MATERIAL

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BALE

BORAH

MILL

SPINNING MILL

COMPOSITE MILL

YARN

HARDLOOM

KNITTING KITTING CLOTH

POWERLOOM

MARKET CONSUMERS

COMPANY PROFILE
HISTOTY OF THE ORGANISATION Kerala not being a cotton producing state, import the raw material from outside. In ST JOHNS COLLEGE PTA11

PRABHURAM MILLS LTD kerala at present 31 textiles mill among these four of them are functioning under the management of kerala state textile corporation ltd. They are; 1) kottayam textile mills 2) Malabar spinning mill (kozhikode) 3) Prabhuram mills (alapuzha) 4) Edarukkodu mills (malapuram) PRABHURAM MILLS Prabhuram mill, a cotton spinning mill located in industrially backward district of Alapuzha, is one of the units kerala state textile corporation Ltd a Govt of kerala undertaking. The site of the mill is at kotta, near chegannur. The late shri V.S shivagi Ganesan a Tamil film personality of yester years in association withShri V.A Muthumanikkam, a landlod and industrialist from pollachi, decide to start a spinning mill in kerala in the year1961.After conducting feasibility survey, they found that Kotta in Chegannur Taluk was suitable for starting the mill. The factors that favored the selection of kotta are cheap land possibility of getting continuous power supply and transportation facility. The name behind the Prabhuram mill is derived from the name Prabhu , son of Shri V.S Shivagi Ganeshan and Ram, son shri Muthumanikkam. Industrial license for starting a spinning mill having a capacity of 12000 spindleswas obtained on 12-05-1962 and was incorporated under the Companies act of 16-11-1962. A plot of 14.28 acres land was acquired during the year 1963 and the building construction was started in 1964. Also arrangements were made for importing machinery. However shri V.S shivagi Ganesan one of the two entrepreneurs backed off on 17-10-1964 for unspecified reasons. Thereafter, there was no progress in the project come to grinding halt due to non-availability of funds. Four years later in1969, Kerala state industrial development corporation came to the reopen of the company. The KSTDC remodeled the entire project and the management set up was reconstructed. By April 1973, trial production was started and on 1st July 1973 commercial ST JOHNS COLLEGE PTA12

PRABHURAM MILLS LTD production was started with about 8160 spindles. During the starting period itself the mill leads to the financial problem because of high price of cotton. Thus situation necessitated the closure of the mill on 31-10-75. The share holders and workers of the mill lead to engage in a prolonged agitation demanding the Government to receive the unit. As a result on 9-2-78 the ministry of industries, Government of India took over the management of the mill. Soon after the mill was declared as a relief undertaking and KSTC was entrusted to relieve the mill. Then try an ordinance the governor of kerala and transferred the same of the KSTC with retrospective effect from 1983 has been replaced by an Act 27 of 1985, The kerala silk Textile undertaking and transfer of undertaking Act 1985. VISION We envision time in terms of new challenges and growth of resources both tangible and intangible. We technology in terms of its scalability in the service of our clients with total efficiency and satisfaction thereby creating new wealth and processes. MISSION 1. To offer maximum quality products 2. Work in ethics. 3. Everyone should be satisfied (Producers, distributers, customers)

GOAL PRABHURAM MILLS Ltd is dedicated to production of quality cotton. A careful process involving modern industrial infrastructure, the latest technology skilled labours and

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PRABHURAM MILLS LTD strick quality control produces our cotton products. Their widereputation give us the satisfaction of fulfilling your needs while remaining nimble in the industry committee delivering the best. QUALITY POLICY It is the policy of PRABHURAM MILLS LTD to produce high quality products at right time every time and all the times. By utilizing all the available resources. Every effort will be made to manufacture products of good quality and to satisfy the expectations of the customers and regulatory agencies in India on a continuous basis and to be market leader in order to achieve and maintain the standards laid down. We will train and retain our employees and suppliers to work harder towards our commitment. It requires that our products be produces

In totally hygienic environment Meet legal requirements Delivered on shedule

Legal environment of the organization The company is always careful about fulfilling all the legal formalities

Makes timely audit Follows good manufacturing practices Ensure healthy work environment

FACTORS WHICH LEAD TO THE ESTABLISHMENT OF THE SPINNG MILL AT KOTTA


The establishment of the spinning mill at kotta was the outcome of the first industrial policy declaration of Kerala. Before the industrial policy declaration, the government of Kerala made a detailed of techno economic survey during 1990-61. The survey was conducted under the supervision of P.S Lokanathan. It was started in the beginning of 1960 and was completed by September 1961. The report which was finalized in July 1962 contained a detailed study of the economic development of Kerala. ST JOHNS COLLEGE PTA14

PRABHURAM MILLS LTD While this survey was going on the government declared the first industrial policy of Kerala on 3rd June 1960. In this declaration the entrepreneurs were offered various facilities to establish industries. The industrial policy declaration attracted industrialist from outside Kerala. The policy of the government was to sanction one industry per district. The backward districts like aleppey were to be allotted more units. V.C Ganesan is association with V.A. Muthumanickam a landlord from pollachi decided to take advantage of the government policy to start a spinning mill in kerala. License was secured in the name of Muthumanickam and Ganesan on 12-05-1962 to start in the mill in Alleppy district. An expert survey was conducted regarding the location and kotta was found suitable for the following reasons. 1. Chap land 2. Industrially backward area 3. Possibility of getting continuous power supply 4. Availability of water 5. Transport and communication facility 6. Suitable climatic conditions 7. Support of local people The cost of land at kotta was very cheap. It is a remote village situated eight miles away from the nearest town Cheengannur and Pandalam and also two miles away from M.C road. Local people offered land at a cheap rate of Rs 20 per cent. The management assured them preference in appointments. Kotta is industrially undeveloped. It is in the industrially backward District of Allappey. As such easy loan facilities were available from K.S.L.D.C and K.F.C industries started in such areas were also eligible for subsidies from government of India. Kerala government also promised adequate power to the newly established industries. From the Chengannur and Kozhencherry power house continuous supply was also assured to kotta Kotta has no scarcity of water. Transportation and communication problems are also not there as the site in near the M.C road and the chegannur railway station.climate conditions are also highly favorable for the spinning mill.

