Organisation Study Report on Sharan Fashions Factory

SHARAN FASHIONS Organization Study (MBA 31)

Department of Management Studies, DSCE, Bangalore

Internship Report On

“ORGANIZATION STUDY AT SHARAN FASHIONS”

BY

KOUSHIK GOPAL NAYAK

1DS15MBA29

Submitted to

DAYANANDA SAGAR COLLEGE OF ENGINEERING

DEPARTMENT OF MANAGEMENT STUDIES

In the partial fulfillment of the requirement for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

Under the guidance of

INTERNAL GUIDE EXTERNAL GUIDE

Department of Management Studies

Dayananda Sagar College of Engineering

Kumarswamy Layout

Bangalore-560078

(Batch 2015-2017)



COMPANY LETTER



CERTIFICATE

Certified that the project work entitled “Organization Study at Sharan Fashions

carried out by Mr. KOUSHIK GOPAL NAYAK, USN 1DS15MBA29 a bonafide student

of Dayananda Sagar College of Engineering in partial fulfillment for the award of Master

of Business Administration, Visvesvaraya Technological University, Belgaum of the

Department of Management Studies, DSCE, affiliated to Visvesvaraya Technological

University, Belgaum during the year 2016. It is certified that all corrections/suggestions

indicated for Internal Assessment have been incorporated in the Report. The project

report has been approved as it satisfies the academic requirements in respect of Project

work prescribed for the said Degree.

Name & Signature of the Guide Name & Signature of the HOD Signature of the Principal

External Viva:

Name of the examiners Signature with date

1. ________________________ ________________________

2. ________________________ ________________________



DECLARATION

I, KOUSHIK GOPAL NAYAK, hereby declare that the Organization Study Project

Report Entitled “Organization Study at Sharan Fashions” with special reference to

Sharan Fashions is prepared and submitted to Department of Management Studies,

DSCE, affiliated to Visvesvaraya Technological University, Belgaum in Partial

Fulfillment of the University requirement for the Degree of Master of Business

Administration.

I further Declare that this Organization Study Project Report is based on Original Study

undertaken by me and has not formed a basis for the award of any other Degree/Diploma

of any other University/Institution.

PLACE: NAME & SIGNATURE OF THE STUDENT: Koushik Gopal Nayak

DATE: USN : 1DS15MBA29



ACKNOWLEDGEMENT

A project is an opportunity in a management student’s career where he can acquire

invaluable knowledge as to how an organization actually functions and the process of the

work. The satisfaction that accompanies the successful completion of any task would be

incomplete without mentioning the people who made it possible, whose able consistent

guidance and encouragement crowned my efforts with success.

Firstly, I would like to express my sincere thanks to our respected

Principal, Dr. C.P.S Prakash, Dayananda Sagar College of Engineering Bangalore for

giving me an opportunity to undertake this internship. I thank our respected

Head of the Department, Dr. K.G. Hemalatha, Department of Management Studies,

Dayananda Sagar College of Engineering, Bangalore, for motivating me to gain the

learning experience through this project.

I am grateful to my project guide Dr. K Suma Rao, Professor, Department of

Management Studies, Dayananda Sagar College of Engineering, Bangalore, for her

constant support and inspiration throughout the project and for their encouragement,

suggestions and guidance to complete this project successfully.

I express my sincere and hearty thanks to Mr. Nandish, Manager (P&M) for his

suggestion and encouragement given to pursue this project successfully. My faithful

thanks to all the staff of MBA Department and profit advisor, Bengaluru who helped me

to solve the problems that I Faced during the development of this corporate exposure and

learning report.

Last but not the least, I am grateful and thankful to my beloved Parents and all of my

friends for their moral support and suggestions and encouragements.

KOUSHIK GOPAL NAYAK

1DS15MBA29



EXECUTIVE SUMMARY

In this organization study an attempt is made to analyze the manufacturing process at

SHARAN FASHIONS. The researcher gained experience in every department at

SHARAN FASHIONS, learned about the various products of the company and there

benefits and the marketing strategies used by the company to market the products of the

company.

SHARAN FASHIONS was founded in 2002. The company was established in Karnataka.

It exports Jeans products and their combination in boxes, packets and bulk.

The main objective of this study is to find out the organization structure, staffing,

decision making etc. related to SHARAN FASHIONS Etc.

The organization study has gained me a good knowledge in analyzing the various cost

control technique involved in the company.



