CHAPTER - 1

INTRODUCTION

INTRODUCTION
Organizational study is a direct investigation about the functions and
activities carried out in an organization. It gives a clear insight into real life
situation. Such studies enable others to know about the functions and the
importance of each department in an organization.
Organization refers to the structure of relation among positions and jobs
which are building up for the realization of the common objectives it prescribe
the relationship with various positions and activities in the business which is
help by persons. In other words organization is a harmonious adjustment of
some common purpose. Organization involves the dividing and grouping to
the work to be done in an enterprise.
To know more about the organization, its functions and activities, an
organization study of KUTTIYANICKAL RUBBERS was done.
This short time study helps to get an overview about production
department, finance department, marketing department and H.R. Department
of KUTTIYANICKAL RUBBERS

CHAPTER - 2
RESEARCH METHODOLOGY

RESEARCH METHODOLOGY

The study is about the major functioning of Kuttiyanickal rubbers. The

study is mainly based on the details collected from each department. Each and
every activities of the company is studied very carefully with the data
available. This study is very beneficial to the future managers as they put into
the real life situations. A study on all the departments can help to improve the
process and there by overall improvements in the companys performance can
be made.
2.1 Objectives of study
The organization study was done on behalf of the fulfillment of MBA degree.
The organization study was conducted for the following purpose.
i.

To have an understanding of the profile of kuttiyanickal rubbers and its

various activities

ii.

To acquire knowledge regarding the functional as well as the

managerial aspects of the company

iii.

To find out problems if any and to put forward suggestions

iv.

To get an idea of the organization and its various departments

v.

To get familiarize with various activities of the company

vi.

To get the feel of actual working environment and to get acquainted

with it

vii.

To learn and maintain a good relationship with the organization

2.2 Reason for selecting the company

For conducting an organization study that would be beneficial, the
company selected should have large number of departments and also should
be one that is engaged in active performance in production. Service and
marketing, and higher growing opportunity.
The prime consideration in selecting kuttiyanickal rubbers for the study
is its tremendous growth during the past years. It has all the major
departments including finance, marketing, purchase, production and planning,
maintenance, quality control, human resource and exports.
2.3 Limitations of the study
The period available for the study was limited. A detailed study of all
the functions in the organization couldnt be completed in the time
frame.
Busy schedule of the officers and employees prevented lengthy
discussion.
Reluctance from the organization to give all information required for
the study.
Information collected from workers and employees are only true to
certain extent.

2.4 Data collection method

The study includes both primary and secondary data
1. Primary data
Data were collected from various sources like formal and informal
interview and discussion with mangers and other officials at various levels.
They are the actual data collected by the researcher through the following
source.
Formal and informal interviews managers
Direct observations
Interview with the employees
2. Secondary data
Secondary data were collected from published and unpublished sources
like official records, organizational manuals etc. these are the secondary
source of data which are obtained indirectly. The researcher has taken
information from the following ways.
Official records of the firm
Organizational manuals

 Annual reports
Websites
Magazines

CHAPTER 3
INDUSTRY PROFILE

INDUSTRY PROFILE
The world production of rubber was considered to be very unstable during the
last few years. Comparatively, India's production of rubber is consistent at the
rate of 6% per annum. The Rubber industry in India has been growing in
strength and importance. This is the result of India's burgeoning role in the
global economy. India is the world's largest producers and third largest
consumer of natural rubber. Moreover, India is also one of the fastest growing
economy globally. These factors along with high growth of automobile
production and the presence of large and medium industries have led to the
growth of rubber industry in India.
Rubber Producing Areas in India are divided into two zones

Traditional Zone
Kanyakumari

Non-traditional zone
in

Coastal

Tamil Nadu

Karnataka

Districts of Kerala

Goa

regions

of

Andhra Pradesh
Orissa
Some

areas

of

Maharashtra
Northeastern

states

(mainly Tripura)
Andaman and Nicobar
Islands

Kerala contributes 90% of Indias total production of natural rubber. Also,

Kerala and Tamil Nadu together occupy 86% of the growing area of natural
rubber.
Rubber Production in India
Here are some facts regarding rubber industry in India.

India is the third largest producer of rubber in the world.

It is the fourth largest consumer of natural rubber.

It is the fifth largest consumer of natural rubber and

synthetic rubber

together in the world.

India is the world's largest manufacturer of reclaim

rubber.

India and China are the only two countries in the world
which have the capacity to consume the entire indigenous
production of natural rubber.
To know more about India's export opportunities regarding
rubber products and also to have an idea about global rubber
industry, take the Rubber Industry Overview
Rubber Consumption in India
The following industrial sectors consume most of the rubber
products.

Automotive tyre sector: 50% consumption of all kinds of

rubbers

Bicycles tyres and tubes: 15%

10

Footwear: 12%

Belts and hoses: 6%

Camelback and latex products: 7%

Other products: 10%

Indian Rubber Market

Indias production varies between 6 and 7 lakh tons annually which amounts
to Rs. 3000 crores. Seventy percent of the total rubber production in India is
in the form of Ribbed Smoked Sheets (RSS). This is also imported by India
accounting for 45% of the total import of rubber. The Indian rubber industry
has a turnover of Rs 12000 crores. Most of the rubber production is consumed
by the tyre industry which is almost 52% of the total production of India.
Among the states, Kerala is the leading consumer of rubber, followed by
Punjab and Maharashtra. The exports of Indian natural rubber have increased
tremendously over the years and have reached 76000 tons in 2003-04.
Though, India is one of the leading producers of rubber but it still imports
rubber from other countries. At present, India is importing around 50000 tons
of rubber annually.