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PRABHURAM MILLS LTD The local people of the area particularly the Panchayath members of Mulakuzha and Aranmula welcomed the industrialists and assured them all help. The industrialists who came from Tamil Nadu were particularly interested in Textile mills. As Tamil Nadu in Textile mill they found it difficult to get license there. Hence they turned towards kerala. They applied under the new industrial policy of the state and got license for starting a mill having a capacity of 12000 spindles, which was later, enhanced to 25000. As per the memorandum of association the proposed mill was to be named as PRABHURAM MILL LTD.

OBJECTIVES FOR WHICH THE COMPANY WAS ESTABLISHED


To purchase, prepare, gin spin, double, fold, wave manufacture, blanch, die, print or in any other way to manipulate wool, cotton yarn, silk, jute, hemp, flax, linen, artificial silk, rayon and synthetic and other fibrous products and materials to carry on the trades or businesses of silk winding, spinners, weavers doublers, knitters, dyers, printers, fishers or merchants of silk, wool, yarn cotton or other fibrous substance where natural or artificial and of merchants or dealer in any of the products of any such process and to manufacture buy sell and deal in connection with any forgoing business. It is also started in the Memorandum of association that the liability of the members is limited. The authorized capital as started in the Memorandum of association of the company was Rs 55,00,000 divided in to 50,000 equity shares of Rs 100 each. The said share capital may be increased, reduced, altered, subdivided or consolidated in accordance with the statutory regulations for the time being in force. The board of directors signed the Memorandum of association on the 6 th day of November 1962 in the presence of N.nagaswamy Iyar, 15/2 kumarappa Mudali St.Madars-34. The Board of directorsare given below SL. Names, occupations,Addressess ST JOHNS COLLEGE PTA16 number of signature

PRABHURAM MILLS LTD No.and description of subscribers shares taken by Each subscriber

1. V.A. Muthumanickam, land lord

250 shares Two hundred and fifty shares only 250 shares Two hundred and fifty shares only 500

(sd) V.A. Muthumanikam

Shanmugha Mudali street, Royepettach Madars-14 S/O V.K.Amarapathy Gonder


2. V.C. Ganesan,

(sd) V.C Ganesan

S/O P.Chinnayya pillay, 11.New pok road, T.Nagar, Madras-17 Total

According to the articles of association of the company the shares shall be under the control of the Directors who may allot or otherwise dispose of the same to such persons as they think fit.With the regarding to the rights to preference share holders The articles of association said The company shall have a first and paramount lien on every share other than fully paid up shares, registered in the name of each number, whether solely or jointly with others and upon the proceeds of sale there on in respect of his indebtedness to the company on any account what so ever, whether solely or jointly with any other persons and such lien shall extend to all dividends and bonus from time to time declared in respect of such shares. The rights conferred upon the holders of the share of any class issued with preferred or other rights shall not, unless otherwise expressly provided by the creation further shares ranking pari passu therewith. The board of directors may issue and allot shares in the capital of the company as payment or part payment for any property sold or goods transferred or machinery or appliances supplied, or for services rendered to the company in or about the formation or promotion of the company or the acquisition and or conduct of its business any share which may be so allotted ST JOHNS COLLEGE PTA17

PRABHURAM MILLS LTD may be allotted as fully paid-up shares, and if so allotted, shall be deemed to be fully paid-up shares. The share certificates to shareholders shall be issued under the common seal of the company and shall confirm with the requirements set fourth in the companies Rules, 1960 and any modifications there of and amendments there toThe articles of association empowered the Directors to borrow money for the mill. They may from time to time, borrow from members or other persons and may themselves, lend, any sum or sum of money for the purpose of the companys business as they think fit, but the directors shall not, expert with the consent of the company in general meeting borrow moneys where the moneys to be borrowed together with the moneys already borrowed by the company will exceed the aggregate of the paid up capital of the company and its free reserves that is to say, reserves not set apart for any specific purpose. The annual general meeting of the company may be called by the directors to be held at such and places may be determined them in accordance with section 166 of the companies Act 1956. Five members personally present shall be quorum for a general meeting. The number of directors of the company shall be not less than three and not more than twenty. The qualification of director, other than n ex-officio, alternate or nominated Director, shall be the holding in his own name equity shares of the nominal value of Rs 5000.

At the time of the adoption of these articles the following are the directors of the company with power to co-opt additional Directors. 1. Sri. V.C Ganesan 2. Sri. V.A Muthumanickam 3. Sri. K.P Balasubramaniam 4. Sri. P Suvasubramania kalingaroyar 5. Sri. S Palani swamy 6. Sri. S.T Doraiswamy 7. Sri. N Periannan 8. Sri. Kandaswamy Gounder 9. Sri. V.C Sridhar ST JOHNS COLLEGE PTA18

PRABHURAM MILLS LTD

The Board of Directors may fill up any vacancy arising in the Board of Directors. If by the terms and conditions of any loan or under writing and or subscribing in shares or debentures of the company or giving guarantee for any loan or for differed payment, right is given to the Government of India, or a state government, or the industrial credit and investment corporation of India limited or the industrial finance corporation of India or the Kerala state industrial Development corporation limited or to any authority or financial or other institution or institutions or the holders of debentures or debenture stock or bounds, if any for the time being to appoint a person or persons of there choice as Director or directors of the company such authority or financial or other institutions shall be entitled from time to time at any time, to appoint any person as director or directors of the company and such director or directors of the company and such director or directors shall be called Nominated Director or Nominated Directors shall not be liable to retrieve by rotation nor shall they be required to hold any qualification shares. The above said authority or authorities or other financial institutions shall also have the right to remove at any time any Directors so appointed and to appoint any other persons in the place of directors removed or in the place caused vacant by the resignation or death of the directors appointed them. Every directors of the company shall be entitled to receive from the company by way fees a sum not exceeding Rs 200 as may be fixed by the Directors from time to time for every meeting of the board Directors or committee attended by him and he shall also be entitled to receive travelling and other out of pocket expenses incurred by him in attending such meetings.

