Institutional Training

Done At

Santha Industrials

Submitted by

B. Naga Santhosh
05BBM531
Acknowledgement
 Acknowledgement
I thank the principal, Mrs. Sheela, for including such a useful
training program in our curriculum. Through this training, I was able
to gain a sound knowledge in the field of management in a practical
manner. I also thank the Head of the Department,
Mr. S. Gopalakrishnan MA., MBA. Without whom this training would
have been impossible. I thank Mrs. Radhika, under whose co-
ordination; I was able to complete this training. They have guided me
throughout this training. I offer my sincere thanks to Mr. Duraiswamy,
the managing director of Santha Industrials for allowing me to do this
training at his organization. I also, offer my thanks to
Mr. P.L.G. Krishnan, the training officer and Mrs. Thamaraiselvi, for
helping me to complete this training report. They have provided me
with useful information about their company. I thank them for
spending their precious time for my training.
Contents
 Contents
Acknowledgement
Certificate

1. Introduction to the company

1.1 History
1.2 Introduction
1.3 Product profile
1.4 General Information
1.5 Organisational layout and chart
1.6 Departments in the organization
2. Several Departments
2.1 Production Department
2.2 Purchase Department
2.3 Quality Control Department
2.4 Marketing and despatch Department
2.5 Service Department
2.6 Personnel Department
2.7 Finance Department
3. Conclusion
Introduction
 Introduction
History of the organisation:

1964 The company was started. (To produce pumps)

1973 The company started to produce conventional type of wet

Grinders.

1980 The company invented the tilting wet grinders and started
manufacturing them. The company also got the patent
right for a period of 10 years or so.

2000 The company started to manufacture Home Flour Mill.

2004 The organization started manufacturing mixie.

2004 The company started to distribute the Electric chimney.

When the company was started in 1964, it was a partnership firm

with 4 partners. Later, in 1970, 3 partners resigned. So the
partnership firm was diluted and the company became a sole trading
company.

The chairman of the company is Mr. Chandra.

Introduction:

This is a training done to know the management of various

departments of a popularly known tilting wet grinder company,
Santha Industrials.
Santha Industrials was incorporated in 1964 as a partnership firm.
It enjoyed a patent right for tilting wet grinders for a period of 10
years. It was a market leader until it had its patent right. Later, many
companies started to manufacture tilting wet grinders. So, it lost its
market leadership. Now it has got a few competitors. now it has lost
its monopoly.
 Santha Industrials aims at giving quality products at a cheaper
rate. Even now it has a considerable amount of market share of
60%. It is because of its quality and goodwill.
It also manufactures tabletop grinders and home flour mill. These
products were also successful but not alike tilting wet grinders. It also
provides a few extra attachments.

Product Profile:

Santha Industrials, keeping pace with the trend has introduced a

few special attachments. Some of them are:
1. Dry grinding
2. Kneader
3. Churner
4. Coconut Grater
5. Citrus Juicer
Preparing beaten rice, extracting coconut and soya bean milk,
husking, preparing rava from wheat are within easy reach now.
The rotation of the grinder stone or the speed of the grinder is
moderate, so the edible items that are ground in the grinder does not
get heated. Therefore the micronutrients in the food are retained and
the food lasts longer unlike the other high speed grinders. When the
appliance produces heat, it will be passed on to the food that is
ground also. So the nutrients are depleted.
The roller stone crushes, mixes, pounds and grinds
simultaneously. So the grains are ground equally. It also improves
the taste of the food. The grinder is designed for continuous working.
It lessens the burden of the house hold people and makes the job
more interesting.

Tilting Wet Grinders:

1. Available in different sizes.

2. Reduces grinding time.
3. Less power consumption.
4. Convenient for both house wives and working women.
5. Economical.
6. Stone components are made from best quality black granite and
will not get chipped out or break during operation.
 7. Has the highest Motor Rating in its class of grinders in the
markets, prevents from overheating even under long and heavy
use.
8. Roller stone need not be removed to collect the ground
material.
9. Ground paste can be removed even while the grinder is in
operation.
10. Can be used for a wide variety of wet grinding applications
even for preparation of chutneys and masalas.

Technical Specifications:

Capacity Motor Weight RPM Voltage Price

1 1/4 Ltr. 1/4 HP 20 Kgs 1425 230 4400
2 Ltr. 1/4 HP 26 Kgs 1425 230 4990
3 Ltr. 1/2 HP 42 Kgs 1425 230 7500
5 Ltr. 1 HP 65 Kgs 1425 230 18000

Home Flour Mill:

It is ideal for dry grinding of wheat, dried rice, ragi, pulse, dry
masalas, soya bean flour, rava, maize to the consistency that you
want with more ease. Apart from the above mentioned, corn, rice,
bajra, black gram, green gram, sugar, coffee bean, coriander, pepper,
channa dhal, maize and curry bean also can be powdered. All the
above features of the tilting wet grinder is applicable to the home flour
mill also.

Price - Rs. 10500/- [2 Kg]

Table Top Grinder:

The table top grinder can also perform all the jobs of the tilting wet
grinder. The table top grinders are more convenient than the tilting
wet grinders. As it can be kept on the table or on the cooking range it
can be easily operated. The features that are listed above for the
tilting wet grinder is applicable for the table top grinder also.

Price - Rs. 4650/- [2 Ltr.]

Maestro Table Top Wet Grinder:

Technical Specifications:

Model : Table top

Capacity : 1.5 Ltr (2 Ltr optional)
Voltage : 220 V (110 V optional)
Motor : 1/6 hp
Weight : 14 Kgs (approx.)
RPM : 960 RPM
Guarantee: 1 year

Mixer Grinder:

Technical Specification:

Voltage : 220 volts AC 50 Hz

Motor : 550 Watts universal type
No Load
Speed : 18000 RPM
Overload
Protector : 2.2 Amps (resettable)
Wire cord : 2 meters with 5 Amps, 3 pin plug
Warranty : 1 year

Also available with 110 V / 60 Hz.

