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Organization study on Tylsan Nec Ltd.,
Transcript of Organization study on Tylsan Nec Ltd.,
Organization Study on Tulsyan Nec Ltd.,
Institute of Management Studies, Kuvempu University Page 1
CHAPTER 1
INTRODUCTION
I SEEMA BANU studying at Institute of Management Studies
(Kuvempu University) undertook an internship study at Tulsyan Nec Ltd to
fulfill the requirement of MBA degree course of Kuvempu University. This
was undertaken during Aug-september2012 and main purpose of this
internship was to know how the theoretical aspects we study during our
course, are put into practice by the company.
The objective of undergoing this internship was to get practical
exposure to the structure and functioning of the organization. It was also
meant to study the activities of various departments such as finance,
marketing, production, human resource, purchase, store and service etc.
The report traces the growth and development of the company and
gives a skeletal outline about the technologies adopted by the company; the
report also explains the values and gives a brief about the financial aspects of
TULSYAN NEC LTD.
1.1 INTRODUCTION
HDPE/PP oriented strips are becoming increasingly popular in India &
have caught the eye of many end users for their requirement of packing
materials. They have become popular on account of their inertness towards
chemical, moisture & excellent resistance towards rotting & fungus attack.
They are non toxic. Lighter in weight & have more advantages than
conventional bags. PP/HDPE woven sacks laminated with LDPE/PP liner
have wider applications. HDPE woven sacks are much stronger & can
withstand much higher impact loads because of HDPE strips elongation at
Organization Study on Tulsyan Nec Ltd.,
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break is about 15-25% as compared to 30% of Jute. These sacks are much
cleaner & resist fungal attack. Jute prices are very unstable in the market
since Jute is an agriculture product. These sacks have many advantages over
other conventional sacks materials & are quite competitive in price. The
major users of HDPE/PP woven sacks are fertilizer, sugar, cattle feed, cement
& other chemical Industries. Oil seeds, salt, starch, pesticides, detergents &
many other items are also being packed in woven sacks. Fabric from HDPE
strips is also ideal for the Manufacture of shopping bags, sport hold-all, deck
chairs, books binding Cinema screen wall facing & carpet backing etc.
1.2 Objectives of the study
1. The objectives of the study are to learn & understand the working of
various functional departments like Production, Marketing, Finance and
Human Resource.
2. SWOT ANALYSIS to identify the major strengths & weaknesses of the
company for improvement.
3. Study the performance of Tulsyan NEC Ltd.
4. To study the financial position of Tulsyan NEC Ltd.
1.3 Scope of the study:
The scope of the study was limited to know the organization structure
and functions of the department. The study was mainly on finance, marketing
and human resource of the organization. The information is being collected
through various sources.
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1.4 Sources of the data:
The data for the study was obtained through primary source and
secondary source.
Primary source:
The primary source of data was obtained by personally meeting the
employees of the Organization, and also data are collected through
discussions and interviews with concerned executives and observation
method.
Secondary source:
The secondary source of data includes the background papers prepared
by the department for conferences, Meetings etc.. Departmental notes, and
Reviews, Reports, the factory records, Books, Annual Reports, Information
sheet and Internet.
1.5 Limitations of the Study:
As every study has its own limitations this study is also have some of the
limitation to collect the information and present the things in the effective
manner.
The various limitation of the study are as follows:
The study is an academic effort; it has its own limitation of cost and
time constraint.
The opinions collected from the employees might not be hundred
percent correct or may be biased also
This project has been taken in busy schedule so whatever information
gain by them is treated as correct.
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CHAPTER SCHEME
Chapter 1: This chapter deals with Introduction, Objectives, Scope of the
study, Methodology and Limitations.
Chapter 2: This chapter covers with Industry Profile .
Chapter 3: this chapter covers company profile and product profile
Chapter 4: This chapter covers Mckinsey 7’s model & functional area of all
the Departments.
Chapter 5: This chapter covers organization Strength, Weakness,
Opportunities and Threats.
Chapter 6: This is the final chapter it covers Findings, Suggestions and
Conclusion.
Annexure
Bibliography
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CHAPTER 2
INDUSTRY PROFILE
2.1 Introduction
Polymers are a large class of materials consisting of many small
molecules (called monomers) that can be linked together to form long chains,
thus they are known as macromolecules A typical polymer may include tens
of thousands of monomers. Because of their large size, polymers are
classified as macromolecules.
In the late 1830s, Charles Goodyear succeeded in producing a useful
form of natural rubber through a process known as "vulcanization." Some 40
years later, Celluloid (a hard plastic formed from nitrocellulose) was
successfully commercialized. Despite these advances, progress in polymer
science was slow until the 1930s, when materials such as vinyl, neoprene,
polystyrene, and nylon were developed. The introduction of these
revolutionary materials began an explosion in polymer research that is still
going on today.
Unmatched in the diversity of their properties, polymers such as cotton,
wool, rubber, Teflon(tm), and all plastics are used in nearly every industry.
Natural and synthetic polymers can be produced with a wide range of
stiffness, strength, heat resistance, density, and even price. With continued
research into the science and applications of polymers, they are playing an
ever increasing role in society.
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2.2 DISCRIPTION
Polypropylene is lightweight thermoplastic polymer that provides raw
material for manufacturing various textiles, containers, equipments, and
components and is used in various industrial applications also. In other words,
it is a kind of thermoplastic resin that is hard and tough and also can be
converted into fibers and moulded articles.
Polypropylene is made from the polymerization of pure propylene gas
at low temperature and pressure. This polymer is known for its unique
features such as anti rusting, good insulator, low density, highly crystalline,
high resistance to fatigue and a high melting point. It is also known as a
saturated polymer.
Polypropylene is a type of plastic polymer that is mainly used in
packaging and moulded articles. The polymer was discovered much after
polyethylene but even though; it gained much importance and rose up to the
level in context of popularity. Since it has been discovered, until now, it has
made its mark into the daily routine activities of the masses.
The major uses in which polypropylene is required are flexible
packaging, rigid packaging, automotive parts, consumer products, fiber
products and other industrial applications.
Polypropylene is produced by polymerizing propylene gas or propylene
monomers in the presence of a catalyst. In the year 2004, United States of
America is the largest producer of the polymer with a total production of
around 8.4 million metric tons. The major companies indulged in the
production include Exxon Mobil and Shell. Consumption of polypropylene is
dominated by Asian continent with a share of around 40% in the total
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consumption figures of around 32.9 billion tons. Country wise, United States
of America stands at top in the list of major polypropylene consumer
countries. The following is the list relating to the major plastic consuming
countries of the world
United States of America
Germany
Japan
Singapore
Canada
Malaysia
Thailand
Indonesia
Vietnam
China
India
Pakistan
The world market is growing at an average of 3% per year. The world
trade in polypropylene has a same pattern as in the case of polyethylene. The
major exporters of this polymer lie in the Southern Asian and the Middle
Eastern area and South Korea is one of the dominant players in the world
market. The other exporters include USA and the countries in the western
European region.
In woven sacks industry production takes places from using HDPE
(hydro polyethylene) and PP(propylene)of plastic contents the cost incurred in
producing both the raw materials are more or less same but most of the
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companies are producing pp raw materials for its production purpose because
its abundance availability in the market and number of suppliers are more.
In India woven sacks industries are providing employment
opportunities over 1 million people. However the industry is growing
tremendously due to quality packaging capabilities this industry
approximately contribute to GDP of the nation around 0.12%.
2.3 History
Polypropylene is a polymer of the modern world. It was discovered as
late as in 1954 by Professor Giulio Natta. Till this time polyethylene was
already discovered and the catalysts that were used in the polyethylene
industry were used by the professor to the propylene gas to produce
polypropylene. The commercial production of polypropylene initiated in the
year 1957 as it can also be produced at room temperature and low pressure.
For his work, Natta along with Karl Ziegler, the discoverer of the catalysts,
got the Nobel Prize in the year 1963. With its production, it was readily
accepted by various industries as it is economical and possesses exclusive
physical properties.
With time and the introduction of new technologies of production,
improvements were done relating to the types of catalysts used and
controlling the structure of the product. The world production of the polymer
crossed the 14 million tons mark.
Polypropylene is a versatile polymer as it can be used in a vast number
of applications and today the polymer has become non – substitutable.
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2.4 COMPETITORS PROFILE
There are 536 Companies who are in the same industry in India,
some of the major
Companies listed below with their brief manufacturing details.
1) Ispa Exim Pvt. Ltd.
Manufacturers and exporters of HDPE sacks, polypropylene woven
sacks, polypropylene woven fabric, laminated fabrics, unlamented fabrics,
laminated fabrics, tea bags, food packaging paper bags, valve bags, t-shirt
bags, cement bags and printed bags.
2) PVN Plastics Industries
Engaged in manufacturing of HDPE and PP woven sacks, woven
polypropylene sacks, laminated woven fabrics, PP laminated gusseted bags,
boxed bags, shopping bags, lumber cloth, sand bags, BOPP printed sandwich
bags and wide with fabric.
3) Vivek And Company
Exports and manufactures woven sacks, woven sacks bags. Also deals
in jute twine, jute yarn, jute soil saver, jute mesh, jute geo textiles, geo jute,
jute sheets, sand bags, natural jute fiber sand bags, shopping bags and jute
shopping bags.
4) Welpack Industries Ltd.
Engaged in manufacturing and exporting of hdpe bags, hdpe t-shirt
bags, hdpe vest carrier bags, hdpe shopping bags, hdpe carry bags, hdpe pick
up bags, printed hdpe bags, plain hdpe bags, hdpe plastic bags and 20 micron
hdpe bags.
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5) Lamifab Industries
Manufacturers and exporters of woven sacks, PE woven sacks, PP
woven sacks, un laminated woven sacks, laminated woven sacks, PP
laminated sacks, PP un laminated sacks, PE laminated woven sacks, PE un
laminated woven sacks.
2.5 Indian market scenario for polypropylene
India is not among the dominant producers of polypropylene in the
world but is an upcoming player. The polymer industry is growing at about
12-15% annually. The country is able to produce around 4,500 thousand
metric tons of plastic products annually. Of this, 60-70% accounts for the
production of polyethylene (PE) and polypropylene (PP). However, India
stands eighth in the world consumption of polypropylene and is poised to
become the third largest consumer after the US and China. India was a net
importer of plastic products some time ago but due to the high rate of
development in this sector in the country, India has transformed itself into a
net exporter
2.6 Largest producers of polypropylene in the world
United States of America is the largest producer of polypropylene.