The Directors shall have power to provide a common seal for the purpose of the company and from time to time, to destroy the same and substitute a new seal in lieu there of and shall provide for the safe custody of the seal for the time being and it shall not be expect by the authority of the directors and in the presence of at least one Director who shall sign every instrument or deed and shall sign every instrument or deed and shall be countersigned by the managing Director or such other persons appointed by the directors. Subject to section 205 of act the company in general meeting may declare dividends. ST JOHNS COLLEGE PTA19

PRABHURAM MILLS LTD The company shall not forfeit the dividend amounts remaining unclaimed unless the claim to such dividends becomes barred by limitation. No member shall be entitled to visit or inspect the company works without the permission of the Directors or Managing director or require discovery of any information respecting any detail of the company trading or any matter which is or may be in the nature of a trade secret, mystery of trade or secrete process which may relate to the conduct of the business of the company and which in the opinion of the Directors it will be inexpedient in the interests of the member of the company to communicate to the public. V.A. Muthumanickam and V.C. Ganeasan also signed The article of Association in the presence of N. Naga subramaniam on the 6th day of November 1962. After receiving the industrial license Prabhuram Mills (p) limited was incorporated under the companies Act on 16-11-1962.

COMPANY SYNOPSIS Name Location : : PRABHURAM MILLS LTD MC Road Kotta, Chengannur Alapuzha 689504 Ph: 0479 2423055, E-mail kstcprm@sancharnet.in ST JOHNS COLLEGE PTA20

PRABHURAM MILLS LTD Chairman Managing Director General Manager : : : P. Nanda Kumar Ganesh Ajith kumar

PRODUCT PROFILE
Cotton is the name given to the product of a class of plants specifically known as Gossypium. In the cotton industry the main raw material is cotton, after the cotton crop is harvested the kappas has to be ginned in order to separate the fibers from seeds. Here the cotton is sucked through pipes in to a drier where excess moisture Is removed and then passed in to a cleaner that separates the lint From the debris Picked up in the harvesting process. Finally it goes to the gin Where revolving teeth pulls the lint through narrowsteel gratings leaving the seeds behind. The deseeded fiber is cleaned again and then feel in to a gin press. Cotton after ginning is ST JOHNS COLLEGE PTA21

PRABHURAM MILLS LTD available in a loose opened form. For care handling and transport the cotton is compressed and packed in to bales. The textile mills get cotton in pressed bales. Quality is judged in terms of its grade and staple Baled cotton are normally sent to yarn spinning mill pants the compressed fibers are cleaned again and formed in to a sheet of fiber called lap. The lap is placed in a carding machine where fine wires carefully remove short and broken fibers. Producing a loose mass of fiber is called a sliver. Slivers are led Into a drawing machine which positions the fiber parallel to one another and combines several slivers in to one. For more expensive cotton fabrics the short fibers are removed from slivers by combing Slivers are then put through a roving machine which thins them to a diameter suitable for spinning and winds them into large bobbins. The bobbins are then fit into a spinning frame where slivers are twisted together and thinned still more to form a yarn. The cloth is produced from the yarn by knitting or weaving. The yarns which are produced from the company are of two types. Cotton converted in to yarn in the mills is 90 Yarn and 84 polister cotton. These yarns are placed in cones. 1 cone = 1 kg This yarn is packed in bags and forwarded to Mumbai 1 bag = 51 kg Cotton cloths even in the modernized world have countless users. It is also significant that the cotton is most widely used textile fiber today.

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DEPARTMENTAL PROFILE
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Departmentation is a part of the organization processes it grouping the common activities under a single persons control. The activities are grouped on the basis of function of the organization. The work is done by a chief executive of the concerned organization. It is an essential one on the modern business world. A single individual cannot look after the business activities. The classified activities bring in specialisation The overall management of the affairs of company vest with the chairman and managing director. The top executive at Prabhuram Mills the general manager who reports directly to the chairman and Managing director. The organizational structure of Prabhuram Mills shows a more or less linear structure without much Departmentation. The work areas as gathered from the organizational structure are consolidated in to four heads. *

Purchase Department Production and operation Department Quality control Department Technical department Finance and Accounts Department Marketing Department Personnel (human resource) Department

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PURCHASE DEPARTMENT

Purchase Manager

Clerk

Store keeper

In Prabhu Ram Mills Ltd the main function of the store department is the purchasing of the raw materials needed for the production and store them. Purchasing refers to the act of buying an item at a price. It is the fundamental function in an industrial enterprise. The wheels of the industry will not move unless the materials of the right type are bought in right quantities and made available at right time.

This department consist of two sections. Purchase section and store section Purchase Section
Purchase of raw materials and machinery goods are necessary for the smooth production. The organization keeps a minimum level, maximum level and reorder level for storing raw material . Minimum level indicated the amount of raw materials needed for the production of yarn for the next 3 months. Maximum level indicates the amount of raw materials needed for the production of yarn for the next 6 months. In order to issue the smooth production of end products, the company maintains a reorder level of raw materials. It is determined on the basis of the demand of materials. ST JOHNS COLLEGE PTA25

PRABHURAM MILLS LTD

Purchase request
Purchase request is a form representing a request for a new purchase is the purchase department when the stock is the store goes below the reorder levels, the purchase process is initiated. The purchase process begins with the purchase request. The purchase request contains in formation regarding the item name, item code; quantity required, purchase requisition number, requisition date, department etc.

Purchase enquiry
The store department maintains a list of suppliers for each and every material. According to the purchase request, the purchase section prepares a purchase enquiry from, which is sent to different vendors. This enquiry is done in order to find the appropriate vendor who is capable of providing the organizations requirements. The store vendors send their quotations when they receive e the purchase request. The store department now selects those vendors who are fair and honest in dealing and makes delivery on stipulated dates others are rejected. This form contains information regarding enquiry number, date, with in quotation to be sent, quantity of item required , delivery period at items, vendor name, vendor code etc.

Technical and Commercial suitability


The next step is the technical suitability of the product, is certified by the intender (those department who needs the item) and the commercial suitability by store department itself.

Comparative financial statement


In this step, all the quotations send by the vendors are compared. The politics, quantity, price, delivery times mentioned by different vendors are compared. After analyzing the details a particular supplier is selected who offers the better quality at least price.

