Chapter – 1

INTRODUCTION

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1.1 Introduction of industry:

The Manufacturing sector is part of the goods-producing industries super

sector group. The Manufacturing sector comprises establishments engaged in the

mechanical, physical, or chemical transformation of materials, substances, or
components into new products.

Manufacturing is the value added production of merchandise for use or sale

using labour and machines, tools, chemical and biological processing, or
formulation. The term may refer to a range of human activity, from handicraft to
high tech, but is most commonly applied to industrial production, in which
raw materials are transformed into finished goods on a large scale.

Manufacturing takes turns under all types of economic systems. In a free market
economy, manufacturing is usually directed toward the mass production of
products for sale to consumers at a profit.

In a collectivist economy, manufacturing is more frequently directed by the

state to supply a centrally planned economy. In mixed market economies,
manufacturing occurs under some degree of government regulation.

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1.1 Reason to pick the company:

The reason to choose Maadahava perummal and company is to know that

what is done in manufacturing process for making an product of Paint , Varnishes &
Resins. And also to study about an department in manufacturing company.The company
is involved only in making an product to the buyer .

1.2 The expectations about internship :

The descripition about my work , activities and assignment exist from

observing and researching , developing new training ideas and strategies , updating
contents , assisting with events .

With the knowledge to obtain , learn and achieve the learning objectives. To
follows an internship to work in the HR and communication field , because its my area of
interest. The process of observing , researing and planning has always motivated me .

So I belive that all my expectations will work in this particular “Maadahava

perummal and company, Madhuranthagam”

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 The reason to choose this internship is to know and achieve the learning
goals.

Chapter – 2
Profile of the Organization &
Product

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2.1 V ision:

“Our core value are integrity, respect, imagination, innovation and passion. Our
service is the value that bridges our past& future. It reflect our reliability , quality and excellent
performance for our clients and our goal is to create indotex as the most respected company in
Paint industry”.

Mission:

“We are a company dedicated to the manufacturing of paint and coating of

the highest quality. We strive to generate wealth to fuel company’s growth and staff

development”.

2.2 Goals:

 To create value added product and services that helps customer achieve
higher efficiencies.
 To bring the latest technology available.
 To align employees personal growth with company’s growth by required
training and development
 To be engaged in collaborative working with customer and supplier and the
by increase satisfaction.

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2.3 Policies and Procedure:

Company polices and procedure establish the rule of conduct within

organization, outlining the responsibilities of both employees and employer.

Company policies and procedure are in place to protect the right of workers
as well as the business interest of employers. Depending on the needs of the organisation,
various policies and procedure establishes rules regarding employee conduct, attendance,
dress code, privacy and other areas related to the terms and conditions of employment.

Companies establish good manufacturing policies to meet quality standards

and ensure they handle and manufacture products safely and consistently. These policies
set the minimum requirement for the controls, facilities, equipment, packaging,
product,testing,and process

2.4 INDUSTRIALPOLICY:

Manufacturing

Surveys and analyses of trends and issues in manufacturing and investment

around the world focus on such things as:
 The nature and sources of the considerable variations that occur cross- nationally
in levels of manufacturing and wider industrial-economic growth.

 Competitiveness and attractiveness to foreign direct investors.

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  In addition to general overviews, researchers have examined the features and
factors affecting particular key aspects of manufacturing development. They
have compared production and investment in a range of Western and non-
Western countries and presented case studies of growth and performance in
important individual industries and market-economic sectors.

Economics of manufacturing:

According to some economists, manufacturing is a wealth-producing

sector of a country, whereas a service sector tends to be wealth-consuming.
Emerging technologies have provided some new growth in advanced manufacturing
employment opportunities in the manufacturing belt in United States.

To stimulate sustained economic growth by providing access to essential raw

materials, intermediates, components, consumables and capital goods scheme
required for augmenting production and providing services.

To enhance the technological strength and efficiency of Industry Agriculture

industry and services, thereby improving their competitive strength while generating new
employment opportunities, and to encourage the attainment of internationally accepted
standards of quality.

To provide clients with high-quality goods and services at globally competitive

rates. Canalization is an important feature of Exim Policy under which certain goods can
be imported only by designated agencies. For an example, an item like gold, in bulk, can
be imported only by specified banks like SB I and some foreign banks or designated agencies.

