INTRODUCTION Information is an asset that provides benefit and competitive advantage to any organization.

Today, every corporation has a relational database management system that is used for organizations daily operations. The companys desire to increase the value of their organizational data by turning it into actionable information. As the amount of the organizational data increases, it becomes harder to access and get the most information out of it, because it is in different formats, exits on different platforms and resides on different structures. Organizations have to write and maintain several programs. This process would be costly, inefficient and time consuming for an organization.

A data warehouse (DW) is a database used for reporting. The data is uploaded from the operational systems for reporting. The data may pass through an operational data store for additional operations before it is used in the DW for reporting. A data warehouse maintains its functions in three layers: staging, integration, and access. Staging is used to store raw data for use by developers (analysis and support). The integration layer is used to integrate data and to have a level of abstraction from users. The access layer is for getting data out for users. This definition of the data warehouse focuses on data storage. The main source of the data is cleaned, transformed, catalogued and made available for use by managers and other business professionals for data mining, online analytical processing, market research and decision support (Marakas & OBrien 2009). However, the means to retrieve and analyze data, to extract, transform and load data, and to manage the data dictionary are also considered essential components of a data warehousing system. Many references to data warehousing use this broader context. Thus, an expanded definition for data warehousing includes business intelligence tools, tools to extract, transform and load data into the repository, and tools to manage and retrieve metadata.
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The concept of data warehousing dates back to the late 1980s [1] when IBM researchers Barry Devlin and Paul Murphy developed the "business data warehouse". In essence, the data warehousing concept was intended to provide an architectural model for the flow of data from operational systems to decision support environments. The concept attempted to address the various problems associated with this flow, mainly the high costs associated with it. In the absence of a data warehousing architecture, an enormous amount of redundancy was required to support multiple decision support environments. In larger corporations it was typical for multiple decision support environments to operate independently. Though each environment served different users, they often required much of the same stored data. The process of gathering, cleaning and integrating data from various sources, usually from long-term existing operational systems (usually referred to as legacy systems), was typically in part replicated for each environment. Moreover, the operational systems were frequently reexamined as new decision support requirements emerged. Often new requirements necessitated gathering, cleaning and integrating new data from "data marts" that were tailored for ready access by users. Key developments in early years of data warehousing were: 1960s General Mills and Dartmouth College, in a joint research project, develop the terms dimensions and facts.[2] 1970s ACNielsen and IRI provide dimensional data marts for retail sales.[2] 1970s Bill Inmon begins to define and discuss the term: Data Warehouse 1975 Sperry Univac Introduce MAPPER (Maintain, Prepare, and Produce Executive Reports) is a database management and reporting system that includes the world's first 4GL. It was the first platform specifically designed for building Information Centers (a forerunner of contemporary Enterprise Data Warehousing platforms) 1983 Teradata introduces a database management system specifically designed for decision support. 1983 Sperry Corporation Martyn Richard Jones defines the Sperry Information Center approach, which whilst not being a true DW in the Inmon sense, did contain many of the characteristics of DW structures and process as defined previously by Inmon, and later by Devlin. First used at the TSB England & Wales
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1988 Barry Devlin and Paul Murphy publish the article An architecture for a business and information systems in IBM Systems Journal where they introduce the term "business data warehouse". 1990 Daniel Linstedt begins work on Developing the Data Vault model and methodology for data warehouses 1990 Red Brick Systems introduces Red Brick Warehouse, a database management system specifically for data warehousing. 1991 Prism Solutions introduces Prism Warehouse Manager, software for developing a data warehouse. 1991 Bill Inmon publishes the book Building the Data Warehouse. 1995 The Data Warehousing Institute, a for-profit organization that promotes data warehousing, is founded. 1995 Daniel Linstedt adds SEI/CMMI and Six Sigma to the Data Vault Methodology to manage projects in data warehousing. 1996 Ralph Kimball publishes the book The Data Warehouse Toolkit. 2000 Daniel Linstedt releases the Data Vault, enabling real time auditable Data Warehousing. Data warehousing provides an excellent approach in transforming operational data into useful and reliable information to support the decision making process and also provides the basis for data analysis techniques like data mining and multidimensional analysis. Data warehousing process contains extraction of data from heterogeneous data sources, cleaning, filtering and transforming data into a common structure and storing data in a structure that is easily accessed and used for reporting and analyses purposes. Data warehousing is an important part of an organization as it helps in the smooth operations of the different departments. It is a must have in every small and big organization. The architecture of a data warehouse defines it success. Data warehousing is the process of gathering information from different parts of a business process in a centralized database or it can be defined as the collection of date that is used by employees in an organization for easy access and smooth working .Since the early 1990s, data warehousing has become an essential part of any organization. A data warehouse comes across as one of the must -haves for an organization, for a business decision can be shaped and achieved with exact
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and complete data. Data management with information proves to be profitable for business organizations, as it helps business increases their productivity. Data warehousing is an integral part of any organization. It proves to be helpful in providing easy access to collective information with relates to all departments of organization. A data warehouse system is implemented to support decision making in an organization. It helps in providing information or data when queries need extensive searching on a larger scale. Today, almost all the businesses use data warehousing in order to acquire information when it is needed without interrupting the operating system. This makes the data flow more consistent and users find it easier to retrieve information from the system. A data warehouse project consists of different phases: 1. 2. 3. 4. 5. Requirement Analysis Phase Design Phase Construction Phase Implementation Phase Using the DWH

Among the 5 phases, the design and construction phase is the core phase for the success of a DHW project. The focus of this thesis is to discuss the various methods available at each part of designing and constructing a DWH and comparing these approaches.

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Construction INVENTORIES Inventories constitute the most significant part of current assets of large majority of companies in India. On an average, inventories are approximately 60% of current asset in public limited companies in India. Because of large size of inventories maintained by firms, a considerable amount of funds is required to be committed with them. It is, therefore, absolutely imperative to manage inventories efficiently and effectively in order to avoid unnecessary investment. A firm neglecting the management of inventories will be affecting its long run profitability and may fail ultimately. It is possible for a company to reduce its level of inventories to a considerable degree without any adverse effect on production and sales, by using simple inventory planning and control techniques. The reduction in excessive inventories carries a favorable impact on a companys profitability.

