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INTRODUCTION
POWER
SUPPLY
DRIVE
MOTOR
POWER SUPPLY
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6V BA TTE R Y
CHARGER
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MICROCONTROLLER UNIT
INTRODUCTION
"Uno" means one in Italian and was chosen to mark the release of
Arduino Software (IDE) 1.0. The Uno board and version 1.0 of Arduino
Software (IDE) were the reference versions of Arduino, now evolved to
newer releases. The Uno board is the first in a series of USB Arduino
boards, and the reference model for the Arduino platform; for an extensive
list of current, past or outdated boards see the Arduino index of boards.
Arduino Uno microcontroller board (back view)
Specifications
Microcontroller ATmega328P
Operating Voltage 5V
Input Voltage (recommended) 7-12V
Input Voltage (limit) 6-20V
Digital I/O Pins 14 (of which 6 provide PWM output)
PWM Digital I/O Pins 6
Analog Input Pins 6
DC Current per I/O Pin 20 mA
DC Current for 3.3V Pin 50 mA
Flash Memory 32 KB (ATmega328P)
of which 0.5 KB used by boot loader
SRAM 2 KB (ATmega328P)
EEPROM 1 KB (ATmega328P)
Clock Speed 16 MHz
Length 68.6 mm
Width 53.4 mm
Weight 25 g
PROGRAMMING
Memory
Setup (): a function run once at the start of a program that can
initialize settings.
Loop (): a function called repeatedly until the board powers off
PIN DIAGRAM OF ARDUINO
14
CIRCUIT EXPLANATION
POWER SYSTEM
In this circuits we need two power supplies .All ICs are worked on regulated DC
power 5v with GND. Relay derive worked on dc 12v with GND .This unit consist of
battery, rectifier, filter & regulator. Battery voltage typically 12v RMS is connected to a
Diode rectifier then provides a bridge rectified voltage that is initially filtered by a
simple capacitor filter to produce a DC voltage. This resulting DC voltage usually has
some ripple or Ac voltage variations. A regulator circuit can use this DC input to
provide DC voltage that not only has much less ripple voltage but also remains the
same DC value even the DC voltage varies some what,. OR the load connected to the
output DC voltages changes.
BLOCKDIAGRM:
15
Battery Rectifier Filter Regulator
BATTERY:
A battery is a static power source Robots electric system. It works with the
principle of charging and discharging. In our project we are using maintenance free dry
battery for providing a necessary supply for the electronic circuits .In our project we
are using a 6V.
RECTIFIER:
The reverse protector obtained from a battery input can be improved 100% using
a process called full wave rectification. It uses 4 diodes in a bridge configuration. From
the basic bridge configuration. we see that two diodes (say D2 &D3) are conducting
while the other two diodes (D1&D4) are in “off” state during the period t = 0 to
T/2.Accordingly for the negative of the input the conducting diodes are D1&D4.Thus
the polarity across the load is the same.
FILTER:
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The filter circuit used here is the capacitor filter circuit where a capacitor is
connected at the rectifier output, and a DC is obtained across it .The filtered wave form
is essentially a dc voltage with negligible ripples, which is ultimately fed to the load.
REGULATOR:
The out put voltage from the capacitor is more filtered and finally regulated. The
voltage regulator is a device, which maintains the output voltage constant irrespective
of the changes in supply variations, load variation and temperature changes. Here we
use one fixed voltage regulator namely LM7805.The IC 7805 is a+5 voltage regulator.
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Internal thermal overload protection
Internal short circuit current-limiting
Output transistor safe
ea compensation
Available in TO-220, TO-39, and TO-252 D-PAK packages
Output voltages of 5V, 12V, and 15V
Output current in excess of 0.5A
The Positive:
Increase productivity
Use equipment effectively
Reduce working costs
Flexibility at work
Get the job done in the shortest time
Provide good returns on investment
Better accuracy in performance
Ability to work in risky ways and make it more safe
The negative:
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Needed a large number of sensors and high accuracy to perform the Complex
tasks
And other technical problems, "especially in the fields of artificial intelligence
and Machine vision" .