Japan and South Korea are the other two major producers of polypropylene
lying in the Asian continent. Taiwan is an important Asian producer.
Germany, France and UK are also contributing to the total world production.
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2.7 Indian polypropylene market
Since polypropylene has made an impact into every aspect of life and
work, India also is not far from being affected. The polymer has found its way
into various industrial applications and has become an integral part of the
economy as a whole. India has an installed polymer production capacity of
around 4500 thousand metric tons per year. Polyethylene and polypropylene
production accounts for around 70% of the total polymer production in India.
The major producers of polypropylene in India are Reliance, Haldia
Petrochemicals and Gas Authority of
India. Regarding the consumption of polymers in the country, India
stands at the 8th place with a mere 4 kg per capita consumption per year. The
Indian plastic polymer consumption in 2003-04 stood at around 4.2 million
tons. But, it is expected to take a jump from the eighth position to the third
position in the major consuming countries’ list in the upcoming years if the
rate of consumption continues.
The polymer industry in India is growing @ 12-15% annually. India
was a net importer of plastic products some time ago but due to the high rate
of development in this sector in the country, India has transformed into a net
exporter. The country registered an export surplus of Rs 462 core in plastic
products in the year 2003, though 1995-96, India was importing plastic
polymers worth a staggering Rs 1538 core. The prices of polypropylene in the
country are excessively fluctuating as they directly depend on the
international demand and supply conditions.
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Market Influencing Factors
• Fluctuations in the crude oil and natural gas prices
• Economic growth of the major polypropylene consuming countries like
USA and China
• Domestic industrial growth and development
• Demand for consumption in the international market
• Government policies and regulation
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CHAPTER 3
COMPANY PROFILE
Tulsyan NEC Ltd is one of India's leading manufacturers of Thermo
Mechanically Treated(TMT) Bars. The company is engaged in the
Manufacturing TMT bars, Synthetics Woven Fabrics and Sacks. They have
their manufacturing plant at Chennai (Ambatuur & Gummudipoondi) and
Bangalore (Dodabalapur). Their products include TMT Bars, sponge, Billets
and ingots in the steel division and in synthetic division it includes PP Woven
Sacks, FIBC and Woven Fabric. The company is an ISO 9001-2000 Certified
Company. The Company is the Flagship Company of the Tulsyan Group. The
company is into manufacturing of Thermo Mechanically Treated Bars. It is
the first Licensed Rolling Mill in South India to produce TMT Bars and
obtain ISI 1786 and ISO certification. Tulsyan Steel is registered with the
Bureau of Indian Standards and each TMT Bar is accompanied by a BIS Test
Certificate. Tulsyan NEC Ltd Was incorporated on April 11, 1947 as National
Engineering Company Ltd in Kapurthala, Punjab. In July 7, 1947, the
company received the certificate of commencement of business. The
Company was established to manufacture CTD bars, MS Rounds and other
finished steel Products. In the year 1965, the re- rolling facilities at Kolkata
was relocated to Chennai. In the Year 1986, the company was taken over by
Tulsyan Group. In the year 1994, the company Established additional facility
of 36000 MTPA to manufacture MS Ingots. In July 1994, the Company
entered the capital market with their maiden public issue and their equity
shares were listed on the BSE. In the year 1996, the company received an
award from the Government of Karnataka for export performance. In June
1996, Tulsyan Synthetics Ltd was amalgamated with the company. In August
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1996, the name of the company was changed from National Engineering
Company Ltd to Tulsyan NEC Ltd. In the year 2004, the company installed
furnace having Billet Manufacturing capacity of 72000 MTPA at
Gummudipoondi. In the year 2005, they set up wind Mill at Devarkulam. In
the year 2007, the company installed Rolling Mill at Gummudipoondi Having
capacity of 150000 MTPA. In the year 2008, the company signed a Mau with
Power Trading Corporation and Suhaly Abdul Mohsin Al- Shouibi & Sons
holding Co Ltd. In August 2008, they entered into an MOU with Budhrani
Group of Companies for setting up a joint Venture company. In the year
2009, the company increased the Billet manufacturing capacity by 72000
MTPA at Gummudipoondi. During the year 2009-10, the company completed
the expansion by increasing the Rolling Mill capacity by 150000 MTPA at
Gummudipoondi. Also, they acquired Chitrakoot Steel & Power Pvt Ltd with
sponge iron manufacturing capacity of 36000 MT per annum. The company's
shares were permitted to trade on National Stock Exchange of India Ltd with
effect from November 05, 2009. The company is in the process of Setting up
setting up a captive power plant of 35 MW capacity in Gummudipoondi,
Tamil Nadu. The company is one of the reputed manufacturer's of Synthetic
Woven Sacks/Fabric and is regularly supplying bags to all the major cement
companies and many other reputed organizations in India and also exporting
the same on a regular basis. Manufacturing unit is having well equipped
chemical and physical laboratory to monitor the quality of the product.
Besides the sophisticated plant and machinery and the matching in-plant
working environment, organization is managed by a team of dedicated and
well experienced technocrats who believe in excellence of the product
Tulsyan NEC ltd is a leading supplier of Pp FIBC, Jumbo Bags, and Woven
Sacks. The Organization is proud to be esteemed supplier of many customers
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around the world with the primary goal to meet their clients requirement and
establish mutually pleasant business relationships with them. The sacks are
used to pack cement, food grains, sugar, seeds, branded products, pulses,
chemicals, resins etc. offer circular or flat fabric to be converted to sacks or
bags at customer's end or to use as over wrap for textile packing, upholstery,
for carpet backing, baling and tarpaulins. The sacks, bags, fabrics can be
supplied in any color, with printing of logo or packed products specifications.
The Synthetics/Plastic division has recorded steady growth over the years.
The Company entered the export market during 1993-94 with an export
turnover of Rs.2.41 lakhs during the first year, exports has steadily grown
since then. The Company got an export award from the Government of
Karnataka for its export performance for the year 1995-96. In course of time
the company has extended its product range to include manufacture of
Flexible Intermediate Bulk Containers (FIBC) and Wide Width Woven Fabric
(WWWF)
3.1 VISION STATEMENT
To be a global leader in Synthetic fabrics and delight the customer by
creating products that offer unmatched superiority.
3.2 MISSION STATEMENT
Our mission is to become a benchmark organization in packaging
industry. For this we are constantly striving to develop our organization,
enhance professional skills and upgrade infrastructure system so as to be
highly successful in the competitive environment of the new millennium.
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3.3 Objectives of the Company
The objectives of the company
To Maximize the profit of the company
To reduce the Wastage
To increase 70%-80% Employment opportunity
Employee Welfare
Creating social Responsibility
To maintain Hygienic factors
Learning and Development
3.4 Customers Profile
3.4.1 Table: 1
STEEL DIVISION PLASTIC DIVISION
DLF Groups of Companies Dalmia Cement (Bharat) Ltd
TVS Group of Companies Grasim Industries Limited
HCL technology Ltd. Grasim Industries Limited
Gammon India Ltd. Ultratech Cements Companies LTD
Cognizant Tecnologies Associated Cements Companies
Ltd
Larsen & Tourbo Ltd. Industrial Mineral Company
Prestige Group of Companies Mangalore Chemicals & Fert Ltd
Central/State Class 1 contractors Fritz Marketing Inc..,- USA
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3.5 Suppliers profile
3.5.1 Table: 1
Local International
Vinmar International Ltd- USA Reliance Industries Ltd – Mumbai
Basell Asia Pacific Ltd- Usa Blend Colors Pvt Ltd
Trion Energy Ltd – Usa Ltd Konkan Specialty Poll Product Pvt
Oman Polypropylene L.L.C. – Oman Plasmix Limited
Borouge Pvt Ltd – Abu Dhabi – UAE S.C.J. Colourants
Saudi Basic Industries Corporation
3.6 PRODUCT PROFILE
» Cement Bag
» Fertilizer Bag
» HDPE Sacks
» HDPE Woven Sacks
» HDPE and PP Woven Sacks
» Jumbo Bags
» Packaging Sacks
» Polypropylene Woven Sack
» Sandbags
» Woven Bags
» Woven Sacks
» Woven Sacks Bags
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3.7 Polypropylene Products
The company engaged in manufacturing, exporting and supplying
polythene and bags. These are manufactured using fine quality raw material
obtained from trusted and reputed vendors across the nation. All the products
we manufacture are in accordance with industrial standards and strictly follow
the defined parameters. We offer:
Jumbo Bags
They put forward high quality Jumbo Bags. Manufactured using high
quality raw material that is procured from trusted and reputed vendors across
the nation these possess features like wear & tear resistance, strength and long
life. These are in extensive demand in the market and are widely appreciated
by the clients due to its flexible intermediate bulk containers that are custom
tailored so as to suit the individual requirements. Used for carrying bulk cargo
in single package option, these are widely acknowledged by the varied
industries. Clients can avail these within stipulated time frame and at market
leading prices.
Coated Or Uncoated Bags
They bring forward high quality Coated or Uncoated Bags that are
manufactured using high quality raw material that is procured from trusted
and reputed vendors of the market. These possess features like wear &tear
resistance, strength and long life. Also, these are in extensive demand in the
market and are widely appreciated by the clients. Acknowledged as per the
industrial standards, they offer these at cost-efficient prices. Clients can avail
these within stipulated time frame and we can also customize these as per
their needs and requirements.
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PP/HDPE Woven Sacks
They are engaged in offering PP/HDPE Woven Sacks. Manufactured
using high quality raw material that is procured from trusted and reputed
vendors across the nation these acquire features like wear & tear resistance,
strength and long life. We offer these sacks in tri-color printing, laminating
and finishing. These are in extensive demand in the market due to the both
inside and outside lamination of the sack. They offer these at cost-efficient
prices and clients can avail these within stipulated time frame.
Polypropylene Asbestos Bags
They are engaged in offering Polypropylene Asbestos Bags that are
manufactured using high quality raw material that is procured from trusted
and reputed vendors across the nation these possess features like wear & tear
resistance, strength and long life. There products are in high demand among
the clients due to their various designs and excellent printings. Having
expertise in manufacturing clear bags with great printability, they offer these
at cost-efficient prices. Clients can avail these within stipulated time frame.
Polypropylene Container Liners
They bring forward high quality Polypropylene Container Liners.
These are made using high grade material such as polyethylene or
polypropylene. These dry bulk container liners are also known as shipping,
sea bulk or sea land container liners and are stitched using coated or non-
coated fabric. Known for economical value than the conventional blown film
liners, these are supplied in bulk to cater to the requirements of our clients
spread across the globe and within the stipulated time frame.