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NATURE OF INVENTORIES Inventories are stock of product a company is manufacturing for a sale and components that makes up the product. The various forms in which inventories exist in a manufacturing company are: 1 Raw- materials 2 Work-in -progress 3 Finished goods

RA W MATERIALS

WORK- IN P ROG RESS

FINISHED G OOD S

1 RAW MATERIAL Basic inputs that are converted into finished product through the manufacturing process. Raw materials inventories are those units which have been purchased ad stored for future productions. 2 WORK- IN PROGRESS Inventories are semi- manufactured products. They represent products that need more work before finished products for sale. 3 FINISHED GOODS Inventories are those completely manufactured products which are ready for sale. Stocks of raw material and finished goods facilitate production, marketing operation. Thus, inventories serve as a link between the production and consumption of goods.

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The levels of three kinds of inventories for a firm depend on the nature of its business. A manufacturing firm will have substantially high levels of all three kinds of inventories, while a retail or a wholesaler firms will have a very high level of finished goods inventories and no raw materials and work in progress inventories. With in the manufacturing firms, there will be differences. Large heavy engineering companies produce long production cycle products., therefore they are large inventories. Firms also maintain a fourth kind of inventory, supplies or stores and spares. Supplies include office and plant cleaning materials like soaps, brooms , oil, fuel, light bulbs etc. These materials do not enter directly into production, but are necessarily for production process. Usually, these supplies are small part of the total inventory and do not involve significant investment.

NEED TO HOLD INVENTORIES Managing of inventories arises only when the company holds inventories. Maintaining inventories involves tying up of the companys funds and incurrence of storage and handling costs. If it is expensive to maintain inventories. There are three general motives for holding inventories: Transactions motive: Transaction motive emphases the need to maintain inventories to facilitate smooth production and sales operation. Precautionary motive: Precautionary motive necessitates holding of inventories to guard against the risk of unpredictable changes in demand and supply forces and other factors. Speculative motives: A speculative motives influence the decision to increase or reduce inventory levels to take advantage of price fluctuations.
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A company should maintain adequate stock of materials for a continuous supply to the factory for a uninterrupted production. It is not possible for a company to procure raw materials whenever it is needed. A time tag exists between demand for materials and its supply. Also, there exists uncertainty in procuring raw materials in time on many occasions. The procurement of materials may be delayed because of such factors as strike, transport disruption or short supply. Therefore, the firm should maintain sufficient stock of raw materials at a given time to streamline to production. Other factors which may necessitate purchase and holding of inventories are quantity discounts and anticipated price increase. The firm may purchase large quantities of raw materials than needed for the desired production and sales level to obtain quantity discounts of bulk purchasing. At time, the firm would like to accumulate raw materials in anticipating of price rise. Work-in-progress inventory builds up because of the production cycle. Production cycle is the time of span between production of raw materials and emergency of finished product at the completion of production cycle. Till production cycle completes, stock of work-in-progress has to be maintained. Efficient firms constantly try to make production techniques. Stock of finished goods has to be held because production and sales are not instantaneous. A firm cannot produce immediately when consumers demand goods. Therefore, to supply finished goods on a regular basis, their stock has to be maintained for sudden demand for customers. In the case firms sales are seasonal in nature, substantial finished goods inventories should be kept tome the peak demand. Failure to supply goods to customers, when demanded, would mean loss of the firms sales to competitors. The level of finished goods inventories would depend upon the coordination between sales and production as well as on production time.

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INVENTORY MANAGEMENT The term inventory management is used in two ways- unit control and value control. Production and purchase official use this word in term unit control when as in accounting this word is used in term of value control. As investment in inventory represents in many cases. One of the largest asset item of business enterprise particularly those engaged in manufacturing, wholesale trade and retail trade. Some time the cost of material used in production surpasses the wages and production overhead. Hence, the proper management and control of capital invested in the inventory should be the prime responsibility of accounting department because resources invested in inventory as not earning a return for the company. Rather or the other hand they are costing the firms money both in terms of capital costs being incurred and loss of opportunity income that is been foregone. Inventory Management is the systems and processes of maintaining the appropriate level of stock in a warehouse. The activities of inventory management involves in identifying inventory requirements, setting targets, providing replenishment techniques and options, monitoring item usages, reconciling the inventory balances, and reporting inventory status. Inventory Planning and Demand Forecasting A key to inventory planning is accurate demand forecasting. Software systems are available for predicating future demand using historical usage data. The accuracy of the demand forecasting is largely dependent on how unusual usage is treated in the demand forecasting. It is imperative that historical usage be corrected for any unusual activity. Demand forecasting is an ongoing process. Inventory management software systems can alert inventory owners at the frequencies of their preference, whether it's on a weekly or monthly basis. Inventory Monitoring and Balance Reconciliation Inventory Monitoring involves activities of monitoring arrival, use, shipment and disposition of inventory items to ensure the accuracy of inventory management. When a discrepancy occurs or the actual quantity physically counted doesn't match the stock level in the computer system, inventory specialists need to
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reconcile the discrepancy in terms of cycle counting. A cycle counting program can improve your business processes, ensuring the correct recording of material movement, proper stocking of inventory items and accurate order fulfillment. Inventory Reporting Various reports are indispensable for inventory management. Reports can come in static or ad-hoc form. Static reports provide periodical summary of inventory items and usage. Ad-hoc reports allow users to look at inventory in criteria they prefer. The users can generate item summary report or usage summary report by product type, product line, payment methods or fulfillment options.