When the Robotic arm break down the production line will go off in the
factories.
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Figure shows the image of a servo motor.
It consists of a motor which is coupled to a sensor, used for position feedback,
through a reduction gearbox. It also accompanies a relatively sophisticated controller,
usually a dedicated module designed specifically for use with servo motors
In short, the micro controller interfaces all these components specified below. A short
list of components include
1. Servo motors
2. Potentiometers
3. Atmega 328p.
4. Arduino Deumilanove "IDE"
5. Bloutooth module.
FIVE DEGREES OF FREEDOM
Robot arms are described by their degrees of freedom. This number typically
refers to the number of single-axis rotational joints in the arm, where higher number
indicates an increased flexibility in positioning a tool. This is a practical metric, in
contrast to the abstract definition of degrees of freedom which measures the aggregate
positioning capability of a system.
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5 DOF Robotic Arm from Robot is a robotic arm with 4 degrees of freedom
joints and a Gripper. Its actuated using 5 Standard size servos out of which 3 are
normal Nylon gears standard and 2 are Metal Gear High Torque servo motors.
CONSTRUCTION
Mechanical Design
The mechanical design of the robot arm is based on a robot manipulator with
similar functions to a human arm . The links of such a manipulator are connected by
joints allowing rotational motion and the links of the manipulator is considered to form
a kinematic chain. The business end of the kinematic chain of the manipulator is called
the end effector or end of arm tooling and it is analogous to the human hand. Figure
shows the Free Body Diagram for mechanical design of the robotic arm.
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Free body diagram of the robot arm
As shown, the end effector is not included in the design because a commercially
available gripper is used. This is because that the end effector is one of the most
complex parts of the system and, in turn, it is much easier and economical to use a
commercial one than build it. Figure shows the work region of the robotic arm. This is
the typical workspace of a robot arm with four degree of freedom (6 DOF). . The
mechanical design was limited to 6 DOF mainly because that such a design allows
most of the necessary movements and keeps the costs and the complexity of the robot
competitively Accordingly, rotational motion of the joints is restricted where rotation is
done around two axis in the shoulder and around only one in the elbow and the wrist,
see Figure 5.18. The robot arm joints are typically actuated by electrical motors. The
servo motors were chosen, since they include encoders which automatically provide
feedback to the motors and adjust the position accordingly.
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However, the disadvantage of these motors is that rotation range is less than 180˚
span, which greatly decreases the region reached by the arm and the possible positions
[9]. The qualifications of servo motors were selected based on the maximum torque
required by the structure and possible loads. In the current study, the material used for
the structure was acrylic.
Figure 2.16 shows the force diagram used for load calculations. The calculations were
carried out only for the joints that have the largest loads, since the other joints would
have the same motor, i.e. the motor can move the links without problems. The
calculations considered the weight of the motors, about 50 grams, except for the weight
of motor at joint B, since it is carried out by link BA. Figure 2.17 shows the force
diagram on link CB, which contains the joints (B and C) with the highest load (carry
the links DC and ED) and the calculations are carried out as follows.
L = 1 kg (load)
Performing the sum of forces in the Y axis, using the loads as shown in Figure
5.20, and solving for CY and CB, see Equations (1).(4). Similarly, performing the sum
of moments around point C, Equation (5), and point B, Equation (6), to obtain the
torque e in C and B, Equations (7) and (8), respectively.