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Polyethylene Liners
They are engaged in offering Polypropylene Liners that are
manufactured using high quality raw material that is procured from trusted
and reputed vendors based across the nation these possess features like wear
& tear resistance, strength and long life. These are manufactured at a
completely automatic unit packing system together with palletizing facility,
which is available at the plant. These are in extensive demand in the market
and we offer these at cost-efficient prices. Clients can avail these within
stipulated time frame.
TULSYAN Company is producing wide variety of products to fulfill
the requirements of the different customers. FIBCs are more recent
innovation on the international scene. The rising cost of manual handling in
developed countries has forced them to adopt more of automated techniques
for bulk product handling.
In the case of bulk commodities with large volume handling
requirements, tank cars for road or rail transport, bulk carriers for marine
transport and silos and conveying systems for storage are well established.
Economics of scale play an important part in cost control. However at points
of distribution of such commodities or where the commodity volumes are not
so large and intermediate bulk handling system is required. This requires the
availability of a safe, convenient and cost effective container for storage and
handling. The FIBC has proved to be the most effective container to meet
these needs.
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FIBCs have been standardized in size ranges from 200 kg to 4 tones
depending on bulk density and modes of transport and handling. Loss
protection and safety aspects have a major bearing on the FIBC design as do
the lifting, transport, loading and unloading methods. Further the commodity
properties have a bearing on the container stability which also needs to be
taken care of by proper design. The FIBC has, therefore, a much higher level
of design engineering input when compared to the conventional small woven
sack, even though both use similar types of fabric.Besides stronger and more
reliable fabric quality the FIBC calls for properly designed lifting straps, a
body configuration with reinforcements to ensure stability during storage and
handling and suitable inlets and outlets for ease of loading or unloading and
for protection against spillage or leakage.
3.7 Infrastructure
We have huge infrastructure that enables the team to work easily and in
collaboration with each other. The infrastructure is loaded with state-of-the-
art machinery and the team can easily incorporate new techniques to enhance
their efficiency. The base is divided into various segments like the
manufacturing unit, quality department, design department, warehouse unit,
etc. The new installed machines at the infrastructure help in enhancing the
production rate thereby enhancing client’s satisfaction.
3.8 Domestic Manufacturers
GAIL.
GE Plastics India.
Haldia Petrochemicals.
IPCL.
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Karnataka Petrosynthese Limited.
NOCIL.
Reliance.
Supreme Industries
3.9 International Manufacturers
Exxon Mobil.
Honam Petrochemicals.
Hyundai Petrochemicals.
Samsung.
Shell.
Dow Chemicals.
3.10 Tulsyan Group of Companies
Established in 1938
Activities
Iron and Steel Trading
Manufacturer of Tin Containers
Manufacturer of Cardboard Boxes
Manufacturers and Exporters of Leather Products
Manufacturer of Knitted Textile Gloves
Cold Storage Activities
Rice Processing Division
Tulsyan NEC Limited
Iron and Steel
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Windmill
Technologies
Synthetic
Turnover
$ 180 Million
Tulsyan NEC Limited
Flagship Company of the Group
Turnover $ 60.00 Million
Tulsyan NEC LTD
Divisions
Iron and Steel
Windmill
Technologies
Synthetic
Iron and Steel Division
Activities
Manufacturing- CTD/TMT/CRS Steel Bars
Trading
Turnover
$36.00 million
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Windmill Division
Eight in Number- Power Generated is for self consumption for the Iron and Steel Division
Capacity 1800 KWA
Technologies
Activities
Web Designing/Hosting
Medical Transcription at Chennai
30 Foreign Language Translation
3.11 Directors & Key Management Personnel: Board of Directors Lalitkumar Tulsyan
Executive Chairman Sanjay Tulsyan
Managing Director
S. Soundararajan
P.T. Rangamani
A.P. Venkateswaran
S. Ramakrishnan
Sanjay Agarwalla
V. Kirubanandan
C. Ramachandran
V. Subramani (Company Secretary)
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Registered Office 61, Sembudoss Street,
Chennai - 600 001.
Corporate Office Apex Plaza, I Floor, New No. 77, (Old No. 3), Nungambakkam High Road, Chennai - 600 034. Tel.: 044-3918 1060, Fax: 044-3918 1097 E-mail: [email protected] Web site: www.tulsyannec.co.in Administrative Office 37, Kaveriappa Layout, Miller Tank Bund Road, Vasanth Nagar, Bangalore - 560 052. Bankers
Canara Bank
Syndicate Bank
Andhra Bank
State Bank of India
IDBI Bank
Indian Overseas Bank
Shamrao Vithal Co-operative Bank
Auditors C.A. Patel & Patel, Chennai. Share Transfer Agents Cameo Corporate Services Ltd. Subramanian Building, 1 Club House Road, Chennai - 600 002.
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CHIEF EXECUTIVES Shri Ram Babu - General Manager (Rolling Division)
Shri Dinesh Goyal - General Manager (Ingot division)
Mrs. Uma - DGM (F&A)
Shri K.Anantheeswaran - Billet division)
Shri A.P.Harish - President (Operation)
Shri K.Chakraborthy - General Manager (Works)
Shri Sandip Lahurawalla – General Manger Exports
Shri J.M.Manohar - Manager Exports
Shri Murari Lal Sharma - General Manager Raw materials Shri.V.Padmanaban – General Manager Marketing 3.12 AWARDS AND ACHIVEMENTS Export House
State Award For Excellence In Exports From Government Of
Karnataka For The Period 1995 – 1996
State Award For Excellence In Exports From Government Of
Karnataka For The Period 1996 - 2000
AIFTMA Export Award 1997 – 1998
All India Flat tape Manufacturers Association From National
Association Of Plastics Woven Sacks Manufacturer For Excellence In
Exports For Medium /Large Scale Sector For The Year 1997 - 1998
AIFTMA Export Award 1998 – 1999 -II
Export Promotion Awards 2000 – 2001
Large /Medium Scale – II
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Institute of Management Studies, Kuvempu University Page 27
ISO Certified In 2002
Rated by Business Barons As One Among The 1st 500 Most
Outstanding Companies In The Country For The Financial year 2002
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CHAPTER 4
McKINSEY 7’S FRAME WORK
4.1 Introduction
In 1980s the MCKINSEY’S 7S Framework model comes into
existence this is a management model developed by well-known business
consultants Robert. H. Waterman and Tom Peters.
How do you go about analyzing how well your organization is
positioned to achieve its intended objective? This is a question that has been
asked for many years, and there are many different answers.
Some approaches look at internal factors, others look at external ones,
some combine these perspectives, and others look for congruence between
various aspects of the organization being studied. Ultimately, the issue comes
down to which factors to study.
While some models of organizational effectiveness go in and out of
fashion, one that has persisted is the McKinsey 7S framework. Developed in
the early 1980s by Tom Peters and Robert Waterman, two consultants
working at the McKinsey & Company consulting firm, the basic premise of
the model is that there are seven internal aspects of an organization that need
to be aligned if it is to be successful.
The 7S model can be used in a wide variety of situations where an
alignment perspective is useful, for example to help you:
Improve the performance of a company.
Examine the likely effects of future changes within a company.
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Align departments and processes during a merger or acquisition.
Determine how best to implement a proposed strategy.
This model there is seven basic dimension which represent the core of
managerial activities. These are the ‘levers’, which the executive use. The
originators of the model have coned the managerial variables with words
beginning with the letters so as to increase the communication power of the
model. The 7-s diagram illustrates the multiplicity interconnectedness of
elements that defines an organization ability to change. The theory helped to
change managers thinking about how companies could be improved. It’s says
that it is a matter if devising a new strategy and following neither it through
nor it is a matter of setting up new system and letting them generates
improvements.
Their organization must have a high degree of it, internal alignment
amongst all the seven’s. All S’s are interring related and a change in one has a
ripple effect on all the others. It improves their organization you have to pay
attention to all of the seven elements at the same time. There is no starting
point or implied hierarchy. Different factors may drive the business in any
one organization.
McKinsey Company, a very well known management consultancy
firm, developed the 7-S framework. It aimed to diagnose the cause of
company firm problem and to formulate program for improvement.
It’s all very well devising a strategy, but you have to be able to
implement it. If it’s to do any good, the seven ‘S’ framework first appeared in
“The art of Japanese Management” by Richard Pascal and Anthony Athos in
1981. They had been looking at how Japanese industry had been so
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successful, at around the same time that Tom Peters and Robert Wateman
were exploring what made a company excellent.
The seven S model was born at a meeting of the four authors in 1978. It
went on to appear in “In search of Excellence” by Peters and Waterman, and
was taken up as a basic tool by the global management consultancy
McKinsey. Managers, they said, need to take account of all seven of the
factors to be sure of successful implementation of a strategy large or small.
They are all interdependent, so if you fail to pay proper attention to one of
them, it can factor will vary over time and you can’t always tell how. That’s
changing like a lot of these models, there’s good dose of common sense in
here but the 7S framework is useful way of checking that you have covered
all the bases.
4.2 The 7S McKinsey Model
The model is based on the theory that, for an organization to perform
well, these seven elements need to be aligned and mutually reinforcing. So,
the model can be used to help identify what needs to be realigned to improve
performance, or to maintain alignment (and performance) during other types
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of change. Whatever the type of change – restructuring, new processes,
organizational merger, new systems, change of leadership, and so on – the
model can be used to understand how the organizational elements are
interrelated, and so ensure that the wider impact of changes made in one area
is taken into consideration.
We can use the 7S model to help analyze the current situation (Point
A), a proposed future situation (Point B) and to identify gaps and
inconsistencies between them. It's then a question of adjusting and tuning the
elements of the 7S model to ensure that your organization works effectively
and well once you reach the desired endpoint.
4.3 Structure:
Organization structure refers to the relativity more durable
organizational arrangements and relationships. Its prescribes the formal
relationship among various position and activities. Arrangements about
relating relationship, how an organizational members is communicate with
the others, what role he is to perform and what rules and procedures exists
to guide the various activities performed by members of all part of the
organization.
The general admission of the company is carried out by the
departments and these are downwards communication in the company. The
information flows from the top level of management to the lower levels.
The design of an organizational structure is a critical task of the
management of an organization. Organizational arrangement and
relationship among various position and activities.