CONTENTS

CHAPTER

NO

TITLE PAGE

NO

1. INTRODUCTION ABOUT THE ORGANIZATION 10

1.1. Company profile 11

1.2. Company objective 11

2. INDUSTRY PROFILE 12

2.1. Denim in India 13

2.2. Issues and challenges for Denim Marker 16

3. ORGANIZATION IN DETAIL 18

3.1. General information 19

3.2. Organization structure & organization chart 21

3.3. Process 22

3.3.1 Denim Fabric 23

3.3.1.1 Denim fabric manufacturing method 23

3.3.1.2 Properties of Denim Fabric 23

3.3.1.3 Types Of Denim Fabric 23

3.3.1.4 Sampling Methods 24

3.3.2 Sample Selection 26

3.3.3 Marker Making: 27

3.3.3.1 Manual Technique: 27

3.3.3.2 Computerized Technique: 28

3.3.4 Spreading 28

3.3.4.1 Full Automatic Fabric Spreading 28

3.3.4.2 Merits Of Full Automatic Fabric Spreading 29

3.3.5 Cutting 29

3.3.5.1 Process of Cutting Department 30

3.3.6 Sewing 32

3.3.6.1 Sewing Machine Feed Mechanism 32

3.3.6.2 Types Of Defects Found In Sewing Section 35



3.3.7 Whiskering On Denim Fabric 36

3.3.8 Washing 38

3.3.8.1 Fundamental Denim Washing Principles 39

3.3.9 Trimming 39

3.3.10 Finishing And Packing 39

3.3.10.1 Operations Done At The Finishing Stage 40

3.4 Individual Departments And Its Structure 42

3.4.1 Structure Of Human Resource Department 42

3.4.1.1 Key Functions Of The HRD 43

3.4.1.2 HR Policies 43

3.4.2 Structure Of Production Department 44

3.4.2.1 Functions Of Production 44

3.4.3 Structure Of Financial Department 45

3.4.4 Structure Of Marketing Department 46

3.5 Details Of The Competitors And The Organization’s

Present Position/Status Etc

47

3.5.1 Competitors 47

4. DETAILS OF FINANCIAL ANALYSIS 48

4.1. Balance sheet 49

4.2 P & L for the year 2013-2014 51

4.3 P & L for the year 2014-2015 53

5. DETAILS OF SWOT ANALYSIS, MCKINNEY’S 7S

MODEL AND PORTERS 5 FORCE MODEL

55

5.1 SWOT Analysis 56

5.1.1 Strength 56

5.1.2 Weakness 56

5.1.3 Opportunities 56

5.1.4 Threats 57

5.2 Mckinsey’s 7-S Frame Work 58

5.3 Porter’s 5 Force Model 61



6. FINDINGS AND RECOMMENDATIONS 64

6.1. Findings 65

6.2. Recommendations 66

7. CONCLUSIONS 68

8. LEARNING EXPERIENCE 70

Bibliography 71

LIST OF TABLES

TABLE NO TITLE Page No

4.1 Balance sheet 49

4.2 P & L FOR THE YEAR 2013-2014 52

4.3 P & L FOR THE YEAR 2014-2015 54

LIST OF FIGURES

FIGURE NO TITLE PAGE NO

3.1 Structure of Organization 21

3.2 Process of jeans Manufacturing 22

3.3 Process of Sample selection in garment Industry 26

3.4 Garment cutting section 29

3.5 Flow chart of Fabric cutting Department 30

3.6 Cutting section of Garment 31

3.7 Flow chart of Whiskering 38

3.8 Structure of Human Resource Department 42

3.9 Structure of Production Department 44

3.10 Structure of Finance Department 45

3.11 Structure of Marketing Department 46

5.1 McKinney’s 7s Framework 58

5.2 Porter’s 5 Force Model 61



INTRODUCTION ABOUT THE ORGANIZATION



CHAPTER 1

INTRODUCTION ABOUT THE ORGANIZATION

1.1 COMPANY OVERVIEW:

SHARAN FASHIONS is situated in Vijaynagar, Bangalore, Karnataka, India. Sharan

fashions commenced its commercial production in the year 2002. It is engaged in the

manufacturing work of jeans for Live-in, Flying machine, Roadster, Wrangler Denim and

so on companies.

SHARAN FASHIONS has manufacturing facility equipped by modern equipments

suitable for higher class and higher size with a floor space of 8700sq.Ft with three floors.

The company caters to the needs of major industries like Garments and many other

process Industries.

SHARAN FASHIONS has a documented quality system to meet the needs to ensure that

its orders and guidelines are implemented, maintained and improved to meet the

company’s requirements. Quality systems of SHARAN FASHIONS are certified.

1.2 COMPANY OBJECTIVES:

Providing quality jeans to companies.

Providing good, resistible, economical and comfortable jeans to the

consumers and to the companies.

Organizational and individual discipline.

Modernization of SHARAN FASHIONS.

Consumer satisfaction through quality of products and services, achieved by

consistent adherence to procedure and system.

Team work and reorganization that each employee is important for the

company’s growth and prosperity.



INDUSTRY PROFILE



CHAPTER 2

INDUSTRY PROFILE

2.1 DENIM IN INDIA

Buyers, particularly the young, in urban communities past the metros and smaller

than usual metros are becoming extraordinarily fashionable. They are progressively

tolerating denim as a center clothing classification to be worn as a regular easygoing

piece of clothing.

Denim is of the most encouraging class in India's clothing market. In 2013, the denim

business sector of India was worth `13,500 Cr. which represents 5 percent of the

aggregate attire business sector of the nation. The business sector is anticipated to

develop at a CAGR of 15 percent to end up `27,200 Cr. market in 2018.

In India the Denim market is skewed towards men's fragments with 85 percent

commitment originating from it. Ladies' denim portion contributes 9 percent to the

business sector and the children fragment the rest 6 percent. The ladies' and child's

denim portions are required to witness higher development rates because of their

lower base and expanding center of brands and retailers on those sections.

A. COMPARISON WITH DENIM CONSUMPTION OF SOME OTHER

COUNTRIES

As a rule the western way of life and western design has quickened the pattern of

completion over the globe. This pattern has supported the utilization of easygoing

design clothing like denims, dress shirts, tees, easygoing shirts among both men and

ladies shoppers in all creating nations including India. The normal number of denim

things possessed by Indian shopper is much lower in contrast with expending

business sector of the United States, Europe and so on. The number is even lower

than nations like Brazil and China. This distinction in the number exhibits the

tremendous potential that exists for denim in the residential business sector.



B. CITY-WISE DISTRIBUTION OF DENIM MARKET

The quality offer of denim business sector is skewed for uber metros and metros

which represent half of the aggregate denim market at an offer of 49 percent. Despite

the fact that the business sectors of other urban regions and rustic India contribute

high in volume terms, their consolidated offer in business sector worth is just 51

percent.

As the infiltration of denim classification and the attention to denim quality

increments in those urban areas and country India, their offer in business sector worth

will begin expanding with more number of purchasers willing to pay premium for the

quality, outline and fit.

C. PRESENCE OF BRANDS

In India unbranded denim items command the business sector with around 60 percent

offer of the business sector. The offer of brands in denim market remains at 40

percent. A large portion of the unbranded players work on the lower value section of

the business sector where the attention given to the nature of the fabrics, finishing and

washes, plan and fit are moderately low.

The development of semi-urban bunches, a range having less number of cultivating

groups, the nation over has opened a plenty of chances for local brands and retailers.

A regular denim purchaser of the semi-urban group exhibits a mix of the attributes of

urban and provincial buyers;

Like an urban shopper he or she demonstrates attention to brand and item quality and

like a country customer evaluating and moderateness assumes an essential part in his

or her buy choices.

The provincial brands have centering to take into account these commonplace

necessities of the semi-urban customers. However nearness of heaps of unbranded

players in such markets it a business sector of extreme rivalry to numerous national

level brands.



D. DRIVING FACTORS FOR DENIM MARKET

A portion of the key driving variables for the denim market in India are:

A desire youth (15-29 year olds) with higher spending power than past eras,

which make 26 percent of the devouring populace.

An extensive variety of customer fragment that consider denim as an attire of

decision attributable to its solace and style.

Favored inclination for denim amongst youth attributable to its adaptable

affiliation.

Increasing use of denim items by ladies and youth in littler urban areas and

country India.

E. DENIM VALUE CHAIN IN INDIA

India has an incorporated worth chain for denim items beginning from fiber to retail.

Denim is basically delivered from cotton and India is required to conquer China as

the single biggest maker of cotton the world in 2014. The nation is the second biggest

maker of cotton yarn.

The denim fabric generation limit of India is more than 1,000 million meters for each

year, and India is as yet seeing passageway of more denim fabric producers in the

business.

Denim fabric creation in India is gathered in the western and northern parts of the

nation with more than 45 percent commitment originating from Gujarat alone where

Ahmedabad is the generation center point.

Denim clothing creation in India remains a divided industry where just 20-30 percent

of denim attire is made in the composed units. The denim attire creation exercises are

moved in Delhi and NCR, Mumbai, Bangalore and Ahmedabad.



F. SELECT TRENDS IN DENIM MARKET

The denim market in India has been advancing quickly with presentation of more

styles, hues and some unmistakable patterns in the item advertising.

A portion of the key patterns in denim business sector are:

In India the greater part of the denim makers concentrate on the local

markets as the worth acknowledgment stays higher in household

market than in fare markets

In the late times the business has seen passage of new fabric producers

which is relied upon to make the business sector for denim fabric more

value aggressive in the coming years

Cotton remains the fiber of decision in denim clothing. In mixed

denim fabrics polyester is being utilized as weft strings

The interest for stretch denim is developing at a speedier rate in India

market because of its solace and fit attributes

The shade of denim pants is no more restricted to customary blue hues.

