AN OVER ALL STUDY ON THE MATRIX APPARELS

Submitted to Anna University of Technology, Chennai

Submitted in partial fulfillment of the requirement for the Award of Degree of

MASTER OF BUSINESS ADMINISTRATION

Submitted by

Name: Karthikeyan. T Register No.: 720611631022 Class: II MBA Semester: III

HAPPY VALLEY BUSINESS SCHOOL

COIMBATORE 641105

2011 2013 BATCH

DECLARATION

I, KARTHIKEYAN.T, hereby declare that this report that this report on an organization study at The Matrix Apparels Limited in Tirupur, Tamil Nadu, is a bona fide work done by me under the guidance and supervision of Mr. Manoj Kumar, for the partial fulfillment of the requirements for the award of the degree of Master of Business Administration of Anna University of Technology, Chennai

Place: Date: Karthikeyan. T

Happy Valley Business School

Coimbatore - 641105

(Affiliated to Anna University of Technology & Approved By AICTE)

Certificate
Certified that this is the bonafide record of work done by Mr. /Ms KARTHIKEYAN. T (Register No.720611631022) for the Third Semester, in partial fulfillment of the requirement for the award of Degree of Master of Business Administration of Anna University of Technology, Chennai, during the third Semester from 08th July 2012 to 04th august 2010.

Staff In-Charge

HOD

ACKNOWLEDGEMENTS
All the praises are for the almighty, God who bestowed me with the ability and potential to complete this Internship. I also pay my gratitude to the Almighty for enabling me to complete this Internship Report within due course of time. Words are very few to express enormous humble obligations to my affectionate Parents for their prayers and strong determination to enabling me to achieve this job. I take this opportunity to record my deep sense of gratitude and appreciation to Mr.Kanagarajan, (Director, HAPPY VALLEY B SCHOOL), my Internship Advisor Mr.Manoj Kumar, (Lecturer, HAPPY VALLEY B SCHOOL) for his constant encouragement and inspiring guidance with his Wisdom. I also appreciate the cordial co-operation from all my concern Managers in the different departments of Meridian apparels especially Mr. Chandra Sekar (MD), Mr. Venkatesh (GM), Mr. Kumbeshwaran Marketing Executive and Mr. Vijay Kumar Admin & Mr.Saravanan HR management for providing me requisite information and knowledge for compilation of my complete Internship.

EXECUTIVE SUMMERY
I recently have done my internship in Matrix Apparels Limited, in which I got training from each of its department. The internship basically revolved around the product knowledge training. The system, the style of working & the commitment of the employees in this is really exemplary. The difference between the success & failure is doing things right and doing things nearly right, & Matrix has always tried for success & that is why it is known to be one of the leading organizations in Tirupur . Irrespective of all these positive points of Matrix Limited, I have noticed a few areas where the improvement can really increase the efficiency of Matrix. In this report I have given a very brief review of what I have seen during our internship I have mentioned all these as I have made an internship as according to the schedule. I also mentioned about the Textile industry in India and vision of its industry. Then I have done a detailed SWOT analysis. Then I have discussed about my learning in the whole internship that is all about the Textile Terminologies and process.

CONTENT

Serial No.
1

Page No.
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INTRODUCTION

HISTORY OF INDIAN TEXTILE

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THE COMPANY

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PRODUCTION DEPARTMENT 4

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HUMAN RESOURCE DEPARTMENT 5

35

MARKETING DEPARTMENT 6

42

FINANACE DEPARTMENT 7

47

CONCLUTION 8

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INTRODUCTION

Introduction
Master of business administration (MBA) is a two year course designed to create more job opportunities for students .This course aims to produce professionally competent post graduates who could be easily absorbed in the world of work on the completion of their studies. As a part of the curriculum we have to undergo an organization study for a period of four weeks. This study aimed at creating an opportunity for the students to observe, learn and assimilate and analyze the objectives and vision of the organization and functioning of its various departments. This would enable the student to get a practical and real time feel of various aspects concerned with the organization and relate it to the concepts and theories studied so far in the class room. An organizational training is a professional learning experience, in which students can apply their skills and knowledge in a professional way. By offering their time, talent, and enthusiasm, internship provide students with a full and realistic view of work place culture and expectations. Internship is a system of on-the-job training for white collar jobs, similar to an apprenticeship. Interns are usually college or university students, but they can also be high school students or post graduate adults seeking skills for a new career; they may be also be as young as middle school students in some areas. Student internship provide opportunities for students to gain experience in their field, determine if they have an interest in a particular career, create a network of contacts or gain school credit. Internships provide employers with cheap or free labor for (typically) low-level tasks. Some interns find permanent paid employment with the companies in which they interned. Their value to the company may be increased by the fact that they need little to training. An internship may be paid, unpaid or partially paid (in the form of a stipend). Paid internships are most common in the medical, architecture, science, engineering, law, business (especially accounting and finance), and technology and advertising fields. Internships in nonprofit organizations such as charities and think tanks are often unpaid, volunteer positions.
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Internships may be part time or full time; typically, they are part time during the university year and full time in the summer, the, usually last 6-12 weeks but can be shorter or longer based on the company for which they intern. Internship positions are available from businesses, government departments, and nonprofit group organizations. Due to strict labor laws, European internships are mostly unpaid, although they are still popular among non Europeans in order to gain international exposure on ones resume and for foreign language improvement.

Objectives of the study

To provide training stations for interns to practice skills and attitudes learned in the classroom. To provide interns with practical experience that will help make their classroom instruction more meaningful. To provide an opportunity, through the use of local business, for interns to acquire skills and knowledge that are best developed on the job. To emphasize to interns the importance of being able to follow directions, pay attention to details, and accept supervision. To foster and understanding in interns of the benefits and responsibilities of gainful employment. To provide interns with the ability to keep up with changing world of work by putting emphasis on problem-solving, thinking, and decision-making. To provide interns with instruction in business skills, principles, and concepts that will lead to success on the job. To counsel interns who want to continue training beyond high school. To point out to interns that constant educational growth is necessary for successful employment and good citizenship.