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Managing Director
Management Representative
Chief Executive Officer
General Manager
HOD
Su pervisor
Workers
HOD (Purchase & Spare)
Superviser
Workes
HOD (Purchase of Material)
Purchase Officer
Superviser
Worker
General Manager
Assistant
HOD
Human Resource
Assistant
Commercical Maneger
Assistant
HOD
Accountant
Assistant
Organizational chart
4.3 Chart: 1
DEPARTMENTS OF ORGANISATION
Production department
Purchase department
Quality department
Finance department
Marketing department
Human resources management
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4.4 SYSTEM
System refers Formal and informal procedures that govern everyday
activity, covering everything from management information systems, through
to the systems at the point of contact with the customer (retail systems, call
centre systems, online systems, etc). System is northing but the daily
activities and procedures that staff members engage in to get the job done.
PRODUCTION DEPARTMENT
Production is the conversion of raw materials into the end product by using
processes, machines, men, tools, and so on. It is the process by which goods
and services are created. As we study the overall organization we come know
that the company is following the Pull System process of production.
PULL SYSTEM
It is a system of production in which products are produced only as they are
ordered by customers or to replace those taken for use. Or a JIT system.
5 P’S OF PRODUCTION MANAGEMENT
Production management is related with five p’s namely the product, plant,
process, programs, and people.
1. Product:- In the TULSYAN NEC LTD product means woven sacks
manufactured by using polypropylene and hydro poly ethylene and
these are plastic raw materials.
2. Plant: The plant is broad concept which is used produce the product.
The machineries used to manufacture the given product are called the
plant.
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Manufacturing facilities
The company posses world-class manufacturing facilities for
production of high quality Polypropylene (PP) woven fabrics, woven sacks /
bags. The machine at the companies facility incorporate latest technology that
provide great flexibility and cost saving in manufacturing process. The
company’s manufacturing facilities include the following :
Extruder
Cutting and stitching machine
Lamination plant
Woven bags sewing machine
Circular weaving machine
Hydraulic bailing press for HDPE/PP bags
Extruder:- The company has two advanced range of extruder machines,
which are based on latest European design technology to produce different
kinds of yarns in colours. Both the extruders are based on of Kolsite make
produces finest quality of yarn along with environment friendly operations.
Extruders (PP / HDPE Stretching Lines)
Features:
Very Fine Quality of Yarns.
High Flexibility to produce different
kind of coloured yarns.
European design technology.
Make: GCL&WINDSOR
Capacity:1000 KG/HOUR
Number of machines:3units
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Cutting and Stitching machine:
The company use latest model of cutting and stitching machines made
by GCL. The new age machine cuts, bottom folds and stitches the bags or
sacks. The complete processing is done just from the tubular fabric roll. These
machines can carry operations like counting, staking and conveying.
Make: GCL
Type: cutting and stitching machine
Capacity: 3000bags/hrs
Lamination Plant
“Touch Screen Type” Operation Panel & Synchronized System as
Standard Equipment
Line Speed: Max 120 meter/min
Equipped Auto Roll Changing System
Woven Bag Sewing Machine
The company has installed high speed, double needle woven sewing
machines specially designed by Arm Strong. The double needles of the
machine provides a long lasting stitch. These machine can efficiently stitch
heavy weight material such as HDPE, PP, Multiwall Papers and other type of
woven sacks. The bobbling stitching system of the sewing machine is
designed to enhance the overall production efficiency. Can also use any type
of cotton and synthetic yarns.
Organization Study on Tulsyan Nec Ltd.,
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Features :
Electrically operated
Easily convertible in single needle machine
Easy adjustment of distance between the needles
Fully automatic lubrication with oil recycling
Number of machines : 20
Circular Weaving Machine
The new generation circular weaving machine with six shuttle is designed to
weave fabric suitable for a variety of applications like plastic
granules/fertilizer/chemicals and smaller covering fabric/tarpaulin etc.
Additionally, these machines have an option to produce Anti-slip fabric on
special request.
Features :
Type : Circular weaving machine
6-shuttle: 80 looms
Capacity : 200000 meter/day
Hydraulic Bailing Press For HDPE/PP Bags
This is hydraulic bailing press which is used for pressing PP/HDPE
bags to minimize the volume for convenient packaging & transporting. These
machines are designed for free shift operation and can produce different
pressure as per the requirement.
Organization Study on Tulsyan Nec Ltd.,
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Features :
Compact hydraulic block
Overload protection valves
Push button operation
Preset bale height table auto stop
Pressure regulator and gauge
Emergency brak
3. Process: - There are various processes involved in the Production activity.
Extrusion
Weaving
Quality analysis
Fabric printing
Cutting
Stitching
Bailing
4. Programs: - The programs include the activity concern with the
company’s achievement to the strategic goals of the company the
retaining the talented employees the organization.
Since company has started so many years ago it has expanded its business
in overall India and its supplying of goods and services according to the
requirements of the customers .
5. People: - People refers to the workers or employees working in the
Organization. This company is providing the employment mostly to the
persons who are having the technical background such as Engineers,
Organization Study on Tulsyan Nec Ltd.,
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Diploma holder, ITI holders etc and occasionally it provides employment
opportunity to the non technical persons. It has efficient HUMAN
RESOURCE DEPARTMENT to maintain and nurture the human
relationship with in the organization.
Product portfolio:-
A customer focused, innovative and solution-driven company, it holds
expertise in successfully manufacturing and supplying high quality packaging
products. The company is committed to provide their clients a one stop
packaging solution. The company uses only high grade raw materials such as
HDPE/PP granules, LDPE/LLDPE granules, master batches and printing ink,
for products which are procured from reliable and trusted vendors. The
products are used for the packing of different products such as cement, sand,
polymer resins and agro products.
The company offers the following:
PP/HDPE Woven Sacks
FIBC bags
Polypropylene Asbestos Bags
Polypropylene Container Liners
Polyethylene Liners
Coated or Uncoated Bags
Jumbo Bags
Organization Study on Tulsyan Nec Ltd.,
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Manufacturing Process
PP Woven sacks bags:- The company offers PP woven sacks that are
available in a host of fascinating colors, designs and sizes. These allow
sufficient passage of air to the packed items and can also be laminated for
moisture proof packing of different items. These products ensure the
phenomenon of ‘breathing’ space in packed grains.
Salient features of PP woven bags:-
Light weight and easy & cheap to transport
Bright 2 / 3 / 4 color printing offer aggressive marketing prospects
No problems in stacking. Can be gusseted to further improve stacking
High Tensile strength and durability
Cost effective in comparison to other alternative packing material
No Seepages specially in poly lined or laminated bags
Technical specifications for different areas it is used
For Fertilizers:
Size – Length 915 mm, Width 610 mm
Open mouth
Bottom stitched duly laminated with PP/LDPE inside
Colour Milky White or others
Printed with flexo printing as per IS - 9755 – 1985 for packing 50.0 kgs
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For Cements:
Size – Length 710 mm, Width 480mm with self closing valve, Weight 70-
75 gms per bag
Printed with flexo printing for packing 50.0 kgs as per IS - 11652 –1986
For Sugar:
Size – Length 900 mm, Width 590 mm
Open Mouth Or Top Hemmed
Bottom Stitched with inside separate loose liner bag of 25 micron
thickness stitched at bottom and printed with flexo printing for packing 50
kgs Sugar
Size – Length 630 mm, Width 480 mm
Open Mouth Or Top Hemmed
Bottom Stitched with inside separate loose Liner bag of 25 micron
thickness stitched at bottom and printed with flexo printing for packing 25
kgs Sugar.
For Food Grains:
Size – Length 1000 mm, Width 570 mm
Open Mouth Or Top Hemmed
Bottom Stitched with inside separate loose Liner bag of 25 micron
thickness stitched at bottom OR without liner and printed with flexo
printing for packing 50 kgs food grains.
Size – Length 650 mm, Width 480 mm
Open Mouth Or Top Hemmed
Organization Study on Tulsyan Nec Ltd.,
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Bottom Stitched with inside separate loose Liner bag of 25 micron
thickness stitched at bottom OR without Liner and printed with flexo
printing for packing 25 kgs food grains.
For Fabrics
PP / HDPE woven circular fabrics are available in rolls of different colors
/ shades, width and other specifications as per the clients’ requirements.
They are put to direct uses or for conversion to Bags and Sacks at
customers' end.
4.10 Following is the manufacturing process of PP woven sacks bags
The process of manufacturing PP woven bags involves mixing raw
materials starting with PP or HDPE pellets and other additives, extruding the
raw materials into a yarn, weaving the yarn into a fabric in a process similar
to the weaving of textiles, laminating the fabric, cutting the fabric into
appropriate sizes for the bags, sewing the bags, printing onto the bags and
finally packaging the bags.
a) Tape Extrusion:
The raw material consisting of Raffia grade polypropylene and suitable
master batch is fed through a plastic extruder fitted with a `T’ die. The
extruded sheet is cooled and slit into small width continuous tapes, which
pass over a hot air oven during which the orientation of tapes take place.
These tapes are stretched and annealed, to achieve the required denier rating.
Organization Study on Tulsyan Nec Ltd.,
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b) Fabric Weaving:
These tapes are wound on cheese winders which are used on circular
weaving looms to produce continuous Circular fabric of the required lay flat
width. The fabric produced is wound into rolls.
THE CIRCULAR WEAVING MACHINE
a) Sacks Production:
The Woven fabric in roll form is unwounded and cut into required
length units. One end of fabric unit is folded at one of its corners such that
after stitching a spout opening is formed. The other side of the fabric unit is
fully stitched to get a woven sack. These sacks are tested for strength and
dimensional requirements as per the buyer’s specification. The approved
sacks are printed as per buyer’s requirement. Then the sacks are piled,
compressed in a baling press, baled and dispatched.
b) Waste Recycling:
The waste generated during the entire production process is converted
into reusable chips using an agglomerated.
Manufacturing process of Flexible Intermediate Bulk Container (FIBC)
A Flexible Intermediate Bulk Container, FIBC , big bag, bulk bag,
or Super Sack is a standardized container in large dimensions for storing
and transporting dry, flowable products, for example sand, fertilizers , and
granules of plastics. FIBCs are most often made of thick woven polyethylene
or polypropylene, either coated or uncoated, and normally measure around
110 cm or 45-48 inches in diameter and varies in height from 100 cm up to
200 cm or 35 to 80 inches. Its capacity is normally around 1000 kg or
Organization Study on Tulsyan Nec Ltd.,
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2000 lbs, but the larger units can store even more. The average bulk bag made
to ship one metric ton can weigh between 5-7 lbs. Transporting and loading is
done on either pallets or by lifting it from the loops. Bags are made with
either one, two or four lifting loops. The single loop bag is suitable for one
man operation as there is no need for a second man to put the loops on the
loader hook. Emptying is made easy by a special opening in the bottom such
as a discharge spout, of which there are several options, or by simply cutting
it open.
