Chapter 01 Management Philosophy

1. Kaizen. Kaizen means Improvement or "change for the better" refers to philosophy or practices that focus upon continuous improvement of processes in manufacturing, engineering, and business management. It is a Japanese term for a gradual approach to ever higher standards in quality enhancement and waste reduction, through small but continual improvements involving everyone from the chief executive to the lowest level workers. In its second use, Kaizen identifies a group of methods for making work process improvements. The methods that have been placed under the label Kaizen are varied and range from suggestion systems (Teian Kaizen) to planned events conducted in the workplace that systematically uncover waste in a work process and eliminate it (Gemba Kaizen)

Methods of Kaizen Kaizen eliminates waste by allowing workers to uncover improvement opportunities and either suggest or make changes. In common usage, the term Kaizen may refer to different kinds of improvement activities. In Japan, some use the term to refer to a process that gathers suggestions for improvements from employees. Others use the term to refer to periodic meetings of employees who brainstorm improvement ideas and immediately select and make an improvement (e.g., as in Quality Circles). Still others use the term to refer to special events (up to five days in length) during which a team of workers systematically detect and eliminate the presence of waste in a targeted work process.

Importance of Kaizen The most important highlight of Kaizen approach is that involves every single employee within an organization starting right from senior managers to the bottom line employees, and makes every person working there, feel the company as something personal. This indirectly helps in improving the individual performance and motivates them to deliver better output. With every employee is looking for ways to make improvements, an effective Kaizen approach can lead to have better results like: 1) It helps in decreasing the waste in areas such as inventory, transportation, and over production. 2) It focuses on discovering problems at their source and solving them at their source, and if in case a situation arises where one needs to change the standards, it further helps in changing the standard so that the problem can be solved. 3) It helps in positive space utilization and better use of production capacity, capital and employee retention. 4) Kaizen can be easily implemented by effective and well planned elimination or transformation of existing procedures 5) It focuses on creative investments and small improvements instead of large capital investments and thus provides immediate results.

2. Meaning of Business Business means balancing ROI premium and Risk. There are two main major areas on this. 1. Do not expect low return on Investment from high risk business. 2. Do not expect high return on Investment from low risk business.

ROI (Return on Investment) A performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. To calculate ROI,

ROI = Profit / Capital

High Risk and Return

y

Higher risk corresponds to higher returns. Let's get an example. The seller has a record of success; people will feel comfortable giving the seller money for a promised return later. The seller knows this, and therefore can offer a low rate. A buyer may feel safe and therefore purchase the debt, or not if they decide that the low return isn't worth having their money tied up with the issuer for years.

Low Risk and Return

By contrast, if the bond issuer has a questionable reliability record, it will take promise of a larger return (a "junk bond") to entice investors. A buyer may be greedy for the possibility of high returns and purchase the bond or decline by deciding the potential payoff isn't worth the possibility of losing some, if not all, of the original invested amount. 3. Enhance value addition relatively to achieve the goals in the goal hierarchy by without violating the natural laws as well as local, national and international laws and regulations.

Added value in financial analysis of shares is to be distinguished from value added. Used as a measure of shareholder value, calculated using the formula:

Added Value = Price that the product/service is sold at - cost of producing the product

By improving the value adding pie it can improve the profit also. Can increase the value by looking at the processes. Improving processes means improving activities.

Value adding activities - Actions or jobs in any given process that can meet all defining values as perceived by the customer without wasting any resources.

Non value adding activities Actions or activities in a process, procedure, or service that do not add value to the external customer, (customer requirements), or company and do not meet all three criteria for valueadding which includes rework, inspection, control, and the like. These are usually not profitable activities, for example scrap. One major goal of any six sigma endeavor is to reduce any activity that does not add value.

Waste Waste is unwanted or useless materials and have to reduce the waste.

Goal hierarchy A hierarchical tree that shows how organizational goals, pictured at the top or on the left are subdivided into more specific goals for value chains, processes, sub-processes and ultimately to activity goals. For every goal there are measures - specific tests of whether the goal is achieved or not. Thus, there is also a measures hierarchy that shadows the goal hierarchy.

ROI

QUALITY, COST, DELAY

QUALITY,QUANTITY,TIME

5S

What is 5s? 5S is the name of a workplace organization methodology that uses a list of five Japanese words which are seiri, seiton, seiso, seiketsu and shitsuke. Transliterated or translated into English, they all start with the letter "S". The list describes how to organize a work space for efficiency and effectiveness by identifying and storing the items used, maintaining the area and items, and sustaining the new order. The decision-making process usually comes from a dialogue about standardization which builds a clear understanding among employees of how work should be done. It also instills ownership of the process in each employee. 1. Seiri Identifying wanted and unwanted Items according to the process and discard the unwanted items. 2. Seiton There should be a dedicated place for everything according to the process and those items should be in their dedicated places after use. 3. Seiso Cleaning by Inspection. 4. Saiketshu Improve the first 5s continuously. 5. Shitshuke All employees of the organization should perform the above 4ss autonomously.

