An Organizational Study Report On Western India Plywoods LTD

AN ORGANIZATIONAL STUDY REPORT ON WESTERN INDIA PLYWOODS LTD
INTRODUCTION
The Western India Plywood’s Ltd, a predominant name in the wood industry since
1945 to 1995, at present is the second largest wood processing complex in South-East Asia.
The company was established in 1945. Late Shri. A.K. Kadher Kutty was the founder and
promoter of the company. The company is situated near the Valapattanam railway station just
7 Kms from Kannur and it covers a wide area of 27 acres of land. The company is producing
mainly Plywoods, hardboards, and furniture dandified woods, block board etc.
Management is the process by which people, technology, jobs tasks and other
resources are combined and co-ordinated so as to effectively achieve organizational goals.
The organizational study conducted at THE WESTERN INDIA PLYWOODS LTD is
to study the organizational structure, various departments of the organization, communication
channel, span of control; culture etc. of the organization. The relevance of the study is to
understand the above mentioned in a real organizational scenario.
The chief objective of the organizational study is to familiarize with the working of
various departments for a particular period, so that one can have exposure to the practical
side.
1.1 STATEMENT OF THE RESERCH PROBLEM

Plywood Sector is booming nowadays, In the recent years. The plywood market had grown
beyond expectations. Today, it is important in livelihood. So the study of the organizational
helps to know about the quality of management measures undertaken by them. Because of the
importance of organizational in industry. I wanted to do an in depth study about this subject.
Hence l chooses the "The organizational study report on Western India Plywood Ltd, Kannur.
INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 1

1.2 SIGNIFICANCE OR SCOPE OF THE STUDY
The success of every business concern depends mainly on the efficient performance of various
departments. The study analyses the overall performance of the organization to know about
the various functional aspects and in order to examine the present position of the organization.
The scope of the study has been spread to all over the department, their activities and
functions; it covers all aspects relating to the history and growth of the company.
1.3 OBJECTIVES OF THE STUDY
1. To study the departmental aspects and activities of the organization.
2. To prepare a SWOT analysis of the organization.
3. To understand how key business process are carried out in organization.
4. To acquire knowledge about the functional as well as managerial aspects of the
company in today’s business field.
5. To recommend suitable suggestions based on the findings made.
1.4 SOURCES OF DATA
The methodology used for this organizational study is mainly in two ways, they are;
 PRIMARY DATA
 SECONDARY DATA

PRIMARY DATA
Primary data are those data which are collected first hand from the respondents of the
organization and thus happen to be in original character. The primary data in this project
comprises the information collected through interaction with the personnel in the organization
1. From managers.
2. From the Office staff.
3. From the workers.
SECONDARY DATA
Secondary data are those data which have been already been collected from the
published sources. They include:
 Business Journals
 Annual report
 Magazines & brochures
 Web sites
1.5 PERIOD OF STUDY

The organizational study was done for a period of one month commencing from 05.09.2017
to 04.10.2017
1.6 LIMITATIONS OF THE STUDY
 The time span available for conducting the study was very short. An in depth study could
not be made.
 The continuous questioning of the employees is not possible because they are busy in
their work.
 The response may be biased.
 The officials and workers were not willing to disclose certain information.
 Lack of availability of secondary data
CHAPTER SCHEME
The organizational study report on Western India Plywoods (WIP) Pvt. Ltd has been designed
and divided mainly into following chapters:
Chapter I Introduction
Chapter II Profile of the Industry
Chapter III Profile of the Organization of Study
Chapter IV Data Analysis And Interpretation
Chapter V Findings, Recommendations and Conclusion

INDUSTRY PROFILE
India is rich in its forest wealth having a huge land area under forests. Trees are
nature's greatest bounty to man. They provide shelter, fuel, medicines and tools for war or
transport. It was timber from trees, which in the early days helped to conquer the oceans and
to fly in the air.
Nature develops trees as a mother brings up her children, making each one a separate
individual. It is an amazing sight to see the natural abstract rhythm of line, color and texture
in wood. Nothing from nature indoors gives such a long lasting enjoyment as the natural
beauty of wood, flowers fade, but beauty of decorative wood is enchanted by age.
Plywood has been made for thousands of years the earliest known occurrence of
plywood was in Ancient Egypt around 3500 BC when wooden articles were made from sawn
veneers glued together crosswise. This was originally done due to the shortage of fine wood.
Thin sheets of high quality wood were glued over a substrate of lower quality wood for
cosmetic effect, with incidental structural benefits. This manner of inventing plywood has
occurred repeatedly throughout history.
The plywood industry had been hit by the slump in the real estate industry, which is a
significant source of demand for plywood. The industry is also having hard time holding its
own against cheap imports from China.
Most Number one quality English furniture makers working in the eighteenth and
nineteenth centuries (and since) have used veneering as a technique. In addition to making

the most out of the highest quality materials available, it reduces prices and improves stability
of construction. The irregularities of grain which confer decorative interest often result in an
uncontrollable warping and cracking if any attempt is made to use the wood in thicknesses
much greater than those characterizing cabinet-making veneers (typically 1-2 mm).
Modern plywood, in which the veneer is cut on a rotary lathe from soft wood logs, is
of relatively resent origin, invented by Immanuel Nobel. The first such lathers were set up in
the United States in the mid 19th century. Plywood has been one of the most ubiquitous
building products for decades. One of the earliest applications of mass-produced
manufacturing in the United Stated was recorded in Port Land, Oregon by the Portland
manufacturing company.
In India, water proof plywood is also known as `kit ply'. Though kit ply is a brand it has
become a generic designation, since the company that makes it pioneered the use of water
proof plywood in India. The landscape historian John Stigler has theorized that the 4`h X
dimensions of a standard sheet are due to the space required for moving a mule into a barn.
2.1 GROWTH AND DEVELOPMENT OF INDIAN PLYWOOD INDUSTRY
In India the modern sector of small, large scale manufacturer have played a significant
role in the social-economic development of country. Our country is blessed with immense
stock of natural resources booth above and beneath the soil surface. Forest is one of the
important natural aspects of India. The various wood processing and plywood manufacturing
units are very much important in its employment potential and value addition. In India
plywood as a product that was commercially developed first in Assam and its neighboring
area by enterprising industrialist. Nearly a century ago during those days when the India tea
was introduce to Europe, many complaints such as training of the tea, change of Oder, lack of

resistance of boxes to withstand transport. To overcome these complaints Indian association
set up a committee to go up into details of tea packing and it was found that tea chest made
from plywood could be used packing tea
The art veneering was in existence early as 1500BC in Egypt. Veneering is a thin
layer of sheet of wood uniform in thickness. Veneer is used in Greek during early period of
beautiful the furniture. The roman also used veneer during the time of 63 BC. During the
reign of LUOIX XV in 1760 good decorative furniture was made in France using veneer. The
plywood which is seen in the present from was developed after 1860 this veneer machine was
first upgraded by French machine in 1812. The factory for manufacturing of veneer was first
established in Germany in the middle of 19th century. Nowadays a rapid development is
taking place in this field.
2.2 PLYWOOD INDUSTRY IN INDIA
The Indian plywood industry owes its origin to the development to tea industry in the
state of Assam, West Bengal, Kerala and the difficulty created by the two World wars in the
way of imports of tea chest plywood. Except for the setbacks suffered in the post war period,
the plywood sector was booming since 1947.
In 1947 India was a net importer of plywood, mainly tea chest plywood of
approximately Rs.2 crores per annum. During 1992 India manufactured.150 million sq.
meters of plywood types that earned approximately Rs.100 crores. The industry has grown
both in medium, large scale and small-scale sector. The plywood industry has provided main
outlet for the maximum utilization of secondary species, the plywood industry aided for the
development of farm forestry sector plantation, which benefits the ordinary farmers in the
country.