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The servo motor that was selected, based on the calculations, is 7 small servo
with torque: 1.8 kg/cm and one big servo with torque 10kg/cm
This motors was recommended because it is much cheaper than any other motor with
same specifications. Since we need more torque at joint B, see Equation (8), we used
two motors at point B to comply with the torque requirements; however, one motor is
enough for the other joints. Using two motors at joint B is much cheaper than using one
big motor with 10kg/cm. Other relevant characteristics of the motors, which can be
shown in Figure 5, are that they can turn 60 degrees in 130 milliseconds and they have
a weight of 47.9 grams each. Once the initial dimensions for the robot arm and the
motor were defined, the design were carried out using the SolidWorks platform; design
should carefully take into account the thickness of the acrylic sheet and the way that
the pieces would be attached to each other. The acrylic sheet used to make the robot is
1/8 thickness
And that thin sheet was chosen because it easier for machining and less weight
with a good resistance. During design, we faced some difficulties due to the way of
joining thin acrylic parts strongly. It was needed tools to burn and join the acrylic parts
and that weren’t available and the team considered that a mechanical junction based on
screws and nuts would be much strong than other alternatives, such as glue for
example. In order to accomplish this, a small feature was designed which allowed to
fasten the bolts with the nuts without having to screw in the thin acrylic layer. The
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result of this process was the tridimensional design shown in Figure 6.21 By end of
design, each part was printed in full scale in cardboard paper and then we verified all
the dimensions and the interfaces of the assembly. In turn, we built the first prototype
of the robot arm. Next, parts of the robot arm were machined from the acrylic sheet
using a circular saw and Dermal tools. The detailing on the parts was done in a
professional workshop since the parts of robot arm were too small and it is not an easy
for accomplishing such small and accurate cuts. During assembling the robot parts with
the motors, few problems pop up. There were critical points that did not resist the
fastening and, in turn, may break down; hence, reinforcements in these points were
considered. The final result of the robot arm is shown in Figure 5.21
We use this Operation to control tow servo motors In opposite direction for each
other's. The small servo G9 we use have a rotation limit 180 degree so we command
the first servo motor to move to angle X and command the opposite servo motor to
move to angle 180.X then the tow motors well move in Synchronous movement that
meets our needs.
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End-Effector Selection
The end effector is probably one of the most important and most complex parts
of the system. The end effector varies mainly according to the application and the task
that the robot arm accomplishes for; it can be pneumatic, electric or hydraulic. Since
our robot arm is based on an electric system, we may choose electric basis of end
effector. Besides, the main application of our system is handling, accordingly, the
recommended type of our end effector is a gripper, as shown in Figurer
Servo Motors
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Servo refers to an error sensing feedback control which is used to correct the
performance of a system. Servo or RC Servo Motors are DC motors equipped with a
servo mechanism for precise control of angular position.
The RC servo motors usually have a rotation limit from 90° to 180°. But servos do not
rotate continually. Their rotation is restricted in between the fixed angles.
The Servos are used for precision positioning. They are used in robotic arms and legs,
sensor scanners and in RC toys like RC helicopter, airplanes and cars.
Weight- 55g
Dimension- 40.7*19.7*42.9mm
Operating speed-0.20sec/60degree(4.8v)
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The specifications for small Servomotor G9 used are as follows:
Weight: 9 g
Dimension: 22.2 x 11.8 x 31 mm approx.
Stall torque: 1.8 kgf·cm • Operating speed: 0.1 s/60 degree
Operating voltage: 4.8 V (~5V)
Dead band width: 10 μs
Temperature range: 0 ºC – 55 ºC
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Block diagram of a Servo motor
As we know that any electrical motor can be utilized as servo motor if it is controlled
by servomechanism. Likewise, if we control a DC motor by means of servomechanism,
it would be referred as DC servo motor. There are different types of DC motor, such
shunt wound DC motor, series DC motor, Separately excited DC motor, permanent
magnet DC motor, Brushless DC motor etc. Among all mainly separately excited DC
motor, permanent magnet DC motor and brush less DC motor are used as servo.
Figure (4.4) shows the block diagram of the separately excited Dc servo motor
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Figure 4.4 Separately Excited DC Servo Motor
The motors which are utilized as DC servo motors, generally have separate DC source
for field winding and armature winding. The control can be archived either by
controlling the field current or armature current. Field control has some specific
advantages over armature control and on the other hand armature control has also some
specific advantages over field control. Which type of control should be applied to the
DC servo motor, is being decided depending upon its specific applications. Let's
discus DC servo motor working principle for field control and armature control one
by one.
