ORGANISATIONAL STUDY

MANJUNATHA REG.NO.10NPCMA018

INTRODUCTION
Meaning of organizational study :
Organization is a process of dividing and combining effort of working group of making such joint efforts for more productivity. In Static sense an organization refers to a structure planned by group of people who are working towards a common goal. In dynamic sense an organization refers to a process of welding together a framework of positions which can be used as management tool for the most effective accomplishment of enterprise object.

Scope of study :
Profile of Himalsingka Seide Ltd. The study helps to know organizational structure, various departments in depth, hierarchy and relation between inter-relationships between various departments. Key management problems and suitable recommendations for solving the problems.

Objective of study :
To relate theoretical concept learnt to organizational functioning. To learn real life application of management. To gain practical knowledge about managerial activities. To look closely into the departmental strategies & their functioning of an organization. To get an exposure to the working of an organization.

Data collection method :

Primary sources. Secondary sources.

The primary data were collected through observations and interviews. The interviews were done with concerned department heads, senior personnel and other staffs in order to understand the day-to-day process of an organization and to get necessary clarifications.
The secondary data was collected from different sources like HR manual, observation in the company while on company Journals, reports of current year, magazine and others. Limitations of the study: 1.The information was able to collect only from concerned department heads, senior personnel and other staffs of the organization and not from organizations consumers, dealers and other stakeholders. 2.Time allotted for the study is insufficient. 3.The study was carried out only in Bangalore unit.

INDUSTRY PROFILE
Origin :

The global textile and apparel industry, estimated at around USD 450 billion is one of the largest contributions to international trade. India accounts for 8% of the global trade in textile and is ranked as the 6th largest suppliers in the world. The country is a largest producer of jute, 2nd largest producer of cotton yarn, 2nd largest producer of silk and the 5th largest producer of synthetic fiber /yarn globally

The Indian textile and apparel industry, worth around USD 49 billion is one of the largest industries in India. It makes a contribution to the countrys economy adding about 5% to the GDP, 14% to the industrial production and 17% to the total export earnings. Textile exports stood at USD 20.5 billion in 2007-08.

Growth :

Growth along with the investment of an industry depends heavily on the economic health of the country. Indian economy grew rapidly during the fiscal year 2009-2010 posting a growth rate of 9.4% p.a. Not only this, India has been performing significantly in the last three years where its average yearly rate of growth has been estimated to be 8%.

Textile industry is one of the major contributors to the total output of the fast growing Indian industrial sector which is at present revolving around 14%. Textile sector's contribution to GDP of India is also significant which currently amounts to 4%. It has been found out that Indian textile industry is one of the major sources of foreign exchange earnings for India and contributes around 16-17% of the total export earnings.

Major players of the industry:

Aditya Birla Nevo Vardhaman textile ltd Arvind ltd Alok industries JBF industries Garden silk mile Sukumars nation wide Raymond ltd
Challenges of the industry: Fiber prices:- Fibers prices especially cotton are determined to large extent. Forex fluctuations. Competition from other low cost countries. Changing fashion trends. Execution risk: - Project delays might lead to deferment of sales and profits. Identify and realize cost reduction measure

COMPANY PROFILE
Name of the company : HIMATSINGKA SEIDE LTD Type of Organization: Private sector organization Year of Incorporation: Established on 1985, and started production on 1987 . Promoters Of The Company: Mr. Ajoy Himatsingka and Mr. Dinesh Himatsingka . Products Produced:

Decorative fabrics Bridal Wear Fashion Wear and Spun silk/ Blended Yarn

Major Competitor
Raymond ltd
Alok industries

JBF industries
Gokul das exports . Etc...

MISSION AND VISION Mission : Most innovative sought after Fashion Apparel and Fabrics Most dependable for shortest turnaround time. Most reliable for quality, service and deliveries. Most permanently bonded with customers, suppliers and other stakeholders. Most looked up to for transparency, governance and social responsibility. Vision : Is a Complete Fashion Apparel Company focused on Total Customer Orientation, attaining a Position of Pride for stakeholders through creation of Congenial Business Environment, offering Products and Services Par Excellence.

Product profile : Decorative fabrics Bridal Wear Fashion Wear Spun silk/ Blended Yarn

ORGANISATION STRUCTURE
Business Head (VP) (1)

GM Marketing/Merchandising (1)

Head Manufacturing (GM) (1)

GM HR/ADM (1)

Head Accounts & Finance (1)

Marketing/ Merchandisi ng

Purchase

Fabric & Accessories Stores

Plant Manager (1)

HR/ADMN

IT

Finance

EXIM

Pre Production

Planning

Cutting

Sewing

Quality

Finishing

MTM

Industrial Engineering

Maintenance

Business Head (VP) Functional Head (GM) Plant Manager

:1 :4 :1

Trouser

Jacket

( form company reports)

FUNCTIONAL DEPARTMENTS

Production Department.
Marketing Department.

Human Resource Department.

Finance Department.