Purchase order
After selecting the most appropriate quotation, the stores department sent purchase order to the selected vendor. Purchase order is the order send to supplier by the purchase officer. It shows the name and address of the particular vendor, purchase order number and date, ST JOHNS COLLEGE PTA26

PRABHURAM MILLS LTD quotation number and date, item code description, quantity required, total price, packing and excise duty, mode of transport, delivery period etc. After that it is entered in the stores ledg

STORE SECTION
When a vendor makes delivery authorized people from the store check the delivery with the invoice. Then the invoice is compared with the purchase order an item is issued to the department a issue slip is prepared and entered in the issue register. In store department the monthly store consumption statement is prepared and sends to the financial department to prepare the profit and loss account. As the major planning relating to the purchasing and sale are undertaken by KSTC in Trivandrum the mill at chengannur does not have its own purchase department. The raw material purchased by KSTC will issued to respective mill based on the demand, so in order to that company is maintaining a department for purchasing and storing the raw material issued by the KSTC. A few staff doing the purchase activities comes under the accounts officer. The main raw material is cotton and it is mainly purchased from Tamilnadu, Karnataka, Maharashtra, Madhya Pradesh and Andhra Pradesh. Collection of Yarns 1. From of other states 2. Collecting through agent as per commission basis 3. Centralized purchasing by KSTC.

PRODUCTION DEPARTMENT
Among all functional areas of management, production is considered to be crucial in ST JOHNS COLLEGE PTA27

PRABHURAM MILLS LTD PRABHURAM MILLS. Here the final product is yarn and the raw material is going through various processes before it converted in to final products, the yarn. The production department is taken care of all the production and purchasing activities. They collect the information regarding the market requirements and plan the production activities according to that. The department is headed by production manager DEPARTMENT STRUCTURE

Production Manager

Spinning Manager

Assist. Spinning Manager

Production Supervisor

Electrical Supervisor

Clerk

Electrician

RESPONSIBILITIES OF PRODUCTION MANAGER Direct responsibility for placing marketing, production and purchase

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PRABHURAM MILLS LTD Overall responsibility of purchasing of raw materials Implementing corporate policies Monitoring cost and improve productivity at planned level. Promotion of awareness of customer requirements through out the organization. Direct responsibility in running the plant to its maximum capacity Responsible for purchase of raw material as per laid down specializations. Responsible for prices of raw materials based on market survey. Arranging the required quantity in consultation work Achieving the quality desired

PRODUCTION In this mill the raw material is cotton which is converted in to yarn. The conversation of cotton in to yarn is a lengthy process. The various operations carried out in different departments are listed below.

PRODUCTION PROCESS
In PRABHURAM MILLS, the main raw material is cotton, which is converted in to yarn. The conversion of cotton in to yarn is a lengthy process. the various operations are carried ST JOHNS COLLEGE PTA29

PRABHURAM MILLS LTD out in different departments. Departments are; 1) Blow room 2) Carding 3) Combing 4) Drawing 5) Simplex 6) Spinning 7) Winding 8) Packaging A brief account of the operation in each department is given below; 1) BLOW ROOM This first department in the mill is blow room. The department functions only during the day shift. The machineries of this department are mostly important in a spinning mill. A blow room line consists of opening, cleaning, mixing and lap making machines. The objective of blow room machinery are; Opening Cleaning or waste removing. Mixing Scouting and lap formation The cotton of 90% and 80% reaches in the Blow room Department in a hard pressed baled form. It contains several impurities. The first process in the blow room department is the opening of hard-pressed bales and cleaning of cotton of heavy impurities like broken seed, leaf, stalk, husk and sand. It then passes through a series of machines known under the general name openers. Trash and foreign matters have to be extracted from the cotton with the least amount of lint loss.

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PRABHURAM MILLS LTD Another process is mixing various kinds of cotton like D. CH 32 Varalekshmy; Rajapalayam etc are generally mixed to get a proper blend. The object of mixing is to obtain as possible uniformity in length of staples, quality and colour. The scouting and lap formation are the last operation in blow room. Although the cotton has now passed through the opener and has had extracted from it probably about 4% of impurities is not as clean. The cleaning process is there fore continued under scouting. The object of scouting is to remove as much as possible the impurities the opener has failed top expel. The loose cotton passed through the scoter is converted in to uniform sheets called laps. These laps are then delivered to the next department namely carding. 2) CARDING This is second and the most important department n a spinning mill. Then after fourteen cards and the department functions in three shifts. The objective of carding are; 1) Waste Removal This is to remove the impurities and clean the cotton further. The main waste extracted from cotton in the carding department are ; Flat strips Liker in waste Cylinder waste Preuma waste Invisible waste

1) To remove short fibers, motes,bits of seed leaf, naps etc from the laps so that better yarn may be produced as far as possible. 2) To loose fibers and support them so that the work of the draw frame may be effective. 3) Individualization of fibers and converting them into tom single strands. The carding process helps better mixing of fibers. The carding are stripping action are carried out in this department. Fibers are converted in to single strands called silvers The silver are stored in cans. The carding process help a through mixing of fibers. The carding and stripping action are carried out in this department. ST JOHNS COLLEGE PTA31

PRABHURAM MILLS LTD

3) COMBING It is optional process. The purpose is to produce yarn of better quality and finer count. So the quality high count cotton is processed in this department. There are four combers in this department . The objective of combing are ; (a) To eliminate shorter fibers (b) To strengthen out the fibers (c) To parallelization of fibers The silvers are taken directly from the card and passed through three process in the department. (a) 22 carded silvers are fed in to silver lap machine and a lap is produced. (b) 6 silver laps are taken in to the ribbon-lap machine and a fiber lap is produced.
(c) 8 ribbon laps are on corrugated wooden rollers behind the comber. The rows of needless

on a cylinder in the comber comb out all the short and nappy fibers from the lap. These lap are delivered in to two silver in to two card placed at the end of the machine. Maximum parallelization and waste removal are done in this machinery. The comber extracts 15% of the remaining waste. The yarn of 90s are produced from the combed slivers. The combed slivers coiled in cans are supplied to the next department c called drawing department.

