INSTITUTIONAL TRAINING IN

“M G SPINNING MILLS, ANNUR”

Submitted by
MYTHRIYA D
(18BCO034)

In Partial Fulfilment of the requirement for the award of

Advanced Diploma in E - Commerce
(Career Oriented Course)

GRD SCHOOL OF COMMERCE AND INTERNATIONAL

BUSINESS
DR. G. R. DAMODARAN COLLEGE OF SCIENCE
(Autonomous and affiliated to the Bharathiar University and recognized by the UGC)
Re - accredited at the ‘A’GRADE level by NAAC
An ISO 9001: 2015 certified Institution CRISIL rated ‘A’ (TN) for MBA and MIB
Programmes
Avinashi Road, Civil Aerodrome Post, Coimbatore – 641 014

APRIL 2021
 CERTIFICATE
GRD SCHOOL OF COMMERCE AND INTERNATIONAL BUSINESS

DR. G. R. DAMODARAN COLLEGE OF SCIENCE

(Autonomous and affiliated to the Bharathiar University and recognized by the UGC)
 Re-accredited at the ‘A’GRADE level by NAAC
An ISO 9001: 2015 certified Institution CRISIL rated ‘A’ (TN) for MBA and MIB
Programmes
Avinashi road, Civil Aerodrome Post, Coimbatore – 641 014

CERTIFICATE
This is to certify that the report of Institutional Training done at

M G SPINNING MILLS, ANNUR

Submitted By

MYTHRIYA D

(18BCO034)

Submitted in partial fulfilment of the requirement for the award of

Advanced Diploma in E - Commerce

(Career Oriented Course)

Submitted for the viva - voce examination held on__________________

Internal Examiner External Examiner

Dr. K. K. Ramachandran

Director
DECLARATIOn
 DECLARATION

I, MYTHRIYA D (18BCO034) hereby declare that the Institutional Training

done at “M G SPINNING MILLS, ANNUR” is submitted to Dr. G. R.
DAMODARAN COLLEGE OF SCIENCE in partial fulfilment of the
requirement for the award of Advanced Diploma in E - Commerce (Career
Oriented Course) is a record of original work done by me during 2020 - 2021.

PLACE: Coimbatore SIGNATURE

DATE:
ACKNOWLEDGEMENT
 ACKNOWLEDGEMENT

I wish to express my sincere gratitude to the management of Dr. G. R. Damodaran

College of Science for giving this wonderful opportunity to pursue my graduation B.Com and
undergo Institutional Training.

My special thanks go to the Principal of our college Dr. T. SANTHA, M.Sc.,

PGDCA, M.Phil, M.Phil (CS), Ph.D., for her support in allowing me to complete my
Institutional Training successfully.

I also wish to express my deep sense of gratitude to our Respected Director,

Dr. K. K. RAMACHANDRAN, M. Com., MFT., MBA M.Phil., PGDCA., Ph. D., for his
unfaltering faith in his students and providing us with new ways to excel in the field of
commerce.

I would like to express my sincere thanks to Dr. S. DHANARAJ, HOD, School Of

Commerce And International Business, for his motivation and timely assistance.

My thanks to my guide, Mrs P. Kavitha, M.Com., M.Phil., the faculty,

School of Commerce and International Business, Dr. G. R. Damodaran College of Science
for her valuable guidance, enthusiastic effort, and timely help, towards the completion of the
report.

I sincerely express my thanks to the management of M G SPINNING MILLS,

ANNUR for allowing me to do Internship project in their esteemed company.

I also extend a huge thanks to my parents, friends and the Almighty for having
supported me in doing this project.

MYTHRIYA D
 TABLE OF CONTENTS
TABLE OF CONTENTS

Chapter Particulars Page

No. No.
I INTRODUCTION 1
1.1 Introduction about the industry
1.2 Introduction about the company

II COMPANY PROFILE 4
2.1 Profile of company
2.2 History of company
2.3 Quality control mechanism

III ADMINISTATIVE SETUP 8

3.1 Founders /promoters of the company
3.2 Organisational hierarchy
3.3 Roles and responsibilities

IV PRODUCTION PROCESS 12
4.1 Introduction about production department
4.2 Steps in production process
4.3 Major customers and suppliers
4.4 Various type of products
V OTHER DEPARTMENT ACTIVITIES 22
5.1 Finance, HR, Marketing, Sales, Purchase
5.2 Functions
VI CONCLUSION 34
6.1 Learning Experience
6.2 Conclusion
 CHAPTER 1
INTRODUCTION
1. INTRODUCTION
1.1. ABOUT THE INDUSTRY

In India the culture of silk was introduced in 400AD, while spinning of cotton traces
back to 3000BC. In China, the discovery and consequent development of sericulture and spin
silk methods got initiated at 2640BC while in Egypt the art of spinning linen and weaving
developed in 3400BC. The discovery of machines and their widespread applications in
processing natural fibres was a direct outcome of the industrial revolution of the 18 th and 19th
centuries. The discoveries of various synthetic fibres like nylon created a wider market for
textile products and gradually led to the invention of new and improved sources of natural
fibre. The development of transportation and communication facilities facilitated the path of
transaction of localised skills and textile art among various countries.

