Product Project Report

ON
MADHURAM SWITCH BOARD

Submitted to:

Saurashtra University
Rajkot – 360005

Prepared By:

Avinash Ajani Vinodbhai

Roll No:
1
Class:

Bachelor of Business Administration

Semester – 4

Year:

2020-21
Under the Guidance of:
Kalpesh Sardhara

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 DECLERATION

I am Ajani Avinash Vinodbhai being a semester 2 students of

BBA, Harivandana college, RAJKOT. So declare that the project work
presented in this report us my own and has carried out under the guidance of
Prof. Kalpesh sir.

I further declare that a contest of this report has not been

previously submitted to any other university by me.

DATE:

PLACE:-Rajkot
SIGNATURE:

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 ACKNOWLEDGEMENT

Though this acknowledgement. I am thanks to my collage for gave

opportunity about the project report at that time. I carry out this interesting visit at
“Madhuram”.

I would like to thanks prof. Kalpesh sir for helping me to made my

project successfully.

I am also grateful to my friends, manager and those who directly

and indirectly helped me for the completion of the project.

I hope that you will be satisfied with my project. Thanks to all.

Yours faithfully

Avinash Ajnai

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 PREFACE

Business now a day has become an important part to

development of country like India. Every economics consists of three sectors.
They are primary sector second and tertiary sector.

India service sector has always served the country

economy well and currently accounting near about 60 per cent of the gross
domestic product GDP. In this regard the finished service sector has been an
important part.

The purpose of visit in the service sector was to get an

outlook of what we study theoretically in side the classroom discussion and
theoretically knowledge
isn’t enough for student but this type of service sector visit and training plays
and important role. It gives opportunity to increase our knowledge and also
develop the activity.

It is my pleasure that I also have practical knowledge to run

such business.

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 INDEX

NO. TITLE PAGE NO.

1. General information of company 06-12

2. Production department 13-29

3. Marketing department 30-39

4. Accounting and financial department 40-59

5. Human resources (HR) department 60-73

❖ SWOT ANALYSIS 74

❖ SUGESSATION 75

❖ CONCLUSION 76

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1). GENERAL INFORMATION OF
COMPANY

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 INDEX

NO. POINT PAGE NO.

1. Company 08
profile

2. Owner & promoters bio data 09

3. History of the company 10

4. Contribution of the company to the industry 11

5. Organization chart of the company 12

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 COMPANY PROFILE
Company name Madhuram Switch Board

Registration offices address Bahumali Bhavan, Rajkot.

Date and year establishment 03-11-2011

Form of organization Sole proprietorship

Main product Electric modular metal box, Fan box.

Other product 2pin, 3pin (5A & 15A), DB box,

junction, all Government contract etc.

Area of operation Gujarat, Maharashtra, etc.

Expertise Quality maintain

Industry sector Electronic Modular box industries

Additional services Transportation services

Vision of the company All the activities are complete in the sector.

Mission of company Year by year high profit

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 OWNERS & PROMOTERS BIO-DATA
(Sole proprietorship)

This is a one person firm.

Name Avinash Ajani

Age 19 year

Religion Hindu

Financial contribution 100%

Responsibility Unlimited

Share in profit No share in profit

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 HISTARY & DEVELOPMENMT OF THE COMPANY

Electric products are made by these industries. These

industry products are used in construction. Example. Building, Housing,
Company etc.

This industry was start in small firm. Wooden box was

made by these industries. This industry was start for sole proprietorship. Old
address:-150 feet ring road, Rajkot. This industry started in small budget.
“MADHURAM SWITCH BOARD ” works established from 2007-2008.
Avinash Ajani is the founder of the “MADHURAM SWITCH BOARD”.

This industry is starting from small firm. It was setup in

2006. “MADHURAM SWITCH BOARD” name is registration in 2011. This
industry was made by wooden board (box). These industry products were first
selling in Rajkot and surendranagar. Change this product and update new
products because market demand. First metal box was made by these industries
in all Rajkot.

This industry is give suggestion, help and motivation for

employees They give their labors easy to do any hard work for these
industries. To do the advertisement for the selling purpose. This industry is
give life insurance for all employees.

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 CONTRIBUTION OF THE COMPANY TO THE INDUSTRY

In business of the electric products there is less number

of industry in Gujarat. But still there some of industry in Gujarat which
manufacture the electric items.

“MADHURAM SWICH BOARD” manufacture the

60% electric items which manufacturing in Gujarat. 2 crore turnover for this
industries.

ACHIVEMENT, AWARDS, CERTIFICATE FOR THE

COMPANY

Best Quality.

Perfect timing.

All items same quality.

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 Overall Organization chart of the company

Sole
propriotar

Accounting
& Sales & Research
Productio & Purchasin
finance marketin n g
department g Developme
nt

-Field -Component
sales manufacture
force -Product
- assembly
Customer -Quality control
services
-
Dealershi -Employees
p and
Workers

This company is one person company. So all the activity

manage by sole proprietor. I.e. Accounting & finance, sales & marketing ,
Production , Research & development , and Purchasing. Field sales force ,
customer services , dealership of sales & marketing process for this company.
Production in component manufacture, product assembly, quality control.

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2)
.