Indian youth has begun tolerating denim in various hues including

green, red, and yellow and so on.

2.2 ISSUES AND CHALLENGES FOR DENIM MARKET

In spite of the fact that the denim classification is among the most encouraging

classifications in clothing business sector of the nation, it confronts its own particular

arrangement of issue and difficulties.

The judiciousness in which different partners of denim eco-framework recognize and

address the issues and difficulties connected with the quality chain will decide the

development of denim attire market in the nation.

At present India needs behind in its capacity of the denim item in advancement and

development. There is a need to build up a bigger arrangement of denim pieces of

clothing and adornments, including shorts, shirts, packs, dresses, and frill among

others.



At present the business sector is skewed towards denim pants. The weight (gsm)

scope of accessible denim fabric could be expanded to broaden denim application.

There is a great deal of extent of change in right handling and esteem expansion in

denim through design drove forms and finishes.

Foundation of top notch preparing and could enhance the quality and hues, this

drawing in additional to attempt denim. Improvement of a customer driven denim

esteem chain will make the parkways to unleash the colossal potential natural in

India's denim market.

However there is a desperate need to begin a vast activity to translate the outlook of

Indian buyers and their discernment and receptivity of denim and to advance denim

among the customers.

The expanding attention to reasonable design gives extra chance to advance denim as

a result of common cotton fiber which is seen as more eco-accommodating than

synthetics.

A two-prong methodology that in one hand addresses the necessities of buyers urges

them to expend a greater amount of denim and then again guarantees to enhance the

current holes in inventory network should make India's denim showcase more

dynamic and shopper driven with better open doors and extensions for all components

required in the eco-framework.



ORGANIZATION IN DETAIL



CHAPTER 3

ORGANIZATION IN DETAIL

3.1 GENERAL INFORMATION

SHARAN FASHIONS is a professionally overseen organization occupied with the

field of assembling, and sending out of great pieces of clothing in Bangladesh. We

began with an enthusiasm and determination to reclassify style in the business.

Remaining on the grounds of style and class, we offer pieces of clothing that are side

by side of the changing universal patterns.

We guarantee our clients of opportune conveyance and quality not being bargained at

any expense. Since from the very first moment of its establishing, SHARAN

FASHIONS has logically, reliably forming into a standout amongst the most able and

professionally all around prepared association in the RMG division in Bangladesh. In

a limited ability to focus time the organization has astonished incomprehensible

involvement in the field of sourcing and assembling brilliant attire.

The organization can gladly gloat of finishing the most difficult and requesting orders

from different parts of the globe with accuracy and to the most extreme fulfillment of

its regarded clients of awesome notoriety and models.

Pants are trousers produced using denim. A portion of the soonest American Levis

was made by J. Davis, Celvin Rogers, and Levi Straus in 1873. Beginning in the

1950s, pants, initially intended for ranchers, got to be well known among young

people. Notable brands incorporate Levi's, Lee, and Wrangler.

Pants come in different fits, including thin, decreased, straight, boot cut, Mommy-

cut, maternity, and flare. Pants are presently an extremely well known type of

easygoing dress the world over, and have been so for a considerable length of time.

They come in numerous styles and guise.

"Jeans" originates from the French expression bleu de Genes', actually the blue of

Genoa. Pants fabric, or denim, started in the French town of Nîmes, from which

"denim" (de Nîmes) gets its name.



A. MISSIONS:

Continue the business with benefit.

Create business open doors for laborers.

Contribute to the advancement of the nation.

B. VISION:

To be the main legend in the piece of clothing industry of Bangladesh.

Authoritative Strategies:

Taking the full advantages



Pattern Master

& Cutting

Master

Tailors

Workers

3.2 ORGANIZATION STRUCTURE & ORGANIZATION CHART

Figure 3.1: Structure of organization

General Manager

Human

Resource

MANAGE

R

Marketing

Manager

Finance

MANAGE

R

Production

MANAGER

HR Assistant Direct

Marketers

Accountant

Sewing

Supervisor

Quality Check

Supervisor

Packing/Dispatch

Store Manager

BOD

Fabric Store

Manger



3.3 PROCESS

Figure 3.2: Process of Jeans manufacturing

SAMPLE

SELECTION

MARKER

MAKING

SPREADING

CUTTING

SEWING

WHISKERING OF

DENIM FABRIC

WASHING

TRIMMING

DENIM FABRIC

DYEING

FINISHING AND

PACKING



3.3.1 DENIM FABRIC:

Denim is a twill weave woven and 100% cotton fabric which comprises of various shades

of twist and weft yarn. In denim fabric, one shading is dominating on the fabric surface.

Denim is a typical crude material for articles of clothing assembling.

Typically denim fabric is delivered by utilizing cotton however in some cases hemp

denim is likewise accessible. Denim fabrics are regularly utilized for making pants, work

garments and in addition housings for natural futons and pads.

3.3.1.1 DENIM FABRIC MANUFACTURING METHOD:

Denim fabric is a tough cotton twill material, where the weft goes under two or more

twist filaments, creating the well known ribbing identifiable on the opposite side of the

denim fabric.

3.3.1.2 PROPERTIES OF DENIM FABRIC:

Denim fabric wrinkles effectively.

It is extremely solid and sturdy.

It is utilized for long time wearing.

It opposes tears and obstacles.

3.3.1.3 TYPES OF DENIM FABRIC:

There are predominantly eight sorts of denim fabric, those are

1. Hued denim,

2. Bubble gum denim,

3. Denim from fox fiber,

4. Sinked Denim

5. Vintege denim,

6. Ecru denim,

7. Marble denim,

8. Reverse denim.

All the above denim fabric sorts are examined in the underneath:



Hued denim: Hued denim fabrics are woven, producing with colored yarn either

twist or weft. This sort of fabric can be acquired by piece coloring process.

Bubble gum denim: Bubble gum denim fabric is chemic containing denim, that

has between 35 to half lycra or stretch.

Denim from fox fiber: This sort of denim fabric is made by shaded cotton fiber

that grows naturally created and licensed by California cotton raiser sally fox.

Sinked denim: In this sort of denim fabric, textured effect is obtained by a

special fabric development along with wet preparing, where the impact can be

enhanced by utilizing stone and bleaches. This sort of denim fabric is woven with

an over turn weft yarn.

Vintage denim: For getting old and worn look, a denim treatment that applies a

stone wash or a cellulose catalyst wash with bleach or without bleach is called

vintage denim.

Ecru denim: Ecru denim fabric is that, which is not having any colored yarn,

contains just grey yarn in twist and weft.

Marble denim: It is also called as acid wash. The fabric which is very strongly

bleached is called as marble denim.

Reverse denim: In this denim fabric, the face side and invert side looks same.

3.3.1.4 SAMPLING METHODS:

The primary motto behind testing is to know about the lot of garments to be allowed or

rejected. The main aim of this technique is to find the number of samples taken from the

lot. This also shows that if there is more number of samples then it would take more time

and cost to inspect it. The different types of sampling methods are as follows:

1. No assessment

2. 100% Inspection

3. Spot checking

4. Arbitrary testing

5. Acceptance testing.

All the above sampling methods are explained as follows:



No assessment: In this strategy, the garments can be purchased or sold with no

examination. As a result we will not get to know about the defects in the

garments. This method is rarely used in the textile industry.