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OBJECTIVES OF INVENTORY MANAGEMENT The basic managerial objective of inventory control are twofold, first the avoidance over investment or under investment in inventories and second to provide the right quantity of standard raw material to the production department at the right time. In brief the objective of inventory management is divided in to two following types there are: A) Operating Objectives: 1) Ensuring availability of raw materials: There should be a continuous availability of all types of raw materials in the company. So that the production may not be held up wants of any material. A minimum quantity of each material should be held in store to permit production to move on schedule.

2) Avoidance of abnormal wastage: There should be minimum possible waste of materials are been stored in the godwon or used in the factory by the workers. Wastage should be allowed up to a certain level known as normal wastage. To avoid any abnormal wastage, a strict control the inventory should be exercised. Leakage, theft, embezzlements of raw material and spoilage of material due to rust, should be avoided.

3) Promotion of manufacturing efficiency: It is right type of raw material is available to the manufacturing department at the right time of their manufacturing efficiency is also increased. Their motivation level rises and moral is improved.

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4) Avoidance of out of stock danger: Information about availability of materials should be made continuously available to the management .So they can do planning for procurement of raw material. It maintains the inventories at the optimum level keeping in view the operational requirements. It also avoids the out of sock danger. 5) Better service to the customer: Sufficient stock of finished goods must be maintained to match reasonable demand of the customers for prompt execution of their orders.

B) FINANCIAL OBJECTIVES 1) Economy in purchasing: A poorer inventory control being certain advantages and economics in purchasing every attempt has to make to effective economy in purchasing through quantity and taking advantage to favourable markets. 2) Reasonable price: While purchasing material, it is to be seen hat right quantity of material is purchased at reasonable low price. Quality is not to be stratified at the cost of lower price. 3) Optimum investing and efficient use of capital: The basic aim of inventory control from the financial point of view in the optimum level of investment in inventories. There should be no excessive investment in stock etc, investment in inventories must not tie funds that should used in other activities.

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TYPES OF INVENTORY 1. Movement inventories: are also called transit or pipeline inventories. Their existence over to the fact that transportation time is involved in transferring substantial amount of resources. 2. Buffer inventories: In buffer inventories are held to protect against the uncertainties of demand and supply. 3. Anticipated inventories: Anticipated inventories held for the seasons that further demand for the product is anticipated. Production of specialized times like crackers for diwali, umbrellas and raincoats before rainy season, fan while summer are approaching.

IMPORTANCE OF INVENTORY CONTROL The importance or necessity of inventory control is well explained in the term of the objectives of inventory control, which are obtained through it. A proper inventory control lower down the costs of production and improves profitability of entprise.

CONTROL OF MTERIALS Rigid controls over materials are necessary not only to guard against the theft, but also to minimize waste and misuse from cases such as excessive inventories , over issue, deterioration, spoilage and obsolescence. There are certain prerequisites to an effective control system for materials: Material of the desired quantity will be available when needed. Material will be purchased only when need exists and in economical qualities.
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Purchase of material will be made at most favorable prices. Vouchers for the payments of materials have been received in good condition. Material will protected against loss by proper physical control. Issue of material will be properly authorized and accounted. All material at the times will be charged as the responsibility of some individual.

ADVANTAGES OF INVENTORY CONTROL I. II. III. IV. V. VI. VII. Reduction in investment in inventory. Proper and efficient use of raw material. No bottleneck in production. Improvement in production and sales. Efficient and optimum use of physical as well as financial resources. Ordering costs can be reduced if a firm places a few large orders in place of numerous small orders. Maintain of adequate inventories educes the set up cost associated with each production run.

RISK AND COST ASSOCIATED WITH INVENTORIES Holding of Inventories expose the firm to a number of risk and costs: Major risk are: 1) Price decline: There may be due to increase in market supply of the product, introduction of new comparative product, price cut off by the competitors etc. 2) Price deportation: This may be due to holding a product for too long period or improper storage condition. 3) Obsolesce: This may due to change in customers taster due to new production technique, improvements in product design, specification etc.
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The costs4 of holding inventories are as follows: 1) Material costs: This includes the cost of purchasing the goods, transportation and handling. 2) Ordering costs: This includes the variable cost associated with placing an order for the goods. The lower will be the ordering cost for the firms. 3) Carrying cost: This includes the expenses for stocking & holding the goods. It comprises storage costs, insurance costs, spoilage costs, cost of funds tied up in inventories etc. INVENTORY VALUATION METHODS IN ACCOUNTING There are three basis approaches to valuing inventory that are allowed by GAAP (a) First-in, First-out (FIFO): Under FIFO, the cost of goods sold is based upon the cost of material bought earliest in the period, while the cost of inventory is based upon the cost of material bought later in the year. This results in inventory being valued close to current replacement cost. During periods of inflation, the use of FIFO will result in the lowest estimate of cost of goods sold among the three approaches, and the highest net income. (b) Last-in, First-out (LIFO): Under LIFO, the cost of goods sold is based upon the cost of material bought towards the end of the period, resulting in costs that closely approximate current costs. The inventory, however, is valued on the basis of the cost of materials bought earlier in the year. During periods of inflation, the use of LIFO will result in the highest estimate of cost of goods sold among the three approaches, and the lowest net income.

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(c) Weighted Average Under the weighted average approach, both inventory and the cost of goods sold are based upon the average cost of all units bought during the period. When inventory turns over rapidly this approach will more closely resemble FIFO than LIFO. Firms often adopt the LIFO approach for the tax benefits during periods of high inflation, and studies indicate that firms with the following characteristics are more likely to adopt LIFO - rising prices for raw materials and labor, more variable inventory growth, an absence of other tax loss carry forwards, and large size. When firms switch from FIFO to LIFO in valuing inventory, there is likely to be a drop in net income and a concurrent increase in cash flows (because of the tax savings). The reverse will apply when firms switch from LIFO to FIFO. Given the income and cash flow effects of inventory valuation methods, it is often difficult to compare firms that use different methods. There is, however, one way of adjusting for these differences. Firms that choose to use the LIFO approach to value inventories have to specify in a footnote the difference in inventory valuation between FIFO and LIFO, and this difference is termed the LIFO reserve. This can be used to adjust the beginning and ending inventories, and consequently the cost of goods sold, and to restate income based upon FIFO valuation.