The Figure below illustrates the schematic diagram for a field controlled DC servo
motor. In this arrangement the field of DC motor is excited be the amplified error
signal and armature winding is energized by a constant current source
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Field controlled DC servo motor
The field is controlled below the knee point of magnetizing saturation curve. At that
portion of the curve the MMF linearly varies with excitation current. That means
torque developed in the DC motor is directly proportional to the field current below the
knee point of magnetizing saturation curve.
From general torque equation of DC motor it is found that, torque T ∝ φIa. Where, φ is
field flux and Ia is armature current. But in field controlled DC servo motor, the
armature is excited by constant current source , hence Ia is constant here. Hence, T ∝ φ
As field of this DC servo motor is excited by amplified error signal, the torque of the
motor i.e. rotation of the motor can be controlled by amplified error signal. If the
constant armature current is large enough then, every little change in field current
causes corresponding change in torque on the motor shaft.
The direction of rotation can also be altered by using split field DC motor, where the
field winding is divided into two parts, one half of the winding is wound in clockwise
direction and other half in wound in anticlockwise direction. The amplified error signal
is fed to the junction point of these two halves of the field as shown below. The
magnetic field of both halves of the field winding opposes each other. During operation
of the motor, magnetic field strength of one half dominates other depending upon the
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value of amplified error signal fed between these halves. Due to this, the DC servo
motor rotates in a particular direction according to the amplified error signal voltage.
The main disadvantage of field control DC servo motors, is that the dynamic response
to the error is slower because of longer time constant of inductive field circuit. The
field is an electromagnet so it is basically a highly inductive circuit hence due to
sudden change in error signal voltage, the current through the field will reach to its
steady state value after certain period depending upon the time constant of the field
circuit. That is why field control DC servo motor arrangement is mainly used in small
servo motor applications.
The main advantage of using field control scheme is that, as the motor is controlled by
field. The controlling power requirement is much lower than rated power of the motor.
Figure (4.5) shows the schematic diagram for an armature controlled DC servo motor.
Here the armature is energized by amplified error signal and field is excited by a
constant current source .
The field is operated at well beyond the knee point of magnetizing saturation curve. In
this portion of the curve, for huge change in magnetizing current, there is very small
change in mmf in the motor field. This makes the servo motor is less sensitive to
change in field current. Actually for armature controlled DC servo motor, we do not
want that, the motor should response to any change of field current.
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Again, at saturation the field flux is maximum. As we said earlier, the general torque
equation of DC motor is, torque T ∝ φIa. Now if φ is large enough, for every little
change in armature current Ia there will be a prominent changer in motor torque. That
means servo motor becomes much sensitive to the armature current.
As the armature of DC motor is less inductive and more resistive, time constant of
armature winding is small enough. This causes quick change of armature current due to
sudden change in armature voltage.
That is why dynamic response of armature controlled DC servo motor is much faster
than that of field controlled DC servo motor.
The direction of rotation of the motor can easily be changed by reversing the polarity
of the error signal.
Field control is not possible in the case of permanent magnet DC motor as the field is a
permanent magnet here. DC servo motor working principle in that case is similar to
that of armature controlled motor.
4.4.1System Model:
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The terms Ra and La are the resistance
Where Kb is the motor’s back EMF constant. The equations for the mechanical side of
the system are
Where Tapp is the applied torque, and KT is the torque constant that relates the torque
to the armature current.
Here are three derivative terms in the system model for the DC servo motor—first
derivative of ia(t) in Eqn. (2) and first and second derivatives of θ(t) in Eqn. (4).
