You are on page 1of 62

CHAPTER-1

INTRODUCTION

1
1.1 IMPORTANCE OF THE STUDY

Organization study deals with critical evaluation and analysis of all the aspects of a particular firm.
It gives a clear idea about the functions and practice of various department heads and operational
efficiency of the department a whole. This particular study gives a clear idea about the functions,
practices and the delegation of authority of K FOUR EXTRUSIONS PVT LTD.

1.2 OBJECTIVES OF THE STUDY

The main objectives of the ORGANIZATIONAL STUDY at “K FOUR EXTRUSIONS PVT


LTD” are: -

1. To study about the organization structure

2. To understand the functions and processes of the departments

3. To analyse the strengths, weaknesses, opportunities and threats of the Organization.

4. To understand the practical applications of the theory in an organizational setting.

1.2 SCOPE OF THE STUDY

Work force constitutes a major factor in the proper functioning of an organization. It is the
proper satisfaction of the employees that facilities the fulfilling of company’s objectives. Any
attempt to increase the productivity, efficiency of labour can bear fruit only if the workers are
given the right type of work environment and are provided with these amenities of life which have
direct bearing on his physical efficiency.

In a broad sense the scope of this study is an attempt to know about the organization as a
whole an also about the functions and practices of the organization and duties and responsibilities
of different staffs. The study helps to understand the nature, the working conditions, work
environment and the issues that the company is facing.

1.3 METHODOLOGY

This study is conducted with the help of Primary and Secondary data

2
1. PRIMARY DATA

Primary data are those collected by the researcher himself for the first time and thus are
original in character. They are collected for a particular purpose

METHODS FOR COLLECTING PRIMARY DATA:-

a) Observation method

It may be defined as a systematic viewing of a specific phenomenon in the proper setting for
the specific purpose of gathering data for a particular study.

b) Interview method

It is the direct method of collecting data. It is a verbal method of securing data. For the
purpose of this study direct interview of employees and workers are done.

II. SECONDARY DATA

Secondary data are those which have been collected by some other person for his purpose
and published. So researcher is said to use that type of data for this study. Following are some of
secondary source of data.

a) Newspapers & magazines

Audited reports, articles published in newspaper and magazines related to K FOUR Pipes
helps researcher for his study.

b) Websites

Websites of K FOUR Pipes, websites of market survey companies or share broking firms
sites and official sites of government helps more to conduct this study.

3
1.4 LIMITATIONS OF THE STUDY

1. Busy schedule of the personnel, especially the department heads was a

hindrance in collecting the information.

2. Non-cooperation of some of the employees in the company

3. The unavailability of the data which were kept confidential

4. Absence of much written documents about the company.

5. The study relies largely on secondary data and hence it act as a limitation.

1.5 CHAPTERISATION

The entire project report is divided into nine chapters as described below:

▪ CHAPTER 1 – INTRODUCTION
This chapter is classified into five different parts they are objective of the study,
methodology, scope of the study, limitations and chapterisation.

▪ CHAPTER 2 – INDUSTRY PROFILE

This chapter describes the details about the industry.

▪ CHAPTER 3 – COMPANY PROFILE

This chapter describes the details about the industry.

• CHAPTER 4 – ORGANISATIONAL STUCTURE

Deals with the organisational hierarchy

4
▪ CHAPTER 5 – DEPARTMENTAL ANALYSIS

All the departmental structure, its functions and authorities are explained in this chapter.
The diagrammatical representation of each department includes in this chapter.

▪ CHAPTER 6 – SWOT ANALYSIS

This chapter contains mainly four elements that are strengths, weakness, opportunities and
threats of the company.

▪ CHAPTER 7 – FINDINGS, SUGGESTIONS AND CONCLUSIONS

The main three parts of this chapter are findings, suggestions and conclusion.

IX. BIBLIOGRAPHY

5
CHAPTER-2
INDUSTRY PROFILE

6
2.1 ABOUT THE INDUSTRY

With the liberalization of the Indian economy there are three or four sectors, which have
shown tremendous growth and diversifications. K FOUR’S performers are plastics, electronics,
computers and white goods.

These potentially dynamic sectors were chained down by license restrictions and high duties
at all levels. Which are by crisped their growth in eighties while the rest of the world had rapidly
moved ahead.

The picture is totally different in nineties whereas the developed world has reported to 3 to
4 % growth in these sectors in India. All of them have reported doubled felt growth each year.
This is the reflection of a market driven economy unshackled after decades of government controls
administered proving quota system.

It is now clear that the plastic sector will continue to grow 25% per annum, owing to demand
of the requirement of the replacement of the use of metal and metal based products in the
forthcoming year.

It is a material and choice due to each versatility, its physical strengths, its economic viability
its easy possibility, and also its attractiveness and durability of all weather conditions.

With the globalization of the Indian economy, and TV entering smallest of homes and finest
of villages and communication the demand for better material, greater functional use, more
economical packaging and versatile, durable all weather products has mend increasing demand for
plastics for masses.

Whether it is to fertilizer packaging or cement bags, the end users demands plastics instead
of conventional jute bags because it prevents transit losses and wastages.

The hilly regions of east India or drought prone district of Rajasthan, Gujarat and Tamilnadu
demand root molded tanks in thousands each day. The agriculturists of Himachal Pradesh insist
on plastic pipes for irrigating his farm. The floriculturists of Karnataka and Maharashtra cannot
thrive without UV stabilized polythene for hued tunnels and green polymer

7
Among the notable segments, which achieved a high growth, a last year were even sacs when
many medium scales units had to increase plant capacities and modernize to meet large scale for
supply contracts from American and European buyers.

Several units have diversified into plastic furniture’s business with large tonnage molding
machines. There has also been tremendous progress in automobile components in north India with
tie ups with the new machines for sophisticated molding for modern light weight cars.

One of the secrets of continuous growth of K FOUR is the intensive investment quality
control program, backed by well-qualified technicians and management staff.

The company has also made use of most advanced technology and up to date knowledge
fully automated production have been put to use long time ago, manufactured are too rigid
specifications of business bureau of Indian standards. Company also manufactures electrical
fittings, low level high level thanks, flu tanks and seat covers.

The stay in new economy one has to constantly reinvent, acquire new sets of skills and trend
new paths. At toms, objectives are met by putting people at premium. Out organizational culture
is built around this theme. This enables us to empower our staff, nurture leadership qualities and
build stronger relationship with our customer. Special emphasis is given to HR management,
training programs, seminar, customer and dealer relationship management. These efforts instill a
sense of pride and passion for quality and brand among our workforce. After all, when you reach
for K FOUR you should always try to raise the bar and seek new ways to achieve your goals.

▪ PVC consumption sectors

PVC is used in almost all end use sectors, viz agriculture, automobiles, building &
construction, electrical and electronics, food and pharmaceuticals, sports & leisure covering
applications such as pipes for total water management, profiles for doors and windows, wires and
cables, food and medical packaging, blood and urine bags, catheters and tubing, films and sheets
for wall covering, rainwear, flooring etc. Pipes & fittings sector has 70% share of PVC
consumption in the country followed by calendared products at 9%, wire & cables at 6%, films at
5%

8
▪ Infrastructure investment driving demand

A strong infrastructure sector is vital to the development of a country's economy. India's


focus on infrastructure over the last decade made the country the second fastest growing economy
in the world. In spite of the fact, our country is lagging in adequate infrastructure. To meet this
challenge, India's planning commission has projected an investment of $ 1 trillion for the
infrastructure sector during the 12th Five Year Plan

▪ Opportunities unlimited

It is observed that about 40% water is wasted during transportation due to leaks and
breakages in aging pipelines. Products like weld able PVC pipes, expandable PVC pipe have the
capacity to reduce the wastage by rehabilitation of these aging pipelines. Advantage of these
products is that they can be used with trenchless installations without disturbing the existing
pipeline.