India rubber Industry Overview

There are about 6000 unit comprising 30 large scale, 300 medium scale and
around 5600 small scale and tiny sector units. These units are manufacturing

11

more than 35000 rubber products, employing 400 hundred thousand people,
which also include 22000 technically qualified support personnel,
contributing Rs. 40 billions to the National Exchequer through taxes, duties
and other levies. The Indian Rubber Industry plays a vital role in the Indian
national economy. The rubber plantation sector in India produces over 630
hundred thousand tonesof natural rubber and there is a projected production of
more than one million tons in near future. This has helped in the radical and
rapid growth of the Indian rubber industry. This prospect of growth is further
enhanced by a

boom in the vehicle industry, improved living standards of the people and
rapid
over-all industrialization. The per capita consumption of rubber in India is
only 800 grams compared to 12 to 14 kilos in Japan, USA and Europe. So far
as consumption of rubber products is concerned, India is far from attaining
any saturation level. This is another factor leading to tremendous growth
prospects of the industry in the years to come

12

13

CHAPTER-4

14

COMPANY PROFILE
COMPANY PROFILE
The Kuttiyanickal Group operates in four core areas-Rubber
Products manufacture, Rubber, Coconut and Cashew Plantations, an
upcoming tropical lakeside resort and Information Technology. Our modern
rubber mat production facilities are Kuttiyanickal Polymers and Kuttiyanickal
Rubbers all situated in the town of Kottayam in Kerala State, India. Our
expertise in rubber products goes back to over three decades. From
manufacturing rebuttoning rubber (Tread Rubber) and Tyre Flaps that catered
to the transportation industry, we have come a long way in being rated now as,
one among the largest manufacturers of quality rubber mats in India. Our
products are sold in over fifteen countries worldwide and we have a large
presence in the extensive Indian domestic market, where our products are sold
in the "Top Floor" brand name.
A brief note on production facilities, production and location
All our factories are just two hours drive from Cochin International
Airport. The closest seaport is Cochin (two hours drive).Our three factories
have modern production lines fine-tuned to manufacture large volume of
quality products. Intermixes mix various rubbers with process chemicals,
fillers, emulsifiers and vulcanizing agents to form a precise rubber compound.
This is then sheeted in automated lines to required thickness, length, breath
and weight. These sheeted compounds are then vulcanized in heated hydraulic
presses holding the required moulds at high pressure and temperature for a set
period of time. The vulcanized compound now in a mat form is trimmed,
quality checked and packed for dispatch. Various mats require different
chemical formulations, inputs, heat curing time etc. All our factories have
captive power generation capability for uninterrupted production.

15

PRODUCTS
1. RING MAT
This multipurpose heavy-duty mat can be used both indoors and outdoors as
an entrance mat, bath mat, laundry mat, snow mat, scraper mat or garden mat
under all weather conditions. They are durable, washable and can be used
effectively on both sides. Ring Mats are of modular design and can be joined
to cover large floor areas by using joiners.

PRODUCT SPECIFICATIONS:
Size in cm; 40x60, 40x80, 60x80, 50x100 80x120, 100x150 approx
Size in inches; 16x24, 16x32, 24x32, 20x40 32x48, 40x60 approx.
Thickness; 2.2 cm/.88 inch approx
Color; True Black

16

2. STUD MATS
Stud Mats are covered with hundreds of flexible rubber
studs/fingers/bristles which act as an effective cleaning medium. This mat
offers cushioning to the feet and helps minimize foot fatigue for jobs that
involve prolonged standing. It has an acupressure effect on bare feet.

PRODUCT SPECIFICATIONS:
Size in cm; 46x70, 60x100, 90x 150 approx
Size in inches; 18x28, 24x40, 36x60 approx
Thickness; 1 cm/0.4 inch approx
Colour
True Black

17

3. WIPER MAT
Thin flexible wiper having ribs on the surface wipe away and
remove sand and grit. It is heavy duty cleaning mat. It is all weather resistant
and very durable. Traps dirt in design and prevents tracking. It prevents
slipping on ramp ways.
PRODUCT SPECIFICATIONS:
Size in cm; 46x70, 60x100, 90x150 approx
Size in inches; 18x28, 24x40, 36x60 approx

Thickness; 1 cm/0.4 inch approx

Colour; True Black

18

4. RADIATOR MAT
Soft rubber inter-woven plates form a unique design with great
cleaning efficiency and good anti-fatigue properties. Traps grit and sand
within design and does not allow tracking.
PRODUCT SPECIFICATIONS:
Size in cm; 45x75, 60x100, 75x90 approx
Size in inches; 18x30, 24x40, 36x36 approx
Thickness; 1cm/0.4 inch approx

5. SQUARE MAT
The square mat is a symmetrical designer class mat for use both
indoors and outdoors in all weather conditions. The mat is highly durable and
its unique square print design blends form with function. The differential level
flexible stud ensures proper cleaning and compliments any decor.

19

PRODUCT SPECIFICATIONS:
Size in cm; 40X60, 60x100 approx
Size in inches; 16x24, 24x40 approx
Thickness; 1cm/0.4 inch approx
Colour; True Black

6. SHOE MAT
Shoe mat is a durable, all-weather rubber mat suitable for indoor and outdoor
use. The unique foot print design with dual level flexible studs makes this mat
very effective in scrapping and collecting dust, sand and slush.

PRODUCT SPECIFICATIONS:
Size in cm; 40x60, 60x100 approx
Size in inches; 16x24, 24x40 approx
Thickness; 1cm/ 0.4 inch approx
Colour; True Black

20

7. STUD MAT-HALF ROUND

Another product catering to the increasing demand is for the popular
half round design. Sturdy studs, beveled borders anti slip underside combined
with all weather capability make this product unique.

PRODUCT SPECIFICATIONS:
Size in cm; 45 x 75 approx
Size in inches; 18 x 30 approx
Thickness: 1cm/0.4 inch approx
Color; True Black

21

8. HONEYCOMB MAT
General purpose entrance mats. Attractive honeycomb design and
holes in mat trap dust and snow. Beveled borders prevent tripping. These mats
are very durable and frequent washes do not affect life of the mats.