Therefore, there are a total of 3 state variables in the state space model. Although the
first derivative of θ(t) appears in both of those equations, it is the same variable and so
does not add an additional state variable. A simulation diagram can be drawn for this
system by solving Eqns. (2) and (4) for the highest derivative term in each. This yields
the expressions in (5) and (6). The simulation diagram is shown in Figure. 2. The state
variables will be defined as the outputs of the integrators, with x1 being ia, x2 being θ,
and x3 being dθ/dt.
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dia(t) /dt = − (Ra/ La )¶ ia(t) – (Kb /La ¶) dθ(t) /dt + ( 1 /La )¶ Va(t) (5)
Example With these definitions for the state variables, and defining
u(t) = Va(t) and y(t) = θ(t), the state and output equations are:
x3(t)
Example With these definitions for the state variables, and defining
u(t) = Va(t) and y(t) = θ(t), the state and output equations are:
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x1(t) = − (Ra/ La )¶ x1(t) – (Kb/ La )¶ x3(t) + ( 1/ La )¶ u(t) (7)
HC.06 module is an easy to use Bluetooth SPP (Serial Port Protocol) module, designed
for transparent wireless serial connection setup. Serial port Bluetooth module is fully
qualified Bluetooth V2.0+EDR (Enhanced Data Rate) 3Mbps Modulation with
complete 2.4GHz radio transceiver and baseband. It uses CSR Blue core 04.External
single
chip Bluetooth system with CMOS technology and with AFH(Adaptive Frequency
Hopping Feature). It has the footprint as small as 12.7mmx27mm.
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4.7 Specifications
PIO control
Default Baud rate: 38400, Data bits: 8, Stop bit: 1, Parity: No parity, Data
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Control: has supported baud rate:
9600,19200,38400,57600,115200,230400,460800.
PIO10 and PIO11 can be connected to red and blue led separately. When master and
slave are paired, red and blue led blinks 1time/2s in interval, while disconnected only
blue led blinks 2times/s.
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L293D Motor Driver
The L293D is a high voltage, high current four channel driver designed to accept
standard TTL logic levels and drive inductive loads (such as relays solenoids, DC and
stepping motors) and switching power transistors. The L293D is suitable for use in
switching applications at frequencies up to 5 KHz.
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Features Include:
BIBILIOGRAPHY
WEBSITE REFERENCE
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www.datasheetarchive.com
www.microchip.com
www.google.com
www.hardwareking,in
BOOK REFERENCE
3. Embedded C by jerk
CONCLUSION
The main focus of this work was to design, and programme robotic arm the robot
arm was designed with five degrees of freedom and talented to accomplish accurately
simple tasks, such as light material handling the robot arm is equipped with several
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servo motors which do links between arms and perform arm movements. A
microcontroller that drives the servo motors with the capability of modifying position
ENTREPRENEURSHIP
Basics of Entrepreneurship
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It is a well-known fact that the scope of for absorbing the ever increasing number
of unemployment in government departments is very much restricted on account of
various factors. Absorption of unemployment people government service takes place
either on account of retirement of the existing staff or due to launching of development
programs. The employment so generated covers only a segment of the unemployed.
The private sector is also offering very little opportunity to the young unemployed
people due to various reasons. In such adverse situation the Indian youth has to wage a
bitter fight to solve the problem of unemployment.
Concept
Entrepreneurship prevails environment in a country. Entrepreneurship being an
innovator who introduces something new into the economy, a method of protection not
yet tested by experience in the branch of manufactured concerned, a product with
which the consumes are not familiar, a new source or raw materials, or a new market
higher exploited and similar other innovations. An entrepreneur is one who starts an
industrial venture or a business of his own. Entrepreneurship would include
undertaking manufacturing activities, business or crafts etc., Entrepreneurship is also
associated with a risk assuming function.
Entrepreneur
An entrepreneur is said to be a person who organizes, manages and issue the risk
for a business or enterprise. Commonly entrepreneur is understood to be those persons
43
who start build their own enterprise rather than taking up a job. Entrepreneurship is the
trait taking up own enterprises.
