A Report About
MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD
In plant Training Report Submitted to
DEPT. OF MANAGEMENT STUDIES
PARK’S COLLEGE TIRUPUR
Submitted By
NIDHEESH.K
Reg No: 08P33A033 1MBA PARK’S COLLEGE TIRUPUR
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ACKNOWLEDGEMENT
I wish to record my sincere thanks to all the people who have contribute for the success of my project. I Express my gratitude to the Mayyil Weaver’s Industrial Co-op Society Ltd for having consented me for carrying out placement Training . I take the opportunity to think Mr. Asok, the General Manager of Mayyil Weaver’s Industrial Co-op Society Ltd for getting me the permission to do the training in this organization. I express my Sincere thanks to Mr.Ashokan (Manager), Mr. Sarangadharan (Spinning master), Mr.Vinodan (Supervisor), K.P Ramani (Time keeper). I am also grateful to our H.O.D of Management Studies, providing me the opportunity to carry-out this project. I am also thankful to all or all the faculties in the department of Management Studies, PARK’S COLLEGE, TIRUPUR for the kind assistance. PARK’S COLLEGE TIRUPUR NIDHEESH.K
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DECLARATION
I here by declare that the In Plant Training Report Titled study on Mayyil Weaver’s Industrial Co-op society Ltd, Mayyil, is an original and bonafide work done by me in requirement of the award of Department of Management Studies at Park’s College, Tirupur.
TIRUPUR 03 DECEMBER 2008
NIDHEESH.K
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TABLE OF CONTENTS
SI. No I II III IV V
Description Introduction Company Profile, Production Process Personnel Management Profit & Loss Account, Balance Sheet Findings, Suggestions, Conclusion
Page No : 2-8 9-21 22-41 42-52 53-56
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CHAPTER I
INTRODUCTION
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INTRODUCTION
History of Cotton:Cotton cultivation in the World began from India, where cotton has been grown fore more than 6000 years, since the pre- Harappan period. Cotton from Harappan Civilization was exported to Mesopotamia during the 3
rd
millennium B.C and Cotton was soon known to the Egyptians as well. The famous Greek historian Herodotus also wrote about Indian Cotton, “There are trees which grow wild there, the fruit of which is a wool exceeding in beauty and goodness that of sheep. The sanctions make their clothes of this tree wool.”
Uses of Cotton:Cotton is used to make towels Cotton bath towel’s cotton is used to make a number of textile products. These included terry cloth, used to make highly absorbent bath towels and robes; denim, used to make blue jeans etc. Socks, under ware and most T-shirts are made from cotton. Bed sheets are after make from cotton. It is also used to make year used in crochet and knitting. In addition to textile Industry. Cotton is used in fishnets, Coffee fitters, tents, gunpowder and in book binding. The first Chinese paper was made of Cotton fiber Fire hoses are made of Cotton.
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Indian textile Industry
The Indian Textile Industry using cotton – The “White gold of India”, as raw material is about 185 years old. The first Cotton mill was set up in Calcutta in 1918. The textile industry in India has made its major developments after independence. Today the Indian Textile Industry plays a crucial role in the economy. The textile Industry provide immediate large – scale employment, they occur methods of ensuring a more equitable, distribution of income and they facilitate an effective mobilization of capital, which might otherwise unutilized. Now the Indian textile Industry plays an important role in the economy with over 1460 organized units. 1.7 million Power looms 4 million handlooms. A large number of small medium and large processing houses and approximately one lakh garments.
The Indian Textile Industry is one of the lowest cost producers of Cotton in the world. The main advantage to Indian mill lies not only in low wage cost but also in fact that the Indian farmers are Competitive producers of Cotton. Indian plants were also less capital intensive used older generation machine tools and adequate foundries. This led to lower Capital Cost.
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The Scope for development in this field is enormous. Because we have traditional labors. They are versed with the methodologies and various process adopted by the Industry. At the same time. If the industry has developed new technologies and is using modern machines. The industry has ready access to domestic cotton in abundant measure and generally at prices which are extremely competitive.
In some states, the textile Industry is in great crisis. Kerala is one of them, which is facting great recession all the field, which has directly affect the textile industry, Higher cost of power, financial cost etc affect the Indian textile Industry.
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CHAPTER - II
COMPANY PROFILE PRODUCTION PROCESS
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PROFILE OF MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD.
The mill has established in 1977 with a capacity of 12,000 Spindles to meet the demand of Weavers mostly in the North Kerala. This is the first mill set up in the Co-operative Sector in the state. The production is Cotton yarn mostly in the count range of 20’s to 40’s. The installed Capacity of the mill was gradually increased to the present Spindles is 28, 0000. The mill has been able to address itself to meeting the requirements for quality year mostly to handloom weavers at reasonable rate.
Most of the machines used about 20-30 years old and working only due to proper maintenance and care. The productivity is on the lower rate. The machine utilization has to be improved, considering boom in the textile as well as the technologies revolution taking place in this field. It is prudent that the machinery is modernized productivity stepped up and management toned up in the mill to give it a new life as well as for its survival in the competitive environment as a healthy unit. If will also enable the company to keep and supplying quality yarn to the Weavers in and around Cannanore which is one of the main centers of textile industry in Kerala.
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Basic facts about the mill:Name : The mayyil weaver’s industrial Co-op society ltd. Address of location Year of Establishment Societies Registered No Year of Incorporation Industrial License (IL) No of Spindles installed Main production Main Market Type of Layout : : : : : : : : : Mayyil, Cannanore 1977 HL Ind(c) 24, 1964 616 (64) Dated 17-12-1964 28,000 Cotton Yarn Mumbai Process layout
ORGANISATION STRUCTURE OF MAYYILWEAVER’S INDUSTRIAL CO-OP SOCIETY LTD.
Board of Directors
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Managing Director
General Manager
Office Manager
Mill Manager
Ex. Accounts Officer
Ex. Commercial Officer
Ex.Internal Auditor
SM
E.E
Welfare Officer
Electrical Staff SM S.R.A S.R.A
Assistant
ASM Maintenance
ASM Electrical SQC
Time keeper
ASM= Assistant Spinning Master SRA = Senior Assistant SM = Spinning Master EE = Electrical Engineer
Ass.Time keeper Godown keeper Store keeper
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Management:The mill is managed by the Board of Directors. The GM is the chief executive officer. The management set up in the mill is given in the organization chart. In the part also the company had implemental a modernization program to replace same old ring frames and other modifications for productivity improved. Company’s own fund govt. contribute and a loan from M / S. Kerala state Co-operative bank were used for the same. The management and track unions of Mayyil weaver’s industrial co-op society ltd, came to an understanding to renew long term agreement immediately the rules and regulations of the mill is based on Govt. order.
General
erformance of the company which was deteriorating till 1978-88, took a tern for good since then. The reasons for the same are the old machines, low productivity , low utilization and large complement machinery conditions, employees absents and the prevalent low voltage conditions and power failure in the northern Kerala , were the main factors effecting the proper utilization. The management of the mill was also traditional. However, things started to improve from installed to overcome low voltage and powers failure problem. The proposed modernization is expected to improve the performance of the Company still
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further. Thus will also enable the mill to exploit the boom in textile industry and stay a floot in a competitive environment.
Need for modernization
The performance of the mill for the last five years has been analyzed in the technology employed in the plant and the machinery used is quite old. Although periodic improvements have been effected to technology up gradation in certain sections of the plant, the same is incomplete and needs to be followed up. Besides the technology in the Spinning and other textile industry have under gone tremendous change and the same needs to adopted for survival of the mill as a competitive unit.
Plant location and layout
The Mayyil weaver’s industrial co-op society ltd is located about 18
km from Cannanore town and is easily approachable by road. The total land area occupied by the factory is about 7 acres. The mill is nil conducted by various facilities.
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Plant Layout
The main Sectors of plant are as follows 1. 2. Administrative Section Manufacture Section
a. Blow Room b. Preparatory Section c. Spinning Section d. Winding Section e. Packaging 111 Engineering Section a. Work Shop b. Generator room c. Electricity 1V V V1 Raw material Storage Section Canteen Resting place
V11 Security Section
TIME OFFICE & NUMBER OF WORKERS
Ist Shift MIXING DEPARTMENT BLOWROOM CLEANING BLOWROOM CARDING = = 6 3 WORKERS WORKERS
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SHIFT A B C 6 6 6 TOTAL = 18 WORKERS
SIMPLEX SHIFT A B C 15 14 13 TOTAL = = 42 WORKERS 4 WORKERS
CLEANING SPINNING SHIFT A CONE WINDING A SPINNING B SHIFT CONE WINDING SPINNING C CONE WINDING C ELECTRICAL SECURITY GUARD CLEANING GANG MISCELLANIOUS NEELING CONE PACKING
= = = = = = = = = = = =
36 WORKERS 17 WORKERS 49 WORKERS 17 WORKERS 42 WORKERS 21 WORKERS 6 WORKERS 2 WORKERS 13 WORKERS 12 WORKERS 24 WORKERS 3 WORKERS
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WORK SHOP GENERAL CANTEEN LEARNORS NEW LEARNORS OTHERS TOTAL
= = = = = = =
3 WORKERS 3 WORKERS 11 WORKERS 15 WORKERS 39 WORKERS 45 WORKERS 421 WORKERS
TEST RESULTS
NO 1 2 3 4 5 6 TEST 2.5 % span length (mm) 50% span length (mm) bundle strength (gm hex) mocroneuine value Trash content % Moisture content % VALUE 31 mm 14.5 22 gm hex 3.2 to 3.8% 3 to 3.5 % 3 to 3.5 %
Please confirm the whore by the returning the duplicate copy of this order form duty signed by you. Yours faithfully. FOR THE MAYYIL WEAVERS INDUSTRIAL CO-OP SOCIETY LTD Managing director: Received of 26-11-2008. LOT NO: 23 MILL LOT NO: 58 BATES : 100 Signature of seller / seller
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Statistical Quality control
Basically it is a method of testing estimating quality at whole form. The method is based in loss of chance and has a sound mathematical basis.
Production Process
Mixing :This is the 1
st
Stage in production process. According to the type of
yarn needed the material namely polyester Viscose yarn and polyester fiber yarn is mixed in required proportion. To identify the products colouring is done, omly washable colors are used. As a result there.
Blow Room
The Cotton bales received are opened and feel to the hopper feeder and is subsequently passed through beaters where opening and cleaning takes place. The main object of the blow room is to open and clean the raw material. Sequence of machine is employed in this department to open and clean the raw material. The number of cleaning points employed will depend upon the, trash contend of raw material. The cleaned and opened raw material comes out like a sheet from the sketches called lap.
Carding
In the lap stage the fibers are still in a langled condition and contain waste material, before this raw stock can be making in to yarn, these ompurities must be removed and the fiber must straightened. This Straightening or
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Smoothening is done by arranging the fibers in a parallel fashion which is known as carding.
Draw frame : ( Drawing )
Slivers obtained from carding section may not be Uniform and can have many irregularities such as weaver weight per unit length, which will ultimately reflect in the final product. In order to have a constant weight per unit length, several slivers are combined and drawn in the drawn framers. The main object of the drawing machine is to doubling and penalizing the fibers.
Simplex :The material from draw frame connect be fed directly to the ring frame creel for spinning. Before that it is fed to the simplex machine for further drafting. During this stage the draw frames sliver is given about 8 to 12 drafting according to the requirement and at least one Twist per inch (TPI) to avoid creed breakage on Ring frame.