General Information

Name of the MD : Mr. D. Chandra

Capital Invested : Rs. 60,000 [in 1964]

Rs. 50,00,000 [at present]

Current Sales : Rs.4,00,00,000

Price per Grinder : Rs. 4400 [lowest level of tilting grinder]

Rs. 6500 [home flour mill]
Rs. 5100 [table top grinder]

Branches : 1. Mangalore
2. Bangalore
3. Mumbai
4. Vijayawada
5. Hyderabad
6. Ernakulam
7. Chennai

Export : 1. Switzerland
2. Sri lanka
3. U.S.A
4. Australia

Major Competitors : 1. Elgi Ultra

2. Sowbaghya
3. Amirtha
4. Laxmi
5. Surya wet grinders

Income Tax : 30%

12% surcharge

Excise Duty : 16%

Annual turn over : Rs. 4,00,00,000/-

Major Dealers : 1. S R Agencies - Chennai
2. Krishna Enterprises - Kalacheri
3. Lakshmi Enterprises - Karaikal
4. Market Traders - Coimbatore
5. Sun Business - Calicut

Major Suppliers : 1. Kovai Seenu & Co. - Coimbatore

2. Ecolite Wire Pvt. Ltd. - Hyderabad
3. Golden Stampings Pvt. Ltd. - Erode
4. Jayaram Enterprises - Coimbatore
 Various Departments
To share the work and perform the jobs efficiently, the
management has 7 departments. They are:
1. Production department
2. Purchase and Stores department
3. Quality control section
4. Marketing and despatch department
5. Service department
6. Personnel department
7. Finance department

1. Production Department:

The tilting wet grinders, home flour mill, table top grinders are
manufactured in this department. The production manager looks after
the production process. He has a group of people to assist him in
looking after the functions of this department. Various documents
and records are maintained by the production department personnel.

2. Purchase and Stores Department:

This department is responsible for the purchase of raw materials

from the suppliers and sent to the stores section of the production
department. The purchase department and the production
department are inter-related closely. The purchase manager is
responsible for the purchase department activities. He is assisted by
his assistants.

3. Quality Control Section:

The Quality control section is a part of the production department.

It checks for the quality of both the raw materials and the finished
goods. The Quality control Manager looks after the activities. The
quality control department helps the company to earn a goodwill and
to occupy a space in the good books of the customers as it helps the
company to manufacture the best quality products.
4. Marketing and Despatch Department:

Sales and despatch to the customer is done in this department.

Various marketing strategies are handled to improve the sales. Sales
promotional activities are also undertaken by this department.

5. Service Department:

Service department is nothing else than a department that takes in

charge of the after sales service. Santha Industrials has a separate
section to look after the servicing jobs. The service manager takes
care of the functions of this department.

6. Personnel Department:

In this department, the employee welfare activities are undertaken

to satisfy the needs of the employees. This department deals with
the various problems faced by the employees in their day to day work
environment. The personnel manager looks after the various
functions of the personnel department.

7. Finance Department:

The finance department is the blood of the whole organisation as it

provides the sufficient funds that are required for the working of the
organisation. The finance manager is in charge for the functioning of
this department. The finance manager arranges for the funds and
cash that are needed.
Production Department
Production Department
Santha Industrials manufactures five products that will reduce the
work of the house hold women. They are:
1. Tilting Wet grinders
2. Home Flour Mill
3. Table Top Grinder.
4. Mixer grinder
5. Maestro table top wet grinder

The motor that is fixed in the above products are the same.
Some of the major raw materials used in the manufacture of these
home appliances are:
1. Granite stones
2. Bearings
3. Metal Stand (pipe)
4. Drum
5. Fibre Glass Materials
6. Thinner
7. Copper wire
8. Plastic Components (switches)
9. Stainless Steel Rods (bed of the grinder)
10. Stampings (of the stator)
11. Blades

Production Process:

Motor Assembly:

Making of Stator:

Santha Industrials buys the stampings from the Golden Stampings

Pvt. Ltd. and press it using a hydraulic press and weld the corners of
the stampings till they get the required size of 1.5 inch. Usually they
press around 169 stampings to get the required size. There will be
slots in the inner side of the stampings for the film paper to be
inserted. There are three sizes (3mm, 5mm, 7mm ) of film paper
available in the market, but generally the 5mm film paper is used for
the motors. Then the coil winding is done.

Coil winding:

In this step, the workers wind the coil according to the size of the
stator. There are two types of coils. They are the running coil and
the starting coil. The coil is wound 120/100/40 times. The wound coil
is fixed in the stator in 1-4, 1-6, 1-8 sequence. Then one more layer
of film paper is fixed in such a way that the coil is totally covered
inside the film paper. The quality of the motor depends on the quality
of the film paper.

Making of Rotor:

The shaft is kept inside the rotor. The stampings of a different

shape is used to get the rotor. Then it is pressed in the hydraulic
press and then it is welded. Now the rotor is ready.

Making of the shaft:

A steel rod of 123mm and then sent into the lathe to bring the rod
to the shape of the shaft. The diameter of the shaft is not uniform
throughout the body because various provisions are provided to fix
the fan, pulley, etc. The shaft is ground in such a way that it can be
fitted inside the rotor.

Two stators are produced and the rotor is fixed inside the stator
along with the motor shaft. The stator acts as the north pole and the
rotor acts as the south pole. The rotor is ground so that it can be
fitted inside the stator.
All these stampings are made out of mild steel.

Cover:

These covers are made out of cast iron material. There are 2
types of covers. They are: 1.Front cover
2. Back cover.
The back cover has 4 small holes in it, which are parallel and 4 big
holes in each direction. In the small holes thread cut is done by using
a threading machine. There is a small bush in the side which has a
red colour bush is present. The switch wire, running wire and two
phase wires are made to come out from the bush.