On the other hand, damaged leaking sewer pipelines are contaminating ground water
resources leading to the severe health hazards. PVC products like spiral wound pipe renewal
system, fold and form PVC pipes can be used for rehabilitation of these old damaged pipes to
increase the life of the sewer system.

▪ End of life: An important aspect of plastic industry

With consumption growth of plastics including PVC, it is very important to attend to the
issue of ‘end of life’ stage. India is the leading country in the world where about 70% of plastics
waste is recycled. Avenues like mixing of plastics waste in tar for road preparation, co-processing
in cement kiln are being developed. Scientists have developed methods for fuel recovery from
waste plastics. These methods are becoming promising options for plastics waste which is difficult
to recycle.

9
OTHER PVC PIPES MANUFACTURERS

▪ Star pipes

The history of Star is the history of PVC fittings production in South India. It also began in
1984 when Mr. P.K. Paul, an enterprising young man with a dynamic and darning vision, started
a small PVC fittings production unit in Trichur, Kerala. His aim was to manufacture High Quality
PVC Pipe Fittings and market them at reasonable prices. Till then this field was dominated by
giant North Indian companies, but Mr. Paul fought against all odds and soon carved a niche for
his products to start within the Kerala market. Within a short span of time, his company made
inroads into the South and North Indian markets.

▪ Kelachandra pipes

For the past three decades, the house of Kelachandra were the flag bearers of industrial
innovation in Kerala. The supreme quality of Kelachandra’s products is due to the cutting-edge
technology employed in our state-of-the-art plants. Kelachandra has been manufacturing PVC
pipes wince 1974. The factory is located at Chingavanam, Kottayam District in the State of Kerala,
Kelachandra pipes are widely used for the conduit of potable water because they are made from
superior food quality material.

▪ Jindal pipes

Jindal Pipes Limited (JPL) was incorporated in 1970 with a production capacity of 3,000
TPA for manufacturing of Steel Pipes & Tubes. Since then, the Company has brought phenomenal
development in Pipe Manufacturing Process through many innovative measures. Today, it has an
annual turnover of Approx. Rs. 700 Crores. Induction of sophisticated state-of-the-art technical
know-how and highly motivated & skilled workforce have made possible for the company to
augment its production capacity to 2, 50,000 TPA.

It is now synonymous with India’s one of the best and largest manufacturer of ERW, Black
and Galvanized Steel Pipes & Tubes in different thickness from 2.00 mm to 10.00 mm having an
Outer Diameter (OD) ranging from 1/2" to 14” NB conforming to various National and
International Standards.

10
Recently the company has started manufacturing the RHS & SHS Pipes of various sizes
which are used for various applications like Architectural and Industrial uses. The company
received ‘Regional Special Shield’ for export performance for the year 1977-78 and from 1984 to
1988. It was also awarded the ‘Certificate for Export Excellence 1990-91’ by the EEPC.

True to D.P. Jindal Group’s way of life, quality is at the helm of affairs as a perpetual
phenomenon. It is our constant endeavour to produce pipes of highest quality and sustainability.
To achieve this, we stick to strict quality standards and in-house evaluations and we continuously
educate and train our workers. Our plant have been constantly executing need based and
demanding orders for pipes to meet the requirements of sectors like Agriculture, Oil, Public
Health, Housing, Irrigation, Engineering etc.

2.2 THE INDIAN PIPE INDUSTRY SEEKING NEW HORIZONS

With the burgeoning economic growth, providing adequate infrastructure facilities to a


populous country like India is very important. Pipelines used in transportation of oil, gas and water
are crucial in developing a nation’s infrastructure. Transportation through pipes is cheaper and
faster as compared to traditional modes of transport like road and rail. Pipes also have a long
useful life of approximately 25-30 years for Steel pipes, 25 years for PVC pipes and 70-75 years
for Cement pipes.

The Indian Pipe Industry is among the top three manufacturing hubs after Japan and Europe.
However, the penetration level of pipelines in oil and gas transportation is low at 32% in India as
compared to 59% in USA and 79% globally. The pipeline network of India for oil and gas
transport stood at 13,517 kms in April 2006. Sanitation levels are also lower at 33% in India
compared to 91% in Srilanka and 100% in France. Of 140mn hectares of cultivable land, only
40% the land is irrigated. The low penetration levels represent the huge scope for growth for the
pipe industry.

The Indian Pipe industry is highly fragmented with Herfindahl Index of Concentration for
steel pipes excluding seamless being 0.06, seamless pipes 0.08 and PVC pipes 0.179. This leads
to competition and pricing pressures among the players. However, pipe companies catering to oil

11
and gas sector and government orders have limited competition but need to focus on stringent
quality norms.

The industry is highly raw material intensive with RM cost accounting for more than 70%
of total cost for steel and PVC pipe companies. High imports, RM availability issues and rising
cost are concerns for the industry. However, larger players operating in the organized sector have
been able to pass on price hikes to their customers due to better quality specialized products
catering to customer needs for critical applications.

Indian companies produce a wide range of steel, cement and PVC pipes which are used in
various critical and non-critical applications. Indian steel pipe manufacturing companies have won
several certifications and accreditations from major oil and gas companies across the globe in recent
past. With the low cost quality products and various certifications, Indian companies have
augmented their export sales over the last three to four years and exports from India stood at
approximately USD 1.05 billion in 2006.

Care research expects the positive trend in the Indian pipe industry to continue in the next
3-5 years on the back of high oil and gas discoveries worldwide, increased efforts by GoI on
infrastructure development for laying pipelines for oil and gas transport, water and sewage
transport and irrigation facilities.

Demand triggers for the growth are:

▪ GoI increased the annual budget allocation under the Rajiv Gandhi Drinking Water Mission
from .Rs. 46 bn to Rs. 58bn in Union Budget 07-08.
▪ For the XIth five-year plan, GoI is aiming to add 11mn hectares of irrigational facilities,
entailing .an investment of Rs. 1,580 bn.
▪ Growth in the real estate sector due to growing population and affluence will require
investments in water, drainage and sewage systems.
▪ GoI in its efforts to reduce crude imports has formulated the New Exploration Licensing
Policy .for exploration and production of oil and gas. 165 blocks have been awarded till
date and the number is set to increase to 245 by 2008.

12
▪ Private players like RIL, Cairn have shown interest in setting up pipe infrastructure for oil
& gas. Transport. National gas grid will also be set up requiring an investment of Rs. 210
billion.
▪ City gas pipe is currently available in 10 cities and the coverage is expected to grow to 40
cities in next 5-7 years.

▪ In addition to above, replacement demand from USA & European countries, having a vast
pipeline infrastructure, will be huge.
▪ The growth will mainly be driven by steel pipes especially SAW pipes. The order book
position of many pipe companies are almost twice their FY 07 sales. However, the risk to
industry growth could be impending slowdown in US economy, raw material availability
and increase in raw material costs and reduction / postponement of GoI spending on
infrastructure development.

2.3 HISTORY OF PLASTICS

The United States plastics industry is a multi-billion dollar business, and it is still growing
at a rate faster than most other industries in this country. Plastics have been used in every major
market in the United States, including constructions, packaging, automobiles and boats, electrical
/ electronics, pipe and fittings, and consumer goods, to mention just a new.

Plastics are basic materials, on par with metals, glass, wood, and paper and they are essential
to the needs of virtually the entire spectrum of American business. As lifestyles change, plastics
will become ever more valuable to tomorrow’s advanced new concepts in architecture, aerospace,
communications, transportation – even to medicine and the arts.

Plastic materials trace their origin in this country back to 1868, when a young printer named
John Wesley Hyatt came up with Celluloid, the first American plastic. He mixed pyroxylin, made
from cotton (one of nature’s polymeric), and nitric acid, with camphor to create an entirely
different and new product. Celluloid quickly moved into many markets, including the first
photographic film used by George Eastman to produce the first motion picture film in 1882. The
material is still in use today under its chemical name, cellulose nitrate.