Ring Frame
The simplex roving on bobbins is fed on the ring frame creel where it passes through several pair of rollers running at successfully higher rates of
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speed. Required draft, ranging at successfully higher rates of speed. Required draft, ranging from 20-35 is provided and required twist is inserted in this stage until the drawn out yarn is of the desired specification.
Doubling
Yarn to be doubled are processed here, where the required twist and doubling are imparted to the yarn. The doubling frames are conventional type needing improvement for increasing speed and energy utilization.
Cone Winding:In the winding process the yarn spun on the ring frame is wound on paper cones. With the help of slab catchers provided on the Winding machine all Spinning faults like week places, slab, fluff, bad piecing etc are removed. There are 3 cones winding with 120 drums each.
Reeling, Bundling and bailing :44 numbers double sided reels are in use each with 40 pegs for the production of yarn, there are 5 bundling. I bailing press for handling the yarn produced. Conditions of this machine are satisfied.
Packing :
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In these section cones are packed in ploythene bags and woven snacks. 40 cones are packed in a single bag making it a 50 kg cone bag.
FLOW CHART OF PRODUCTION PROCESS
MIXING
BLOW ROOM
CARDING
DRAWING
SIMPLEX
SPINNING
DOUBLING CONE WINDING
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PACKING
CHAPTER III
Personnel Management
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Personnel management in mayyil weaver’s industrial co-op society ltd
The mill has no separate personal department, and all the managing performance regarding the workers were performed chief executives or labor officer. So all the activities are looked and managed by them. They took the responsibilities handling personnel problems with workers, giving advice or counseling. Controlling dealing with long term effectiveness of the company etc. they deal with personnel administration (keeping records, staffing etc), Industrial relations (Employee assistance, motivation, grievances etc) and labor relations (Collective bargaining, Union management, Wages agreement etc) in this usual cause of operation. The management of the mill was giving more important for selecting an employee to the mill. It is the duty of the management to fill jobs with the right people, and then only the organization achieves the goals. Filling and keeping the positions provided by the organization is one of the prime phases of every management, it includes various process like.
1. Recruitment 2. Selection 3. Training
4. Transfer and Promotions
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1) Recruitment
Recruitment can be defined as “the process of searching for prospective employees and stimulating them to apply for jobs in the organization. Recruitment is ascertained in terms of quality and quantity. Recruitment is the first step in employment process which aims the head of the department sends their acquisition for recruitment of personnel to H.R department including the following details- job for which workers are required, period of employment salary to they offered, other terms and conditions etc.
Selection
Selection is process of choosing the most suitable person from all applicants selection is the negative process as it is a process of elimination. It is a decision making process, where management selects candidates on the basis of certain notes and procedures of the mill.
Training
Training is a systematic programme of the company which aims at increasing the attitudes, skill and abilities of the workers to perform its specific job. By training an employee can acquire new manipulative sills. The main purpose of training is to bridge the gap bet ween job requirements and present competence of employees.
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Transfer and Promotion
Transfer involves shifting of an employee from one job to another without special reference to change in responsibility or compensation. The workers are transferred to another place only after the consultation of with the union. Promotion involves change from one job to another is better in terms of status and responsibility and it also involves shifting and employee to higher position, gets more wages, gets authority and responsibility.
Relinquishment of Promotion
If an employee is not willing to be promoted, be should give it in writing and such employ’s case will not considers for further promotions. However as per the request of relinquishing promotion will be normally considered, the management will have the right to either accept such request of the smooth working of mill.
Promotion in work-shop and maintenance category
In workshop qualified or experienced worker to be selected from among regular workers by a committee constituted by management for this purpose. In respect of the maintenance category of the workers, vacancy will be filled in due course after discussing with the recognized labor unions of the mill.
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Categories of workers in each process
Sl. No 1 Godown and mixing Reliever 2 Blow Room Back tender Scutcher Attender Bloom Room &Cardingmaistri Lap Carrier/Fly carrier Reliever 3 Simplex jobber/Oiler Simplex Tender Reliever Drawing Tender Simplex Dabbing men Bobbin/ Carries 1 1 1 1 1 1 3 3 1114.50 1128.50 Workers Strength 1 shift IInd IIIrd shift shift
st
Department and category
General 8 1
Total 8 9
Basic Wages 1102.50
1 1 1 5 1 3 3 1
1 1 1 5 1 3 3 1
1 1 1 5 1 3 3 1
3 3 15 3 15 3 9 9 3
1147.50 1101.50 1139.50 1118.00 1118.00 1106.00 1097.50 1097.50
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Reliever 4 Spinning & Doubling Dabbing jobber Oiler/Tap Sticher Reliever/ Reswerve Piece Spinning Siders Reliever Doublingsiders Dubbing men Dab Carrier Reliever
1 1 2 1 6 26 6 4 19 1 4
1 1 2 1 6 26 6 4 19 1 4
1 1 2 1 6 26 6 4 19 1 4
3 3 6 3 18 78 18 12 57 3 12
1097.50 1206.00 1167.00 1157.00 1151.00 1144.50 1144.50 1116.00 1097.50 1100.50 1097.50
5
Cone windining Maistri Cone winder Winding Dab carrier/Sweeper Reliance
1 20 1 4 1 60
1 20 1 4
1 20 1 4
210 3 60 1 12 78 1 60
1139.50 1118.50 1097.50 1118.50 1139.00 1100.00
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6
Reeling cone Packing maistri Realer
Yarn carrier/ conditioner Reliever 7 Bundling & Bailing Attender Bailer Reliever 8 9 Cone Packing Blow room and carding maintenance Fitter Ass.Fitter Cleaning gang Reliever 10 Spinning &Doubling maintenance fitter Ass.fitter Cleaning gang Roller cover Ass.fittre
2 10 7 1 3
2 1 73 7 1 3 3
1100.00 1100.00 1116.00 1116.00 1103.00
1 2 2 1 2 2 18 4 1
1 2 2 1 2 2 18 4 1
1164.00 1138.00 1098.50 1198.50 1164.00 1138.00 1098.50 1139.50 1138.00
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Categories of workers
The mill has well designed categories of workers. Workers including employees and employers are in great uniformity, there will be high quality even in the working of the mill. At present there are 435 workers in the mill among them 432 workers are permanent. There are only 3 female workers in the mill remaining are male workers. Now the mill is suffering loss due to high wages of employees, the main reason for the loss is employee’s wages. Te mill has been provided by the workers, learners, trainer’s etc. permanent workers are permanent in the mill and their names are registered in the Muster Roll register. Bali’s are temporary workers. There are 14 Badlis in the mill they have no power in the firm. There are only 2 trainees in the mill
General conditions for the workmen
1) The value food items Supplied from the canteen will be continue as follows
and it will be revised after discussing with labour union in due courses :
1. Tea/ Coffee
: : :
Rs. 0.35 ps Rs. 0.3/0 70 Ps Rs. 2.00
2. Snacks 3. Meals
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2) It is further agreed that union will Co-operate with the management in running the canteen in any manner economically in line with statutory requirements and to revise the rate of food items on the basis of guide lines issued by IRC or as per govt.direction at later day but during the term of the agreement. If the new recommendation is made by I.R.C I govt for revising the canteen rate, the rate will be revised in consultant with Union. 3) No permanent worker will be retrenched for the reason of implementing this settlement. 4) Transfer of worker in the event of changes in count pattern, product mix, break down machinery idling of machine etc. resulting the surplus labour in the departments the management for operational reasons have the right to transfer such surplus workman to the other departments or categories. 5) It is agreed-chat the workman should work 7 days working and management has the right to implement 24 hours working. Internal working in spinning, cone – Winding and other departments whenever required. 6) If there is continuous interruptions in working of the mills due to power failure and exceeds 15 minutes, work load in piece rate department will be reduced by total interruptions over and above and proportionate work load.
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7) Whenever machine conditions of raw materials or product mix or work methods or other working condions change, the work assignment will be reevaluated and re fixed on the basis scientific study and the workmen are cooperative for the same in such cases.
8) It is agreed that the workman of this Mills shall come for the respective shift before the commencement of respective shift and take charge of work from the previous shift operative and work the machines till this end of shift including the piece rate department and achieve higher production and efficiency.
Working hours and shift :The mill carries 24 hours as working hours a day. There is no production gap. When a production gap arises it is very difficult to start the activities from the beginning itself employee get ½ an hour interval with in duty time, mainly it is in the 4th hour each employee should get one day as holiday in a week in 4 days holydays in a month. Management should decide who should get leave in the work.
Shifts:There is three shifts per day in the mill. The management of the categorized its workers and allowed three shifts per day timing.
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Shift I Shift II Shift III
7.00 am – 3.30 pm 3.30 pm – 12.00am 12.00 am - 7.00 am
1st and IInd shift include 8.30 hours a working hours and the IIIrd shift include 7 days as working hours. Each employee get ½ an hour interval wit in the working hours. Mainly it is in the 4th hour.
Stipend
Payable to
Apprentices,
Trainees under
self employment
Period 1. First 6 months 2. Second 6 months
3. Third 6 months
scheme shall be as follows
Stipend Rs . - 25/- per day of training Rs. – 35/- per day of training Rs. - 45/- per day of training Rs. - 60/- per day of training
4. Fourth 6 months
Wage Structure
The wages and other benefits increases for the workmen shall be as prepared in the organization chart. The was prepared under the rules and regulations of govt. Receiving remuneration is the boost of the employees. So there be proper wage payment should be clone.
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In the mill permanent workers wage is around 250 per day and including Badlis Rs.120 per day. The wages including, dearness Allowance, House Rent Allowance etc. Permanent workers will get increment in every year. Wages = Basic Wage+DA 26(days)
D.A.
The allowance is given to protect the real wages of workers during inflation. DA is paid to offset the prices. It has become an integral part of the wage system in India.
The payment of D.A as follows
Up to 261 to Above 260 points 400 points 400 points : Nil : Fixed Dearness allowance Rs.425.60 : Variable Dearness allowance Rs.3.39per point
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House Rent Allowance
H.R.A is linked to 26 days working in each month. For computation of 26 days, days of earned leave as per Factories Act and the National and festival holidays under the kerala industrial Establishments Act and festival holydays under The kerala Industrial Establishments Act and days of lay off will be treated as days worked. If the workmen become entitled to H.R.A, by virtue of any law passed by the state or control govt. the said amount will be adjusted against the same. Whenever free or subscribed housing is provided or H.R.A is paid, the value of such benefit / amount shall be offset against the said H.R.A amount.
Time office Department.
Time Office Department is handed by time keeper who is responsible of keeping records of each worker in case of attendance; leave etc. for fulfilling these needs various records are kept in this department. The mill is working on 3 shifts. Time office workers are responsible for keeping the records of each shift. At present there two employees in time office Head Time keeper and Assistant time keeper. The attendance of workers is taken from third department (like blow room, mixing etc) in the register books. Workers absenteeism was also notified in time office. This department also maintains records regarding the wages paid to workers. There are two method of wage payment, TRS and PRS (Time Rate
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System and Piece Rate System). Now the wages are paid on the basis TRS and daily wage system.
Welfare Activities
The management is concerned with provided welfare facilities and abilities which enable a worker to perform in a healthy atmosphere. There are statutory and no-statutory activities.