The other main raw material requital by the plywood industrial is synthetic resin,
which is available within the country. The materials required for manufacturing resins are
Urea and formaldehyde. The industry also excise duty to the extent as Rs.50 crores; provides
employment to about 30000 people and has total investment as Rs.400 to 500 crores.
2.3 HISTORY OF WOOD BASED INDUSTRY IN KERALA
It is more than 75 years that plywood industry was started here on a modest sale. In the year
1906-07 that plywood imported in India for first time valued at Rs.32lakhs accordingly two
plywood factories were started in Assam but this development was slow and steady and not
phenomenal it was found that plywood made from Indian.
Timbers were as good as imported products and therefore advised forest entrepreneurs to set
up modern factories In Selapur, Bangalore,Baliapattaam, Dadeli etc. Some of them suffered
set back in the past War years. Slowly the Govt. Imposed total ban on imports and this
thoughtful action of the Govt. encouraged the Indian.
Entrepreneurs modernize their plants and invest substantial capital in the industry. After
1947-48 the industry resorted to diversifications of products and block boards, flush doors,
commercial plywood’s produced in Indian factories came into the market which was second
to known on the world in the quality and diversity of its product.
Industrial licensing As Govt. By Industries Act 1951 under which the wood based
industry was covered. There was no restrictions putting up plywood mill up to 1970 the only
criteria was that applicant was required to obtain an industrial license which was being
considered by ministry of industry. The wood based industry was under compulsory industrial
licensing from 1988, whether small-scale unit or large scale unit or medium unit new
undertaking or substantial expansions would require industrial license.In Kerala these

are more than 500 plywood industries including large scale industries such as Western India
Plywoods. In India, the plywood industries are mainly located in Assam, Andhra Pradesh,
Madhya Pradesh and Karnataka. The necessity of making plywood are not out of inherent
defect in wood as described above, plywood is a glued product. Although gluing is a very old
art. The modern development of various product was made possible by important of glues
especially by the production of synthetic resin adhesive.
2.4 PROBLEMS REGARDING THE INDUSTRY
Wood based industry in India face lots of problems. Major one is underutilization of
installed capacity to the non-availability of required timber in India. Most wood based
industry depends up on the government owned forest for their materials but due to the
shortage in the defective forestry cover which was needed for maintaining ecological stability
of the government control falling of trees. Thus the diminishing forest cover in adequate,
nature retardation and subsequent hand on trees led the industry into hardship. Due to the
non-availability the big industry consumer resorted to important which increase their cost of
production. However plantation wood has inherit deficiency of suspect ability to bio
deterioration and there is a large use of preservatives like braces and boric acid which are
imperative. But this may lead to environmental pollution. The wood based industry also face
stiff competition from the metal and plastic making industry.
INDUSTRIAL TRENDS
Competition is keen in the furniture industry. Furniture manufacturers and exporters
are suffering from decreasing profit margins. Many companies strive to reduce their cost of

production and increase efficiency. Some relocate their manufacturing operations to other
areas with lower operation cost, such as Chinese mainland. On the other hand, the foreign
manufacturers are talking steps to strengthen their domestic production through product
specialization.
Hong Kong's furniture makers also started to develop their own brands. Furniture
manufacturers also became more careful about the choice of the raw materials to meet the
international standards such as compliance with legal or other environmental requirements in
their target markets. China is the largest furniture exporter to many countries, including the
US and Japan. The total furniture exporters of china exceeded US$6,683 million in 2002,
with the US being its largest market. Guangdong province is the major manufacturing centre
of furniture on the Chinese mainland. Apart from Hong Kong, manufacturing centre of
furniture on the Chinese mainland. Apart from Hong Kong, manufacturers from Taiwan and
even the US have also set up production plants on the mainland. In China, most of the
production is on OEM basis. China also offers a huge potential market for furniture maker.
To stay globally competitive, several global furniture manufactures strive to reduce
costs, initiate quality control, improve design concepts and capability, and upgrade
management skills and increase marketing and sales effectiveness. Many manufacturers have
also obtained or applied for ISO9000/9002 certification.

COMPANY PROFILE
NAME : THE WESTERN INDIA PLYWOODS
LIMITED
REGISTERED OFFICE : MILL ROAD.BALIAPATTAM.KANNUR,
PIN: 670 010
TELEPHONE : 0490-2778151
E-MAIL : westemply@gmail.com
mial@wipltd. in
WEBSITE : www.wipltd.org
BANKS : STATE BANK OF INDIA
DENA BANK
CANARA BANK
BANK OF INDIA
INDIAN OVERSEAS BANK
AUDITORS : M/S VARMA AND VARMA
(CHARTERED ACCOUNTANTS, COCHI)
REGISTRARS : M/S CAMEO CORPERATE SERVICES LTD

SUBHRAMANYA BUILDING, CHENNAI
LEGAL ADVISORS : MS.PUSITYA SITARAM
ADVOCATE, CHENNAI
The Western India Plywoods (WIP) Ltd is a widely held public limited company listed in
Cochin and Madras stock exchanges. Its capital is;
a) Equity share capital (8.49 crores)
b) Preference share capital (2.10crores)
The company is located at Valapattanam in Kannur, one of the upcoming industrial cities
in Kerala. The company was established in 1945 as a manufacturer of sawn limber ply wood
on a modest scale with a few indigenous and lend-lease machinery. Mr.A.K Kaderkutty the
Founder and the prompter of the company have been the guiding light of the firm.
The Western India Plywoods Ltd has two subsidiary companies. They are Kohinoor saw
mill Co Ltd and South Veneers Wood Works Ltd. The company is the largest manufacturer of
plywood and hard boards. The company is having continuous expansion and development in
making plywood of exceptional strength and variety to meet all kinds of demand for industry,
architecture, defense, railway, ship building, aircraft, etc.
The Western India Plywoods Ltd is India's largest wood processing complex
manufacturing, a highly dandified range of wood based panel products. In India, making of
plywood of exceptional strength and variety to meet all kinds of demands from industry,
defense, railway, ship building etc

The manufacture of plywood stepped-up steadily by adding new machinery mostly
imported .The company was diversified from tea chest and commercial plywood, block
borders, flush doors, shuttering and the marine plywood ,aircraft plywood, etc
Western India Plywood products to over 29 countries spread across 4000continents to
buyers associated with the company forever three decades. Western India Plywoods export is
mainly to the developed and quality conscious.
A hard plant with an installed capacity of 12.5 t was setup in the year 1956-60 with West
German technical collaboration. Like hardboard of Western India Plywoods Ltd, Kannur,
plywood product commands a premium in the market due to intrinsic quality that is
recognized by loyal customers. Besides the plywood and hardboard the company also
produce quality flash door, blackboard. Modem furniture items and a host of other product to
suit the and market needs.
3.1 GROWTH
WIP has 55 years of existence; WIP has been singularly responsible for the most
significant product innovations in the Indian plywood panel industry. The company with a
capital of 11.50 lakhs consisting of 9199 Equity shares of Rs.100 each and 2301 preference
share of Rs.100 each. The company made steady progress year after by addition share of new
machinery and also introducing modem technology. The company has 3 divisions, hardboard,
plywood and furniture with employee's strength of 1200. A hardboard plant with an installed
capacity of 12.5 tones was set unpin 1959-1960 with West German technical collaboration.
Today WIP's hardboard division is a market lair in hardboard with state of art
production lines Manufacturing 120 tones per day. From 1971 this company has been
exporting decorative plywood and veneers to U.S.A, Canada, Germany, France, Dubai and

other countries of Middle East. Since its inception, WIP has promoted and maintained the
motto of cent percent utilization of wood raw material. This has great significance today
when the scarcity of quality timber is keenly felt with the country and we are totally
dependent on impotents.
The manufacturing of plywood was stepped up steadily by addition of new
machinery, mostly imported. The company also diversified from tea chests and Commercial
plywood to Decorative plywood, block board, flush doors, shuttering and marine plywood ,
Aircraft plywood, etc. the company planned and executed the hardboard plant between the
years 1956 and 1958 with an installed capacity of 1205 tones of hardboard per day. The
company also installed its own synthetic resin unit in 1959 with a capacity of 200 tons per
annum, which gradually increased to 2400 tons per annum by 1975. Manufacture of
dandified wood was commenced on a small scale initially as part of the plywood plant. An
industrial license was obtained in 1974 for manufacture of dandified wood with a capacity of
2000 M.T per annum. Mainly by the electrical, textiles and chemical industry, railways etc. in
1974 a plant for manufacturer of furniture was added.
A reverse osmosis based desalination plant, the first in Kerala with the most modem
technology to purify brackish ground water and sea water, having a capacity of 300 cum per
days was successfully commissioned in the year 1996 thus overcoming the acute shortage of
water required for production during summer.
3.2 NATURE OF BUSINESS
WIP is the fourth biggest plywood factory in Asia The factory is situated in Kannur
district in Kerala state. WIP collects timber and firewood through import from Malaysia,
Africa, Burma, Russia etc. and local purchase. Thus it is being processed at the factory and

