MAHARASHTRA STATE BOARD OF TECHNICAL

EDUCATION

Loknete Gopinathji Munde Institute of

Engineering Education & Research

NASHIK- 422 002

MICRO PROJECT REPORT

Academic year: 2021-22

Topic: Study of Management principle applied to

a Large Scale Industry
Course:CO6I
Course Code: 22509
 CERTIFICATE
This is to certify that,
Shivam Rajendra Thorat Roll No 22 of the Sixth Semester of Diploma
in Computer Engineering of an Institute, Loknete Gopinathji Munde
Institute of Engineering Education & Research (Code: 1477) has
completed the Micro Project satisfactorily in Subject Management
(22509) for the Academic Year 2021-2022 as prescribed in the
curriculum.

Place: Nashik Date: / /2022

Enrollment no: 1914770076 Exam Seat No.:-

Subject Teacher Head of Department Principal

 WEEKLY PROGRESS REPORT
MICRO PROJECT

SR.NO. WEEK ACTIVITY PERFORMED DATE

SIGN OF GUIDE

Discussion and finalization

1 of topic
1st

Preparation and
2 submission of Abstract
2nd

3 Literature Review
3rd
th
4 4th and 5 Collection of Data

5 6th and7th Collection of Data

th Discussion and outline of

6 8th and 9
Content
7 10th Formulation of Content

th Editing and proof Reading

8 11th and 12
of Content

Compilation of Report &

9 13th
Presentation
10 14th Seminar

11 15th Viva voce

Final submission of
12 16th Micro Project

Sign of the student Sign of the faculty

 INDEX

Sr No. Content Page No.

1 ACKNOWLEDGEMENT 6

INTRODUCTION OF LARGE
2 7
SCALE INDUSTRIES

3 LARGE SCALE INDUSTRIES IN INDIA 8

4 MANAGEMENT PRINCIPLES APPLIED 10

TO A LARGE SCALE INDUSTRIES

5 PRIMARY PRINCIPLES OF 12
PRODUCTION MANAGEMENT

6 CONCLUSION 14

7 REFERENCE 15
 ACKNOWLEDGEMENT

 I am very thanking full Loknete Gopinathji Munde

Institute of Engineering Education & Research who has given
me opportunity to have project knowledge of Professional
practices.
 I am also thankful to the means for providing me the
information of Professional Practices which is the base of the
Project.
 Lastly I am thankful to my subject teacher for proper
guidance and cooperative in preparation of the project work.
 INTRODUCTION OF LARGE
SCALE INDUSTRIES
A business can range from a single proprietor enterprise to a
large corporation that employs thousands of workers across multiple
countries. Based on the scale of business, organizations are classified as
micro-enterprises, small-scale enterprises, large-scale industries, public
enterprises, and multinational corporations.
Industries that require huge infrastructure and manpower
with an influx of capital assets are Large Scale Industries. In India, large-
scale industries are the ones with a fixed asset of more than one
hundred million rupees or Rs. 10 crores.
LARGE-SCALE INDUSTRY, 1850–1950 The term “large-scale
industry” refers to factories that combine at least three characteristics:
use of machinery, employment of wage labor, and the application of
regulatory measures such as the Factory Act or Disputes Act. These
features were of recent origin in nineteenth-century India and, to a
large extent, products of British colonial rule. In employment statistics,
the units registered as “factories” under the Factory Act can be
considered a large-scale industry. In reality, the registered factories
included a fair number of units that did not employ machinery, but with
few exceptions, registered factories did possess the other two features.
 LARGE SCALE INDUSTRIES IN INDIA
The term ‘large-scale’ is generic in nature and includes different types
of industries. In India, the following heavy industries fall under the
purview of large scale industries:

o Iron and Steel Industry

o Textile Industry
o Automobile Manufacturing Industry
o Over the last two decades, Information and Technology (IT) industry
has evolved and has contributed huge revenues while creating
thousands of jobs for Indians. Hence, many economists include it in
the large-scale industry sector.
o Telecom Industry

It is important to note that these industries are either manufacturing

units or those which use both indigenous and imported technologies.
Here are some more examples:

Fertilizer, Cement, Natural gas, Coal, Metal extraction, Metal

processing, Petroleum, Mining, Electrical, Petrochemical, Food
processing units, Tourism, Banking, Sugar, Construction, Automobile,
Communication equipment, Cement, Chemicals, Earthmovers,
Consumer durables (like television, refrigerators, etc.), Engineering
products, Vehicle assembly, Beverages, Agricultural processing,
Insurance, and Finance.

In recent years, as the markets opened up due to globalization, there

has been a mixed effect on large-scale industries. Some have managed
to attract international customers, foreign trade and technology, tie-
ups. However, others were unable to cope with the competitiveness
ushered in by the open market.
Production management involves the planning, organization, direction,
and execution of production activities. The ultimate goal of any
production management solution is to convert a collection of raw
materials into a finished product. Some people refer to production
management as the bringing together of the 6 ‘Ms.’:

o Men
o Money
o Machines
o Materials
o Methods
o Markets

These constituents come together to provide consumers and

businesses with products that they need or want.

The production management principles are often referred to as

operation management principles, and they are designed to facilitate
the production of goods that are of the required quality and quantity.