PRODUCT SPECIFICATIONS:
Size in cm; 40 x 70 approx
Size in inches; 16 x 28 approx
Thickness; 1 cm/0.4 inch approx
Color; True Black

22

9. JUMBO RING MAT

Multipurpose mats made from natural rubber they are washable and
can also be used as anti-fatigue mats. Large holes allow better cleaning and
trapping of dust and bevelled sides prevent tripping.
PRODUCT SPECIFICATIONS:
Size in cm; 40x70approx
Size in inches; 16x28approx
Thickness; 1cm/0.4 inch approx
Colour; True Black

23

10. STEP MAT

Step Mats are designed to fit the shape of standard steps. They are
provided with adhesive strips at the bottom which make them slip resistant
and secure them firmly to the surface of the steps. They prevent slipping in
wet conditions and also scratching and pitting of expensive flooring.

PRODUCT SPECIFICATIONS:
Size in cm; 25x75approx
Size in inches; 10x30approx
Thickness; 0.6cm/0.24 inch approx
Colour; True Black

24

11. RING-O-SLOPE MAT

Beveled edges with a thinner ring design make this a very effective
multipurpose mat. The product is ideal for industrial kitchen applications
where drainage, anti-slip, anti-break and anti-fatigue properties are required.
Mats are also available in oil resistant synthetic rubber compounds.
PRODUCT SPECIFICATIONS:
Size in cm; 90x150approx
Size in inches; 36x60approx
Thickness; 1cm/0.40 inch approx
Colour; True Black/Brick Red

25

12. OCTO-RING MAT

The Octo-ring is a unique heavy duty mat for a variety of
applications. It is best suited for industrial kitchens & wash areas. It provides
anti-slip, water drainage, anti-fatigue and anti-shatter properties.
PRODUCT SPECIFICATIONS:
Size in cm; 100 x 150 approx
Size in inches; 40x60 approx
Thickness; 1.7 cm/0.68 inch approx
Colour; True Black

13. SCRAPER MAT

Raised rubber lugs provide exceptional traction and cleaning
ability. Thin profile with durability makes this product one of the best primary
entrance mats available. It is easy to clean.

PRODUCT SPECIFICATIONS:

26

Size in cm; 90 x 145,115x 175 approx

Size in inches; 36 x58; 46x70 approx
Thickness; 0.6 cm/0.24 inch approx
Color; True Black

14. ULTRA GRIP MAT

Unique universally accepted cross lug design to prevent slipping from any
direction. Durable, heavy duty with multiple applications possible. Ideal mat
to cover damaged and dented floors on work areas. Can be used indoors and
outdoors. Can also be cut to any size with a small knife or scissors.

PRODUCT SPECIFICATIONS:
Size in cm; 50 x 100,100 x 100,100 x 150 approx
Size in inches; 20x40, 40x40, 40x60 approx
Thickness; 1 cm/ 0.4 inch approx
Colour; True Black

27

15. WEAVE MAT

It has a brilliantly designed in weave pattern. Thousands of sturdy rubber
bristles effect maximum cleaning efficiency. Also provides mild acupressure
effect and can be used as a light duty anti-fatigue mat also.
PRODUCT SPECIFICATIONS:
Size in cm; 45x75, 60x100 approx
Size in inches; 18x30, 24x40 approx
Thickness; 1 cm/0.4 inch approx
Color; True Black

28

16. ORNATE GRILL MAT

The classic Victorian ornate design in rubber adds character to any
home entrance or garden patio. It is durable for all weather.
PRODUCT SPECIFICATIONS:
Size in cm; 45 x 75 approx
Size in inches; 18 x 30 approx
Thickness; 1.5 cm/0.6 inch approx
Color; True Black

29

17. WELCOME MAT

This mat is covered with hundreds of flexible rubber studs that act as scalpers
which remove dust and dirt from under shoes. This mat has 'WELCOME'
embossed in the centre of the mat.
PRODUCT SPECIFICATIONS:
Size in cm; 45x75 approx
Size in inches; 18x30 approx
Thickness; 1 cm/0.4 inch approx
Color; True Black

18. DOMINO
Multipurpose heavy duty entrance mat with unique hexagonal design. Flexible
wipers & large drainage holes on elevated sturdy studs facilitate drainage of
water. It can also be used as a snow mat also.

30

PRODUCT SPECIFICATIONS:
Size in cm; 100x150 approx
Size in inches; 40x60 approx
Thickness; 2.3 cm/ 0.92 inch approx
Colour; True Black

19. POWER MAT

Shockproof Power Mat is non-conductive and designed to protect against
electrical shock when working around high voltage equipment such as fuse
boxes, control and switch board panels within the mat specification.
ELECTRICAL PROPERTIES:
Voltage Test:-

Withstood 35 KVrms. For one minute

Break Down Strength; 50 KV rms.

31

PRODUCT SPECIFICATIONS:
Size in cm; 66x10(175 x 150 approx
Size in inches; 26x40,30x60 approx
Thickness; 0.7 cm/0.28 inch approx
Color; Brick Red

20. GYM MAT

The product is heavy duty impact & slip resistant rubber flooring. It can be
joined to cover large floor areas. It can be easily replaced and movable. Most
cost effective temporary or permanent flooring to protect floors and
equipment. Have very good anti-fatigue properties for standing jobs.

32

PRODUCT SPECIFICATIONS:
Size in cm; 60 x 90 approx
Size in inches; 24x36 approx
Thickness; 1.7 cm/0.68 inch approx
Color; True Black

33

CHAPTER 5
ORGANISATIONAL STRUCTURE

34

ORGANISATIONAL STRUCTURE

Organizational structure is the structure of relationship among positions

and job created for the purpose of accomplishing the objectives of the
enterprise. It represents the pattern of relationships among the components of
an organization. They are:
-The form of structure.
-The form of structure.
-The functions to be performed.
-The human aspect

The pattern of relationship governs duties and activities of persons who

are dependent upon each other for accomplishing the objectives of the
enterprise. An organization structure should be designed to clarify who is do
what tasks and who is responsible for what results, to remove obstacles
caused by confusion and uncertainty of assignment and to furnish decision
making and communication networks reflecting and supporting enterprise
objectives. The company organization structure is diagrammatically
represented by an organizational chart. The organization chart shows the lines
of responsibilities between various departments of the company.