4) DRAWING DEPARTMENT
In this department are carded and the combed silvers are processed separately. There are three drawing machine in the department. The objectives of the drawing department are ; (a) Blending of slivers (b) Attention of fibers (c) Parallelization of fibers (d) The improvement of uniformity of slivers (e) Purification of silver further. The carded silvers are passed through two drawing i.e; the ST JOHNS COLLEGE PTA32

PRABHURAM MILLS LTD breaker drawing and finisher drawings. DRAWING PROCESS The carded or combed silver in eight cans are placed at the back of drawing head. The silvers from these cans are then passed through a guide and four pairs of drawing rollers, the purpose being attenuation or drawings out of the fibers. The silver from these eight cans become one after the process and passed through calendar rollers to a coiler which coils the new silver in to a can. This silver can is now ready for the next machine. In this mill, the drawing machinery has automatic doffing and donning, for creel break motion.

3) SIMPLEX (ROVING OR FEAMES)


There are six simplex machine in the mill, there 120 spindles machine and the other three 124 spindle machine. The object of the simplex is to convert the carded and combed silvers in to roving. The carded or combed silvers are supplied to the simplex machine. Here the silver passes in between three lines or rollers where it subjected to a drawing action A slight twist is given to the reduced silver and it is then wounded up on a bobbin by means of flyer. The slight twist given to the attenuated and extremely loose sliver is sufficient to give it the necessary strength to enable it to be build up around the bobbin. In this condition it is convenient for further treatment. The roving wound on bobbins is supplied to the next department.

4) SPINNING(RING FRAMES)
It is the large and last stage of manufacturing of yarn. The spinning frames convert the roving in to yarn of the required count. The main operations carried out in the ring frames and drafting, twisting and winding. The roving received from the simplex department is still much thicker than thickness of the final yarn required. There for the first process On the ring frame is drafting. The next operation is twisting. The amount of twist inserted here is larger than at any other previous stage in order to give sufficient for the end use required. The twisted yarn is wound on cops. These cops are fitted up on spindles which are run at a speed at about 13,000 to 16,000 rotation per minutes(rpm). Two types of yarn produced in these area are: ST JOHNS COLLEGE PTA33

PRABHURAM MILLS LTD a) 90s comped. b) 100s comped. The mill was started with in a spindle capacity of 8160 spindles. But the present mill has an installed capacity of 17,968 spindles.

5) WINDING
The winding machines are removing defects like thick places in yarn and to enhance the length. Here the cop wound yarn from the spinning department is transformed to conical shaped means of yarn wound on paper cones weighting 1 and Kgs. The cops are fixed firmly on the spindles in lengthwise. Yarn is then passed through guides and study catches and wound on paper cones.

6) PACKAGING
By combing the length of yarn from a number of spinning coops large packages are made. These are called cones, which are found convenient for the continued operation to be carried out in the subsequent process. Mechanical types and electrical types of cleaning devices are used in winding machines with a view of removing objectionable thick place like slubs, bad-piecing or knots etc. from the yarn. Cones are packed in bags. The net weight of a bag is 50Kgs. 1 Kg 1Kg 160 Kg 40 Packs 50 Packs 8000 Packs 50Kgs 50Kgs 1 Load

FINANCE DEPARTMENT

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PRABHURAM MILLS LTD Finance Management is that managerial activity that is concerned with the planning and controlling of firms financial resources firm secures Whatever it needs and employs it in activities which generate returns on invested capital. Prabhuram mills are subsidiary of KSTC Ltd. The share are help by KSIDC and Kerala govt. the major part of share is with the Kerala Government initially the working capital was 60 lakhs. The authorized capital 4,44 crore which is wholly subscribed by the government of Kerala. The company accounts are kept and maintained as per the companies act. Company is maintaining cost accounting and budgeting. Company is calculating depreciation by straight line method. Accounts dept which is under the finance department will help to check the accounts of the mill and detail and correct the balance sheet and profit and loss a/c ORGANISATIONAL STRUCTURE OF FINANCE DEPARTMENT

Finance manager

Account Manager

Senior Accountants

Purchase and Sales Clerk

Sources of Funds

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PRABHURAM MILLS LTD As the mill is lacking from funds due to continuously making operational loss, the source of finance is met in the way of paid up capital reserve and surplus and in the form of secured loans. Company deal with State Bank of Travancore, Chengannur for its financial activities. Responsibilities of Finance Manager 1. Direct responsibility is maintaining the books of accounts and orderly. 2. Liaison with banks and other institutions 3. Checking of daily reports for further improvement and taking action necessary. 4. Direct responsibility in running the firm in maximum profit. 5. Liaison with government bodies and regulatory authorities. 6. Prepare budget and to achieve targeted turnover. Responsibilities of Assistant accounts Manager 1. Righting up general ledger customers ledger journal and related vouchers 2. Preparation of monthly, quarterly, half yearly and annual trial balance and balance sheet. 3. Monthly reconciliation , cotton stocks, stock of capital item, stock of packing materials and customer control accounts. 4. Preparation of fixed assets registers. 5. Preparation of weekly, monthly, quarterly, half yearly and annual statement report and returns. 6. Verifying all documents and invoice of dispatched /sales 7. Work connected with canteen accounts. Responsibilities of Senior Accounts assistant 1. Preparation of all cost records and making statements and reports related to costing and management information system. 2. Preparation of budgets and analysis of actual performance with budgeted performance. 3. Verification of staff acqainlance wages calculation of staff and workers advances and bonus and gratuity calculation 4. Renewal of insurance policies and follow 5. Any other related work assigned by management form time to time ST JOHNS COLLEGE PTA36

PRABHURAM MILLS LTD Responsibilities of Clerk 1. Presentation of bank vouchers and bank book 2. Maintaining cheque issue register and to prepare monthly bank reconciliation Statement. 3. Preparation and monthly cash flow and related documents. 4. Righting up of creditors, ledger, cotton or other purchase journal. 5. Send the returns of rules tax income tax and arrange remittance of that time in time. 6. Preparation of fund accounts and related statements at the time of audit. 7. Payment of wages, extra wages, salary, extra salary advances and other dues to the employees. 8. Maintenance of unpaid wages, extra wages bonus register etc.