HISTORY

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HISTORY OF INDIAN TEXTILE The archaeological surveys and studies have found that the people Harappa civilization knew the weaving and the spinning of cotton four thousand years ago. Reference to weaving and spinning materials is found in the Vedic Literature also. There was textile trade in India during the early centuries. A block printed and resistdyed fabrics, whose origin is from Gujarat is found in tombs of Fostat, Egypt. This proves that Indian export of cotton textiles to the Egypt or the Nile Civilization in medieval times were to a large extent Large quantity of north Indian silk were traded through the silk route in China to the western countries. The Indian silks were often exchanged with the western countries for their spices in the barter system. During the late 17th and 18th century there were large export of the Indian cotton to the western countries to meet the need of the European industries during industrial revolution. There was also export of Indian silk, Muslin cloth of Bengal, Bihar and Orissa to other countries by the East Indian company. India has been well known for her textile goods since very ancient times. The traditional textile industry of India was virtually decayed during the colonial regime. However, the modern textile industry took birth in India in the early nineteenth century when the first textile mill in the country was established at fort gloster near Calcutta in 1818. The cotton textile industry, however, made its real beginning in Bombay, in 1850s. The first cotton textile mill of Bombay was established in 1854 by a Paris cotton merchant then engaged in overseas and internal trade. Indeed, the vast majority of the early mills were the handiwork of Parsi merchants engaged in yarn and cloth trade at home and Chinese and African markets. The first cotton mill in Ahamedabad, which was eventually to emerge as a rival centre to Bombay, was established in 1861. The spread of the textile industry to Ahamedabad was largely due to the Gujarati trading class. The cotton textile industry made rapid progress in the second half of the nineteenth century and by the end of the century there were 178 cotton textile mills; but during the year 1900 the cotton textile industry was in bad state due to the great famine and a number of mills of Bombay and Ahamedabad were to be closed down for long periods.
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The second world war and the consequently there was development of nationalist movement like the famous Swadeshi movement which was headed by the Aurobindo Ghosh. Swadeshi movement provided great stimulus to the Indian cotton textile industry. However, during the period 1922 to 1937 the industry was in doldrums and during this period a number of the Bombay mills changed hands. The second World War, during which textile import from Japan completely stopped, however, brought about an unprecedented growth of this industry. The number of mills increased from 178 with 4.05 laths looms in 1901 to 249 mills with 13.35 laths looms in 1921 and further to 396 mills with over 20 laths looms in 1941. By 1945 there were 417 mills employing 5.10 lakhs workers. The cotton textile industry is rightly described as a Swadeshi industry because it was Developed with indigenous entrepreneurship and capital and in the pre-independence era the Swadeshi movement stimulated demand for Indian textile in the country. The partition of the country at the time of independence affected the cotton textile industry also. The Indian union got 409 out of the 423 textiles mills of the undivided India. 14 mills and 22 per cent of the land under cotton cultivation went to Pakistan. Some mills were closed down for some time. For a number of years since independence, Indian mills had to import cotton from Pakistan and other countries. After independence, the cotton textile industry made rapid strides under the Plans. Between 1951 and 1982 the total number of spindles doubled from 11 million to 22 million. It increased further to well over 26 million by 1989-90.

OVERVIEW OF THE GLOBAL TEXTILE MARKET The end of the quota regime, which marks the phasing out of the MFA from January 4, 2007, has ushered a new phase of global opportunity for the Textile & Clothing Sector. The removal of quotas could witness the World Trade in Textile, which is at present US $ 395 billion to surge to over US $ 650 billion by 2010. The expected future CAGR is expected to be 8% with Textiles Accounting for 5.8% and Clothing being the real driver of growth with an expected CAGR of a Study of Productivity and Financial Efficiency of Textile Industry of India 9.6%. Hence, there lies a distinct opportunities for countries possessing competitive advantages resulting from labor, technology, and raw materials, rather than for those arising from favorable trade agreements.

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CURRENT POSITION OF INDIAN TEXTILES The Indian Textile industry , after agriculture, this is the only industry that has generated huge employment for both skilled and unskilled labor in textiles. The textile industry continues to be the second largest employment generating sector in India. It offers direct employment to over 35 million in the country. According to the Ministry of Textiles, the sector contributes about 14% to industrial production, 4% to the country's gross domestic product (GDP) and 17% to the country's export earnings.[2] The share of textiles in total exports was 11.04% during April-July 2010, as per the Ministry of Textiles. It is estimated that India would increase its textile and apparel share in the world trade to 8% from the current level of 4.5% and reach US$80 billion by 2020. During 20092010, Indian textiles industry was pegged at US$55 billion, 64% of which services domestic demand. The strong domestic demand and the revival of the Economic markets by 2009 have led to huge growth of the Indian textile industry. In December 2010, the domestic cotton price was up by 50% as compared to the December 2009 prices. The causes behind high cotton price are due to the floods in Pakistan and China. India projected a high production of textile (325 lakhs bales for 2010 -11) . There has been increase in India's share of global textile trading to seven percent in five years. The rising prices are the major concern of the domestic producers of the country.

The Indian Textile Industry is a vertically integrated industry which covers a large gamut of activities ranging from production of its own raw material namely, cotton, jute, silk and wool to providing to the consumers high value added products such as fabrics and garments. India also produces large varieties of synthetic and manmade fibers such as filament and spun yarns from polyester, viscose, nylon and acrylic which are used to manufacture fabric and garments. The textile sector plays a significant role in Indian economy by contributing to the Gross Domestic product, generating employment and earning foreign exchange. An estimated 35 million people are directly employed in the Indian Textile Industry, which contributes to 4% of GDP and 21% of total export earnings.

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India is globally a significant player in the textile sector and is globally the Third largest producer of cotton and cellulose fiber/yarn. Second largest producer of cotton yarn. Largest producer of jute, second largest producer of silk. Fifth largest producer of synthetic fiber/yarn.