35

managing
partner
GM
Administrati
on

GM
Marketing

Despatch
Manager

Depoh
Manager

Service
Engineeer

HO Sales
Executive

Head Office
Sales
Officer

Accounts
manager

Accoutant

Finance
Manager

Data Entry
Opertor

Cashier

Depoh
Sales
Executive

36

CHAPTER 6
DEPARTMENT PROFILE

37

DEPARTMENTS

Departmentalization is a method of arranging activities to facilitate the

accomplishment of organizational objectives. The organizational process of
determining how activities are to be grouped is called departments. The
departments show the horizontal differentiation in an organization.
The main departments are:

1. Administration cum personal department

2. Finance and accounts department
a. Stores department
b. Purchase department
3. Production department
a. Production (main plant)
b

Production (furnishing)

c. Product development
d. Production planning and control
e. Lab and quality department
f. Engineering department

4. Marketing department

38

ADMINISTRATION CUM PERSONNEL

DEPARTMENT

39

ADMINISTRATION CUM PERSONNEL DEPARTMENT

Human Resource Management
HRM is the process of acquiring, training, appraising, compensating
employees and attending to their labor relations, health and safety and fairness
Concern. In other words HRM is the people concerned dimension in
management. Since every org is made up of people, acquiring their services,
developing their skills, motivating them to higher level performance and
ensuring that they continue to maintain commitment to the org are essential to
achieve organizational objectives. This is true regardless of the type of the
organizational, government, business education, health recreation and social
action.
HRM refers to a set of programmes, functions and activities designed and
carried out in order to maximize both employees as well as organizational
effectiveness.
The main functions are;
a. Conducting job analysis
b. Planning Labour needs and recruiting job candidates
c. Selecting job candidates
d. Conducting

orientation

and

training

programs

for

new

employees.
e. Managing wages and salaries
f. Providing incentives and benefits
g. Appraising the performance
h. Communication with employee9 interviewing, counseling,
discipline)
i. Training and developing managers
j.

Building employee commitment

40

RESPONSIBILITIES OF HR MANAGER

(a) The HR manager is responsible for the manpower planning,

recruitment,

selection,

training

compensation

package,

performance appraisal, maintaining discipline and harmonious

industrial relationship with Kuttiyanickal rubbers

(b) He is responsible for providing advices and guidance / assistance

to the officers and staff working in the unit under the control of
The General Manager in the matters connected with performance
appraisal, discipline, harmonious relation, training, optimum use
of time, achieving the targeted production etc.

(c) HR manager is responsible for obtaining necessary function for

the creation of posts, pay scale and other required sanctions from
managing director / chairman for filling up manpower
requirements from time to time.

(d) HR manager shall be responsible for the proper administration of

the statutory and non-statutory welfare programming in the firm

(e) HR manager shall be responsible for complying with various

labour legislations.

41

(f) The HR manager is responsible for formulating HR policies and

interpretation of different labour laws.
(g) The HR manager is responsible for preparation of wages and
salary bills and passing it to finance department for
disbursement.

(h) The HR manager is responsible for identifying the training needs

of the organization and its employment and prepare training
calendar and arrange various training programs for the
employees. In its essence HRM is the qualitative improvement of
human being who is considered the most valuable asset of an
organization, the organizational resources and end users of all
products and services. In brief the functions of HRM are.
1. Job analysis
Job analysis is the procedure through which a HR manager has to determine
the duties of the position and characteristics of the people to hire for them.
2. Human Resource Planning.
Human resource planning is understood as the process of foresting an
organizations future demand and supply of the right type of people in the
right time at the right place. In other words HRP is the process by which an
organization ensures that it has right number of and the right kind of
people at the right place at the right time, capable of effectively and
efficiently completing those tasks that will help the organization achieve
its overall objectives.
3. Recruitment:
The firm follows a centralized system of recruitment programmes and its
implementation is done at corporate level. Recruitment is the process of

42

searching for and obtaining applicants for jobs from among whom the right
people can be selected.

4. Selection
Selection is the process of differentiating between applicants in order to
identify and hire those with a greater likelihood of success in a job.
Selection is concerned with picking the right candidates from a pool of
applicants. Selection is negative in its application as it seeks to eliminate as
many unqualified applicants as possible in order to identify the right
candidate. In the firm selection of employees are done at two levelsworkers level and at the managerial level.

5. Job Description:
Job description is preparing for a number of different purposes in an
organization. The area follows.
To define responsibilities of a job.
To review the organization structure and distribution of duties with the
organization for the job evaluation.
For the foundation of performance appraisal

To

provide

information

about

post

to

be

filled

for

recruitment/selection purpose.

6. Personal Specification:

43

Personal specification is a set of criteria developed from the job and

..

organization context which describes the skill and attributes of a job

holder. A personal specification helps to:- Provide an objective standard against which candidates can measure. It helps
to avoid purely subjective judgment.- Personnel specification will help
identify training and development plans for successful candidates. It is most
useful to find a candidate for a job who fulfills all requirements.
The firm is is conducting interviews in their selection process. The question
and acceptable response are specified in advance and are rated for
appropriateness of content.
8. Orientation and placement.
Orientation, also called as induction, is provide a new employee with the
. . . information he or she needs to perfume comfortably and effectively in the
.