100% Inspection: As the name implies each unit must be examined. In this

framework, it is decided about the each unit whether it should be allowed or

rejected instead of the lot of garments. As a result we can get some clue about the

quality of the fabrics. Added to it, the entire defective unit can be found out using

this method.

Spot checking: This sampling is in between 100% Inspection and no assessment

method. The products which are made for shipment are reviewed randomly. In

this technique, the outcome is found very minimum.

Arbitrary testing: This sort of framework is very popular and generally used in

textile manufacturing industries. The lot size may be small or large, but only 10%

of the lot is taken and reviewed and based on this review, it decides whether the

lot is allowed or rejected. Both the pros and cons are found by applying this

technique.

Acceptance testing: In this framework, samples are gathered and investigated

statistically from the lot size and then it decides whether to allow or reject. This

framework is used for assessment of raw materials before the garments are

produced, during the manufacturing period, and for finished clothing. This

technique is broadly used and universally perceived and acknowledged. There are

a lot of pros and cons found in this framework. The best advantage of this

framework is it stops from taking wrong decisions. This framework for

examination is more down to earth and practical.



3.3.2 SAMPLE SELECTION:

Sample segment is one of the critical segments in clothing industry. Since sample plays a

prominent part in pulling in purchasers and confirms the request, as the purchasers

submits the request once fulfilled by the quality of the product.

Organization chart of sample section in clothing industry is given here.

Figure 3.3: Process of Sample Section in Garments Industry

Manager/Technical

Executive/Pattern

Officer/Sample

Asst. Officer/Sample

Supervisor/Fabric and

Accessories

Supervisor/Sewing

Test Cutter Sample Maker Quality Inspector Ironer



3.3.3 MARKER MAKING:

Marker making is the most essential tasks in the clothing manufacturing industry. Exact

checking lessens fabric wastage which eventually decreases the expense of making the

garments. There are diverse sorts of marker making strategy used as a part of readymade

garments division.

There are two distinct techniques for marker making followed in clothing industry.

Manual technique

Computerized technique

Both marker making systems are discussed as follows:

3.3.3.1 MANUAL TECHNIQUE:

Manual technique is done by two ways:

Marker arranging with full size pattern: As indicated by the standard

estimation, all patterns are in full measurement here. At to start with, all the hard

patterns are set on the paper and after that those patterns are set apart by turning

different bearings to diminish the fabric uses. The tables, on which the markers

are set, are arranged such that they don't tilt. Vacuum framework is arranged here

under the table for suction. This strategy is appropriate for lessening the marker

length.

Marker with minimized pattern: In this full estimated patterns are decreased

1/5 section by a pantograph and the patterns are made by hard paper or plastic

sheet. Marker is arranged here with the little pattern pieces and subsequent to

making, photos are taken by using camera. Arrangement meter is used here to

quantify covered area of pattern lies in the marker. As of this technique, marker

effectiveness is controlled by ascertaining marker region and fabric territory.



3.3.3.2 COMPUTERIZED TECHNIQUE:

It can be performed by two ways:

Automatic marker making: It is the most proficient marker making framework.

Here, the PC makes the marker itself according the order given to PC. Small

patterns are shown in PC screen however full size in PC memory. In spite of the

fact that it is tedious technique however present day programmed marker making

framework beat that issue of time and needs just two minutes to make a marker.

Interactive technique: This strategy is a typical procedure where the

administrator arranges markers by interfacing straightforwardly with the

framework through a PC screen. Here, all the pattern pieces are shown at the top

of the screen in the smaller than usual structure. Those are dragged and hung to

the pre-decided spot by information pen or tablet. It is less productive and less

time required than programmed marker making framework.

3.3.4 SPREADING:

Full programmed fabric spreading machine is the upgrading of self-loader spreading

machine. It has incredible significance in attire producing sector. In the past we have

examined about the favorable circumstances machine. Presently this has indicated

different merits and demerits of full programmed spreading machine which will be

exceptionally successful for every people related with readymade garment industry.

3.3.4.1 FULL AUTOMATIC FABRIC SPREADING:

Full programmed fabric spreading machine is the enhancement of self-loader spreading

machine. There are a lot of merits of this machine to make fabric lay. Since, this

spreading machine is worked by controlling with the assistance of microprocessor and

robot.



3.3.4.2 MERITS OF FULL AUTOMATIC FABRIC SPREADING:

The machines can be set before the normal measure of employs spreading.

After finishing, fabric spreading will stop consequently and give a sign.

By utilizing mechanical framework, it will consequently arrive at the end of table

and set another roll in the spreading when spreading head of every roll is done.

It is naturally grafted and begins new fabric spreading where the last fabric roll

has lasted.

3.3.5 CUTTING:

Fabric cutting is essential procedure for assembling the articles of clothing. Clothing can

be rejected if cutting procedure won't be great. Thus, a few focuses ought to consider

before fabric slicing which minimizes the likelihood of articles of clothing rejected by the

purchaser. Cutting is one of the significant procedure in garment manufacturing

company. Here clothing parts are sliced as per the pattern. In clothing cutting division, a

procedure flow chart needs to keep up to send the right estimation parts in the following

procedure for making quality garments. As it has significance in clothing assembling, the

following is the flow chart of cutting department.

Figure 3.4: Garments Cutting Section



3.3.5.1 PROCESS OF CUTTING DEPARTMENT:

Figure 3.5: Flow Chart of Fabric Cutting Department

Pattern received from pattern department

Cutting ratios from merchandiser

Marker Making

Fabric from the stores

Checking the Fabric

Fabric Spreading

Marker placing on the lay

Cutting the fabrics

Numbering

Checking

Separating and Bundling

Send to the sewing department

http://www.garmentsmerchandising.com/working-procedures-of-a-woven-garments-merchandiser/

http://textilelearner.blogspot.com/2014/06/an-overview-of-garments-marker-making.html

http://www.garmentsmerchandising.com/process-flow-chart-for-garments-sewing-department/



Figure 3.6: Cutting section in garments

Fabric Cutting: The elucidation of fabric cutting is exceptionally unpredictable. In

readymade clothing enterprises, fabric is cut from lay and spreading with exactness

which is known as fabric cutting.

Marker diagram is utilized to cut the fabric. During clothing assembling, fabric cutting is

essential as though something is cut in the wrong way which is not be redressed.

The accompanying are the most essential points to be considered before fabric

cutting:

Precision in cut i.e. the measurement of example and fabric parts is cut ought to

be same.

The cut edge must be cleaned.

Infused edge.

Consistency in fabric cutting.

Support of lay.



Place the fabrics on the cutting surface. This can be a huge level table or counter.

Should position the example pieces on the fold or on the grain line as showed.

Every example pieces have a front side i.e. printed side and rear. Here, the design

graph will show which way every piece ought to be set.

