DECLARATION I ANOOBE KORNALLIOSE, hereby declares that this project work entitled “STUDY ON ORGANIZATIONAL STRUCTURE, PROCESSES AND FUNCTIONS OF VARIOUS DEPARTMENTS THROUGH SAFECARE RUBBER PRODUCTS PRIVATE LIMITED” submitted in partial fulfilment of the requirement of the award of the Master of Business Administration is a record of original work done by me under the supervision and guidance of Prof. FRANKLIN JOHN, School of Management, Karunya University, Coimbatore. This project work has not formed the basis for the award of any Degree / Diploma / Associate ship / Fellowship / of similar titles to any university.
Mr ANOOBE KORNALLIOSE ACKNOWLEDGEMENT I express my deep sense of gratitude to the Safecare Rubber Products Pvt Ltd. For the opportunity offered to me to undertake this study on organization structure and function of various section of the company. I would like to place it on cards my sincere thanks to Mr Sukumaran M P, (Manager of Safecare Rubber Products Pvt Ltd. ) who gave me the opportunity to carry out this study and for the timely guidance to completion of my project.
I wholeheartedly submit my grateful thanks to the management and other staffs members of Safecare Rubber Products Pvt Ltd. or having given me this wonderful opportunity in their esteemed organisation. I am also grateful to my project guide Mr Franklin John and other faculty members for their valuable guidance without which completion of this project would have been difficult. Last but not the least I would like to place my heartfelt thanks to my parents and friends for their constant support and confidence in me which has been always a great source of strength and inspiration to me. Above all the GRACE OF GOD led me to complete this project work successfully. CONTENTS CHAPTER 1 – INDUSRTY PROFILE 1. Introduction 2. SEZ CHAPTER 2 – ORGANIZATION PROFILE 1.
Introduction a. Company profile b. Product profile 2. Observation / Experiences a. Organizational Structure Analysis 3. Analytical Reflection 4. Conclusion 5. Appendix CHAPTER 1 INDUSTRIAL PROFILE 1. Introduction India is the third largest producer, fourth largest consumer of natural rubber and fifth largest consumer of natural rubber and synthetic rubber together in the world. With around 6000 unit comprising 30 large scale, 300 medium scale and around 5600 SSI/ tiny sector units, manufacturing 35000 rubber products, employing 400 thousand people, including around 22000 technically qualified support personnel, with turnover of Rs. 00 billion and contributing Rs. 40 billion to the National Exchequer through taxes, duties and other levies, the Indian Rubber Industry plays a core sector role in the Indian National economy. The wide range of rubber products manufactured by the Indian rubber industry comprises all types of heavy duty earth moving tyres. Auto tyres, tubes, automobiles parts, footwear, belting, hoses, cycle tyres and tubes, cables and wires, camelback, battery boxes, latex products, pharmaceutical goods besides moulded and extruded goods for mass consumption. The products manufactured also cover hi-tech industrial items.
The important areas which the industry caters to include all the three wings of defence, civil aviation, aeronautics, railways, agriculture, transport as also textile engineering industries, pharmaceuticals, mines, steel plants, ports, family planning programmes, hospitals, sports, practically to every conceivable field. The rubber industry in India is basically divided in two sectors – tyre sector and non-tyre sector. The tyre sector produces all types of auto tyres, conventional as well as radial tyres and exports to advance countries like USA. The non-tyre sector comprises the medium scale, small scale and tiny units.
It produces high technology and sophisticated industrial products. The small scale accounts for over 50% of production of rubber goods in the non-tyre category. Going by share of rubber consumption, automotive tyre sector is the single largest sector accounting for about 50% consumption of all kinds of rubbers, followed by bicycle tyres and tubes 15%, footwear 12%, belts and hoses 6%, camelback and latex products 7%. All other remaining rubber products put together account for 10%. The plantation sector with an estimated production of over 631 hundred thousand tons of natural rubber and a projected production of more than one illion tons in near future, contributes to the rapid growth of the Indian rubber industry. Kerala, with a total area of 3. 84 lakh hectares under rubber cultivation and an annual production of 3. 70 lakh tonnes, produces over 90% of India’s natural rubber. Of the total area, 92% is represented by small holdings with an average area of around 0. 5 hectares. There are about 10 lakh growers and 3. 5 lakh workers engaged in the rubber sector of which more than 90% belongs to Kerala. A sound network of intermediate rubber units engaged in rubber compounding, crumb rubber manufacture etc.. , exist in the state. RUBBER
Macromolecular material which has, or can be given, properties of: ? Returning rapidly (at room temperature) to the approximate shape from which it has been substantially distorted by a week stress, and ? Not being easily remoulded to a permanent shape by the application of heat and moderate pressure. VARIETIES OF RUBBER ? Natural latex: This is a white fluid obtained from the rubber tree. It contains small particles of rubber dispersed in an aqueous medium. The aqueous medium also contains plant proteins which are thought to be responsible for triggering the allergy. ? Natural rubber: This includes all material made from or containing latex.