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 INDEX

NO. POINT PAGE NO.

1. Introduction 14

2. Organization structure of the department 15

3. Types of product 16

4. Manufacturing process 23

5. Machinery derail 25

6. Plant outlay 29

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 PRODUCTION DEPARTMENT

All the products are made from painted coils.

Painted coil weight is in ton. Painted coil is cutting in shearing machine.

Shearing machine (sheet cutting) price 1,75,000.00 in India.

This machine is work in this industry.

All different products are made in the power press, and any other
press.

❖ Organization structure of the department.

Directors

product product product product product product

manager(1) manager(2) manager(3) manager(4) manager(5) manager(6) product
manager(7)
(Electric (Electric fan (DB box) (2pin , (Section (Raceway
modular box) box) 3pin) garedi) box) (Cabal tray)

Workers Workers Workers Workers Workers Workers Workers

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❖ Nature and types of products.

• Electronic goods.

1. Electric modular box

2. Electric fan box
3. DB box
4. 2pin , 3pin
5. Junction
6. Cabal tray
7. Section garedi
8. Section box
9. Raceway box

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1). Electric modular box.

Best locking technology. Supports all range of

modular switches. Made in GI sheet, only manufactured by Madhuram
Switch Board. Exclusive monopoly products.

This product is use in building, residence etc. A

modular system can be characterized by functional partitioning into
discrete scalable reusable modules; rigorous use of well-defined modular
interfaces.

WAYS OF METAL BOX (0.7mm & 0.9mm)

• Metal box 01-02 way
• Metal box 03 way
• Metal box 04 way
• Metal box 06 way
• Metal box 08 way
• Metal box 12 way
• Metal box 18 way
• Chores box 08 way

(Made by powder coating metal box and non-powder coating metal box)

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12. Electric fan box.

Sophisticated octagon design , In many colors and

non- colors or powder coating. Design can be easily dismantled. This products
is made in painted coils.

This product is use in building, residence, hotel, hospital, etc.

Most ceiling fan boxes are rated for fans or light fixtures weighing up
to 75 pounds, depending on the installation method.

Boxes can be mounted directly to a calling joist

or wood blocking or they can attach to adjustable braces spanning between
ceiling joists.

FAN BOX (0.7mm & 0.9mm)

Metal fan box

Made by PVC fan box

(Made by powder coating fan box and non-powder coating fan box)

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3. DB box.

Best locking technology, supports all range of DB box

corrosion free door, push to open, see through glass cover. Available in SPN
and TPN variant. Superior color finish in mist white and coin grey. Fitted with
masking sheet, raised neutral and earth bar.

Ready to use DBs provided with 100A phase bus-

bar, neutral bar, cement spill protector, earth bar and interconnecting wires as
standard accessories.

Provided with removable top and bottom gland

plates with adequate knockouts for easy erring.

Heavy and medium size all ways

DB(MCB) box. (Only powder coating DB

box)

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4. 2pin & 3pin.

The best locking and best quality technology.

This product is made by plastic material. This pin is made by ABS material.
Because ABS material is very hard material so, this material is used in this
products.

This product is use in electric all items and

lighting cabal. Electronic items i.e. refrigerator, TV, lights etc..

ELECTRONIC PIN

2pin Male

2pin Female

3pin 05A

3pin 15A

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5. Section garedi.

The best locking and best quality technology of

this product. This product is made by plastic material and painted coils. This
garedi is made by PP material. Because this material is very soft and moveable
material so, this material is use in these products.

This product is use in window. Big building,

offices, residence, hotel, hospital etc. This product main type of hardware
products. Window is open and close for this garedi product.

6. Raceway box.

The best locking technology supports all range

of raceway box. Made in GI sheet, four sides open, cap available on three sides
and four side for requirement, sturdy and robust.

This product is use in building, residence, hotel, office,

hospital, and all contraction sides.
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7. Cabal tray.

Our company is engaged in manufacturing a

wide range of Ladder Cable Tray. These are highly appreciated for their
durability as these are manufactured by using quality raw material like M.S, S.
S, GI aluminum and others. Raw material that we use, enhance durability and
reliability of stainless steel cable trays and mild steel cable trays.

The cable trays that we manufacture are

available into two different varieties hence; it is available in different sizes.
Aluminum cable trays are available in the sizes ranging from 50 mm to 600 mm
while our ladder trays are available in the sizes ranging from 150 mm to 1200
mm. Further, we also manufacture hot dip galvanized cable trays as per the
international standards that cater to the needs of various industries.

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❖ Manufacturing process.
I. Manufacturing process of metal box, fan box, DB box, cabal tray:

Painted
coils

Cutting
coils

Sapping and Bending

Jointin
g

Finishing and powder coating

Made this product

(1) Painted coils:

Coil coating is a continuous, automated process for coating metal
before fabrication into end products. The steel or aluminum substrate is delivered
in coil form the rolling mills. This industry is buying the coils from the umiya
steel Rajkot and Kutch.

(2) Cutting coils:

Painted coils are cut on the cutting machine. This machine is full
automatic.

(3) Shaping and bending:

Cutting the coil for this part was bending in power press,
Bending machine and hydro power press.