There are 4 big holes, 2 bed holes, 2 bearing holes and 2 bush
holes which drilled by using a drilling machine. By using the
threading machine thread cuts are made on the two bed holes and in
the bearing cup.

Motor assembly:

The varnish is applied to the stator along with the running coil and
starting coil and heated for 2 hours in the oven. The centrifugal
switch is fixed in the front cover by using a screw. The soldering
paste is applied to the centrifugal switch and then soldered. The
paste is applied to make the soldering work easily and quickly. The
wire is fixed to both the sides of the centrifugal switch by using the
soldering lead. Required wires are fixed to the front cover. The
stator is fixed to the front cover and the wires are made to come out
of the side bush. The back cover is fixed over the stator and the
centrifugal switch is fixed. The grease is applied over the back cover
and then the bearing cup is fixed by using the pressing machine.
Four wires are made to come out of the side bush. Among these,
two wires are for the capacitor, one for the running wire and the other
is for the switch wire. A clamp is fixed over the capacitor using a
screw. Then, the studs are inserted inside the big holes of the front
cover and back cover and they are tightened by a screw and nut. A
black colour paint is applied to the motor and it is sent for the testing.
Tilting wet grinder assembly:

Parts:

a) Motor
b) Bed
c) Belt
d) Pedestal
e) Rolling stone
f) Pulley
g) Fibre glass case
h) Clamps
i) Washer
j) S-stand
k) Top cover
l) Bottom stone
m) Spring
n) Cup
o) Screws, nuts

The shaft is kept at the middle of the bottom stone. The plastic pulley
is fixed to the stone by using 3 washers and 3 nuts. The haralditol
and aralditol paste is applied to the sides of the pulley and pressed in
the hydraulic press. Then it is sent to the fitting table for further
proceedings. Using a marking gauge, it is centered and it is
hammered to fix it properly.

The motor is fixed to the bed by using two nuts. Then the fibre
glass case is kept over it. The side bushes are fixed tightly to the
bed. The clamp is fixed and hammered. The stand is fixed. The
motor wire is attached to the switch wire. The other wire is for the
earth. This is done to avoid the electricity shock. After this, the
safety switch is fixed.

On top of the motor the cooling fan is fixed to reduce the heat
produced by the motor. The top cover made up of ABS plastic is
fixed. The knob that is used to tilt the grinder is fixed.

Below the bed the pedestal is fixed with 2 parallel washers. The
belt is wound up properly. The basin is kept above the belt. The nut
that is at the bottom is tightened. The motor is fixed. The motor will
transmit power and transfer it to the shaft and the shaft in turn passes
it on to the granite stone that rotates and grinds the grains.

A gasket is fixed at the bottom of the basin to prevent the water

from getting inside the machine. The bottom plate is fixed by using 6
screws. Now, the major portion of the grinder assembly is over. The
rolling stone is fixed and the stapper rod is placed over it. The screw
is placed and it is tightened by the nut and then the cup is placed to
cover this nut. Now the grinder is sent for testing. When the grinder
is working properly, it is sent to the despatch department.

To attach the extra attachments, simply replace the rolling stone

with the kneader. The other extra attachments are the coconut
scraper, citrus juicer, dry grinding attachments.

Home flour mill assembly:

Parts:

a) Mild steel metal body

b) Top stone
c) Bottom stone
d) Bearing
e) Shaft
f)Adjustable lever nut
g) Clamp
h) Adjustable ring
i)Stainless steel feeder bowl
j)Top cover
k) Base unit
l)Slotted drive wheel
m) Pulley
n) Feeder unit
o) Belt

The motor is fitted to the base unit by using the required number
of screws and nuts. Then the shaft is attached to the base unit. The
bottom grinding stone is fixed by applying a paste and pressing it in a
hydraulic press. The top grinder stone along with the feeder unit is
fixed to the bottom grinding stone. A slotted drive wheel is fixed and
the top cover is also placed. The adjustable lever nut is screwed up
to the top cover. The stainless steel feeder bowl is fixed. The dry
grains can be fed inside the machine through the feeder bowl. When
the home flour mill works, the machine takes in the grains and
powders it. The adjustable lever nut is tightened to get atta and
loosened to get rava.

The home flour mill saves the precious time of both the household
women and the working women. The quality is better than the
products that are purchased from the markets. It consumes less
amount of power, so the electricity is saved.

The home flour mill can be used to powder almost all the grains,
like rice, wheat, pulses, corn, coffee beans, pepper, channa dhal and
other dhal varieties.

Table top grinder and Maestro assembly:

Parts:

a) Motor
b) Belt
c) Bed
d) Fibre glass body
e) Granite stone
f) Rolling stone
g) Centrifugal switch
h) Motor cooling fan
i) Bottom bush
j) Basin
k) Shaft
l) Bottom cover
m) Top cover
n) Teflon washer
o) Drum lid

In the bottom plate, the l-angle is fixed at both the ends to give
support to the motor. 4 studs are inserted, over which the motor is
fixed. The motor clamps are inserted to inside the studs. The
 washer is put and the studs are tightened. The bottom plate
condenser clamp is fixed by using two screws in which the capacitor
is placed. The switch is fitted to one end of the bottom plate.

At one end of the motor, pulley is fixed. The shaft is also fixed and
tightened by using nuts and screws. To the wheel or the pulley
bearing the roller shaft is fixed by using the pressing machine. The
pedestal is fixed by using a screw. The cooling fan is hammered at
the top of the motor. The motor has 2 wires out of which one is for
the phase and the other is for the neutral. A 3 pin plug is attached.
The wiring of the switch is done using the tape. The motor is tested
for its working at this stage itself. Then the top cover that is made out
of plastic is fixed. The bottom grinding stone is fixed to the basin by
applying the paste and pressed in the hydraulic press. This basin is
fixed to the base unit along where the motor is fixed.