Natural rubber is made by two processes, the natural rubber latex process (NRL) and the dry natural rubber process (DNR). DNR process This involves compressing the rubber at a high temperature and pressure. The plant proteins, responsible for the allergy are denatured at these temperature and pressures and therefore pose a lower risk than rubber made by the NRL process. NRL process This involves the use of natural latex in a concentrated colloidal suspension. This type of latex contains a much greater proportion of plant proteins than latex produced by the DNR process. Most intermediate type reactions result from exposure to NRL products.
Standard Grades Natural rubber is produced primarily in three countries: ? Thailand ? Malaysia ? Indonesia Present Status in India With around 6000 unit comprising 30 large scale, 300 medium scale and around 5600 SSI/tiny sector units, manufacturing 35000 rubber products, employing 400 hundred thousand people, including around 22000 technically qualified support personnel, with a turnover of Rs. 200 billion and contributing Rs. 40 billion to the National Exchequer through taxes, duties and other levies, the Indian rubber industry plays a core sector role in the Indian economy. The industry has certain distinct advantages like: An extensive plantation sector. ? Indigenous availability of the basic raw materials, like natural rubber, synthetic rubber, reclaim rubber, carbon black, rubber chemicals, fatty acids, rayon and nylon yarn and so on. ? A large domestic market. ? Availability of cheap labour. ? Training facility in various technical institutes. ? On-going economic reforms. ? Improved living standard of the masses. India and the World India is the third largest producer, fourth largest consumer of natural rubber and fifth largest consumer of natural rubber and synthetic rubber together in the world.
Besides India is the world’s largest manufacturer of reclaim rubber. In fact, India and china are the only two countries in the world which have the capacity to consume the entire indigenous production of natural rubber and thereby obviate the compulsion and over dependence on exports of surplus quantity of natural rubber industry. The plantation sector with an estimated production of over 630 hundred thousand tons of natural rubber and a projected production of more than one million tonnes in near future helps radical and rapid growth of Indian rubber industry.
The growth prospect is further enlarged by a boom in the vehicle industry, improved living standards of the masses and rapid over-all industrialization. The per capita consumption of rubber in India is only 800 grams against 12 to 14 kilos in japan, USA and Europe. This envisages tremendous growth prospects of the industry in the years to come as India is far from attaining any saturation level, so far as consumption of rubber products is concerned. Range of Products The wide range of rubber products manufactured by the Indian rubber industry is ? Auto tubes ? Automobiles parts Footwear ? Belting ? Hoses ? Cycle tyres and tubes ? Cables and wires ? Camelback ? Battery boxes ? Latex products ? Pharmaceutical goods Future scope With the saturation in rubber consumption in western countries and the shift in consumption of rubber to the Asia pacific region, the focal points for this decade for development will be India. The industry is expected to grow at over 8% p. a. in the coming decade. Taking into account the above prospects, the industry envisaged annual growth rate of 8% and the per capita consumption of rubber at 0. 8% kg against 14 kg. here exists tremendous scope for expansion and development in coming years provided basic raw materials, particularly natural and synthetic rubber are made available in adequate quantity and at reasonable prices. Asia is now the focus of growth in the rubber industry. The entire world’s natural rubber is grown in this region namely Thailand, Indonesia, India, Korea, Malaysia etc… World’s powerhouse Japan is here. The largest investments in new synthetic rubber plants are coming up in Asia. Production of all auto majors is shifting to Asia, even as consumption-wise Asia’s share in the world’ auto market grows.