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Determining the Type of Inventory Control Required The ultimate goal of an Inventory control programme is to provide maximum customer service at a minimum cost for this time and are in unuse today. For determining material requirements, the methods used are: Explosion Process: In many manufacturing organizations, production requirements are base directly on the sales forecast. For each of its products, the company prepares a bill of materials a list of the parts (their Quantities) needed for various products. To determine overall material requirements, each sub-assembly a part on the bill of materials is extended or multiplied by the planned number of finished products. This yield the total requirements for each time listed. The explosion process is greatly simplified if Electronics Data Processing Equipment is available. After the price level is set, cards are punched to initiate a manufacturing order for each product. It is possible to obtain is very short- order cards representing each part or sub- assembly necessary to complete the order, they requirements can then be extended mechanically to find the amount of each material or item needed to fill the overall requirement. ABC Approach This is one of the widely used techniques to identify various items of inventory for the purpose of inventory control. In other words, it is very effective and useful tool for classifying, monitoring and control of inventories. The firm should not keep same degree of control on all the items of inventory. The higher value of items are classified A items and would be under tight control. The end of the classification, we find category C item, in this type of inventory. We cannot afford expenses of rigid controls, frequent ordering and expending. Because of the low value or low amounts in this area. We may maintain somewhat higher safety stock, order more months of supply, except lower levels of customers service, or all the B items full in between the A item and C item and require reasonable attention of management.
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HML Classification The HML (High, Mediums, Low) Classification is similar to ABC Classification but in this case instead of the assumption value of item, the unit value of the item is considered. The cut of points will depend on the individual units. For example Kerosene would be a low value item for a Jeweler, and a high value item for a small shopkeeper. The focus here is directed to control the purchase prices. VED Classification The VED (Vital, Essential, and Desirable) is applicable largely to spare parts, stocking of spare parts is based on strategies different from them of raw material because, their consumption pattern is different. While consumption of raw material depends on the performance of the plant and machinery. Statistically demand for spare follow, the position distribution and therefore spare, are classified as (VED). This implies that vital classes of spares have to be stocked adequately and so on. Also ABC and VED classification can be combined to advantage. A combination of XYZ and VED methods, can give an idea of what are the items can be disposed off the train the industry.

FSN Classification Movement analysis from the basic for FSN (Fast moving, slow moving and non moving) classification and the items are classified according to their assumption pattern. It there is a rapid change, in technology this classification will have to be up dated more often. FSN analysis is especially useful to combat absolute items Cut off points in the previous few years.

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SDF and Golf Classification It should not be overlooked that inventory levels are also dependent in the source a scare item with a long lead time will have a higher safety stock for the same consumption levels. The SDF (Scare, difficult, easily to obtain) , classification and the Glof (Govt, Ordinary, Local, Foreign Sources) classification systems where done on the basic of general source and suppliers.

SOS classification Raw materials, specially agricultural inputs are generally classified by the SOS (Seasonal off Seasonal) System since the prices during the season would generally be lower.

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CHAPTER -2 RESEARCH DESIGN OF THE STUDY TITLE OF THE STUDY DATAWAREHOUSE MANAGEMENT WITH SPECIAL REFERENCE TO INVENTORY MANAGEMENT SYSTEM IN UNIQUE STONE GALLERY STATEMENT OF PROBLEM The current system in company under Inventory management system which does not specify the safety stock level which lead to scare for stock at emergency. The transaction related to purchase, sale and returns are maintained manually at present along with maintaining the accounts of customers and the suppliers. The data are not properly updated at the end of each days work. Proper data security system is not provided. Annual maintenance contact is not provided, records are not maintained properly. OBJECTIVES OF THE STUDY Inventories constitute the principle item in the working capital of the majority of trading and industrial companies. In inventory we include raw-material, finished goods, work-in-progress, suppliers and other accessories. To maintain the continuity in the operation of business enterprises, a minimum stock level of inventory is required. However, the physical control of inventory is the operating responsibility of stores superintendent and financial personnel have nothing to do about it but the financial control of inventories in all the lines of activities in which they comprise a substantial part of the current asset is a frequent problem in management of working capital of inventories is designed to regulate the value of investment in hand. The type of goods carried i.e. stock to meet the needs of production and sales right at the same time. Investment in item in to kept at a reasonable level.
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To verify the mismatch between the order and the receipt. To find out the impact of Inventory on working capital. To find out minimum stock level and how much stock should be order. To study and understand what exactly is inventory management system. To study the operational feasibility and utility of inventory management system. SCOPE OF THE STUDY The study is focused on evaluating the effectiveness of the present inventory management system and to improve its effectiveness towards inventory management system. RESEARCH METHODOLOGY Descriptive method of research is been adopted in the section of inventories. The method is adopted to analyze the annual investment in inventories. Valuation in inventories after closing balancing of items in inventories. In this manner we calculate reorder level point, safety stock level, maximum and minimum level of inventories. SOURCES OF DATA COLLECTION PRIMARY DATA Primary data which included in input received directly from company officials and employees through questionnaire and interview.

SECONDARY DATA Secondary data are collected from various modes like books, journals, magazines, textbook and internet.
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LIMITATION OF THE STUDY 1. The study is only confined to unique stone gallery. 2. Due to time constraints the study could not cover each and every branch. 3. The study is based on some operational software which involves lot of technical complication. 4. Time factor was the major constraint. 5. Response of the some of the employees was not so satisfaction. 6. The study will be for an academic purpose only and for a particular period.