PRODUCTION DEPARTMENT
Structure Of Production
Production manager

Assistant production manger

Weaving

Pretreatment

Dyeing

Printing

Finishing

Supervisor
( form company reports)

PRODUCTION DEPARTMENT
Problems :

Higher cost due to frequent set up changes.

Production planning and control is complex. Line layout needs major change with the changes in the product design.

High investment in production facilities.

Very high investment for setting flow lines. Lack of raw material utilization

Low output from labour.

MARKETING DEPARTMENT
Marketing Mix : Products : Decorative fabrics, Bridal Wear, Fashion Wear and Spun silk/ Blended Yarn. Price : It depends on the cost of the raw material in the present market and the overheads of the company . Promotion : Group through television media, print media, discounts and other forms of publicity etc Place : It sales in the brand name of Atmosphere through retail outlets in Bangalore, Mumbai and Chennai and also in foreign countries like Singapore, Dubai etc . Market Segmentation : Himatsingka sedide ltd is based mainly on Export of its final products. Co., exports nearly 75% of its production and remaining 25% is sold in local retail shop.

Mode Of Advertisement Television Media Print Media

HUMAN RESOURCE DEPARTMENT

OBJECTIVES OF HUMAN RESOURCE DEVELOPMENT:
To maintain the good relationship between the employees and employer To assist the employees in achieving their personal goals To maintain good industrial relation To select the right type and number of employees To help individual development

Recruitment :
On the basis of future expansion how many machines, man power is required will be decided, on this basis recruitment is done. Man Power Resourcing is done through Internal Resourcing Talents from Campus

Problems : Rigid labour law. Inadequate training facility. More of absentisum. Trade union strikes. More labour turn over.

FINANCE DEPARTMENT
Major finance functions:
Monitoring the funds collections and payments Negotiating with the banks, financial institution and other suppliers of credit Funds requirement decision Evaluation of financial performance Financial and investment decision making Accounting Auditing To ensure flow of funds To keep the track of stock exchange

Source of funds :
Secured loans and Unsecured loans. Negotiation with banks, financial institutions and other sources of finance.

Problems :
Not so clear: There is often lack of transparency in showcasing financial statements in the organization. Dealing with outside agencies: The finance department often faces problems while dealing with outside agencies such as government departments, including tax departments etc., while seeking sanctions or permissions.

Revenue issues: The accountants face problems in determining what should be considered as revenues while accounting for an organization.
Human Errors: There will be some human errors such as typographical mistakes. Such mistakes might lead to problems in the final tallying of the balance sheet.

FINANCE DEPARTMENT STRUCTURE

Finance department

Exports and imports

Taxation

Treasury

Finance and accounting

( form company reports)

SWOT ANALYSIS.
STRENGTHS. India gains export market share at Chinas expense. To capture the premium market. Good planning and managerial ability . Competitiveness in cotton textile segment to derive export growth
OPPORTUNITIES. Company can grab the market within small period as it is already established. Supports companies with product process and innovation. Company is grabbing a wide range of patterns of designing textiles that increases demand.

WEAKNESS. Profits of the company has been come down in the present year. low availability of materials in all cities. Less variety of patterns of design. Heavy amount of money spent on promotional activities.

THREATS

Available of finance and time for

innovation and capital investment.

Change in customer demand. Availability of skilled laborers. Threat from competitors

established their plants in same location. Competitors from Chinese textile, affecting export business too.

Financial Analysis

Current Financial Position and Liquidity Position: When 2010 financial statement is compared with 2011, Current assets have been increased than its current liabilities which enable a company to have a good short term financial position of a company. There is an increase in inventory where there is accumulation of stocks for want of customers, increase in demand and adequate sales promotion efforts.

Profitability of the concern: The profit of the company has been increased which is a good sign for a company The overall financial position of a company is quite satisfactory.

FINDINGS :
Communication between the departments within the organization have strongly built the good relationship and understanding between the employees, this has reduced their interpersonal conflicts. In the organization every one work in a team spirit and are self motivated. The employees are treated as assets of the company. Company use the latest machinery, so more quality can be achieved. The employees feel that the management recognizes their performance.

The employees of the particular department are well versed with their activities & responsibilities.
The company use 360 degree performance appraisal. The company also implemented TQM concept.

The study reveals that the training & development programs play a vital role in the employees performance.
Most of the employees are satisfied with the perks that are given by the company.

Suggestions :
The company should give opportunity for new enthusiastic and creative people to contribute for companies growth.
Self-appraisal should be encouraged . Employees and employers can get together to discuss about the planning process. Attendance award is to be offered by the company, so that absenteeism can be minimized up to certain limit. By applying JIT process it can reduce the inventory cost.

Company can give even more training in the production department to increase the output.
Company can improve their promotional activities to grab the market. Company can reduce manual work in the accounting department.

Management try to discuss with the trade unions on monthly basis it can help the company to reduce the strikes.

Conclusion :
HSL is Indias foremost vertically integrated textile group, engaged in the manufacture, exports and retail of high end designer ranges of fabrics and garments. The growth of the company has been very drastic. Thus HSL is one of the leading players in the textile industry which has got its brand name in the domestic as well as the international market. This study helped me to relate theoretical concept with organizational function.