World Rubber Production In 1991 Thailand replaced Malaysia as the top producer and exporter of natural rubber products. This has been the result of a re-planting program. A majority of Thailand’s rubber plantations are located in the southern part of the country. Thailand leads the rubber producing countries in research and development of natural rubber. This makes Thai natural rubber is the most dependable and consistent. A majority of rubber products are exported in their raw form such as Technically Specified Rubbers: STR, RSS, Skim Block, ADS, Crape and Concentrate Latex. Exports account for 90% of natural rubber production.
The remaining 10% is utilized by local manufacturers. Of the 10% of total production that is utilized domestically, 55% of this amount is processes as value-added goods. Major manufactured rubber products are tires and inner tubes for automotive. Raw Materials & Machinery The yardstick to measure the growth rate of the industry is the rubber consumption. Besides rubbers- natural, synthetic and reclaim there are other raw materials required by the industry. These include: carbon black, rubber chemicals, tyre cords, plasticizers, process oils, zinc oxide, stearic acid, titanium dioxide and other miscellaneous chemicals which are all available ndigenously. This apart, almost all types of major rubber machinery being manufactured in the country. Exports India’s exports of rubber products, including tyres exceed Rs. 2000 crore. The ranges of products exported are – ? Automotive tyres and tubes ? Rubber and canvas footwear ? Cycle tyres ? Pharmaceutical goods ? Rubber hoses, cots and aprons ? Belts and beltings These products are exported to over 85 countries, including ? USA ? Germany ? France ? U. K ? Italy ? U. A. E ? Saudi Arabia ? Africa ? Afghanistan ? Bangladesh Market Influencing Factors The rubber production fluctuates between months and it is normally low during the rainy season. ? The ratio of utilization of domestic production and imported rubber by tyre manufactures. ? Government policies have a profound influence on rubber prices. These include subsidies, restrictions on ports etc. ? International rubber price movements, have a slow influence. ? Stockist and speculators also play an important role in influencing prices. 2. SPECIAL ECONOMIC ZONES (SEZS) An Overview Safecare Rubber Products Pvt Ltd operates in Cochin Special Economic Zone and it enjoys many benefits in doing so.
So it’s very essential to analyse the benefits enjoyed by a firm operating under Special Economic Zone. A brief overview of Special Economic Zone here gives an idea of the economic and business activities under such zones. The government of India announced the introduction of Special Economic Zones in April 2000 to achieve the following objectives: ? Generation of additional economic activity ? Promotion of exports of goods and services ? Promotion of investment from domestic and foreign sources ? Creation of employment opportunities ? Development of infrastructure facilities
Special Economic Zone (SEZ) is defined as “a specifically delineated duty free enclave and shall be deemed to be foreign territory for the purposes of trade operations and duties and tariffs”. SEZs are an acknowledgement of the potential of export-led development strategy in accelerating economic growth. The Indian SEZ policy provides for the development of these zones in the Government, private or joint sector. This offers equal opportunity to both Indian and international private developers. Units may be set up in SEZ for manufacture of goods and rendering of services.
The units in the zone have to be net foreign exchange earners but they shall not be subjected to any pre-determined value addition or minimum export performance requirements. The Government has converted eight Export Processing Zones at Kandla and Surat (Gujrath), Cochin (Kerala), Santa Cruz (Mumbai-Maharashtra), Falta (West Bengal), Chennai (Tamilnadu), Visakhapatnam (Andhra Pradesh), and Noida (Uttar Pradesh) into special economic zones approved for establishment at Indore (Madhya Pradesh), Manikanchan –Salt Lake (Kolkata) and Jaipur have since commended operations.