13
In 1909, Dr. Lee Hendrik Baekeland introduced phenoformaldehyde plastics (or
“phenolics”, as they are more popularly known), the first plastic to achieve world-wide acceptance.
More importantly, Baekeland also evolved techniques for controlling and modifying the
phenolformaldehyde reaction so that products could be formed under heat and pressure from the
material. This characteristic of liquefying the material so that it can be formed into various shapes
under heat and pressure is still common to most plastics.

The third major thrust in the development of plastics took place in the 1920s with the
introduction of cellulose acetate (which is similar in structure to cellulose nitrate, but safer to
process and use), ureaformaldehyde (which can be processed like the phenolics, but can also be
molded into light coloured articles that are more attractive than the blacks and browns in which
phenolics are available), and polyvinyl chloride (PVC, or vinyl, as it is commonly called). Nylon
was also developed in the late 1920s through the classic research of W.T. Carothers.

Each decade saw the introduction of new and more versatile plastics. In the 1930’s there
were acrylic resins for sings and glazing and the commercialization of polystyrene, which became
the third largest-selling plastic, literally revolutionizing segments of the house wares, toys, and
packaging industries. Melamine resins were also introduced; these later became a critical element
(in the form of a binder) in the development of decorative laminate tops, vertical surfacing, and
the like.

Polyethylene – today’s most widely used plastic – evolved out of the need for a superior
insulating material that could be used for such applications as radar cable during World War II.
The thermoset polyester resins that only a decade or so later were to radically change the boat-
building business in the United States were also a wartime development introduced for military
use. And acrylonitrilebutadiene-styrene plastics, or ABS, (the plastic most often used today in
appliance housings, refrigerator linens, safety helmets, pipe, telephone headsets, and luggage)
owes its origins to research work emanating from the crash wartime program aimed at producing
large quantities of synthetic rubber.

The decade of the 1950s saw the introduction of polypropylene and the development of
acetal and polycarbonate, two plastics that, along with nylon, came to form the nucleus of a sub-
group in the plastics family known as the “engineering thermoplastics”. Their outstanding impact

14
strength and thermal and dimensional stability enabled them to compete directly and favourably
with metal in many applications.

The 1960s and 1970s also saw their share of new plastic introductions, most notably
thermoplastic polyesters with the kind of outstanding resistance to gas permeation that made them
applicable for use in packaging. During this period, another sub-group of the plastics family also
started to emerge, the so-called “high temperature plastics,” which includes the polyimides,
polyamide-imides, aromatic polyesters, polyphenylene sulfide, polyether sulfone, and the like.
These materials were designed to meet the demanding thermal needs of aerospace and aircraft
applications. Today, however, they have moved into the commercial areas that require their ability
to operate at continuous temperatures of 400 degrees F, or more.

Estimates are that by the year 2000, plastics materials will have grown to a 225-billion-
pound production level in the United States alone, making them one of the world’s most important
materials of use.

A starting point for plastics

Like any material, plastics have their origins in nature, in such basic chemical elements as
carbon, oxygen, hydrogen, nitrogen, chlorine, or sulfur. These materials are extracted from
nature’s storehouse of air, water, gas, oil, coal, and even plants.

From the basic sources come the feedstock’s well call “monomers” (from “mono”, which means
one, and “mer”, which means unit – in this case, the specific chemical unit). The monomer is
subjected to a chemical reaction known as polymerization, which causes the small molecules to
link together into longer molecules. Chemically, the polymerization turns the monomer into a
“polymer” (many mers). Thus, a polymer may be defined as a high-molecular-weight compound
which contains comparatively simple recurring units.

A monomer can contribute to the manufacture of a variety of different polymers, each with
its own distinctive characteristics. The way in which the monomers link together into polymers,
and resulting structural arrangement, is one determinant of the properties of the plastic. The length
of the molecules in the

15
Molecular chain (referred to as “molecular weight”) is a second determinant. And the type
of monomer is a third determinant. Polymerizing two or more different monomers together (a
process known as “copolymerization”) is a fourth determinant. Incorporating various chemicals
or additives during or after polymerization is a fifth.

2.4 'INDIAN PIPE INDUSTRY: TRENDS AND OPPORTUNITY (2013-2018)

Analyses the potential opportunities, challenges, demand drivers and significant trends in
the Indian pipe industry. The report provides key facts on the Indian pipe industry, supplemented
by the latest available statistics.

Included are profiles and analysis of the leading five companies in the pipe industry with
latest data and a brief overview of their business and finance along with their future business
strategies. The report also gives valuable insight on various types of pipes such as ductile iron,
PVC, cement pipe, steel pipe etc and their application. The growing demand of PVC pipes and the
latest trend of CPVC pipes is discussed.

The report further presents the analysis of the current market size and also forecasts the
future market size of the overall pipes market and different types of pipes in the coming years.

Product Scope

▪ PVC Pipes

▪ Ductile Iron Pipes (DI)

▪ Cast Iron Pipes (CI)

▪ Seamless Pipes

▪ SAW Pipes (HSAW, LSAW)

▪ Concrete Pipes

16
The Indian Pipe Industry has experienced rapid growth in the last several years. The major
reasons for the growth of this industry is increasing demand for pipes in the irrigation sector, oil
and gas sector and also the real estate industry. The demand for steel pipes such as seamless pipes,
HSAW, LSAW pipes is increasing as the need for oil and gas transportation in India is growing.
The demand for plastic pipes such as PVC and CPVC is also increasing as these pipes are better
in quality and durability. Infrastructure development, urbanization and the subsequent
development of residential and industrial construction are facilitating the growth of the pipe
industry in India.
The Government of India is coming up with new projects and investments in the irrigation
sector. The focus of the government is on rural water management, which will be fulfilled only
when there will be proper transportation of water to the end-user. This is one of the major demand
drivers of the pipe industry along with expansion of housing sector and increasing demand for oil
and gas transportation.

2.5 MARKET & DEMAND ASPECTS:

In view of the priorities to rural water suppliers, irrigation facilities in the national planning
and rapid rural electrification, the demand for rigid PVC pipe is growing regularly. 60% of the
total demand of PVC pipe exist today is upto110 mm outer diameter which is very much suitable
for small scale sector industries.
In the state like Orissa where 80% of total population lives in rural belt, irrigation, portable water
supply, electrification always occupy in the fore front of planning. About six to seven small units
are manufacturing PVC pipes in the state, but still there exist a very good scope of new units to
meet the demand of internal and external market.

17
CHAPTER-3
COMPANY PROFILE

18
K FOUR EXTRUSIONS PRIVATE LIMITED

3.1 HISTORY

In the year 1994 four unemployed youths thought of starting a business instead of wasting
time for searching jobs. Much time was spent on identifying a product with a good potential
and accordingly found that PVC fabrication would be the best of the best choice. They were
further inspired by the advice of experienced ones and with a capital amount of
Rs.1,00,000/• and the self-confidence of the four, resulted into the existence of K FOUR
GROUP'S first firm K FOUR INDUSTRIES. The first letters of house names of all the
four partners happen to start with the letter 'K' and thus originated the name 'FOUR'.

The firm first started his first fabrication unit of PVC socket sand bents in a shed constructed in
the backyards of one of the partner's residence. Firm purchased PVC pipes from other
manufactures and transformed them into sockets, bents, etc. Marketing task also taken by the
group member and each were assigned with different task. All partners worked with much
dedication and the product picked up momentum. Though the first turnover was a mere 12lakh
Rupees, but the growth has accelerated at a rate of 300% per annum.

The firm decided to market other related products such as water tanks, flush tanks and all
plumping related products and for this purpose, new companies were formed in the name of k4
enterprises and k4 distributors, during this period, an additional partner has joined the group. By
2000, the group acquired 30cents of their own land, which is actually close to the Haripad-
Mavellikara.