converts into various finished products such as different varieties of plywood, hardboard
furniture, wood etc. WIP exports 80% of total production to Germany, USA, Canada, Italy,
Australia, and Italy, Japan, Sweden, Middle East and Gulf countries regularly. The rest of
20% is being through retail outlets and Company's sales deports through the country WIP
Ltd., the largest integrated wood processing complex in the country, was incorporated in
1945immedeatly after second world war.
Thanks to the dynamism and vision of the founder Mr. A.K Kaderkutty, who is the
acknowledged doyen of the Indian working Industry? WIP grew over two a well integrated
wood processing unit with finally turned skills in the new product development and
manufacture. Through its 60 years of existence, WIP has been singularly responsible for the
most significant product innovation in the Indian plywood panel industry.
HARDBOARD plant with an installed capacity of 12.5 tones was set up in 1959-60
with German technical collaboration. Today WIP's hard board division is the market leader in
hardboard with state of the art production lines manufacturing over 120tones today. WIP's
hard board like its plywood products commands a premium in the market, due to its intrinsic
which is reorganized by loyal customers.
3.3 WIP'S LIST OF FIRSTS IN THE COUNTRY
 First to make irradiated wood.
 First to make aircraft plywood.
 First to make synthetic resin adhesive plywood using hot pressing techniques.
 First to make high pressure industrial laminates.

 First to make quality hardboard way in (1959-60).
 First to manufacturing Di Ally phthalate molding power.
 First to manufacture GI- plywood - GI sandwich panel chamber.
 First to make pre-finished plywood's and hardboard using UV cured surface finishing
techniques.
 First to get ISO9001 certification of hard board and prefinished boards.
 The company has earned special appreciation from leading industry• in the
automotive sector, footwear sector, ISRO BARC, Indian railways etc.
3.4 VISION
The Western India Plywood Ltd is committed to customer delight, through total
quality management and continuous improvement with the involvement (cooperation and
coordination) of all the employees. The vision of the company is present in the document and
it is displayed at important and prominent location across every department. The goals are
translated into action at all the levels of the organization by proper planning at each and every
department towards the achievement of the goals by the organization.
3.5 MISSION
"To build up the reputation of the company as satisfied its customers' needs and wants"

 To provided utmost satisfaction to the consumer through best quality and customer
care.
 To continually upgrade the product through innovation and convergence of new
technology and to produce the best quality product.
 To respect the dignify of all employees and together to become instrumental in the
development of the country while protecting environment.
 To utilizes the surpluses for the welfare of employees and the society at large.
3.6 QUALITY POLICY
The quality policy of Western India Plywoods Ltd is to manufacture products as per
national or international standard and make them available as per the customer's
requirements. Western India Plywoods endeavors to upgrade the quality of its products and
related services on a continual basis through regular improvement efforts. A well defined
quality management system has been implemented. This system is continually reviewed to
enhance its effectiveness and updated to make changing needs.
3.7 QUALITY OBJECTIVES
 Suitable equipments and machinery for control at all stages.
 Provision of adequate resources including raw materials and personnel to ensure
constant product quality.
 Well defined process and product characteristics to enable monitoring analysis and
continual improvement.

 Communication of requirement of products including customers' requirement,
statutory/regulatory requirements as per aspects of QMS including policy and
objective among all employees.
PRODUCT PROFILE
The major product for which the company has been the leaders in quality since 1945
is just because of its finest quality products produced as per international standards, the
products of the company are globally accepted. Over the last 50 years, through its close knit
co-ordination of various processing units, professional management and maximum utilisation
of facilities available, the company has made an indelible mark in the wood industry.

WIPWOOD:
Dandified wood used in the manufacturing of textile and jute mill accessories.
WIPLAM:
Dandified wood used in the manufacture of insulation components for transformers and
switchgears.
WIPCHEK:
Dandified d wood used in the manufacturing of high precision jig formatting tools in
aeronautical industry and shields in reactors.
WIPBEAR:
Dandified wood used in the manufacture of bearing and gears.
WIPCHEM:
Dandified wood used in the manufacture of electrical insulation components like studs, nuts,
cleats, and other segments.
WIPRESS:
Rigid and high purity dandified wood with excellent electrical and mechanical properties, for
use in the transformer industry.
WIPLAC:
Pre-finished plywood and hardboard, used in the manufacture of panel coiling and furniture.

ULTRACLICK:
Engineered wood flooring
COMPREG SLATS:
Used for railway coaches, paneling and as a building material.
DENSIFIEDMOULDED SEATYS:
Use for railway coaches, auditoriums and restaurant.
WESTINDIPLY:
Decorative finished and commercial finished BWR and BWP grade plywood manufactured
from selected species of timber, water proof quality used for boat building, concrete
shuttering, furniture, partitions, paneling, etc
HARD BOARDS:
Used extensively by automobile industries, fiber drum manufactures, shoe manufactures,
photo frame backing, clock manufactures, schools writing parts and also for partitions.
FURNITURE:
All types of furniture including desk chair, low chair both single seated and double seated,
higher back chair, executive sofa, writing tables, dining table, cupboard, side case rack, cloth
hanger, room cabinet, TV cabinets, dew an coat, club chair, utility tables, centre tables, side
tables, telephone tables, study tables, etc
AWARDS AND RECOGNITIONS OF WIP

 National Association for Application of Radio Isotopes and Radiation in Industry
Award 1984
 National Award Certificate of Merit, Government of India 1977-1998
 CAPEXIL certificate of merit for the year 1976-77, 1985-86, 2002-03, 2003-04,
2004-05, 2005-06, 2006-07, 2007-08 and 2008-09 (for best export performance of
chemical and allied products)
 CAPEXIL Special export award for the years 1975-76, 77-78, 82-84, 84-85, 85-86,
86-87, 87-88, 88-89, 89-90
 ISO 9002 certificate for the quality given by the SGS yearly international certification
LTD (UK)
CHART NO. 3.1: ORGANIZATION CHART OF WIP
GENERAL MANAGER
(ADMINISTRATION)
HB PFP PC PB STORE
(Source: Company records)

FUNCTIONAL DEPARTMENTS OF WIP
Following are the functional departments in Western India Plywood Ltd;
 Purchase department
 Production department
 Marketing department
 Sales department
 Finance department
 Human resource department
 Store department
 Research and development department

 PURCHASE DEPARTMENT
Western India Plywoods Ltd deals with a number of products. Thus it has to purchase
many goods. They include purchase of raw materials, spares, tools for furniture, nuts and
bolts, furnace oil lubricants etc. WIP generally makes 2 kinds of purchase.
They are;
1. Local purchase
2. Direct purchase
3. Purchase through banker
Company has broadly classified its purchase department into timber purchase department
and all or departments. Other department does the buying of all other items than wood i.e.
timber. It is involved in purchasing of consumer product, spares, oils, acids, chemicals and or
ancillary raw materials used for manufacturing its products.
Timber purchasing departments deals only with purchase of timber. Timbers are
purchased through bank or direct purchasing. An intend will be received from the stores
department about the items to be purchased. The production manager should sign it. Equity
should be made and following that the quotation will receive. Suitable quotations will be
selected and it will be sent to the production department mentioning the criteria of selection
After receiving the quotation the purchase department will make order with specified

conditions. If the goods are sending through bank, intimation will received from the bank that
the goods are ready for delivery. The money is paid as per the terms and conditions and the
goods are delivered. In the case of direct purchasing money is directly paid supplier and
goods are received.
WIP follow a certain procedure for purchase,
INTEND ORDER
On requirement of any goods, stores department issues an intend order to the purchase
department. Stating the quality, description and number of goods required within the
specified time limit. If the goods required are of urgency then are purchased directly from the
local market, otherwise the purchase manager approved by the General Manager Takes
decision regarding the kind of purchase.
QUOTATION
WIP has few registered vendors for the goods of less urgency the companies informs
their vendors and invite quotation standing their prices. The General Manager selects the best
alternative, consideration the price, quotation, of the etc.
SENT ORDER
The purchase executive sent order to the vendor with specific condition regarding the
product, terms of payment, type of packaging, transport etc.
GOODS RECEIVED NOTE