QUALITY CONTROL DEPARTMENT


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PRABHURAM MILLS LTD

Quality is very important for a manufacture of a product or service, because the very existence of a manufacture depends on the quality levels. Good quality ensure higher profitability greater good will and makes the employment of highly skilled manpower with better wages possible production cost depends upon the type and nature of products for this purpose a manufacture maintains a separate inspection and testing department with the latest technical personnel. Mill has no separate quality control department except an apparatus to text the strength and weight of the yarn produced. The raw materials for the production of yarn are sent for quality testing in Trivandrum laboratory. The samples from the product are also sent to Trivandrum laboratory. The samples from the transport. If there is any complaint the product is send to Mumbai Laboratory for further checking. If there found any complaint from Mumbai Laboratory it is further sent for checking at Coimbatore laboratory. So it takes time to get the result of the product. In the following test are carried at 1. Raw cotton test 2. Cotton is purchased only after testing the quality of cotton. The row cotton is tested by a machine premium act. The basic properties of cotton that are evaluated by the machine are given below a. Length of fiber b. Strength in grams c. Finess in microgram/inch d. Uniformity in ratio percent e. 2. Twist tester This is to check the twist per inch in the yarn.

3. Yarn Twist ST JOHNS COLLEGE PTA38

PRABHURAM MILLS LTD The amount of twist is an important factor in finished Consumers good. It determines the appearance as well as the disability and service ability of a fabric.

Organizational structure

Quality control manager

Quality control supervisors

staffs

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TECHNICAL DEPARTMENT
Technical department takes care of the quality of finished products and the proper storage and also the machine activities. They ensure the proper functioning machines. Technical department is headed by Technical Manager Under him lie the Assistant Manager, Quality Supervisor and Store Keeper. All the machines are imported from china. In the production department both man operating and automatic electrically operating machines are used. Its the duty of technical department to check the functioning of machines before the next shift begins. The department maintains two transformers for giving electricity to the manufacturing process they are of 500 KV both. There are two generators of 380 KV to ensure the continuous supply of current. Per day 13000 units are consuming Per unit 4.00 so total unit cost is 13000 x 4.00 = 52000 Rs /day 1Kg yarn power consumption = 3.8 units

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PRABHURAM MILLS LTD ORGANIZATIONAL STRUCTURE OF TECHNICAL DEPARTMENT

Technical Manager

Assist. Manager

Quality Control Supervisor

Store keeper

Staffs

MARKETING DEPARTMENT
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Introduction The major planning relating to the purchase and sales undertaken by Kerala State Textile Corporation (KSTC) in Trivandrum. The Prabhuram Mills does not have a separate sales and purchase department ORGANIZATIONAL STRUCTURE OF MARKETING DEPARTMENT

KSTC

General Manager

Deputy Manager (Purchase)

Deputy Manager (Sales)

These two deputy managers are given the charge of monitoring the purchase of row material and sales of finished products of all the four mills ie, Malabar Spinning Mill in Malappuram District, Kottayam Textiles in Kottayam District, Edaricode mills in Trissur District, Prabhuram Mills in Alappuzha District. These two Deputy manager plan the purchase and inform and inform the general manager. They then inform the Master to General manager of the respective mills.

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PRABHURAM MILLS LTD As major planning relating to purchase and sales are taking place at Trivandrum the mill does not have purchase and sales department. A few Staff doing purchase and sales is come under accounting officer. Collection of raw materials The main raw material of yarn is cotton and it is purchased from Tamilnadu, Karnataka and Andhra Pradesh. The collection through agents is as per a commission basis. There is a centralized purchasing by KSTC and required amount of raw material is given to each mill.

HUMAN RESOURCE DEPARTMENT


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PRABHURAM MILLS LTD

Personnel Department is the department that controls all the manpower requirements of the organization. The take care of all welfare activities of the employees. The department is headed by personnel manager and supported by supervisors, clerical staff and securities. Copies of job responsibility are used to all relevant persons and acknowledgement fields in any position the responsibility shall be passed up wards. In case of the level below the divisional head the responsibility can also be passed to any person authorized by the divisional heads. In Prabhuram Mills the total strength of human resources is classified in to three categories They are, 1. Officers 2. Staff 3. Workers Workers again classified in to 1. Permanent workers 2. Trainees 3. Casuals ORGANIZATIONAL STRUCTURE OF PERSONAL DEPARTMENT

Personal Manager

Time Keeper

Time Keeper

Responsibilities of Personal Manager


Watch and Ward ESI and PF Clerk

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Team Leaders Recruiting of staff and employees Identifying training needs of personnel Conducting training programmers Overall responsibility for performance appraisal Responsible for staff welfare activities

Recruitment and selection Personnel .. are identified by the department and recruited accordingly. In Prabhuram mills a selection board was constitusal including members the mill and thus board do a government representative selection staff selection is through public service commission (PSC). Performance Appraisal Performance appraisal is important for the employees at all levels through and the organization. The parameters, the characteristics and the standard for evaluation may be different but the fundamentals of performance appraisal are same. But as the level of employees as increases, appraisal is more effectively used as the tools of managing performance. Performance appraisal of Managers Appraising the performance of managers is very important, but at the same time, it is one of the most difficult tasks in the organization. It is difficult because most of the managerial work cant be quantified ie, it is qualitative In nature like leading his/her team, guiding, motivating, planning etc. There fore the two things to be noted and evaluated for the purpose of appraisals are Performance in accomplishing goals Performance as managers.

Performance in accomplishing goals Managers are responsible for the performance of their teams as a whole a selection board was constituted including members from the Prabhuram mills. Performance in accomplishing goals ST JOHNS COLLEGE PTA45

PRABHURAM MILLS LTD Managers are responsible for the performance of their teams as whole. Performance in accomplishing goals set for a team of employees which is being assigned to or working under a particular manager. The best measuring criteria for a manager are his goals, his plans of course of action to achieve them and the extent of achievement of the goals. Performance as Manager The responsibilities of managers include a series of activities which are concerned with planning, organizing, directing, leading, motivating and controlling. Manager can be rated based on these parameters. Criteria for measuring performance a different levels. The criteria for measuring performance changes as the levels of the employees and their roles and responsibilities changes. For Top level Managers Degree of organizational growth and expansion. Extent of achievement of organizational goals Contribution towards the society
Profitability and return on capital employed

For middle level Managers Performance of the department Co-ordination with other departments
optimal use of resources hiason With superiors and subordinates

For format line Supervisors /Time keepers Quantity of actual output against the targets Number of accidents in a given period Rate of employee absenteeism

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PRABHURAM MILLS LTD

HR Strategies
Strategies are fair broad statements of intent which show the types of action required to achieve the underlying objectives o an organization. In every organization there are set of objectives which help them to attain their common goal. HR Strategies which are being implemented in the mill in the achievement of core corporate strategies. The core corporate strategies include.