The textile industry is the largest industry of modern India. It accounts for over 20%
of industrial production and is closely linked with the agricultural and rural economy. It is
the single largest employer in the industrial sector employing about 38 million people. If
employments in allied sectors like ginning, agriculture, pressing, cotton trade, jute, etc. are
added then the total employment is estimated at 93 million. The net foreign exchange
earnings in this sector are one of the highest and, together with carpet and handicrafts,
account for over 37% of total export earnings at over US $ 10 billion. Textiles alone account
for about 25% of India’s total foreign exchange earnings.

India’s textile industry since its beginning continues to be predominantly cotton based
with about 65% of fabric consumption in the country being accounted for by cotton. The
industry is highly localised in Ahmedabad and Bombay in the western part of the country
though other centres exist including Kanpur, Calcutta, Indore, Coimbatore, and Sholapur.

The structure of the textile industry is extremely complex with the modern,
sophisticated and highly mechanised mill sector on the one hand and the hand spinning and
hand weaving (handloom) sector on the other. Between the two falls the small-scale power
loom sector. The latter two are together known as the decentralised sector.

Over the years, the government has granted a whole range of concessions to the non-
mill sector as a result of which the share of the decentralised sector has increased
considerably in the total production.

1
 Textile Industry in India is the second largest employment generator after agriculture.
It holds significant status in India as it provides one of the most fundamental necessities of
the people. Textile Industry was one of the earliest industries to come in to existence in India
and it accounts for more than 30% of the total exports. In fact Indian textile industry is the
second largest in the world. Textile Industry is unique in the terms that it is an independent
industry, from the basic requirement of raw materials to the final products with huge value
addition at every stage of processing. Textile industry in India has vast potential for creation
of employment opportunities in the agriculture, industrial, organised and decentralised sector
& rural and urban areas, particularly for women in rural areas. Indian textile industry is
constituted for the following segments: readymade garments, cotton textiles including hand
looms, man-made textiles, silk textiles, woollen textiles, handicrafts, coir and jute.

In 1985, for the first time the importance of textile sector was recognised and a
separate policy statement was announced with regard to development of textile sector. In the
year 2000, national textile policy was announced. Its main objectives was to provide cloth of
acceptable quality at reasonable prices for the vast majority of the population of the country,
to increasingly contribute to the provision of sustainable employment and the economic
growth of the nation and to compete with confidence for an increasing share of the global
market. The policy also aimed to achieving the target of textile and apparel exports of US $50
billion by 2010 of which the share of garments will be US $25 billion.

1.2. ABOUT THE COMPANY

The objects define and continue the scope hold out angle opportunities for a company
to participate in activities, which work very remote in character and for removed from the
principal & ancillary object for which the company was incorporated. The main objective of
M G SPINNING Mills are,

1. To earn reasonable profit by supplying good quality goods at reasonable prices.

2. To provide employment opportunities for too many people and to provide reasonable
wages, job stratification and other incentives.

3. To introduce new design according to the taste of the customer.

4. Satisfied process control to sustain the product quality within permitted variation.

2
This concern wishes to take best are of the available resources and source the greatest
possible output with the minimum inputs.

The producing product of the company is yarn.Yarn consists of several strands of

material twisted together. Each strand is, in turn, made of fibers, all shorter than the piece of
yarn that they form. These short fibers are spun into longer filaments to make the yarn. Long
continuous strands may only require additional twisting to make them into yarns. Sometimes
they are put through an additional process called texturing.

The characteristics of spun yarn depend, in part, on the amount of twist given to the
fibers during spinning. A fairly high degree of twist produces strong yarn; a low twist
produces softer, more lustrous yarn; and a very tight twist produces crepe yarn. Yarns are
also classified by their number of parts. A single yarn is made from a group of filament or
staple fibers twisted together. Ply yarns are made by twisting two or more single yarns. Cord
yarns are made by twisting together two or more ply yarns.