Environment laws and labour protections that are available in developed nations

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may not be available in the world. Tort and product liability impose additional costs on
manufacturing. These are significant dynamics in the ongoing process, occurring over the
last few decades, of manufacture-based industries relocating operations to
"developing-world" economies where the costs of production are significantly lower than in
"developed-world" economies.

Job of Manufacturer:

The process of converting raw materials, components, or parts into

finished goods that meet a customer's expectations or specifications. Manufacturing
commonly employs a man-machine setup with division of labour in a large scale production

Manufacturing processes:

Manufacturing processes are the steps through which raw materials are
transformed into a final product. The manufacturing process begins with the creation of the
materials from which the design is made. These materials are then modified through
manufacturing processes to become the required part.

There are five critical parts in the manufacturing of paint, they are a
measurement of ingredient, preparation and pigments dispersion, Let-down, laboratory
testing, and canning. Paint is manufactured in large lots. Using calibrated vats, the
ingredients are measured and weighted on scale. Pigments are added next. These powder
are small and stick together forming clumps. They broken down by the resin and additive
that keeps them from stick together which is called dispersion. Mixer are used to combine
and disperse the pigments.

In let-down stages, the resin, solvent and additive are combined in a larger
vat. The mill-base is stirred in during this phase. Any final addition are added during this
stage, if necessary. The finished product is tested in a laboratory. Before manufacturing is

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approved , critical ingredients are tested. They will ensure it is sufficiently mixed and no
further processing is needed. They check the viscosity , tint strength, color, gloss, dry
time, and overall appearance.

When the batch is completed, it can be canned. Two samples are taken
during this phase. A retained sample is kept and stored for further reference , and then
there is the final inspection samples. The final sample is inspected to guarantee
conformance to standards. Once the final sample has been completed, it can be
dispatched.

2.5 Products:

 Paint
 Resins
 Varnishes

2.5.1 Paint:

Paint is any pigmented liquid, liquefiable, or mastic composition that, after

application to a substrate in a thin layer, converts to a solid film. It is most commonly
used to protect, color, or provide texture to objects. Paint can be made or purchased in
many colors—and in many different types, such as watercolor, synthetic, etc. Paint is
typically stored, sold, and applied as a liquid, but most types dry into a solid.

Painting is the practice of applying paint, pigment, color or other medium to

a solid surface. The medium is commonly applied to the base with a brush, but other

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implements, such as knives, sponges, and  airbrushes, can be used. The final work is also
called a painting.

Painting is an important form in the visual arts, bringing in element

as drawing, gesture , composition, narration ,or abstraction . Paintings can be naturalistic
and representational, photographic, abstract, narrative, symbolistic , emotive ,
or political in nature.

A portion of the history of painting in both Eastern and Western art is

dominated by religious art. Examples of this kind of painting range from artwork
depicting mythological figures on pottery, to Biblical scenes Sistine Chapel ceiling, to
scenes from the life of Buddha or other images of Eastern religious origin.

In art, the term painting describes both the act and the result of the action.
The support for paintings includes such surfaces as walls, paper, canvas, wood,
glass, lacquer, pottery, leaf, copper and concrete, and the painting may incorporate
multiple other materials include

2.5.2 Resins:

In polymer chemistry and materials science, resin is a solid or

highly viscous substance of plant or synthetic origin that is typically convertible
into polymers.Resins are usually mixtures of organic compounds. This article focuses on
naturally-occurring resins.

Plants secrete resins for their protective benefits in response to injury. The
resin protects the plant from insects and pathogens. Resins confound a wide range of
herbivores, insects, and pathogens, while the volatile phenolic compounds may attract
benefactors such as parasitoids or predators of the herbivores that attack the plant.

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2.5.3 Varnishes:

Varnish is a clear transparent hard protective finish or film. Varnish has

little or no color and has no added pigment as opposed to paint or wood stain which
contains pigment. However, some varnish products are marketed as a combined stain and
varnish. Varnish is primarily used in wood finishing applications where the natural tones
and grains in the wood are intended to be visible. It is applied over wood stains as a final
step to achieve a film for gloss and protection. Varnish finishes are usually glossy but
may be designed to produce satin or semi-gloss sheens by the addition of "flatting"
agents.

The term "varnish" refers to the finished appearance of the product. It is not
a term for any single or specific chemical composition or formula. There are many
different compositions that achieve a varnish effect when applied. A distinction between
spirit-drying (and generally removable) "lacquers" and chemical-cure "varnishes"
(generally thermosets containing "drying" oils) is common, but varnish is a broad term
historically and the distinction is not strict.