Goods sent by the vendors is directly taken to the stores department where the
managers verifies and sent a goods received note to the account department and one copy is
also sent to the purchase department. The purchase executives sign it and file it.
CHART NO. 3.2: STRUCTURE OF THE PURCHASE DEPARTMENT
MANAGING DIRECTOR

PURCHASE PROCEDURE
The purchase procedure adopted at WIP is as follows :
1. Purchase requisition or indenting of materials:
With the help of purchase requisition the purchase officer come to know the type of
materials needed in the organization. Purchase requisition is a written request sent to inform
the purchasing department of a need for material and surplus. Both the stores and store indent
which is duly signed by the store manager.
2. Purchasing enquiry:
Purchasing enquiry is sending in the prescribed enquiry from quoting the quality,
item, rate/unit etc. After checking whether the required specifications are met or not they
invite quotations.
4. Receiving quotations:

Quotations are invited from the suppliers usually the suppliers usually the purchase
addresses. The received quotation is send to respective sectors. After checking whether their
required specifications are not or not the quotations are accepted or rejected.
4. Purchase order:
Once quotations are accepted, the purchase department sends the purchase order. Purchase
order is the written request to supplier for specified goods at an agreed price. It stipulates
terms of delivery of payment.
5. Receiving materials:
When the goods ordered are delivered, the stores department will receive the material. Before
receiving the material a detailed inspection is sent to the product department which will be
signed by works manager.
 TIMBER DEPARTMENT
This is the department that deals with the purchase of timber and firewood. Timber is
required my for the production of plywood and furniture and fire wood for the production of
hardboard
Timber Purchase Department
• Timber purchase
• Fire wood purchase

• Veneer purchase
The timber and veneer are purchased from the local places as well as imported or will
be procured from the government sources. The company MD or the executive director visits
the places and makes the assignment for purchasing the materials. While purchasing, there
will be making a letter of the credit. If the goods are importing, then they may be delivered in
docks either in the Mangalore port or in Cochin port.
The fire woods are procured from the local places on contract basis. The company will
invite quotations from the interested parties and then favorable contracts will be accepted.
 PRODUCTION DEPARTMENT
WIP is a production oriented company. The company is producing a wide verity of
products of products to satisfy a large number of consumers. The company is having 5 plants
to produce 5 main products. Production involves conversation of raw material into finished
products/goods. It can be briefly explained as followers.
Input Conversion process Output
In the WIP, the raw material that are used to the output is steam wood, and chemicals.
After introducing these raw materials to a series of process the finished goods are obtained.
WIP produced three categories of products, namely, plywood hardboard and furniture. The
wood that is required for the production is acquired from boats local as well as international

markets. WIP imports wood from Malaysia, South America etc. in India wood obtained from
Kashmir, Mysore, Wayanad, Andaman, Iritty etc.
RAW MATERIALS
 Wood
 Steam
 Chemicals
Wood:
Two types of goods are used for the purpose of production They are commercial and
decorative.
For commercial purpose woods used are Calpine, Vellapine, Mango, Neeli, Pali and
Mullanpali.
For decorative purpose Rosewood, teak, Mahogany, Peed auk, Oale, Beach silver,
cassia, Duals, and Champaks are used.
Steam:
Steam is generated with the help of boilers. There are three types of boilers.
1. Saw dust boilers
2. Fire wood boiler
3. FBC boiler
Chemicals:

Chemicals include glues and molding powder, phenol, formaldehyde and area list.
PRODUCTION PROCESS OF WIP
The production process of WIP is as follows:
1. Log yard:
Log yard is a takes or resources where the timber logs for production and stored. The
stored timbers are manually or automatically collected using the left conveyor.
2. Cross cutting:
Cutting is done by large row machine. The timber is cut into length of normally three
feet to eight feet.
3. Boiling:
Timber is normally hardwood so in order to soften the timber log it is lolled in Tories
for a minimum of 24 bows @ 80-I60C stream lording is mainly done to make the cutting and
peeling of logs early.
4. Peeling:
This is an important process. Boiled logs is put in to peeling machines and peeled.
The peeled layer is rolled up on to rollers. These layers are called as veneers.
5. Clipper:

The rolled up veneer is passed through clipper machines and cut in to various sizes.
Cutting is done separate. The various types of veneers or with damage, thickness etc..
6. Drying:
The clipped veneers are wet to dry them. These veneers are passed through hot steam
driers. On the basis of thickness veneers are dying. Steam is passed at high degree celciuoce
and a veneer is passed through this hot steam.
7. Edging and joining:
The dried up veneer edges are always irregular. It is edged on all sites using machine
to make the size regular and then sides are glued. The glued veneers are placed together and
passed through a machine to joining together.
8. Gluing:
This is the process where the core veneer is glued uniformly and equal son both sides.
The glue roller machine is used for spreading of adhesive both side of the veneer are can be
glued at time.
9. Assembling
This is an important processing in plywood manufacturing minimum of 3 plywood is
required 2 face and 1 core. Face veneers is placed across for veneers grain according to
thickness of plywood required the size of veneer and number of cores also changes every
plywood consist of odd number of veneers for finding the thickness of veneers.

10. Hot pressing:
The assembled veneers are now ready for pressing. The operation is carried out in
layer hydraulic press. The packs of veneers are loaded in to the press either by hands or
automatic feeders. Platens-temperature, moisture content, pressure and time are rigidly
controlled to suit the particular batch being pressed. When steam is applied, glue melts to
hold the veneer together.
11. Conditioning:
Here the plywood panels are closely stacked and are treated with chemicals in order to
prevent decay.
12. Trimming
The pressed plywood panels may not be of proper dimension. Trimming and leveling
of plywood to proper dimension is done by panel seizer. A panel seizer consists of two
circular saws adjusted on a shaft. A rectangular steel frame travel on a two blades, the travel
being parallel to the plane of saws. Two different panel size machines are used to trim the
plywood.
13. Sanding
Here the plywood panels are made soft by the removal of surface imperfection and
giving a smooth finish.
14. Finishing:

Here, a final touch is given to the plywood to make it more attractive. There will be cracks,
splits or pores on the surface of the plywood after sanding. These are filled with the putty of
the same face veneer species and then the panel undergoes manual sanding.
15. Grading:
The plywood is graded according to the quality of panel wood species used,
preservatives, chemical properties etc
16. Inspection and testing:
The plywood is inspected and tested in order to make sure it is of pre-determined quality.
CHART NO. 3.3: WORK FLOW MODEL
Log cutting

CHART NO. 3.4: FLOW CHART OF HARD BOARD PRODUCTION
Hard board
 MARKETING DEPARTMENT
Marketing is the art of selling products. It is also defined as societal process by which
individual and group obtain what they need and want through creation, offering and freely
exchanging products and services of value with others.