3
 CHAPTER 2
COMPANY PROFILE
2. COMPANY PROFILE

2.1 PROFILE OF COMPANY

NAME OF THE COMPANY : M G SPINNING MILLS

YEAR OF ESTABLISHMENT : 2012

NAME OF THE DIRECTORS : SELVAKUMAR.P

BANKER : KVB

MILL ADDRESS : SF NO 441, KANJAPALLI VILLAGE,

AVINASHI ROAD, ANNUR,

TAMIL NADU, INDIA

PHONE NUMBER : 0422-2411088

E-MAIL : mgspiningmills@gmail.com

MANUFACTURING PRODUCT : Yarn

ANNUAL TURNOVER : 16C

NO OF WORKERS : 120

2.2 HISTORY OF COMPANY

The M G SPINNING Mills Company Ltd was started in year 2011, at Kanjapalli
village, Annur. The main objective of the company is to produce yarn with good quality.

M G SPINNING Mills manufactures polyester cotton viscose blended hosiery yarns

in all colours and they also provide all types of fancy yarns (neppy melange, snow melange,
grindle melange, slub yarn, injection slub yarn) NE 20s to NE 40s. The Company’s
manufacturing unit in located at annur and the registered office is at tirupur.

The Company has also demonstrated its staying power by ensuring quality and
customer satisfaction as the prime objectives. In fact, as a pioneer, M G SPINNING Mills
today is looked upon with respect and reverence as a company that paved the way for the rest
to follow.
4

UNIT SPINDLES
 KANJAPALLI 7100

The Company has the unit to manufacture Blended Yarns and Yarns produced out of
special fibers like lurex.

Around 120 workers are working here, including permanent labours, apprentices and
casual workers. M G SPINNING Mills specialises in the production of cotton yarn in counts
from 20s to 40s.

2.3 QUALITY CONTOL MECHANISM

DEFINITION OF QUALITY CONTROL

Definition of Quality can be like this, particular standard of product which satisfies
the costumers need. For this, testing of the product is done and parameters of that product
are verified and maintained in given tolerance limit of standards. This process is called as
quality control.

QUALITY CONTROL MECHANISM

Quality control officer is in charge of quality control department. The main functions
of quality control department, is to check the quality are submitted to the cotton manager. In
this section the machine are used.

For producing the goods quality is very important. Yarn quality reflects in cloths also
so for pure cotton it is very important to check the strength, deviation etc. Quality means
nothing but perfect product, to produce those perfect products a Schedule is prepared for each
department. 5

Each department a standard is fixed. If any deviation weather in good or else in

machine this was immediately informed to maintenance department. So that breakage will be
avoided, not only that the quantity and quality of the good will be at standard. In competitive
market perfection, quality, quantity is very important .customer satisfaction is very important
for example, deviation from 0.138 to 0.1420 is allowable. the deviated product is
reprocessed. Checking process done once in 15 day in every department according to the
department

1. Blow room:

In blow room a sample is collected and tested. Fiber is taken according the
Test level and which was tested once in a month.

2. Carding:

Hank checking done twice a day, each after 12 hrs timing at 10 am &10pm
Waste study was also tested here. Up to 7% deviation is allowed. Which was done
once is Month. In case any deviation notes proper corrective action to be done.

1. Breakage study:

In case there is any deviation in machinery breakage study is processed.

Breakage study is carried out once in a month.

2. Lap forming:

22 canes is fixed where lap weight checking is done this done Once in 16 day.

3. Drawing:

8 canes are used to take a cane. Sliver weight is checked here which was done
through auto level of function a test 10 days once hand checking every 2hr

4. Simplex:

Sliver is converted as rowing where rowing hang is checked 10 day once.

Stretch 0.6% variation is allowed if it exceed the problem will reflect in count.

7.Spinning: 6

▪ Yarn count checking

▪ CSP strength checking which was checked daily

▪ Breakage study monthly once

8.Autoconer :

Autoconer is winding process where cobs are made as cone. Here Electronic
yarn cleaner (EYC) through which yarn is passed. While winding if any splicing
strength is checked this was allowed above 90% of strength. This was checked 15 day
once. Normal yarn strength is 100%.

7
 CHAPTER 3
ADMINISTRATIVE SETUP

3. ADMINISTRATIVE SETUP

3.1 FOUNDER AND PROMOTERS OF THE COMPANY

Founder A. M. Balasubramaniam
 Promoter M. G. Yarns run by A.M.Balasubramaniam only. Along with various yarn
sales from many more mills they also promote MG Spinning Mills.

From Tirupur. After his education he started working at cotton market as a quality
analyst. From there he started a garment export factory and knitting companies.

When things went downhill he started yarn trading in the name of MG Yarns and later
in 2012 MG Spinning Mills was opened and is running successfully with happy suppliers and
satisfied customers.