(4) Jointing:
Products are jointed for gas welding, sport welding and screw
and assembly.

(5) Finishing and powder coating:

Finishing for the grinding machine and printing, polishing.
Heavy products are coating in the powder coating plan.

(6) Made this product:

For this process is complete.

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 II. Manufacturing process of plastic product.

Plastic material

Heating machine

Molding (plastic) machine

Made product

Finishing this product

Fitting brash
part

Complete this
product
(1) Plastic material:
Plastic material i.e. ABS material, PP materials are buying in Arjun
plasto chem for this industry.

(2) Heating machine:

Plastic materials are heated process in heating machine.

(3) Molding machine:

Plastic materials are input in machine and output complete
products.

(4) Finishing this product:

Product are made but minor mistake are solve for finishing this
products.

(5) Fitting:
Fitting brash part in these products. Fitting steel body for garedy
products.

(6) Complete this product:

For this process is complete.

(7) Waste materials & products:

Waste materials are grinding in grinding machine.

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 ❖ Machinery Details:

(1) 8 Power press

(2) 2 Hydro power press
(3) 1 Bending machine
(4) 3 spot welding machine
(5) 2 tapping cum Drilling machine
(6) Molding machine
(7) Shearing machine (sheet cutting machine)
(8) Gas welding (Mick) machine
(9) Normal welding machine

1) Power press:

A power press is a very useful

machine used in mass production mainly from
cold working of ductile materials such as mild
steel. Normally a power press has a rotating
flywheel which acts like a storehouse of energy
and is used to operate the ram which provides the
necessary impact to the work piece.

▪ Power press 20 ton price RS 1,35,000.00

▪ Power press 10 ton price RS 85,000.00

2). Hydro Power press:

▪ Automatic hydraulic power press

Capacity 30-100 ton

Price 5,00,000.00 RS

▪ Open throat hydro power press

Price 1,30,000.00 RS

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 3). Bending Machine:

Bending machine (manufacturing) A bending machine is a

forming machine tool (DIN 8586). Its purpose is to assemble a bend on a work
piece. A bends is manufactured by using a bending tool during a linear or
rotating
move.

Max bending radius 200-

250mm Nominal force 1230mm

Work table height 445mm

Motor 7.5 KW

Machine price 7,50,000.00 RS

4). Spot Welding Machine:

Spot welding is one form of

resistance welding, which is a method of welding
two or more metal sheets together without using
any filler material by applying pressure and heat to
the area to be welded.

5 KVT spot welding

machine Price
65,000.00 RS

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 5). Tapping Cum Drilling Machine:

▪ Highly versatile for tapping, drilling, reaming and screwing at pre-set depth.

▪ Simple to install, simple to

operate... No extra skill required.

▪ Dual operation at tapping &

drilling without any extra
attachment. The
main click of the switch sets
the machine from tapping to
drilling & vice-versa.

▪ Automatic reversal of spindle at

the pre-set depth and changes the
direction at spindle automatically
back to normal

6). Molding Machine:

Plastic parts, produced by

injection molding, are
widespread. This is why
injection molding machines are
considered important in plastic
processing. The used machinery
market supplies strongly vary
according to screw diameter,
clamping force, controlling
system, year of manufacture
and operating hours.

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 7). Shearing machine (Sheet cutting):

A shearing machine is an industrial equipment with rotary disks and blades

used to cut hard iron sheets and metal bars. The term shearing means to apply a
high pressure tool on a metal bar once to remove a part of the metal.
All metal shears use the same
technique in cutting where there
is a fixed upper blade, a lower
blade and an adjustable clearance
separating the two. When a force
is applied on the upper blade it
forces the lower blade to cut and
separate the metal into two.

Price 1,75,000 RS

8). Gas Welding machine (Mick welding):

Oxy-fuel welding (commonly called oxyacetylene

welding, oxy welding, or gas welding in the U.S.)
and oxy-fuel cutting are processes that use fuel
gases and oxygen to weld and cut metals,
respectively. French engineers Edmond Fouché
and Charles Picard became the first to develop
oxygen-acetylene welding in 1903.

Price 4,00,000 RS

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❖ Plant Out Lay:

Scrap room

Product working,

Store room finishing room

All Machinery

Office

Machinery

Toil-

et Raw material

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3).

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 INDEX

NO. POINT PAGE NO.

1. Introduction 32

2. Organization structure of marketing 33

department

3. Main product and branding 33

4. Pricing policy 34
5. Channel of distribution 36
6. Sales promotional activities and market 37
development strategy
7. Advertising policy 39

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 ❖ Marketing Department:

Marketing is a business term that experts have defined in

dozens of different ways. In fact, even at company level people may perceive
the term differently. Basically, it is a management process through which
products and services move from concept to the customer. It includes
identification of a product, determining demand, deciding on its price, and
selecting distribution channels. It also includes developing and implementing a
promotional strategy.

“Marketing is the activity, set of institutions, and

processes for creating, communicating, delivering, and exchanging offerings
that have value for customers, clients, partners, and society at large.”

These industries are selling most of products in

Gujarat and Maharashtra. This industry is keep stat vice dealer.