Considering the need to enhance foreign investment and promote exports from the country and realizing the need that level playing field must be made available to the domestic enterprises and manufacturers to be competitive globally, the government had in April 2000 announced the introduction of Special Economic Zone policy in the country, deemed to be foreign territory for the purposes of trade operations, duties and tariffs. SEZ Act 2005 ? Passed by parliament in May 2005 ? Recd. Presidential assent on 23rd June 05 Came into effect on 10th Feb 06 supported by the SEZ Rules SEZs when operational are expected to offer high quality infrastructure facilities and support services, besides allowing for the duty free import of capital goods and raw materials. Additionally, attractive fiscal incentives and simpler customs, banking and other procedures are offered in such zones. Setting up of SEZs is also treated as an infrastructure development activity and offered same incentives. Salient features of the Indian SEZ initiative Include: Unlike most of the international instances where zones are primarily developed by governments, the Indian SEZ policy provides for the development of these zones in the government, private or joint sector. The offers equal opportunity to both Indian and international private developers. ? For Greenfield SEZs, the Government has specified a minimum preferable area of 1000 hectares. However, for sector specific SEZs, there is no restriction of minimum area. ? 100% FDI is permitted for all investments in SEZs, except for activities under the negative list. SEZ units are required to be positive net foreign exchange earners and are not subject to any minimum value addition norms or export obligations. ? Goods flow into the SEZ area from Domestic Tariff Area (DTA) will be treated as exports and goods coming from the SEZ area into DTA are treated as imports. ? Currently, a number of SEZ projects are coming up in the country. The government has given a go-ahead for around 17 SEZs to be set up in the private sector or the joint sector.
Of these, the projects at Positra (Gujrath), Vishakhapatnam (Andhra Pradesh), Indore (Madhya Pradesh) and Navi Mumbai (Maharashtra) are in advanced stages of planning and development, while the others are preparing to get off the ground. Incentives and Benefits Besides providing state-of-art infrastructure and access to a large well- trained and skilled work force, the SEZ policy also provides enterprises and developers with a favourable and attractive framework of incentives: ? 100% income tax exemption for a block of five years and an additional 50% tax exemption for two years thereafter. 100% FDI in the manufacturing sector permitted through automatic route, barring a few sectors. ? External commercial borrowings by SEZ units up to US%500 million in a year without any maturity restrictions through recognized banking channels. ? Facility to retain 100% foreign exchange receipts in exchange earners foreign Currency Account. ? 100% FDI permitted to SEZ franchisee in providing basic telephone services in SEZs. ? No cap on foreign investment for small scale sector reserved items. ? Exemption from industrial licensing requirements for items reserved for the SSI sector. No import license requirements ? Exemption from customs duties on import of capital goods, raw materials, consumables, spares etc. ? Exemption from Central Excise duties on procurement of capital goods, raw materials, consumable spares etc… from the domestic market. ? No routine examination by customs for export and import cargo. ? Facility to realize and repatriate export proceeds within 12 months. ? Profits allowed to be repatriated without any dividend-balancing requirement. ? Job work on behalf of domestic exporters for direct export allowed. Subcontracting both domestic and international is permitted; this facility is available to jewellery units as well. ? Exemption from Central Sales Tax and Service Tax. ? Facilities to set up off-shore banking units in SEZs. Incentive to Developers ? Exemption from duties on import/ procurement of goods for the development, operation and maintenance of SEZ. ? Income tax exemption for a block of 10 years in 15 years. ? Exemption from service tax ? FDI to develop townships within SEZs with residential, educational, ealth care and recreational facilities permitted on a case-to-case basis. CHAPTER 2 ORGANIZATION PROFILE 1. Introduction: An organization is a planned coordination of people and their activities for the achievement of the organizational goal through division of labour work, specialization and hierarchy of authority. It is an essential part of human life. We born in organizations educated and spend most of our lives working for organization. So everyone wants to know what role does it plays in management.
An organizational study includes the structure and functioning of every department of an organization. The structure is very important for its proper functioning and growth. Organization as a structure refers to the network of relationships among individuals and positions in an organization. Organization structure is the structured framework within which the efforts of different people are co-ordinate and related to each other. It is a blue print of how management will like the various activities and functions to be performed.
We can also say that the organization is a process. It is the process of determining, arranging, grouping and signing the activities to be performed for the attainment of objectives. The rapid changes in the fields of science and technology have brought many changes in the organizational system. Such changes become inevitable to achieve the basic objective of the firm. All organizations are collection of people linked together by formal and informal relationship and have hierarchical orders that are engaged in co-operative activities and they all have identical boundaries.
So organizational hierarchical structure and functioning is very important for the future. During my study at Safecare Rubber Products Pvt Ltd, I was able to come across many facts that we study in the form of theories in the practice. This enabled me to get a practical and real time feel of various aspects concerned with the organization and to relate it to the concepts and theories studied in the classroom. The study gave me an opportunity to observe, learn, assimilate and analyse the objectives and vision of the organization and functioning of its various departments.