ACCOUNTANT

PURCHASE FIELD FINANCE

MANAGER SUPERVISOR CONTROLLER

PURCHASE QUALITY FINANCE

DEPARTMENT CONTROL DEPARTMENT
DEPARTMENT

3.2 ORGANISATIONAL HIERARCHY

EXECUTIVE DIRECTOR
8

MANAGING DIRECTOR
 HUMAN
MANUFACTURING RESOURCE
DEPARTMENT DEPARTMEN
T

` HR
FIELD
SUPERVISOR MANAGER

HR
SPECIALIST

PAYROLL AND
CO-ORDINATOR

3.3 ROLES AND RESPONSIBILITIES

9

Here there are some roles and responsibilities of the concern and the workers

➢ Total working hours of a concern is 8 hours.

➢ National holiday will be a holiday for a concern.

➢ Workers have to sign in the attendance regularly while coming in and going out.

➢ Workers have to submit their reports on time.

➢ The maintenance of the concern is updated regularly.

➢ Employees should obey their superior orders.

➢ Workers should develop a good relation among the others.

➢ Working hours should be used efficiently.

➢ Participate in market report or feed back discussion to understand properly what the
market demands.

➢ Find out the items to be improved and designed the scheme of quality improvement.

➢ Evaluate the staff performance and write recommendation.

➢ Prepare financial statements, business activity reports, and forecasts.

➢ Monitor financial details to ensure that legal requirements are met.

➢ Supervise employees who do financial reporting and budgeting.

➢ Review company financial reports and seek ways to reduce costs.

➢ Analyse market trends to find opportunities for expansion or for acquiring other
companies.

➢ Help management make financial decisions.

➢ Prepare financial statements, business activity reports, and forecasts.

➢ Monitor financial details to ensure that legal requirements are met.

10
➢ Supervise employees who do financial reporting and budgeting.

➢ Review company financial reports and seek ways to reduce costs.

➢ Analyse market trends to find opportunities for expansion or for acquiring other
companies.

➢ Help management make financial decisions.

11
 CHAPTER 4
PRODUCTION PROCESS

4. PRODUCTION PROCESS

4.1 INTRODUCTION ABOUT PRODUCTION PROCESS

The The main function of production department is spinning the gained cotton into

yarn of high quality conversion of raw varieties fine yarn of different counts like 20’s to
40’s in export quality.

The production of yarn involves various processes. The raw material said to be Cotton
and polyester is taken in bale form and then the visible impurities are removed by picking
process and mixing process takes place. It is taken into the blow room for opening and
cleaning and making it into a lap form.

After this, carding process is done for removing mixture impurities and made in to a
thread according to the required thickness. In Sliver, parallelisation and making into lap form
are done.Again fining the Silver and removing looks in thread is done. The fine yarn is
produced by simplex and ring frame method. 

The faulty yarn is removed by using autoconer. After all the process is done the long

length of yarn is packed in good condition. The length of the yarn is usually measured in
yards.Yarn is defined assemblage of fibers twisted together.The process of making the yarn
from a textile fiber is called spinning.

4.2 STEPS IN PRODUCTION PROCESS

Mixing

Blow room

Carding
Drawing

Spinning 12

Simplex

Winding

Packing
PRODUCTION PROCESS

1.Mixing

Various types of cotton, polyester bale is mixed with water depending upon the
temperature. If the temperature is high then the water required is also high, if the surrounding
is moisture then the water required is low.

2.Blow room

The process involves opening of cotton, polyester and elimination of impurities, such
as land, seed etc. and this principle function carried out by passing cotton and polyester a
series of machines known as blow room line.

Raw materials are fed in the machine which has several hating points, the raw materials
cleaned to some extent and taken in the form of laps. The cleaned waste cotton, polyester and
mixed waste cotton, polyester are converted into a form of uniform compressed sheets which
is rolled into a lap. The laps have predetermined weight per unit length to meet the desired
standard. The machines are used bale breaker, hopper, and feeder, step cleaner, porcupine
opener beater culture.

13

In a beating operation, the flocks are subjected to a sudden strong blow. The inertia of
the impurities accelerated to a high speed, is substantially greater than that of the opened
flocks due to the low air resistance of the impurities. The latter are hurled against the grid and
because of their small size, pass between the grid bars into the waste box, while the flocks
continue around the periphery of the rotating beater. By using much shorter machine
sequence, fibers with better elastic properties and improved spin ability can be produced. Air
streams are often used in the largest machine sequence, to separate fibers form trash particles
by buoyancy differences rather than beating the material against a series of grid bars.