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❖ Organization Structure of marketing department:

Sole
proprieto
r
Big projects
(Construction) Zone Zone (2) Direct
(1) Maharashtra other
(All company
Government Gujarat
projects etc.)

City vice Dealer

and
dilar
Buildar

This industry, most of products are given in

Gujarat and Maharashtra. And give the product of other company i.e.
WIT company, Panama company etc. Big builders are purchase the
product directly for this industry.

❖ Main products and Branding:

Electric modular box and Fan box are the main

product of this industries. But all the products are main products of these
industries.

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❖ Pricing Policy:

• Policy:
Pricing is the method of determining the value a producer will
get in the exchange of goods and services. Simply, pricing
method is used to set the price of producers’ offerings relevant to
both the producer and the customer.

• Pricing policy:

A pricing policy is a series of principles and procedures by

which a company determines how it sets and managers the prices of
its goods or services.

❖ Types of pricing policy:

1. Cost-plus Pricing:

Refers to the simplest method of determining the price of a

product. In cost- plus pricing method, a fixed percentage, also called
mark-up percentage, of the total cost (as a profit) is added to the total cost
to set the price. For example, XYZ organization bears the total cost of Rs.
100 per unit for producing a product. It adds Rs. 50 per unit to the price
of product as’ profit. In such a case, the final price of a product of the
organization would be Rs. 150.

Cost-plus pricing is also known as average cost pricing. This

is the most commonly used method in manufacturing organizations.

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 2. Mark up Pricing:

Refers to a pricing method in which the fixed amount or the

percentage of cost of the product is added to product’s price to get the
selling price of the product. Mark-up pricing is more common in retailing in
which a retailer sells the product to earn profit. For example, if a retailer has
taken a product from the wholesaler for Rs. 100, then he/she might add up a
mark-up of Rs. 20 to gain profit.

3. Demand-based Pricing:

Demand-based pricing refers to a pricing method in which

the price of a product is finalized according to its demand. If the demand of a
product is more, an organization prefers to set high prices for products to gain
profit; whereas, if the demand of a product is less, the low prices are charged
to attract the customers.

4. Competition-based Pricing:

Competition-based pricing refers to a method in which an

organization considers the prices of competitors’ products to set the prices of
its own products. The organization may charge higher, lower, or equal prices
as compared to the prices of its competitors.

The aviation industry is the best example of competition-

based pricing where airlines charge the same or fewer prices for same routes
as charged by their competitors. In addition, the introductory prices charged
by publishing organizations for textbooks are determined according to the
competitors’ prices.

This company is used of cost plus pricing policy.

E.g.
i. 18 way Metal box 0.9mm price is 49.00 RS including profit 09.00 RS. So this
is used cost plus pricing policy.

ii. Fan box 0.9mm price is 40.00 RS including profit 10.00 RS. So this is used
cost plus pricing policy.

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 ❖ Channel of Distribution:

The distribution function of marketing is comparable to the place

component of the marketing mix in that both center on getting the goods from the
producer to the consumer. A distribution channel in marketing refers to the path or
route through which goods and services travel to get from the place of production or
manufacture to the final users. It has at its center transportation and logistical
considerations.

• In marketing, goods can be distributed using two main types of

channels: direct distribution channels and indirect distribution channels.

1. Direct Distribution:

A distribution system is said to be direct when the product or

service leaves the producer and goes directly to the customer with no middlemen
involved. This occurs, more often than not, with the sale of services. For example,
both the car wash and the barber utilize direct distribution because the customer
receives the service directly from the producer. This can also occur with organizations
that sell tangible goods, such as the jeweler manufacturer who sells its products
directly to the consumer.

2. Indirect Distribution:

Indirect distribution occurs when there are middlemen or

intermediaries within the distribution channel. In the wood example, the
intermediaries would be the lumber manufacturer, the furniture maker, and the
retailer. The larger the number of intermediaries within the channel, the higher the
price is likely to be for the final customer. This is because of the value adding that
occurs at each step within the structure.

This company is used of Indirect

Distribution.
Produc
1) t 2) Produc
t
Wholesale
r

Shopkeep
Shopkeep
er er

Custome Custom
r er
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 ❖ Sales Promotional Activities And Market Development
Strategy:

Sales promotion is a type of pull marketing

technique. If you have a product which is new in the market or which is not
receiving a lot of attention, then you can promote this product to customers via
sales promotions. You can use various techniques like giving discounts on the
product, offering 1 + 1 free schemes, etc.

• Types of sales promotions – Sales promotion techniques:

1. Discounts- 9. Exchange offers

trade 10. Free trial
2. Gifting 11. Email marketing
3. Coupons 12. Exchange offers
4. Financing 13. Trade shows
5. Sampling 14. Demonstrations
6. Bundling 15. Continuity programs
7. Contests 16. Quantity Discount
8. Refunds &
rebates

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 Our Industries is sales promotional activities i.e.
1). Sampling:

It is predominantly used in the Madhuram industry for all electric

products.
Sampling is an excellent way to introduce your product in the market and at the
same time to increase the awareness of the product.

The customers who are being targeted by sampling carry a huge **

lifetime value **. Once they get hooked onto your product, they won’t leave
it that early. Hence, Sampling might be of higher cost to the company but it
is quite successful in the various types of sales promotions.