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 Chapter – 3
Profile of Department

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3.1 Objectives of department:

The main objective is forecasting physical education and the teaching how
to implement it in social , professional , physical and recreational activities .

3.2 Organization Structure:

The basic organisation structure of a manufacturing company follows the

traditional hierarchical organisational structure, consisting of a Board of Directors, Chief
Executive Officer(CEO), Chief Operation Officers (COO), department heads and then
employees. However, because of the importance of quality in manufacturing, the head of
quality or quality assurance ranks up there with the CEO, says Brek Manufacturing

3.3 Culture of department:

Organization culture is a system of shared assumptions, values ,and beliefs,

which governs how people behave in organizations. These shared values have a strong
influence on the people in the organization and dicate how they dress, act, and perform
their jobs.

There are a variety of terms that relate to companies affected by multiple

cultures, especially in the wale of globalization and the increased international interaction

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of today’s business environment. As such, the term cross culture refers to “the interaction
of people from different background in the business world”,culture shock refers to the
confusion or anxiety people experience when conducting business in a society other than
their own; and reverse culture shock is often experienced by people who spend lengthy
times abroad for business and have difficulty readjusting up on their return. To create
positive cross –culture experience and facilitate a more cohesive and productive corporate
culture , companies often devote in depth resource to combating the occurrence of the
above , including specilalized training that improves cross-culture business interactions.

3.4 Departments :

 PRODUCTION DEPARTMENT
 QUALITY DEPARTMENT
 ENGINEERING DEPARTMENT
 A D M I NISTRATIVE D E PA R TM E NT
 FINCISHED GOODS D E PA R TM E NT

3.4.1 Production Department:

A production department's role is to ensure the process of turning raw

materials into products is performed efficiently and accurately. The department performs five
functions to assist this process.

The first function is to establish standards in regard to the quality and the
quantity of the products being made. Typically, these standards are placed
throughout the process, not just at the beginning or end.

The second function of the department is to work with the purchasing

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department to ensure enough materials are on the production line and to ensure replacement
of any broken equipment. The purchasing department works with other departments to make
sure purchased equipment and materials are all stocked and available.

The next function is to work with the design and technical department to
ensure the product is built to the correct specifications and to place any new designs or
changes to the product onto the line.

Finally, the production department collaborates with the works department to

ensure there is a proper workforce available to check the quality of the product and make
any necessary repairs to any equipment that breaks.

The production department does not work directly with the marketing
department. H owever, it remains in contact with marketing to ensure the products are
attractive and desired by customers.

The production department of a business is responsible for the production of

goods that are used by a company, the specific design of those goods and the way in
which the goods are produced. Every aspect of production of goods and the creation of low
costs is decided within the production department of a company.

Production unit:

 Water based production

 Ennamel paint unit – solvent based (Petroleum)
 Resins manufacturing unit (Required for Ennamal paint)

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3.4.2 Quality Department:

Quality departments exchange specific occurrence problem data on a regular

basis with remarks to occurring problems as the customers require this corrective action
response for their paper work and usually accepted these written responses. Too many
companies wrote responses that anticipated the elimination, but not always the ultimate
prevention of the problem. This was often the case as the same problem kept reoccurring
month to month. The customer then, if their tracking system was good, wanted a real and
permanent fix of the reoccurring problems. They often required SPC data that the
problem was in control and this was the proof if the data was generated during the
manufacture of their product. When the company was good they fixed the problem
correctly the first time and never again had to answer these questions. But, many were
not and satisfactory answers were difficult or impossible to obtain unless major work or
reorganization of the suppliers quality and manufacturing systems was performed to
improve the process and reduce defects and other problems.

3.4.3 Engineering Department:

The Engineering Department is responsible for planning, analyzing and

implementing system extension projects; planning, design, and construction of major
facility replacements; capital improvement projects; continuing improvements to water
system standards; and technical assistance to other departments and to outside agencies.

 Electrical Department

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  Mechanical Department

Electrical Department:

Electrical department is a technical disciplines concerned with the study ,

design and applicatiom devices and system which use electricity , electronic , and
electromagnetism.