Now, the rolling granite stone is fixed. The stapper rod that is
used to mix the paste is also fitted. The spring is fixed and tightened
by placing the nut on it. At the top the cup is placed to cover the nut
and the spring.

Mixer grinder assembly:

Parts:

a) Motor
b) Belt
c) Bed
d) Cooling fan
e) Bottom cover
f) Top cover
g) Shaft
h) Teflon washer
i) Centrifugal switch
j) Blades
k) Mixie jars
l) Bottom assembly
m) Poly carbonate lids
n) Handle
 The motor is fitted to the base unit by using the required number
of screws and nuts. Then the shaft is attached to the base unit.
Then the belt is fixed to the motor. The motor wire is attached to the
switch wire. The other wire is for the earth. This is done to avoid the
electricity shock. After this, the safety switch is fixed. The cooling fan
is also fixed to reduce the heat produced by the motor during the
working of the mixie. The rubber bushes are fixed to the bottom
cover and then the bottom cover and the top cover are fixed to the
assembled motor. The handles are fitted to the various jars given
along with the mixie. The blades are also fixed inside the jars. The
poly carbonate lids are also fixed to the jars.

A high power 550 watts motor with Overload Protector is used.

Ergonomically designed to withstand the toughest of jobs. Strong
and durable ABS body and 3 Stainless steel jars with powder coated
aluminium jar base is used. Individual unbreakable poly carbonate
lids are provided for all 3 jars. It has high efficiency and removable
blades for wet, dry, chutney, mincing and whipping. 3 speed rotary
switch with inching provision is also provided.
Purchase Department
 Purchase department
The purchase department is the one that is in charge for
purchasing the raw materials from the suppliers. The stores
department is closely in touch with the purchase department, as it
store the raw materials.

The purchase manager will be intimated by the stores manager,

when the stock gets reduced to the re-order level. Now the purchase
manager will know that there is a need for the raw material. So, he in
turn intimates the supplier who supplies that particular raw material
for the company. When the supplier receives the order, he will ask
for the delivery time. The company gives this information according to
the urgency of the need.

Distribution of Extraction fans and Chimneys:

The purchase department along with the sales department is

responsible for the distribution of the extraction fans and the
Chimneys. CATA appliances ltd. In a tie- up with CATA
Electrodemestico S.L. of Spain was incepted in March 2004 to market
CATA Home Appliances in India. Founded in 1947 in Torello,
Barcelona, Spain CATA Electrodemestico S.L. has grown by leaps
and bounds. Today it has factories in Barcelona, Sao Paulo (Brazil),
Xian Lan (China) and has growth to become a global giant with
dominating presence in more than 80 countries across the globe.
CATA commitment to quality is guaranteed by the highest
recognitions like ISO 9001 certification by the BVQI (Bureau Veritas
Quality International), C.C.A. (Cenelac Certificate Agreement) for
technical regulations and accredited by the Dutch council for
Accreditation. These International Standards guarantee the highest
level of quality in design and manufacturing.
Models available in extraction fans:

1. X – Mart Matic
2. X – Mart
3. B–10 / B-12 / B-15 Matic
4. B–10, B-12, B-15 Plus
5. B–10 / B-12 / B-15

Models available in Chimneys:

1. C 3000
a) Pyramid
b) Clasica
c) Creta
d) Isolux

2. C 2000
a) Series W
b) Series Omega
c) Series Q
d) Series S
e) Series Neblia
f) Isla L
g) Linea F
h) Linea P

3. C1000
a) Linea TF
b) Linea I
c) Linea S Box

Colours available:

There are 3 colours available in the Chimneys. They are Black,

Copper and White.
Stores Department
 Stores Department
Documents maintained:

• GRN
• RGP
• RMDC
• MRS
• MRN
• BIN CARD
• DC

GRN: GOODS RECEIVED NOTE.

There are three types of GRN.

Purchase GRN:

When the materials are purchased from the suppliers and brought
into the company the PURCHASE GRN is prepared. This document
is used to record the quantity of raw materials purchased from the
suppliers. They have some important particulars such as the raw
material code, raw material name, date of purchase, time of
purchase, etc.

Inter department GRN:

When any materials are exchanged between the departments,

then this INTER UNIT GRN is prepared. This GRN gives proper
information about the raw materials that are transferred from one
department to the other.

End bits GRN:

When scrap is given back to stores from production, the END

BITS GRN is prepared. This GRN will provide the details about the
scrap sent back to the stores at any given time. It will have some
details like, the value of the scrap, the root product from which the
scrap has been taken, etc.

RGP: RETURNABLE GATE PASS.

This challan is prepared for the material which has been

given to the subcontractors for sample.

RMDC: REJECTED MATERIAL DELIVERY CHALLAN.

This challan is prepared when the rejected components

are sent back to the supplier. This is done when the components or
raw materials have some defects in it.

MRS: MATERIAL REQUISITION SLIP.

This slip is prepared by the supervisor and sent to the

stores for the requisition of material.

MRN: MATERIAL RETURN NOTE.

If the materials are in excess, then the production

department will return the materials to the stores. This slip is
prepared by the stores manager.

BIN CARD:

BIN CARD is maintained by the store keeper for the correct stock
balance of the material. When the materials are given for production
then the store keeper is reduces the stock of the material, in the
material issued column. When the materials are purchased, the store
keeper increases the stock of the material. This bin card maintained
separately for each material.