Due to the high standard of quality maintained by the quality control department of
this company, the product of the company have found ready acceptance in markets boats in
India and abroad. The company has succeeded in arranging manufacturing programs on the
basis of firm orders, which are regularly for all type of products. The plywood manufactured
by the company is being regularly used for manufactures of T.V cabinets, bus bodies,
building construction, railways, furniture etc. The hard board is used for partition walls, false
ceiling, furniture industry etc. The dignified wood is being supplied to the electrical
industries in various forms and also to be textile and chemical industries in the form of filter
plated and as checkered boards for flooring in buses and railways coaches. The DAP and FRP
compounds are being used by the electronic and molding industries. The furniture
manufactured is being used by the electronic and molding industries. The furniture by the
company is being absorbed the market in drawing rooms, bedrooms, schools, office tact the
products of the company are being exported West Germany, France, U.S.A Sweden, West
Asia and South Asian countries regularly.
CHART NO. 3.5: HIERARCHY OF MARKETING DEPARTMENT
Marketing manager

MARKETING MIX:
Products
WIP produce a range of plywood to suit specific requirement in both industrial as well
as domestic sector of the market to support its philosophy of providing value added products,
only phenol bonded boiling water resistant plywood and other superior grades are
manufactured by WIP.
 BWR treated plywood conforming to IS:303
 BWP treated plywood conforming to IS:7I0
 Resin surfaced shutting plywood conforming to IS:4990
 Fire retardant plywood conforming to IS:5509
 Decorative plywood conforming to IS:B28
 Aircraft plywood conforming to IS:709
Pricing

Consequent to superior raw materials and additional processing corporative, the
manufacture of WIP panel is an expensive process. They are more expensive than product
offered by others and state of the art technology also adds to final products cost. However the
additional perceived value arising out of such investment is more than marginal cost addition
and hence customers are willing to retain loyal to WIP's product.
Place:
WIPs products are sold through exclusive retail outlets, which are either owned by the
company or commission agents representing the company. In some areas, established dealers
are appointed to increase availability and reach of the product. Company directly deals with
customers regarding high density industrial laminates.
Promotion:
Long term brand building is conducted through personnel selling and direct mail
marketing besides promotional visits by selling agents. In the company there is a separate
department for public relation the main promotional activities of WIP include conducting and
participating exhibitions, trade fair etc. They have more of a direct selling approach.
 PRODUCT STANDARDISATION:
The Western India Plywoods Ltd is an ISO 9001-2008 certified company the status
conforms that its customers can rely on continues high quality service. It also provided that
WIP is a company with strong customer satisfaction. The company is having two kinds of
standards.

1. Product standards
2. System standard
The company system standard is ISO: 9001-2008 and the products are having ISI
standards. WIPs BWR plywood is having IS: 303-1989 specification and its Western
hardboard is having IS: 1658 certification.
 DISTRIBUTION CHANNEL
Distribution channel is just like a pipe line through which water flows from a source
to final destination. Marketing channel make possible the flow of goods from a producer
through intermediaries to a buyer.
1. Zero level channel:
In which the company sends catalogues, price list, data regarding major certification
etc to the potential customers. In direct marketing company gives a cash discount of 5% -
10%
2. One level channel:
Company sales department customers
Company agents' customers
 MARKET SEGMENTATION AND PRODUCT POSITIONING
Market segmentation:
The Western India Plywoods LTD is well established organization, manufacturing
high quality goods. Company believes in quality. In order to ensure the quality each batch of

the products will undergo quality tests. Company has an efficient marketing strategy. The
prices of WIP's products are comparatively high, but of high quality. The company is targeted
at the high income level groups, other industrial buyers and export market. WIP is marketing
more than 300 products.
The market has been segmented as;
1. Domestic market
2. Industrial market
3. Export market
APPLICATION BASED SEGMENTATION
• Building construction industry
• Interior designing
• Board building industry
• Automotive application products
 EXPORT MARKET
The WIP exports their products to the following countries:
• Germany
• Sri Lanka
• U.A.E

• U.S.A
• Kuwait
• Oman
• Bahrain
• Israel
• Malaysia
• South Africa
• Saudi Arabia
 SALES PROMOTION
The term sales promotion cannot be taken to mean what it commonly does. Sales
promotion is a part of promotional mix. Basically, promotion is an "exercise in information
persuasion and influence". Thus promotional means the overall co-ordination of advertising,
selling public relations. Promotion is a helpful function designed to make all the other
marketing activities more efficient.
The WIP follows the measures for sales promotion they are,
• Personal visit
• Direct mailing campaign
• Exhibitions
Product branding and loyalty:

The WIP LTD is reputed public company in producing wood based products. The
company is trying to utilize, this goodwill in marketing their products. They are not trying to
sell their products using brand loyalty. WIP has given the name WESTIND for their plywood
products, furniture and decorative flooring. The company's hard board is branded as
WESTON, the dandified wood and pre finished boards are individually branded. Most of the
customers are showing brand loyalty as the company is having up to mark quality in all of
their products.
 SALES DEPARTMENT
Sales department is one of the departments in any company. Sales volume is one of
the most important variable effecting profits. They finished goods after inspection are send to
sales department. They have their own value where all the WIP Ltd. Product displayed and
sold.
The WIP Ltd. Provide both cash well as credit sales. The credit period allowed is
usually 30 days. The sales deport t is run both by the company as well as by some external
agencies. There were more than 40 depots in India of which in Kerala. Each department is
handled and controlled by deport manager.
Western India Plywood's sales its products through;
 Direct sales
 Company owned depots

 Agency service
Direct sales means company receives the order from the customer and supplies the goods
directly from the company. Usually the customers are not allowed credit.
Company owned depots are managed by the company. Company receives the orders
through the depots and supplies the goods through it. Company has 42 sales depots
throughout the country.
Agency sales mean company has authorized agency depots and these agencies receive
orders from the customers and company supplies goods through depots to the agencies.
Agencies are given commission at a certain percentage. The agency should periodically
made a report about the sales and submit it to the company.
Each year company will make a sales target and using as well as the sales using makes
and takes necessary steps to achieve the target. A sales day book is prepared by the
department to know about the sales per day.
 TYPES OF SALES
1. Industrial sale
2. Export
3. Local or domestic sales
Main customers of the company are Indian Railway, HMT, KSRTC, shipyard, Maruthi,
Toyota, etc. Products are mainly exported to countries like USA, Netherlands, Srilanka,

Japan, Canada, France etc. Domestic buyers are mainly carpenters, furniture companies and
local people for their domestic use.
 METHODS OF SALES
Depot system
WIP Ltd. Uses depot systems in distribution, showing its wide range of market potentially
each depot is headed and controlled by deport manager and one or two assistance assist him.
Direct sales
The company sells directly to the consumers. The major way of direct marketing is E-mail,
post and leadership.
MAJOR SUPPLIER AND CUSTOMERS OF WIP
Major suppliers
1. Rajesh &Co. Bombay
2. Hindustan organic chemical Ltd. Cochin
3. Indian oil corporation Ltd.
4. Renaissance Enterprises of India, Calcutta
5. Voltas Ltd.
6. Acd Ltd.

7. Menta & co. Bombay
8. Godrej & Boyce Mfg. Co. Ltd.
9. Surds Defibrator GB Sweden
10. Premium Diesel spoil S.RO prague.
11. Spectrum AN Sweden.
Major customer
1. Indian railway
2. Defence supply
3. Maruthi udyog Ltd.
4. BEML
5. BHEL
6. Hanil tear India(p) Ltd
7. Ajantha Transfer Clock Mfg. Morbi.
8. Major industries, Gorgon
9. Edward Halton AB Sweden
10. Aqua Reality, Netherland

11. Enterpriser Srilanka
12. Pacific Building material EST, Sharjah
13. Shiplap International, Bangalore
14. PT Kedera AR Indonesia, jakarta
 DEALERSHIP SYSTEM
Approved stockiest or dealers purchases the goods and sell in the retail market. Even
through timber world is facing crisis, the WIP is able to wish stand by marketing variety of
products like plywood items (fire resistant, marine wood, dandified wood, DAP, Hard board,
Furniture) the main sales promotion method used by WIP is direct contract. The WIP has
many dealers throughout India. WIP also conduct exhibitions of product is maintained by
laboratory testing. Every batch of product will go to testing for identifying glue failure And
other defects. Even through the timber world is facing scarcity, the WIP withstand within
decorative board wood. The WIP has achieved ISI certification for their products. The regular
customers of WIP Aare Indian Railway, Toyota, Hyundai, fiber Drum Manufacturers, Shoe
heals, HMT, KSRTC, Shipyard etc. jolly board is the only competitor in hardboard. So
hardboard manufacturing is mainly profitable on WIP in Hardboard. Products are mainly
exported to the countries like USA, Netherlands, France, Sri Lanka, Japan and Canada.