History
Although there is disagreement on exactly where FIBCs were first
made and used, it is certain that they have been employed for a variety of
packaging purposes since the 1940s. These forerunners of the FIBC as we
know it today were manufactured from PVC rubber and generally utilized
within the rubber industry for the transportation of carbon black to be used as
a reinforcing agent in a variety of rubber products. One of the first known
importers of the PVC containers into the United States is Robert Williamson,
founder and CEO of B.A.G. Corp., in 1969. These first PVC bags were
imported from Japan as an efficient way to solve the loading and handling
problem faced by crop dusters. By the 1960s, with the development of
polypropylene combined with advances in weaving, the bulk bags as we
know them today came into being and were rapidly adopted by a wide variety
of oil and chemical companies to store and transport powdered and granular
products. It was during the oil crisis of the mid 1970s that the FIBC really
came into its own for transporting huge quantities of cement to the Middle
East from across Europe for the rapid expansion of the oil producing
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countries. At its zenith, upwards of 50,000 metric tons of cement was being
shipped out on a weekly basis to feed the vast building programme. The
Flexible Intermediate Bulk Container Association (FIBCA) was formed in
1983 by the companies that were manufacturing bulk bags at that time. The
modern FIBC transports a growing figure of over ¼ billion tonnes of product
each year and is used to handle, store and move products as varied as cereals
to powdered chemicals and flour to animal feeds. With a capacity of up to
3m³ and load capability ranging from ½ a tonne to two tones FIBCs are
highly cost effective, easily recyclable and ideal for virtually any free-flowing
granule, powder, pellet or flake. FIBCs are also being developed to hold and
filter fluid products.
Process
a) Tape Extrusion: The tapes are produced by extrusion of
polypropylene with master batch using a `T’ die. Orientation,
stretching and annealing of the tapes are done to obtain the required
denier rating. As the tapes are wider and thicker, in order to facilitate
weaving, the tapes are folded into three layers use a tape folding
equipment or slit into fine fibers using a fibrillate to obtain compact
fibrillated tape, which are wound on cheese winders.
b) Fabric weaving:
Using an eight shuttle circular loom, the folded or fibrillated tapes are
woven into a circular woven fabric of required lay flat width, which are
wound into rolls.
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c) FIBC production:
The circular woven fabric is cut into required length. The top and
bottom covers are also woven fabric which is slit opened to give open width
fabric. The inlet and outlet spouts are small tubular woven fabric. The
handles are made out of knitted polypropylene fibers.
All these elements are cut into the required size as per the design of
FIBC and are stitched together, to obtain the circular woven fabric it is cut
into required length. The top and bottom covers are also woven fabric which
is slit opened to give open width fabric. The inlet and outlet spouts are small
tubular woven fabric. The handles are made out of knitted polypropylene
fibers. All these elements are cut into the required size as per the design of
FIBC and are stitched together, to obtain the FIBC of required capacity and
Safety factor. An inner layer of HDPE blown film is also employed to avoid
seepage. The single use FIBCs employ less denier tapes than the multi-use
FIBCs of corresponding capacity.
d) FIBC Testing:
The following tests are conducted on FIBCs
i) Ultra-violet stability test of polypropylene fabric.
ii) Tensile testing of FIBC fabric and handles.
iii) Test for resistance to impact collusion
The test parameters are based upon the design and utility conditions of FIBCs.
4.14 Printing & Packing: The quality approved FIBCs are printed as per
customer’s requirement and baled using a baling press.
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Classification of FIBC
Construction
Lifting options
Electrostatic properties
Industries served
Flood barriers use
Construction:-
U-Panel construction
Circular/Tubular construction
Baffle construction
Four side panel construction
Round construction
Lifting options:-
Cross corner lifting loops
Corner lifting loops
Four loops
Two loops
Sling loops
Full loops
Electrostatic properties:-
Type - A - no special electrostatic safety features
Type - B - Made from plain (non-antistatic) polypropylene. Type B
bags are not capable of generating propagating brush discharges. The
wall of this FIBC exhibits a breakdown voltage of 4 kilovolts or less.
Organization Study on Tulsyan Nec Ltd.,
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Type - C - Conductive FIBC. Constructed from electrically conductive
fabric, designed to control electrostatic charges by grounding. A
standard fabric used contains conductive threads or tape.
Type - D - Anti-static FIBCs, essentially refers to those bags which
have anti-static or static dissipative properties without the requirement
of grounding
Industries served:-
Chemicals
Fertilizers
Fiberglass
Food Products
Grains
Mining (Used to hold shotcrete)
Pharmaceuticals
Pigments
Plastics
Refractories
Rubber Additives
Seed
Advantages of HDPE / PP Woven Sacks and Bags
Moisture Proof : HDPE / PP Bags are inherently moisture repellent.
Light Weight : HDPE / PP Bags being light weight, offers easy and cheap
transportation.
Printing : Bright 2 / 3 Color printing offers aggressive marketing prospects.
Stack ability : No problems in stacking. Can be gusseted to further improve
Organization Study on Tulsyan Nec Ltd.,
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stacking.
Strength : High Tensile strength and long life. No corrosion.
Economical : Highly economical compared to other alternative packing
material.
Seepage : No Seepages specially in paper lined bags.
PROCESS FLOW CHART FOR WOVEN SACKS/FIBC
Raw Material PP/HDPE + Master Batch
Extrusion
Sheet Die
Cooling Water Bath
Sitting Unit
Hot Air Woven
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Stretching Unit
Annealing Unit
Tape Folding Unit
Cheese Winders
Quality Control Testing
Weaving on Looms
Fabric Rolls
Fabric Cutting Fabric Stitching
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Fabric Stitching Fabric Lamination
Quality Control Testing Fabric Welding
Printing Quality Control
Bailing Bailing
Dispatch Dispatch
FIBC’S & SMALL SACKS WIDE WIDTH FABRIC
4.4 Chart: 1
PURCHASE DEPARTMENT
The most important aspect in any organization is flow of materials from
outside the organization to fulfill the requirements of the each department.
This activity is taken care by the PURCHASE DEPARTMENT.
Purchase department plays an important in the organization
effectiveness and its productivity. Purchase department has to make timely
order of the raw material for the uninterrupted production process, and the
Organization Study on Tulsyan Nec Ltd.,
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spare parts for the machines which helps in orderly replacement of spares
with the production moving.
Objectives of the purchase department:
A. To procure quality raw material at the least cost.
B. To maintain sufficient stock at go downs.
C. To preserve the stock at maximum care.
D. To maintain safety stock level.
E. Estimate the future fluctuation in prices of raw material arrangement of
finance to fulfill the maximum stock level.
The department is responsible for the following:
Domestic purchase
Imports
Trading of Raw Material
Dispatches to factories
Storage at godown
Excise obligation
Organization Study on Tulsyan Nec Ltd.,
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Hierarchy of purchase department
4.4 Chart:2
IN TULSYAN NEC LTD the purchase department may be split into two
divisions:
Department of purchase of spare parts
Department of purchase of raw material
Purchase of spare parts department:
Purchase of the spare parts is maintained by the Bangalore branch
itself. Here requirement of all the machines spares and parts are looked by
this department. Each production department head will place orders that they
require, Sometimes the department will assess the required spares and parts
and place order in time or refill of the spare parts stock. Head of purchase
department, based on the past records will identify the requirement. The stock
of spares and parts are maintained in the average stock level.
Purchase Officer
Store Officer
Helpers
Helpers
Store assistant
Helpers
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The process of purchase of spares and parts are as follows:
They will send an indent to the supplier of the spare parts including
specification of the spare parts. Supply will be received approximately after
certain days.
LOCAL - 8 TO 10 DAYS
OUTSIDE - 15 TO 20 DAYS
Process of Purchase of spare parts
Good receipt cum inspection note (GRIN)
Quality & quantity (Store check)
Quality department checker (jobbers)
Department head (GRIN sign)
Accounts department (payment)
4.4 chart: 3
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This process chart give us a clear picture how ordered spare parts will
be received in the organization.
PROCESS OF PURCHASING OF RAW MATERIAL
4.4 Chart: 4
Responsibilities & Authorities:
Responsibility & Authorities of GM are covered in quality manual.
Manager (RM)
Responsibilities
Maintain inventory status.
Maintain subcontractor purchase and payment statement.
Verification of Excise Documents
Import material follow ups
Co-coordinating with factories for their requirements and their
ensuring.
General manager(Raw
material)
Executive
(Raw material)
Executive
(Imports)
Go-down incharge
Manager(Raw material)
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Timely deliveries.
Authorities:
Authorizing excise documents.
Releasing indents purchase order with approval of the GM.
Dispatch order for sales
Responsibilities Executive (Imports)
Preparation of import clearance documents.
Execute all import materials clearance formalities.
Bonding/De-bonding or import materials.
Clearance and transshipment of stores from the port of entry.
Responsibilities of go down in-charge
Receipt of stores.
Proper storage & handling of materials.
Preservation and safety of material.
Issue of raw material as per the instructions from(RM).
Ensure proper loading.
Major suppliers of the raw material
Reliance industries ltd
Indian petrochemical corporation ltd
Gas authority of India ltd
Haldia petrochemical ltd
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QUALITY DEPARTMENT
QUALITY CONTROL DEPARTMENT
The company believe that quality is essential to the success of any
business therefore company has adopted good quality practices and try to
instill these practices into the organization's culture and our product
range. With the strict quality measures, the company has mastered the art of
producing flawless products and are constantly incorporating innovations.
Aspiring for the total customer satisfaction, company lay stress on efficiency,
quality and commitment. The main objective is to manufacture and supply the
best quality product to the world with latest and advanced technology.
Company has commit to provide material quickly, flexibly and with service
tailored directly to the needs.
The products are checked on the following quality parameters:
Finish
Durability
Resistance to water
Strength
Quality is desired attributes and characteristics in material, semi
finished products and finished item it is a relative term and can be expressed
based on end usage. In simple words quality is doing the right things at first
time and every time.
Quality is:
Degree of performance
Degree of preference.