4. Treat customer as a king. Customer is the person who will pay price and buy the products. They are the most important people for any organization. They are the resource upon which the success of the business depends. When thinking about the importance of customers it is useful to remember the following points: 1. Repeat business is the backbone of selling. It helps to provide revenue and certainty for the business. 2. Organizations are dependent upon their customers. If they do not develop customer loyalty and satisfaction, they could lose their customers. 3. Without customers the organization would not exist. 4. The purpose of the organization is to fulfill the needs of the customers.

5. The customer makes it possible to achieve business aims. So because of above reasons have to treat for customer as a king. 5. Treat employees as shareholders. A people who work actually for work is employees. If they not done their work properly so many problems may raise up. So the employees have to treated well. We have to treat them as shareholders. If we do not have enough shareholders we cannot run a business properly. So employees are very important and treating them as shareholders is also very important.

6.Treat suppliers as a business partners. We need to depend on suppliers who will work with you in a harmonious way. If you are able to treat your suppliers as partners and establish mutually beneficial relationships with them, you will improve your chances for business success. How can you do this? You can:
y y y y y y y

Set up partner relationships that balance short-term gains with long-term considerations Share your expertise and resources with these partners Identify and select key suppliers carefully Establish clear and open communication with your partners Share information and future plans with your partners Engage in joint development and improvement activities with your suppliers Inspire, encourage and recognize improvements and achievements made by your suppliers

If you can set up, maintain and manage systems that will enable you to achieve mutually beneficial relationships with your suppliers, your will:
y y y

Have increased ability to create value both for your business and your suppliers' businesses Be more flexible and be able to improve the speed of joint responses to changing market or customer needs and expectations Be optimizing costs in your business and resources available to you

After implementing a quality management system, you can monitor, assess and continually improve your relationships with your suppliers.

7. Update and upgrade the machines, equipment and technology. To go with newest technology we have to update and upgrade our machines and equipment to stay with the competitive business world. We have to provide customer with differentiation features with newest technology. Older pattern things have a lesser demand and everyone searches for a change to get a quality and efficient work we have to update and update machines, equipment and technology.

8. Build the trust between financial Institutions

Marketers who focus on regaining trust will make it into the next era. Companies- especially financial institutions- will start earning trust by reaching their customers exactly when and where they need something. Simply put, that means better customer service. But todays definition of superb customer service goes beyond, thank you for your business maam. Customers today expect instant gratification. Customers want to be seen as individuals. And todays customers have bigger problems to solve and bigger voices than ever before.

9. Contribute to harmonious and sustainable development of the society by paying due tax. We have to stay in a business with a good name and recognition.For this, From the income we are getting we have to pay some amount of money as a tax. When we pay tax it is taken for the development of the country. So paying tax means we are helping for the development of the country.Also it will keep the goodwill of our organization.

10. Minimize the environmental impact of the business operations. Every organization have a impact on environment in the business operations.we have to protect our environment by doing all the necessary activities to protect that.Have to minimize the bad effects happening from organizations which harm for the environment.then we can have a eco friendly organization.

CHAPTER 02

ISO 9001: 2008 Quality Management System

ISO 9001:2008 specifies requirements for a quality management system where an organization
 

needs to demonstrate its ability to consistently provide product that meets customer and applicable statutory and regulatory requirements, and Aims to enhance customer satisfaction through the effective application of the system, including processes for continual improvement of the system and the assurance of conformity to customer and applicable statutory and regulatory requirements. All requirements of ISO 9001:2008 are generic and are intended to be applicable to all organizations, regardless of type, size and product provided. Where any requirement(s) of ISO 9001:2008 cannot be applied due to the nature of an organization and its product, this can be considered for exclusion. Where exclusions are made, claims of conformity to ISO 9001:2008 are not acceptable unless these exclusions are limited to requirements within Clause 7, and such exclusions do not affect the organization's ability, or responsibility, to provide product that meets customer and applicable statutory and regulatory requirements.

In addition,the methodology known as Plan-Do-Check-Act(PDCA) Can be applied to all processes.PDCA can be briefly described as follows. Plan establish the objective and processes necessary to deliver result in accordance with customer requirements and the organizations policies. Do Implement the Processes. Check Monitor and measure processes and product against policies,objectives and requirements for the product and report the results. Act Take actions to continually improve process performance.