An efficient production management solution will also deliver products

at the time they are required by the market at the lowest achievable
cost. Any successful production management solution requires the
optimum utilization of production capacity to reduce costs to a
minimum.
 MANAGEMENT PRINCIPLES APPLIED TO
A LARGE SCALE INDUSTRIES

A managerial principle is a broad and general guideline for

decision making and behaviour. For example while deciding about
promotion of an employee one manager may consider Seniority,
whereas the other may follow the principle of merit. One may
distinguish principles of management from those of pure science.
Management principles are not as rigid as principles of pure science.
They deal with human behaviour and, thus, are to be applied creatively
given the demands of the situation. Human behaviour is never static
and so also technology, which affects business. Hence all the principles
have to keep pace with these changes. For example, in the absence of
Information and Communications Technology (ICT).

Principles of Management
1. Providing managers with useful insights into reality:
The principles of management provide the managers with useful
insights into real world situations. Adherence to these principles will
add to their knowledge, ability and understanding of managerial
situations and circumstances. It will also enable managers to learn
from past mistakes and conserve time by solving recurring problems
quickly.

2. Scientific decisions:
Decisions must be based on facts, thoughtful and justifiable in terms
of the intended purposes. They must be timely, realistic and subject
to measurement and evaluation. Management principles help in
thoughtful decision-making. They emphasise logic rather than blind
faith. Management decisions taken on the basis of principles are free
from bias and prejudice. They are based on the objective assessment
of the situation
3. Meeting changing environment requirements:
Although the principles are in the nature of general guidelines but
they are modified and as such help managers to meet changing
requirements of the environment. You have already studied that
management principles are flexible to adapt to dynamic business
environment. For example, management principles emphasise
division of work and specialisation. In modern times this principle
has been extended to the entire business whereby companies are
specialising in their core competency and divesting non-core
businesses.

4. Fulfilling social responsibility:

The increased awareness of the public, forces businesses especially
limited companies to fulfil their social responsibilities. Management
theory and management principles have also evolved in response to
these demands. Moreover, the interpretation of the principles also
assumes newer and contemporary meanings with the change in
time. So, if one were to talk of ‘equity’ today, it does not apply to
wages alone. Value to the customer, care for the environment,
dealings with business associates would all come under the purview
of this principle.
 PRIMARY PRINCIPLES OF PRODUCTION
MANAGEMENT
Shorter set-up times.
By their nature, all set-up processes result in waste; they tie up labor
and equipment without adding value. Training, improved efficiency,
and giving workers accountability for their own set-ups allowed Toyota
to slash their set-up times.

Small-scale production.
Cutting the cost and time spent on set-ups allows a company to
produce goods in smaller batches and according to demand. This
results in lower set-up, capital, and energy costs.

Empowering employees.
Dividing a workforce into small teams and giving them accountability
for housekeeping and various other tasks has been shown to improve
efficiency. Teams are assigned leaders, and the workers within those
teams are trained on maintenance issues – allowing them to deal with
delays in the production process immediately.

Equipment Maintenance.
Workers on the line are best placed to deal with mechanical
breakdowns and subsequent repairs. They can react to issues quickly
and often without supervision, which allows the production process to
restart far more quickly after a shutdown.

Pull Production.
In a bid to minimize inventory holding costs and production lead times,
Toyota pioneered a system whereby the number of materials, labor,
and energy expended at every stage of the process was solely reliant on
the demand for products from the next stage of production.

Supplier Involvement.
Toyota demonstrated that treating component and raw material
suppliers as integral components of their own production process led to
several benefits. Suppliers were given training in Toyota processes,
machinery, inventory systems, and set-up procedures. As a result, their
suppliers were able to react positively and swiftly when problems
occurred.

There are several benefits to implementing the basic principles of

production management; they include a good reputation within a
specific market and the ability to develop new products and bring them
to the market quickly.

Reducing costs at every stage of the production process provides the

main benefit of cutting a company’s overall costs. A manufacturer
obviously does not want to incur costs when there are no orders, and
an effective production management solution – such as the one
pioneered by Toyota – should make that an achievable goal.

Because firms adopting the principles of production management can

keep a tight lid on their costs, they can have a competitive edge in the
market, and that can allow them to grow far more quickly than would
otherwise be the case.

Companies like Toyota were able to take on the likes of Nissan and Ford
in international markets because their innovative production
management solution guaranteed quality for the consumer and lower
costs for the business – and that’s why the principles are now being
implemented in manufacturing industries across the world.
 CONCLUSION

The principles of management are universally applicable.

These are flexible and not absolute. These are applicable regardless of
changing conditions. These form basis of scientific management.
The Large-Scale Industries has acquired an important place in
the socio-economic development of the country. The number of Large-
Scale Industries stood at 28.03 lakhs in 1996-97 and increased to 34.64
lakhs in 2001-02.
The term, “Large scale production” refers to the production
of a commodity on a large scale with a large sized firm. It requires huge
investments in plant and machinery. Large scale production can be
carried out if the market size is large and expanding.
 REFERENCE

 https://en.wikipedia.org/wiki/Management
 https://www.managementstudyhq.com/what-is-management.html
 https://courses.lumenlearning.com/boundless-business/chapter/an-
introduction-to-management/
 https://tejasnikumbh.com/management-principle-to-large-scale-
industry/
 https://pdfcoffee.com/download/mgt-project-final-pdf-free.html
 https://www.toppr.com/guides/business-environment/scales-of-
business/large-scale-industries/
 https://www.slideshare.net/GMabishek/large-scale-industry
 https://byjus.com/commerce/large-scale-industries/
 https://www.vedantu.com/commerce/large-scale-industries