There they started to build own factory and office block. The group moved into new premises
by 2002 by 2003, the firm achieved a turnover of l crore. This has futher inspired the partners to
think about expanding the nature of business. Each entity has its own designated managing
partner. The following partners jointly manage the group.

19
1. Mrs. Sreelekha Mohan
2. Mr. Issac Yohannan
3. Mr. K Rajasekharan Pillai
4. Mr. John Thomas
5. Mr. Jayachandra

3.2 STRATEGIC INTENT

Vision

“To enhance customer satisfaction and achieve exponential growth to leadership through
world class products and services”.

Mission

1. Zero breakdowns
2. Zero maintenance
3. Zero wastage

Quality policy

To establish global presence in the PVC system by providing quality service and customer
satisfaction through companywide efforts in continual improvement of people, systems, process
and technology.

Quality goal

To be the leader in quality and value of production and services

Quality management process

1. Focus on customers
2. Establish vision, mission
3. Understand, standardize, stabilize, and maintenance process
4. Plan, do, check, act for continual improvement and innovation.

20
Operational policy

1. Achieve process stability and reliability


2. Control every process to decide target
3. Improve process capability

Principles

1. Customer satisfaction – anticipates, understand and excel at meeting customers’ needs.


2. Continue: improve a current level of performance of process, products and services.
3. Process emphasis – focus on process as the means to improve results.

Management leadership

Creative and maintain a shared vision, consistency of purpose and supportive environment
that includes appropriate recognition and reinforcement.

Empowerment

Create a culture where people have the knowledge, skills authority for events of their actions
and for their contribution to the success of the company.

Stastical methods

Understand the concept of variation apply appropriate statistical methods for continual
improvement and innovation.

Employee’s development

Knowledge and support for lifelong learning and personal growth.

Partnership

Build long-term relationship with customers and suppliers

21
Assessment

Assess performance and benchmark against world’s best

Quality improvement methodology

1. Problem description
2. Containment action
3. Define root cause
4. Verification of cause
5. Permanent Corrective Action
6. Implementation
7. Effectiveness
8. Standardization

22
CHAPTER – 4
ORGANISATIONAL STRUCTURE

23
4.1 ORGANISATION STRUCTURE OF K FOUR EXTRUSIONS

MANAGING
PARTNERS

PRODUCTION HUMAN SALES ADMINISTRATION


DEPARTMENT RESOURCE DEPARTMENT DEPARTMENT
DEPARTMENT

COMPANY HUMAN SALES FINANCE DATA


MANAGER RESOURCE MANAGER DEPARTMEN ENTRY
MANAGER T

SALES CO- A/CS OFFICER


PRODUCTION ORDINATOR
MANAGER

SALES ASSISTANTS COST


ASSISTANT A/C
LAB CHEMIST

SALES TELEMARKETING
SUPERVISOR
EXECUTIVES EXECUTIVES

OPERATOR

MIXING HELPER CHEMICALS

FIG 2.

24
4.2 PRODUCT PROFILE

4.2.1 K FOUR Industries

The ISI pipes are produced with the range of 20mm to 110mm. Real pipes are
produced with the range of 25 mm to 110 mm.

The following pipes are produced under this company:-

1. PVC pasting pipe (20mm – 180 mm)


2. Threading pipe (20mm – 90 mm)
3. Drain pipe (110 mm)
4. Half round pipes (Gutter) (140mm – 160 mm)
5. Fabricated fittings (20mm – 110 mm)
6. SWR pipes (UV stabilized type A) – (110mm)

4.2.2 Pipe Fitting

The K FOUR Pipe fittings manufacture a complete assortment of PVC pipe


fittings which are universally adaptable for usage with any brand of PVC pipes.
Flush fittings and leak proof these fixtures are of matching color and hence blend in,
almost unnoticed with the pipeline. Ideal for pipeline application both above and
below the ground, these versatile blends and fittings are hardly enough for joining
and offers practically lifelong durability. The following are produced:-

1. Fabricated fittings are produced in this company (20mm – 110 mm)


2. Elbow
3. Door elbow
4. Plain Tee
5. Door Tee
6. MTA
7. FTA
8. Coupler
9. End cap
10. Reducer Tee

25
11. Red: Elbow
12. Red: Coupler
13. RFTA
14. Red: Bush

Special Features

1. Precise all-around dimension


2. Flush fitting and leak proof
3. Matching colour
4. Smooth finish
5. Resilient
6. Long lasting
7. Universally adaptable with all Indian standard PVC pipes

Manufacturing process:

PROCESSING: The basic material which on Polymerisation produces P.V.C.


Pipes is Poly vinyl chloride which in resin form is hard and rigid. The rigidity can be
controlled by controlling the percentage of plasticizer at the time of compounding.
Production of Rigid PVC pipe is based on plasticizing and homogenizing PVC
compound and then passing the compound through an extruder. The hot molten PVC
compound is extruded through a circular slit. Circular slit governs the size of pipe to
be extruded. Different dies are used for manufacturing different size of pipes. The
Pipes thus extruded through the die is then passed through a vacuum sizing tank
wherein the dimensions of the pipe can be accurately set. It also helps in surface
finish of the pipes. Vacuum sizing reduces the percentage of wastage considerably.
As the pipe being extruded is rigid in form they cannot be wound into coils. So an
inline motorized cutting device should be provided for cutting the pipes into required
sizes. For ascertaining the consistency in product quality the unit should be equipped
with process control laboratory for preliminary testing of raw materials. The unit may
also have arrangement for quality testing of finished products.

26
INNOVATIVE PRODUCT

4.2.3 K FOUR Pipe Hot and Cold-Water System

K FOUR Pipe hot and cold-water system is a unique and proven plumbing
system. This can withstand up to 115dc – 20dc and the adhesive up to 95dc. It is
best suited for solar water heaters where the temperature is very high. It does not
allow the growth of fungi or algae. It includes special type of hot water pipes, fittings
and adhesives. It is best suited for all seasons and is comparatively cheaper. This
system has perfect fit, good strength and more durability.

27
CHAPTER 5
FUNCTIONAL DEPARTMENT
PROFILE

28
FUNCTIONING DEPARTMENTS

Organisations are built about a group of functions, each of which provides


support for the operations of the business. Functional departments each serve a
specific purpose with an organization to achieve its objectives. The most common
functional areas of tomes Pipes Private Limited are as follows:

1. HUMAN RESOURCE DEPARTMENT


2. SALES & MARKETING DEPARTMENT
3. FINANCE & ACCOUNTS DEPARTMENT
4. PRODUCTION DEPARTMENT
5. ADMINISTRATION DEPARTMENT
6. STORES DEPARTMENT
7. DESPATCH DEPARTMENT
8. QUALITY DEPARTMENT

5.1 HUMAN RESOURCE DEPARTMENT

Personnel management is that part of management function which is primarily


concerned with the human problems in industries. In order to solve these problems
personnel management is assigned a very important role to play labour, being an
important factor of production needs motivation and power guidance from the side of
management to get the desired result.
Human resource management (HRM or simply HR) is the management of
human resources. It is a function in organizations designed to maximize employee
performance in service of an employer's strategic objectives.
[1] HR is primarily concerned with the management of people within
organizations, focusing on policies and on systems.
[2] HR departments and units in organizations typically undertake a number
of activities, including employee benefits design, employee recruitment, "training
and development", performance appraisal, and rewarding (e.g., managing pay and
benefit systems).

29
[3] HR also concerns itself with organizational change and industrial
relations, that is, the balancing of organizational practices with requirements arising
from collective bargaining and from governmental laws.
[4] According to R. Buettner, HRM covers the following core areas:

▪ Job design and analysis,

▪ Workforce planning,

▪ Recruitment and selection,

▪ Training and development,

▪ Performance management,

▪ Compensation (remuneration), and

▪ Legal issues.