1. Offering best product 2. Selling at best price.

HR Planning
Planning for human resource is more important than planning for any other resource as demand for the latter depends upon the size & structure of the former. Management of human resource hardly begins form human resource planning, It is the basis of all sort of other functions in an organization, it can viewed as for seeing the human resources. Human resource means skill, knowledge, values, ability, commitment, motivation etc. In addition to the number of employees. Human resource planning anticipates not only the required kind &number of employees but also determines the action plan for all the functions of personal management. HR planning implemented in the ACSM attempts to Check the corporate plan. It offsets uncertainty & change which enables the mill to acquire right person, at right time in right place.

It anticipate the cost of salary enhancement, better benefits & all he cost of human resource facilitating the formulation of budgets in an organization

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PRABHURAM MILLS LTD

It helps to take steps to improve human resources contributions in the form of increased productivity, sales, turnover etc. It leads the development of various source of human resources to meet the organizational needs

It helps in the control of all the functions, operation, contribution and cost of human resources.

It gives the data about the type of tests to be used and interview techniques in selection based on the level of skills, qualifications, intelligence, values etc. It also gives the data related to the physical facilities, working conditions & the volume f fringe benefits like canteen, company stores, first aid facilities.

competence Awareness and Training


All new recruits shall undergo induction training. Employees are categorized in term of Job and skill required to do a particular job based on their experience and knowledge. Technical training in house or external training is given to the employees of all the categories in the particular area for their skill development. The training need identified through the above stage is prioritized. It is need base and consultation with the persons concerned their superiors and top management and then the final training is prepared. Studies and organizational analysis. If necessary will be conducted to identify the problem areas training will be given to these problematic area in order to handle it. Employees requiring particular training are grouped together and training provided in batches Questionnaires are distributed to personal at random and feel back is collected. A training schedule is formed for period of six month and as per the monthly schedules training are conducted for the personnel. After the training trainees are evaluated ST JOHNS COLLEGE PTA48

PRABHURAM MILLS LTD based on evaluation some times additional trainings are arranged. Appropriate records of evaluation, experience and training of all personnel effecting quality are kept in file.

Organization and individual should develop and progress simultaneously for their survival &attainment of mutual goals. So every modern management where newer technologies are being implemented should provide training to their employees to make them aware about the present scenario of organization. Employee training is specialized function &is one of he fundamental operative function for human resources management. After an employee is selected, placed and introduced he/she must be provided with training facilities. Training is not the act of increasing the knowledge skills of an employee for doing a job it is also concerned with the purpose of introducing an employee towards the rouls and norms in the organization with respect to work completion leave allotment, procedure in taking leave, &all such activities. Thus, training is a programme conducted to make aware of the internal matters of an organization to a employee of an organization. Job and organizational requirements are not static, they are changed from time to time in view of technological advancement & changes in awareness of the total quality and productivity management organizational efficiency, productivity progress & development to a greater extended depend upon training. Training programmers can be classified as:

1. Induction programme
For newly recruited employees the aim of this programmed is to expose these personal to the organization structure, its objectives, the type of production process & polices &way in which the raw material purchased online &how it is tested against SITRA standard and thus making aware about these standards. 2. Orientation programme It is given for orienting the personal towards the particular job to which they are entrusted. Through these programs the necessary skills that are needed to perform he job in an efficient manner in the mill is imparted in them through this training method. ST JOHNS COLLEGE PTA49

PRABHURAM MILLS LTD

Employee Welfare
Welfare includes anything that is done for the comfort and improvement of employees and is provided over and above the wages. Welfare helps in keeping the morale and the motivation of employees high so as to retain the employees for longer duration. The welfare measures need not be in monetary terms only but in and kind/ forms. Labour welfare entails all those activities of employer which are directed towards providing the employees with certain facilities and service in addition to wages or salaries. The organization has the following objectives in providing proper labour welfare. 1. To provide better life and health to workers 2. To make the workers happy and satisfied
3. To relieve workers from industrial fatigve and to improve intellectual cultural

and material conditions of living to the workers.

The basic feature of labour welfare measures are as follows


1. Labour welfare includes various facilities, services and amenities provided to workers for improving their health, efficiency, economic betterment and social status. 2. Welfare measures are in addition to regular wages and other economic benefits available to workers due to legal provisions and collective bargaining .
3. Labour welfare schemes are flexible and ever changing. New welfare measures

are added to the existing ones from time to time. 4. The purpose of labour welfare is to bring about development of the whole personality of the workers to make a better work force.

Employee welfare schemes


Prabhuram mills provide welfare facilities to their employees to keep their motivation level high. The employee welfare schemes can be classified in to two categories via statutory and non statutory welfare schemes. The statutory schemes are these schemes which are compulsory to provide by an organization as compliance to the low governing employee health and safety.

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PRABHURAM MILLS LTD These include provisions provided in factories act 1948. The non statutory schemes differ from organization to organization from industry to industry.

Statutory Welfare Schemes


According to the statutory welfare schemes the following provisions are included
1. Drinking water:- At all working places safe hygienic drinking water is provided. 2. Facilities for fitting: - sufficient seating arrangements are provided. 3. First and appliances: - First and appliances are provided and are readily assessable

so that in case of any minor accident initial medication Can be provided to the needed employee.
4. Latrines and Urinals: - A sufficient number of latrines and urinals are available in

the office and factory premises and are also maintained in a clean condition.
5. Lighting: - proper and sufficient lights are provided for employees . so that they

can work safely during the night shifts.


6. Washing Places:- Adequate washing places such as bathrooms wash basins with

tap and tap on stand pipe are provided in the port area in the vicinity of work places.
7. Changing rooms:- Adequate changing rooms are provided for workers to change

their cloth in the factory area and office premises. Adequate lockers are also provided to the workers to keep their cloth and belongings.