DELIVERY CHALLAN:

The delivery challan is maintained for the purpose of recording the

amount of goods delivered to the dealers. Once when the goods are
sold to the dealers this delivery challan is prepared.
How the raw materials reach the production department:

When there is a need for the raw material, the company orders for
it to the suppliers. When the raw materials reach the stores
department the purchase GRN is prepared and it is received by the
employees. The stores manager checks the documents and then,
signs for the company. Now the stock level will get increased. When
the production department needs the raw materials, the production
manager will request the stores manager to send the raw materials
required. The stores manager prepares the inter department
GRN and then sends it to the production department. Now, when the
raw materials are received by the production manager, he checks
whether he has received the required amount. Then, he sends the
raw materials to the production unit to proceed with the production
process.
Quality Control Section
 Quality Control Section
The quality control department is a very small department, which
checks the quality of both the raw materials and the finished
products. When the raw materials enter the company, it is brought to
the quality control department to check the quality of the raw material
purchased. There will not be many flaws in the raw materials,
because the company purchases the raw materials from the suppliers
who are very loyal to the company. Some tests are made to check
the quality of the goods that are purchased. When the quality is
approved by the quality control department, it is sent to the stores
department for further procedures.

When the motors are manufactured, it is again checked by the

quality control personnel for the proper working of the motor. There
are some formulae to check the motor. Some of them are:

a) Cold resistance = 15.5 at 26 degrees c.

b) R 75 = 18.4
c) E = I^2*R75(no load A^2 *75
d) Efficiency = Rotor output / stator input
e) Power factor = Stator input / (V*I)
f) Product efficiency = Power factor * E
g) Slip = Actual Rpm. / Single Rpm.
h) Fixed loss = no load watt – E
i) Full load loss = full load A^2 *R75
j) Total loss = fixed loss + full load loss
k) Rotor input = Stator input – total loss
l) Rotor output = (rotor * input * full load Rpm at 50 Hz) / single Rpm
When the motor satisfies all the above formulae, the further
proceedings like, tilting grinder assembly, home flour mill assembly,
table top grinder assembly are done.

When the appliance is assembled, again it is taken to the quality

control department for checking. Now, the strength of the fibre glass
body, the stand, the clamp and the working of the motor is checked.
When all the checking is over, it is sent for packing.

Packing is a small process wherein the grinder is packed inside

the cardboard sheet. The thermocole is kept besides the grinder to
prevent damages that are likely to occur during the transportation.

A note is sent to the production department stating that the

products were free from flaws. This statement will also state that the
products were sent to the despatch department.
Marketing &
Despatch
Department
 Marketing and
despatch department
The marketing department is looked after by the marketing
manager. He is assisted by the assistant manager. The salesmen
speak to the customers and make them buy. They are the people
who explain the special features of the product and the company.
Generally, the direct sales are lesser than the sales through he
dealers. Mainly, the marketing activities are done by the marketing
assistant manager and the despatch work is looked after by the
despatch assistant manager.

Records and documents maintained:

Some of the important records maintained by the marketing and

despatch department are:

a) Delivery challan
b) Outgoing register
c) invoice
d) Other ledger accounts like:
a) PLA (personal ledger account
ii) RG 23
iii) RG 1
iv) Sales ledger

Delivery challan:

The delivery challan is recorded for the purpose of recording the

sales volume. This is recorded at the time of the sales. This is
prepared to know the following details:

a) Serial no.
b) Item code
c) Product name
d) Total amount for which the sales was made
e) Quantity sold (i.e.) the total number of grinders that are sold
f) Price per grinder
g) Customer name (i.e.) name of the dealer.

Outgoing register:

The outgoing register is prepared by the stores department also.

That outgoing register is different from the outgoing register that is
prepared by the marketing and despatch department.

This outgoing register is maintained for the purpose of recording

the amount of goods delivered to the dealers. Once when the goods
are sold to the dealers this outgoing register is prepared. This is
maintained for the reference of the company.

Invoice:

The invoice is a statement that is prepared at the time of sales. It

contains some details like:

a) Date
b) Customer name /dealer name
c) Serial no
d) Product name
e) Price per grinder
f) Quantity purchased
g) Total price
h) Cash discount
i) Net price
j) Signature of the dealer / customer
k) Signature of the despatch officer

Personal ledger:

The personal ledger account has the following particulars:

a) Date
b) Serial no. of entry
c) Description of the document with the name and address of the
branch
d) CETH No.
e) EC code of the buyer
f) Credit
g) Debit
h) Balance
i) Basic excise duty
j) Signature of the assessee or his agent

The above particulars are recorded by the marketing and

despatch manager.

RG 23:
The following information is recorded in this document:
a) Serial no.
b) Date
c) CENVAT and additional customs equivalent to CENVAT
d) Other duties (if any)
e) Invoice no
f) EC code of suppliers
g) Folio and entry no in Part I
h) Debit
i) Credit
j) Balance
k) Central excise officer’s initials
l) Remarks (if any)

RG 1:

The following information is recorded in this document by the

manager.
a) Date
b) Opening balance
c) Quantity manufactured
d) Total
e) Removal from the factory
i) on payment duty
ii) without payment duty
f) closing balance
g) total
h) remarks
i) initials of the assessee or his agent
Marketing strategy:

In the past, the company was giving advertisements in the daily

journal. Now, the company gives advertisements only in the weekly
magazines like Kumudham and Dinakaran’s weekly magazines.

The company has an interesting marketing strategy. The

company displays its products in the trade fairs that takes place in
various important cities in the country. This strategy helps the
company a lot in the sales promotion. The sales volume gets
increased to a higher extent because of these stalls in the trade fairs.

They also have some painted displays on the road dividers in front
of their company. As the company is situated on a national highway,
the company is familiar among the general public. This also serves
as a means of advertisement. This also helps to increase the sales
volume.

Market condition:

Generally, all kinds of business are dull. Santha industrials is no

exception. Santha industrials has lost its market share in these
recent years with the emerging of new companies. Till it had its
patent right, Santha was the market leader for tilting grinders. Later,
almost all the companies started manufacturing tilting grinders that
are very convenient for the house hold women. So, it has lost its
market share. Now, the personnel of the company are trying to
increase the sales volume and become the market leader once more.
Now, the company has started to regain its market. The marketing
department is very serious about this problem. They very often held
meetings with the managing director to solve this problem.