3.Carding

Carding process is considered as heart of spinning. Any defects occur in this process
continue throughout the remaining process of spinning resulting defecting yarn. In this
process the cotton, polyester fibers are passing through in between two sets of wire points
moving in opposite direction resulting in the parallelisation of fibers and any remaining
trashes from blow room proc essing is removed and al the clean cotton, polyester fibers are
consolidated in the silver from for easy handling of cotton in further processes. Secondly the
seed particles are reduce to 0.1 %. In carding the lap is first converted into web and then
sliver, it taken nearly 40 minutes for a lap to become sliver.

4.Drawing 14
Card sliver have variety over length and this need improvement both in weight, uniforms
and fibers straightening. The carding sliver are feed into drawing the fibers are drawn parallel
and collected in cans and stored in a place for open end spinning process. 8 cans sliver to
convert 1 can (Breaker).In this process, carded or combed sliver is drawn in order to impart
uniformity and parallelise the fibers in the longitudinal direction. Depending on the count for
the yarn to be spun a sliver may be drawn once, twice or thrice.

5.Simplex

The drawing sliver is too widely to be used directly on ring frames due to its bulkiness.
So it is necessary to make the widely sliver from drawing or comber into a package which is
easily handled in ring frames. For that it is the best way to reduce the thickness of the sliver
wind it on bobbins which can be fixed on ring frames for spinning final yarn. This process is
carried out in simplex frame. It is the final process of making yarn. The roving is drawn
between rollers according to the count requirement and passed through ring to impart twist to
the yarn and then the yarn is wound on bobbins. As the bobbins are full it will be removed
from the ring frames and send for auto corner.

6.Spinning

It is the final process where the roving bobbin is reeled in spinning frame to produce
yarn. The yarn wounds on bobbins are further twist at high speed and drafted to produce
counts and yarn. There are 7015 spindles are available in M G Spinning Mills

This is a conventional spinning process for medium and fine counts. The drawn sliver
is fed to a “speed frame”, then to an inter and finally to the “ring frame”. In the ring frame the
roving (the output of the speed frame) passes through gear drafting rolls, a yarn guide and
through a rotating c-shaped traveler before being wound on the bobbin which is mounted on a
rotating spindle.

15
7.Winding

The autoconer machine eliminates all the imperfections and faulty yarn and wind the
yarn around a cone. It adjusts the length of the yarn to be wound over the cones according to
the count of the yarn. The cones are then checked once and are moved to the packing area.

8.Packing

Each bag consists of 40 cones which weighs 1kg and 500grams. Thus the bag weighs 60
kg. Before the packing process each cone is been checked.
4.3 MAJOR AND CUSTOMERS AND SUPPLIERS

Polyester mainly acquired from reliance, Bombay dyeing and Sulochana polyesters.
Cotton for local suppliers as well as brokers from Karnataka, Maharashtra and
Madhya Pradesh.
Viscose and Lurex are purchased only when required from dealers in Coimbatore, we
do not maintain much stock. We purchase for the order requirement only.
Customers are garment exporters mainly from Tirupur. There is a huge list of
customers.

4.4 VARIOUS TYPES OF PRODUCTS

1. MELANGE

A melange yarn is the yarn which is produced with various combinations of raw
white & dyed cottons or dyed fibers. For example, if we mix 99% raw white cotton & 1%
dyed cotton (of any colour), then it will be called "Melange" yarn. Similarly, we can generate
hundreds and hundreds of shades by mixing various percentages of Cottons with various
ratios. 16

All the formed yarns through this method will be called "Cotton Melange Yarns". At
the moment, our spinning unit at ANNUR is producing high quality Cotton Melange Yarn in
the following shades:

• Black –  80 Shades

• Brown–12 Shades

• Chain- 15 Shades

• Blue – 46 Shades

• Red – 18 Shades
• Green – 24 Shades

• Yellow- 12

• Purple-10

• Pink- 7

2.Heather Grey Yarn

Heather Grey is the yarn which is produced with various combinations of raw white
and black polyester. Considering these combinations as examples; 99% raw white cotton +
1% black polyester or 98% raw white cotton + 2% black polyester or 95% raw white cotton +
5% black polyester, many shades can be generated with different ratios of dyed polyester and
in different colour. The yarns produced through these techniques are called "Heather Grey
Yarns" or "Polyester Melange Yarn". Along with "Cotton Melange Yarn", our spinning unit
produces 14 shades of "Heather Grey"

17

3.Plain Yarns
 A cotton plain yarn is the yarn which is produced by drafting the cotton fibers upto
required count & then by twisting them to get the required strength upto optimum level. The
yarns made through this method are called cotton plain yarn which are further divided into
different categories depending upon the buyer requirement & end usage like, Plain Weaving
Yarns used for Warp & Weft, Plain Knitting Yarns, Hosiery Yarns, Soft Yarns etc.,

4.Fancy yarn

A yarn that differs from normal construction of single plain yarns by the way deliberately
produced irregularities in its construction. These irregularities relate to an increased input of
one or more of its components or to the inclusion of its periodic effects such as knots, slubs,
curls or the like.