2). Quantity Discount:

The quantity discount is not applicable only to consumers. It

is also applicable in trade where a dealer or distributor might be given a
discount of 03% if he purchases a higher quantity of product. The higher he
sells and the more aggressive he is, the better he will earn.

3). Cash Discount:

The shopkeeper was pay the payment then still so give the
cash discount of the shopkeeper. So this is the sales promotion activities for
these industries.

4). Transportations services:

Give the transportation facility for the industries,

because buyer is promote and purchase the products. So this is the sales
promotional activities.

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 • Product promotion:

The product promotion means disseminating the

information about the product, product line, brand and company
to the prospective buyer with the intent to generate sales and
develop a brand loyalty.

Our industries are used for promotion activities.

1). Price list
2). Advertisement

❖ Advertising:

Adverting can be defined as paid communication of

goods, services or ideas by and identified person. It is paid
communication because the advertiser has to pay for the space in time in
which his advertisement appears. Advertising appears in recognized
media such as newspapers, magazines, radio, television, mail, also in
internet etc.

“Adverting is any form of non-person / presentation of

ideas, goods or services for the purpose of including people to buy”.

Advertising has become the core of marketing with

the help of advertising to create the brand image into the market.

Our company is distribute of calendars and price list, and

Advertising in social media.

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4). ACCOUNT AND FINANCIAL
DEPARTMENT

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 INDEX

NO POINT PAGE NO.

1. Introduction 42

2. Importance of accounting & finance 42

3. Organization structure of accounting & 43

finance

4. Finance department 44

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❖ Accounting and financial department:

The part of an organization that manages its

money. The business functions of a finance department typically
include planning, organizing, auditing, accounting for and controlling
its company's finances. The finance department also usually produces
the company's financial statements.

❖ Importance:

Business financing is an essential service that

benefits both start-up companies as well as established entities needing
help. Small, as well as medium, as well as big companies can benefit
from this service. The funds can be used for this service. The funds can
be used for many different things that are related to the building up of
the business.

Banks are the primary institutions which deal with this

kind funding and they usually have specific specialized departments
dealing with this professionals dealing with this are normally called
business bankers and are specially hold banking qualifications
comprising studies such as economics and financial management and
statistics. This enables them to have the technical skills needed to do the
job.

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 However there are other financial institutions that
offer this service and usually operate as niche players. You can find
both private as well as public funders and they tend to have more or
less similar qualification criteria. There are certain differences though
because their founding premises are not the same. The private players
have making profit as their main goal hence they will tend to have
higher repayment rates. While public sector players tend to have a
developmental agenda of helping especially small businesses and
budding entrepreneur. Therefore the latter usually charge next to
nothing in interest on their loans.

Over industry is one person industry. So, all the

finance is bringing of sole proprietor. Not bring share capital in this
industry.

❖ Organization structure of Accounting and Financial

Department:

Sole
propriter

Financial
officer
(Mohitbhai)

Capital Purchase Productio Sales

Manageme Manageme n Accountin
nt nt Accountin g
g

Sole proprietor under the financial officer. Financial

officer name is Mohitbhai. His work is capital management, made by
purchase accounting, made by sales accounting etc…

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FINANCE DEPARTMENT!

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INTRODUCTION:

Finance department. The part of an organization that manages its money.

The business functions of a finance department typically include planning,
organizing, auditing, accounting for and controlling its company's finances.
The finance department also usually produces the company's financial statements.
A business organizations seek to achieve their objectives by obtaining funds
from various sources & then investing them in different types of assets, such as
plant, buildings, machinery, vehicles etc.
Financial planning is the process of estimating the capital
required and determining its competition. It is the process of farming financial
policies in relation to procurement investment and administration of funds of an
enterprise.

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WAGES &SALARIES :

SR. EMPLOYEES NO.OF Wages Amt. Amt.

NO. PERSONS ( per per Per
worker) month year

1 Supervisor 2 4,000 8,000 96,000

2 Accountant 2 10,000 20,000 2,40,000

3 Unskilled 4 8,000 32,000 3,84,000

worker (approx.)

4 Skilled worker 2 10,000 20,000 2,40,000

(approx.)

5 Salesman 2 6,000 12,000 1,44,000

6 watchman 1 3,000 3,000 36,000

total 13 95,000 11,40,000

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REPAIRS &MAINTENANCE ::-

Amount Amount
Sr. No. Particulars (Monthly) (Yearly)

1 Repair & Maintenance 6,500 78,000

ADMINISTRATION EXPENSES ::-

Sr. No. Particulars Amount Amount

(Monthly) (Yearly)

1 Printing & Stationary 2,500 30,000

2 Postage & Couriers 1,550 18,600

3 Traveling Expenses 3400 40,800

4 Sundry Expenses 500 6,000

Total 1,07,400

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 TOTAL WORKING CAPITAL

Sr. No. Particulars Amount

1 Raw Material 38,26,900

2 Wages & Salary 11,40,000

3 Repair & Maintenance 78,000

4 Administration Expenses 1,07,400

Total 51,52,300

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 SOURCE OF FINANCE

There are various sources of finance such as equity, debentures,

retained earnings, long term loan. They are classified on basis of time period
ownership control over & their source of generation.
No. Description Amount