If the fabric has a restricted plan then lay the greater part of your example pieces

in the same bearing on account of completed task.

Accurate score size. In the event that it is expansive in size, it can be seen

subsequent to sewing of fabrics. Likewise there is an extraordinary likelihood of

delivering issues in coordinating of examples subsequent to sewing.

Drill gap and size must to be proper and it will be set in its correct spot. On the off

chance that it is too substantial it would be seen subsequent to sewing. Yet, if it’s

very small, then can be blocked effortlessly.

3.3.6 SEWING:

Sewing machine is the most imperative gear in clothing assembling industry.

3.3.6.1 SEWING MACHINE FEED MECHANISM:

It is used for moving the fabrics being sewed from one stitch point to the other. It is the

most imperative parts of the sewing machine.

The functions of the sewing feed mechanism are as follows:

Proper crease appearance

Proper sewing as required

Controlling of SPI (Stitch per inch)

Moving forward and in reverse of sewn fabric

Sometimes wrinkle impact is shaped by configuration



The Parts of Sewing Machine Feed Mechanism: There are varieties of feed machines

accessible based on the desired function. There are three parts which are common in any

type of feed mechanism. They are

Throat plate or needle plate: These are the part of the sewing machine which

has entry for the needle and feed dog entrances and which gives confined support

to the material. Based on the sewing requirements these openings will change in

size and shape. This is made of steel and its surface is extremely smooth. Because

of the smooth surface fabrics can be nourish effortlessly. It is additionally called

needle plate or feed plate. It has one or more openings through which feed dog

can push ahead and in reverse. It has an opening through which needle can move

up and down with the string. Size of this opening must not be more than 30% of

needle size.

Feed Dog: A toothed component which follows up on the surface of material is

being sewn to move it controlled during sewing. The activities in typically on the

lower surface of the material yet components which follows up on the upper

surfaces are additionally being used. Most often, the movement is forward but in

some cases it is reversed. It is the most essential part of the feed system. The

primary function of this part is to move sewn fabric after the individual stitch of

required length.To keep the slippage of fabric, the upper parts of the feed are

made toothed. The motion of the feed dog is always lateral. It goes in reverse and

comes upward through the space of the throat plate connecting the lower surface

of the fabric and propels the fabric a step forward and after that descends from the

fabric and moves down again beneath the throat plate.

Pressure foot: This is a component which is used in the motion of the material

during the formation of stitch by applying to it a movable descending weight.

Pressure foot works long with the throat plate and feed dog to accomplish

controlled motion of the material and correct stitch pattern. Many types of

pressure foot are being used. The most widely recognized have a strong or pivoted

surface which controls the material. It is utilized to give a flexible downward



pressure on the fabric with spring weight. So fabric can't climb and down with

needle. Lower surface of the pressure foot is exceptionally smooth to anticipate

less grating amongst fabric and pressure foot.

Basic Automatic Sewing Machine: Basic programmed sewing machine is one of the

kinds of sewing machine. Basic programmed machine incorporates button hole stitching,

button joining and bar-tack stitching machine.

A few machines are found to sew for extraordinary purposes, for example, button hole

opening, button joining, bar-tack making and so on. In these machines, the pre assigned

works are done by cyclic order that is the reason called Basic Automatic Sewing Machine

Different Simple Automatic Sewing Machine Used in Garment Industry:

Button hole sewing machine:

• It is a straightforward programmed sewing machine.

• Easy modification of hole size and stitch thickness.

• The hole is cut before sewing, for heavier fabrics.

• For lighter fabric, hole is cut subsequent to sewing.

• Special kind of sewing string is utilized for sewing.

• Stitch sort like lock or chain stitch might be utilized.

Button attaching sewing machine:

• It is a straightforward programmed machine.

• Button situating can be programmed.

• Sewing is done by based on the hole in button it either might be cross

or parallel.

• Stitch sort like lock or chain stitch might be utilized

http://www.garmentsmerchandising.com/process-flow-chart-for-garments-sewing-department/



Bar-tak sewing machine:

• Simple programmed sewing machine.

• It is utilized for substantial fabric sewing.

• It is a cyclic operation.

• It is utilized where the articles of clothing as a part of high weight, for

example, waist band, pocket corner.

3.3.6.2 TYPES OF DEFECTS FOUND IN SEWING SECTION:

Sewing is the way of connecting two fabric parts by the usage of stitches which is made

with a needle and string. Sewing is one of the fundamental steps of clothing assembling

process.

Likewise sewing area is the most critical segment of instant articles of clothing industry.

Different sorts of faults and defects emerge in sewing segment which must be decreased

to keep up the required quality of clothing.

Sewing Defects:

• Needle harm: for instance, string drawn-off from the fabric or making of

substantial gap to the fabrics.

• Skipped stitch.

• Thread drawn-off.

• Seam puckering.

• Wrong stitch thickness.

• Uneven stitch.

• Staggered stitch.

• Defected stitch.

• Oil spot or stain.

Seaming Defects:

• Uneven width.

• Uneven crease line.

• Not secured by back stitch.

http://www.garmentsmerchandising.com/comparison-between-different-types-of-stitch/






• Twisting.

• No coordinating of check or stripe.

• No coordinating of crease.

• Unexpected materials are joined with the sewing.

• Not sewn by coordinating face side or rear of fabrics.

• Use of wrong stitch sort.

• Wrong shade coordinating of sewing string.

Get together Defects:

• Defected completed segments by size i.e. flawed size and state of

completed parts.

• Imperfect articles of clothing size.

• Use of wrong ticket.

• Missing of any parts or foreordained configuration of pieces of clothing.

• Imperfect arrangement of parts i.e.( button, hook, and so on) in legitimate

spot.

• Wrong putting or wrinkling of interlining.

• Looseness or snugness of interlining.

• Folding of any parts of pieces of clothing that is seen to terrible

appearance.

• Shade variety of pieces of clothing.

• False course of fabric parts in the articles of clothing.

3.3.7 WHISKERING ON DENIM FABRIC:

Whiskering is the most critical configuration of an utilized look garment. Whiskers are

taken from the well used out lines and impression designs created by common wearing on

hips and front thigh zone. Presently a days it is a typical drying process for denim wash.

For giving the whiskering impact on denim we can take after the beneath flowchart.


http://www.garmentsmerchandising.com/how-to-measure-button-ligne-in-apparel-industry/



Brushing

Get on Raw Denim

Whiskering

Labeling

Desizing

Balance

Chemical (Bio-shine)

Devastate & Grinding

P.P. Shower

P.P. Balance

On the off chance that profound shade introduce

then treatment pop, RM (Detergent)

For shading coordinating with genuine swatch somewhat

shading include if required

Settling with NEO-FIX at 1gm/L and 700c×15min

Softening



Figure 3.7: Process Flow Chart of Whiskering

3.3.8 WASHING:

Design is today deficient without denim. Denim comes in all structures, looks and washes

to coordinate with each dress. It is hard to trust that the same denim was initially utilized

in garments for the jeans and overalls worn by excavators on the west drift (US).

Various mechanical elements have added to making denim the design symbol that it is

today incorporating limitless enhancements in turning, weaving, completing and so forth.