Cotton is one of the major corps cultivated in India. India has the largest cotton acreage in the world and cotton is the dominant fiber in Indian Textile Industry. About 75% of the total yarn and about 56% of the total fabric produced in India was cotton in 2004-05. Almost all cotton used in India is grown locally and a tiny amount is imported. Cotton textiles account for 2/3rd of Indias textile exports During the last five decades, the production of cotton in India increased from 50 laths bales of 170 kgs each in 1970-71 to an estimated A Study of Productivity and Financial Efficiency of Textile Industry of India 213 laths bales (170 kg each) in 2007-08. There has also been a rise in area under cultivation from 58.9 laths hectares in 1950-51 to an estimated 89.7 laths hectares in 2007-2008.

Investment in textile industry

Investment is the key for Indian textiles to make rapid strides. The Vision statement prepared by the Indian Cotton Mills federation has projected that the industry has the potential to reach a size of $85 billion by 2010 from the current level of $ 36 billion. Further, the vision statement has estimated that textile exports could touch $40 billion by 2010 from $ 11 billion in 2002. In the process, Indias share in the global textile and clothing trade is expected to double from three percent in 2002 to six percent by 2010 and so on.

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VISION FOR THE FUTURE Given the opportunities arising out of the removal of quotas for expansion of trade, India with advantages of a large fiber base, spinning and weaving capacity, low cost skilled/semi skilled workforce, pool of technical and management manpower is ideally placed to reap the advantages of free trade. The Government and Industry have recently evolved a vision for the year 2015 for her textile sector aimed at: Increasing growth of the textile economy from the current US$ 36 billion to US$ 85 billion Creation of 12 million new jobs Increase Indias share in world trade from the current 4% to 8% Achieve export value of US$ 50 billion Modernization and consolidation for creating a globally competitive industry The above targets by all accounts are highly ambitious and many analysts and consultants have opined that given the massive scale of investments required to achieve an export target of US$ 50 billion (135000 crores). This in itself means that textiles and clothing exports are expected to more than double (from the current levels of US$ 17 billion) by the year 2015. While the extent of growth in textile/clothing exports likely to be achieved can be debated endlessly, it is important to note that many textile companies are at present bullish and markets have also reacted positively to this sentiment as reflected in the rising value of the textile Stocks.

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MICRO SMALL AND MEDIUM ENTERPRISES IN TIRUPUR STUDY REGION

Tirupur has been the centre of textile business since 1870, dominated by yarn trading and cotton pressing, catering mainly to the mills set up by colonial rulers, to counter the high cost of labor in the European mills, especially that of Manchester. Today, it is one of the important garment clusters in India, providing employment to more than 3,00,000 people directly and indirectly and is earning a considerable amount of foreign exchange by contributing more than 50 per cent cotton knitwear exports from India. From a small business town in the 80s, Tirupur has now grown as a Corporation and is the headquarters for the newly formed Tirupur District. It has attracted the attention of both the policy makers and businessmen at the national and international levels, mainly because of its continuous business growth and its outstanding performance. This has been the result of self initiatives taken by the entrepreneurs in the cluster to address the issues which were affecting the growth of their business on their own, without waiting for the Government or any external agencies to support. Geographical Spread Position of the Cluster Tirupur is spread over 27.20 sq. kms. It is the seventh largest town in Tamil Nadu and it is well connected by road and rail. The nearest airport is in Coimbatore. The town witnessed all round development due to rapid expansion of the business that took place in and around Tirupur in the last one decade, encompassing peripheral villages Avinashi, Nallur, Mangalam, Kangeyam, Palladam, Koduwai, which are situated around 15 km radius from Tirupur. Continuous growth of business in Tirupur is creating employment opportunities for the people from all walks of life who are skilled, unskilled, educated and uneducated, all through the year. As a result of this people from the southern districts of Tamil Nadu, where rain is scanty and water is scarce are coming to Tirupur in search of employment. People from neighboring State of Kerala are also migrating to the town, in search of employment. Tirupur provides equal opportunities for employment as well as for investment, from all over the country.

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THE COMPANY

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THE COMPANY The Matrix Apparels limited is a Private Limited Company incorporated in India under the Companies Act, 1956. The Matrix Apparels Limited, Tirupur was set up in 1993 and commissioned in 1997. The company is located at Maruthachalam, in Tirupur, of Tirupur district. Two manufacturing factories located at Tirupur with modern facilities gives us a distinct advantage of possessing two different skill sets of Indian workers. Our garments have been very well accepted and appreciated for the past 19 years Mr. A. Chandra Sekar Chettiar, Chairman of Matrix Apparels has over 40 years of experience in the industry .Mr. Saravanan, Managing Director and a technocrat from the Indian institute IIT. He has 12 years of experience in the field. A team of professional managers, technocrats and 700 workers work as a team. Professionalism is ensured in every activity and we have been awarded the prestigious ISO9002 quality standards certification to our entire manufacturing process. This manufacture around 2 million pieces of garments per year and our turnover is about U.S. $ 2.3 millions. Our factories are equipped with the latest state of the art machinery imported from Germany, Japan, Singapore, Italy and also top quality indigenous machinery. A modern state-of -the-art laboratory is available in-house to make sure that quality is always delivered at every stage of production. Fully equipped sampling department working parallel with our design studio, caters to the needs of the buyers round the year.

Over the years we have integrated the core manufacturing facilities. Their knitting division has latest machines from Mayer & Cie, Falmac, Stoll and Jumberca. The unit can turn out cotton and blended fabrics like jerseys, fleece, ribs, piques, herringbone, engineering stripes, interlocks, jacquards, special edged collars. The knitting machines have Lycra attachment also. The stitching unit is equipped with Juki, Pegasus, Yamato and Kansai machines of latest origin. Computerized embroidery machines from Barudan, finishing equipment from Monti Antonio, Ramsons-veit, Stefab, Excel and many other related equipment are also installed.

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We have a policy of constantly upgrading our facilities. For those facilities we do not have in-house, we have tied up with reputed units who have spare capacity and who can adhere to our quality standards. In-house fully computerized design studio manned by designers from India's premier fashion institute NIFT is equipped with latest design systems, digital cameras and all. The studio in parallel interaction with our sampling department will be able to deliver our customers dream come true styles. VISION Our vision is three-fold Lead the textile industry in India Observe highest social, economic and environmental standards Maintain a committed and satisfied clientele.