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CHAPTER-3 COMPANY PROFILE INDIAN STONE INDUSTRY PROFILE India has major resources of marble, granite , sand stone, kotahstone, quartzite and slate. Granite resources are largely in south India and marble deposits are largely in westron India (Rajasthan and Gurat). A variety of stone product like all type of marbles , tiles, granite etc are available in the market ,the beauty of natural stone products have the most sought after finish in any building in crafting customerized floors, walls, counter tops, columns, fireplaces and bathrooms. Thus, stone products are available in polished as well as unpolished slate. These stone products come with various price ranges suiting for every budget. They are available in different size, shape, type, thickness etc. some of these stone products are available in block, some in slates, some in tiles. They are imported sometimes and sometimes locally made. Stone products are strong and sturdy and can carry a lot of weight. Natural stone products are mostly used in making and decorating building, office, industry, organization etc. there are also custom made as per the requirement and specifications of the customer. They are used in construction industries and in most of the industrial sectors. The range of natural stones include slate, sand stone, mosaic stone, cobble and pebble, marble, granite minerals, genuine, natural stone that are not dyed, synthesized, stabilized or enhances. Just genuine cut polished gemstones or pure rough gem materials for your use.
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SAND STONE Stand stone is a sedimentary stone consisting usually of quartz, silica, iron oxide and calcium carbonate. These stone are durable, whether, acid and thermal resistant and have crushing strength. Cobbles of stone are also very popular. Lime stone It is a sedimentary stone and mainly consists of calcite. It has a smooth granular surface does not show much graining or crystallic structure and varies in hardness. Slate Slate is a time grained metamorphic stone that is formed from clay, sedimentary rock shell, and sometimes quartize, characteristically the rock may slit into relatively thinner slates. It renders a very gracefully natural finish to any building or house.

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HISTORY OF COMPANY Unique Stone Gallery incorporated in 2002 and was promoted by Yuaraj. It is a process of natural stones. ABOUT THE COMPANY Unique Stone Gallery is one of the reputed organizations in mining and processing of non- metallic materials. It is a renowned name in the field of quartz and natural stones for its finest quality. They have they own rich quarries spread across the south India with having an administrative office in Hyderabad. Unique Stone Gallery Company having highly skilled man power working as co-ordinate units in the state of the art factory equipped with the latest machinery for the eco-friendly processing, produce highest quality products. There are successful vendors for many buyers across the state wide Unique Stone Gallery is has carried a nice for itself for producing world class natural stones. This company has grown into one of the company largest houses towards quality granite in a wide spectrum to its customers.

OBJECTIVES OF THE COMPANY Established with a commitment to serve Indias ornamental stone industries specialist in marbles, sandstone, slates, limestone, quartzite, ornamental building stones and in any form of its ancillaries of machinery, equipments anything directly related to stone.
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ORGANISATIONAL STRUCTURE UNIT HEAD

FUNCTIONAL HEAD

HEAD OF THE DEPARTMENT

SECTIONAL HEAD

EMPLOYESS

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VISION Customization Quality consistency Product range Cost competitiveness Employees empowerment

MISSION To become the best granite stone unit in the state through human and technical excellence. To foster the culture of involvements, participation, team work and innovation. To achieve excellence in all effort and activities by each one of us. To produce a premium quality granite and extend best service to its customers. To establish a neat clean and pollution free environment.

SWOT ANALYSIS STRENGHT Employees are highly empowered. Strong communication network. Good cooperative between employees. Global sourcing of raw materials.

WEAKNESS Capital intensive business. High employee turnover.

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OPPURNITIES Leadership position in the commercial segment will enable the company to leverage new and related business opportunities. TREADS Increasing number of local players . Raw materials price volatility. STRATEGIES 1. Technical up gradation and research and development efforts. 2. Effective new markets and exports. 3. Gather delegation of authority and turning up management in Unique Stone gallery. 4. Diversification. WELFARE Welfare activities include canteen supplying at subscribed rates and transport facilities to employees.

STORES DEPARTMENT The stores department plays vital role in the operation of any manufacturing industries. The important purpose served by stores department is to provide proper and systematic services to various departments.
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Functions of Stores 1. Receive the material like packing raw material and other items. 2. Provide the adequate and proper storage after the inspection of items. 3. Meet the demand at consuming department by proper issue and account for the consumption. 4. To minimize that obsolesce surplus and creep through proper codification and presenting and handling. 5. To ensure good housekeeping so that the material handling, material preservation stocking, receipt and issue can be done adequately. 6. To almost on verification and provide supporting information for the selective purchase action.

RECEIPT DOCUMENTS: CSRV (Certified Stores Receipt Vouchers) which is issued by the stones personnel to bill section in order to classify the materials into raw-materials, stores and spare, consumable tools, packing materials, sub-contractors servicer and other operational expenses based on the purchased order, the bills sections does the provisional valuation by using fixed percentage for fright, insurance and other incidental and with regard to customs duty the percentage as per tariff are adopted and the following entry proposal.

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FLOW OR RECEIPT DOCUMENT (CSV)

Receipt of work order from receipt stores

Collection of data and material for inception

Material Inspection

Component inspection report given to head office for comments

Material handed over to receipt store

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PRODUCT PROFILE OF UNIQUE STONE GALLERY The following are the range of the stone material of unique stone gallery are as follows :

I.

GRINATE .

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II.

SLATES.

III.

MARBLES.

IV.

SAND STONE.

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V.

LIME STONE.

VI.

QUARTZITE.

VII.

ORNANMENTAL BUILDING STONE.

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VIII.

TILES

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ATTRIBUTES Y ES NO TOTAL

NO. OF RESPONDENT 15 10 25

PERCENTAGE 60 40 100

DATA ANALYSIS AND INTERPRETATION ( BASED ON CUSTOMERS) 1 DO YOU KNOW ABOUT INVENTORY MANAGEMENT SYSTEM?

ANALYSIS From the above statement it can be analyzed that out of 100% , the number of response of Yes towards inventory management system was 60% and response of unknown was 40%.