, , planned

induction programme for the fresh employees about their job, their . .
workers and the organization . Thus orientation programme conveys three

co
.

type of informations.
General information about the daily works routine.
A review of the organization history, founder, objectives,
operations and products or services as well as how the
employees job contributes to the organizational needs.
A detailed presentation of the organization polices, work rules
and employee benefits.
After the orientation programme, the evaluation of the programme is
conducted by time interview. After giving orientation programme for the new
employees, the firm is taking care of the placement of the employee because
when an employee has been hired or oriented he or she must be placed in

44

his /her first job. Placement is understood as the process of allocation of

people to the job. It is the assignment or reassignment of an employee to a
new or different job.
9 .Training and development
In the firm HR authority is conducting training and development
programe for employee to improve current and future employee
performance

by increasing an employees ability to perfume through

learning, usually by changing the employees attitude for increasing his

/her skill and knowledge .The need for training and development is
determine by the employees performance deficiency.
10. Performance appraisal
Performance appraisal is the systematic evaluation of the individual with
respect to his/ her potential for development. The firm conducts performance
appraisal once in a year. The method for performance appraisal is for
evaluating performance of employees on rating scale method because this is
the simplest and most popular technique for approving employee
performance. The typical rating scale system consist of several numerical
scale, each representing a job related performance criterion such as
dependability, initiative, output, alternatives, attitudes, cooperation and the
like . Each scale ranges from excellent to poor.
11. Welfare measures:
Labour welfare is a term which must necessarily be elastic, It has
somewhat different interpretation from country to country according to
the different social customs, the degree of industrialization and
educational level of workers. The management of the firm is well aware
of the growing necessity of welfare activities and pursues a policy of

45

improving the facility aimed at total well being of its workforce . They
are:
A. Al employees in the organization are covered under the employee state
insurance (ESI) scheme. No other insurance scheme prevails in this
organization
B. Festival allowances are given to the employee on the occasion of
notified festivals.
C. Annual bonus/ incentives are paid out to the employees as per the
company rules.

12. Relation between employees and management:

The relationship between manager and employee must be handling
effectively as both the employee and the organization are to propose
together whether or not some of the employees rights must be addressed.
It is important to develop communication and update HR polices and rules
so that managers and employees will know what is expected.
13. Trade Union
Employee association constitutes one of the stakeholders relations. These
associations are popularly known as trade union. There is a cordial
relationship that exist between the firm and union . The union is lead by
CITU.
Safety measures
Cleanliness and drinking water: The factory and its premises are kept spick
and span. The accumulation of dirt is removed daily. Effective arrangement is

46

made at suitable points suited for all workers employed there with sufficient
supply of drinking water.

First aid: First aid facilities are provided in the factory for all the employees.
Safety: A well equipped security force is provided for safeguarding
everything inside the factory premises.

PERSONNEL&ADMINISTRATION DEPARTMENT

Asst.MANAGER

OFFICER

CLERK

47

TRAINEES

SECURITY/PEON
DRIVERS

FINANCE DEPARTMENT

48

FINANCE DEPARTMENT

ACCOUNTS MANAGER

JR ACCOUNTS MANAGER

AUDIT

CLERKS

Financial Management

49

Financial management, also referred to as corporate finance or managerial

finance ,emerged as a distinct field of study at the turn of 20 th century.
Finance theory in general, rests on the premise that the goal of financial
management should be to maximize the wealth of the owners
Finance Management Department
Finance refers to the application of skills in the manipulation in the use and
control of money. The finance in the modern business world is the life blood
of the business economy. We cannot imagine a business without finance
because it is a central point at all business activities.
Financial Function
a. Passing and settlement of all miscellaneous advances.
b. Perform works connected with insurance coverage of fixed asset.
c. Keeping personal life of employees relating to salary
computation and annual increment.
d. Prepare profitability trend reports and wage analysis.
e. Quarterly and yearly financial report preparation.
f. Making banks statements
g. Preparation assisting the coordination at all works connected
with finalization of accounts.
h. Assisting statutory/ Vigilance / auditors from head quarters.
i. Make internal and external purchases.
Capital budgeting
The capital budgeting is done at the being of the year itself. The requirement
of capital will be specified for approval. During the budgeted year, if any
further requirement of capital is faced then a proper justification has to be
made. If the requirement is seen as an important one then approval of the
capital is sanctioned.

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Cash management
Cash management system is done of the key areas in any business. Apart from
the fact that it is the most liquid asset, cash is the common denominator into
which all current assets can be reduced because other major liquid assets,
receivable and inventory get eventually converted into cash.
Credit control function
A trade credit arises when a company sells on credit and does not received
cash immediately. A company grants credit to protect its sales from the
competitors and to attract potential customers to buy its product at favorable
terms, Credit period allowed is 6 days to 90 days. The collection of credit will
be handled by senior sales officers up to 180 days and it will be handed over
to the factory manager. The company will give the creditors a further of one
month, then legal action will be taken against the person or the company. If
the cheque has bounced or has been dishonored then the company can sue or
take legal action against the person or the company
.Planning of funds.
Planning of funds is a careful estimate made by the manager about the total
funds required. This is the estimation done by the observation over the
physical activities of the company.
Allocation of funds.
Providing funds to proper place at proper time is also an importance task to be
done by the financial manager. He studies the cash requirement of each
department and then funds are distributed.
Recording transactions

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Each and every transaction that takes place in the company has to be recorded
properly for the purpose of having better control over the funds optimality. All
the transaction are recorded in journal and posted to the ledgers.
Fixed assets.
Fixed assets are from the major part of the working of any company.
Depreciation of fixed assets is charged on diminishing balance method.
Cost control
The cost is controlled either in the acquisition of raw materials or reduction in
operating expenses or both, as there should be limitation in the utilization of
funds. The company will always have a comparison of budgets and actual.
Stock in Stores
Store department is an auxiliary department of the financial department. The
major purpose of this department is to receive raw mate materials from the
suppliers to different departments and there after verify the bill/ invoice to
ensure of incoming materials and to confirm the quality and value with
purchase order.
Inventory management
Management of inventory means an optimum investment in inventories. It
should neither be too high to block the funds unnecessarily nor be low to halt
the production for the wants of materials. The inventory management includes
the following aspects.
Size of inventory maximum level and minimum level.
Establishment- timing schedule procedure and lot of size for new
orders.
Ascertaining minimum safety level.
Coordinating sales, production and inventory policies.