Continual improvement of the Quality Management System

Management Responsibility

Customer Resource management Measurment,analysis, and improvement

Customer
satisfacton

Input

Requirements

Product realization

Product

output

Model of a Process based Quality Management System

Chapter 03 Introduction Introduction to the organization

MAS Holdings With an annual turnover of USD 700 million, MAS Holdings is the South Asias Largest Intimate apparel manufacturer, and the regions most rapidly growing provider of competition Sportwear.Our seamless concept to deliver solutions across the value chain create an aware winning amalgamation of research and innovation, design and development, manufacturing excellence and raw material supply in our global operations. The name MAS came through 3 brothers who are the owners of this company.

y y y

M - Mahesh Amalean ( Chairmon ) A - Ajay Amalean ( MD of MAS ) S- Sharad Amalean (CEO)

Today, MAS is the lead strategic partner for Victories Secret (VS), Servicing numerous global brands including Nike,Speedo,Marks and Spencer (M & S) & Triumph International. In addition to our manufacturing capabilities, the group also provides a range of non apparel related solutions to other companies, including other apparel manufacturing worldwide. Our global operations include design studio and 28 world class manufacturing facilities spearheaded by our skilled international team of over 45,000 people.we continued to be committed to be ethical and sustainable practices that complement the balance in social and environmental sphres alongside our operational excellence.we are an equel opportunity employer and distinguish ourselves through our commitment to innovation.

MAS Intimates Linea Clothing-Kandy Industrial Park Background of the Study.

Located in pallekale within the kandy Indusrial park,a BOI free trade zone , the linea clothing Division Manufactures ladies brief for limited brands under the label pink,signature cotton and pout with 50% of the product being enhanced with embellishment. The History of the linea clothing goes back to 1996.The factory commenced operation as linea clothing (Maldives) pvt ltd,MAS Holdingsfirst offshore venture,on nov.5th.The local administrative and logistical office was linea clothing (pvt) ltd housed kolpetty. In January 2000 a parallel operation was started in small way within the former Unichela premises in Rathmalana.In 2002 operation in Rathmalana moved to permanent home in the kandy Industrial park while the Maldives operation continued in 2005 the home in the kandy Industrial park while the Maldives operation ceased.As at march 2011 the total employee numbers ,1945(Including Manager,Executives,Staff and workers). All employees are urged to pursue their Individual talents and dreams.The company can proudly boast of sportsmen and boxing,Table tennis ,volleyball,Criket and Rugby,Football in their cadre.In addition the Art,Music,Singing and Literary pursuits are also encouraged.

Quality Management System ISO 9001:2008 Quality Policy

The Policy of MAS Linea Clothing is to be committed to manufacture world class Quality Products as well as provide an exceptional service, which together will exceed customer expectations. The design of our Planning, Monitoring and Reviewing process throughout the supply chain ensures the continual improvement of the effectiveness of the Quality Management System through the use of high technology We ensure that all our employees are aware of the Quality Policy and the role of each employee in its implementation.

Our employees are carefully selected and provided with training and instructions at all levels in the organization to promote their development, knowledge and skills.

The Company recognizes the need for building close relationships with our suppliers, based on mutual trust, confidence and goodwill.

The effectiveness of this Policy will be constantly reviewed by the management team.

Business Overview of the Company

MAS Intimates Linea Clothing is a fully owned company of MAS Holdings (Pvt) Ltd . The company commenced commercial operations from 1996 in the Republic of Maldives becoming the first offshore venture of MAS Holdings. We are a leading manufacturer of cotton-based ladies briefs, for the premier lingerie provider in the US, Victorias Secret Stores. In keeping with our companys vision to become a US$ 100 million business by the year 2010, we have expanded our customer base with renowned European brand names and in preparation for the 2005 quota free era; we set up a production facility in Kandy in 2002. The factory is situated in 5 acre of land surrounded with scenic beauty of the Kandyan hills. With the dawn of 2005 and the subsequent facing out of the Multi Fiber Agreement, the Maldivian operation was brought down to Kandy. The amalgamation of the two operations under one roof equates to over one thousand highly skilled and committed workforces, from all parts of the island and a sophisticated & fully fledged production facility with a capacity of 45 Million pcs per annum on offer for our valued customers. A vibrant and proactive operation, MAS Intimates Linea Clothing will consistently seek new opportunities and is confident of long-term growth in the years to come.