Role of entrepreneurship
An entrepreneur is a part of industrial society. He is responsible for not only
making his own source of live hood but also for creating avenues of employment for
others and making additions to the gross national product. If a larger number of
entrepreneurs set up enterprise of their own, there is a great deal of transformation of
an area. The industrial entrepreneurs are thus the agents of charge in removing back
wardens and disparities of an area. An entrepreneur has a great social responsibility.
An enterprise consists of not only those who manage it but a host other segments of
society, workers, consumers, the state and the surrounding community.
Some of the qualities are inherent but the others are mostly acquired. Broody
speaking four qualities are the most important one, e.g. intelligence, motivation,
knowledge and opportunity. While the first one is inherent, a continuous process
generally gains the knowledge, the qualities of entrepreneurs further be sub-divided as
under
Capacity to take risk
Capacity to work hard
Desire for deferred consumption
Capacity to take advantage of an external situation
Imagination
Emulation
Initiative
Sociability and flexibility
Inventive ability and
Knowledge, both informative and technical.
Expectation
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Increase number of industries is expected from the entrepreneurs
that they will help to.
Increase production
Earn foreign exchange through exports
Develop the underdeveloped parts of the country.
Develop economy
Small – scale industries facilitate production of consumer goods locally and help
reduction of prices. Some of the important measures of assistance now available are
briefly noted below:
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services and support required by the small and village industries at pre –
investment, investment, investment and post investment stages.
6. Financial assistance : SS units are helped by providing various financial
assistance like loans, subsides, and hire – purchase scheme through
various agencies like State Finance Corporation NSIC, State Directorates
of Industries, commercial banks, Industrial Development Bank of India
(IDBI) , and National Bank for Agricultural and Rural Development
(NABARD) .
7. Special incentives: Special inducements like the following are offered by
the government for development of entrepreneurship.
a. Capital subsidy up to 15% in backward areas
b. Income Tax exemption for five years.
c. Exemption from Central excise duty.
d. Deduction of depreciation from net profit.
e. Concessions in Stamp duty.
f. License to import raw material.
Self-employment schemes
The following are the four important government schemes for prompting self-
employment.
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A special Vocational Guidance Unit functioning in every
Employment Exchange with the object of giving guidance and motivation to
unemployed persons to take up self employment ventures. In addition to
furnishing information on self-employment projects, until also helps in
obtaining loans from the banks.
iii. The Prime Minister Scheme for providing self-employment to educated
Unemployed youth.
The objective of the scheme is to encourage the educated
unemployed youth to undertake self-employment ventures in industry, service
and business through provision of a package of assistance.
The scheme covers all unemployed youth who are matriculates and above,
and in the age group of 18 to 35 years. District Industries Centers (DIC) are
assigned the operational responsibility of the scheme.
iv. Self employment scheme for TRYSEM – trained youth
TRYSEM stands for “Training of Rural Youth for Self-
Employment”, It is a scheme by which rural youth are trained in semi
engineering trades in Industrial Training Institutes and Polytechnics. lThey
youth are provided wit5h financial and other assistance from Government I
the form of subsidy drawn from Integral Rural
Development Program (RDP) and as credit from commercial banks RS.3000
to Rs.10,000.
Product Selection
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A prospective entrepreneur should first prepare a shore list of product lines that
he wants to establish. Then, he should select the product to be manufactured based
upon market survey and demand survey, financial implementations involved, technical
know-how available, and his own experience in the line.
Site Selection
The important factors to be considered in selecting the site for an industry are
given below.
Nearness to raw material: It will reduce the cost of transportation of raw
materials to the factory.
Nearness to market: It will reduce transportation cost of the finished
products and also help to catch the share of the market.
Easy availability of labor: If highly skilled workmen are required, it is
better to locate the plant near a large town.
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Availability of power and fuel: Electrical power and fuel required for the
plant should be easily obtainable in the area, Reliability of power supply
must be ensured.
Availability of water: Water for drinking and for other purposes should be
easily available. If the process requires large quantity of water, then the
plant should be located near a major water source.