MISSION Manufacture high quality yarn to withstand high levels of competitiveness. Design, manufacture and sell high quality and affordable apparels and accessories To use latest technologies in manufacturing process. To provide a safe working environment for the employees. To operate the business with high motivation and deep commitment. Serving and supporting the society in which we work.

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INFRASTRUCTURE FACILITIES

The company and its infrastructure comprises of sophisticated security systems, canteens, restrooms, huge building and co-operative system. The companys infrastructure includes; Proper working conditioning. Safety measure Food safety and hygiene Proper training Technology acceptance criteria. Suppliers evaluation Good packing facilities etc.

ORGANIZATION STRUCTURE Organization structure is the identification or grouping of the work to be performed for the purpose of enabling the people to work together to get the objective, and to share the work among themselves in and effective and efficient way so that everyone knows whom to contact for a specific problem. Features of organization Well defined objectives Organized and coordinated group of people work under an executive leader ship. Proper division of work and responsibilities for the employ Clear and well defined policies and producers An effective system of communication. Formal Organization Formal organization has certain laid down principles, rules and regulations, procedures and norms for a proper functioning Eg. Project teams, Police etc.

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In formal organization Informal organizations come into existence automatically with formal organization. While at work individuals interact and developed certain relations and sentimental

ORGANIZATION CHART

MANAGING DIRECTOR (MD)

Marketing Director

Merchandising

Technical Based

Financial Director

Quality Manager

Production

Purchase

Planning

Maintenance

Raw material

In house

cutting

sewing

finishing

samplin g

Final audit

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OBJECTIVES OF THE ORGANIZATION The primary objective is the maximization of the wealth of employees. And there are other objectives such as

An environment to identity and understand the changing market / customer's requirements.

An environment for achieving specified quality, timely delivery and being cost-effective by planning and controlling the process.

An environment that motivates all our members to work as a team, to be innovative and to meet any challenges.

An environment to establish a transparent and reliable information system thereby strengthening relationship with our customers and suppliers.

An environment that is conducive to learning and guiding all our suppliers towards continuous improvement.

An environment of being responsible to the society. To maintain and develop highly motivated human resources to achieve professional competence and ensure career development of its work force.

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PRODUCTION DEPARTMENT

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PRODUCTION DEPARTMENT Production department (stitching) that consists of all the normal and special purpose machines required for making contemporary fashion knitwear. These machines are imported from Japan and some of them from European countries.

Head Of The Production Department

Name: Mr. Dhinakaran Designation: Unit manager Qualification: B.Tech

Number Of Employees In The Production Department There are four categories of workers i.e. permanent workers, badalies, casuals, and trainees. In the total workers now there are 135 permanent workers and rest of them belongs to other three groups. (Badalies -2 , trainees -2, technical officers -22)

Categorization Of Employees In The Production Department The workers of the company are broadly classified in to the following categories: Permanent workers:

Permanent workers are those workers who have successfully completed all four stages of transiting within two times and are posted as permanent workers by the order of officer, there are 135 permanent workers. In the case of these employees who do not require training at they posted as permanent Trainees:

Trainees are those person who undergoing training in the company. Here the trainees are classified into two categories viz. A, B with regard to their stage of training. It is explained under the head of training; Trainees are given daily stipend.
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Casuals:

Casuals age those workers who posted temporarily to do any temporary work. If casual doesnt work any day, and then time keeper marks 'no work' on their job cards.

Targets for a Employees In The Production Department There should be a minimum work load for each employee in the all department. This mentioned in the long term agreement as per the consent of the labor union and the management.

Overtime Work Of Employees In The Production Department An employee can take overtime which should be at least lasts for a shift (8 hours)

Head Of Raw Material Section Name: Mr. Suresh Designation: Store Manager Qualification: B.Tech Team Work In The Production Department There are team works and individual works for the employees based on the department to them belongs to.

Number of workers in a shift There are more than 60 employees worked during a shift which lasts approximately 8 hours including the intervals.

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Safety Norms And Punishments There are safety norms for the employees who are worked besides rotating machineries which displayed by the means of notice boards. If ten or more workers do not attend the work collectively, with giving 14 days notice of sufficient reason 8 days wages will be reduced from their remuneration, the workers will be punished for unfair practice by cutting down 2% of monthly salary of suspended from the work for a period not extending seven day increments can be delayed or can be denoted. If a worker is continuously absent from the work without sufficient reason and ahs obtained at least 50% of attendance during six month period a working will be given to him on the basis of a preliminary enquiry. If respected is delayed and as a final result he will be dismissed from the production unit.

Uniform For The Production Department There is no uniform provided for the employees in the production department. But the employees needed to wear tight dresses which made them protected from unexpected accidents.

Educational Qualification Of The Employees In The Production Department. Employees need to have SSLC certificate with them

Role Of An MBA In The Production Department Production Department is the department, which deals with in the production of goods and services of an organization. It is the department here the raw materials converts in to output. There is a manager named as production manager to control the production activities. He is responsible for making sure that raw materials are provided and made into finished goods

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effectively. He must ensure that the work is carried out smoothly, and he must supervise procedure for making work more efficient and more enjoyable. The following are the important functions of a production manager: Production planning: The department will set standards and target, for each section of the production process. The quantity and quality of products coming off a production line will be closely monitored, and compared.

Purchasing : The department will be responsible for providing the materials, components and equipments required to keep the production process running smoothly. Storing: The department will be responsible for stocking all the necessary tools, spares, raw materials and equipment required to service the manufacturing process. Design and technical support: The department will be responsible for researching new products or modification to existing ones estimating cost for producing in different quintiles and by using different methods. Inventory control: Inventory control means to specify when item should be ordered and how large the order should be. PRODUCT OF THE COMPANY Matrix Apparels has a well entrenched competitive position and is not only able to maintain its position but has the strategic intent to get stronger with an aggressive expansion method via internal growth. This is due to an increased demand for its products which in turns leads to higher sales volumes and increased employment opportunities for the local communities.
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Matrix Apparel engages its strong marketing mix of high quality products, a competitive price strategy, adequate distribution channels and ample promotion through word of mouth to reach a long running litany of satisfied customers. Currently, Matrix Apparel manufacture garments in two major product groups:

Corporate & Formal wear (mens & womens) Casual Wear (mens & womens)

Matrix Apparel is committed to not only meeting but also exceeding all customer requirements, thus ensuring a 100% quality target that is carried throughout each step of the manufacturing process. The end result leads to the complete satisfaction of every customer and enhanced growth and success of the company.