GRAPH SHOWING THE RESPONSE ON INVENTORY MANAGEMENT SYSTEM

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120 100 80 60 40 20 0 NO. OF RESPONDENT PERCENTAGE YES 15 60 NO 10 40 TOTAL 25 100

INTERPRETATION The above graph shows the position towards inventory management system ,the number of respondents know about this system is 60% and No about this system is 40%. This shows that the majority of the respondents are know about effectiveness of inventory management.

2 Schedule showing how far the product is different from other granite business
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ATTRIBUTES Quality Price Availability locality Total

NO. OF RESPONDENT 10 7 5 3 25

PERCENTAGE 40 28 20 12 100

Analysis From the above statement it can be analyzed that the 40% of the customers prefer towards quality and 28% towards price, remaining 32% towards availability and locality.

GRAPH SHOWING THE RESPONSE OF PRODUCT DIFFER FROM OTHER GRANITE BUSINESS
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NO. OF RESPONDENT

PERCENTAGE

100

40 28 10 7 Price 5 Availability 20 3 25 12

Quality

locality

Total

Interpretation The above graph shows the position of product differ from other business. The response towards quality was 40% , price level was 28%, availability was 12% and remaining was 12% to locality respectively.

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3 TABLE SHOWS THE IMPRESSION OF CUSTOMERS REGARDING THE SERVICE RENDERED BY UNIQUE STONE GALLERY. ATTRIBUTES EXCELLENT GOOD STATISFACTORY TOTAL Analysis From the above table it can be determined that the excellent service rendered by the company is 48% , good service by 32% and remaining towards satisfactory was 20% respectively. NO. OF RESPONDENT 12 8 5 25 PERCENTAGE 48 32 20 100

GRAPH SHOWING THE RESPONSE OF CUSTOMER IMPRESSION TOWARDS SERVICE

Chart Title
120 100 Axis Title 80 60 40 20 0 EXCELLEN T 12 48 GOOD 8 32 STATISFAC TORY 5 20 TOTAL 25 100

NO. OF RESPONDENT PERCENTAGE

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Interpretation The above graph shows the position of customer impression towards excellent service is 48% and good impression is 32% and remaining 20% was satisfactory.

4 TABLE SHOWING THE BEHAVIOR OF AN EMPLOYERS IN UNIQUE STONE GALLERY

ATTRIBUTES EXCELLENT GOOD SATISFACTORY TOTAL Analysis

NO. OF RESPONDENT 15 5 5 25

PERCENTAGE 60 20 20 100

From the above table it is been interpreted that the behavior of employer towards excellent is 60% of response and remaining 40% equally towards good and satisfactory respectively.

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GRAPH SHOWING THE POSITION OF THE BEHAVIOR OF AN EMPLOYERS IN UNIQUE STONE GALLERY.

Chart Title
70 60 50 Axis Title 40 30 20 10 0 NO. OF RESPONDENT PERCENTAGE EXCELLENT 15 60 GOOD 5 20 SATISFACTORY 5 20

Interpretation The above graph shows that 60% of respondents excellent behavior, 20% to good behavior and remaining 20% towards satisfactory.

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5 SCHEDULE SHOWS WHAT MAKES THE CUSTOMERS TO PREFER THE STONES OF UNIQUE STONE GALLERY.

ATTRIBUTES QUALITY AVAILIBILITY PRICE DELIVERY TOTAL

NO. OF RESPONDENT 10 5 7 3 25

PERCENTAGE 40 20 28 12 100

Analysis The above table is been determined that the preference of customers towards stone quality was 40% . The availability and price level of customer preference is 20 and 28% and remaining is delivery i.e. 12% respectively.

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GRAPH SHOWS THE POSITION OF CUSTOMER PREFERENCE TOWARDS STONES

Chart Title
120 100 Axis Title 80 60 40 20 0 QUALITY NO. OF RESPONDENT PERCENTAGE 10 40 AVAILIBI LITY 5 20 PRICE 7 28 DELIVER Y 3 12 TOTAL 25 100

Interpretation A chart showing the position of customer preference towards stones in Unique Stone gallery. Out of 100% , 40% of preference to quality and 20% towards availability , remaining 28 and 12% preference towards price and delivery.

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6 SCHEDULE SHOWS WHETHER THE PRICE QUOTED IN UNIQUE STONE GALLERY IS CONSIDERABLY BETTER THAN OTHER COMPANY.

ATTRIBUTES YES NO TOTAL Analysis

NO. OF RESPONDENT 20 5 25

PERCENTAGE 80 20 100

From the above table it is been interpreted that the price quoted is better than other company was 100% out of which 80% of response was Yes and remaining 20% was No respectively.

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GRAPH SHOWS THE POSITION OF PRICE QUOTED IS CONSIDERABLY BETTER THAN OTHER COMPANY.

Chart Title
120 100 Axis Title 80 60 40 20 0 NO. OF RESPONDENT PERCENTAGE YES 20 80 NO 5 20 TOTAL 25 100

Interpretation The above graph shows the position of price quoted is better than other company and the response towards Yes is 80% and No is 20%.

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7 A TABLE SHOWING THE POSITION OF DELIVERY FRIGHT CHARGED BY THE UNIQUE STONE GALLERY IS BETTER THAN OTHER COMPANY.

ATTRIBUTES YES NO TOTAL

NO. OF RESPONDENT 20 5 25

PERCENTAGE 80 20 100

Analysis From the above table it is been interpreted that the delivery charges in unique stone gallery is better than other company is 100% out of which 80% response is Yes and remaining 20% response is No.

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GRAPH SHOWS THE POSITION OF DELIVERY FRIGHT CHARGED BY THE UNIQUE STONE GALLERY IS BETTER THAN OTHER COMPANY.

Chart Title
120 100 Axis Title 80 60 40 20 0 NO. OF RESPONDENT PERCENTAGE YES 20 80 NO 5 20 TOTAL 25 100

Interpretation The above graph shows the position of delivery charges is better than other company and the response towards Yes is 80% and No is 20%.this shows that the company is providing good delivery usage to its customer.