Land-topography: Cost, probability of floods. Earthquakes, etc are to be
considered.
Industrial areas: Notified industrial areas will be advantageous due to the
availability of ready infrastructure and other benefits.
Other major factors: Presence of related industries, facilities for
expansion, housing facilities, and nearness of public amenities like
hospitals and schools, security problems, local and attitude of local people.
Plant Layout
Plant layout means the disposition of the various (equipments, material,
manpower, etc) and services of the plant within the area of the site selected. Plant
layout begins with the design of the factory building and goes up lathe location and
movement of a worktable. All the facilities like equipments, raw material, machinery,
tools fixtures,
Workers, etc, are given a proper place. In deciding the place for equipment, the
supervisors and workers who nave to operate them should be consulted.
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2. Product Layout (line layout) in which equipments regardless of process is
arranged as per the sequence of operations in which a given product will
be manufactured.
3. Layout by fixed position (static product layout) in which the product is too
big (e.g. ship, airplane) or too heavy to be moved from one place to
another and is consequently fixed in one place, and men and machines are
brought to the product to perform the required operations. Whatever by the
type required, certain basic principles must be observed. While preparing
the plant layout.
These are:
1. Placement of facilities in a logical and balanced manner.
2. Minimum movements for workers and materials
3. Smooth and continuous flow of operations
4. Optimum space utilization.
5. Flexibility
i. Private Limited Company
ii. Public Limited Company
Each one has its own advantages and disadvantages. An entrepreneur’s choices
of the type of the organization will primary depend upon the nature of the business to
be started and his own preferences together with the amount of capital he can
contribute.
Registration
The prospective entrepreneur in the small – scale sector need not obtain any
Industrial Licenses, provided the item of manufacture is not governed by special
regulations. However, to facilitate identification, the Directorate of Industries (through
District Industries Center - DIC) issues certificates registering a unit as a Small Scale /
Ancillary / Tiny Unit.
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Registration is done is two stages, Via, provisional and permanent. The issue of
Provisional certificate almost automatic, with Unit / ail validity of 6 months and with a
further extension for another 6 months.
Financial Assistance
With a view to ensure adequate of funds, the small scale Industrial frame work
for the flow of Financial Assistance to small
scale sector comprises of banks (Commercial Banks, Co-Operative banks, Regional
rural banks). State Financial Corporation, National Small Industries Corporation INSIC
and State Small Industries Corporations (SSIDCS).
The NSIC and SSID’S provide Financial Assistance in the form supply of Machinery
and hire purchase basis.
A National Bank of Agriculture and Rural Development (NABARD) has
recently been setup to meet the financial requirements of artisans, Small Scale
Industries, Industries those engaged in the field of Handicraft and other rural craft.
Commercial Banks
The Reserve Bank of India issued instructions that no worth wile proposals of
the Small scale unit should be rejected merely on the ground that these are not
supported by adequate security. The commercial Banks have been advised by the
Reserve Bank of India to give special Attention to the needs of the priority sector
borrowers, particularly of the weaker section.
Small scale Industrial units also being charged lower rates of interest on their
borrowings from commercial Banks.
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Lead Banks
The Scheme is designed to enable the bank to work effectively as an Instrument
of development. Under the scheme, the district in the country have allocated to
different commercial banks each of whom is expected to act as a consortium and as a
leader of the financial institutions operating in allotted districts in matters relating to
deposit mobilization, identifying of prospective avenues for financial assistance and
ensuring adequate credit flow for the various development programs of the districts.
Institutional support
The success of Small Scale industries depends solely on the well – established
institutional setup. In order to accelerate the small industries development, government
at the central and state levels has setup a number of development agencies /
institutions. Functions of some these are mentioned.