Stationary welfare activities
Statutory measures are as per the factory act having been provided in the mill. They can be explained as below:
a)
First Aid Appliances :Under the factory Act, It is strictly mentioned that, a manufacturing
concern should keep necessary first aid facilities. This is done in case of when the workers are injured while working. If the injury is serious the mill has responsibility to take them in to hospital.
b) washing facilities
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The mill provides washing facilities to the employees as per the requirement of the law.
c) Sitting Facilities
The mill also provides sitting facilities for the workers when they getting intervals or lunch break.
d) Canteen Facilities
Industrial concern is functioning in the mill to provide food item on subsidized rate to all employees. The rate prevailing is very nominal with meals Rs. 2.00, Tea Rs. 35Ps, Snacks 0.35/0 70Ps. The expenditure incurred by the company because of canteen is around 1 lack per month.
e) Shelter, Rest room and lunch room
The mill also provides area for having shelter, rest room and lunch room for workers. In addition there is well cleaned latrine for workers.
ESI and Provident Fund
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ESI means Employees state insurance. All Employees in the Cannanore Co-operative spinning mills are provided ESI facilities. Employee’s contribution at the state of 1.75 % on wages. The provision of the employees PF Act has been fully implemental in the company. All employees are covered under this scheme. Contribution at the rate of 12 % from the wages of employees.
Bonus
All employees are eligible for bonus. Bonus is a allowance in addition to what is usual, current or stipulated, assume given or paid beyond what is legally Enquired to be paid to the recipient, something given in addition to what is ordinary received by or strictly due to the recipient. Minimum bonus given to the employees are Rs.2500
Gratuity
Under the payment of gratuity at the rate of 15 days wages for every completed year of service.
1 Year Gratuity =
1 month Salary
X 15 (days)
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26(days)
Strike, Lay off and lock out
Generally workers of any establishment resort to strike when they are dissatisfied with the attitude of the management with regard to their (workers) genuine demands. The confrontation between management and workers may lead to lay off and lock out. Lay off and lock out were practically nil as per the information made available. Power failures do couse disruption for the working of the mill but it never lead to any lock out or Lay off till now.
Duties and Responsibilities of the Employees
1) Each employee should work with honesty, discipline and Co-operation with self control to raise the quality of the products with the objective of the progress of establishment of the mill.
2) Each employee should gather the necessary information about the working
machine in his department; form his follow worker who worked in former shift before taking over the responsible of next shift.
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3) In case a worker has to leave his machine or department, he should take the
permission of his supervisor before and return with in the specific time. 4) During the machine is stop for count changes or over handling setting or repair works, the employee must work at other machines as instructed by his employer. 5) During working hours the worker should neither leave his area of work engage in conversation with other workers. 6) The concerned workers should tie the waste bags & keeps the cotton bogin thread in their halls and keep them instruction of the supervisor.
7) Articles and tools should not be dragged along the floor and get damaged, but
should utilize the use of trollies to the minimum. The employee must be careful not the drop to empty bobbins, clear the rollers, cpes etc.
8) Each worker should always keep his work area machine and other tools neat. 9) In case anything is found wrong in the machines the employer should mean
and notify at once. 10) In case of emergency and uncontrollable lies the workers obliged to undertake works in other department. Circumstances works of similar nature should be given and there will not be any kind of reduction the payment of such worker. 11) One departmental test is conducted from S.Q.C employees in the concerned department should corporate with the instructions of their employers. 12) Fire extinguishing tools should always the kept in working condition and should be used in emergencies. 13) All employees (workers) in all sections should do all kinds of jobs necessary as well as those instructed while the employees or supervisors
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Trade unions in the Mill
Trade unions are the association of workers and are formed with the intention of protecting the workers against the exploitation of the employers. Trade unions also focus their duties for creating a better working environment. In Mayyil weaver’s industrial co-op society ltd there are three trade unions are functioning at present. Trade unions are especially for protecting employees in the mill. They always work for the welfare of the employees. Following are the trade unions in the present time
1) 2) 3)
CITU AITUC INTUC
National and Festival holidays
National and festival holidays given to the employees, according to the order of Calicut Regional Labour Commission in 2007.
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National Holidays
Republic Day 1st may Independence Day Gandhi Jayanthi
Festival Holidays
Good Friday Previous day of Vishu Vishu Onam Thiruvonam Idul Fitar Mahanavami Bakried Christmas
Security System
The mayyil weaver’s industrial co op society ltd, There are five securities in the mill existing now .Among them two of them are contractors and 3 of them are securities made by the mill. There is separate security agencies. Securities are given daily wages. Company required 2 workers per shift.
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THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD P.B.No.225, MAYYIL 670602 TENTATIVE, Balance Sheet 1-Apr-2006to 31-Mar-2007 Liabilities Capital Account Share Capital Reserves&Surplus Loans(Liability) Bank OD A/c as at 31-Mar-2007 12,56,72,670.95 5,31,15,925.00 7,25,56,745.95 Assets Fixed Assets Building Computers & Software Fixtures &Fittings Furniture&Equipment Land Library Other Assets Plant & Machinery Vehicle as at 31-Mar-2007 8,44,25,340.01 1,16,61,986.98 31,950.00 19,69,181.86 9,15,907.87 1,94,362.20 8,545.73 16,12,320.89 6,74,60,044.73 5,71,039.75
18,70,41,491.08 8,72,44,953.08 Directrate of Handloom and Textiles 2,60,00,000.00 Kerala State Co-OpTextle Federation(TEXFED) 4,15,65,254.00 K I R F Loan 1,22,31,284.00 N C D C Loan 2,00,00,000.00 Current Liabilities Advance & Deposits Interest Payable Provisions Sundry Creditors Income Tax T D S 7,05,01,540.27 32,46,590.25 2,24,90,946.07 1,32,94,996.11 3,13,88,262.84 80,745.00
Investments 32,41,414.00 FixedDeposit(Reserve Fund) 24,866.00 K S E B Deposit 21,87,610.00 NSC 100.00 POSB 5,000.00 Share Cannanore Co-Op Hospital 10,000.00 Share Co- Op Press 1,000.00 Share KCSM Co-Op Society 1,16,700.00 Share KDCB 7,50,000.00 Share KSHWCS 25,000.00 Share KSTF 1,00,000.00 ShareMalapuramCo-Opspinning Mills 1,000.00 Share Petrofile 1,000.00 Share Quilon Co-Op Spinning Mill 1,000.00 Share Raid co 1,000.00 Telex and Telephone Deposit 17,138.00
Current Assets Advance Closing Stock Deposits(Asset) Sundry Debtors Cash-in-Hand Bank Accounts
3,63,50,274.43 450.00 1,43,67,048.39 55,09,705.72 53,36,260.68 94,354.95 17,05,549.81
42
Excise Duty Deposits Labour Rationalization Fund
71,453.88 92,65,451.00
Suspense A/c Entry Tax Profit & Loss A/c Opening Balance Current Period Total 38,32,15,702.30 Total
1,565.00 1,565.00 25,91,97,108.86 22,72,09,011.80 3,19,88,097.06 38,32,15,702.30
43
THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD P.B.No.225, MAYYIL- 670602 TENTATIVE, Balance Sheet 1-Apr-2005to 31-Mar-2006 Liabilities Capital Account Share Capital Reserves&Surplus Loans(Liability) Bank OD A/c as at 31-Mar-2006 12,33,42,482.95 5,31,15,925.00 7,02,26,557.95 Assets Fixed Assets Building Computers & Software Fixtures &Fittings Furniture&Equipment Land Library Other Assets Plant & Machinery Vehicle as at 31-Mar-2006 8,48,60,003.01 1,16,61,986.98 31,950.00 19,69,181.86 8,90,171.87 1,94,362.20 8,545.73 16,12,320.89 6,76,79,744.73 8,11,738.75
15,86,63,616.08 7,88,67,078.08 Directrate of Handloom and Textiles 60,00,000.00 Kerala State Co-OpTextle Federation(TEXFED) 4,15,65,254.00 K I R F Loan 1,22,31,284.00 N C D C Loan 2,00,00,000.00 Current Liabilities Advance & Deposits Interest Payable Provisions Sundry Creditors Income Tax T D S Tsunami Fund 6,66,17,381.61 49,12,717.25 1,87,77,741.07 1,32,30,543.11 2,95,91,120.18 1,05,360.00 (-)100.00
Investments 30,07,028.00 FixedDeposit(Reserve Fund) 24,866.00 K S E B Deposit 19,53,224.00 NSC 100.00 POSB 5,000.00 Share Cannanore Co-Op Hospital 10,000.00 Share Co- Op Press 1,000.00 Share KCSM Co-Op Society 1,16,700.00 Share KDCB 7,50,000.00 Share KSHWCS 25,000.00 Share KSTF 1,00,000.00 Share MalapuramCo-Opspinning Mills 1,000.00 Share Petrofile 1,000.00 Share Quilon Co-Op Spinning Mill 1,000.00 Share Raid co 1,000.00 Telex and Telephone Deposit 17,138.00
Current Assets Closing Stock Deposits(Asset) Sundry Debtors Cash-in-Hand Bank Accounts Excise Duty Deposits
3,35,45,872.83 1,30,16,098.00 57,57,549.72 50,47,692.28 92,218.00 2,95,409.95 71,453.88 44
Labour Rationalization Fund
92,65,451.00
Suspense A/c Entry Tax Profit & Loss A/c Opening Balance Current Period Total 34,86,23,480.64 Total
1,565.00 1,565.00 22,72,09,011.80 18,36,16,583.41 4,35,92,428.39 34,86,23,480.64
45
THE MAYYIL WEAVER’S INDUSTRIAL CO –OP SOCIETY LTD P.B.No.225, MAYYIL-670602 TENTATIVE, Balance Sheet 1-Apr-2005to 31-Mar-2008 Liabilities Capital Account Share Capital Reserves&Surplus Loans(Liability) Bank OD A/c as at 31-Mar-2008 12,79,05,244.95 5,31,15,925.00 7,47,89,319.95 Assets Fixed Assets Building Computers & Software Fixtures &Fittings Furniture&Equipment Land Library Other Assets Plant & Machinery Vehicle as at 31-Mar-2008 8,42,36,351.01 1,16,61,986.98 31,950.00 19,69,181.86 9,30,682.87 1,94,362.20 8,545.73 16,12,320.89 6,74,60,044.73 3,67,275.75