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Degree of excellence
Promises made to the customers
Quality of design
There are 8 dimensions of quality:
i. Performance
ii. Features
iii. Reliability
iv. Conformance
v. Durability
vi. Serviceability
vii. Aesthetics
viii. Perceived quality
In TULSYAN NEC LTD each department head or supervisor
especially in extrusion and weaving section, checks the tape quality, fabric
strength which is needed to meet the demands and requirements of the
customers. They use a special machine to check the strength of the fabric after
the weaving of sample, then if any defects are found it will be informed to the
departmental head or the concerned person in charge. Currently the company
is looking towards covering their quality under various international market
standards namely Srilanka, UK and middle east countries .The company is
also getting the rebars certificate from CRM Beligum. The company has a
Microsoft ERP solution which will further add quality system.
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4.5 STAFF
Staff means the employees and their general capabilities. The
company's people resources and how they are developed, trained, and
motivated. Staff means that the company has hired able people trained them
well and assigned them to the right job. Selection training reward recognition
motivation and assignment to appropriate work are all the key issues.
Staffing is the process of acquiring the manpower for the company and
insuring that they have potential to contribute to the achievements of
company’s goal. It is selecting people for specific company position and
developing in these and subsequent abilities and skills that they would need to
be effective in these and subsequent assignment.
The staffing function applies to the whole company good performing
companies paid attentions to the development of managers. On the Indian
since there are some example of firm which are relatively more concerned
about the processes of management development.
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HUMAN RESOURCES MANAGEMENT
HIERARCHY OF HUMAN RESOURCE DEPARTMENT
4.5 Chart:1
Introduction:
Human resource is very important for the success of any organization.
Human resource management is the wealth of an organization, which can help
in achieving its goals. Human resource management is concerned with the
human being in an organization. It reflects a new out look, which views
organization manpower as its resource and assets.
Meaning of Human resource management:-
Human resource management is that process of management which
develops and manages the human elements of enterprise. It is not only the
management of skills but also the attitudes and aspiration of people. When
HOD/HR manager
Executive
Assistant supervisor
House keeping supervisor
Executive
Assistant supervisor
House keeping supervisor
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individuals come to work place, they come with not only technical skills,
knowledge, experience, but also with personal feelings, desires, motives,
attitudes, values etc.., So Human resource management means management of
various aspects of Human resource.
HRM is a management function that helps a manager to recruit, select,
train and develop members for an organization. It is mainly concerned with
the people dimension in organization.
Tulsyan company has nearly 1640 employees (including contract
labours) as compared to previous year and the industrial relations remained
cordial during the year. To meet the ongoing challenges in the market place
employees are trained continuously to upgrade both their knowledge and
skills.
CLASSIFICATION OF EMPLOYEES
Permanent employees
Casual employees
Apprentice
FUNCTIONS OF THE HR DEPARTMENT
Recruitment of candidates.
Selection of best suited and right persons.
Training and development of employees.
Framing of rules.
Creating a good working environment.
Motivating the employees to work up to their potentials.
Maximizing the performance of employees.
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Maintenance of records.
Maintenance of industrial relations.
Employee service and benefits
MAINTENANCE OF SERVICE REGISTER\ PERSONAL FILES
Tulsyan maintains a service register of each employee maintaining all
the service records and the below mentioned facts according to the HRD wing
of the respective organization.
Particulars of the employees.
Date of joining.
History of services.
Pay scale/ increment /advances.
Particulars of leave availed including leave encashment / maternity
leave.
Particulars of record of rewards, praise, punishment or censure
including suspensions
Place of position.
Name / age of family members for provide medical benefits.
Permanent residence address and present postal address.
Details of training program undergone.
HR PRACTICES OF TULSYAN NEC LTD
Provident fund and pension fund.
Gratuity.
Compensation for accidents.
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Shift allowances.
Overtime allowances.
Death relief fund.
Provide loans through the banks.
Leave encashment such as all permanent employees as on the date of
settlement will be given leave encashment in the form of following:-
Earned leave.
Casual leave.
Maternity leave.
Commuted or half day leave.
The primary responsibilities of the human resource department is
1. MANPOWER PLANNING
As an annual exercise, human resource department reviews the existing
manpower plan for the year from the entire department. On discussion and
consultation with managing director, the same shall be approved with changes
if any.
2. RECRUITMENT AND SELECTION
Based on the manpower plan and recruitment that follow due to
resignation, termination, retirement, and transfer, concerned department heads
shall give the manpower requisition along with job description according to
which human resource department arrange for Recruitment of personnel. The
sourcing of manpower will be through advertisements, consultations, walk-in,
and on-gate-advertisement or wanted lists on gates of the concerned
departments of the company.
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3. INDUCTION AND PLACEMENT
The selected candidates will go through process of induction into the
company’s system and procedures. The induction and placement is given to
the selected candidates by departmental heads,
4. WAGES AND SALARY ADMINISTRATION
The wages and salary as prescribed by the company’s rule will be
disposed as follows.
A. Confirmed staff : Last day of the month.
B. Unconfirmed staff : Fifth day of the next month.
C. Workman : Seventh day of the next month.
5. PERFORMANCE AND POTENTIAL EVALUATION
The performance of the entire trainee will be evaluated once in three
months. All other employee’s performance will be reviewed once in a year.
On being found that their performance and potential to perform is up to the
expectation of the, management, employees will be rewarded with normal
increment, merit increment, lump sum payment and promotion. Those
employees whose performance is below the management expectation will be
given consulting in. In spite of such counseling, if the employees continue to
perform below expectation his awards or rewards will be differed, postponed
withheld depending on the degree of his poor performance.
6. PROMOTION, TRANSFER AND CAREER PLANNING
Promotion to higher posts to the employees is strictly and solely on
merit basis and experience. Transfer is affected on need basis and career
planning in envisaged.
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7. DISCIPLINE AND INDUSTRIAL RELATIONS
The company standing orders governs the employees and the industrial
relations between the management and workman are cordial and harmonious.
To maintain this sort relationship between the employees and employer or
labors and superiors,
The company has conducted so many cultural programs, debate
competition, issuing questionnaire to the employees about the company’s
working environment.
It follows strict supervision on the workers absenteeism as well as find
out the reasons for the same and also tries to solve the problems of
absenteeism. The company has maintained the absence rate of the workers
very effectively by discovering optimum solution for the absenteeism and has
decreased the rate of absence from 5% to 3%.
TULSYAN Company is labor oriented and having a training and
development programs at minimum level. The company has only few
employees at plant who are having technical skills, and maximum number of
labors having less or no technical background.
EMPLOYEE WELFARE
The welfare measures at TULSYAN NEC LTD as follows.
1. Uniform: All the staff and labor members are provided with proper
uniforms and shoes. The workmen are provided with two pairs of shirt
and pants, two pairs of socks and a pair of leather shoes. The purpose
behind this is to maintain discipline and remove the disparity with in
the group of workers.
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2. Canteen : In order to enable all its employees to have subsidiary food,
management of TULSYAN NEC LTD has provided a canteen facility
which well furnished and provides food by giving coupons to the
workmen at RS 85 per week. There are separate canteens for male and
female workmen.
3. Soft drinks: The employees at staff level are allowed to enjoy soft
drinks at wholesale price which is deducted from their salaries.
4. Tea / coffee: The workmen and staff members are having the facility of
getting tea and coffee at subsidized rate, served twice a day to all its
employees of the organization.
5. Loans to employees : All confirmed employees who have five years of
completed service, will be given loan which is repayable in equal
installments. Workmen also have the facility to procure the loan from
company through Syndicate bank where company has most of the
transactions.
6. Salary advance: Employees on emergency are given salary advance
which is fully deducted in the next month salary. It boosts the employee
moral and builds the loyalty with the company.
7. Insurance: personnel department is responsible for ensuring the
property of the company towards fire policy, burglary, cash in transit
and its employees towards workman’s compensation policy, group
personnel accidents, insurance med claim, and fidelity insurance.
8. Provident fund : As usual in all the companies provident fund in given
to the employees by contributing half by the employer remaining is
deducted from the salary or wages of the workmen and staff members
of the company.
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9. ESI Benefits: The company provides employee state insurance to the
all the employees who worked more than 31 days in previous year.
10. Parking avenues: The company has provided well roofed parking
slots to the employees and workmen vehicles who usually come by
bicycles and scooters.
Shift timings of the organization:-
Since it’s a production unit the company maintains 5 shifts out of them
3 are production shifts and 2 are general shifts, the following are production
shift timings
7:00am-3:00pm
3:00pm-11:00pm
11:00pm-7:00am
The following are the general shift timings
8:30am-5:00pm
10:00am-6:00pm
4.6 STRATERGY
Strategy refers to the systematic action and allocation of resources to
achive the companies aim the integrated vision and direction of the company.
Plan for the allocation of firm’s scarce resources over time, to reach identified
goals, governments’ competition, and customers.
Strategy is a plan an organization formulates to gain a substantial
advantage over the competition. Strategy is the art of devising ang employing
a system of activities that mobilizes all resources towards a valuable goal.
“strategy is the determination of basic long term goals and objectives of an
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enterprise, and the adoption of course of action and the allocation of resources
available for carrying these goals.
MARKETING DEPARTMENT
Hierarchy of marketing department
4.6 Chart: 1
Marketing is a process of persuasive action which makes the buyers to buy
the products and services at given price is called marketing.
Marketing management is a process of planning and executing the
conception, pricing, promotion and distribution of goods services and ideas to
create exchanges with target groups that satisfy customers and organizational
objectives. Marketing management is a process involving analysis, planning
implementation and control that it covers goods, services and ideas that it
rests on the notion of exchange and the goal is to produce satisfaction for the
parties involved.
General manager
Domestic market
Executive satish
Sales Sales Sales
Export market
Executive maria
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MARKETING MIX
Marketing refers to the four P’s:-
Product
Promotion
Pricing
Place
Promotion
Promotion activity of the products produced by the TULSYAN NEC
LTD is totally taken care by head office of the company which is situated at
Vasanthnagar, Bangalore. Promotion of the products is looked after by the
company’s marketing executives.
Pricing
Pricing is relying on the quality and quality ordered by the customers.
When customer places bulk orders for the products and services, company
will quote the low price for the orders or vice-versa. All the pricing quotation
is fixed by the head office of TULSYAN NEC LTD. Only manufacturing
process will be done in the plant. The head office will receive the cost of each
order placed by the customers. It will then check the cost of the orders and
then fix the price for the orders
Place
Place refers to the space of finding the targeted customers of the
produced goods and services. Mainly company will browse the customers via
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internet or through the directories, which contains information about the
customers.