HR is a product of the human relations movement of the early 20th century,


when researchers began documenting ways of creating business value through the
strategic management of the workforce. The function was initially dominated by
transactional work, such as payroll and benefits administration, but due to
globalization, company consolidation, technological advances, and further research,
HR as of 2015 focuses on strategic initiatives like mergers and acquisitions, talent
management, succession planning, industrial and labour relations, and diversity and
inclusion.

Human Resources is a business field focused on maximizing employee


productivity. Human Resources professionals manage the human capital of an
organization and focus on implementing policies and processes. They can be
specialists focusing in on recruiting, training, employee relations or benefits.
Recruiting specialists are in charge of finding and hiring top talent. Training and
development professionals ensure that employees are trained and have continuous
development. This is done through training programs, performance evaluations and
reward programs. Employee relations deals with concerns of employees when
policies are broken, such as harassment or discrimination. Someone in benefits
develops compensation structures, family leave programs, discounts and other

30
benefits that employees can get. On the other side of the field are Human Resources
Generalists or Business Partners. These human resources professionals could work
in all areas or be labour relations representatives working with unionized employees.

In start-up companies, trained professionals may perform HR duties. In larger


companies, an entire functional group is typically dedicated to the discipline, with
staff specializing in various HR tasks and functional leadership engaging in strategic
decision-making across the business. To train practitioners for the profession,
institutions of higher education, professional associations, and companies themselves
have established programs of study dedicated explicitly to the duties of the function.
Academic and practitioner organizations likewise seek to engage and further the field
of HR, as evidenced by several field-specific publications. HR is also a field of
research study that is popular within the fields of management and
industrial/organizational psychology, with research articles appearing in a number of
academic journals, including those mentioned later in this article.

Businesses are moving globally and forming more diverse teams. It is the role
of human resources to make sure that these teams can function and people are able
to communicate cross culturally and across borders. Due to changes in business,
current topics in human resources are diversity and inclusion as well as using
technology to advance employee engagement. In the current global work
environment, most companies focus on lowering employee turnover and on retaining
the talent and knowledge held by their workforce.[citation needed] New hiring not
only entails a high cost but also increases the risk of a newcomer not being able to
replace the person who worked in a position before. HR departments strive to offer
benefits that will appeal to workers, thus reducing the risk of losing corporate
knowledge.

DUTIES, RESPONSIBILITIES AND INSTRUCTIONS

▪ To find suitable solution for all confusion.

▪ In charge of continuous improvement

-Organizational change, Organizational development, Acton plans.

31
▪ Acquisition of human resource

-Determination of the kind or quality of personal, Job analysis, Job description,

Job specification, Man power planning, Recruitment, Selection and Induction.

▪ Post appraisal interview

▪ Evaluation of performance appraisal system.

▪ Potential appraisal and promotion

▪ Training and development

▪ Preparation of assessment report of employees.

▪ Impact training as per schedule

▪ Handling the disciplinary cases.

▪ Welfare of employees

▪ Implementation of various improvement activities in the interest of the

company.

▪ To maintain discipline amongst the employees.

▪ Publications of notice in advance with respect to holidays, working hours, dress

etc.

▪ Counselling or screening of employees, if require.

▪ Generally cleanliness of workplace and company surroundings.

▪ Preparation of accident report as when required.

EMPLOYEE WELFARE
K FOUR pipe industries providing many facilities for their employees
(a) Economical status
Company providing the facility of PF, ESI etc. for their employees.
(b) Health and Safety
First aid: First aided facility is provided in the factory for all employees.

32
Drinking water: Effective arrangement of drinking water at suitable points
conveniently suited for all workers.
Latrines and Urinal: Company provides latrine and urinal facilities.
(c) Canteen
By nutrient, hygienic foods are provided to the total employees.
Functioning time : 24 hrs (each shift)
Operation : token system

FUNCTION OF HR MANAGER
1. Noted the leave of employees
2. To check the feedback of the decision taken by the production manager and
company manager.
3. To check the manpower is allocated and watching the feedback.
4. To verify these complaints and take initiative action.
5. Should watch the activities and give necessary instructions.

STANDING ORDERS OF K FOUR EXTRUSIONS


In K FOUR pipes workmen shall be classified as permanent, probationers,
temporary, casual and apprentice. Immediately on recruitment, the name of the
workmen and the grade or category to which he belongs shall be entered in the muster
roll. Every workman appointed in the factory shall be on probation for a period of
one year. Every workman shall on being admitted to the service, sign the ‘form’ with
the regular to conditions of services signifying his consent to comply with the
standing orders for the company. The periods and hours of work for all classes of
workman shall be posted upon a notice board at the time keeper’s office or factory
building.

▪ Attendance
The workman shall be at work in the factory at the time fixed and notified.
However, a workman in a relay shift shall normally not leave his post until he is
relieved by his successor or otherwise instructed by Head of section or any other
superior officer empowered to instruct. All workman unless specifically exempted
shall enter and leave the factory through the time office gate or main gate. Any
workman who is more than half hour late shall be liable to be treated as absent for
33
half a day. All workmen are liable to be searched while entering or leaving the
factory premises, or at any time while in the factory, by the person authorized by the
management on this behalf. All workmen will be entitled to national and festivals
holidays as per the Kerala Industrial Establishment Act. However, the management
reserves the right to details any workmen to work on a holiday subject to the
provision of the Act.

▪ Promotion
No workman shall be entitled to be promoted as of right. All promotions shall
be on the basis of merit and suitability in the discretion of the management. No strike
of any kind shall be staged by the workman without giving the company 14 days’
notice. There of within one month of the proposed strike, and without reasonable
cause.
A workman found guilty of misconduct shall be imposed any one or more of
the following punishments, warning, censure, and suspension for a specified period.
Demotion to a lower post, imposition of fine, reduction in pay, discharge from
service, dismissal from service.

▪ Secrecy
All process, plans, photographs, designs or drawing pertaining to the company
whether of repaired by the workman or otherwise are secret documents which no
person shall publish or causes to be publish. No workman shall disclose any secret
or secret information regarding the company’s activities to any person except when
it is necessary to do so during the performance of his duties.

▪ Fines
Fines may be imposed on workman in accordance with the payment of Wages
Act on workman covered by the said Act. However, the Management may in its
discretion impose fines on workman not covered under the said Act or the same
principles, as in the Act.

▪ Certificate of Termination
Every permanent workman shall be entitled to a service certificate at one time
of his dismissal discharge or retirement from service.
34
A workman accept one who is under obligation to serve the company for a
minimum period of service, who wishes to resign and leave the company’s services
must give the company the same notice as the company is required to give him under
the clause Number 24 (9). A workman who has contracted with the company to serve
for a minimum period of service shall not be allowed to resign before the expiry of
the said minimum period of service.

▪ Factory Operator
He is in charge of identification of defects or failures, it should be indicating
in the SPC chart
The Human Resource Department is the strongest department of K FOUR
EXTRUSIONS PVT LTD, which has several sub sections, and their functioning are
mentioned above. It has a well-established industrial relation and this department
gives more importance to the welfare and the safety of the employees. Also, the time
management of K FOUR Pipes is very good. All these sections are under the direct
control of HR manager.

35
FIG- 5.1 STRUCTURE OF HUMAN RESOURCE DEPARTMENT

GENERAL MANAGER HR & OPERATIONS

DEPUTY GENERAL DEPUTY GENERAL DEPUTY GENERAL MANAGER


MANAGER MANAGER HR PUBLIC RELATIONS
OPERATIONS

ASSISTANT GENERAL ASSISTANT GENERAL ASSISTANT GENERAL


MANAGER MANAGER (HR) MANAGER (EST)
OPERATIONS

DEPUTY DIRECTOR

5.2 SALES AND MARKETING DEPARTMENT


A marketing department promotes your business and drives sales of its products
or services. It provides the necessary research to identify your target customers and
other audiences. Depending on the company’s hierarchical organization, a marketing
director, manager or vice president of marketing might be at the helm. In some
businesses, a vice president of sales and marketing oversees both the marketing and
sales departments with a strong manager leading each department. It’s important to
keep a strong marketing department intact regardless of the economy so you remain
visible and keep sales strong.