1. Owned Capital 25,00,000

2. Borrowed Capital 20,00,000

Total 45,00,000

Borrowed Capital

No. Description Amount

1. RAJ Bank Loan 20,00,000

Interest on capital

No. Description Rate Amount

1. Borrowed Capital 10% 2,00,000

2. Owned capital 10% 2,50,000

Total 4,50,000

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 TOTAL & FIXED COST OF PROJECT

No. Particular Amount

1. Land and Building 18,00,000
2. Plant & machinery 5,00,000
3. Furniture & fixture 3,00,000
4. computer 1,00,000
3. Other Fixed & Installation
a. Electricity & Installation 20,000

b. Office Function &Equipment

80,000

TOTAL 28,00,000

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 COST SHEET

particular amount
Stationary 30,000
Electricity 1,00,000
Depreciation 3,00,000
Interest on loan 2,00,000
Transport cost 40,800
Repair and maintain expenses 45,000
Advertisement expenses 50,000
Labor expenses 10,000
TOTAL 7,75,800

TOTAL COST
Sr. No. Particulars Amount

1 Fixed Assets 28,00,000

2 Working Capital 51,52,300

Total 79,52,300

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AVERAGE COST OF CAPITAL:

= total interest * 100

Total capital
=4,50,000 *100
45,00,000

=10%

AVERAGE COST OF CAPITAL :

= total rate of return
2
=20
2
=10%

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 Trading & Profit and loss A/C

Trading and P&L A/C

Particulars 2018-19 2019-20 2020-21

Sales
26,50,000 25,00,000 27,00,000
Less: cost of goods sold
2,50,000 2,48,000 2,53,000
Gross Profit
24,00,000 23,52,000 25,47,000
Less : Expenses
4,80,000 3,75,600 4,03,800
Add : Income
50,000 45,000 35,000

Net Profit before tax 19,70,000 20,21,400 21,78,200

Less- Tax
5,71,000 5,59,420 5,82,460
Net Profit After tax
13,99,000 14,61,980 15,95,740
Less- Appropriations
1,00,000 1,10,000 1,00,000
Transfer to GR
2,00,000 2,30,000 2,00,000

Balance of Profit and Loss a/c

10,99,000 11,21,980 12,95,740

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 Balance sheet

BALANCE SHEET

Particulars
2018-19 2019-20 2020-21

Liability

Owner's Capital 25,00,000 25,00,000 25,00,000

Reserves and Surplus 1,50,000 1,50,000 1,50,000

Profit and Loss

10,99,000 11,21,980 12,95,740
appropriation

Long term liabilities 18,00,000 16,00,000 14,30,000

Current Liabilities 7,75,800 7,37,000 7,60,000

63,24,800 61,08,980 61,35,740

TOTAL

Assets

Fixed Assets (NET) 28,00,000 28,50,000 29,05,000

Investments 9,50,000 9,60,000 9,60,000

Current Assets 25,74,000 22,98,980 22,70,740

TOTAL 63,24,000 61,98,980 61,35,740

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 Profitability

Profit & Loss account shows profit standing of company and Balance
Sheet shows financial position of the company. Any company cannot survive
without making profits as it is it’s the soul goal.

Sales 26,50,000
Less- variable cost 3,70,000
Contribution 22,80,000
Less- fixed cost 4,05,800
EBIT 18,74,200
Less- interest 2,00,000
EBT 16,74,200
Less- tax 3,69,000
EAT 13,05,200

.Gross profit ratio:

= Gross profit * 100

Sales

= 24,00,000 * 100

26,50,000

= 90.56%

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 .Net profit ratio:

= Net profit * 100

Sales

= 19,70,000 * 100

26,50,000

= 74.33%

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 Depreciation

Sr. No. Particulars Rate of Depreciation Amount

(a) Building 10% 1,80,000

(b) Furniture & Fixture 10% 30,000

(c) Plant & Machinery 10% 50,000

(d) Computers 10% 10,000

(e) Other Equipments 10% 10,000

TOTAL DEPRECIATION 2,80,000

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 Break even analysis

Break-even analysis refers to a system of determination of that level of

activity where total cost equals total revenue. Boarder interpretations refer to
that probable profit at any level of activity. The relationship among cost of
profit, volume of production, profit & sales value established by Break Even
Analysis. The point of sales at which there is neither profit nor loss is regarded
as BEP. At this point income equals expenditure. If production is enhanced
beyond this level, profit shall accrue & if it is decreased, loss shall be suffered.

For the calculation of B.E.P., we have to calculate fixed cost

& variable cost.

Break even analysis

Selling price (Per unit) 30

Less: Ver. Cost (Per unit) 15

Contribution 15

Break even analysis (Unit)

= Fixed cost

Contribution

= 4,05,800
15

=27,053 units

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Break even analysis(rupees)

= fixed cost * 100

Profit value ratio

.Profit value ratio

= Contribution * 100
Sales
= 22, 80,000 * 100

26,50,000

= 86.03 %

= fixed cost * 100

Profit value ratio

= 2,05,800 * 100
86.03

= 2,39,218.87 RS

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5). HUMAN RESOURCES
DEPARTMENT

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 INDEX
NO. POINT PAGE NO.