19,94,29,368.08 9,96,32,830.08 Directrate of Handloom and Textiles 2,60,00,000.00 Kerala State Co-OpTextle Federation(TEXFED) 4,15,65,254.00 K I R F Loan 1,22,31,284.00 N C D C Loan 2,00,00,000.00 Current Liabilities Advance & Deposits Interest Payable Provisions Sundry Creditors Income Tax T D S Wages(Contract)Payable 8,04,60,778.06 31,26,773.25 2,61,28,005.07 1,48,84,747.11 3,62,85,167.63 29,737.00 4,348.00
Investments 33,50,261.00 FixedDeposit(Reserve Fund) 24,866.00 K S E B Deposit 22,96,457.00 NSC 100.00 POSB 5,000.00 Share Cannanore Co-Op Hospital 10,000.00 Share Co- Op Press 1,000.00 Share KCSM Co-Op Society 1,16,700.00 Share KDCB 7,50,000.00 Share KSHWCS 25,000.00 Share KSTF 1,00,000.00 Share MalapuramCo-Opspinning Mills 1,000.00 Share Petrofile 1,000.00 Share Quilon Co-Op Spinning Mill 1,000.00 Share Raid co 1,000.00 Telex and Telephone Deposit 17,138.00
Current Assets Closing Stock Deposits(Asset) Sundry Debtors Cash-in-Hand Bank Accounts Excise Duty Deposits Labour Rationalization Fund
3,09,11,077.73 1,31,81,660.00 55,07,195.72 12,83,835.09 1,03,836.75 14,97,645.29 71,453.88 92,65,451.00
46
Suspense A/c Entry Tax Profit & Loss A/c Opening Balance Current Period Total 40,77,95,391.09 Total
1,565.00 1,565.00 28,92,96,136.35 25,91,97,108.86 3,00,99,027.49 40,77,95,391.09
47
THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD
P.B.NO. 225, MAYYIL-670602
Profit & Loss A/c
1-Apr-2007 to 31-Mar-2008
Particulars
Opening Stock Canteen Stock Cotton Cotton Process
Finished Goods Yarn Store Material Waste Cotton Yarn Process
1-Apr-2007 to 31-Mar-2008
Particulars
1-Apr-2007 to 31-Mar-2008
18,701.00 47,46,595.00 19,91,469.00
43,66,280.00 24,11,169.39 6,82,835.00 1,49,999.00
1,43,67,048.39 Sales Accounts Misc. Sales 362,193.10 Sales-Waste Cotton 14,91,215.00 Sales – Yarn 10,99,01,610.00 Closing Stock Canteen Stock Cotton Cotton Process Finished Goods Yarn Store Material Waste Cotton Yarn Process 25832.00 21,32,343.00 21,90,101.00 54,87,535.00 22,42,027.00 9,56,807.00 1,47,015.00
11,17,55,018.10
1,31,81,660.00
Purchase Accounts Purchase Consumables
Purchase- Raw Material
6,56,27,651.27 22,51,965.27 6,33,75,686.00 3,84,12,842.49 1,71,09,227.00 2,13,03,615.49 65,29,135.95
Direct Expenses Power Charges Wages Gross Loss B/f Indirect Expenses
12,49,36,678.10 Gross Profit b/f Indirect Incomes Misc Income Canteen Income C.S.T Collection Misc Income MVAT Collection VAT Collection Yarn Cess Collection 24,188.41 3,48,996.00 1,57,529.00 6,421.50 41,14,435.00 54,485.00 1,586.00 65,29,135.95 47,07,840.91
12,49,36,678.10 4,13,35,804.35
Interest and Bank Charges 1,72,04,909.65
8,83,809.40 41,75,204.00 1,66,136.00 Salary 30,70,131.50 Selling and Distribution Expense37,58,410.00 Agriculture Income Tax 146.00 Bonus 10,94,673.00 Canteen Expenses 9,04,903.30 CST Paid 1,57,679.00 Depreciation 23,54,038.00 Excise Duty 1,51,74.00 Gratuity 29,31,528.00 Insurance 1,91,946.00 Medical Expenses 334.00 MVAT 41,14,434.00 Sales Tax Paid 57,075.00 Service Charge 350.00 Stipend to Apprentice 18.006.00 TA DA Union 15,800.00 Traveling Expense 203.50 Uniform to Watch & Ward 6.,473.00 VAT 60,288.00 Wages(Contract) 67,558.00
Other Administrative Expenses P.F and Other Fringe Benefit Repairs and Maintenance
Net Loss
3,00,99,027.49
48
Total
4,13,35,804.35
Total
4,13,35,804.35
49
THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD
P.B.NO. 225, MAYYIL-670602
Profit & Loss A/c
1-Apr-2006 to 31-Mar-2007
Particulars
Opening Stock Canteen Stock Cotton Cotton Process
Finished Goods Yarn Store Material Waste Cotton Yarn Process
1-Apr-2006 to 31-Mar-2007
Particulars
1-Apr-2006 to 31-Mar-2007
14,161.00 49,07,948.00 16,45,063.00
33,91,920.00 21,66,730.00 6,11,154.00 2,79,122.00
1,30,16,098.00 Sales Accounts Misc. Sales 3,21,199.00 Sales-Waste Cotton 13,62,193.00 Sales – Yarn 10,43,04,217.50
10,59,87,609.50
Closing Stock 1,43,67,048.39 Canteen Stock Cotton Purchase Accounts 6,62,90,052.75 Cotton Process Purchase Consumables 25,06,332.75 Finished Goods Yarn Purchase- Raw Material 6,37,83,720.00 Store Material Direct Expenses 3,83,95,771.68 Waste Cotton Yarn Process Power Charges 1,74,87,529.53
Wages 2,09,08,242.15
18,701.00 47,46,595.00 19,91,469.00 43,66,280.00 24,11,169.39 6,82,835.00 1,49,999.00 12,03,54,657.89
Gross Profit c/o Indirect Expenses
Interest and Bank Charges 1,59,49,334.45
Other Administrative Expenses P.F and Other Fringe Benefit Repairs and Maintenance 9,93,932.90
26,52,735.46 12,49,36,678.10 12,03,54,657.89 Gross Profit b/f Indirect Incomes Misc Income Canteen Income Car Van Income C.S.T Collection
Interest on Electricity Deposit
26,52,735.46 47,07,840.90 44,972.40 3,60,040.25 240.00 8,18,622.00 2,34,386.00 1,164.25 28,86,402.00 1,20,014.00
42,13,371.00 2,30,134.60 Salary 31,61,319.90 Selling and Distribution Expense 25,36,221.50 Bonus 10,29,551.00 Canteen Expenses 8,30,756.00 CST Paid 8,67,342.00 Depreciation 25,99,254.00 Excise Duty 63,225.00 Festival Allowance 3,750.00 Furniture & Fixtures Repair 5,600.00 Gratuity 32,00,000.00 Insurance 3,34,836.00 MVAT 28,86,402.00 Stipend to Apprentice 8.907.50 TA DA Union 3,850.00 Uniform to Watch & Ward 2.,407.00 VAT 1,20,015.00 Wages(Contract) 66,463.50
Misc Income MVAT-Collection VAT Collection
Net Loss
3,19,88,097.06
Total
3,91,06,673.42
Total
3,91,06,673.42
50
THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD
P.B.NO. 225, MAYYIL-670602
Profit & Loss A/c
1-Apr-2005 to 31-Mar-2006
Particulars
Opening Stock Canteen Stock Cotton Cotton Process
Finished Goods Yarn Store Material Waste Cotton Yarn Process
1-Apr-2005 to 31-Mar-2006
Particulars
1-Apr-2005 to 31-Mar-2006
89,63,998.59 5,905.10 4,39,694.64 14,91,036.56
33,80,385.00 20,01,385.00 4,50,100.00 11,95,242.00 6,06,26,213.86 20,40,757.86 5,85,85,456.00 3,22,16,912.81 1,43,11,489.00 1,63,01,846.06 16,04,640.50 (-) 1,062.75 10,18,07,125.26
Sales Accounts 7,98,93,501.40 Misc. Sales 1,30,477.85 Sales-Waste Cotton 7,02,424.00 Sales – Yarn 7,90,60,599.55 Closing stock Canteen Stock Cotton Cotton Process Finished Goods Yarn Store Material Waste Cotton Yarn Process Gross Loss c/o 1,30,16,098.00 14,161.00 49,07,943.00 16,45,063.00 33,91,920.00 21,66,730.00 6,11,154.00 2,79,122.00 88,97,525.86 10,18,07,125.26 Indirect Incomes Misc Income 21,579.00 A.E.D. Collection 1,88,630.14 A S T Collection 21,014.00 B.E.D Collection 12,40,597.48 Canteen Collection 2,62,272.00 Car Van Income 1,167.00 Cenvat Availed 1,65,138.62 C.S.T. Collection 2,00,351.50 Insurance Claim 26,183.00 Interest on Fixed Deposit 1,356.25 Misc Income 40,997.00 Sales Tax Collection 1,21,875.00 Yarn Cess Collection 2,735.05 22,93,896.34
Purchase Accounts Purchase Consumables
Purchase- Raw Material
Direct Expenses Power Charges Wages Lay Off Wages Packing Materials
Gross Profit c/o Indirect Expenses 1,88,13,901.98 Other Administrative Expenses 8,43,390.35 P.F and Other Fringe Benefit 34,77,132.10 Repairs and Maintenance 3,04,694.95 Salary 27,90,310.95 Selling and Distribution Expense 18,72,228.39 Agriculture Income Tax 1469.00 Canteen expenses 6,16,446.53 CST Paid 2,02,152.00 Depreciation 28,74,756.00 Excise Duty 14,26,688.62 Forms & Books 1,342.00 Gratuity 32,17,311.00 Inspection Fees 27,630.00 Insurance 3,65,376.00 Loss on Sale of Assets 15,205.00 Periodicals 300.00 Sales Tax Paid 1,21,579.00 TA DA Union 10,300.00 Traveling Expense 872.00
Interest and Bank Charges
88,97,525.86 3,69,88,798.87
Net Loss
4,35,92,428.39
51
Uniform to Watch & Ward
5,713.00
Total
4,58,86,324.73
Total
4,58,86,324.73
52
CHAPTER – V
Findings , Suggestions And Conclusion
53
FINDINGS
From the project work, I find out these matters.
1)
Now the company is working in loss condition, it is running in loss 1995
onwards. 2) Most of the machines used are about 20- 30 years old and is working only
due to proper maintenance and care. 3)
4)
Machine utilization has to be improved in the mill. Without the modernization a change of product mix, the firm cannot change
its present financial position. Modernization is the main objective of the firm.
5)
Major strikes or lockouts etc are not occurring in the mill. Company surroundings are very clean and the toilets too. In totality the
6)
company atmosphere is good. 7) 8) There is good relation between employer and employees. Employees are getting satisfaction with their wages and welfare activities
made by the management.
9)
Absenteeism employees are one of the reasons which create loss in the mill.
10) The company is producing better quality products.
11) The solvency and the profitability position of the mill is very week.
54
Suggestions
1) The top level management must be efficient and take strict decision.
2) The mill has been using out dated machineries. The mill sectors, once it is
modernized, it will able to compete successfully in the International market.
3) The management must conduct training programmers to each employee to
increase their efficiency.
4) Necessary steps must take to avoid wastage of materials. 5) Avoid unnecessart expense in day to day operations. 6) If modernization introduced in the mill the work force can be reduced. 7) Management should motivate the employees it will create good atmosphere
for the workers to work hard.
8) For improving efficiency and profitability management has to take
corrective measures it has to seek aid from govt for rehabilitate the unit.
55
Conclusion
The Mayyil weaver’s industrial co-op society Ltd is the only Cooperative, spinning mill in Kannur in District. This mill has been running in loss from 1995 onwards, it can be rectified by certain measures given in the Suggestion. For improving efficiency and profitability management has to take corrective measure. It has to seek aid from govt for rehabilitate the Unit. The management must Conduct Training Programmers to the employees, who are working in weak condition. The relationship between employer and employees are good, the mill has to maintain it .The mill is using old machineries; in this stage the mill cannot change its financial position, so it should be modernized. The workers are satisfied with their compensation. The mill is providing all kinds of welfare facilities to employees. From this study we understand that the mill should introduce modern method. Efficient managers should be appointed, to overcome this loss condition.