36
PROMOTIONS
Marketing departments carry out promotional strategies for products and
services, and some may also incorporate promotional activities, such as public
relations, for the business as a whole. The promotions staff assists the sales force
with sales promotions; offers public relations support for product launches, trade
shows and other events; purchases advertising that illustrates product benefits and
features; and pitches the product to media outlets. Promotion activities range from
creating awareness of a product to persuading customers to try and then buy the
product.

• To identify opportunities, preparation of marketing strategies and plans for guiding


products and programs towards building up the opportunities and also monitor
whether the sales people are implementing this program.
• Responsible for:-
1. To relay on market research
2. To identify understand segment
3. To spend time in plan
4. To think long term and short term strategies
5. Aim to produce profits and gain market share
6. Pre occupied with the planning the right products and marketing strategies to
meet the customer long seen needs.
7. To recommend solution for improving sales, understand the problem,
monitoring competitors activities and to determine customer satisfaction.
8. To use the telemarketing executives and sales coordinators for getting orders and
inform the bill amount for the purpose of cash discount.
9. Responsible for dispatching the lorry with the full load.
10. To allocate marketing effort in relation to long seen profit potential of the
targeted segment to develop winning offers for each marketing segments.
11. To decide the root, dispatches and the compliance.
12. In charge of sales and collection and no credit.
13. Advertisement, promotional materials, exhibitions etc.

37
BUSINESS DEVELOPMENT

Marketing works closely with sales in generating new business. Employees entice
prospects to engage with your company in some way, even if it’s just visiting the website,
and then uses incentives to get customers to continue thinking about the product so that the
sales team can convince them to buy the product. This is called generating leads. Not every
lead turns into a paying customer, so business development is ongoing. It can also include
identifying new markets for existing products or discovering a need that current customers
have for a modified version of an existing product

SALES
Procedure for dispatch of sales department:-
1. To right orders after margin
2. Separate orders for all units
3. Set up and click the sequence of order for dispatch in root wise.
4. Address and phone number clearly in the order ship
5. Cash discount rate % should mention before it sent for print
SALES SECTION
1. To draw the root of dispatch ascertains the local capacity for each lorry loaded
(65-70 as per load). In the case of the load for dispatch is not full the sales
manager phone and obtain maximum load capacity. The dispatch is planned
such a manner maximum load capacity is attained for each lorry.
2. The dispatch slip for 1st, 2nd, 3rd lorry are to be scout out and clipped together in
the descending order of unloading from the lorry and to be hand over to the
loading section.
3. Market share of K FOUR pipes 43.5%
In K FOUR Pipes, they are not following any specified process for the marketing
of their product. They do not believe in any type of promotional activities. In
the national market K FOUR Pipes have large number of market share, and this
is availed only because of the company’s goodwill that make through the last
many years.

38
FIG 5.2 STRUCTURE OF SALES AND MARKETING DEPARTMENT

SALES / MARKETING
DEPARTMENT

SALES MANAGER

SALES CO-ORDINATOR

SALES ASSISTANT

SALES EXECUTIVES TELEMARKETING


EXECUTIVES

39
5.3 FINANCE DEPARTMENT

Accounts / Finance Department


▪ Calculation of monthly salary of office staff. Until otherwise notified all
employees shall be paid on last working day of month.
▪ Calculation of wages of factory employees. The wages slip and computer
print of wages must be collected back from the concerned supervisors with
workers individual signature.
▪ The daily paid workers working day to be calculated will be made on Friday
and payment will be made on Friday for night shift and all Saturday for day
shifts.
▪ Sending of cheques received from parties to bank.
▪ Accounting of dishonoured cheques
▪ Preparation of slips for all bank transactions.
▪ Preparation of bank reconciliation
▪ Trial balance tally is to be ascertained and when call for.
▪ Inform the management all due payment in advance and ensure payment of
creditors on due date as per the instruction before issuance of cheques of any
nature, the accounted should ensure that the efficient fund balance is
available. No cheque is to be issued without having sufficient fund.
▪ Finalization of accounts
▪ Submission of returns-ensure that monthly, quarterly, half yearly and annual
returns are submit on due date.
▪ Besides duties he / she is to assist administration in correspondence and other
works related to sales tax, service tax, P.F, E.S.I, IT, labour welfare fund and
industries departments in consultation and approval of manager administration.
▪ Responsible for maintenance or registers, ledgers, computer printouts and all
files.

40
Cost accounts
▪ He/she is responsible for total cost management of the organization to
calculate the expenditure incurred by sales representatives on ALC of sales
promotion and to identify thrust areas, if any.
▪ To check cash credit bills of the day corresponding to cash receipts of each
party.
▪ For all partial payments of cash credit bills, debit note to be prepared.
▪ To proper budgeting for all activities of the organization.
▪ Preparation of balance sheet of all units’ monthly and comparative study
of accounts and to assist in the finalization of accounts.

Accounts-data entry
▪ Responsible for data entries of all units
▪ Responsible for maintenance of all vouchers, unit wise to sentcheques on
daily base to bank.

In K FOUR Pipes, Finance Department prepares accounts and audits them to


make it up to date. This department makes necessary arrangements for the working
capital requirement, filing of returns of income tax, sales tax and fringe benefit tax
quarterly or half yearly or yearly.

FIG 5.3 STRUCTURE OF FINANCE DEPARTMENT

FINANCE DEPARTMENT

ACCOUNTS OFFICER

ASSISTANTS COST ACCOUNTS

41
5.4 PRODUCTION OR OPERATION DEPARTMENT

Technology
The most advanced Indian technologies are used
Raw material
The basic raw material used for production is resin.
Machines and equipment used
• Windsor-5
• Omega-150, 250, 350
• Indian machinery, tools and technologies are using
• Quality certificate, ISI 49 85
Production process
There are two stages
1. Compound
2. Extrusion
1. Compound stage
In this stage the chemist took the accurate weight of chemicals for each type
of pipe to be manufactured. Then the chemicals were put into the mixing drum and
resin it. This mixtures goes to hot drum for heating the mixture after reaching a
particular temperature, the mixture goes to cooling drum for cooling. Whole these
processes are going on the chemical unit, under the supervision of chemists.
2. Extrusion
This stage is very important one. Here the above mixture is passing through
conveyer, i.e. from mixing unit to extruder. Extruder is the pipe manufacturing’s
machine. The compound is melted by this process. The melted compound is injected
into the die. Dies, Heads, mandles are given the compound, to get different shapes
and thickness.
Finally, the pipe is forming. Another machine that is traction is dragging the
pipe. This machine gives the pipe suitable length. And stenciling machine gives the
correct and clear stenciling on the pipes. Whole this process was under the
supervision of the machine operator.

42
5.4.1 Production Manager

▪ He is in charge of production, maintenance and responsible for handling any


problem with respect to production.
▪ Responsible for maintaining ISI formality such as (a) Testing and maintaining
4 registers. (b) Effect on water test to be got conducted at engineering college
Thrissur.
▪ The quality of pipe produced every day is to be get tested at factory lab. All
testing of ISI pipe should be build.
▪ He is to check the punctuality of workers and ensured that no one comes late
for work; no one leaves the company premises. Before cease work without the
proper permission and to be replaced HRD without delay.
▪ He is responsible for taking for initiative action for purchase of spare parts and
to consult with the management.
▪ He checks the quality of pipes produced and also the production charts (SPC)
at least 4 times a day and to give necessary instructions as and when required.