Raw material required for manufacturing the product

Cotton is the raw material of the company. The company purchases cotton from in and out of the state. Even though purchasing is done through yarn mills TTP mills or KPR mills. Now it is available in certain part of Tamil Nadu. The company buys plaster and cotton mainly from Gujarat, Karnataka, Maharashtra and Andhra Pradesh.

Payment done for the suppliers of raw material

Payment for the suppliers is done by means of cheque or liquid cash

Maintenance of the machines

There are separate people to maintain the machines. A maintenance division is working in the mill under the charge of mill manager. There is separate maintenance wing for each process, they keep machine is proper working condition. Frequent checking of machine is made. The repair the machinery breaks down. Power failure and carelessness of workers are important reason for the breakdown of the machine.

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 Store department
Company has a very good store department stored with equipments listed from safety pin to highly sophisticated machinery parts. By quotations store gets the things that needed. List of items that are maintained in store kept in office as well as store register.

Reason for choosing such a site location

The question of location is very much linked to two competitive imperatives: 1. The need to produce close to the customer due to time-based competition, trade agreements and shipping costs. 2. The need to locate near the appropriate labor pool to take advantage of low wage costs and/or high technical skills.

Site advantages of the company are: Proximity to customers: such proximity also helps to ensure that customer needs are incorporated to products being developed and built Business climate: a favorable business climate includes presence of similar sized businesses, presence of companies in the same industry. Total cost: is much less, this includes regional cost, inbound distribution cost, and outbound distribution cost. Land, constructions, labor, taxes, and energy cost make up the regional cost. Infrastructure: adequate road, rail ,air ,sea transportations are vital. Energy and telecommunication requirements also must be met. In addition local governments willingness to invest in upgrading infrastructure to the levels required is also made an incentive to choose the location. Quality of the labor: the educational and skill levels of labor are mach with the companies need. Even more importance is given to the ability and willingness of labors to learn. Suppliers: availability of high quality and competitive suppliers. Political risk is much less Government barriers: there are no entry and exit barriers.

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Environmental regulations: Host community Competitive advantages is much more

Location advantages that company enjoys Population: Whether a service or manufacturing operation, a company must examine the population of prospective locations to ensure that there is a sufficient number of potential customers (if a service business) or a sufficient number of skilled or trainable workers. . In addition, manufacturers also benefit from being close to their customers, because proximity to customers reduces shipment time and increases company responsiveness to customers. Total costs: Companies must determine the maximum total costs they are willing to pay for a new location. Total costs include distribution, land, labor, taxes, utilities, and construction costs. More obscure costs also should be considered, such as transportation costs to ship materials and supplies, and the loss of customer responsiveness if moving further away from the customer base. Infrastructure: Companies must consider what their infrastructure requirements will be, including what modes of transportation they will need and what kinds of telecommunications services and equipment they will need. Labor: Companies must establish their labor criteria and determine what kind of labor pool they will need, including the desired education and skilled levels. Suppliers: Companies must consider the kinds of suppliers they will need near their locations. In addition, having suppliers nearby can help companies reduce their production costs.

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 Group technology followed by the company As early as in the 1920ies it was observed, that using product-oriented departments to manufacture standardized products in machine companies lead to reduced transportation. This can be considered the start of Group Technology (GT) More generally group technology can be considered a theory of management based on the principle that similar things should be done similarly. Matrix follows cellular manufacturing technology by grouping machineries which produces the same part which will ultimately constitute the final products.

Layout of the company

Plant layout refers to the arrangement of physical facilities such as machinery, equipment, furniture etc. within the factory building in such a manner so as to have quickest flow of material at the lowest cost and with the least amount of handling in processing the product from the receipt of material to the shipment of the finished product. In case of manufacturing unit, plant layout may be of four types: (a) Product or line layout (b) Process or functional layout (c) Fixed position or location layout (d) Combined or group layout

MATRIX APPARELS have combined or group layout. It consist of both product or line layout and process or functional layout. In most of industries, only a product layout or process layout or fixed location layout does not exist. Combined layout is followed. Company follows both product and process layout. Machines and equipments are arranged in one line depending upon the sequence of operations required for the product. The materials move from one workstation to another sequentially without any backtracking or deviation. Machines are grouped in one sequence. Therefore materials are fed into the first machine and finished goods travel automatically from

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machine to machine, the output of one machine becoming input of the next and in process layout machines of a similar type are arranged together at one place. E.g. Machines performing carding operations are arranged in the carding department, machines performing winding operations be grouped in the winding department. Therefore the machines are installed in the plants, which follow the process layout.

Maintenance/service
A maintenance division is working in the mill under the charge of mill manager. There is separate maintenance wing for each process, they keep machine is proper working condition. Frequent checking of machine is made. The repair the machinery breaks down. Power failure and carelessness of workers are important reason for the breakdown of the machine.

R&D department
There is no research and development take place in the organization.

Tools and Safety equipments

Starting from blow room to spinning there are en number of possible reasons of unsafe act and unsafe conditions. Use of safety equipment and safety tools is vital, added desponded. Need to be careful about the motivational aspects of safety amongst employees through safety training and safety posters. The noise, exposure to chemicals, exposure to UV rays and cotton dust are the major elements of hazards in textile industry. Employees need equipments like helmet, goggles, dust mask, ear plug, ear muff, nose mask, aprons, hand gloves, hand sleeves, safety shoes etc.

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 Sign boards in the production

There are sign boards in the production area concerned with safety norms and directions to the employees how to use the machineries like, things to be noticed while starting and stopping the machines.