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8 SCHEDULE SHOWS WHETHER THE COMPANY PROVIDES ANY DISCOUNT ON PURCHASES OF STONES IN UNIQUE STONE GALLERY.

ATTRIBUTES YES NO TOTAL

NO. OF RESPONDENT 18 7 25

PERCENTAGE 72 28 100

Analysis From the above table it is been interpreted that the discount factor is better than other company was 100% out of which 72% of response was Yes and remaining 28% was No respectively. GRAPH SHOWS THE POSITION OF DISCOUNT FACTOR IS BETTER THAN OTHER COMPANY IN UNIQUE STONE GALLERY

Chart Title
120 100 Axis Title 80 60 40 20 0 NO. OF RESPONDENT PERCENTAGE YES 18 72 NO 7 28 TOTAL 25 100

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Interpretation The above graph shows that72% of respondents says positive answer is yes and remaining 28% of the customers says No towards discount on purchases in unique Stone gallery.

9 SCHEDULE SHOWS THAT ARE YOU WILLING TO CONTINUE TO BE A CUSTOMER OF UNIQUE STONE GALLERY?

ATTRIBUTES YES NO TOTAL

NO. OF RESPONDENT 23 2 25

PERCENTAGE 92 8 100

Analysis The above table is been determined that the preference of customers to continue in Unique Stone gallery was 100% . Out of which 92% of the response is positive is Yes and remaining is 8% towards unsatisfactory i.e. No.
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A GRAPH SHOWS THAT ARE YOU WILLING TO CONTINUE TO BE A CUSTOMER OF UNIQUE STONE GALLERY.

Chart Title
120 100 Axis Title 80 60 40 20 0 NO. OF RESPONDENT PERCENTAGE YES 23 92 NO 2 8 TOTAL 25 100

Interpretation
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The above graph shows that 92% of respondents says towards the willing to be a customer is yes and remaining 8% of the customers says No towards continuity to be a customer in unique Stone gallery. This shows some of the respondents are not satisfactory.

10 SCHEDULE SHOWS HOW FAR THE COMPANY IS EFFICIENT IN DESIGNING THE STONE IN TIME?

ATTRIBUTES YES NO TOTAL

NO. OF RESPONDENT 21 4 25

PERCENTAGE 84 16 100

ANALYSIS The above table is been determined that the company is efficient in Delivering the stone was 100% . Out of which 84% of the response is positive is Yes and remaining is 16% towards unsatisfactory i.e. No.

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A GRAPH SHOWS HOW FAR THE COMPANY IS EFFICIENT IN DELIVERING THE STONE IN TIME.

Chart Title
120 100 Axis Title 80 60 40 20 0 NO. OF RESPONDENT PERCENTAGE YES 21 84 NO 4 16 TOTAL 25 100

Interpretation

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The above graph shows the position of efficient in Delivering of stone better than other company in time, the response of customers towards Yes is 84% and No is 16% respectively. This shows the company is more effective in delivering process.

DATA ANALYSIS AND INTERPRETATION (BASED ON COMPANY)

11) THE TABLE SHOWS THE DIFFERENT METHOD OF INVENTORY CONTROL ARE BEEN FOLLOWED BY THE COMPANY.

TYPES ABC ANALYSIS FIFO JUST-IN-TIME LIFO TOTAL

NO. OF RESPONDENT 18 02 03 02 25

PERCENTAGE 72 8 12 8 100

ANALYSIS
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From the above table it is been analyzed that the 72% of respondents are agree to use of ABC analysis when compared to FIFO i.e. 8% and some customers are neither agree nor disagree towards just in time & LIFO method i.e. 12 and 8% respectively.

THE GRAPH SHOWS THE POSITION OF DIFFERENT METHOD OF INVENTORY CONTROL ARE BEEN FOLLOWED BY THE COMPANY.

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120 100 Axis Title 80 60 40 20 0 ABC ANALYSIS 18 72 JUST-INTIME 3 12

FIFO 2 8

LIFO 2 8

TOTAL 25 100

NO. OF RESPONDENT PERCENTAGE

Interpretation Based on the above graph it can be interpreted that the company is focused on ABC analysis to grade the quality of the product effectively in an organization.

12) TABLE SHOWS THE VEHICLES UTILIZED FOR DELIVERING THE GOODS.

VEHICLES 4 WHEELERS 6 WHEELERS TOTAL

NO. OF RESPONDENTS 18 7 25

PERCENTAGE 72 28 100

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ANALYSIS From the above chart it is been determined that the utilization of vehicles for delivering the goods , the number of response towards 4 wheelers is 72% and 6 wheelers is 28% respectively.

12.1 A CHART SHOWING THE POSITION OF VEHICLES UTILISED FOR DELIVERING THE GOODS.

Chart Title
120 100 Axis Title 80 60 40 20 0 NO. OF RESPONDENTS PERCENTAGE 4 WHEELERS 18 72 6 WHEELERS 7 28 TOTAL 25 100

INTERPRETATION From the above chart we can interpreted that the company is concentrated on 4 wheelers for effective delivering the goods when compared to 6 wheelers

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13) A TABLE SHOWS THE EXTENT OF ALLOCATION OF COSTS ON VARIOUS PROCESS

ATTRIBUTES MANUFACTURING ADVERTISING TRANSPORT TA X TOTAL

NO. OF RESPONDENTS 8 2 10 5 25

PERCENTAGE 32 8 40 20 100

ANALYSIS From the above table it can be analyzed that the allocation of costs on various process is 100%. Out of which 32% of response from manufacturing process and advertising is less i.e.8%. The transport costs is 40% is more than the tax cost is 20% respectively.

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A CHART SHOWS THE EXTENT OF ALLOCATION OF COSTS ON VARIOUS PROCESS

Chart Title
120 100 Axis Title 80 60 40 20 0 MANUF ACTURI NG 8 32 ADVERT ISING 2 8 TRANSP ORT 10 40 TAX 5 20 TOTAL 25 100

NO. OF RESPONDENTS PERCENTAGE

INTERPRETATION Based on the above graph it can be interpreted that the cost allocation on transport is high and concentrated on advertising is less , so that the company should make effective promotion to increase sales.