56
57
doc_300936255.doc
MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD
In plant Training Report Submitted to
DEPT. OF MANAGEMENT STUDIES
PARK’S COLLEGE TIRUPUR
Submitted By
NIDHEESH.K
Reg No: 08P33A033 1MBA PARK’S COLLEGE TIRUPUR
1
ACKNOWLEDGEMENT
I wish to record my sincere thanks to all the people who have contribute for the success of my project. I Express my gratitude to the Mayyil Weaver’s Industrial Co-op Society Ltd for having consented me for carrying out placement Training . I take the opportunity to think Mr. Asok, the General Manager of Mayyil Weaver’s Industrial Co-op Society Ltd for getting me the permission to do the training in this organization. I express my Sincere thanks to Mr.Ashokan (Manager), Mr. Sarangadharan (Spinning master), Mr.Vinodan (Supervisor), K.P Ramani (Time keeper). I am also grateful to our H.O.D of Management Studies, providing me the opportunity to carry-out this project. I am also thankful to all or all the faculties in the department of Management Studies, PARK’S COLLEGE, TIRUPUR for the kind assistance. PARK’S COLLEGE TIRUPUR NIDHEESH.K
2
DECLARATION
I here by declare that the In Plant Training Report Titled study on Mayyil Weaver’s Industrial Co-op society Ltd, Mayyil, is an original and bonafide work done by me in requirement of the award of Department of Management Studies at Park’s College, Tirupur.
TIRUPUR 03 DECEMBER 2008
NIDHEESH.K
3
TABLE OF CONTENTS
SI. No I II III IV V
Description Introduction Company Profile, Production Process Personnel Management Profit & Loss Account, Balance Sheet Findings, Suggestions, Conclusion
Page No : 2-8 9-21 22-41 42-52 53-56
4
CHAPTER I
INTRODUCTION
5
INTRODUCTION
History of Cotton:Cotton cultivation in the World began from India, where cotton has been grown fore more than 6000 years, since the pre- Harappan period. Cotton from Harappan Civilization was exported to Mesopotamia during the 3
rd
millennium B.C and Cotton was soon known to the Egyptians as well. The famous Greek historian Herodotus also wrote about Indian Cotton, “There are trees which grow wild there, the fruit of which is a wool exceeding in beauty and goodness that of sheep. The sanctions make their clothes of this tree wool.”
Uses of Cotton:Cotton is used to make towels Cotton bath towel’s cotton is used to make a number of textile products. These included terry cloth, used to make highly absorbent bath towels and robes; denim, used to make blue jeans etc. Socks, under ware and most T-shirts are made from cotton. Bed sheets are after make from cotton. It is also used to make year used in crochet and knitting. In addition to textile Industry. Cotton is used in fishnets, Coffee fitters, tents, gunpowder and in book binding. The first Chinese paper was made of Cotton fiber Fire hoses are made of Cotton.
6
Indian textile Industry
The Indian Textile Industry using cotton – The “White gold of India”, as raw material is about 185 years old. The first Cotton mill was set up in Calcutta in 1918. The textile industry in India has made its major developments after independence. Today the Indian Textile Industry plays a crucial role in the economy. The textile Industry provide immediate large – scale employment, they occur methods of ensuring a more equitable, distribution of income and they facilitate an effective mobilization of capital, which might otherwise unutilized. Now the Indian textile Industry plays an important role in the economy with over 1460 organized units. 1.7 million Power looms 4 million handlooms. A large number of small medium and large processing houses and approximately one lakh garments.
The Indian Textile Industry is one of the lowest cost producers of Cotton in the world. The main advantage to Indian mill lies not only in low wage cost but also in fact that the Indian farmers are Competitive producers of Cotton. Indian plants were also less capital intensive used older generation machine tools and adequate foundries. This led to lower Capital Cost.
7
The Scope for development in this field is enormous. Because we have traditional labors. They are versed with the methodologies and various process adopted by the Industry. At the same time. If the industry has developed new technologies and is using modern machines. The industry has ready access to domestic cotton in abundant measure and generally at prices which are extremely competitive.
In some states, the textile Industry is in great crisis. Kerala is one of them, which is facting great recession all the field, which has directly affect the textile industry, Higher cost of power, financial cost etc affect the Indian textile Industry.
8
CHAPTER - II
COMPANY PROFILE PRODUCTION PROCESS
9
PROFILE OF MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD.
The mill has established in 1977 with a capacity of 12,000 Spindles to meet the demand of Weavers mostly in the North Kerala. This is the first mill set up in the Co-operative Sector in the state. The production is Cotton yarn mostly in the count range of 20’s to 40’s. The installed Capacity of the mill was gradually increased to the present Spindles is 28, 0000. The mill has been able to address itself to meeting the requirements for quality year mostly to handloom weavers at reasonable rate.
Most of the machines used about 20-30 years old and working only due to proper maintenance and care. The productivity is on the lower rate. The machine utilization has to be improved, considering boom in the textile as well as the technologies revolution taking place in this field. It is prudent that the machinery is modernized productivity stepped up and management toned up in the mill to give it a new life as well as for its survival in the competitive environment as a healthy unit. If will also enable the company to keep and supplying quality yarn to the Weavers in and around Cannanore which is one of the main centers of textile industry in Kerala.
10
Basic facts about the mill:Name : The mayyil weaver’s industrial Co-op society ltd. Address of location Year of Establishment Societies Registered No Year of Incorporation Industrial License (IL) No of Spindles installed Main production Main Market Type of Layout : : : : : : : : : Mayyil, Cannanore 1977 HL Ind(c) 24, 1964 616 (64) Dated 17-12-1964 28,000 Cotton Yarn Mumbai Process layout
ORGANISATION STRUCTURE OF MAYYILWEAVER’S INDUSTRIAL CO-OP SOCIETY LTD.
Board of Directors
11
Managing Director
General Manager
Office Manager
Mill Manager
Ex. Accounts Officer
Ex. Commercial Officer
Ex.Internal Auditor
SM
E.E
Welfare Officer
Electrical Staff SM S.R.A S.R.A
Assistant
ASM Maintenance
ASM Electrical SQC
Time keeper
ASM= Assistant Spinning Master SRA = Senior Assistant SM = Spinning Master EE = Electrical Engineer
Ass.Time keeper Godown keeper Store keeper
12
Management:The mill is managed by the Board of Directors. The GM is the chief executive officer. The management set up in the mill is given in the organization chart. In the part also the company had implemental a modernization program to replace same old ring frames and other modifications for productivity improved. Company’s own fund govt. contribute and a loan from M / S. Kerala state Co-operative bank were used for the same. The management and track unions of Mayyil weaver’s industrial co-op society ltd, came to an understanding to renew long term agreement immediately the rules and regulations of the mill is based on Govt. order.
General
erformance of the company which was deteriorating till 1978-88, took a tern for good since then. The reasons for the same are the old machines, low productivity , low utilization and large complement machinery conditions, employees absents and the prevalent low voltage conditions and power failure in the northern Kerala , were the main factors effecting the proper utilization. The management of the mill was also traditional. However, things started to improve from installed to overcome low voltage and powers failure problem. The proposed modernization is expected to improve the performance of the Company still13
further. Thus will also enable the mill to exploit the boom in textile industry and stay a floot in a competitive environment.
Need for modernization
The performance of the mill for the last five years has been analyzed in the technology employed in the plant and the machinery used is quite old. Although periodic improvements have been effected to technology up gradation in certain sections of the plant, the same is incomplete and needs to be followed up. Besides the technology in the Spinning and other textile industry have under gone tremendous change and the same needs to adopted for survival of the mill as a competitive unit.
Plant location and layout
The Mayyil weaver’s industrial co-op society ltd is located about 18
km from Cannanore town and is easily approachable by road. The total land area occupied by the factory is about 7 acres. The mill is nil conducted by various facilities.
14
Plant Layout
The main Sectors of plant are as follows 1. 2. Administrative Section Manufacture Section
a. Blow Room b. Preparatory Section c. Spinning Section d. Winding Section e. Packaging 111 Engineering Section a. Work Shop b. Generator room c. Electricity 1V V V1 Raw material Storage Section Canteen Resting place
V11 Security Section
TIME OFFICE & NUMBER OF WORKERS
Ist Shift MIXING DEPARTMENT BLOWROOM CLEANING BLOWROOM CARDING = = 6 3 WORKERS WORKERS
15
SHIFT A B C 6 6 6 TOTAL = 18 WORKERS
SIMPLEX SHIFT A B C 15 14 13 TOTAL = = 42 WORKERS 4 WORKERS
CLEANING SPINNING SHIFT A CONE WINDING A SPINNING B SHIFT CONE WINDING SPINNING C CONE WINDING C ELECTRICAL SECURITY GUARD CLEANING GANG MISCELLANIOUS NEELING CONE PACKING
= = = = = = = = = = = =
36 WORKERS 17 WORKERS 49 WORKERS 17 WORKERS 42 WORKERS 21 WORKERS 6 WORKERS 2 WORKERS 13 WORKERS 12 WORKERS 24 WORKERS 3 WORKERS
16
WORK SHOP GENERAL CANTEEN LEARNORS NEW LEARNORS OTHERS TOTAL
= = = = = = =
3 WORKERS 3 WORKERS 11 WORKERS 15 WORKERS 39 WORKERS 45 WORKERS 421 WORKERS
TEST RESULTS
NO 1 2 3 4 5 6 TEST 2.5 % span length (mm) 50% span length (mm) bundle strength (gm hex) mocroneuine value Trash content % Moisture content % VALUE 31 mm 14.5 22 gm hex 3.2 to 3.8% 3 to 3.5 % 3 to 3.5 %
Please confirm the whore by the returning the duplicate copy of this order form duty signed by you. Yours faithfully. FOR THE MAYYIL WEAVERS INDUSTRIAL CO-OP SOCIETY LTD Managing director: Received of 26-11-2008. LOT NO: 23 MILL LOT NO: 58 BATES : 100 Signature of seller / seller
17
Statistical Quality control
Basically it is a method of testing estimating quality at whole form. The method is based in loss of chance and has a sound mathematical basis.
Production Process
Mixing :This is the 1
st
Stage in production process. According to the type of
yarn needed the material namely polyester Viscose yarn and polyester fiber yarn is mixed in required proportion. To identify the products colouring is done, omly washable colors are used. As a result there.
Blow Room
The Cotton bales received are opened and feel to the hopper feeder and is subsequently passed through beaters where opening and cleaning takes place. The main object of the blow room is to open and clean the raw material. Sequence of machine is employed in this department to open and clean the raw material. The number of cleaning points employed will depend upon the, trash contend of raw material. The cleaned and opened raw material comes out like a sheet from the sketches called lap.
Carding
In the lap stage the fibers are still in a langled condition and contain waste material, before this raw stock can be making in to yarn, these ompurities must be removed and the fiber must straightened. This Straightening or
18
Smoothening is done by arranging the fibers in a parallel fashion which is known as carding.
Draw frame : ( Drawing )
Slivers obtained from carding section may not be Uniform and can have many irregularities such as weaver weight per unit length, which will ultimately reflect in the final product. In order to have a constant weight per unit length, several slivers are combined and drawn in the drawn framers. The main object of the drawing machine is to doubling and penalizing the fibers.
Simplex :The material from draw frame connect be fed directly to the ring frame creel for spinning. Before that it is fed to the simplex machine for further drafting. During this stage the draw frames sliver is given about 8 to 12 drafting according to the requirement and at least one Twist per inch (TPI) to avoid creed breakage on Ring frame.