 FINANCE DEPARTMENT
The Western India Plywood Ltd has l3crores paid up capital of which 8.49 crores are
equity shares and the remaining are preference shares. The WIP LTD follows the double entry
system of accounting. Various accounts prepared by them to keep their transactions. The
following are the main books kept by the company.
The Finance Department is the heart of any company. The general Manager of finance
heads this department. The responsibility for maintaining the accounts and exercising
financial control is vested with all or departments since all the payments and collections are
made through here. This department follows a written form of communication. All
departments and teleported to the financial department.
1. Bank payment
2. Bank receipt
3. Cash payment
4. Cash receipt
5. Cash analysis book
 FINANCIAL POLICIES
• Financial statements are prepared under Historical Cost conversion and on actual
basis.
• Depreciation is provided for at the rates prescribed in schedule XIV to the
companies Act 1956 as under.

• Fixed assets are stated at cost, less depreciation.
 LEDGERS MAINTAINED:
Following are the ledgers maintained by the company
1. Main ledger
2. Debtors ledger
3. Creditors ledger
4. Personnel ledger
CHART NO. 3.6: STRUCTURE OF THE FINANCE DEPARTMENT
Managing Director

 CAPITAL STRUCTURE
The capital structure of Western India Plywoods Ltd was made up of equity shares and
preference shares having value of Rs.100 each. They issue only redeemable preference
shares. They also issue bonus shares at the time of high profit. Their shares are registered in
the Madras stock exchange.
 LOANS
The WIP LTD has the following loans, for financing long term requirements of trade.
 Secured loans
 Term loans
 Foreign loans overdraft
 Long term loans
 FOREIGN CURRENCY TRANSACTION
Foreign currency liability outstanding as at the balance sheet date are translated to
exchange rate prevailing on the date and loss or gain arising out of the said transactions

relating to acquisition of fixed asset is adjusted to the cost of relative assets and others are
changed to the P & L a/c.
 REVENUE RECOGNITION
Revenue from sale has been recognized on raising of sales invoice on respective
parties and is inclusive of excise du' but exclusive of sales.
 TRANSFER TO RESERVE
An amount of Rs.151akhs has been transferred to general reserve.
 SOURCES OF FUND
The main sources of funds are,
INTERNAL SOURCES
The main internal sources of fund of WIP are income generated from sales. Reserves are the
sources of fund other than income from sales. Current losses are adjusted by these reserves.
EXTERNAL SOURCES
The main external source of fund is term loans from bank and financial institutions
like SBI, Canara Bank, Punjab National Bank. IFCI etc.
Share Capital

WIP is a widely help public Limited Company. Recently company issue authorizes share 13,
00, 00,000 from which 8, 48, 00,000 are subscribed capital. Company also adopt right issues
(during crises premium is given to shares), bonus shares (when company is undercapitalized)
company issues preference shares to ICICI, HDFC like financial institutions. These
preference shares are redeemed. Equity share capital is major source of finance followed by
the company. Previous year 24% dividend to the share holders because of the lack of
operating profit.
 BANKERS
The WIP has mainly 7 Bankers
1. SBT (State Bank of Travancore)
2. SBI(State Bank of India)
3. UBI(Urban Bank of India)
4. IB (Indian Bank)
5. SYB(Syndicate Bank)
6. CB(Canara Bank)
7. IOB(Indian Overseas Bank)

 HUMAN RESOURCE DEPARTMENT
Human resource is the most valuable resource in any organization because it can
function only through people. The success of an organization depends upon the ability of it's
human resources. Organization achieves competitive advantage by using its people
effectively and utilizing their expertise to meet clearly defined objectives.
Western India Plywood LTD is a forward looking organization committed to identify,
develop and sustain its human resources and help them to achieve the individual as well as
the organizational goals. Objective toward this, WIP accept basically that of far equitable, and
performance oriented policy with respect to its human resources.

An organization is a human grouping in which work is done for the accomplishment
of specific goal or mission. The goal of a manufacturing concern might be to produce and
supply the goods and services to satisfy the demand of market.
WIP LTD aims at producing plywood, hardboard, and furniture to meet the demands
of both and international market. WIP is having the best governed Human Resource
Department. Managing director is the head of the department followed by the factory
executive who deals with all the matters in the personnel department. He is assisted by the
officer and welfare officer
 JOB ANALYSIS
This is the process determining, by observation and study and reporting pertinent
information relating to the nature of a specific job. It is the determination of the task which
relating to nature of a specific job. Is the determination of the task which comprise the job of
the skills, knowledge, and the responsibilities required of the workers for a successful
performance and which differentiates one job from all others.
 JOB SUMMARY
 Monitoring the works of timekeepers.
 Processing of joining and separation of employees.
 Process contracts and reemployment.
 Processing of disciplinary action.
 JOB ACTIVITIES

 Supervise and coordinate the daily work of timekeepers.
 Monitor and control the attendance recording to eliminate chance of proxy.
 Verify documentation of leave of absence. Overtime given, weekly off, compensatory
off etc., verification as to conforming to norms laid down.
 Monitor the preparation of wage or salary statements for each month, ensuring
incorporation of allowed education in respect of each employee.
 Advice intimation personnel retiring for services and process the papers connected
with the separation and payments of benefits associated with the same .
 Prepare appointment orders for fresh recruitment and the process the joining papers,
including issue of identity cards and arranging for enrollment under PF, ESI etc.
 JOB RESPONSIBILITY
 Ensure Recording and documentation of attendance of employees at all levels. Ensure
maintenance of leave records, overtime records, weekly off, compensatory off records
etc.
 Ensure monthly salary wages statements in time.
 Issue of appointment orders, conformation orders, separation orders etc. for all
categories of employees.
 Ensure the disciplinary proceedings are followed up till the time of categories of
employees.

 Ensure the disciplinary proceedings are followed up till time of punishment
orders.
 JOB ENVIRONMENT
 Reporting to factory executive of personnel function, however keep rapport and
liaison with section in charges in functional areas.
 Current informal ways of working practice of working on oral instructions and getting
such actions ratified in due course.
CHART NO. 3.7: STRUCTURE OF HUMAN RESOURCE DEPARTMENT
Managing director

 RECRUITMENT AND SELECTION
In Western India Plywood Ltd both internal and external sources of recruitment is used.
Whenever any vacancy occurs somebody from within the organization is upgraded, promoted
or sometimes demoted. Most eligible candidates are selected for work. Thus the company
mostly adopt internal source of recruitment.
 TRAINING
Training is the act of increasing the knowledge and skill of an employee. The company
follows on the job training methods. WIP give one _year training to its employees.
 PERFORMANCE APPRAISAL
Performance appraisal is the process of evaluating the employees performance on a particular
job. In WIP rating methods are used for appraisal of employees performance. Employees are
assessed by their section managers and then reviewed by GM or work manager.
 SAFETY MEASURES
To maintain the health and safety of employees the company provide the following safety
measures.
 Prevention of dust pollution at source.
 Providing walkways for movement of personnel.
 Effluent treatment.

 Mechanized material handling.
 Provision for personal equipment at appropriate areas.
 Covering, moving or rotating parts with protective covers.
 Sufficient light.
 First aid, medical attention, ambulance services.
 Sign boards.
 Celebration of safety day on March 4.
 Good housekeeping.
 WELFARE MEASURES
WIP LTD provides following welfare measures to the employees.
 Employee provident fund(EPF)
 Employees state insurance scheme
 Canteen facility
 RETIREMENT
Any workman who is declared mentally unfit or found to be a continued ill health or
reach the age of 58 shall be retired from the service according to gratuity Act.