OBJECTIVES OF THE STUDY ? To study the organizational structure and hierarchical level of Safecare Rubber Products Pvt Ltd. ? To study about the various departments of Safecare Rubber Products Pvt Ltd ? To study about the system of functioning. ? To study about how the management control various departments for the attainment of the organizational objectives. ? Effectiveness of the existing organizational system. ? Drawbacks of the present system if any. a. COMPANY PROFILE |Company Name |Safecare Rubber Products Pvt. Ltd. |Address |19, Cochin Special Economic Zone, Kochi-30, Kerala, India | |Year of establishment |2000 | |Product(s) Manufactured |Pre-Powdered & Power Free Latex Examination Gloves, Surgical | | |Gloves | |Sales Turnover |FY 06: USD 1. 8 Mn | | |FY 05: USD 1. 00 Mn | | |FY 04:USD 0. 89 Mn | |Conformity to Standards |ASTM / EN Standards | |Manpower Total (Nos. |70 | |Raw materials / Equipment used |Latex, Sulphur, PHT, Terric, Powder Free Chlorinating Machines, | | |Drying Machine, Tensile Tester, Air Nostrils, Physical Dimension | | |Testing Equipment | |Effluent Generated |Yes | . PRODUCT PROFILE |Product Information | |Type |Packing |Texture |Sizes |Specification |AQL | | |Pre-Powdered |One pair in a paper |Rough / Micro |6-9 |ASTM D-3577 EN 455 |1. | | |Sterile |wallet and packed in|Rough | | | | | |Disposable |peel / tear open | | | | | | | |pouches | | | | | | | | | | | | | |SURGICAL | | | | | | | | |Powder- free |One pair in a paper |Rough / Micro |6-9 |ASTM D-3577 EN 455 |1. | | |Sterile |wallet and packed in|Rough | | | | | |Disposable |peel / tear open | | | | | | | |pouches | | | | | | |Pre- Powdered Non|One pair in a paper |Rough / Micro |5. 5-8. 5 |IS:4148 |1. 5 | | |Sterile Reusable |/ polythene pouches |Rough | | | | | |Sterile Pre- |One pair in a pouch |Micro Rough |Small Medium |ASTM D-3578 EN 455 |1. | | |Powdered and | | |Large & X | | | | |Powder- Free | | |Large | | | | | | | | | | | |EXAMINATION | | | | | | | | |Non Sterile Pre- |100 pieces in a |Micro Rough |Small Medium |ASTM D-3578 EN 455 |1. | | |Powdered and |dispenser box | |Large & X | | | | |Powder- Free | | |Large | | | 2. Observation / Experiences a. Organizational Structure Analysis Safecare Rubber Products Pvt Ltd has a simple organizational structure with three directors at the top level management. The directors are jointly responsible for the decisions and all decisions are taken together. The director of administration is in charge of the overall operations and productions. The day to day operations and control are carried out under his upervision. Of the remaining two, one director is in charge of finance and marketing together and one is the director in charge of the technical aspects of the firm’s production and function. In the middle level management we have two manages one in charge of administration and other is the production manager or the foreman. The manager of administration is in charge of the overall administration of the production, purchases, human resources and a link between and the lower levels and top management. The foreman is in charge of overall production and the production and the production line. Both of them reports to the top management directly.
The lower level management is filled by office staff and heads of laboratory and inspection and the supervisors. They all report to the manager of administration as he acts as the link for them with the top management. The structure is as represented in the given below flow chart. Figure: Organizational Chart of SAFECARE RUBBER PRODUCTS PVT LTD HUMAN RESOURCE DEPARTMENT HRM is a management function that helps manager’s recruit, select, train and develops members of an organization. It is concerned with the people dimension of the business. The scope HRD is vast indeed as all the major activities in the working life of a worker or an employee from time of his entry to the organization until he or she leaves come under the preview of HRD.