A standout amongst the most critical piece of making of the wonderful denim pants is the

washing.

Washing has a critical impact in the denim chain due to the umpteen impacts that the

shoppers are searching for on their pants. We should speak somewhat about denim

washing.

Hydro then Drying 3D or Wrinkle with tar

Drying

At long last denim

out

Review

out

Conveyance

out



3.3.8.1 FUNDAMENTAL DENIM WASHING PRINCIPLES:

The following is the brief prologue to basic steps followed in denim washing in

Laundries over the world. Each little step in denim washing has a major effect since

indigo color has exceptionally poor wet and dry rubbing quickness. Some critical steps

during Denim Washing

Pre treatment (Designing, Rinsing, Scouring and so on)

Enzyme or Stone wash

Clean up to change the craving impact

Bleaching

Tinting/Dyeing

Softening

3.3.9 TRIMMING:

After sewing, all hanging strings are cut with a hand trimmer. This can also be possible

using Auto string trimming machines. The loose threads inside the garments are removed.

Garments without any loose thread and a long tail are considered as quality requirements.

3.3.10 FINISHING AND PACKING:

Finishing is the last phase of clothing production where it gets its final look.

In this department, each of the garments undergoes various finishing procedures.

It experience for quality check for a few number of time which sets the garment

free from imperfections.

Buyer determinations and guidelines are entirely kept up.



3.3.10.1 OPERATIONS DONE AT THE FINISHING STAGE

Thread cutting: Uncut strings influence the presentation of completed and

packed garments, hence it is important to cut and trim the free and uncut strings.

Stain removal: It removes the following kinds of stains: Oil, yellow, black and

paint spots, stains due to color dying, ink, rust, tracing marks, yellow stains, and

hard stains.

Seam ironing: Pressing of garments is done using steam ironing tables with

vacuum boards.

Final finishing: The whole piece of clothing is finished using different types of

finishing equipments.

Tagging and packing: The pass pieces are taken to the tagging and packing

section. It is the duty of the packing administrators to check the labeling along

with whether the packing is secured or not if specified.

Poly bags must not be grimy and torn.

Hangers are there or not if indicated.

Garment has been folded as per the specification and so on. When, the checking is

done they send clothing for the carton packaging. These things to be followed

while packing:

• The number of garments to be stuffed in one carton.

• Packing the garments in the cartons as per specified.

• Closing the box with cello tape.

• Sealing the cartons with plastic string.

• Writing on carton information like: Store or purchaser name, purchaser's

location, proportion, net weight and so on.



• Appropriate cost and brand labels. He additionally trains the labeling

administrator as to where and how the tag must be set. The most critical thing

to be remembered while putting the tag is to match the size said on the main

label and the size on tag. The step after the labeling is to pack the garments as

per the specification of the purchaser.

Presentation checking and cartoon packing: It is essential to check the packed

garments for presentation. Checking is done for the following things:

• Poly bags are as per the specified detail.

• Tags and price stickers are as per specification given to them.



3.4 INDIVIDUAL DEPARTMENTS AND ITS STRUCTURE

3.4.1 STRUCTURE OF HUMAN RESOURCE DEPARTMENT:

Figure 3.8: Structure of HR Department

GM (HRD)

AGM (HRD)

MANAGER

(HRD)

PR MANAGER JUNIOR

OFFICER

MANAGER

WELFARE

OFFICER

HRD

DEPARTMENT

STAFF

TIME OFFICER

OFFICER

FIRST AID LABOUR

WELFARE

OFFICER

HRD

DEPARTMENT

STAFF

JUNIOR

OFFICERS

CANTEEN TIME OFFICE FIRST AID



3.4.1.1 KEY FUNCTIONS OF THE HRD:

Recruitment and Selection

Training and Development

Promotion and Transfer

Wages and compensation organization

Performance Appraisal

Industrial Relations

Disciplinary Action and

Welfare Measures

3.4.1.2 HR POLICIES:

Carrier Development Plan and Promotion Rules for Officers.

Time Bound Advancement Scheme for Unionized Cadre representatives.

Standing orders material to Unionized Cadre representatives

Medical Attendance Rules.

Leave Rules with encashment advantage.

Conveyance Allowance.

Education Advance.

Festival Advance.

TA/DA Rules.



3.4.2 STRUCTURE OF PRODUCTION DEPARTMENT:

Figure 3.9: Structure of Production Department

3.4.2.1 FUNCTIONS OF PRODUCTION:

Size and limit of creation.

Location.

Product facility

Cost of creation.

Inventory.

Automation.

The production division is one of the main parts in every manufacturing industry.

Furthermore, it is the crucial part for smooth going in each enterprise.

DGM (P&M)

AGM

(PRODUCTION)

MGR (P&M)

WORKS

MANAGER

WORKERS



3.4.3 STRUCTURE OF FINANCIAL DEPARTMENT:

Figure 3.10: Structure of Finance Department

DIRECTOR (FINANCE)

AGM (FINANCE,

PF & PAYROLL)

AGM (COSTING

OR BILLS)

MANAGER MANAGER

JUNIOR

OFFICER

SENIOR

ASSISTANT

JUNIOR

ASSISTANT

JUNIOR

OFFICER

SENIOR

ASSISTANT

JUNIOR

ASSISTANT



It is the life blood and heart of every organization. It is mainly involved with the

managerial decision making and is concerned with the proper utilization of cash. It

identifies the financial institutions where to borrow i.e. ICICI, IRBI, IDBI, Corporation

bank etc. It has the following functions:

Effective funds and asset management which is inverted in advantageous tasks.

Decision making in regards to fix of cash account.

Obtaining trade credit.

Profit Maximization.

Wealth Maximization.

Preparation of cash budgets.

Systematic way to deal with working capital administration.

Raw materials pricing & valuation of stores.

3.4.4 STRUCTURE OF MARKETING DEPARTMENT

Figure 3.11: Structure of Marketing Department

DGM

AGM

MANAGER

OFFICER



Market is generally understood as a place or geographical area where buyers and sellers

meet and enter in to transaction involving transfer of ownership of goods, services and

securities.

SHARAN FASHIONS follows direct marketing with the companies which provides

order for jeans. There business is to deal directly with the jeans companies.