Ring Frame
The simplex roving on bobbins is fed on the ring frame creel where it passes through several pair of rollers running at successfully higher rates of
19
speed. Required draft, ranging at successfully higher rates of speed. Required draft, ranging from 20-35 is provided and required twist is inserted in this stage until the drawn out yarn is of the desired specification.
Doubling
Yarn to be doubled are processed here, where the required twist and doubling are imparted to the yarn. The doubling frames are conventional type needing improvement for increasing speed and energy utilization.
Cone Winding:In the winding process the yarn spun on the ring frame is wound on paper cones. With the help of slab catchers provided on the Winding machine all Spinning faults like week places, slab, fluff, bad piecing etc are removed. There are 3 cones winding with 120 drums each.
Reeling, Bundling and bailing :44 numbers double sided reels are in use each with 40 pegs for the production of yarn, there are 5 bundling. I bailing press for handling the yarn produced. Conditions of this machine are satisfied.
Packing :
20
In these section cones are packed in ploythene bags and woven snacks. 40 cones are packed in a single bag making it a 50 kg cone bag.
FLOW CHART OF PRODUCTION PROCESS
MIXING
BLOW ROOM
CARDING
DRAWING
SIMPLEX
SPINNING
DOUBLING CONE WINDING
21
PACKING
CHAPTER III
Personnel Management
22
Personnel management in mayyil weaver’s industrial co-op society ltd
The mill has no separate personal department, and all the managing performance regarding the workers were performed chief executives or labor officer. So all the activities are looked and managed by them. They took the responsibilities handling personnel problems with workers, giving advice or counseling. Controlling dealing with long term effectiveness of the company etc. they deal with personnel administration (keeping records, staffing etc), Industrial relations (Employee assistance, motivation, grievances etc) and labor relations (Collective bargaining, Union management, Wages agreement etc) in this usual cause of operation. The management of the mill was giving more important for selecting an employee to the mill. It is the duty of the management to fill jobs with the right people, and then only the organization achieves the goals. Filling and keeping the positions provided by the organization is one of the prime phases of every management, it includes various process like.
1. Recruitment 2. Selection 3. Training
4. Transfer and Promotions
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1) Recruitment
Recruitment can be defined as “the process of searching for prospective employees and stimulating them to apply for jobs in the organization. Recruitment is ascertained in terms of quality and quantity. Recruitment is the first step in employment process which aims the head of the department sends their acquisition for recruitment of personnel to H.R department including the following details- job for which workers are required, period of employment salary to they offered, other terms and conditions etc.
Selection
Selection is process of choosing the most suitable person from all applicants selection is the negative process as it is a process of elimination. It is a decision making process, where management selects candidates on the basis of certain notes and procedures of the mill.
Training
Training is a systematic programme of the company which aims at increasing the attitudes, skill and abilities of the workers to perform its specific job. By training an employee can acquire new manipulative sills. The main purpose of training is to bridge the gap bet ween job requirements and present competence of employees.
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Transfer and Promotion
Transfer involves shifting of an employee from one job to another without special reference to change in responsibility or compensation. The workers are transferred to another place only after the consultation of with the union. Promotion involves change from one job to another is better in terms of status and responsibility and it also involves shifting and employee to higher position, gets more wages, gets authority and responsibility.
Relinquishment of Promotion
If an employee is not willing to be promoted, be should give it in writing and such employ’s case will not considers for further promotions. However as per the request of relinquishing promotion will be normally considered, the management will have the right to either accept such request of the smooth working of mill.
Promotion in work-shop and maintenance category
In workshop qualified or experienced worker to be selected from among regular workers by a committee constituted by management for this purpose. In respect of the maintenance category of the workers, vacancy will be filled in due course after discussing with the recognized labor unions of the mill.
25
Categories of workers in each process
Sl. No 1 Godown and mixing Reliever 2 Blow Room Back tender Scutcher Attender Bloom Room &Cardingmaistri Lap Carrier/Fly carrier Reliever 3 Simplex jobber/Oiler Simplex Tender Reliever Drawing Tender Simplex Dabbing men Bobbin/ Carries 1 1 1 1 1 1 3 3 1114.50 1128.50 Workers Strength 1 shift IInd IIIrd shift shift
st
Department and category
General 8 1
Total 8 9
Basic Wages 1102.50
1 1 1 5 1 3 3 1
1 1 1 5 1 3 3 1
1 1 1 5 1 3 3 1
3 3 15 3 15 3 9 9 3
1147.50 1101.50 1139.50 1118.00 1118.00 1106.00 1097.50 1097.50
26
Reliever 4 Spinning & Doubling Dabbing jobber Oiler/Tap Sticher Reliever/ Reswerve Piece Spinning Siders Reliever Doublingsiders Dubbing men Dab Carrier Reliever
1 1 2 1 6 26 6 4 19 1 4
1 1 2 1 6 26 6 4 19 1 4
1 1 2 1 6 26 6 4 19 1 4
3 3 6 3 18 78 18 12 57 3 12
1097.50 1206.00 1167.00 1157.00 1151.00 1144.50 1144.50 1116.00 1097.50 1100.50 1097.50
5
Cone windining Maistri Cone winder Winding Dab carrier/Sweeper Reliance
1 20 1 4 1 60
1 20 1 4
1 20 1 4
210 3 60 1 12 78 1 60
1139.50 1118.50 1097.50 1118.50 1139.00 1100.00
27
6
Reeling cone Packing maistri Realer
Yarn carrier/ conditioner Reliever 7 Bundling & Bailing Attender Bailer Reliever 8 9 Cone Packing Blow room and carding maintenance Fitter Ass.Fitter Cleaning gang Reliever 10 Spinning &Doubling maintenance fitter Ass.fitter Cleaning gang Roller cover Ass.fittre
2 10 7 1 3
2 1 73 7 1 3 3
1100.00 1100.00 1116.00 1116.00 1103.00
1 2 2 1 2 2 18 4 1
1 2 2 1 2 2 18 4 1
1164.00 1138.00 1098.50 1198.50 1164.00 1138.00 1098.50 1139.50 1138.00
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Categories of workers
The mill has well designed categories of workers. Workers including employees and employers are in great uniformity, there will be high quality even in the working of the mill. At present there are 435 workers in the mill among them 432 workers are permanent. There are only 3 female workers in the mill remaining are male workers. Now the mill is suffering loss due to high wages of employees, the main reason for the loss is employee’s wages. Te mill has been provided by the workers, learners, trainer’s etc. permanent workers are permanent in the mill and their names are registered in the Muster Roll register. Bali’s are temporary workers. There are 14 Badlis in the mill they have no power in the firm. There are only 2 trainees in the mill
General conditions for the workmen
1) The value food items Supplied from the canteen will be continue as follows
and it will be revised after discussing with labour union in due courses :
1. Tea/ Coffee
: : :
Rs. 0.35 ps Rs. 0.3/0 70 Ps Rs. 2.00
2. Snacks 3. Meals
29
2) It is further agreed that union will Co-operate with the management in running the canteen in any manner economically in line with statutory requirements and to revise the rate of food items on the basis of guide lines issued by IRC or as per govt.direction at later day but during the term of the agreement. If the new recommendation is made by I.R.C I govt for revising the canteen rate, the rate will be revised in consultant with Union. 3) No permanent worker will be retrenched for the reason of implementing this settlement. 4) Transfer of worker in the event of changes in count pattern, product mix, break down machinery idling of machine etc. resulting the surplus labour in the departments the management for operational reasons have the right to transfer such surplus workman to the other departments or categories. 5) It is agreed-chat the workman should work 7 days working and management has the right to implement 24 hours working. Internal working in spinning, cone – Winding and other departments whenever required. 6) If there is continuous interruptions in working of the mills due to power failure and exceeds 15 minutes, work load in piece rate department will be reduced by total interruptions over and above and proportionate work load.
30
7) Whenever machine conditions of raw materials or product mix or work methods or other working condions change, the work assignment will be reevaluated and re fixed on the basis scientific study and the workmen are cooperative for the same in such cases.
8) It is agreed that the workman of this Mills shall come for the respective shift before the commencement of respective shift and take charge of work from the previous shift operative and work the machines till this end of shift including the piece rate department and achieve higher production and efficiency.
Working hours and shift :The mill carries 24 hours as working hours a day. There is no production gap. When a production gap arises it is very difficult to start the activities from the beginning itself employee get ½ an hour interval with in duty time, mainly it is in the 4th hour each employee should get one day as holiday in a week in 4 days holydays in a month. Management should decide who should get leave in the work.
Shifts:There is three shifts per day in the mill. The management of the categorized its workers and allowed three shifts per day timing.
31
Shift I Shift II Shift III
7.00 am – 3.30 pm 3.30 pm – 12.00am 12.00 am - 7.00 am
1st and IInd shift include 8.30 hours a working hours and the IIIrd shift include 7 days as working hours. Each employee get ½ an hour interval wit in the working hours. Mainly it is in the 4th hour.
Stipend
Payable to
Apprentices,
Trainees under
self employment
Period 1. First 6 months 2. Second 6 months
3. Third 6 months
scheme shall be as follows
Stipend Rs . - 25/- per day of training Rs. – 35/- per day of training Rs. - 45/- per day of training Rs. - 60/- per day of training
4. Fourth 6 months
Wage Structure
The wages and other benefits increases for the workmen shall be as prepared in the organization chart. The was prepared under the rules and regulations of govt. Receiving remuneration is the boost of the employees. So there be proper wage payment should be clone.
32
In the mill permanent workers wage is around 250 per day and including Badlis Rs.120 per day. The wages including, dearness Allowance, House Rent Allowance etc. Permanent workers will get increment in every year. Wages = Basic Wage+DA 26(days)
D.A.
The allowance is given to protect the real wages of workers during inflation. DA is paid to offset the prices. It has become an integral part of the wage system in India.
The payment of D.A as follows
Up to 261 to Above 260 points 400 points 400 points : Nil : Fixed Dearness allowance Rs.425.60 : Variable Dearness allowance Rs.3.39per point
33
House Rent Allowance
H.R.A is linked to 26 days working in each month. For computation of 26 days, days of earned leave as per Factories Act and the National and festival holidays under the kerala industrial Establishments Act and festival holydays under The kerala Industrial Establishments Act and days of lay off will be treated as days worked. If the workmen become entitled to H.R.A, by virtue of any law passed by the state or control govt. the said amount will be adjusted against the same. Whenever free or subscribed housing is provided or H.R.A is paid, the value of such benefit / amount shall be offset against the said H.R.A amount.
Time office Department.
Time Office Department is handed by time keeper who is responsible of keeping records of each worker in case of attendance; leave etc. for fulfilling these needs various records are kept in this department. The mill is working on 3 shifts. Time office workers are responsible for keeping the records of each shift. At present there two employees in time office Head Time keeper and Assistant time keeper. The attendance of workers is taken from third department (like blow room, mixing etc) in the register books. Workers absenteeism was also notified in time office. This department also maintains records regarding the wages paid to workers. There are two method of wage payment, TRS and PRS (Time Rate
34
System and Piece Rate System). Now the wages are paid on the basis TRS and daily wage system.
Welfare Activities
The management is concerned with provided welfare facilities and abilities which enable a worker to perform in a healthy atmosphere. There are statutory and no-statutory activities.