Its activities include HR planning, training and development, performance appraisal and evaluation, employee motivation, remuneration, communication, welfare, safety, health, industrial relations and the like. All the factors of production the so called machine, money and materials are useless without man. Management is basically man management. The manager administration is in charge of the HR department for Safecare Rubber Products Pvt Ltd. The plant works throughout the day except for occasional bypass for some quality checks, overheating of machines etc… so the plant requires human resource throughout the clock. The workers are paid minimum wages with an allowances of Rupees 350/- and overtime if any. The selected workers are given on the job training for 10 to 15 days.
Work training is given by respective supervisors. The outside state workers are given accommodation facilities outside CSEZ by the company itself. There working hours in shifts for workers i. e. from 8 am to 4 pm, 4 pm to 12 am and 12 am to 8 am. There is a general shift from 9 am to 5:30 pm for office staff and inspection section. The company holds a strong disciplinary stand and even after receiving a formal warning if the worker or employee continues to misbehave they are straight away given suspension and if the degree of misbehaviour is higher, then they are straight away fired. Goals and Objectives of HR Department Modern HRM has a holistic approach towards its goals i. e. t tries to maintain equilibrium among organizational, personal and social interests. Conscious efforts are taken to match the interest of all the three. The company’s very objective is to serve the society and it’s the society that helps the company to sustain its growth. So the company must relate the products and services to sustainable development of the society. In this regard the major roles of HRM are: Individual goals ? Job satisfaction ? Better wage and salary ? Better working conditions ? Skill development ? Personal growth ? To realize fullest potential Organizational goals ? Maximization of profit ? Continuous survival and expansion ? Quality products and services Social goals Quality products and services at reasonable prices ? Fair returns to owners ? Creation of employment opportunities ? Regular supply of goods ? Improve standard of living of employees ? Better use of scarce natural resources ? Assist economic development of the nation Strategies to achieve objectives ? Recruit right person for right job ? Management makes it sure that people work with them rather than work for them ? Proper information about roles, contributing to be made by each employees must be given ? Maintain sound human relations ? Sound organizational policies to ensure authority, responsibility and accountability HUMAN RESOURCES STRENGTH PRODUCT LINE | 1 FOREMAN | | |+ 4 SUPERVISORS | | |+ 14 WORKERS | |LABORATORY | 1 SUPERVISOR | | |+ 3 LAB ASSITANTS | |COMPOUNDING AND MAINTENANCE | 3 WORKERS | |INSPECTION SECTION | 2 SUPERVISORS | | |+ 29 WORKERS | |OFFICE | 1 ADMINISTRATION MANAGER | | |+ 2 STAFF | |MISCELLANEOUS | 1 SECURITY | | |+ 1 SWEEPER | |TOTAL | 62 | PRODUCTION DEPARTMENT Figure: Production Department Structure The production is under the supervision of production manager or the production foreman and manager administration. They are assisted by four supervisors under four shifts in a week. They all report to production manager. Production layout design in Safecare Rubber Products Pvt Ltd is product layout in which the machines are organized to conform to the sequence of operations required to produce the product i. e. surgical gloves and testing gloves. The product layout is typical high volume standardized production.
An assembly line or transfer line is product layout because assembly line facilities are organized according to the sequence of the steps required to produce the item. Product layouts are desirable for flow type’s mass production and provide the fastest cycle times in this environment, but at the same time are expensive, inflexible and experience a significant amount of idle time i. e. if one part of the line stops the entire line will have to remain idle until the problem is corrected. Human resource requirement in production department |Production line |1 foreman + 4 supervisors + 14 workers | THE PRODUCT LAYOUT: WASHING FORMERS
The Production starts and end at the same point in a product layout as in the case of rubber gloves manufacturing whether it’s surgical or examination gloves the formers or moulds must be washed properly and cleaned of any possible impurities to ensure better quality, reduce wastage, make sure the alkali content is absent and to make sure that compounded latex sticks onto the moulds properly. The moulds are washed in three tanks separately one after the other in the order. Figure: washing formers The first tank contains nitric acid to a PH level of 0 to 1 and in the second tank called the ultrasonic tank; any acid content is washed off and in the third tank the moulds are washed again in hot water to ensure that the moulds are absolutely free from impurities and particles that can hamper smooth production of gloves. Then the water is dripped off and lead to the chemical tank. COAGULAM TANK – DOPE TANK DIPPING