Functions
The main functions of the SIDCD are co-ordination, industrial development and
industrial extension service. Some important functions are:
a. To assess the requirements of indigenous and imported raw materials and
components for the small-scale sector and to arrange their supplies.
b. To collect data on consumer items, which are imported and encourage the setting
up of new units giving them coordinate assistance.
c. To prepare model schemes, projects reports and other Technical literature for
prospective entrepreneurs.
d. To assist and advise the Controller of Capital issues in regard to the issue of
import licenses and the imposition of import restrictions on various products
whose manufacture has already been undertaken indigenously be the existing or
new units.
e. To secure reservations of certain products for the SSIS.
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The NSIC was setup in 1955 with the objective of supplying machinery and
equipment to small enterprise on a hire-purchase basis and assisting them in
procuring government orders for various items of stores. The corporation’s head
office is at Delhi and it has four regional officers at Delhi, Bombay, Madras and
Calcutta, and eleven branch offices. It has one central liaison office at Delhi and
depots and sub-centers.
Sole Proprietorship
Ownership when applied to an industrial enterprise means title to and
possessions of the assets of the enterprise, the power to determine the policies of
operation, and the right to receive and dispose of the proceeds.
It is called a single ownership when an individual exercise and enjoys these
rights in his own interest.
A business owned by one man is called single ownership.
Single ownership does well for those enterprises, which require little capital and
lend themselves readily to control by one person.
Examples of enterprise run by single owner are printing press, auto retail trades,
service industries and small engine forms.
In single ownership, one person contributes the original assets to start the
business, maintains and controls business operation, reaps full benefits in terms
of profit and full liable for all debts associated with the business.
Partnership
A single owner becomes inadequate as the size of the business enterprise grouse.
He may not be in a position to do away with a1 the duty and responsibilities of
the grown business.
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At this stage the individual owner may associate with him more persons who
have either capital to invest or possess special skill and knowledge to make the
existing business still more profitable.
Such a combination of individual traders is called partnership.
Partnership may be defined as the relation between persons who have agreed to
share the profits of a business carried on by all or any of them acting for all.
Individuals with common purposes join and partners and they put together their
property, ability, skill, knowledge, etc, for the purpose of making profits.
In brief, partnership is an association of two or more (up to 20) persons to carry
an as co-owners of a business for profit.
Partnerships are based upon a partnership agreement which i.e. generally
reduced to writing.
It should cover all areas of disagreement among the partners. It should define the
authority, right and duties of each partner.
It should specify how profit and losses will be divided among the partners, etc.
Private Limited
The capital is collected from the private partners; some of them may be active
while others are sleeping.
Private limited restrict the right to transfer shares, avoids public to take up shares
or debentures.
The number of members is between two and 50, excluding employee and ex-
employee, share holders.
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The company need not file document such consent of directors, list of directors,
etc. the register of joint stock companies.
The company need not obtain from the register, a certificate of commencement
of business.
The company need not circulate the balance sheet, profit and loss account etc,
among its members, but it should hold its annual general meeting and place such
financial state rents in the meeting.
A private company must get its accounts audited.
A private company has to send a certificate along with the annual return to the
register of joint stock companies stating that it does not have shareholders more
than 50 excluding the employee and employee shareholders.
Actually, a private joint stock company resumes much with partnership and has
the advantage that big capital can be collected than could be done so in
partnership.
Public Limited
In public limited company, the capital is collected from public by issuing shares
having small face value (Rs. 50,20,10).
The number of share holders should not be less than 7, but there is no limit to
their maximum number.
Co-operatives
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The main aim of the co-operative is to eliminate profit and provide goods an
services to the members of the co-operative cost.
Members pay fees or buy shares the co-operative, and profits are periodically
redistributed to them.
Since each member has only one (unlike in joint stock companies), this avoid the
concentration of control in few hand.
In a co-operative, there are share holders, a board of directors and elected
officers similar to the corporation.
There are periodic meetings of share also.
Special laws deal with the formation and taxation of co-operatives.
Co-operative organization is a kind of voluntary, demo craft ownership formed
by some motivated individuals for obtained necessities of every day life at rat.es
less than the market. The principle behind the co-operative is that of co-
operation and self.
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