The market is neither very dull nor very bright. The market
condition is normal.

Major dealers:

The major dealer of Santha Industrials are the Mangalore branch

of Santha and The Chezhiyan enterprises - Goa. Few other major
dealers are:
a) S. R. Agencies - Madras
b) Krishna enterprises - Kalacheri
c) Lakshmi enterprises - karaikal
d) Market traders - Coimbatore

Exports and imports:

Santha industrials does not import any products or raw materials

but exports its finished products to a number of foreign countries.
Some of the major exports are done to United States of America,
Switzerland, Dubai, Australia, Hong Kong, etc.

As all the required raw materials are available in India itself, they
do not import any products from the foreign countries. There is a
good demand in the foreign countries, so they export their products.
Santha industrials serve our nation by exporting goods to foreign
countries as it improves the country’s foreign exchange.

Functions:

1) Marketing department lends commercial support to all the zonal

offices.
2) It also lends technical support.
3) It helps in making quotations
4) It prepares marketing analysis and strategies eg. Break even
analysis
5) It helps in exploring new markets for the products
6) It undertakes order placement
7) Marketing department has to have a touch with the following
departments.
a) production department
b) finance department
c) service department

Types of sales:

The sales are of two types. They are:

a) Direct sales
b) Sales through dealers
 Direct sales are taken over by the company. The marketing and
despatch department salesmen are responsible for this kind of sales.
When a customer arrives, the sales personnel is supposed to explain
the special features of the product and quality of the product. He is
supposed to convince the customer and make him buy the product.
The salesmen should be able to identify the attitude of the customer.

The second type of sales is done through the dealers. The

company sells the grinders to their dealers for the dealership rate.
The company sells about 25 to 50 grinders at a time. The dealers
also advertise about their products and sell the products. Generally
in this kind of sales, credit sales is done. The credit period allowed to
the dealers is around 30 to 60 days. If the dealers make the payment
before the expiry of the credit period, the dealers avail a discount of
around 3 to 5% of the total sales volume. Some times cash sales is
also done. At the time of cash sales, the company provides cash
discount.

The packed products from the production department are brought

to the despatch department. Later, the despatch department
completes the full packing and sends it to the warehouse. When a
grinder is sold, the workers of the despatch department, get the
grinder from the warehouse, and send it to the dealer’s warehouse or
to the customer’s residence. The carriage outwards is done by the
despatch department.

The marketing and despatch department maintains a cordial

relationship with their dealers and customers. Even this aspect
attracts the customers, which in turn helps the company to increase
its sales turn over.

As, the Coimbatore office is the head office, it has to maintain a

good relationship with the other branches also. More than that, this
is the only production unit. It is this office that supplies the grinders
and home flour mills to the other branches that are located in the
other states also. Some of the branch offices are located in the
following cities:
a) Mangalore
b) Bangalore
c) Mumbai
d) Vijayawada
e) Hyderabad
f) Ernakulam

Market research:

It is this department, which directly involves itself in the market

research. Market research includes the surveys that are made to
know the consumer satisfaction, consumer needs, etc.

The market research helps the company in further development of

the production. It helps the company to implement new ideas and
various strategies in production. So, it helps the company to improve
in terms of better quality and other technological improvements.
Service Department
 Service department
The service department is about the after sale service. The
grinders and home flour mills come out to the market with a warranty
period of 1year. If there is any problem within this one year warranty
period, the company will replace the spare part. If the problem is not
so severe, the mechanical engineer will repair the spare part. If there
is any problem after the warranty period, the company will charge the
customer for the spare parts and for the service.

The service department is being looked after by the service

manager, who has a sound knowledge about the mechanical side.
Apart from this, there is an efficient mechanical engineer. This
mechanical engineer will be able to solve all the problems. The
manager himself is a mechanical engineer. The manager maintains
a record known as repair order book.

This is a book which contains all the details of the grinder and the
problem in it. Some of the important details are:

a) Date
b) Product name
c) Date of purchase
d) Problem that prevails in the grinder
e) Name of the service personnel
f) Date of delivery
g) Servicing charges
h) Name of the spares changed
i) Cost of the spare parts changed
j) Initials of the service manager

General repairs:

Generally, the bearing of the grinder may get worn out. The coil
winding of the motor may get worn out. There is no technical fault
present in this. These problems are due to continuous working and
wear and tear or due to rough handling. After a period of ten years,
the rolling stone may loose its sharpness. This is not a serious
problem. If the customer faces such a problem, he may bring the
rolling stone to the service department, where the service personnel
will send the stone into the lathe to regain its sharpness. Rough
handling may cause serious troubles. To prevent this, the dealers
are asked to give a demo to the customers at the time of purchase.
The company also provides a free user’s manual along with all the
grinders and home flour mills.

This department is a very small department, but filled with efficient

mechanical engineers who can service the grinders in an effective
manner. Generally, almost all the problems are trouble shot within a
day or a couple of days. Even the most troublesome problem is
cleared off within 4 to 5 days. So the customers are satisfied with the
company. The company aims at consumer satisfaction and nothing
more than that because the consumer satisfaction is capable of
earning a goodwill to the company.

The service department is not located within the company

premises, but very close to the company. So, the damaged products
reach the service department quickly. The service department is
located just opposite to the company premises. This nearness helps
the repaired products to reach the company very fast. Mostly, the
service personnel goes to the customer’s residence and repairs the
motors. Only in case of a serious problem, the grinder is taken to the
service department.

More than everything, the cost that is charged for servicing is

much more less than the competitors’ charges. At the same time the
quality of work is also high when compared.
Personnel Department
 Personnel Department
The personnel department is the department that works for the
welfare of the employees. This department helps the company to
solve the problems that are likely to arise between the management
and the employees. Personnel department maintains separate files
for all the employees. The personnel manager is responsible for all
the activities of the personnel department.