3.5 DETAILS OF THE COMPETITORS AND THE

ORGANIZATION’S PRESENT POSITION/STATUS ETC

3.5.1 COMPETITORS:

Microtex

Vaishnavi Enterprises

Arvind Mills

Shri Guru Garments

Shahi Exports

Gokul Das



DETAILS OF FINANCIAL ANALYSIS



CHAPTER 4

DETAILS OF FINANCIAL ANALYSIS

4.1 BALANCE SHEET

PARTICULARS 2013-2014 2014-2015

LIABILITIES

CAPITAL ACCOUNT

Shailendra Gaonkar 1500000 1500000

Rajesh K 1500000 1500000

Nayan G S 1500000 1500000

RESERVES AND SURPLUS

Reserves 500000 500000

PROFIT AND LOSS

Opening Balance 500000 400000

Current Period 2014500 3134000

LOANS (LIABILITY)

Bank Overdraft 1500000 1500000

Unsecured Loans 730000 730000

Term Loan with Bank of Baroda Ltd. 1000000 1000000

CURRENT LIABILITY

Liabilities towards fixed asset 250000 200000

Outstanding Liabilities 200000 150000

Duties and Taxes 115000 100000

Provisions 56000 65000

Sundry Creditors - -

EPF Payable 150000 125000

Property Tax Payable 38000 24000

Transportation Payable 10000 15000



TOTAL 11563500 12443000

ASSETS

FIXED ASSETS

Computers 60000 60000

Furniture 1530000 1500000

Plant and Machinery 1525000 1500000

Vehicles 200000 200000

Bore well 300000 300000

Investment 1561500 1561500

CURRENT ASSETS

Closing Stock 300000 500000

Deposits with Bank of Baroda 500000 500000

Deposit with BESCOM 500000 500000

LOANS AND ADVANCES

Sundry Debtors 1800000 2500000

Cash in Hand 85000 120000

BANK ACCOUNT

Karnataka Bank 650000 650000

State Bank of Mysore 750000 750000

Income Tax Refund 2000 1500

Building Advance 800000 800000

ADVANCE

Shailendra Gaonkar 500000 500000

Rajesh K 200000 200000

Nayan G S 300000 300000

MISCELLENEOUS EXPENDITURE - -

TOTAL 11563500 12443000

Table 4.1: Balance sheet



4.2 P & L FOR THE YEAR 2013-2014

PARTICULARS AMOUNT PARTICULARS AMOUNT

Opening Stock 500000 Sales

purchase - Scrap sales 25000

Direct Expense Direct Income

Electricity Charges 120000 From Contractors 7280000

Diesel 10000 Closing Stock 300000

Labour Charges 228000

GarmentAccessories

Consumables

36000

Rent 600000

Transportation 80000

Wages 1240000

Gross P/F 4791000 Gross Loss C/F -

TOTAL 2814000 TOTAL 7605000

Gross Loss b/f - Gross Profit b/f 4791000

Indirect expense Indirect income

Administration

Expense

90000 Interest Received on IT

Refund

3000

Finance Expense 108000 Interest Received on FD 50000

Salary & Staff

expense

1280000 Interest Received on

Investments

60000

Building Repairs &

Main.

45000 Misc Incomes 10500

Water Charges 150000 Other Income 15000

Depreciation 60000 Profits on sale of FA 175000

EPF Employers

Cont

225000 Rebate/Discount 100000

ESIC Employers 110000



Cont

Gratuity Settlements 80000

Income Tax paid 42000

License Fees 35000

Misc Exp 30000

Property Tax 20000

Audit Fees 15000

Partners Salary 300000

Remuneration to

Rajesh

300000

Remuneration to

Nayan

300000

Net Profit t/f to B/S 2014500

Table 4.2: P & L for the Year 2013-2014



4.3 P & L FOR THE YEAR 2014-2015

PARTICULARS AMOUNT PARTICULARS AMOUNT

Opening Stock 800000 Sales

purchases - Scrap sales 25000

Direct Expense Direct Income

Electricity Charges 240000 From Contractors 9280000

Diesel 10000 Closing Stock 500000

Labour Charges 228000

Garment

Accessories

Consumables

36000

Rent 750000

Transportation 80000

Wages 1540000

Gross Profit P/F 6121000 Gross Loss C/F -

Gross Loss b/f - Gross Profit b/f 6121000

Indirect expense Indirect income

Administration

Expense

90000 Interest Received on IT

Refund

1500

Finance Expense 108000 Interest Received on FD 50000

Salary & Staff

expense

1394000 Interest Received on

Investments

75000

Building Repairs &

Main.

45000 Misc Incomes 8500

Water Charges 150000 Other Income 12000

Depreciation 225000 Profits on sale of FA 85000

EPF Employers 225000 Rebate/Discount 85000



Cont

ESIC Employers

Cont

110000

Gratuity Settlements 80000

Income Tax paid 42000

License Fees 35000

Misc Exp 30000

Property Tax 20000

Audit Fees 15000

Partners Salary 300000

Remuneration to

Rajesh

300000

Remuneration to

Nayan

300000

Net Profit t/f to B/S 3134000

TOTAL 19927000

Table 4.2: P & L for the Year 2014-2015



DETAILS OF SWOT ANALYSIS, McKinney’s 7s

MODEL AND Porters 5 FORCE MODEL



CHAPTER 5

DETAILS OF SWOT ANALYSIS, McKinney’s 7s

MODEL AND Porters 5 FORCE MODEL

5.1 SWOT ANALYSIS

5.1.1 STRENGTH

The company is located at the center of the city.

It has all Infrastructure facilities required for manufacturing of jeans.

It is completely owned by three partners.

The company can get financial support from the Banks in times of financial crisis

easily.

The company is well established and has very good GOODWILL.

It is leading in production of Jeans.

It has very good dealership network that the product reaches every customer.

5.1.2 WEAKNESS

Technology used in production department is old and needs upgradation.

They are failure in reducing cost of production.

High orientation cost due to excessive labor force.

Absence of television network.

Absence of Digital Marketing

5.1.3 OPPORTUNITIES

The company can look to expand its manufacturing capabilities in emerging

markets which would be a great boost for the brand.

The brand can also start online stores for selling its merchandise as an effective

medium for selling.

The brand effective in its advertising looks at green campaigns which attracts a lot

of attention these days.



The organization has good opportunity to spread its market share by increasing

export.

It has good raw material sources to enhance its production capacity.

5.1.4 THREATS

The government tax policies on clothing are set to increase the unit cost.

Highly fragmented fashion industry which would involve low customer loyalty.

The entry of several international players in the industry would also acts as a

threat for the brand.

Government interference may reduce the growth potential of Sharan Fashion.

To protect the financial Interest of the Company.

There is need of renovation of plant and machinery.



5.2 MCKINSEY’S 7-S FRAME WORK:

The 7s framework of Mc-Kinsey is a model that explains 7 factors to organize a

company in a complete and best way. The proposition of the 7-S model suggests that

there are various factors that influence an organization’s ability to change. Since the

variables are intertwined, important progress cannot be made in single area (for

example, strategy) unless progress is made in other areas too. The seven elements are

distinguished as Hard S and Soft S. The 3 Hard S elements are feasible and are easy

to identify. The 3 Hard S can be seen in strategy statements, organizational charts and

other organization documentations. The 4 Soft S’s however, are hardly feasible.

Figure.5.1 McKinney’s 7s Framework

STRUCTURE

STRATEGY SYSTEM

SKILLS STYLE

STAFF

SHARED

VALUE



STRUCTURE: Structure refers to the structure of the organization. It refers to

the durable organizational arrangements and relationship. It is the skeleton of the

whole organization. SHARAN FASHIONS has simple, economic and reasonable

organization pattern. They have formal relationship among various positions and

activities.

STRATEGY: Strategy is a choice of direction and action, the company adopts to

achieve its goals in a competitive situation. Any statements completely of

functional strategy which the company is wishing to share are improvements in

existing products. Their future plan includes launching of new pattern in jeans.