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 Providing proper storage facility.

Arranging the receipts, disbursements and procurement of materials
and developing the form of recording the transaction.
Arranging responsibilities for carrying out inventory control function
and providing the report necessary for supervising the overall
activities.
For effective inventory management in a business unit there should be proper
coordination of activities and policies of the purchase, production and sales
department.
Working Capital management.
Working capital management is managing the current assets and current
liabilities of a firm in such a way that a satisfactory level of working capital is
maintained. i.e. it is neither inadequate nor excessive. Working capital
management policies of a firm have a great effect on its profitability, liquidity
and structure wealth.

STORES DEPARTMENT

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STORES DEPARTMENT
ASST.MANAGER

SUPERVISOR FG
STORE

RAW MATERIAL
STORE OFFICER

PACKING
MATERIAL STORE

Functions of Stores department

1. Receipt of incoming material.

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2. Efficient and orderly record keeping of all materials in storage.

3. Storage of material in safe and conventional location
4. Issue of material against written authority
5. Timely intimation to proper authorities regarding out of stock
condition.
6. Prevention of damages, losses and unauthorized uses etc.
7. Rejected materials managements.
8. Sales return management
9. Maintenance of accounts.
Material documents of this department are produced in coordination with the
production department. Monthly check and other periodical checks are done
to certify the actual inventory values in quantities. There is a separate section
for rejected product. Rejected products are stored in stores department itself.
Such products are inspected before and after by the quality control
department. Such products are sold out as separate sale items.

Classification of materials
Raw materials
-Rubber
-Coir
-Chemicals
-Color

55

General Engineering Materials

-Electrical items
-Mechanical items
-Capital item tool etc.
Stationery Items and Furniture
-Furniture
-Paper
-Bill books

56

PURCHASE DEPARTMENT

PURCHASE DEPARTMENT

This is the department which purchases the required raw materials for the
production of mattress. So this department can be said as, the backbone of the
firm. The store keeper verifies the materials and if it goes beyond minimum
require level, he will inform it to the accounts officer and he will pass on the
information to the general manger. The general manager then does further

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action to buy the required raw materials. The main function of purchasing
department is to ensure uninterrupted flow of production.

STRUCTURE OF PURCHASE DEPARTMENT

PURCHASE OFFICER

JR. CLERK

JR. CLARK

Purchase Functions:
Source identification:
Source identification involves the identification of suppliers from which
purchase are to be made.
Source selection:

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Source selection involves selecting the best supplier from different suppliers,
which is based on desired quality, quantity, price, service etc.
Vendor rating:
This responsibility lies with head office. Vendor rating is done on the basis of
product, price of the materials and the reports from the production department
in the case of latex or chemicals.
Receipt of material:
Materials are collected by the receipt store and the details will be given to the
section for inspection. Number of items passed, rejected and the reason for
rejection if any will be specified. Receipts store will then prepare materials
receipt report and then sent it to the concerned sections i.e.; purchase and
accounts .The original will be retained by the receipt store.

CLASSIFICATION OF MATERIAL

The materials used in the firm are broadly classified as:

RAW MATERIALS:

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Rubber, coir, chemicals, color and qualified fabrics

GENERAL ENGINEERING ITEMS:
Electrical items, Mechanical items, spare parts and capital item tools.
STATIONARY ITEMS AND FURNITURE:
Office equipments, papers & bill book, cleaning products
PURCHASE PROCEDURE

1. Requisition
The power of approving material requisitions is with headquarters.
2. Purchase Proposal:
After purchase requisition has been approved by the head office, the order is
placed.
3. Purchase order: After fixing the right supplier, purchase order is prepared
and placed with proposed party. The order rate, quantity, delivery schedule
and terms of payment will be mentioned.

4. Vendor rating:
The responsibility lies with the head office. Vendor rating is done on the basis
of product, price of the material and reports from the production department
in the case of latex or chemicals.
6. Receipt of materials:

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Materials are collected by the receipt store and the details will be given to the
section for inspection. Number of items passed and reason for rejection if any
will be specified. Receipts store will then prepare materials receipt report to
be sent to the concerned section i.e.; purchase and accounts. Original copy
will be retained by the receipt store.

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PRODUCTION DEPARTMENT

PRODUCTION DEPARTMENT
The firm has progressively recorded high productivity and profitability.

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Production department is equipped with efficient and qualified managers and

supervisors.
STRUCTURE OF PRODUCTION DEPARTMENT

PRODUCTION MANAGER

PRODUCTION MAIN PLANT PRODUCTION FURNISHING

LAB AND QUALITY DEPARTMENT PRODUCTION PLANNING

PRODUCT DEVELOPMENT

ENGINEERING DEPARTMENT

Production (Main Plant):

The main raw materials used for the production of bare mattress are the
rubber. Raw materials are acquired by the company from internal sources.