MARKETING PROCESS
The marketing process followed at Tulsyan is
Analyzing market opportunities
Researching and selecting target markets and positioning the offer
Developing marketing strategy and plans
Planning marketing programs
Organizing implementing and controlling the marketing plans
MARKETING PROCESS OF TULSYAN NEC LTD
SEARCHING CUSTOMERS VIA INTERNET
POSTING COMPANY PROFILE TO CUSTOMERS
REPLY FROM
CUSTOMER
BUILD RELATIONSHIP AND
ENQUIRIES
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FIX QUOATATIONS
PRICING QUOTATIONS
PLANNING MARKETING
PROGRAMS
ORGANIZING IMPLEMENTING MARKETING
EFFORTS
4.6 Chart: 2
CUSTOMERS PROFILE
There are nearly 51 overseas customers and few domestic customers. some of
the major customers are as follows:-
Domestic customers
ACC CEMENT
RASHI GOLD
COROMANDEL
AMBUJA CEMENT
BIRLA SUPER
L & T CEMENT
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ULTRATECH CEMENT
JUMBO BAGS (FIBC)
VEDANTA (Lanjigarh)
INDIAN OIL
ENCORE
Overseas customers
SHAH& Co
TRACO CABLE COMPANY LIMITED KEJRIWAL
ELECTRONICS LIMITED
P.L. GOYAL & SONS LIMITED
INFO TRENDS
CHETANA LAMINANATES PRIVATE LIMITED
M.B.I.L LIMITED
SHREE LAXMI PACKAGING
ASHIRVAD IMPEX
CHRIST EXPORT
R.P.PLASTIC
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FINANCE DEPARTMENT
INTRODUCTION
Finance is regarded as the lifeblood of the business enterprise.
Financial management is very important to any organization. Lack of this
paralyses the activities of the firm. Hence, it is essential to have a sound
financial system organized in an organization or enterprise. Every
organization needs money and the management of it is very important in any
financial system of an organization. Tulsyan has very sound financial
department and well trained and experienced employees to carry out the
financial activities. Here every activity is carried out with utmost care
According to the Consolidated - Audited financial statement for the Year
2011, total net operating revenues increased 46.28%, from INR 608.32 tens of
millions to INR 889.88 tens of millions. Operating result decreased from INR
53.9 tens of millions to INR 53.58 tens of millions which means -0.59%
change. The net income of the period increased 6.89% reaching INR 11.02
tens of millions at the end of the period against INR 10.31 tens of millions
last year. Return on equity (Net income/Total equity) went from 16.01% to
15.25%, the Return On Asset (Net income / Total Asset) went from 3.16% to
2.88% and the Net Profit Margin (Net Income/Net Sales) went from 1.69% to
1.24% when compared to the same period last year. The Debt to Equity Ratio
(Total Liabilities/Equity) was 529.15% compared to 507.13% the previous
year. Finally, the Current Ratio (Current Assets/Current Liabilities) went from
2.43 to 2.18 when compared to the previous.
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Objectives:-
The objectives of financial department are as under:-
To ensure that accounting records of various divisions are properly
maintained.
To ensure that sales realization are properly accounted and remained
the marketing section from time to time over the debtors portion in
order to enable them to collect the dues.
The account section objective is also to see that regular payments of
milk bill are made to milk producers on priority.
To see that the payments to creditors are made within stipulated time.
Account section has to provide management timely information about
the financial position of the union and guide them as to viability of the
proposals that come in the course of business activity.
The other objective of finance section is to keep the management /
board appraised of monthly trading and P & L a/c figures.
To include timely submission of financial statements to auditors and
ensure smooth audit is conducted and give audit reports to
management.
Functions:-
The main functions of the financial department are as under:-
To manage cash.
To manage bills.
To manage transportation bills.
To manage pay bills.
To manage accounts.
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Working capital ratios
Ratio Analysis can be defined as the study and interpretation of
relationships between various financial variables, by investors or lenders. It is
a quantitative investment technique used for comparing a company's financial
performance to the market in general. A change in these ratios helps to bring
about a change in the way a company works. It helps to identify areas where
the management needs to change. They would deal with some of the
predominant ratios more relatively applicable in working capital management.
Current ratio
This ratio establishes the relationship between current assets and
current liabilities. the purpose of this ratio is to find out the extent of current
assets available against each rupee of current liability of the firm Current
ratio=current assets/current liabilities Current assets include cash, marketable
securities, debtors, inventories, prepaid expenses etc. Current liabilities
includes creditors, bills payable, accrued expenses, short term bank loan,
income tax liability and long term debt etc.
4.6 Table: 1
Year Current assets
Current liability
Current ratio
2009-2010 189.03 125.785 1.502
2010-2011 258.87 167.935 1.5414
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Interpretation: From the year 2009-10 the Current ratio has decreased but in
the year 2010-11 the Current ratio has increased.
Quick ratio
This ratio is called as acid test ratio or Quick ratio. It establishes the
relationships between liquid assets are those which can be converted into cash
without any loss or delay. all current assets, excepting stock and prepared
expenses, are considered to be liquid assets. Liquid liabilities are those
liabilities which are payable immediately. all current liabilities, excepting
Bank overdraft, are considered to be liquid liabilities.
Year Quick assets Quick liability Quick ratio
2009-2010 108.115 125.785 0.85952
2010-2011 146.665 295.01 0.49715
4.6 Table: 2
Interpretation: From the year 2009-2010the quick ratio has decreased but in
the year 2010-2011the quick ratio has increased.
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REPORT OF THE DIRECTORS TO THE SHAREHOLDERS They presenting the 64th Annual Report of the Company together with
the Audited Balance Sheet, Profit & Loss Account and Cash Flow Statement
for the year ended 31st March, 2011. FINANCIAL RESULTS Rupees in
Lakhs 2010-2011 2009-2010 Profit before Depreciation and tax 2365.39
2258.48 Less: Depreciation 857.88 813.33 Profit for the year before
exceptional items 1507.51 1445.15 Less: Exceptional Items 126.96 85.73
Profit for the year 1380.55 1359.42 Less: Provision for Current Tax 290.00
360.00 Deferred Tax 156.22 150.17 Add: Surplus brought forward 3334.84
2698.85 Amount available for appropriation 4269.17 3548.10 Appropriations:
Interim dividend 50.00 – Corporate Tax on Interim Dividend 8.50 – Dividend
50.00 100.00 Corporate Tax on dividend 5.31 11.26 General Reserve 105.00
102.00 Balance carried forward 4050.16 3334.84 OPERATIONS AND
OUTLOOK During the year under review, Sales and other receipts grew
32.93% YOY to Rs. 84310.61 Lakhs. EBITDA grew by 4.73% YOY to Rs.
2365.39 Lakhs and PAT grew by 10.02% YOY to 934.33 Lakhs. Your
directors expect a growth of 35% in the top line for the FY 2012. As in the
last year during the current year also there were drastic power cuts
consequently effecting our costs and also the production. Due to these power
cuts they could not utilize our capacities in full thus losing out on economies
of large scale production. The 35 MW captive thermal power plant at
Gummudipoondi is expected to commence production from June 2012.
During the current year your company proposes to set up an additional
captive Power Plant of 35 MW capacity, additional Induction furnaces of 4
numbers of 20T each for billet manufacturing with annual installed capacity
of 274000 MTPA this will be set up at the new site where the captive power
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plant of 35MW is under implementation. The company is setting up a Wire
Rod and Bundling machine with a coal gasifier at the existing rolling mill
division in Gummudipoondi. DIVIDEND there Company paid interim
dividend of 10% during January 2011. There directors are now pleased to
recommend a final dividend of 10% on the paid up capital of Rs. 5 Crore.
This together with the interim dividend aggregated to a record total dividend
of 20% for the financial year ended 31st March 2011, on the paid up capital
of Rs. 5 Crore.
DIRECTORS
Shri V. Kirubanandan, Director of the Company, retires by rotation and
being eligible, offers himself for re-election.
AUDITORS
The Auditors of the Company M/s. C.A. Patel & Patel, Chartered
Accountants, Chennai, retire at the ensuing Annual General Meeting of the
Company and are being eligible, offer themselves for re-appointment. Some
of the accounting notes of the company
Contigent liabilities:- All liabilities have been provided for in the accounts
except liabilities of a contingent nature, which have been disclosed at their
estimated value in the Notes to the Accounts wherever practicable.
Cash &cash equivalents:- Cash and cash equivalents in the cash flow
statement comprise cash at bank and in hand and short-term investments with
an original maturity of three months or less.
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Foreign exchange transaction:- All foreign currency transactions are
recorded at the average exchange rate prevailing during the transaction occur.
Outstanding balance of foreign currency monetary items are reported using
the period end rates.
Segment reporting:- Segments have been identified in line with the
Accounting Standard on Segment Reporting (AS 17), taking into account the
organizational structure as well as differential risk and returns of the segments
Tax & income:- Tax expenses for a year comprises of current tax and
deferred tax. Current tax has measured at the amount expected to be paid to
the tax authority, after taking into consideration, the applicable deductions
and exemptions admissible under the provisions of the Income Tax Act, 1961.
Deferred tax reflects the impact of current year timing difference between
taxable income and accounting income for the year and reversal of timing
difference of earlier years. Deferred tax is measured based on the tax rates
and the tax laws enacted or substantively enacted at the Balance Sheet date.
Lease payments and receipts:- Lease payments have been made towards
land at Chennai and amortized on a straight line basis during the period of
lease. Lease payments have been made towards Hire Purchase of Vehicle.
Details of secured loans:- Loans from Banks secured by exclusive charge on
land, buildings and plant and machinery other than those specifically charged.
Term Loan from Financial Institution is secured by assets purchased under the
loan and are guaranteed by the Managing Director and two Directors of the
company.
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SKILLS
Skills refers to the fact that employees have the skills needed to carry out
the company’s strategy. Training and development ensuring people know how
how to dotheir jobs and stay up to date with latest techniques. The company
requires technical skills for production and manufacturing divisions. Also it
ability, knowledge, understanding and judgment to accomplish a task. Skills
may be defined as what the company does best, the distinctive capabilities and
competencies that reside in their organization.
The organization selects and assigns personnel performing work affecting
product quality based on appropriate education skills and experience. The
organization has also a system to assess the competence of its personnel on
periodic basis(performance appraisal and development report) to identify gap
in the performance, if any as well as assessing their training needs to bridge
the gap..
Style
The company follows a centralized system of decision-making. Only
the top management takes the decision and the suggestion of the lower level
employees are taken into consideration.