Types of workers:

There are about 500 workers who are working for the company.
There are 3 types of workers who work for the company. They are:

a) Staffs or employees
b) Contractors
c) Workers.

Staffs:

The staffs or the employees are the people who belong to the
highest grade. Their work is confined to the office and they do not go
to the production area at all. The pay scale of these employees is
high than the workers. The managers, assistant managers,
supervisors belong to this category. Generally, these people will hold
a post graduate degree in the management field. They will have no
knowledge in the production side.

The service manager and the production manager is an exception

to this general rule as they are concerned about the production
process and mechanical side of the grinders.

Contractors:

These contractors are working for the company from the time of
incorporation. They are well known to the company. These
contractors employ the workers. He is in charge for their pay and
other problems regarded with them. They are also paid well, but not
to the level of the staffs.

Workers:

The workers are the people who belong to the lowest grade. Their
pay scale is very low when compared to the other 2 group of workers.

The workers have not met any serious problems till today, as the
managing director understands their problems. At the same time,
these workers also understand their managing director’s problems.
There is a cordial relationship between them. So, there is no labour
union in the company. Any labour can approach the managing
director with regard to his problems. The managing director gives a
ear to their problems.

Training programs:

Need for the training programs:

1) To update the general knowledge of the employees

2) To promote the personnel to a higher caliber
3) To provide the employees an in-depth knowledge about the
prevailing working conditions.
4) To re-orient individuals
5) To motivate the employees

Staff training:

The systematic performance appraisal method will bring out the

training needs.

a) To change the weaknesses into strength.

b) To improve any deficiency spotted
c) To make them fit for higher responsibilities
d) To enable job rotation
e) To avoid labour turn over.
Workers training:

They have a policy to give multiple job training to all their workers,
especially to the youngsters to enable job rotation. The assistant
manager of the personnel department works out a plan and lays a
budget during the month of March every year. The assistant
personnel manager also gets the plan approved by the manager and
the managing director.

Various training programs:

The employees are given training in the field of computers. This

was done to enable their personnel to manage all their transactions
by the computers. They were sent to ANDAL COMPUTERS, an
efficient training center.

Apart from this, the employees were sent to COIMBATORE

PRODUCTIVITY COUNCIL to learn the first aid. The first aid training
is very essential for the employees because if at all an accident
occurs, in the company, they should be able to perform atleast the
first aid activities.

Functions of the personnel department:

Man power plan and recruitment:

The managing director along with a few other personnel plans for
the future. They assess the man power required based on the
production plan and the expected resignation for that year. They
invite applications through the famous journals. They sometimes
conduct campus interview also.

Selection:

Selection is considered to be a negative process in the process of

appointing the personnel. If, the company requires a person for the
finance department, then the person will be expected to have atleast
post graduate degree in the accounting field. If they are selecting a
person for the internal auditor or his assistant, then the person will be
expected to hold a degree of chartered accountancy. The
requirement for each post will vary. So, the interviewer will check
whether the applicant satisfies their needs. The applicant should be
capable. The company conducts an interview, group discussion and
a written test for the purpose of selection. Only, when the applicant
gets through all the above tests, he or she will be placed in the
company. The sincerity, general morale of the employee will also be
taken into consideration.

Placement:

After the selection process is over, the candidate is given

placement. He will be given some general information about the
company, its working, the rules and regulations of the company. If
the appointed personnel needs little more training, he will be given
proper training in his field by the trainer. The trained personnel will
be able to perform well after his training. After sometime, if there is
room for promotion, the person will be promoted.

Attendance register:

The attendance register is maintained by the watchman. As and

when the employee enters the company, he will be asked to sign in
the attendance register that is kept in the watchman’s cabin. The
attendance register will have the following particulars:

a) Employee number
b) Employee name
c) Time in
d) Time out
e) Hours worked
The attendance register acts as a proof for the employees’
attendance. This register has the watchman’s details also.

Working hours:

The office working hours is from 9:00 am to 5:00 pm. This timings
is applicable only for the staffs. Their working hours are confined to
this table. The working hours of the workers are likely to vary from
day to day. On an average, the company manufactures around 50
grinders per day. This is their normal work load. Sometimes this
work load may change according to the requirement of the dealers.
At such a time, the workers will be asked to stay back and work for
the company. The company will pay the employees for the over time
also.

Holidays:

Generally, the company does not work on Sundays. The

company works on Saturdays also. The employees work for 48
hours per week. Apart from the government holidays, they are given
casual leaves and medical leaves.
The employees are given a cup of coffee in the mornings and a
cup of tea in the evenings. Apart from this, the employees do not
enjoy any sort of recreations.

General Pay Structure:

The basic pay structure of the employees is like this:

Basic pay
+ Annual increment in wages and salaries
+ Dearness allowance
+ Leave wages
+ Travelling allowances
+ Medical allowances
- deductions
(Provident fund + ESI)
The provident fund is maintained at 8.33% and the ESI is
maintained at 1.25%.

Workers of the production department:

The workers who work in the production department belong to the

lowest grade of the working group. There are about 250 workers
working in the manufacturing area alone. These workers receive the
lowest pay when compared to the other employees.

Working hours:

The working hours of these workers are 9:00 am to 5:00 pm.

These workers have to manufacture 50 grinders per day. This is the
normal work allotment. When the dealers require more grinders, their
work load is likely to increase or vary. If they are unable to complete
the allotted work in their working hours, then they will have to stay
back and complete the work. Mostly they will be able to complete
their work, so they need not stay back.

Employees of the production department:

This kind of workers belongs to the higher grade of workers. Their

pay scale is higher than the workers who work in the production area.
The manager, assistant manager, and the supervisors belong to this
category.