18

5. Stretched Yarns
 Stretch yarns are frequently continuous-filament man-made yarns that are very tightly
twisted producing a spiral crimp giving a springy character. Although bulk is imparted in the
process, a very high amount of twist is required to produce yarn that has not only bulk, but
also stretch.

19
 CHAPTER 5
OTHER
DEPARTMENTACTIVITIES

5. OTHER DEPARTMENT ACTIVITIES

5.1 FINANCE, HR, MARKETING, SALES, PURCHASE

FINANCE DEPARTMENT

Finance in general is the “Life Blood of any organisation”. Finance is required for
meeting the day-to-day. No business enterprise can be started and run smoothly without
finance. Finance is required for purchasing of machines, Packing Material, etc. Finance is
needed to pay Salaries to employees and also for staffs.

The Finance can be borrowed, from shareholders, banks and other financial
institutions also from the internal and external sources.

The firm arise fund from banks also. The firm maintains the fund by proper utilisation
for necessary things. Finance department helps the Accounts department by pay the amount
to the suppliers. It pays the amounts to the accounts departments. When they are in need of
money yearly budgets are prepared and a separate finance manager is appointed to control the
Finance department.

MAINTAIN BOOKS AND FILES

a) Cash book and bank book

b) Sales register and purchase register
c) Ledger Accounts
d) Trial balance
e) Profit and Loss Account
f) Balance Sheet

CASH BOOK AND BANK BOOK

All sums of money received and expended by the Company.

LEDGER ACCOUNTS

The ledger consists of asset and liabilities of the Company.

TRIAL BALANCE 20
 (i) Trial balance is a Summary of all ledger balances cash and bank balances on a
particular day. In a Trial balance, Debit side and Credit side should always Tally.

(ii) Balance sheet and Profit and Loss Account is prepared from the Trial Balance.

PROFIT AND LOSS ACCOUNT

(i) Profit and Loss Account is prepared from the Revenue income and Revenue
expenditure items in the Trial Balance.
(ii) Profit arises when revenue income is in excess of revenue expenditure.
(iii) Loss arises when revenue expenditure is in excess of revenue income.
(i) In the case of non-profit organizations, Profit and Loss Account is termed as
“Income and Expenditure Accounts”.

BALANCE SHEET

Balance Sheet is the Statement reflecting the Assets and Liability position of a
concern on any particular data.

HUMAN RESOURCE DEPARTMENT

Human Resource department has a variety of tasks to be performed. It should be done

efficiently and effectively. So that the resources are not wasted or not being utilized in full.

Time offices play a vital ride in managing Human resource. There are 100 employees
working in the mill and there are 20 staff working for the mill. The mill works under 3
deferent shifts the time is,

1. 7.00am to 3pm.

2. 3pm to 11 pm

3. 11pm to 7am

The staff works from 8 am to 5 pm head office staff work from 9am to 6pm.The
21
salary is given on, day basis and week basis and contract basis.
 Recruitment:

• Staff vacancies are announced through advertisement.

• Interested candidates may apply for the post.

• The candidates are selected by their respective heads.

• Candidate’s application are scrutinized, and then asked to attend a personal interview,
take up the written test and finally selected by the board of panel members.

MARKETING DEPARTMENT

Marketing is the process of identifying the goods & services that consumers need and
goods and providing those goods& services at the right price, place & time. Business develop
marketing strategies by conducting research to determine what products and services
potential customers think they would like to be able to purchase.

Firms also promote their products & services through such techniques as advertising
and personalized sales, which serve to inform potential customers& motivate them to
purchase.

The fixation of price is made by the director of the company. Marketing department is
managed by the marketing manager and assistance to market the products the made-ups to the
customers demand and satisfaction and also up to the current market trends.

DUTIES OF MARKETING DEPARTMENT:

• Providing customer service

• Collection enquiries from agents

• Sending offers/ Quotations

• Responding to customers cells.

Sales details:
22
• Enquiry through phone, fax, E-mail.
 • Sales through agent, deport, director.

• Count-Customer name, quality, delivery payment.

The company is making note of all the market trends & may design up the made-ups
accordingly. The company’s marketing department is very effective and is headed by
experience sales persons.

The price sales are fixed by the concern itself. By consulting the price sales are done
through agent by providing commission and discounts.

Objectives of marketing

➢ Intelligent and capable application of modern marketing policies.

➢ To develop the marketing field.

➢ To develop guiding policies and their implementation for good result.