Stationary welfare activities
Statutory measures are as per the factory act having been provided in the mill. They can be explained as below:
a)
First Aid Appliances :Under the factory Act, It is strictly mentioned that, a manufacturing
concern should keep necessary first aid facilities. This is done in case of when the workers are injured while working. If the injury is serious the mill has responsibility to take them in to hospital.
b) washing facilities
35
The mill provides washing facilities to the employees as per the requirement of the law.
c) Sitting Facilities
The mill also provides sitting facilities for the workers when they getting intervals or lunch break.
d) Canteen Facilities
Industrial concern is functioning in the mill to provide food item on subsidized rate to all employees. The rate prevailing is very nominal with meals Rs. 2.00, Tea Rs. 35Ps, Snacks 0.35/0 70Ps. The expenditure incurred by the company because of canteen is around 1 lack per month.
e) Shelter, Rest room and lunch room
The mill also provides area for having shelter, rest room and lunch room for workers. In addition there is well cleaned latrine for workers.
ESI and Provident Fund
36
ESI means Employees state insurance. All Employees in the Cannanore Co-operative spinning mills are provided ESI facilities. Employee’s contribution at the state of 1.75 % on wages. The provision of the employees PF Act has been fully implemental in the company. All employees are covered under this scheme. Contribution at the rate of 12 % from the wages of employees.
Bonus
All employees are eligible for bonus. Bonus is a allowance in addition to what is usual, current or stipulated, assume given or paid beyond what is legally Enquired to be paid to the recipient, something given in addition to what is ordinary received by or strictly due to the recipient. Minimum bonus given to the employees are Rs.2500
Gratuity
Under the payment of gratuity at the rate of 15 days wages for every completed year of service.
1 Year Gratuity =
1 month Salary
X 15 (days)
37
26(days)
Strike, Lay off and lock out
Generally workers of any establishment resort to strike when they are dissatisfied with the attitude of the management with regard to their (workers) genuine demands. The confrontation between management and workers may lead to lay off and lock out. Lay off and lock out were practically nil as per the information made available. Power failures do couse disruption for the working of the mill but it never lead to any lock out or Lay off till now.
Duties and Responsibilities of the Employees
1) Each employee should work with honesty, discipline and Co-operation with self control to raise the quality of the products with the objective of the progress of establishment of the mill.
2) Each employee should gather the necessary information about the working
machine in his department; form his follow worker who worked in former shift before taking over the responsible of next shift.
38
3) In case a worker has to leave his machine or department, he should take the
permission of his supervisor before and return with in the specific time. 4) During the machine is stop for count changes or over handling setting or repair works, the employee must work at other machines as instructed by his employer. 5) During working hours the worker should neither leave his area of work engage in conversation with other workers. 6) The concerned workers should tie the waste bags & keeps the cotton bogin thread in their halls and keep them instruction of the supervisor.
7) Articles and tools should not be dragged along the floor and get damaged, but
should utilize the use of trollies to the minimum. The employee must be careful not the drop to empty bobbins, clear the rollers, cpes etc.
8) Each worker should always keep his work area machine and other tools neat. 9) In case anything is found wrong in the machines the employer should mean
and notify at once. 10) In case of emergency and uncontrollable lies the workers obliged to undertake works in other department. Circumstances works of similar nature should be given and there will not be any kind of reduction the payment of such worker. 11) One departmental test is conducted from S.Q.C employees in the concerned department should corporate with the instructions of their employers. 12) Fire extinguishing tools should always the kept in working condition and should be used in emergencies. 13) All employees (workers) in all sections should do all kinds of jobs necessary as well as those instructed while the employees or supervisors
39
Trade unions in the Mill
Trade unions are the association of workers and are formed with the intention of protecting the workers against the exploitation of the employers. Trade unions also focus their duties for creating a better working environment. In Mayyil weaver’s industrial co-op society ltd there are three trade unions are functioning at present. Trade unions are especially for protecting employees in the mill. They always work for the welfare of the employees. Following are the trade unions in the present time
1) 2) 3)
CITU AITUC INTUC
National and Festival holidays
National and festival holidays given to the employees, according to the order of Calicut Regional Labour Commission in 2007.
40
National Holidays
Republic Day 1st may Independence Day Gandhi Jayanthi
Festival Holidays
Good Friday Previous day of Vishu Vishu Onam Thiruvonam Idul Fitar Mahanavami Bakried Christmas
Security System
The mayyil weaver’s industrial co op society ltd, There are five securities in the mill existing now .Among them two of them are contractors and 3 of them are securities made by the mill. There is separate security agencies. Securities are given daily wages. Company required 2 workers per shift.
41
THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD P.B.No.225, MAYYIL 670602 TENTATIVE, Balance Sheet 1-Apr-2006to 31-Mar-2007 Liabilities Capital Account Share Capital Reserves&Surplus Loans(Liability) Bank OD A/c as at 31-Mar-2007 12,56,72,670.95 5,31,15,925.00 7,25,56,745.95 Assets Fixed Assets Building Computers & Software Fixtures &Fittings Furniture&Equipment Land Library Other Assets Plant & Machinery Vehicle as at 31-Mar-2007 8,44,25,340.01 1,16,61,986.98 31,950.00 19,69,181.86 9,15,907.87 1,94,362.20 8,545.73 16,12,320.89 6,74,60,044.73 5,71,039.75
18,70,41,491.08 8,72,44,953.08 Directrate of Handloom and Textiles 2,60,00,000.00 Kerala State Co-OpTextle Federation(TEXFED) 4,15,65,254.00 K I R F Loan 1,22,31,284.00 N C D C Loan 2,00,00,000.00 Current Liabilities Advance & Deposits Interest Payable Provisions Sundry Creditors Income Tax T D S 7,05,01,540.27 32,46,590.25 2,24,90,946.07 1,32,94,996.11 3,13,88,262.84 80,745.00
Investments 32,41,414.00 FixedDeposit(Reserve Fund) 24,866.00 K S E B Deposit 21,87,610.00 NSC 100.00 POSB 5,000.00 Share Cannanore Co-Op Hospital 10,000.00 Share Co- Op Press 1,000.00 Share KCSM Co-Op Society 1,16,700.00 Share KDCB 7,50,000.00 Share KSHWCS 25,000.00 Share KSTF 1,00,000.00 ShareMalapuramCo-Opspinning Mills 1,000.00 Share Petrofile 1,000.00 Share Quilon Co-Op Spinning Mill 1,000.00 Share Raid co 1,000.00 Telex and Telephone Deposit 17,138.00
Current Assets Advance Closing Stock Deposits(Asset) Sundry Debtors Cash-in-Hand Bank Accounts
3,63,50,274.43 450.00 1,43,67,048.39 55,09,705.72 53,36,260.68 94,354.95 17,05,549.81
42
Excise Duty Deposits Labour Rationalization Fund
71,453.88 92,65,451.00
Suspense A/c Entry Tax Profit & Loss A/c Opening Balance Current Period Total 38,32,15,702.30 Total
1,565.00 1,565.00 25,91,97,108.86 22,72,09,011.80 3,19,88,097.06 38,32,15,702.30
43
THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD P.B.No.225, MAYYIL- 670602 TENTATIVE, Balance Sheet 1-Apr-2005to 31-Mar-2006 Liabilities Capital Account Share Capital Reserves&Surplus Loans(Liability) Bank OD A/c as at 31-Mar-2006 12,33,42,482.95 5,31,15,925.00 7,02,26,557.95 Assets Fixed Assets Building Computers & Software Fixtures &Fittings Furniture&Equipment Land Library Other Assets Plant & Machinery Vehicle as at 31-Mar-2006 8,48,60,003.01 1,16,61,986.98 31,950.00 19,69,181.86 8,90,171.87 1,94,362.20 8,545.73 16,12,320.89 6,76,79,744.73 8,11,738.75
15,86,63,616.08 7,88,67,078.08 Directrate of Handloom and Textiles 60,00,000.00 Kerala State Co-OpTextle Federation(TEXFED) 4,15,65,254.00 K I R F Loan 1,22,31,284.00 N C D C Loan 2,00,00,000.00 Current Liabilities Advance & Deposits Interest Payable Provisions Sundry Creditors Income Tax T D S Tsunami Fund 6,66,17,381.61 49,12,717.25 1,87,77,741.07 1,32,30,543.11 2,95,91,120.18 1,05,360.00 (-)100.00
Investments 30,07,028.00 FixedDeposit(Reserve Fund) 24,866.00 K S E B Deposit 19,53,224.00 NSC 100.00 POSB 5,000.00 Share Cannanore Co-Op Hospital 10,000.00 Share Co- Op Press 1,000.00 Share KCSM Co-Op Society 1,16,700.00 Share KDCB 7,50,000.00 Share KSHWCS 25,000.00 Share KSTF 1,00,000.00 Share MalapuramCo-Opspinning Mills 1,000.00 Share Petrofile 1,000.00 Share Quilon Co-Op Spinning Mill 1,000.00 Share Raid co 1,000.00 Telex and Telephone Deposit 17,138.00
Current Assets Closing Stock Deposits(Asset) Sundry Debtors Cash-in-Hand Bank Accounts Excise Duty Deposits
3,35,45,872.83 1,30,16,098.00 57,57,549.72 50,47,692.28 92,218.00 2,95,409.95 71,453.88 44
Labour Rationalization Fund
92,65,451.00
Suspense A/c Entry Tax Profit & Loss A/c Opening Balance Current Period Total 34,86,23,480.64 Total
1,565.00 1,565.00 22,72,09,011.80 18,36,16,583.41 4,35,92,428.39 34,86,23,480.64
45
THE MAYYIL WEAVER’S INDUSTRIAL CO –OP SOCIETY LTD P.B.No.225, MAYYIL-670602 TENTATIVE, Balance Sheet 1-Apr-2005to 31-Mar-2008 Liabilities Capital Account Share Capital Reserves&Surplus Loans(Liability) Bank OD A/c as at 31-Mar-2008 12,79,05,244.95 5,31,15,925.00 7,47,89,319.95 Assets Fixed Assets Building Computers & Software Fixtures &Fittings Furniture&Equipment Land Library Other Assets Plant & Machinery Vehicle as at 31-Mar-2008 8,42,36,351.01 1,16,61,986.98 31,950.00 19,69,181.86 9,30,682.87 1,94,362.20 8,545.73 16,12,320.89 6,74,60,044.73 3,67,275.75