Working hours:

The working hours of these employees are fixed to the office

hours. They do not have any overtime jobs. So, they need not stay
back and work. They look after the management part of the
production department.

The production manager maintains the various records and

documents of the production department. The assistant manager
assists the production manager in his job. The supervisors are the
people who go around the production area and inspect the work of
the workers.

Books maintained:

The important books that are maintained in the production

department are the production register and the outgoing register.

Productions register:

The productions register contains the following particulars:

b) Serial no
c) Item code
d) Name of the product
e) Production cost
f) Important expenses
 g) Spare parts used
h) Work accomplished
i) Pending work

This register is maintained by the production manager. All the

information regarding the production area and the job is got from the
supervisors. The supervisors help the manager to update this record.
This is very useful to check the work that is pending at any given
time.

Outgoing register:

The following information can be got from this register:

a) No. of grinders manufactured
b) Type of the grinder
c) Item code
d) Price
e) Signature of the manager.

The above information is updated by the manager as and when the

need arises (i.e.) when a load is sent out of the production
department.

Rules & Regulations:

a) The prime responsibility of each employee and worker is to be

loyal to the company.
b) They should be sincere in their work.
c) They are supposed to report to the managing director whenever
any problem arises.
d) They are expected to be in the company at 9:00 am sharp.
f) The workers who work in the production unit are supposed to wear
neatly ironed khakhi uniform.
Finance Department
 Finance department
The finance department is the heart of the company. This
department is supposed to be arranging the funds that are required
by the company.

Accounting year:

The Santha industrials follow the April – March financial year. By

the end of each year, the company is supposed to submit its
accounts to the external auditor. They pay some taxes and duties.

The auditing of the company is of two types. They are:

a) Internal
b) External

Internal auditing:

The internal auditing is done by the internal auditor of the

company. The internal auditing is done once in a month. The
internal auditor checks for the accuracy of the accountants. The
entries in the daybooks and the ledgers are posted daily by the other
accountants. By the end of every year, the trading and profit and loss
account and the balance sheet is prepared to find the financial
position of the company. By preparing the trading and profit and loss
account and the balance sheet, the managing director will know
whether the company is enjoying a profit or it is running in a loss.

External auditing:

The external auditing is done once in a year. This is done by an

external auditor, who comes from the auditor’s office. He checks for
the accuracy of the accounts.
Credit period:

Santha industrials receive a credit period of 90 days from their

suppliers for the purchases that they make. They give a credit period
of 30 to 60 days for their dealers and customers.

They generally do not give any cash discount, as the transactions

are done on the credit basis. When they make cash transactions,
they give cash discounts also.

Monthly reports:

The general monthly reports that are prepared are:

a) Total receipts
b) Total payments
c) Outstanding list of debtors
d) Outstanding list of creditors

The above listed reports are prepared once in a month and

submitted to the managing director for his reference. The managing
director scrutinizes the above reports and passes any orders or
corrections to be made. Later, the finance manager and the assistant
finance manager execute his orders.

Loans and advances:

Santha industrials gives advances to its employees but there is no

loans. If the employee applies for any advance, the managing
director sanctions the application for advance and provides the
employee with the cash that is required.

The repayment of advances is made through the installment

schemes. Generally, the cash should be repaid in 10 monthly
installments. The number of monthly installments is not that fixed. It
is subject to flexibility.
Taxes and duties:

The company pays two kinds of taxes. They are:

a) Income tax
b) Sales tax

The income tax is paid only once in a year. But, the sales tax is
paid ever month. The taxes are paid regularly. The income tax is
paid in the month of March and the sales tax is paid on the 20 th of
every month. A period of one month is given as a credit period.
The company pays excise duty for its sales. The company pays
about 16% for a grinder. If, the grinder costs Rs.6000/-, then the
company is supposed to pay Rs.900/- as the excise duty.
The finance manager looks after all the activities. He brings to the
notice of the managing director, if some payments are to be made for
the purpose of any taxes or duties or any such expenses. The
managing director passes the required orders. The finance manager
and the assistant finance manager executes the orders of the
managing director.

Accounting statements maintained by the company:

The following accounting statements are maintained by the

accountants of the finance department:
a) Journal
b) Ledger
c) Purchases book
d) Sales book
e) Bank reconciliation statement
f) Cash book
g) Trial balance
h) Trading account
i) Profit and loss account
j) Balance sheet.
k) Party wise receipts and payments account
l) Outstanding debtors and creditors
m) Cash flow
n) Fund flow
o) Of take report
 The above listed are a few accounting statements that are
maintained by the company.

Sources of finance:

The company issues neither shares nor debentures to both the

general public and the employees of the company. So, the company
is dependant on the fixed deposits, bank loans and the current
deposits.
The company has an account with the State bank of India and the
Indian bank. The company gets loans and advances from the banks.
The rate of interest for their deposits is charged at 12% and the rate
of interest for the loans is 12.75%

Utilisation of resources:

The company utilises its resources by purchasing assets like

machineries, computers, vehicles that are used for transportation,
etc. Apart from this they put their cash in the rotation to get a profit
out of the available cash. The company also acquires investments in
some well established companies.

Depreciation:

Depreciation is an important factor that should be taken into

consideration while preparing the accounting statements. The
company provides depreciation for all the assets like fixed assets,
tangible and intangible assets. The company follows the straight line
method of depreciation for the machinery and the WDV method for
the remaining assets. There is no arrear in the depreciation that is to
be provided.

Rate of depreciation:

1. Machinery 25%
2. Computers 60%
3. Car 20%
4. transportation vehicles 20%
5. Furniture and building 10%
Conclusion
 Conclusion
The training that I undertook in Santha industrials is very useful for
me. I was given an opportunity to expose myself to the various
departments of the company. Apart from the theoretical knowledge
that I gain from my academic studies, I have gained a sound practical
knowledge. This training has helped me a lot.