Introduction of effective replacements without compromising on quality.

Development of new trends, fabrics, different color in jeans

SYSTEM: System tells which the main systems that run an organization are. In

SHARAN FASHIONS there are Financial, HR, Marketing, Productions systems

which are controlled by the directors and executives. Each system has their own

working process and set of rules to work on. Each and every employee’s follow

these rules and instructions and operate accordingly.

SKILLS: Employee’s skill in an Organization is unique and it can be due to their

experience in the work place. It depends upon the kind of people in the

organization, management style, Organization structure, and the external

environment. The employees of SHARAN FASHIONS have different skill related

to their work. The skills of employees have developed over a period of time.

STYLE: Decision-making is centralized with the head office. Authority is given

to an executive to take decision in day-to-day minor matters & other urgent

matter, it depends on the authority & responsibility conferred on every individual

& thus it is distributed based on designation & position held. In important matters,

meetings are held to take opinions of top management & various department

managers & the decisions are taken & implemented.



STAFF: As any employer, SHARAN FASHIONS follow ethical employment

standards wherever it operates with a goal in Mind; it completes its complete legal

obligation in terms of payments of employees and benefits practices. The

company provides training for job for everyone for which they are employed.

Career advancement related to performance and experience.

SHARED VALUE: Values refer to the institutional standards of behavior that

strengthens commitment to the vision, and guide strategy formulation and action.

The company has embraced an extended role of trusteeship that reaches beyond

the assets shown in the balance sheet to include societal belongings. Customer

satisfaction, ethical conduct, commitment to total quality, Innovation and

creativity, trust and team spirit are the heart of company’s value system.



5.3 PORTER’S 5 FORCE MODEL

The five forces are:

Threat of new entry to market

Degree of rivalry

Threat of substitute

Bargaining power of suppliers

Bargaining power of buyers

Figure 5.2: Porters 5 Force Model

Competitive

Rivalry

Threat of

new Entrants Bargaining

power of

customers

Bargaining

power of

suppliers

Threat of

substitute

products



Threat of new entrants: The threat of new entrants is likely more in the

industry by domestic as well as foreign companies. Organization such as

Sunnex jeans, Rookies, specially from Mumbai expanding their operations to

Bangalore which have entered recently are giving competition to SHARAN

FASHIONS Creations by way of approaching customers by many marketing

strategies.

Degree of rivalry: Rivalry from other parts of the cities such as from

Hyderabad, Hosur, Mumbai exporting to different large scale companies and

also India originated organizations in India are importing from other

International manufacturers, instead of SHARAN FASHIONS. Due to the

belief of foreign machines Contractors are procuring from Mumbai &

Chennai. SHARAN FASHIONS should advertise or find other marketing

strategies in order to gain the customers both domestic as well as Other States

of the country.

Threat of substitute: The substitute for SHARAN FASHIONS is increasing

in terms of getting contract. As other industries are able to produce in a less

span of time due to the fewer production capacity the dealers are approaching

other companies such as Arvind jeans. Also due to the high technology used

by other companies of advanced CAD, Cutting machines from different

countries such as of Japan.

Bargaining power of Suppliers (Contractor): The bargaining power of

vendors seems not to be so effective as the suppliers are selected based on the

low cost material and ready available supply for productions. So bargaining

power is not much effective. But to some extent bargaining of suppliers

effects as the suppliers would find other parties who would pay the price or

higher for the supply when compared to SHARAN FASHIONS.



Bargaining power of Buyers (Contractor): The buyers would look for the

high quality production with less span of time and with no defects in the

output material. There is a pressure in the bargaining power from the

companies that makes full payment after receiving the output so they would

pay less when there are more defects found in the material. Some companies

would look for minimum cost service in production so that is quite effective.



FINDINGS AND RECOMMENDATION



CHAPTER 6

FINDINGS AND RECOMMENDATION

6.1 FINDINGS

Employee Loyalty towards the organization.

Usage of old Machineries for JEANS production.

New technology used from nearly 3 to 4 years

No alternative sources of production of JEANS.

Employees are very much educated about well being risk and utilize security

things like masks, gloves etc.

Wranglers, Denim, Roadster are the main companies who give order for

SHARAN FASHIONS.

Company is trying to get more customers for its business

They grab the order by Direct Marketing which means they directly approach

companies with their samples

Company is educating its employees about the new technology to be used in

production



6.2 RECOMMENDATIONS

The company can utilize its capacity to the maximum by bring in more

innovation.

The company can spend both money and man power on advertising.

The company should improve in building up the best marketing strategy so as to

improve the distribution channels.

Marketing and Production department should work effectively and can make the

company to earn more profit by cost cutting.

The management should provide training and development programs to identify

the skilled individuals.

The company should try to renovate the campus, since the buildings is old.

The opportunities should be open towards youngsters and also experienced

candidates, as this might increase the chance of new innovative ideas of

production along with marketing for the benefits of the company in the long run.

Company should get into more aggressive marketing to gain the more order in the

market.

The company should constantly keep updating the technology as and when it

comes with regards to equipments, employees must undergo significant training

on the same.



CONCLUSIONS



CHAPTER 7

CONCLUSIONS

The study indicates that the positive aspect is that the company insist on good labor

relation and works for good harmony within the organization. Than earning profits the

company concentrates on other aspects which is needed to survive the competition in the

market. Many employees require motivation in order to achieve increase in production, as

it plays a vital role in the organization.

Jeans industry is an upcoming industry and definitely the employees will get sufficient

opportunity and also has bright career growth in the industry. The company also provides

its employees with social and cultural programmers that are very much required for the

employees.

The company has an effective human resources department in which the employees are

given nice remuneration, incentives and provides facilities such as canteen, medical

facilities.

The organization has excellent communication system as the organization's short term

goals are communicated to the employees on regular basis.



LEARNING EXPERIENCE



CHAPTER 8

LEARNING EXPERIENCE

On the first day of Internship a brief Introduction about the organization was given by the

HR manager. I started my project under the guidance of Mr. Nandish who is the Manager

at SHARAN FASHIONS. I was given an opportunity to refer to the organizations

records, where in I got to know about the documentation procedures involved in that

work and gained a fair idea of the functions in that company.

The organization study carried at SHARAN FASHIONS has helped me to know more

about the organization, its profile, its structure, departments and their functions, working

style of the employees. The company undertakes manufacturing of Jeans. The experience

I got from the Internship is very useful and I got explored to the new product-line, people,

strategies, working style, culture, policies, and the style of managing company’s profile.

I was allowed to visit the manufacturing unit, where we were shown how the production

of jeans Pants takes place. I also visited the finance and accounts department where I

learnt about the status of the organization.

The Trend of clothing changes rapidly in present generation and the style keeps on

changing so the organization should be ready to compete on the basis of commercial

factors like quality, price, marketing skills.



BIBLIOGRAPHY

Company Annual Reports

Journals

www.denimandjeans.com

Organisation Study Report on Sharan Fashions Factory

Economy & Finance

Transcript of Organisation Study Report on Sharan Fashions Factory