Supervisor

▪ He ensures that employees under them are not undertaking any work or
business other than that of the company.
▪ He is the custodian of first aid box. And sickness of any worker, the supervisor
should render all to get medical treatment and other aids.
▪ All type of leave for workmen should be recommended by the production
manager and approved by the company manager.
▪ Shift supervisor will be responsible for all workers at the factory and mere
attention should be given to punctuality, general behavior.
▪ Workers under him wear proper uniform. Any complaints / knowledge of any
fraud, theft or any misconduct by any workman must inform to HRD.
▪ Accept the safety custody of money belonging to people under him.
▪ Tea breaks and lunch breaks are to be regulated strictly.
▪ No worker should be permitted to leave the working place before completion
of his work.
▪ Ensure each worker clean his working area before he leaves, tool board and
tools are to be cleaned.

43
Operator

▪ He is in charge ‘daily check life’.


▪ He should check the following factors :

Handling over, vacuum pumps, Traction, cutting, machine, threading, water


pump, cooling tower, DG set, Main switch, bus bar, mixing drum etc.

In K FOUR Pipes, the production department have two managers i.e.,


company manager and production manager. Both the managers are controlled by the
General Manager of the company. The main faults that we can identify in the
production department are the underutilization of the plant capacity and large amount
of wastage in the plant.

Helper

▪ He is responsible for treading, bell mouthing, stencilling and helping operators


for setting the die.
▪ Waste grinding and cleaning the working area.

44
FIG-5.4.2 STRUCTURE OF PRODUCTION DEPARTMENT

Company/Production
Department

Company Manager

Production Manager

Lab Chemist

Supervisor

Operator

Helper Mixing Chemicals


5.5ADMINISTR

45
5.6 DEPARTMENT

5.5.1 Administration

• Ensuring punctuality and discipline amongst the office staff.


• To look after all matters of the company related with the government departments.
• To deal with all correspondence and settlement of company with all government
departments. Preparation of all relevant return and notification as per schedule.
• To make visit to all government departments as and when detailed by the
management and to render feedback on various visits or settlements.
• To give timely advise and guidelines to other staff regarding departmental
settlement of the company.

In K FOUR Pipes, the main responsibility of the administrative manager is to


ensure punctual and discipline among the office staff. It is the duty of the
administrative manager to give timely advice and guidelines to the staff regarding
departmental settlement of the company.

46
FIG-5.5 STRUCTURE OF ADMINISTRATION DEPARTMENT

Administration Department

Finance Store keeper Data entry Steno /


Department typist

A/Cs Officer

Assistant Cost Account

47
5.6 STORES DEPARTMENT

Store keeper

• Working time 8.30 am to 4.30 p.m.


• The prime duty is to maintain an up to date information.
• Records of materials and tools and tools except for finished goods and raw
materials.
• To ensure proper records of issue of tools and materials after getting due demand
for concept individuals demand forms.
• To ensure tool loan cards prepared and signature obtained from concern
individuals.
• All items including (stationery purchased after approval from management is to
checked) physical, quality and quantity is assured and the same is reported to the
concerned head. The bills for such purchase to be verified and attested
and obtained signature from the concerned head. The same is pass through
deports for further action.
• To obtain section for purchase of items and record each purchase after due
approval of management.
• Ensure in wards and out wards of materials, tools especially for tool room with
the help of the computer.
• Also ensure proper handling of records for each company separately at record
room.
• He is in charge of filing system.

In K FOUR Pipes, Stores Department consists of raw material store and


finished goods. Each store has its own executives for fulfilling the functions.

48
FIG-5.6 STRUCTURE OF STORES DEPARTMENT

STORES DEPARTMENT

STORES MANAGER

STORE KEEPER

5.7 DESPATCH DEPARTMENT

The main aim of loading / dispatching section is to make task simple and
easy. The purpose of this is to make sure that the unloading of items at dealers shop
is also made.
Simple and the driver should be able to handle quite easy and without time
wastage and to avoid confusions when the lorry reaches the shop, all items are to be
unloaded are automatically seen on the top and in sequence. 1st lorry should be
dispatch before 9am. 7 Lorries and 15 drivers are available with dispatch section.

Procedure for loading


▪ Each load is packed in a designated and distinguished floor space.
▪ Tick each item as per order form along with party wise bundling and tagging.
▪ Send the orders for nakkels printing.
▪ Load the items in lorry as per direction from sales section.
▪ After completed the loading of the 1stnakkels immediately it send to sales
section for final billing.

49
▪ Second supervisors should prepare the nakkels on the factories computer.
▪ Loading on the lorry parked in the factory with all procedures (marking,
tagging etc).
▪ Number of persons allocated is :
▪ 4 loading supervisors 4 Nakkels printing one for day and one for night for
loading and 12 loaders.
▪ In the absence of the 1st supervisor 2nd and 3rd supervisor is responsible for
loading. Any doubt, confusions in the night loading, the supervisor should
clarify it at any time with sales manager.
▪ Make a counter check that all items should be clearly and completely loaded
in the lorry as per Nakkels.
▪ The billing must be start at 8 am lorry should be moved at 9 am.

In K FOUR Pipes, dispatch department is there to make task simple and easy. The
purpose is to make sure that the unloading of items at dealer shop is also made. There
are seven Lorries and fifteen drivers are available with the dispatch section.

FIG :5.7 STRUCTURE OF DESPATCH DEPARTMENT

Despatch Department

Loading Supervisor Drivers

50
5.8 QUALITY DEPARTMENT

Quality control department

It is one of the most important departments which maintain the product quality.
This department is headed by a Quality Controller. The quality control department
checks the quality of the raw materials as well as the finished products. If the raw
material is not of the standard quality the raw material will be rejected and will send
back to the suppliers. If the raw materials are of good quality the raw material is used
to the production department. After starting the production there are many steps to
check the quality of the product. If the finished product is not p to the ISI standards,
the product will be count as non ISI product.

Quality management

K FOUR pipes limited are committed to supply the very best quality products
to meet the customer’s need and expectations by continuous quality up gradation as
per BIS norms and specifications. Superior quality is the main reason behind their
dignified position in the same sphere of business. For their excellent quality
management, they have credited with ISO 9001:2000 certifications. Company’s
quest for excellence and efforts towards achieving quality has enabled them to gain
a substantial market share within a short span of time.

This ISO 9001-2000 certified company follow the Total Quality Management
in production and marketing. They abide by stringent quality control measures at all
level of manufacturing process. It has been always ensured by the company that their
customers get superior quality products. These quality control specifications are
followed tooth-to-nail from material sourcing to delivery of consignments. They
consume the finest quality of raw material which is purchased from reputed names
in the market.

Afterwards, they check all these materials for their exactness and utility. Every
manufacturing stage is thoroughly monitored by highly qualified experts, ensuring
flawless production at every stage. Moreover, each item is carefully checked by well-

51
equipped quality controller in order to allow the movement of only excellent products
so that they can easily meet the international standards.

The company guarantees customer satisfaction through on time delivers of


products with the correct quality and quantity as per customer’s requirement.

System quality

K FOUR Pipes are the first ISO 9001-2000 certified PVC pipes manufactures
in the Central Travancore. This company is accredited with ISO 9001-2000 by
AQSR Canada.

Quality policy and objectives

The company’s quality policy and objectives are given below:

(1) Quality Policy


Company’s unique ranges of products are very well complimented by
excellent quality and service. So they are committed to supply right quality products
to meet the customer’s needs and expectation by continuous quality. Quality policy
has a prominent place in the organization. During ISO awareness program day to
day management of the organization the policy is explained to the operators and staff.
This policy is reviewed for adequacy and effectiveness during the management
review
.
(2) Quality Objective
▪ Consistent and concerted efforts on process improvement.
▪ Right quality control procedures to ensure flawless production
▪ Total involvement of the entire work force on quality improvement.
▪ Strict adherence to documented quality system.

(The company has a documented system procedure to carry out each and every
activity from order processing to order execution. Since all these activities are being
carried out and monitored as per the international standards prescribed by the ISO
9001 system standard, quality is full assured in every activity).