Mechanical Department:

Mechanical department is the disciplines that applies engineering , physics ,

engineering , mathematics and materials science principles to design , analyze ,
manufacture , and maintain mechanical system. It is one of the oldest and broadest of the
engineering disciplines.

3.4.4 Administrative Department:

Administrative department is a set of day to day activities that are related to financial
planning , record keeping & billing , personnel , physical distribution and logistics within
an organization. An employee that undertakes these activities is commonly called an
administration and it plays a key role in organization .

Roles of Administrative department:

 Worker’s Attendance monitoring

 Security control

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  Process of salary
 License of factory & machinery
 canteen

3.4.5 Finished goods Department:

Finished goods department is an department were the goods that have

completed the manufacturing process but have not yet been sold (or) distributed to the
end user.

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 Chapter – 4
SOWT Analysis & Porter’s
Five forces

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4.1 SWOT Analysis:

SWOT analysis is a strategic planning method used to evaluate Strength ,

Weakness , Opportunities and Threats , in a business project or a manufacturing business.
These four factors are called SWOT. This process involves the specific determination
and objectives of a manufacturing or business project that identifies internal and external
factors that support and that does not support the achievement of the business objectives.
SWOT analysis can be applied by analyzing and emulate the things that affect the four
factors , then apply them in the pictures in the SWOT matrix, apply the strength map to
take advantage of the opportunities , how to over come the weakness that prevent the
advantages of opportunities are able to deal with the threats that exist , and the last is how
to overcome the weakness that can be make threats become real or create a new threat.

 STRENGTH:
 The main ingredients are many in market.
 Good product prototype and innovation.
 Financial strength stabild.

 WEAKNESS:
 Employee skills need to be upgraded.
 Factory location
 Air pollution directly to the community

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  OPPURTUNITY:
 Trends in increasing customer purchasing power.
 Manufacturing business is growing rapidly.
 Able to produce many

 THREAT:

 Regulation of government ,regulation on tight industrial

business.
 Market segmentation is not yet organized.
 Competitors of similar product emerge.

4.2 Porter’s Five forces:

A frame work for diagnosing industry structure , built around five

competitive forces that erode long-term industry average profitability. The industry
structure framework can be applied at the level of the industry, the strategic group or
even the individual firm. Its ultimate function is to explain the sustainability of profit
against bargaining and against direct and indirect competition.

Porter’s five forces , or factors that shape business strategy are:

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 BARGAINING POWER OF BUYER:

 Households and industrial users are the main customer

of this industry.

 For housing requirements , the buyer are building

contractors who buy in bulk and end people who paint
their house.

 Industrial segment is low margin high revenue

business and buyer of these segment are
knowledgeable about their needs

 BARGAINING POWER OF SUPPLIERS:

 Raw material intensive production over 300 raw

materials make the final product.

 Raw materials pigments, binders , additives ,

solvents , etc.,

 Other raw materials crude derivatives have high price

fluctuation affecting industry profits.

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 THREAT OF SUBSTITUTES:

 In rural areas lime wash is used as substitute.

 Another alternative for decorative wall paints
available today is wallpaper.
 Availability of paint varieties are there
 Buyer propensity to substitute is low
 Relative price performance of decorative walls is high.

 THREAT OF NEW ENTRANCE:

 Paint market in India is dominated by few players

making it difficult for anyone newly entering the
industry to compete.
 Working capital needed is high causes difficulty to
local players & big firms enjoy economics of scale.
 Big players have high brand image & quality product
& good promotional activities to attract customers.

 COMPETITVE RIVALRY

 About 80% of organized sector contributed by top 3

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 players
 Current market growth rate can provide ample room of
opportunities for all the players of the industry to
flourish.
 Presence of unorganized sector-can cause competition

Chapter – 5
Conclusion

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Conclusion:

I got a practical knowledge of these functional areas like , production,

tools, inventories, etc. and also how the industry is implementing.Proper documentations
and legal verifications must to be made .Proper maintain of Bill of Landing details and
maintain good relationship with logistics Provider.

L earning through observations provides a clear idea about practices and

policies in the organization. This training program provided an excellent idea about the
organization behavior that I learned. The summer training was very useful to me in knowing
about each and every detail of the various departments and it was useful to me to gain more
knowledge.

Interactions with the various departments provide insight about each

department and it will help me for future success. This summer training provides over all
knowledge enquiry. Since I don‘t have any experience on this type of summer project it was
very good experience in knowing about the training program.

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