19,94,29,368.08 9,96,32,830.08 Directrate of Handloom and Textiles 2,60,00,000.00 Kerala State Co-OpTextle Federation(TEXFED) 4,15,65,254.00 K I R F Loan 1,22,31,284.00 N C D C Loan 2,00,00,000.00 Current Liabilities Advance & Deposits Interest Payable Provisions Sundry Creditors Income Tax T D S Wages(Contract)Payable 8,04,60,778.06 31,26,773.25 2,61,28,005.07 1,48,84,747.11 3,62,85,167.63 29,737.00 4,348.00
Investments 33,50,261.00 FixedDeposit(Reserve Fund) 24,866.00 K S E B Deposit 22,96,457.00 NSC 100.00 POSB 5,000.00 Share Cannanore Co-Op Hospital 10,000.00 Share Co- Op Press 1,000.00 Share KCSM Co-Op Society 1,16,700.00 Share KDCB 7,50,000.00 Share KSHWCS 25,000.00 Share KSTF 1,00,000.00 Share MalapuramCo-Opspinning Mills 1,000.00 Share Petrofile 1,000.00 Share Quilon Co-Op Spinning Mill 1,000.00 Share Raid co 1,000.00 Telex and Telephone Deposit 17,138.00
Current Assets Closing Stock Deposits(Asset) Sundry Debtors Cash-in-Hand Bank Accounts Excise Duty Deposits Labour Rationalization Fund
3,09,11,077.73 1,31,81,660.00 55,07,195.72 12,83,835.09 1,03,836.75 14,97,645.29 71,453.88 92,65,451.00
46
Suspense A/c Entry Tax Profit & Loss A/c Opening Balance Current Period Total 40,77,95,391.09 Total
1,565.00 1,565.00 28,92,96,136.35 25,91,97,108.86 3,00,99,027.49 40,77,95,391.09
47
THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD
P.B.NO. 225, MAYYIL-670602
Profit & Loss A/c
1-Apr-2007 to 31-Mar-2008
Particulars
Opening Stock Canteen Stock Cotton Cotton Process
Finished Goods Yarn Store Material Waste Cotton Yarn Process
1-Apr-2007 to 31-Mar-2008
Particulars
1-Apr-2007 to 31-Mar-2008
18,701.00 47,46,595.00 19,91,469.00
43,66,280.00 24,11,169.39 6,82,835.00 1,49,999.00
1,43,67,048.39 Sales Accounts Misc. Sales 362,193.10 Sales-Waste Cotton 14,91,215.00 Sales – Yarn 10,99,01,610.00 Closing Stock Canteen Stock Cotton Cotton Process Finished Goods Yarn Store Material Waste Cotton Yarn Process 25832.00 21,32,343.00 21,90,101.00 54,87,535.00 22,42,027.00 9,56,807.00 1,47,015.00
11,17,55,018.10
1,31,81,660.00
Purchase Accounts Purchase Consumables
Purchase- Raw Material
6,56,27,651.27 22,51,965.27 6,33,75,686.00 3,84,12,842.49 1,71,09,227.00 2,13,03,615.49 65,29,135.95
Direct Expenses Power Charges Wages Gross Loss B/f Indirect Expenses
12,49,36,678.10 Gross Profit b/f Indirect Incomes Misc Income Canteen Income C.S.T Collection Misc Income MVAT Collection VAT Collection Yarn Cess Collection 24,188.41 3,48,996.00 1,57,529.00 6,421.50 41,14,435.00 54,485.00 1,586.00 65,29,135.95 47,07,840.91
12,49,36,678.10 4,13,35,804.35
Interest and Bank Charges 1,72,04,909.65
8,83,809.40 41,75,204.00 1,66,136.00 Salary 30,70,131.50 Selling and Distribution Expense37,58,410.00 Agriculture Income Tax 146.00 Bonus 10,94,673.00 Canteen Expenses 9,04,903.30 CST Paid 1,57,679.00 Depreciation 23,54,038.00 Excise Duty 1,51,74.00 Gratuity 29,31,528.00 Insurance 1,91,946.00 Medical Expenses 334.00 MVAT 41,14,434.00 Sales Tax Paid 57,075.00 Service Charge 350.00 Stipend to Apprentice 18.006.00 TA DA Union 15,800.00 Traveling Expense 203.50 Uniform to Watch & Ward 6.,473.00 VAT 60,288.00 Wages(Contract) 67,558.00
Other Administrative Expenses P.F and Other Fringe Benefit Repairs and Maintenance
Net Loss
3,00,99,027.49
48
Total
4,13,35,804.35
Total
4,13,35,804.35
49
THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD
P.B.NO. 225, MAYYIL-670602
Profit & Loss A/c
1-Apr-2006 to 31-Mar-2007
Particulars
Opening Stock Canteen Stock Cotton Cotton Process
Finished Goods Yarn Store Material Waste Cotton Yarn Process
1-Apr-2006 to 31-Mar-2007
Particulars
1-Apr-2006 to 31-Mar-2007
14,161.00 49,07,948.00 16,45,063.00
33,91,920.00 21,66,730.00 6,11,154.00 2,79,122.00
1,30,16,098.00 Sales Accounts Misc. Sales 3,21,199.00 Sales-Waste Cotton 13,62,193.00 Sales – Yarn 10,43,04,217.50
10,59,87,609.50
Closing Stock 1,43,67,048.39 Canteen Stock Cotton Purchase Accounts 6,62,90,052.75 Cotton Process Purchase Consumables 25,06,332.75 Finished Goods Yarn Purchase- Raw Material 6,37,83,720.00 Store Material Direct Expenses 3,83,95,771.68 Waste Cotton Yarn Process Power Charges 1,74,87,529.53
Wages 2,09,08,242.15
18,701.00 47,46,595.00 19,91,469.00 43,66,280.00 24,11,169.39 6,82,835.00 1,49,999.00 12,03,54,657.89
Gross Profit c/o Indirect Expenses
Interest and Bank Charges 1,59,49,334.45
Other Administrative Expenses P.F and Other Fringe Benefit Repairs and Maintenance 9,93,932.90
26,52,735.46 12,49,36,678.10 12,03,54,657.89 Gross Profit b/f Indirect Incomes Misc Income Canteen Income Car Van Income C.S.T Collection
Interest on Electricity Deposit
26,52,735.46 47,07,840.90 44,972.40 3,60,040.25 240.00 8,18,622.00 2,34,386.00 1,164.25 28,86,402.00 1,20,014.00
42,13,371.00 2,30,134.60 Salary 31,61,319.90 Selling and Distribution Expense 25,36,221.50 Bonus 10,29,551.00 Canteen Expenses 8,30,756.00 CST Paid 8,67,342.00 Depreciation 25,99,254.00 Excise Duty 63,225.00 Festival Allowance 3,750.00 Furniture & Fixtures Repair 5,600.00 Gratuity 32,00,000.00 Insurance 3,34,836.00 MVAT 28,86,402.00 Stipend to Apprentice 8.907.50 TA DA Union 3,850.00 Uniform to Watch & Ward 2.,407.00 VAT 1,20,015.00 Wages(Contract) 66,463.50
Misc Income MVAT-Collection VAT Collection
Net Loss
3,19,88,097.06
Total
3,91,06,673.42
Total
3,91,06,673.42
50
THE MAYYIL WEAVER’S INDUSTRIAL CO-OP SOCIETY LTD
P.B.NO. 225, MAYYIL-670602
Profit & Loss A/c
1-Apr-2005 to 31-Mar-2006
Particulars
Opening Stock Canteen Stock Cotton Cotton Process
Finished Goods Yarn Store Material Waste Cotton Yarn Process
1-Apr-2005 to 31-Mar-2006
Particulars
1-Apr-2005 to 31-Mar-2006
89,63,998.59 5,905.10 4,39,694.64 14,91,036.56
33,80,385.00 20,01,385.00 4,50,100.00 11,95,242.00 6,06,26,213.86 20,40,757.86 5,85,85,456.00 3,22,16,912.81 1,43,11,489.00 1,63,01,846.06 16,04,640.50 (-) 1,062.75 10,18,07,125.26
Sales Accounts 7,98,93,501.40 Misc. Sales 1,30,477.85 Sales-Waste Cotton 7,02,424.00 Sales – Yarn 7,90,60,599.55 Closing stock Canteen Stock Cotton Cotton Process Finished Goods Yarn Store Material Waste Cotton Yarn Process Gross Loss c/o 1,30,16,098.00 14,161.00 49,07,943.00 16,45,063.00 33,91,920.00 21,66,730.00 6,11,154.00 2,79,122.00 88,97,525.86 10,18,07,125.26 Indirect Incomes Misc Income 21,579.00 A.E.D. Collection 1,88,630.14 A S T Collection 21,014.00 B.E.D Collection 12,40,597.48 Canteen Collection 2,62,272.00 Car Van Income 1,167.00 Cenvat Availed 1,65,138.62 C.S.T. Collection 2,00,351.50 Insurance Claim 26,183.00 Interest on Fixed Deposit 1,356.25 Misc Income 40,997.00 Sales Tax Collection 1,21,875.00 Yarn Cess Collection 2,735.05 22,93,896.34
Purchase Accounts Purchase Consumables
Purchase- Raw Material
Direct Expenses Power Charges Wages Lay Off Wages Packing Materials
Gross Profit c/o Indirect Expenses 1,88,13,901.98 Other Administrative Expenses 8,43,390.35 P.F and Other Fringe Benefit 34,77,132.10 Repairs and Maintenance 3,04,694.95 Salary 27,90,310.95 Selling and Distribution Expense 18,72,228.39 Agriculture Income Tax 1469.00 Canteen expenses 6,16,446.53 CST Paid 2,02,152.00 Depreciation 28,74,756.00 Excise Duty 14,26,688.62 Forms & Books 1,342.00 Gratuity 32,17,311.00 Inspection Fees 27,630.00 Insurance 3,65,376.00 Loss on Sale of Assets 15,205.00 Periodicals 300.00 Sales Tax Paid 1,21,579.00 TA DA Union 10,300.00 Traveling Expense 872.00
Interest and Bank Charges
88,97,525.86 3,69,88,798.87
Net Loss
4,35,92,428.39
51
Uniform to Watch & Ward
5,713.00
Total
4,58,86,324.73
Total
4,58,86,324.73
52
CHAPTER – V
Findings , Suggestions And Conclusion
53
FINDINGS
From the project work, I find out these matters.
1)
Now the company is working in loss condition, it is running in loss 1995
onwards. 2) Most of the machines used are about 20- 30 years old and is working only
due to proper maintenance and care. 3)
4)
Machine utilization has to be improved in the mill. Without the modernization a change of product mix, the firm cannot change
its present financial position. Modernization is the main objective of the firm.
5)
Major strikes or lockouts etc are not occurring in the mill. Company surroundings are very clean and the toilets too. In totality the
6)
company atmosphere is good. 7) 8) There is good relation between employer and employees. Employees are getting satisfaction with their wages and welfare activities
made by the management.
9)
Absenteeism employees are one of the reasons which create loss in the mill.
10) The company is producing better quality products.
11) The solvency and the profitability position of the mill is very week.
54
Suggestions
1) The top level management must be efficient and take strict decision.
2) The mill has been using out dated machineries. The mill sectors, once it is
modernized, it will able to compete successfully in the International market.
3) The management must conduct training programmers to each employee to
increase their efficiency.
4) Necessary steps must take to avoid wastage of materials. 5) Avoid unnecessart expense in day to day operations. 6) If modernization introduced in the mill the work force can be reduced. 7) Management should motivate the employees it will create good atmosphere
for the workers to work hard.
8) For improving efficiency and profitability management has to take
corrective measures it has to seek aid from govt for rehabilitate the unit.
55
Conclusion
The Mayyil weaver’s industrial co-op society Ltd is the only Cooperative, spinning mill in Kannur in District. This mill has been running in loss from 1995 onwards, it can be rectified by certain measures given in the Suggestion. For improving efficiency and profitability management has to take corrective measure. It has to seek aid from govt for rehabilitate the Unit. The management must Conduct Training Programmers to the employees, who are working in weak condition. The relationship between employer and employees are good, the mill has to maintain it .The mill is using old machineries; in this stage the mill cannot change its financial position, so it should be modernized. The workers are satisfied with their compensation. The mill is providing all kinds of welfare facilities to employees. From this study we understand that the mill should introduce modern method. Efficient managers should be appointed, to overcome this loss condition.
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