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Along with the main material compounding, chemicals are also required for
the production. Most of the compounding chemicals are purchased internally.
STRUCTURE OF PRODUCTION DEPARTMENT (MAIN PLANT)
Shift IN-Charge

Production Supervisor Production Supervisor

Production Supervisor

Skilled Operator
Skilled Operator
Skilled Operator Skilled Operator Skilled Operator

Highly skilled Workers

Skilled Workers

Semi-Skilled Workers

Unskilled Workers

PRODUCTION CAPACITY:

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The firms production facility is among the very few in the country to employ
state-of-the-art Austrian machinery. The machinery as well as the technology
is sourced from DOA of Austria. The plant has annual install capacity of 4.8
million units comprising of mat. The furnishing section is equipped with most
modern computer controlled machines imported from UK and USA. Strict
quality Control is observed at every stage of the production to ensure that the
product always measure up to the highest standard.
The no: of workers are
Highly skilled

19

Skilled workers

23

Semi-skilled

30

Unskilled

45

Casual worker

99

Temporary worker -

13

MAJOR MACHINES IN THE FURNISHING DEPARTMENT

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1. Quilting Machine
2. Border Stitching Machine
3. Tape Edge Machine
4. Sewing machine
5. Comer Cutting Machine
6. Sealing Machine
7. Handle stitching machine
Labels Fixed on the Mat
1. IS1 Sticker
2. Brand Name
3. MRP sticker
4. Quality CHECK sticker

3) Product development
The product development carried out is concerned with the identification of
the most economically feasible method for applying the principles through
research It involves design, redesign and fabrication of new or modified
product and testing it to find its usefulness .Product development essentially
involves developing product to suit customers' needs and conditions .The
purpose is to ensure that it meets the requirement and quality standard. This is
applicable to all product modification of the existing company.

4) Production Planning and Control

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It is done on the basis of specification or orders placed by the firm,

Sales international & based on domestic order placed by authorized
distributors. The required quantity and quality is specified through production
planning and the production is done according to this planning. Operations
planning involve the organization of an overall manufacturing operating
system to produce a product. Objective of production planning is to provide a
physical system together with a set of operating guidelines for efficient
conversion of raw material, human skills and other inputs into finished
products.
5) Lab and Quality Control Department
The adoption of quality management system should be a strategic decision
of an organization. The design and implementation of an organization's
quality management system is influenced by varying needs, particularly the
objectives the products provide to sustain and win product's acceptability in
the market. The products have found domestic and international acceptance
largely due to its stringent quality maintenance and quality control of mat
produced the quality policy is to give enhanced satisfaction to the customers
through the manufacture and supply of mat by the use of modem
manufacturing equipments .They voluntarily meet the entire product and
process related regulatory requirements and are committed to improve their
performance in all spheres of activities.

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Quality objectives:
In order to implement the quality policy, the quality objectives are
established as follows.
1. Higher capacity utilization
2. Higher level of profitability
3. Lower level of rejections
4. Lower level of breakdowns
5. Least possible customer complaints
6. Higher level of customer satisfaction.

It is ensured that quality policy and objectives are understood,

implemented and maintained by all the personnel in the organization

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ENGINEERING DEPARTMENT

69

ENGINEERING DEPARTMENT

Hierarchy of Engineering Department

ELECTRICAL MAINTENANCE ENGINEER

Electricians

Skilled Workers

Functions of Engineering department:

1. Instrumentation
2. Electrical maintenance
3. Maintenance & utility
4. Boiler unit maintenance

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MARKETING DEPARTMENT

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MARKETING DEPARTMENT
The traditional definition of marketing is the performance of business
activities that direct the flow of goods and service from producers to
consumers. The marketing concepts hold the key to achieving its
organizational goals which consists of the company being more effective than
competitors in creating, delivering and communicating consumer value to its
chosen target markets.
The American Marketing Association offers the following definition
"Marketing is a process of planning and executing the conception of pricing,
promotion and distribution of ideas, goods & services to create, exchange
values that satisfy individual and organizational goal". Theodore Leavitt of
Harvard drew a perspective contrast between the selling and marketing
concepts: Selling focuses on the need of the seller: marketing focuses on the
needs of the buyer. Selling is preoccupied with the idea of satisfying the needs
of the customer by means of the activities associated with creating, delivering
and finally consuming it. Product, while marketing is the whole cluster.
MARKETING STRATEGIES
The firms product has attained wide market coverage in Kerala within
the short period time of it being established. Now Kerala market is dominated
by the firms product. The effective marketing strategy that they have adopted
is the reason behind this explosive growth of the firm. Expansion of existing
market into other geographical areas, i.e., now the firm is the market leader in
Kerala mat industry and they are about to expand their market all over South
India in order to attain their target turnover. Planning for introducing new

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products into market and entering untapped segments is their innovative

strategy.

STRUCTURE OF MARKETING DEPARTMENT

Marketing Department

Marketing Manager

Sales Executive

Clerical Staffs

MARKETING MIX
Marketing mix is the set of marketing tools that the firm uses to pursue its
marketing objectives in the target market. It is classified as four Ps of
marketing i.e.; product, price, place, and promotion
- Product
- Price

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- Place
- Promotion

PRODUCT:
The firm mats are scientifically designed to provide proper back support
without compromising on comfort by virtue of their ingenious design,
construction and the unique 3-D technology. The mats are firm without being
hard and are extremely durable. As they do not sag, they are very comfortable
and ensure a healthy and restful sleep. The mat is available in nine variants
each catering to a specified user segment. The range comprises of everything
from regular mats to special orthopedic models and high-end luxury varieties.
They come in varying sizes and thickness, depending on the specific use they
are meant for. The firm manufactures a wide range of mattresses catering to
diverse segment.

PRICE:

Price denotes value of a product or service expressed in money. Pricing is one

of the most important activities for any organization. Pricing policy adopted
by the firm is Transfer Pricing. The firm setup its price at transfer price.
Transfer price is the price at which the firm transfers products to distributors.
A general guideline as to the total markup of 11% of the distributor, a markup
of 25% to the retailers. Price quoted is inclusive of transportation charges. The

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firm allows 2% discount on cash sale. Various schemes and offers are
announced for distributors during festival season.

PROMOTION:
To win the battle of competition every manufacture has to choose a
number of promotion tools which can be classified as- advertising, publicity,
Personnel Selling and sales promotion.