➢ To suggest solutions by studying problems relating to marketing.

➢ To receive existing marketing function, if shore coming are found.

➢ To take appropriate auctioning the course of action.

Importance of marketing

➢ Marketing is the connecting link between the consumer

➢ Marketing helps in increasing the living standard of people

➢ Marketing helps to increase the nation’s income

➢ Efficiency system of marketing reduces the cost of minimum

➢ Marketing process increases the employment opportunities

23
➢ For continuous marketing is needed

➢ Marketing creates modern costiveness

 ➢ Marketing removes the imbalance of supply by transfer

➢ To surplus to deficit areas through better transfer.

Modern marketing

Marketing occupied important places in all stage of economic life, even from barter
system. But today marketing is a complicated stage modern marketing covers all business
activities in order to as creation the demand product planning, distribution and facilitation the
entire marketing process. The modern marketing emphasises. The need for integrated and
well-coordinated marketing programmed. It aims to attract the consumer.

SALES DEPARTMENT

Production of goods is done for sales. Sales means deferred payment or production of
consideration. The effectiveness of sales into an organisation is the most important factor for
the progress of the firm, because the firm figure of project ultimately depends on the
efficiency of the department. The whole operation of an industry is to obtain and despatch the
product in time as soon as they are ready for sale.

Objectives of sales

➢ To increase buying response at the customer level

➢ To increase the sales effort of dealers an sales personnel

➢ To attract new customers

➢ To capture the major share of the market

➢ To create additional talking points OT sales persons

➢ To bridge the gap between advertising and personnel selling

24 with large market segment.

➢ To establish and maintain communication

Procedure
 The contracts or the job that is undertaken with the parties is followed punctually, in
order to improve sales and to satisfy the customers. They undertake any type of jobs and 25%
of the payment should be made as an advance by the customer and the balance is received
after the delivery of the fully completed product. The final equipments are delivered only at
the agreed rate according to the terms and conditions.

Terms and conditions:

The terms and conditions include the following factors

➢ Exclusive of taxes and duties

➢ Miscellaneous expenses such as wastages, to be paid by the customer.
➢ Transportation of finished products is to be taken care by the customers.
Sales department deals with various forms such as

➢ Cash bill

➢ Invoice

➢ Delivery Chelan and Receipt

In this sales department all credit and cash sale will be recorded. They are adopting two
types sale such as

➢ Cash sales

➢ Credit sales

Cash sales

Cash sale means selling the goods for ready cash. While making cash sale they offer
certain percentage of discount according to the sales amount. While making cash sale there
are offering a gift coupon to the customer in order to increase the sales and to attract the
customers.

Credit sales
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Credit sale means selling the goods for credit. They offers credit sale only for the
known person and for the bulk purchaser. They are charging 5.99% of interests for credit
period of a 1 year and credit period will differ according to the sale amount. If the credit
period is more than 1 year they are charging 6.99%. For cash and credit sale they are offering
1 year free service and 2 year warrant.

Sales returns

If there is any damages at the time of transit company is not responsible, buyers are
only responsible. If there is any repair or fault in the running of pump, at that Time Company
will take care and they will service the panel boards for free of cost.

Methods of sales forecasting

Approaches to techniques and procedure vary from firm to firm. There are many
methods. Forecasting cannot be done on mere guessing. But on the basis of reliable
satisfaction data collected for this purpose. A dealer or a manufacturing must anticipate the
future needs and provide necessities to fulfill the needs.

The following are the various methods of sales forecasting

➢ Jury of executive opinion

➢ Sales force opinion

➢ Test marketing result

➢ Consumer’s buying plan

➢ Market factor analyses

➢ Expert factor analysis

➢ Econometric model building

➢ Past sales(historical method)

➢ Other factors

PURCHASE DEPARTMENT 26

The purchase department of any company must be active enough to proceed

with the purchasing of materials and when need arise.
 Purchase manager

Organisation structure of purchase department

Assistant purchase

manager

Assistance

The purchasing department of M G Spinning Mills is divided into 2 sections

• Purchase of
machinery spares & other items

• Raw material
purchase (cotton, polyester)

PURCHASE OF MACHINERY SPARE AND OTHER ITEMS:

The mill level purchase committee members can purchase machinery spares and
other items below Rs.15, 000. The control purchase committee of the head office, which
consists of the chairman, director of finance, technical manager, internal auditor and material
general manager, will do the purchase exceeding the amount.

Purchase process

• Purchase process
is forwarded from the receipt of purchase indent from the development were
the need for material has arises.

• Enquiry forms for

the material are the prepared based on the indent and sent to the dealers for
quotation.