52
Product quality

The company has a dedicated Quality Control Department under the


supervision of a Quality Controller provided with the various types of tools and
equipment’s. Company’s teams of quality controllers make sure that each of the
products are manufactured as pr the various national and international quality
standards. Range of products is in compliance with other specifications mentioned
as below:

▪ IS 4985:2000 CM/L No. 6330657


▪ IS 9537 (Part3) CM/L No. 6342967

The company has product quality certification license from the Bureau of
Indian Standard (BIS) to label ISI mark on their range of products.

There are documented procedures to check the raw material quality at the time
of procurement itself. Batch wise quality checks for the in process operations like
mixing, extrusion, socketing etc. are carried out as pre-defined work instructions.
Tests as per IS norms are conducted 24 Hrs after production. The test observations
are fed into the computer to generate the test observations are fed into the computer
to generate the test status of each batch comprising eight hours of production. All
the records connected with the raw materials, compounding, production parameters
and test observation are maintained for tracing the production history of a particular
batch.

Other function

1. Responsible and authorized for the quality of all raw materials and finished
products.
2. Formulating and updating specification for the raw materials and finished
products based on National and International standards.
3. Responsible and authorized for the quality products to the customers and to attend
customer complaint from respective quality if any.
4. Working with the management team for necessary administrative matters
interacting with the production, marketing, materials and technical service
department for corrective and preventive actions required.
5. Responsible and authorized for research and development activities.
6. Internal quality audit.

53
MACHINES FOR QUALITY TESTING

1. Opacity Test
The wall of the plain pipe shall not transmit more than 0.2 percent of the visible
light falling on it when tested in accordance with IS 12235 (part 3).
2. Reversion Test
When tested by the immersion method prescribed in IS 12235 (part 5), a
length of pipe 200+200mm long shall not alter in length by more than 5 percent. In
the case of socket end pipes, this test shall be carried out on the plain portion of the
pipe taken at least 100mm away from the root of the socket.
3. VicatSofting Temperature
When tested by the method prescribed in IS 6307 the VicatSofting
Temperature of the specimen shall not be less than 80 degree Celsius.
4. Hydrostatic Pressure Testing Machine
When subjected to internal Hydrostatic Pressure test in accordance with the
procedure given in the IS 12235 (part 8), the pipe shall not fail during the prescribed
test duration. The test shall be carried out not earlier than 24 hrs after the pipe have
been manufactured.
5. Resistance to External Blow at 0 Degree Celsius
When tested by this method, the pipe shall have a True Impact Rule for not
more than 10%. In case of socket-ended pipes, this test shall be carried out on the
plain portion of the pipe taken at least 100mm away from the root of the socket.
6. Density
When determined in accordance with the IS 13360 (Part 3. Sec. 1) the density
of the pipe shall be between 1.40 and 1.46.
7. Sulphated Ash Content Test
When test as per Annex B, the sulphated ash content in the pipe shall not
exceed 11%.
Quality Department holds a very important position in K FOUR Pipes.
Each and every stages of the production has to be approved by the Quality
Department to assure the quality of products. After confirming the quality of the
output by the quality department, products shall be dispatched.

54
CHAPTER-6

SWOT ANALYSIS

55
The present chapter is intended to analyse the environment of pipe industry in India
and to examine the organizational performance of high range pipe and fittings products
private Ltd. For this purpose, SWOT Analysis has been made.

SWOT ANALYSIS

Swot Analysis (alternatively SLOT analysis) strategic planning method used to


evaluate the strengths, weakness/limitations, opportunities and threats involved in a
project or in a business venture. It involves specifying the objective of the business
venture or project and identifying the internal and external factors that are favourable
and unfavourable to achieve that objective. The results of SWOT analysis made for
K FOUR Pipes Private Ltd. given below.

6.1 STRENGTHS
• The quality of the product is their greatest strength.
• There is strong support from the top management.
• Highly professional management.
• Retailer network all over Kerala.
• Good employee relationship.
• A well-motivated sales force.
• A solid base of satisfied customers.

6.2 WEAKNESSES
• Man Power: In some departments there is over employment.
• Ineffective modernization or the automation of office.
• Less sales promotion activities.
• Only concentrating on industrial markets.
• Product is available only in standardized sizes.
• Credit facilities are not made available.

56
6.3 OPPORTUNITIES

• Company is in a lucrative area where there is a lot of scope for development


and growth.
• Due to the large scale of construction of buildings, there is a high demand for
the company’s product in the near future.
• Pipes are considered to be a very essential item as far as construction field is
concerned. Hence there is possibility for a stable demand.
• The company always has an option of expanding the market.

6.4 THREATS
• Competition: The company is facing severe competition from local as well as
national market.
• Uncontrolled increase in the price of raw materials is one of the problems of
the company.
• Price war between existing surviving companies.
• Scarce resources: The main raw material, resin is considered to be a scarce
resource and there is likely shortage of raw materials in the long run.

57
CHAPTER 7
FINDINGS, SUGGESTIONS AND CONCLUSION

58
7.1 FINDGINGS

The organization study is based upon the information imparted by the respected
personnel of the organization. Interaction with workers, information from journals,
magazines, newspapers and annual report also helped to discover newer areas in the
functioning of the organization.
1. K FOUR Pipes Private Limited (TPPL) deliver quality product at right time.
2. Skilled, trained co-operative and experienced manpower.
3. Employees are satisfied with job and salary
4. K FOUR Pipes Private Limited facing high competition from similar business
concerns in the market.
5. Good co-ordination between the different departments of the organization.
6. Maximum production capacity is 107 tons / month.
7. Good industrial relation.
8. Customers are very much satisfied with the quality and delivery of the product.

59
7.2 SUGGESTIONS

1. Effective training programs to the employees for increasing the production.


2. Give timely rest to the workers in order to produce consistent performance.
3. The cost reduction steps taken by the management were fine, but need
improvement.
4. Maintain better ties with the dealer.
5. Company should adopt advertising and increase the promotional strategies for
increasing the sales.
6. Company should have to utilize their plant capacity fully.
7. Company should have to increase the productivity to meet the growing demand.

60
7.3 CONCLUSION
K FOUR Pipes Private Limited is a great blessing to the state. It is the first ISO
9001-20000 certified manufacturer in the Central Travancore. It’s ardent and sincere
passion, multifarious facilities, monumental growth, marvellous production and
variegated facilities are the hall marks of the company. Their products have been a
great success in the market. The standard quality of the products is their greatest
strength.

The study helped me to understand that the company is facing severe


competition and it affects the profitability of the company. The study also helped to
understand some of the drawbacks and problems of the K FOUR Pipes & fittings
such as absence of efficient Marketing department and absenteeism. If the unit is
managed to overcome these drawbacks and problems, it can increase its efficiency.

Being an MBA student the organisational study which is done in K FOUR


Pipes & Fittings, has benefited me with so much of confidence and awareness, so as
to be capable of orienting myself to work in a firm. The various exposures and
knowledge from the firm have been a turning point in my academic curriculum. This
study has improved my practical knowledge hand in hand with that of theoretical
knowledge.

61
IX. BIBLIOGRAPHY
Books:

▪ CHHABRA.T.N. “Principles & Practice of Management” DhanpatRai& Co


(9th Reprint Edition 2009).
▪ POTTI.L. R “Research Methodology” Yamuna Publications (2009 Reprint
Edition)
▪ CHHABRA T.N “Human Resource Management” DhanpatRai& Co 5th
(Revised) (2010 Reprint Edition)
▪ Ramaswamy V.S &Namakumari.S “Marketing Management” Macmillan
Publishers India Ltd 4th Edition 2009
▪ KOTHARI C.R. “Research Methodology” New Age International Publishers
Reprint Edition 2010
▪ PANDEY I.M “Financial Management” Vikas Publishing House Pvt. Ltd.
Reprint Edition 2009
▪ SONTAKKI C.N “Marketing Management” Kalyani Publishers Reprint
Edition 2009

Website:

▪ www.kfourextrusions.com

62

You might also like