Various Quality Control Measures

Changes are taking place very fast all over the world in all fields like, technological developments, the living styles, social environment, and the perception of people. In this changing scenario, rising expectations of the customer and open market economics are forcing businesses to compete with each other. Therefore, basic quality of the product at competitive market price is a key factor. The same holds good for textile industry also which is one of the oldest and has a number of players all over the world. When it comes to textile, spinning is the key process, which has been given vital importance because many of the fabric properties, working of weaving machines and weaving preparatory machines are dependent on yarn quality. The quality of yarn produced should conform to the quality norms specified by the customer. It is equally important that this should be achieved without making any compromise in productivity, which otherwise affects the yarn costing. Quality Control is concerned with sampling, specifications and testing as well as the organization, documentation and release procedures which ensure that the necessary and relevant tests are carried out, and that materials are not released for use, nor products released for sale or supply, until their quality has been judged satisfactory. Quality Control is not confined to laboratory operations, but must be involved in all decisions, which may concern the quality of the product. The independence of Quality Control from Production is considered fundamental to the satisfactory operation of Quality Control. Generally, Quality Control or Quality Assurance department is isolated from production and maintenance; it is assumed that quality is responsibility of Quality Control department. The Quality Control Department as a whole will also have other duties, such as to establish, validate

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and implement all quality control procedures, keep the reference samples of materials and products, ensure the correct labeling of containers of materials and products, ensure the monitoring of the stability of the products, participate in the investigation of complaints related to the quality of the product, etc. All these operations should be carried out in accordance with written procedures and, where necessary, recorded. Here an attempt is made to design the structure of Research and Development for spinning mills. To survive in competitive market and work more effectively this new structure may help a lot. i) Cotton & Raw Material Testing (Bale Management) Cotton samples received will be tested against mill norms and a decision regarding purchase of the lot or rejection will be taken by QA Manager. Lots which fulfill the quality norms will be purchased, and 100% testing of the bales from the lot will be carried out Bale Management should be strictly followed. ii) In-Process Testing & Process Optimization In-process material at every process stage must be checked and wherever deviations are observed, the process must be optimized by conducting trials.

iii) Finished Product Testing Before the final product is being dispatched to the customer, the same should be checked against the norms specified by customer. Non-conforming product must be packed separately and given separate lot/batch number. iv) Calibration of Testing Equipment To arrive at reliable results, the testing instruments must be calibrated (Internally or by service engineer as the case may be) as per the prescribed method and schedule.

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HUMAN RESOURCE DEPARTMENT

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STRUCTURE OF HR DEPARTMENT

GENERAL MANAGER

ADMINISTRATION

OFFICER

AID TIME KEEPER

TIME KEEPER

Functions Of HR Department
The function of Personnel Department/ Human Resource Department in the Textile Industry plays a crucial role in maintaining the utilization of machinery and labor productivity. It has been noticed that in most of the Textile Mills, the Personnel/ HR department is managed by graduates and post graduates without the legal back ground. At present, the availability of law professionals in the HR Department is very limited. In other words, most of the persons working in the Personnel Department/ Human Resource Department are lacking the legal knowledge in the Textile Industry. Time office functions Social Welfare Legislation: ESI, PF, Employees Compensation Act, Gratuity & Bonus Act

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 HR POLICIES

Factories Act, Industrial Dispute Act & Standing Order Act Team effort & Co-ordination Domestic Enquiry and Disciplinary Action Belongingness and Image building Negotiation Skill Women Employment System in Textile Mills Recruitment, Selection and Induction Handling of Employees Liaison with Government departments, Public & Third Party House Keeping and Kaizen Statutory record maintenance & importance of personal file Importance of Safety & Security System Trade Union in Textile Industry, various Awards & Settlements

HRM is to make the integration of organizational objectives and HR policies and practices. The organization views its human resources as the most important contributor to the companys success. Because of this the HR department was appointed to develop strategies and policies that is geared towards the achievement of the companys goals by making use of the human resources. In order for us to have a clear picture of how the HR department deliver people strategy let us have a look at the SHRM process. 1. Identifying the impact of the companys goals on specific departments.

The plans of the HR department are based on the strategic objectives of the organization. The objectives of the HR department are derived from the overall strategy of the company.

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2. Identifying the knowledge, skills, expertise and total number of employees required to achieve the organizational and functional and departmental objectives.

The top management encourages every department to come up with their own objectives and goals. Based on these goals, the knowledge, skills and expertise required are determined. The HR department makes sure that the company has access to adequate pool of knowledge, skills and abilities. 3. Determining the additional human resources requirements in light of the organizations current human resources.

The HR department is responsible in keeping track with the current condition of the companys human resources. The HR department is responsible for making sure that the human resources requirements are satisfied in order to keep the operation flowing.

4. Developing specific action plans to meet anticipated human resources.

The HR department makes a plan in order to accommodate the people in the organization. The HR department provides training for the new employees and makes sure that the knowledge and skills of the current employees are always updated.

HR VISION Lead and Facilitate continuous change towards organizational excellence create a learning and vibrant organization with high sense of pride amongst its members.

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HR INITIATIVES Improve the performance Appraisal system - its process, skill & usage Introduce a Potential Appraisal System Improvements in internal & external Training & its effective utilization. Training need identification Systematic career planning ; Job Rotation ; Empowerment; Job enrichment Periodic communication meeting at various level; Roll out of Vision Raise cost consciousness for cost control and reduction Exposure on Brand Strategy to all non- marketing staff . Retention of Talent

Employees strength The number of workers in Matrix Apparels Ltd in given below Categories Staff & Technical staffs Temporary staffs Worker (permanent) Trainees Casual Total No. of Employees 18 8 169 31 36 262 Percentage in 360 25 11 232 43 49 360

Compensation/salary
Basic wage is computed according to the minimum wage Act 1948 & it is calculated for 26 days in a month. Basic pay is different for different categories of workers.

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 Promotion Promotion in based in merit come seniority. If two or more workers have the same seniority in a particular category seniority will then be on the basis of total service in the mill also happen to be same to the competence workman the priority in the place in the designate category in the master role will be the deciding factor.