BRIEF OUTLINE OF MAIN PROCESSES

Merchandising

Maintenance

Quality

M IT C FI
IT Commercial Finance

M
CUSTOMER
Technical

Production

Q P H

HR and Admin

CHAPTER 04 Data Presentation Questions for develop Management System Based on ISO 9001 : 2008

1. Who are the Internal Customers? All departments in the establishment.

2. What are the requirements of internal customers? To recruit the right person for the right job, who can perform their duties well and a person Who can adapt to the organization culture.

3. What is the purpose of intend system? To get a person who can done well in their duties at the right time in a better way.

4. What are the resources available for the intended system?

M1-Men a) HR Assistant 01 b) HR Assistant 02 c) Trainee d) Nurse e) Machine Test Trainer f) Lady Security Officer

M2 MACHINE AND EQUIPMENT g) Photocopy Machine h) Telephone i) Machine j) Scale k) height Ruler

M3- MATERIAL AND SERVICES l) Pen m) Pencil n) Electricity o) Stapler p) Manuals q) Files r) A4 Sheets s) files

5) What is the system Boundary? Redesign the company recruitment process in order to save time in the organizational members and as well as the people who comes to the interviews.

6) What is the process to transform the resources (input) to achieve the objective (outcome) of the system? 1. Come to the entrance. 2. Meeting the Lady staff officer for information.

3. Filling the Information with name / ID / Area 4. Guidence to the Auditorium by lady staff officer. 5. Meeting the LSO near Bar code. 6. LSO Guiding to auditorium. 7. Walking towards auditorium. 8. Waiting for the Interviewer. 9. Meeting the HR Assistant1. 10. Ask information by HR Assistant 11. Checking the ID for Age 12. Checking for Eligibility. 13. Filling the ID Information by the HR Assistant. 14. Handing the application for the candidates. 15. Filling the medical test questions first. 16. After that filling the application. 17. Waiting for the medical test. 18. Medical test 19. Waiting for machine test. 20. Introduction for the machine test. 21. Machine test 22. Waiting for others Machine test. 23. Waiting for the final Interview. 24. Waiting to fill the feedback form. 25. Facing the Final Interview. 26. Handing over the filled application form to the HR Assistant 2. 27. Going back to the LSO point at the entrance.

28. Signing the register at LSO s office.

7. How to Compare the desired results and the achieved Results?

ACTIVITY 1. Come to the entrance. 2. Meeting the Lady staff officer for information. 3.Filling the Information with name / ID / Area 4. Guidence to the Auditorium by lady staff officer. 5. Meeting the LSO near Bar code. 6. LSO Guiding to auditorium. 7.Walking towards auditorium 8. Waiting for the Interviewer. 9.Meeting the HR Assistant1 10.Ask information by HR Assistant 11.Checking the ID for Age 12. Checking for Eligibility. 13. Filling the ID Information by the HR Assistant. 14. Handing the application for the candidates. 15.Filling the medical test questions first 16. After that filling the application. 17. Waiting for the medical test. 18.Medical test 19. Waiting for machine test. 20. Introduction for the machine test.

ACTUAL TIME 1min 1min 1min 1min 1min 1min 2min 15min 1min 3min 1min 2mi n 2min 1min 5min 20min 10min 5min 10min 10min

DESIRED TIME 1min 1min 1min 1min 1min 1min 2min 5min 1min 2min 1min 1min 2min 1min 5min 20min 5min 5min 5min 10min

21.Machine test 22. Waiting for others Machine test. 23. Waiting for the final Interview. 24. Waiting to fill the feedback form. 25. Facing the Final Interview. 26. Handing over the filled application form to the HR Assistant 2. 27. Going back to the LSO point at the entrance. 28. Signing the register at LSO s office. TOTAL 10min 10min 3min 10min 2min 0min 5min 1min 10min 2min

1min 1min 136 MIN

1min 1min 96MIN

y y y y

Actual time spend =136 min Desired time spend = 96 min Total save time = 40 min Total save time as a percentage =29%

Chapter 5 Gant chart

System chart.

CHAPTER 6 Conclusion In the recruitment process of MAS linea clothing I identified some non value adding activities in their recruitment process. The main thin I identified is that they spend lot of time for waiting activities. y y They are printing their application forms for candidates in the recruitment day morning and candidates have to wait between 10-15 minutes till the interviewers come. Also one person have to wait till the other person finish their machine test. That also a time wasting activity. I talk with HR A assistant about this and she also identified that is a waste activity. So I recommend not staying till others finish the machine test, after one who finishes the machine test would ask to meet HR Assistant2 to get their final interview. I ask them to fill the medical test question first, so that they can send to the medical test till the others fill the application form. So I identified some non value adding activities in this process and it helps them to keep time save by getting my recommendations.im able to save time by 29% and that helps them to keep them happy and also to save the time of the candidates who comes for the interviews