To study the style of functioning of “TULSYAN NEC LTD”, cultural
style of the organization and how the key mangers behave in achiving
organization’s goals. In “TULSYAN NEC LTD” the decision process are
taken by the management in the head office. The decision are Authoritative in
nature when it comes to decision making. Only the persons who are in higher
authority take decision about the day-to-day operations. Thus, decision making
is restricted to the upper layer of the management. For eg: while taking
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decision regarding purchase only the M.D and Directors will take decision
regading the vendor, quantity and quality of the raw material, and tenders. The
higher authorities do everything. There is no participative approach and most
of the employe’s have no or very little knowledge about all the aspects of the
company’s administration.
Shard values
Shared values means values and beliefs of the company. Ultimately
they guide employees towards 'valued' behavior. It refers to the core or
fundamental values that are widely shared in the organization and serve as
guiding principle that are important. These values have great meaning
because they focus attention and provide a broader sense of purpose. Value
act as an organization’s conscience providing guidance in time of crisis with a
vision of being a world class, innovation competitive and profitable paper it
has used all the available resources. The company has a goal to all its concern
and share the information available in every concern and produces the
products as concern to the customer’s need. Values act as an organization’s
conscience, providing guidance in time of crisis. Shared values are to
company policies. In “TULSYAN NEC LTD” the following policies are
maintained.
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QUALITY POLICIES
They shall make value additions to our customers by providing world
class products.
Meet to the full satisfaction of customers.
Quality by enhancing productivity and efficiency.
Being internationally competitive.
Achieve quality products with total support from all their employees.
Checking continuous improvement.
To listen openly to its customers.
To design the products they want first.
Produce the products cheaply not compromising with quality.
To offer excellence to your customer.
To listen to empower and motivate your employees
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CHAPTER-5
SWOT ANALYSIS
SWOT analysis is a structured planning method used to evaluate
the Strengths, Weaknesses, Opportunities, and Threats involved in a project or
in a business venture. A SWOT analysis can be carried out for a product, place
or person. It involves specifying the objective of the business venture or
project and identifying the internal and external factors that are favorable and
unfavorable to achieve that objective. Strengths and weaknesses are often
internal to your organization, while opportunities and threats generally relate
to external factors. For this reason the SWOT Analysis is sometimes called
Internal-External Analysis.
5.1 Strength
Strengths are the qualities that enable us to accomplish the
organization’s mission. These are the basis on which continued success can be
made and continued/sustained. Strengths can be either tangible or intangible.
Strengths are the beneficial aspects of the organization or the capabilities of an
organization, which includes human competencies, process capabilities,
financial resources, products and services, customer goodwill and brand
loyalty. Examples of organizational strengths are huge financial resources,
broad product line, no debt, committed employees, etc. strengths of
TULSYAN NEC LTD are:
The company has very good quality of fabric as well as quality control
system.
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Continous improvement of their product by incorporating latest state of
art technology that is printing and lamination departments.
Strict compliance of quality, timely delivery and quality management
services.
The company is providing better packaging solution to requirements of
customers by quoting the pricing reasonably.
5.2 Weakness
Weaknesses are the qualities that prevent us from accomplishing our
mission and achieving our full potential. These weaknesses deteriorate
influences on the organizational success and growth. Weaknesses are the
factors which do not meet the standards we feel they should meet. Weaknesses
in an organization may be depreciating machinery, insufficient research and
development facilities, narrow product range, poor decision-making, etc.
Weaknesses are controllable. They must be minimized and eliminated. For
instance - to overcome obsolete machinery, new machinery can be purchased.
Other examples of organizational weaknesses are huge debts, high employee
turnover, complex decision making process, narrow product range, large
wastage of raw materials, etc. weakness that TULSYAN NEC LTD having
are:
The company has poor advertising strategies to increase their sales.
The company is not ready to acquire bulk orders because of lack of
investment.
The utmost weakness of this company is lack of marketing, they
believe that they are retaining most of their customers.
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Attrition rate is more.
5.3 Opportunities
Opportunities are presented by the environment within which our
organization operates. These arise when an organization can take benefit of
conditions in its environment to plan and execute strategies that enable it to
become more profitable. Organizations can gain competitive advantage by
making use of opportunities. Organization should be careful and recognize the
opportunities and grasp them whenever they arise. Selecting the targets that
will best serve the clients while getting desired results is a difficult task.
Opportunities may arise from market, competition, industry/government and
technology. Increasing demand for telecommunications accompanied by
deregulation is a great opportunity for new firms to enter telecom sector and
compete with existing firms for revenue. TULSYAN NEC LTD having
opportunities like:
New business alliance with clients abroad.
It has the potential to diversify in to various related business like sugar
bags, cement bags etc.
The company easily combat with their domestic competitors because of
their quality assurance and quality service.
Flexibility in usage of product makes the company more attractive.
5.6 Threats
Threats arise when conditions in external environment jeopardize the
reliability and profitability of the organization’s business. They compound the
vulnerability when they relate to the weaknesses. Threats are uncontrollable.
When a threat comes, the stability and survival can be at stake. Examples of
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threats are - unrest among employees; ever changing technology; increasing
competition leading to excess capacity, price wars and reducing industry
profits; etc. Threats are:
The entry of multi-national automation companies will have a greater
impact on the growth of the company.
Frequent power failure in the work place.
Changes in government policies
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CHAPTER 6
FINDING SUGGESTIONS AND CONCLUSION
6.1 Finding
In Tulsyan nec ltd Finance and Marketing decisions are taken by the
head office located at Bangalore.
It has been providing employment opportunity not only for technical
people and also also for non-technical people with minimum education
qualification.
It is providing good quality products and services to the society as well
as to customers.
It has well equipped plant to meet variation in the demand for instance
TULSYAN NEC LTD has VI extruders to make the raw materials
conversion.
It has provided well furnished canteen facilities to all his workers.
It has well supported co-ordinate employees to meet objectives and
goals of the company also maintain industrial peace.
It was founded that there are more number of unskilled labourers in the
company.
Training programmes for every new joiner is given. Online training (it
is regularly given when there is change in orders, complaints and so
on.)
Skilled employees are sent outside the organization for seminars.
It has been maintaining day-to-day transaction in the books of records
are kept manually
All departments are well structured and their functions are clearly
defined.
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6.2 Suggestion:
The organization should provide optimal salary to their employees and
workers.
Using the experts in decision making and solving problems of the
industry.
The industry should give the advertisement of the product to create the
place in market.
Giving the opportunities for employees to involve in decision making
Career planning of employees should be focused.
Industry should have skill development programs for the same.
6.3 Conclusion
I had the opportunity take my organization study at. TULSYAN NEC
LTD at Doddaballapura, within a span of 1 month. I was able to gather
information regarding the company and its working environment. It has having
good demand for their product but limited advertisement in market. This
industry is the largest foundry company which is helping the growth of
country economy.
The high performance of Tulsyan NEC Limited is the effort of the
management and the worker in the organization for its high growth and
increased sales and with effective operations management.
TULSYAN NEC LTD having the good working environment. And this
industry having good infrastructure facility to develop the employees. The
employees are very happy to work is the Industry. And industry was taking
well initiative to strengthen their employees and also to improve the quality of
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life their employees. The overall study that emerges in this firm has been
maintained well and efficient department in the management. It’s all section
are working efficiently.
Every organization makes sure that its employees are satisfied and are
happy working in the organization. Every working person expects some
benefits from its organization apart from the basic salary paid to him for his
work. An employee tends to be more satisfied from the additional benefits that
he obtains from the organization. Tulsyan NEC Limited is one of those
organizations who provides excellent benefits to its employees and makes sure
that its employees are satisfied and contended working in the organization.
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LEARNING EXPERIENCE
The in-plant training created a sense of practical exposure and
enlightenment in my mind as to what actually an organization is and how
theoretical concept are practiced in with only theatrical knowledge; several
management concepts were slightly difficult to analyses. However, after in-
plant training, I have felt empowered with confidence to understand different
management concept in a pragmatic manner.
This training help me a lot to study overall industry by theoretical
concepts which i learnt in my 1st year MBA, and also helped me to gain
knowledge about the industries like product production, production process,
and how it works.
On 14/08/2012 I have visited to industry and I met HR manager and I
came to know what is the product actually The Tulsyan NEC Limited
producing.
On 16/08/2012 I came to know about background of the industry and
directors and promoters of the industry.
On 16/08/2012 I went to production department and saw the process of
the woven sacks
On 18/08/2012 again I went the production department and I saw the
whole machines which is using for the production of woven sacks with the
help of mr. prakash(HR manger)
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On 20/08/2012 supervisor showed me the different products of the
industry which they are producing and told about the 5p’s management like
people, production, plant, process, program.
On 22/08/2012 I came to know about the cost accounting calculations
and cost records which they maintained and the techniques and methods for
controlling the cost.
On 23/08/2012 HR mangers told details about the industry has two
division steel and plastic packaging. The steel division is located at Chennai
and goa. And also I came to know vision, mission and competitatores of the
industry.
On 27/08/2012 supervisor shows all the machines and also told their
capacity to produce the bags and the workers needs to handle the machine and
the production capacity per day.
On 29/08/2012 I went to HR department to collect the information
about that department. HR manager Mr. Prakash told me that total employees
working their and benfits and welfare facility of employees which the Tulsyan
NEC Ltd providing them.
On 03/09/2012 I got the information about the purchase department and
about the suppliers.
On 05/09/2012 I came to know the quality of the product which the
industry maintaining to satisfy the customer needs and they showed me the
quality checking machine which checks the strength of the bags.
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On 06/09/2012 I went to finance department of the industry and I come
to know that this industry has very sound financial department and well trained
employees to carry the financial activities.
On 08/09/2012 again I went to finance department and get information
about current assets, current liabilities and I collect three years balance sheets
to get overall information of past data.
On 10/09/2012 I went to marketing department and I collect
information like marketing mix and I came to know that this industry doesn’t
not giving any advertisement of their product and customers, competitors of
this industry.
On 12/09/12 finally again I went to HR department to see when
employees get wages or salary in the end of the month and shifting time and
timing of work in the industry.
0n 14/09/2012 I went industry to say thanks to gave an opportunity to
study overall the industry and help me to get all the information of all
department, and finally I collect certificate from the industry.
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BIBLIOGRAPHY
Books : Marketing Management- Philip kotler
Human Resource Management-
K.Ashwathappa.Keller Philip.And Keller
Kevin Lane,
Marketing Management 12edition, Prentice-
Hallof India Pvt Ltd, Twelfth Edition.
Websites : www.wovensacks.com