Seniority for promotion to permanent vacancies shall be on the basis of pooled seniority. In the designated category that is the seniority among all the workmen of the mill, belonging to the designated category is considered, promotion to temporary vacancies is up to as per shift seniority. That is the seniority of designated category of particular shift to consider. Workers are promoted on the basis of seniority and merit.

Punishment

If 10 or more workers do not attend the work collectively, with giving 14 days notice of sufficient reason, 8 days wages will be reduced from their remuneration, the workers will be punished for any on being practice by cutting down 2% of monthly of suspended from the work for a period not exceeding seven days or increments can be demoted. If a workers in continuously absent from the work without sufficient reason and has not obtained at less 50% of attendance during six month period hawing will be given to him on the basis of preliminary enquiry. If repeated suspension for two days is made for repletion is delayed and it is a final result will be dismissed from the company.

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 Working hours The company works throughout the week in three shifts. The timing of the shifts given below: Shifts No Timing 1 2 3 8.30 A M to 4.30 P M 4.30 P M to 1 A M 1 A M to 8 A M Working Hours 82/2 82/2 7

Training There are four categories of trainees. Different stages of training are given below. Two Stages of Training:

Only two candidates who satisfy , full fill the work load specification and working days. On stage in considered to the next stage. After the completion of fourth stage of training the trainee are treated as casuals. After working as casuals for a certain period they treated as bad a lies. The company spend large amount for the purpose of training in each year.

Transfer of Workers
Production transfers, excise in the mill, such transfer is subject to the condition that: Transfer is only to such category, which can be done by the worker Transfer shall not adversely affect the wages, seniority and promotion prospects

of workers. Transfer will be on the basis of last in first out of (LIFO) principles In the event of the reason for transfer leasing or being rectified the concerned workmen will be reverted to his original position.

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MARKETING DEPARTMENT

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MARKETING DEPARTMENT Marketing department is the department which deals with the selling and distribution of products and service. Marketing involves, assembling goods produced at different production centers and distribution of assembled goods. The following are the important functions Sales of yarn are made through agents. Finished goods are sending to Maharashtra and Northern India and the company keeps its own depot at Malgava [Maharashtra]. The company engaged depot agent for the selling the yarn according to the market price. So the agent is well established there is no need of advertisement. Sale of waste is also a major income of the mill. For the selling of waste, company receives quotation and arrange auction for selling. This method is used to company for selling the waste material.

STRUCTURE OF MARKETING DEPARTMENT

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SWOT ANALYSIS OF INDIAN TEXTILE INDUSTRY

Strengths Abundant Raw Material Availability Low Cost Skilled Labor Presence across the value-chain Growing Domestic Market

Weaknesses Fragmented industry Effect of Historical Government Policies Lower Productivity and Cost Competitiveness Technological Obsolescence

Opportunities Post 2010 challenges Research and Development and Product Development

Threats Competition in Domestic Market Ecological and Social Awareness Regional alliances

STRENGTHS Abundant Raw Material Availability: Allowing the industry to control cost and reduce over all lead-times across the value chain. Low Cost Skilled Labor Low cost skilled labor providing a distinct competitive advantage for the industry. Presence across the value-chain Presence across the value-chain providing a competitive advantage when compared to countries likes Bangladesh, Srilanka, who have developed primarily as garment owners.

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 Reduced Lead-times: Manufacturing capacity present across the entire product range, enabling textile companies and owners do source their material locally and reduce lead-time Super Market: Ability to satisfy customer requirements across multiple product grades- small and large lot sizes specialized process treatments etc. Growing Domestic Market Growing Domestic market which could allow manufacturers to mitigate risks while allowing them to build competitiveness.

WEAKNESSES Fragmented industry Fragmented industry leading to lower ability to expand and emerge as world-class players. Effect of Historical Government Policies Historical regulations thought relaxed continue to be an impediment to global competitiveness. Lower Productivity and Cost Competitiveness Labor force in India has a much lower productivity as compared to competing countries like China, Sri lanka etc. The Indian industry lacks adequate economies of scale and is therefore unable to compete with china, and other countries etc. Cost like indirect takes, power and interest are relatively high. Technological Obsolescence Large portion of the processing capacity is obsolete While state of the art integrated textile mills exist majority of the capacity lies currently with the power-loom sector. This has also resulted in low value addition in the industry.

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OPPORTUNITIES Post 2005 challenges During the year 2005 is a huge opportunity that needs to be capitalized. Research and Development and Product Development Indian companies needs to increase focus on product development. Newer specialized fabric- smart Fabrics , specialized treatment etc. Faster turn around times for design samples Investing in design centers and sampling labs.

Increased use of CAD to develop designing capability in the Organization and developing greater options. Investing in trend forecasting to enable growth of the industry in India.

THREATS Competition in Domestic Market Competition is not likely to remain just in the exports space, the industry is likely to face competition from cheaper imports as well. This is likely to affect the domestic industry and may lead to increased consolidation. Ecological and Social Awareness Development in the form of increased consumer consciousness on issues such as Usage of child labor unhealthy working conditions etc. The Indian industry needs to prepare for the fall out of such issues by issues by Improving its working practices.

Regional alliances Regional trade blocs play a significant role in the global garment industry with countries Indian industry would need to be prepared to face the fall out of the post 2005 Scenarios in the form of continued barriers for imports.

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FINANCE DEPARTMENT

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FINANCE DEPARTMENT
Finance department is the department which deals with the finance. Finance is the life blood of an organization. So the finance should be properly managed. The important objectives of financial management are profit maximization and wealth maximization. Profit maximization means maximization of return of share holders. The following are the important 3 financial decision, a) Investment decisions b) Financing decisions c) Dividend decisions.

Investment decision: Investment decision relates to the determination of total amount of assets to be held in the firm the composition of assets and the business risk complexions of the firm as perceived by its investor Financing decision: Financing decision is concerned with the selection of such sources of funds which will make optimum capital structure. The important thing to be decided here is the proportion of various sources in the overall capital mix of the firm. Dividend decision: This decision relates to the disbursement of profit, back to investors, who supplied capital to the firm. It is concerned with the quantum of profits to be distributed among the share holders. A decision has to be taken whether all the profits are to be distributed, to retain all the profits in business or to keep part of profit in the business and distribute others among share holders.