 WAGES AND SALARY ADMINISTRATION
In the company managers analyze and interpret the needs of the employees, so that
reward can be individually designed to satisfy their needs. Here the workers are paid the
wages and the staff officers, managers, etc are paid salary.
The wages/salary system which WIP follows is time rare system. Under this system
workers are paid according to the work done during a certain period of time. He is paid at the
settled rate as soon as the time contracted for he spends. The basic purpose of salary
administration is to establish and maintain an equitable wage and salary structure.
 TRADE UNIONS
Trade Unions are an inevitable part of a modem industry set up. Trade on influence
industrial democracy, morale, productivity. There are four union influence industry'
democracy, morale, and productivity.
There are 4 trade unions at WIP LTD. They are;
 CITU (Affiliated to CPIM)
 INTUC (Affiliated to CONGRESS)
 AITUC (Affiliated to CPI)
 STU (Affiliated to MUSLIM LEAGUE)

 STORE DEPARTMENT
The store department is responsible for stocking all necessary tools, spares, raw
material and equipment required for manufacturing. Material ordered is delivered at the store
house by the supplier. The stock keeper keeps these materials in a particular place and
intimates the inspection department. The inspection department certifies that the materials are
in accordance with the purchase order. After the inspection, they prepare an inspection note.
The inspection note contains the information regarding the quantity inspected, quantity
accepted, quantity rejected and reason for rejection if any.
In WIP intents are signed by work manager and store keeper. One copy will be send to
the purchase department, good rejection note, after receiving goods in to store which send to
sample or quality test in to particular department inspect them. Less quality goods rejected
and prepare GRN by store keeper and send to the purchase section signed by work manager

and General Manager. The WIP store is well arranged to get the ISO 9002 certificate in 1996.
The stores are inspected in 6 month by ISO qualified team
CHART NO. 3.8: STRUCTURE OF STORE DEPARTMENT
General Manager
 RESEARCH AND DEVELOPMENT DEPARTMENT
The Western India Plywood Ltd has a very eminent R & D department. It is an in
house research and development. It is mainly with the treatment of wood. It is approved by
the department of science and technology of Government of India. The approval is for two
years and the company has to renew it time by time. For getting approval, the company has to
submit the plan for the next two years along with the result of It two years performance.
A pan bit irradiator was set up in the R & D department with the cooperation and
assistance of Bale Research centre, Mumbai, the only one of its kind in the industry in India,
Employee nuclear energy for peaceful purpose. One of the not worthy features of this
development is the employment of both thermoplastic and thermosetting system for the up

gradation of secondary pieces and achievement for the first time in the world. The process
further utilizes one of the residues that did not find earlier and end use.
The company has diversified its activities into the manufacture of Resorcinol based
glues, daily phthalate and sheet moldings compounds, a raw material used in the electronic
compound industry were a result of WIPs indigenous R & D effort. The R & D effort helped
India to become the third country' in the world (others USA and Japan) to produce the special
item. The DAP molding compound is an import substitution and improved formulation and
the in house technology enabled the material to complete favorably with imported material.
WIP had conducted conversion of non-durable species of timber like Cheru ,Bunati
etc. into stable and durable wood polymer composites by radiation with gamma rays with the
active assistance of Bhaba Atomic Research Center, Trombay. It is one of the greatest
achievements of WIP's R&D Department. But recently it is not followed by WIP. WIP's R&D
Scientists have developed weather proof, marine and fire retardant grades of Hardboard.
A Ultra violet durable coating: one of the key technologies employed in WIP's
product WIPLAC, ULTRAKLICK, and WIPGLOSS etc. this fields has engaged attention
WIP's scientists. Development of new formulation that have improved toughness and
scratch/abrasion resistance, applications of micronized and nano fillers for improving the
performance studies on various monomers/oligomers etc. like key area of current interests.
Water borne polyurethane (PU) dispersion based coatings are increasingly becoming popular
for finishing wood furniture as well as flooring, due to the unmatched performance and
environmental friendliness that techno logy offers. Developing a range of high performance
and cost effective PU coating is progressing.

A Besides the above, a number of polymer/composites/PIN problems are being
investigated which includes polymer dispersion for water resistance water borne coatings,
improved PF resins, wood polymer composites and PIN's. WIP is committed to cent percent
utilization of wood. The utilization of wood waste generated during the manufacturing
process, a step towards achieving safe disposal of wood waste has lead to the development of
the process vermin composting. The product of vermin-compost produced from chip wash
residue, a lignocelluloses, waste from the fiber board unit, by the action of earth worms after
mixing of castings of earthworms containing aerobically composited organic matters.
TABLE NO. 4.1
DEPARTMENT WISE EMPLOYEE STRENGTHS
SL NO PARTICULARS NO OF RESPONDENT PERCENTAGE
1 Production 38 63.3
2 Office 10 16.7
3 Marketing 12 20.0
Total 60 100
( Source : Company Officials )
CHART NO. 4.1

NO OF RESPONDENT
INTERPRETATIONS
The above chart we can be observed that, the majority (63.3 percentage) of the
respondents working in the production department. Another group (20 percentage) of
the respondents are working in the marketing section. The majority (16.7 percentage)
are working in the office section. So we can estimate that majority of the workers are
working in the production department
TABLE 4.2
ARE YOU SATISFIED WITH THE MEDICAL BENEFIT PROVIDED BY THE
ORGANISATION
1 Highly satisfied 40 66.6

2 Satisfied 15 25
3 Dissatisfied 5 8.4
Total 60 100
CHART 4.2

NO OF RESPONDENT
INTERPRETATIONS
From the above chart it is clear that , the majority (66.6) of the respondents claim that
they are highly satisfied with the medical benefits provided. Another group (25
percentage) of the respondents are just satisfied with the medical benefits and a
minority (8.4 percentage ) of respondents are dissatisfied. So it can make out that the
company is doing good job with regard to medical benefits.
TABLE 4.3
GENDER COMPARISON OF EMPLOYEES
PARTICULARS PERCENTAGE
Male 70%
Female 30%
Total 100
CHART 4.3

PERCENTAGE
INTERPRETATIONS
From the above graph 70% employees are male . 30 % employees are female
TABLE 4.4
ARE YOU SATISFIED WITH YOUR SECURITY
1 Highly satisfied 34 56..7

2 Satisfied 20 33.3
3 No opinion 6 10
4 Dissatisfied 0 0
5 Highly dissatisfied 0 0
Total 60 100
CHART 4.4

NO OF RESPONDENT
INTERPRETATIONS
From the above chart it is clear that, security system of the company. It can be observed
that, the majority of the workers (56.7 percentage) are highly satisfied with security
system. Other group of workers (33.3 percentage) are satisfied and minority (10
percentage) of the workers have no opinion about the security system
TABLE 4.5
WIP’S PRODUCT EXPORTING COUNTRIES
Malaysia 33%
Srilanka 20%
Gulf Countries 25%
European Countries 15%
Others 7%
Total 100

CHART 4.5
PERCENTAGE
INTERPRETATIONS
From the above diagram it is assumed that WIP’s products are expected to different
countries that is 33% of products are exported to Malaysia, 20% products to Srilanka,
25% to Gulf Countries, 15% to European Countries and 7% of product are exported to
other countries
TABLE 4.6
SHARE HOLDING PATTERN
Public 45.28 %
Promoters 41.43 %
Financial Institutions 12.14 %
Bodies Corporate 1.15 %
Total 100 %

CHART 4.6
Bodies Corporate; 1.15%; 1.15%

Financial Institutions; 12.14%; 12.14%
Public
Public; 45.28%; 45.28% Promoters
Financial Institutions
Bodies Corporate
Promoters; 41.43%; 41.43%
INTERPRETATIONS
From the above figure we can understand that shares are mainly holded by the
generalpublic that is 45% . 42% of the shares are held by the promoters. 12% are
handled by the financial institution and 1% by the body corporate.
TABLE 4.7
WIP’s IMPORTED RAW MATERIALS
Wood 60%
Chemicals 10 %
Gum 20%
Others 10%
Total 100 %

CHART 4.7
PERCENTAGE
INTERPRETATIONS
From the above diagram we can assume that the main raw material imported is wood
and it is of 60%. 10% of chemicals are imported, 20% of raw materials is gum and
10% is for other raw materials which simplifies production.
TABLE 4.8
REVENUE DISTRIBUTION
Materials Consumption 43%
Employee Benefits 17%
Finance Charges 4%
Depreciation 2%
Profit 4%

Other Expense 30%
Total 100%
CHART 4.8
Other Expense; 30%; 30.00%

Materials Consumption; 43%; 43.00%
Profit; 4%; 4.00%
Depreciation; 2%; 2.00%
Finance Charges; 4%; 4.00%
Employee Benefits; 17%; 17.00%
Materials Consumption Employee Benefits Finance Charges

Depreciation Profit Other Expense
INTERPRETATIONS
From the above diagram we can assume that 43% of revenue is distributed for material
consumption, 17% for employee benefits, 4% for financial charges, 2% is distributed as
depreciation, 4% as profits and the remaining 30% is distributed as other expense.
 SWOT ANALYSIS OF WESTERN INDIA PLYWOODS (WIP) LIMITED
Identification of the threat and opportunities in the environment and the strength and
weakness of the firm is the corner stone of business policy formulation. It is the factors which
determine the course or courses of action to ensure the survival and growth of the firm.
STRENGTHS

The company is using highly sophisticated machineries, quality assurance, innovative
solutions for making customer requirements by wide range of products and confidence of
meeting challenges faced by the industry.
 WIP Ltd is the largest plywood manufacturing company in South East Asia.
 The company is claimed to be quality- manufacture of plywood hard board, block
board, etc
 Installation and licensed capacities is very high. So that it can increase its production
if need.
 The company has a well established R & D unit, one of the best in the wood based
industry.
 The products of WIP are certified by ISO.
 Operational experience of 65 years with dedicated work force.
 The company is having the largest dealer network in India for plywood and hard
board sales.
WEAKNESSES:
 Promotional activities are not sufficient to boost up the sales, the sales promotion of
competitors are better than that of WIP. The company concentrates only on industrial
market.
 High price for the products compared to their competitors.
 Limited market penetration.