• The quotations are

received from the dealer within 10 days and we collected from the tender box
by the members of the purchase committee on the specified date.

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 • Various prices,
quoted by the dealer for the material is noticed.

• When the price

quoted by two dealers are same, discount is claimed by the mill and order is
placed with one who accepts for discounts, further purchase order is forwarded
by the purchase assistant with proper authentication.

Cotton purchase

Cotton main raw materials cotton has been allocated a separate purchase
department. The purchase of cotton is done only through the head office.

Private source

Every month mill has to send a statement of cotton requirement to the

head office. On the receipt of such requirement statement the head office send from
the cotton division of head office to collect samples from various cotton centers.
These samples are tested by the head office for quality and strength. Once the head
office is satisfied with the test results it purchase the cotton and makes allotment to
the mill.

5.2 FUNCTIONS OF OTHER DEPARTMENTS

WELFARE

Compared to other enterprises, M G SPINNING Mills has good welfare

program. The welfare facilities given to the employees include cooperative society,
subsided canteen, school, quarters, festival cloth sales, sanitary facilities etc.

• Primary facilities: Canteen facilities are provided inside the campus which cost not
even one– third of the rates when compared to outside. The employees are provided
with free bus facilities for their transportation from company to residence.

• Medical facilities: M G Spinning Mills provides comfortable health care facilities to

all its employees and their family members. This is a comprehensive scheme
comprising med claim accident and combination.
• Safety trainings: Safety trainings are being given to all employees working there
once in every six months.

• First aid training: First aid training programs are given ones in every three years to
only nine members of the company.
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INDUSTRIAL RELATION

In M G SPINNING Mills, industrial relation is the key for interested

productivity. Industrial relation is concerned with the relationship between
management and workers and plays the role of regulatory mechanism in resolving any
industrial dispute.

RECRUITMENT

The recruitment and selection is the major function of the HR department in

M G SPINNING Mills and recruitment process is the first step towards creating the
competitive strength and the recruitment strategic advantage for the organisation. In
M G SPINNING mills they are mostly recruiting the scheme employees from
all over Tamilnadu.

TRAINING

Next is training, textile training is very much important, because entire thing is
depend on this. If training is wrong or doesn’t give result then organisation loses the
time, money and effort. In this, there are 4 types of training i.e., internship, remedial,
refresher, multi skill training.

The employees are provided with follow up training this is to keep best with
changes in the manufacturing process and changes in technology. They also provide
the multi skilling training for employees.

KEY FEATURES

❖ Manpower planning

❖ Understands all types of shift patterns e.g: general, weekly etc.

❖ Production punching
❖ Fast and scalable

❖ Labour dealing in 2,3 shifts

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ATTENDANCE SYSTEM

Use punching card based attendance system to reduce time spent in non-core
activities by employees while increasing the productivity. Avoid buddy punching and
encourage punctuality using this true-data system.

MAINTENANCE DEPARTMENT

The mills are ought to work for 24 hours continuously. There is maintenance of
machineries inundations to longer life to machine parts. Maintenance of machinery is
bound to contribute to the quality of production. The company is following various
types of maintenance as under:

PLANNED MAINTENANCE

A machine should be maintained by property for efficient performance.

Therefore maintenance is planned in advance and is based on the scientific and
technical principles. This provides for the proper preservation and protection of
machineries

BREAK DOWN MAINTENANCE

When there is a break down in the machinery the fitter concerned takes
immediate steps to bring down the machinery to its original condition.

MACHINE HANDLING

• Oiling of the machinery is done on alternative days.

• Weekly cleaning of machinery is done to prevent the machineries from

breakdown
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6.CONCLUSION
 6. CONCLUSION

6.1 LEARNING EXPERIENCE

The first task in manufacturing of the yarn is that making an order for cotton and after
that all the process starts and moves on. Every work made in the concern will be monitorised
by the respective members. Thus the completion of work takes place according to the time
specified. Thus the concern should work with coordination ever.

In review this internship has been an excellent and rewarding experience. I have been
able to meet and network with so many people that I am sure will be able to help me with
opportunities in the future. One main thing that I have learned through this internship is time
management skills as well as self-motivation.

6.2 CONCLUSION

The Training was helpful to know about the various aspects involved in the
organisation. The management has taken minute care in organisation for organising and
official working of all departments. The Training that I underwent at M G SPINNING mills,
provide more information and ideas about the functioning of the organisation.

Without practical training we would have probably grouped in the dark with only an
imaginative notion about the business. This Training has helped me to overcome all troubles
and situation in future. There is good and mutual relationship between the management and
employees. So there is less chance of stopping the production or any other activities.

After completion of the Institutional Training the training has been very useful and
was successful.

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