ADVERTISEMENT AND PUBLICITY

The major purpose of advertisement and publicity is to promote
effectively through providing information to customers to make them aware
about the characteristics of the product.
The effective formulation strategies are formed by the marketing
department. The advertisement methods that the firm follows are given below:
1. Wall paintings
2. Sales promotion schemes
3. Visual/electric media
4. Hoardings
5. Exhibitions
6. Laminated boards
7. Retailers trade
8. Turnover discount to distributors

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9. Sales incentive scheme

PLACE (DISTRIBUTION)
The products are made available all over Kerala and Tamil Nadu by its
wide distribution network. Now they are going to expand their marketing
network all over south India.

The distribution network is given below:

Exporting Activities:
As the firm strictly follows its quality policy, the products satisfies the
expectation of the customers. They receives inquiries from Sri Lanka, U.A.E,
Netherlands, Germany and other middle East countries regarding export of
rubberized coir mattress. They plan to market in other countries also.

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CHAPTER 7
SWOT ANALYSIS

77

SWOT ANALYSIS

The overall evaluation of company's strength, weakness, opportunities

and threats is called SWOT Analysis.

STRENGTH
1. The firm has lot of product varieties and price ranges.
2. In the company there does exist a cordial relationship between
employees and top level management and among dealers and
distributors.
3. Through effective marketing products could have acquired wide market
acceptance & customer preference within a short period of being
established.
4. The firm has well developed corporate strategy; this is one of their
major strength.
5. Style of leadership that the company follows is Leadership through
dedication and coordination. That encourages employees of the
organization to work towards their organizational goals.

78

6. The strength of the company lies with the quality of their product, wide
range of products is capable to challenge variable environment
conditions, goodwill and customer service, technical advice marketing
intelligence, wide network and interaction with customers.
7. Effective management system is one of their strength.
8. Ability of the top level management to manage strategic changes.
9. Good financial management system is existing in the organization.

WEAKNESS
1. The company is newly established: therefore most .of the employees
are freshers. Therefore the company has to conduct a lot of training
programmes to make the employees suitable for the work environment:
so large volume of productive time is consumed to make them
experienced workers and to familiarize with a work procedures.
2. The weakness appearing most conspicuous to make their product
acceptable by customers is the higher prize compared to their
competitors. The firm is going to expand their market in overall south
India; but transportation from Kerala to other markets will be a big
Burden they are facing in the market when comparing to their
Competitors they can easily supply goods into market according to
Market demand because they are having manufacturing plants in other
States.
OPPORTUNITIES

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1. The company has introduced lots of product varieties into the market
therefore customers have lot of alternatives to make their own
decisions.
2. The firm has not yet fully tapped their 100% utilization of existing
machine capacity, so opportunities lies there. Undertake new.
3. The firm is facing high level competition in the market but their
products are having higher demand in the market, it is because of the
quality policy that they are adopting in their production process.

THREATS

1. The firm has very high regional and domestic Competition from other
companies like Dolphin systems, Zion mat etc
2. Competition in the market is increasing day by day because of lot of
unauthorized companies in the market. They are products of low quality
at less price and attracting small customers. This is the major threat that
company is facing in the market.
3. Each and every company is facing threats in the market because
customer's requirements are changing day by day.
4. Change in the environmental factors can make influence in the sales
growth.
5. Tastes of consumers are changing day by day.
6. Rising labor cost is another threat that each company faces today.

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CHAPTER 8
FINDINGS AND SUGGESTIONS

81

FINDINGS

1. Presence of good industrial relations with local unions and there is a

greater co-operation between management and employees.
2. Workers fear of loss of jobs and hence resist modernization of plant.
3. Wage system is fair in the firm.
4. Workers health and safety are given prime importance.
5. Labor turnover is very low.
6. Trade union plays a vital role as bargaining agents. The management is
sometimes forced to accept unreasonable demands made by the unions.

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SUGGESSIONS

Considerably within a short period of time being established, the firm

has earned the reputation of being a leading manufacturer of rubber mat by
virtue of an enviable manufacturing infrastructure. As a result of efficient
monitoring and quality control at every stages of production, wastages and
rejections are brought down. Whatever be the orders, whatever be the risk,
whatever be the tasks the firm will live up to the expectations of the people by
providing a wide range of mat. We can see the firm as non competent leader in
the field of rubber mat in the near future itself.

Based on the study conducted, the following suggestions are made:

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 In the present market the product is facing overall demand in the

market, in order to tap market demand. The firm has to tap their 100%
utilization of existing machine capacity that they are not yet fully
tapped.
The firm has to adopt a strategy that would result in lowering the
production and distribution cost than that of its competitor to win the
market.
The company has to make strengthen their supply chain in other states,
in order to tap the target market.
The company has to take about the conveyance facility to employees.

CHAPTER- 9
CONCLUSION
CONCLUSION

84

CONCLUSION

The organization study has helped to make a valuable conclusion

through the analysis of different functional department of the Kuttiyanikal
Rubbers. It enjoys the confidence and support of its employees. This is one
reason that makes the firms products, the most innovative brand in the
industry. Presently it is the prominent niche in the market. It is preferably
ranked at the top with consideration to quality. The core competencies of the
organization are as follows:

1. Professional management
2. Effective leadership
3. Cordial relationship between employees and top management
4. The company has well established network in industry with sound
manufacturing and marketing experience.
5. The company has adequate resources available for expansion.

85

BIBLIOGRAPHY

86

BIBLIOGRAPHY
BOOKS REFFERED
V.S.Ramaswamy and S.Namakumary, Marketing Management,
Macmillan Business Books-2004
C.N.Sontakki, Marketing Management,
Kalyani Publishers - 2005
Aswathappa.K Human Resource and Personnel Management
Tata Mac Grawhill Publishing, New Delhi- 2005
REPORTS AND JOURNELS
Journals of Kuttiyanickal Rubbers
Broachers of Kutiyanickal Rubbers

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