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 Functional areas of financial management

Financial management, at present, is not confined to raising and allocating funds. The study of financial institution like stock exchange, capital market etc is also emphasized because that influence underwriting of securities and corporate promotion. The techniques of financial analysis like financial statements analysis, funds statement, ratio analysis etc are also helpful in analyzing financial strength of the enterprise. Some of the functional areas covered by financial management are discussed below.

Determining financial needs; A finance manager should determine financial needs of the concern. Funds are needed to meet promotional expenses, fixed and working capital needs.

Selecting the sources of funds: A finance manager has to be very careful and cautious in approaching different sources. While selecting different sources funds some of the important things should be considered like liquidity, trading on equity, solvency, flexibility etc.

Financial analysis and interpretation-. The analysis and interpretation of financial statement is an important task of finance manager is expected to know about the profitability, liquidity position, and short term and long term financial position of the concern. Finance department is headed by full time director (finance) appointed by the state government who is assisted by two deputy general manager under each deputy general manager,

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these are chief manager, senior managers, accountant and workmen of different category various jobs in the financial department are executed through these officers and workmen. The various sections under the financial and administrative control of DGM are: Project accounts o Yarn pricing and billing section o Capital bill passing section o Revenue bill passing section Cash and bank Managing financial resource of the company. Establishing and maintaining the operating system Examination of the feasibility reports Maintaining financial accounts in compliance with companies Act 1956. Recording day to day business transaction accounting Preparation of various statements regarding stock, receivables etcwhich are to be submitted to various authorities like bankers, insurers etc Planning and controlling of the expenses or funds for production Approving and making payments to different parties or creditors or suppliers Receiving payments from customers or dealers in specific time Raising short term loan or credit from bank and other financial institutions Preparation of sales budget or revenue budgets and expenditure budgets on a quarterly basis Preparation and maintenance of costing records Preparation of fund flow and cash flow statements every month Timely preparation and filling of financial reports and records Preparing and filling of quarterly and financial income tax returns Preparation and implementation of cost reduction and cost control programs

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 Maintenance of Account

In the account department there are mainly three officers. The company follows double entry book keeping system and the accounting section is fully computerized. The company keeps the following books of account: journal ledger and cash book. In fully computerized accounting system there is no need of manual posting. Only transactions are entered and posting, balancing etc are done by the computer itself.

Activities in Accounts Department

The major functions of Accounting Department in The MATRIX .Ltd. are as follows:-

Maintaining proper accounts by properly entering the transaction m the

respective ledger

Payment of service bills like telephone, water, electricity bills and

preparation of salary slip and payment thereby.

Processing the bills outstanding both from the company side and from the
debtors

Updating and preparation of various weekly, monthly, annually statement

like income statement, profit and loss account, balance sheet, debit and credit status statement etc.

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PURCHASE DEPARTMENT

The purchase department plays very important role in the company and it is efficient in every vital factor concerning the manufacture quality, cost efficiency and promote delivery of goods to customers service machines and tools at most favorable terms consistent with maintaining the desired standard of quality. Purchasing is the most important functions of materials management. At the moment an order is placed for the purchase of material, a substantial part of the companies finance is committed, which effects the cash flow position of the company. The company has a centralized purchasing department. This department is headed by purchase manager. The purchase manager reports the details to General Manager and Managing Director.

Objectives of purchase department

To make a continuous availability of materials so that there may be an interrupted flow of materials for production. To make purchase competitive and to ensure most economic prices. To develop relationship with suppliers. To make purchase in reasonable quantities to keep investment in materials To adopt the most advance method of purchase to ensure smooth delivery of material from supplier and to avoid the risk of any dispute and financial loss. To serve an information centre on the material knowledge relating to purchase, source of supply specification and mode of supply.

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PROBLEMS AND SUGGESTION

The organization study is based upon the information imparted by the respected personnel of the organization. Interaction with workers, information from journals, magazines, news papers and annual report also helped to discover newer areas in the functioning of the organization.. Problems faced by the company:

Increasing price of raw material. Fast Changing technology. Competitors are offering more product range and sticking to steady pricing policy. Lack of building facilities. Shortage of human resources. Lack of Transportation facilities. Credit facilities are not made available. Lack of advertisement. Only one type of product. There is no proper storage facility.
Suggestions:

Effective training programs to the employees for increasing the production.

Give timely rest to the workers in order to produce consistent performance.

Company should adopt advertising and increase the promotional strategies For increasing the sales. Company should have to utilize their plant capacity fully. Company should have to increase the productivity to meet the growing demand. Highly effective machineries can use for the production purpose.
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To provide advertisements for improving the sales. Construct new building for production and storage. At present facility of bonus is given only to production staff but such incentives should also be given to Head office Staff. Special incentives should also be given to festivals and on other special days should be given to the workers. Medical facilities are given in mill but such facilities should also be given to management. Different training courses should be arranged for the up lifting and improving the quality of work for employees They provide transportation facility to only female employees I think male should also be provided with conveyance convenience. This will create the easiness for workers and reduce the wastage of time.

There is also a problem of work overload for the employees and it should be control properly so that the employees are motivated. Employees should be paid extra for the work which they done after working hours.

CONCLUSION
THE MATRIX APPARELS Limited is one of the leading firms in Tirupur. The system, the management style, the policies & decentralized decision making environment is really remarkable. This report is basically an attempt to identify the areas which need to be improved. In this era of technology, the Information is the key to success in the business. This means that the successful businessman will be who will have the right information at the right time. This comment leads to the conclusion that the Information Sharing Process should really be improved. The overall analysis is indicating that the companys progress has mainly attained through dedication of employees. The effectiveness of its management, their willingness to take advantage of opportunities and face challenges of changing economic picture, this all contributes

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to the very much improved and sound position of company. This is really appreciable for the devotion and hard work of all the employees of the company.

BIBLIOGRAPHY
Books Company journals and Annual Report Production And Operation Management, Aswathappa. K Marketing Management, Philip Kotler Journal of Indian textile. Indian Textile Industry ,Dr. P. Chellasamy and N. Sumathi

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