1. Introduction 62
2. Organization structure of human resources 63
department

3. Recruitment and selection process 64

4. Training and development 67

5. Welfare facility 69

6. Promotion and transfer policy 70

7. Total numbers of employ and wages- 72

Salary

8. Grievance Handling policy 73

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❖ H.R. DEPARTMENT:

Human resources or HR is the department of a company

that hires, administer, and trains personnel. In fact, that department may
exist in any organization that employs people. Human resources is a
significant asset to a business or organization regarding abilities and
skills.

The term also refers to the people who make up an

organization’s workforce at the company or national level. For example,
Japan’s most valuable asset is its human resources. This means that
Japan has a valuable workforce.

HR deals with employees’ performance management and

compensation. Compensation, in this context, means salaries,
commissions, bonuses, etc. It also deals with job analysis, i.e.,
determining what the duties of a job are and who is best suited for it.

➢ Importance of Human Resource Management:

Human resources are the valuable assets of the corporate

bodies. They are their strength. To face the new challenges on the
fronts of knowledge, technology and changing trends in global
economy needs effective human resource management. Significance of
HRM can be seen in three contexts: organizational, social and
professional.

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❖ Organization structure of H.R. DEPARTMENT:

HR
Department
(sole
proprietor)

Recruitme Training Welfar Promotion

nt and e and
proces devlopmen facility transfer
s t

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❖ Recruitment and selection process:

In human resource management, “recruitment” is the

process of finding and hiring the best and most qualified candidate for a
job opening, in a timely and cost-effective manner. It can also be defined
as the “process of searching for prospective employees and stimulating
and encouraging them to apply for jobs in an organization”.

➢ Recruitment Steps:

Preliminary Interview

Receiving Applications

Screening Application

Employment Tests

Employment Interview

Checking References

Medical Examination

Final selection

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1). Preliminary Interview:

The preliminary interview is also called as a screening interview

where in those candidates are eliminated from the further selection process who do not
meet the minimum eligibility criteria as required by the organization. Here, the
individuals are checked for their academic qualifications, skill sets, family
backgrounds and their interest in working with the firm.

2). Receiving Applications:

Once the individual qualifies the preliminary interview. He is

required to fill in the application form in the prescribed format. This application
contains the candidate data such as age, qualification, experience, etc. This
information helps the interviewer to get the fair idea about the candidate and
formulate questions to get more information about him.

3). Screening Applications:

Once the applications are received, these are screened by the

screening committee, who then prepare a list of those applicants whom they find
suitable for the interviews. The short listing criteria could be the page, qualification,
experience of an individual. Once the list is prepared, the interview either through a
registered mail or e-mails.

4). Employment Tests:

In order to check the mental ability and skill set of an individual,

several tests are conducted. Such as intelligence tests, aptitude tests, interest tests,
psychological tests, personality tests, etc. These tests are conducted to judge the
suitability of the candidate for job.

5). Employment Interview:

The one on one session with the candidate is conducted to gain
more insights about him. Here, the interviewer asks questions form the applicant to
discover more about him and to give him the accurate picture of the kind of a job he
is required to perform.

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6). Checking References:

The firms usually ask for the references from the candidate to
cross check the authenticity of the information provided by him. These references are
checked to know the conduct and behavior of an individual and also his potential of
learning new jobs.

7). Medical Examination:

Here the physical and mental fitness of the candidate are

checked to ensure that he is capable of performing the job. In some organizations,
the medical examination is done at the very beginning of the selection process while
in some cases. It is done after the final selection.

8). Final Selection:

Finally, the candidate who qualifies all the rounds of a selection

process is given the appointment letter to join the firm.

• Our Company on Recruitment Steps.

Employ Interview

Checking References

Medical Examination

Final Selection

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❖ Training And Development:

Training is defined as a continuous learning process in

which the employees will acquire knowledge, enhance professional skills
and improve attitudes and behaviors to excel well on the job.

❖ Importance of Training:

(i) Advantages of standardization:

The methods of production are standardized through training.

All trained employees follow same methods and techniques of production
and hence there can be little variation in output and standards produced by
different employees. By using standardized methods, the quality of output
would be increased.

(ii) Increasing organizational stability and flexibility:

Training provides opportunities for the employees to learn an

acquire skills to work in several departments in an organization. Training
also results in low rate of labor turnover which means high consistency in
organizations in retaining people for long period of time.

(iii) Heightened morale:

Training results in increased morale of employees because

of reduction in dissatisfaction at work, reduced complaints, and reduced
absenteeism, and increased interest in work during the post-training
period. Heightened morale results in increased loyalty to the
organization.

(iv) Reduced supervision and direction:

A trained employee knows what job he has to do and how to

do that job and requires no guidance and supervision.

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 (v) Economical use of resources:

A well-trained employee makes better and economical

use of available resources (materials, machines, and equipment).
Optimum utilization of resources results in reduced cost on production
and higher profits.

(vi) Increase in productivity:

Training brings about increase in quantity and quality

of goods produced resulting in high productivity.

(vii) Future manpower needs:

Through proper training employees become eligible for

promotion handling more responsibility. An expanding and growing
organization wishes to train the existing employees so as to place them in
higher positions in future.