Non Statuatory Schemes


1. Personal Health Care: - The company provider the facility for extensive health

check up.
2. Maternity and Adoption leave: - Employee can avail

Maternity or adoption

Leaves.
3. Co-operative Society :- -Company maintains a Co-operative Society which

provides loan facility to the employees so as to meet there needs up to 20000 rupees money is lent to the workers.
4. Shelter :- company provides housing facilities to there workers 5. Medi claim Insurance Scheme :-

This Insurance Scheme provides adequate

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6. Canteen facility : Company provides canteen facility to the employee to satisfy

these physiological needs. Canteen provides meals at reduced rate.

Promotion
The company is not providing promotion. It is done by government promotion from lower to higher grade will be made subject to availability of vacancy. Efficiency, suitability and seniority of the person for the higher post. Grade changes when person completes 10 working years.

Internal Communication
Monthly meeting are hold and relevant information is passed on Management holds review meeting every three months and minutes are communicated to all participants. The review determines its continuing suitability, adequacy and effectiveness to assess improvement opportunities. It is chaired by the chairman. Coordinated by government and Management representative attended by functional heads.

Employee Shifts
There are three shifts for the workers and one compulsory off duty in a week. 1st Shift 2nd Shift 3rd Shift : 8 am 4 pm : 4 pm 12 pm : 12 pm 8 am

Attendance
Method of entering (attendance) basis of punched system. Each permanent employee is given green cards, badalies are given red cards and trainees, workers are given yellow cards.

Wages and Salary Administration


Payments are made on or before 5 th of every month company provides overtime wages for those who perform double duty for whom doing 2 nd and 3rd shift continuously. Bonus is given as per company rule. There is ESI and provident fund benefits for eligible employees who complete five years of serve including the training period. The company prepares a pay slip which shows the details of the salary. A copy of it is signed by each will be filed. These files are checked after 10th of every month. ST JOHNS COLLEGE PTA52

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Trade Unions
These are three trade Unions in the company. They are INTUC, CITU and UTUC. Which they exist For the beneficiary of workers. These unions help to solve workers grievances. 15 members together can form union, now the leading union in the mills is UTUC.

Plant Safety Programme


The following prrecuationary measures are taken to deal any mishap that many in the plant area.

Fire and safety :- Sand buckets are placed in the plant premises. Fire extinguishers and first aid box is provided in the plant especially accident prone areas. Safety masks, earpugs and gloves are provided Training is given to personnel about the hazards involved and to how to tackle If it happens. An emergency door is provided in plant premise. Employees of Prabhuram Mills during May 2009

Department Prabhuram staff permanent Trainees Mill casuals Senior mill casuals Special scheme learners Office and staff Total

No. on rolls 32 80 47 11 43 17 230

SWOT ANALYSIS
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PRABHURAM MILLS LTD The swot analysis provides information that is helpful in matching the firms resources and capabilities to the competitive environment in which it operates. It is instrumentral in strategy formulation and selection. The internal analysis highlights. Its strength and weakness while the external analysis depicts its opportunities and threats . if a clear objective has been identified, swot analysis can be used to help in the .. of that objective. STRENGTH :1. Attribute of the organization that is helpful to achieving the objective. 2. Due to modernization of the mill good yarn are purchased.

3. The company has the good will in the market.


4. There is a good relationship between management and workers.

WEAKNESS
1. The workers are affected by dust and noise pollution.

2. The relationship between union and personnel department is not transparent up to the required level.
3. Lack of transportation facility]

OPPORTUNITY 1. The Indian yarn market is considered one of the largest market in terms of volume.

2. The main input of the textile industry is yarn and this industry is growing and providing good opportunities to the company producing yarn. THREATS 1. As a loss of making company the banks and other financial institutions are recusant to provide loans. 2. A change in the political system may lead to change in the management of the organization.

FINDINGS
ST JOHNS COLLEGE PTA54

PRABHURAM MILLS LTD

Prabhuram mills Ltd has trade unions in the company. The company always lays extra emphasis on maintaining the quality of product to their level best. Company has a good reputation for its product quality, employment practices and customer orientation. The company maintains a website www.prabhurammills.org.in which help the outsiders to get a lot of information about the company. Company is issuing safety marks and gloves to the workers but still many of them are not making use of it. Quality department keeps on ensuring the right quality on purchasing and issuing of material. Company is not doing recycling of cotton waste. Staff are not fully satisfied with the wages. Company is not getting enough raw material Financial crisis waves strike badly, as company is now running loss.

RECOMMENDATION AND SUGGESTIONS


ST JOHNS COLLEGE PTA55

PRABHURAM MILLS LTD

Continued emphasis on technology up graduation is required. Workers in the production department should be made compulsory to follow the safety measure, they should make aware of the impacts. Improve the grievance handling procedure. Since illiterate workers better catch to posters than words, its good to place pictorials in the production department so that to avoid accidents. Improve the relation with employees. If possible company should try to do recycling of cotton waste, or coordinate with womens welfare society so that they can make use of these waste for making pillows, beds etc. This can generate revenue and provides more employment opportunity for women.

COCLUSION
ST JOHNS COLLEGE PTA56

PRABHURAM MILLS LTD

Prabhuram mill is one of the leading manufactures of yarn in Kerala. Prabhuram mill is a unit of Kerala state Textile Corporation Ltd; it is a Government of Kerala undertaking placed at Kotta p.o Karakkad, Chengannur,Alappuzha. Demand of yarn product from public are very high because the company manufacturers reputed yarn products, upholding ancient traditional methods of preparation by adopting modern machinery and technology, under strict quality control measures. The company can make huge profit by selling the product to the public but 30% of the sale made by the company to the Government institutions. The companies profit in 2009 is better than compared to previous years. The yarn products are packed in paper cones.

BIBILIOGRAPHY
ST JOHNS COLLEGE PTA57

PRABHURAM MILLS LTD

RESEARCH METHODOLOGY

- C.R. KOTHARI Vishwa Prakashan Publishers..

PERSONNEL MANAGEMENT C.B.GUPTA. 3rd Edition, Suites Chand & Sons.

ANNUAL REPORT PRABHURAM MILLS,2005-2008 PRABHURAM MILLS SLIVER JUBILEE SOUVENIR 1997 WEBSITE ;www.prabhurammills.com

ST JOHNS COLLEGE PTA58

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