14) TABLE SHOWS WHAT ARE THE FACTORS INFLUENCES THE ABC GRADING OF PRODUCTS.

ATTRIBUTES QUALITY COSTS DEMAND TOTAL

NO. OF RESPONDENTS 18 2 5 25

PERCENTAGE 72 8 20 100

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ANALYSIS From the above table it is been determined that the position of factor influence on ABC grading of products is 100%. Out of which 72% response for quality , 20% response for demand and 8% on costs. GRAPH SHOWS WHAT ARE THE FACTORS INFLUENCES THE ABC GRADING OF PRODUCTS.
120 100 80 Axis Title 60 40 20 0 NO. OF RESPONDENTS PERCENTAGE QUALITY 18 72 COSTS 2 8 DEMAND 5 20 TOTAL 25 100

INTERPRETATION Based on the above chart it is been determined that the respondents agree that ABC grading toward quality is more effective rather than cost basis.

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15) A TABLE SHOWS THE EXTENT OF CREDIT SALES AND CASH SALES OWNED BY THE COMPANY.

ATTRIBUTES CREDIT SALES CASH SALES TOTAL ANALYSIS

NO. OF RESPONDENTS 15 10 25

PERCENTAGE 60 40 100

From the above table it is been determined that the credit sales owned by the company is 60% and cash sales is about 40% respectively.

A CHART SHOWS THE EXTENT OF CREDIT SALES AND CASH SALES OWNED BY THE COMPANY.

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120 100 80 Axis Title 60 40 20 0 NO. OF RESPONDENTS PERCENTAGE CREDIT SALES 15 60 CASH SALES 10 40 TOTAL 25 100

INTERPRETATION Based on the above graph it is been interpreted that the company is providing the credit facility toward its customers to increase the sales volume.

16) A TABLE SHOWS THE POSITION OF SOURCES OF CAPITAL OFFERED FOR BUSINESS.

CAPITALS AUTHORISED CAPITAL EQUITY CAPITAL PREFERENCE CAPITAL TOTAL ANALYSIS

NO. OF RESPONDENTS 15 5 5 25

PERCENTAGE 60 20 20 100

From the above table it is been determined that the position of sources of capital towards authorized was 60% and remaining 20% equally towards preference and equity capital.
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A CHART SHOWS THE POSITION OF SOURCES OF CAPITAL OFFERED FOR BUSINESS.

70 60 50 Axis Title 40 30 20 10 0 AUTHORISED CAPITAL 15 60 EQUITY CAPITAL 5 20 PREFERENCE CAPITAL 5 20

NO. OF RESPONDENTS PERCENTAGE

INTERPRETATION
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Based on the above graph it can be interpreted that the introduction of authorized capital was more when compared to equity and preference capital. Due to this the company concentrated on profits without borrowing much capital from the public.

17) A TABLE SHOWS WEATHER THE COMPANYS EXISTING INVENTORY CONTROL SYSTEM IS EFFECTIVE.

ATTRIBUTES YES NO TOTAL ANALYSIS

NO. OF RESPONDENTS 20 5 25

PERCENTAGE 80 20 100

From the above table it is been determined that the response for the inventory control effective is 80% and remaining 20% was not must effective for the organization.

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A CHART SHOWS WEATHER THE COMPANYS EXISTING INVENTORY CONTROL SYSTEM IS EFFECTIVE.

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120 100 80 Axis Title 60 40 20 0 NO. OF RESPONDENTS PERCENTAGE YES 20 80 NO 5 20 TOTAL 25 100

INTERPRETATION Based on the above chart it is been determined that the company is using good effective methods to improve the inventory levels.

CONCLUSION The goal of the wealth maximization is affected by the efficiency with which inventory is managed. Inventories constitute about 60% of current account o0f companies in India. The manufacturing companies holds inventories in the form of raw material, work in progress and finished goods. Inventories facilitate smooth production and sales operation (Transaction Motive) to guard against the
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risk of unpredictable changes in usage rate and delivering time (Precautionary Motive) and to take advantage of price fluctuation (Speculative motive). The control of inventories is complex of many fluctuation and forms. Inventory are the results of all fluctuation areas (i.e. production, marketing and purchasing) within the organization. The control of inventory represents a shared responsibility and viewed as such. Any set of roles used for inventory controls in revalued regularly in Unique Stone Gallery. Based on the study conducted with reference to the topic inventory management one can conclude that the methodology adopted to analyses effective of inventory management (ABC Analysis) has been performs in an excellent and the quality of delivering of goods is also performing effective and an overall steps taken to evaluate the inventory control are been well developed and overall functions of the company has some better results in the assessment year.

FINDINGS Findings towards company Majority of the preference is given to the ABC analysis method to grade the quality of the products. Four wheelers are used by the company to delivering the goods. Transport factor procure must cut the cost when compared to other costs. Quality factor are the main factor which notes the company to select ABC analysis. The company shows the credit facility towards some extent. The company procure more capital from authorized capital. The main stock maintained by the company is Granites. Majority of the respondents are agreed that the inventory control method adopted by the company is effective.

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Findings towards customers Majority of the respondents are know the Unique Stone gallery with its geographical proximity. Quality factor is differential service of a company when compared to other granite company.

SUGGESTIONS The Unique Stone Gallery should make the advertising process more effective to explore the business to the real environment. The company should maintain the training and development program for most effective to ensure the employment strength. The company which gives more cash discount on sales, so this is not good for organization. The materials to be placed in right material and quantities in order to believer in for the necessaries. These materials issuing practices are doing well and have more contribution towards effective material management. It helps a lot in achieving effective inventory control over the materials in the company. The company should reduce the transportation costs. The company should also concentrate to distribute the stone which is having more demand in granite. The company should make credit sales to attract the customers.

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