(viii) Better industrial relations:

Training provides a platform for maintaining smooth

industrial relations. Employees develop a feeling that organization is taking
care and interest in them through training programmers.

All products training is give all employees for the company.

Because all activities are not stop and process are continue start for all
situations.

❖ Development of Employees:

1. Talk to your employees.

2. Recognize potential vs. readiness.
3. Consider all types of training and development.
4. Consider business goals.

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❖ Welfare Facility:

“Labor welfare refers to the efforts made by the

employers to improve the working and living conditions over and above the
wages paid to them. In its widest sense it comprises all matters affecting the
health, safety, comfort and general welfare of the workmen, and includes
provision for education, recreation,
thrift schemes, convalescent homes”.
It covers almost fields of activities of workers e.g.,
social, economic, industrial and educational.

➢ Purpose of Labor Welfare:

A labor welfare programmer serves various purposes.

Finally, by taking care of life’s basic amenities it builds a sense of
loyalty on the part of the employee towards the organization.
Secondly, by providing quicker services from the employees.

Thirdly, various labor welfare measures, by welfare

activities to workers an organization gains through improved or
taking care of the basic needs of life, make the worker devote his
time and attention to the organization’s task.”

This industry is….

1). Life Insurance
2). Give safety
shoes
3). Bonus
4). Transportation facility

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❖ Promotion and Transfer policy:

“A promotion is the transfer on an employee to a job

which pays more money or one that carries better status.”

Transfer means the change of work place, in this

situation the worker get same salary which get first transfer gives for
experiences.

A promotion is the upward advancement of an employee

in a unit to same another job that demand better salary and wages, better
status, more responsibility more hours of work and better work condition
but our industries is not give promotion for employees because this firm is
one person firm and all activity are complete one person (sole proprietor)
so, this industries is not give promotion.

The employees of Madhuram Switch Board are

transferred within the organization. Transferred one product too another
products, one machine too another machine. And one firm too another firm
(Madhuram Switch Board too Nejadhari industries).

• Transfer Policy:

1). Job to Job transfer:

“Madhuram Switch Board” is used job to job

transfer. Transferred Madhuram Switch Board to Nejadhari
industries for employees.

2). Product to Product transfer:

Employ was absent, so other employ was

transferring this product work, this is the best transfer because
working process is continue.

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❖ Importance of employee transfers:

Employee transfers are considerable as most

essential when a position of employee is a top level in hierarchy.
Especially in the governmental organization employees holding top level
positions are affected with frequent transfers for the reason, to obviate
nepotism into increase transparency in the work. Organizations having no
transfers for their employees may create their own informal groups for
their common interest and their own benefit.

Subsequently, this may leads to secrecy in the flow

of work, eventually, no transparency in work, Employee transfers less
organization may definitely see organizational politics among
employees that which leads to fall in co-ordination in between
employees, eventually may lead to drop in overall organizational
performance.

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 ❖ Number Of Employee:

NO. WORK TOTAL EMPLOYEES

1. Cutting machine 02

2. Bending machine 02

3. Power press 05

4. Hydro Power press 02

5. Welding machine 02

6. Jointing and finishing product 04

Total number of employee 17

• 300 Rs in par day salary for the employees but give in monthly.

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❖ Grievance Handling Policy:

There is hardly a company or an industrial

concern which functions obviously smoothly at all time. In some the
employees have complaints against their employees while in others it is
the employees who have grievance against their employees. A
complaint worker constitutes a grievance. The complaint may relate to
the quantum of wages, the mode of payment, payment for overtime
work, leave or many other problems.

If there is any misunderstanding it is quickly

solved by face to face meeting of workers and management. Thus
complaints are solved peacefully and mutual understanding.

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 SWOT ANALISES

1). Strengths:

i. Strong brand names

ii. Good reputation among customers
iii. First time made metal box or metal fan box in Rajkot.
iv. Best time management
v. Skills and best management
vi. Automatic technology (dies)

2). Weakness:

i. Lack of patent protection

ii. Limited education
iii. Slow marketing

3). Opportunities:

i. Arrival of new technologies

ii. Removal of international trade barriers
iii. Arrival of Powder coating plan in new firm

4). Threats:

i. Shifts in consumer tastes away from the firm’s products\

ii. New regulations
iii. Increased trade barriers

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 SUGESSATION

Madhuram Switch Boards is having very good image in market

but I would like to give certain recommendation, which I feel during my project
training.

They should appoint privet and experienced market executives.

Those who have more languages still to develop their business.

The most requirement of department work and raising the marketing.

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 CONCLUSION

Madhuram Switch Board is a very eminent but each company

has some positive point and some negative point in Madhuram Switch Board.
This industries is also developing company. This industries products are
dominant in the market and its also give tuff competition to their competitors.

Madhuram Switch Board is made 2000 to 3000 metal box and

fan box in per day and any other products.

As a result they are able to serve fast growing markets

competently and ensure best availability where and wherever needs moreover
the internal working of the firm’s worth appreciating. The co-ordination
between worker, staff and promoter way really noticeable.

The entire group helped me to successfully complete this

project. I hope that will achieve their goals where they desire to future.

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