 Lack of modernization in the firm and in functional departments.
OPPORTUNITIES:
 Improvement in market penetration.
 The company can increase the production to meet the demand of the customer .
 The importance of CSR programmers should be considered for attracting the
company in the global perspective.
 The goodwill and reputation can be used for further diversification.
 Various modification and technological up gradation projects can be carried out.
 Factory buildings and administrative blocks can be modernized because the company
is having well structured building premises.
 Expansion of production capacity.
 Scope of innovation and R & D.
THREATS:
 Environmental threats are having a major problem in the company.
 Each and every company facing threats in the market because the customer
requirements are changing day by day.
 Through major competitors are medium and small scale plywood industries, imported
items are available at a cheap cost.

 High power tariff and increasing cost of furnace oil and other petroleum products and
chemicals.
 Lack of brand image.
 Cheap import rate.
5 .1 FINDINGS OF THE STUDY
The following are some of the major findings of the study:
 Western India Plywoods Ltd. Kannur, is the largest plywood manufacturing company
in south-east Asia
 WIP is the market leader in hardboard and plywood manufacturing.
 WIP has only one furniture showroom which is the factory itself.
 Employees are having high morale therefore less absenteeism found in the company.
 WIP has a clear internal auditing system.
 Effective R & D department units in the company
 WIP has well established distribution network.
 The main objective of the company is to ensure the quality of the products.
 0% wastage is the main specialty of WIP Ltd.
 Promotional expenses are very less because of the minor contribution towards
advertisement and other sales boost.

 The company gets 25% of the profit from exporting
 Skilled and experienced employees are present in company and they are well trained.
 Recruitment of freshers are lacking.
 Promotional expense is very less.
5.2 RECOMMENDATIONS
 More efforts should be taken on sales promotional activities.
 The company should focus on diversification activities.
 The company can establish their own showroom outlet.
 Currently the recreation club and the activities are only meant for the administrative
staffs. Rather than this, such activities should be made available for the workers also.
 The company may introduce more measures such as fencing of machineries which
will protect the workers from accidents.
 It is desirable to launch an advertising campaign to attract more customers.

 The company may prepare budgets for each activity which will provide it a better
control and co-ordination mechanism.
 Provide safety equipment’s to all workers working in the factory.
 Fix target to each workers for high production, which helps to eliminate unwanted
communication.
 The company can intake freshers for their workforce .
5.3 CONCLUSION
Western India Plywood Ltd is the South Asia's largest integrated wood processing
industry. The company achieved 100% utilization of raw materials due to its integrated
production system. The company does not aim at competing with the local manufactures but

wants a main player in the plywood exporter. Zero percentage wastage is the main specialty
of WIP Ltd.
Now the company is producing more quality is hardboards than plywood, because of
the development of technology. Presently the company is operating in loss-the major cause
being globalization. Another reason is the pricing policy of the company. The price level of
the products is higher as compare that of other companies manufacturing similar products.
The company should try' creating brand awareness in the local market by advertising in
Medial and concluding exclusive exhibitions etc.
The core competencies of the organization are Professional management, Effective
leadership, Cordial relationship between employees and top level management. The company
has well established network in industry with sound manufacturing and marketing experience
Right from the inception till today, the vision and professionalization of the founder of
WIP, Mr.A.K. Kaderkutty catapulted the Western India Plywoods Ltd as a premier wood
working industry setting new trends, defining quality in wood based industry and achieving
perfection in manufacture. WIP enjoys the confidence and support of its dedicated
employees. This is the reason that makes WIP Ltd South Asia's largest integrated wood
processing industry.
BIBLIOGRAPHY
Books:

K. Aswathappa(1999), "Human resource management", 3rdedition, Himalaya publishing
House, Mumbai
Kotler Philip &Gray Armstrong(2006), "Marketing Management", 11th edition, Pearson
Education
ChandraPrasanna (2009), "Finance Management", 5th edition, TATA McGraw Hill
Journals:
 Company's annual reports
 Company journals
 Magazines
 Quality Manual
Websites:
 www.Wipiltd.in
 www.fippi.Org
 www.method123.com

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AN ORGANIZATIONAL STUDY REPORT ON WESTERN INDIA PLYWOODS LTD

resources are combined and co-ordinated so as to effectively achieve organizational goals.

The organizational study conducted at THE WESTERN INDIA PLYWOODS LTD is

to study the organizational structure, various departments of the organization, communication

understand the above mentioned in a real organizational scenario.

1.1 STATEMENT OF THE RESERCH PROBLEM

beyond expectations. Today, it is important in livelihood. So the study of the organizational

importance of organizational in industry. I wanted to do an in depth study about this subject.

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 1

1.2 SIGNIFICANCE OR SCOPE OF THE STUDY

1.3 OBJECTIVES OF THE STUDY

1. To study the departmental aspects and activities of the organization.

2. To prepare a SWOT analysis of the organization.

3. To understand how key business process are carried out in organization.

4. To acquire knowledge about the functional as well as managerial aspects of the

company in today’s business field.

5. To recommend suitable suggestions based on the findings made.

1.4 SOURCES OF DATA

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 2

2. From the Office staff.

3. From the workers.

published sources. They include:

 Magazines & brochures

1.5 PERIOD OF STUDY

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 3

1.6 LIMITATIONS OF THE STUDY

and divided mainly into following chapters:

Chapter II Profile of the Industry

Chapter III Profile of the Organization of Study

Chapter IV Data Analysis And Interpretation

Chapter V Findings, Recommendations and Conclusion

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 4

to fly in the air.

occurred repeatedly throughout history.

own against cheap imports from China.

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 5

building products for decades. One of the earliest applications of mass-produced

2.1 GROWTH AND DEVELOPMENT OF INDIAN PLYWOOD INDUSTRY

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 6

resistance of boxes to withstand transport. To overcome these complaints Indian association

from plywood could be used packing tea

established in Germany in the middle of 19th century. Nowadays a rapid development is

taking place in this field.

2.2 PLYWOOD INDUSTRY IN INDIA

the plywood sector was booming since 1947.

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 7

2.3 HISTORY OF WOOD BASED INDUSTRY IN KERALA

phenomenal it was found that plywood made from Indian.

up modern factories In Selapur, Bangalore,Baliapattaam, Dadeli etc. Some of them suffered

thoughtful action of the Govt. encouraged the Indian.

to known on the world in the quality and diversity of its product.

undertaking or substantial expansions would require industrial license.In Kerala these

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 8

especially by the production of synthetic resin adhesive.

2.4 PROBLEMS REGARDING THE INDUSTRY

stiff competition from the metal and plastic making industry.

Competition is keen in the furniture industry. Furniture manufacturers and exporters

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 9

international standards such as compliance with legal or other environmental requirements in

To stay globally competitive, several global furniture manufactures strive to reduce

also obtained or applied for ISO9000/9002 certification.

INSTITUTE OF TECHNOLOGY MAYYIL, MBA 2016- 2018 Page | 10

NAME : THE WESTERN INDIA PLYWOODS