The cleaned and dust free moulds are then lead to the chemical tank known as the COAGULAM tank or the DOPE tank in which it contains Calcium Carbonate and Calcium nitrate mixed with water. This enables the moulds to be impurity free and lets the latex clinch onto the mould easily. DOPE OVEN Then the moulds are lead to DOPE OVEN where the temperature ranges from 100 to 118 degree centigrade. The moulds are heated so as make it ready for the latex tank and dope oven enables the moulds to get a proper amount of latex on it. LATEX TANK Latex tank contains compounded latex which prepared by mixing chemicals like Ammonia, Zinc Oxide, Sulphur, Vultamol, etc…. nd they are mixed in tanks separately and the maturation period of latex is around three days and over maturation and under maturation has to be taken care off so as to avoid defects like skimming, pitting of the end product. The latex tank has to be kept cool and the temperature must be maintained below 35 degree Celsius so as to avoid lumping of latex. The moulds are dipped and then it is moved to the GELLING OVEN. GELLING OVEN The moulds are lead to the gelling oven and the heat converts the latex into a gel form which enables rolling of the gloves at the end of the oven using rollers at the end of the oven. BEADING AREA Here the gloves are given beading using a roller and the length on which the bead is to be set on the gloves depends upon what is specified in the order. LEACHING TANK
The next stage is known as LEACHING which means creating uniformity and reducing protein content of the gloves. By leaching the uneven spots are evened off and moreover by adding Ammonia or Potassium Hydroxide the protein content can be removed. If the production is for the European market, they are very popular that the gloves have protein content below two hundred PPM, but at the same time proper care must be attached to leaching as it can lead to discolouration of the end product. CALCIUM CARBONATE DUSTING The moulds are then dipped in the calcium carbonate tank and it enables the moulds to b free from stickiness and enables the easy stripping of the gloves from the moulds at the end of the production line.
Then the moulds are baked in the oven for three times in a temperature which is more than a 100 degree centigrade and at the end they are move out of the production line for stripping STRIPPING It’s done by employees at the end of the production line and at a time requires around four to six employees for stripping. The defects found on stripping are removed on the spot and remaining are collected and tumbled. TUMBLING AND COOLING The stripped gloves are tumbled and cooled so as to reduce any stickiness and to remove calcium carbonate powder which remains on the top of the gloves after baking in the oven. Samples are taken to lab for random inspection and to detect any major or minor defects so as to take necessary actions as soon as possible. Then the finished products are sent to the inspection section in BINS.
Figure: Normal Rubber Glove Production Process or Production Layout. ONLINE INSPECTION & THE LABORATORY Figure: Structure of Laboratory & Online Inspection Unit. The laboratory and the online inspection section are managed by a senior lab chemist, who is assisted by three lab assistants who take shifts and are available twenty four hours. They all are under supervision of the manager of administration and report to him directly. The function of laboratory is to carefully carry out inspection, quality control and take appropriate actions whenever necessary. A sample of fifty gloves are taken out from the stripping section and tested before being the final product being sent to the inspection section.
The main purpose of online inspection is to find out the amount of defects during a particular time of production with regard to a particular lot of products. Defects are classified into minor and major ones. Major Defects include pin holes in finger tips, finger sides, between fingers, palm, cuff etc…Other major defects include visible holes, strips tear, touching, embedded particles, non-removable dirt’s, beadles, oil stains etc… Minor Defects include weak spots that too in finger tips, finger sides, between fingers, palm, cuff etc… and other minor defects include white spots, wash away, cracks, fish eye, bead incomplete, blister, yellow stain etc… Online Inspection Objectives: To ascertain the amount of defects present in the final product ? Quality assurance both raw materials used and final product produced ? Control and comparison with standard so as to ensure norms as mentioned in the order ? To take appropriate action whenever necessary ? Reporting to the management INSPECTION SECTION …. Figure: Inspection Section Structure The inspection section has two supervisors and twenty nine employees for inspection purpose. The objectives are to: ? Stock keeping: They have to maintain the stocks of incoming and outgoing materials which include the sales. The stock reports are prepared in a daily and on monthly basis. ? Inspecting and classification:
The incoming goods are inspected and they are classified into three major categories depending upon certain standard which depends upon the order received. The categories include A Grade which is the best under test conditions that is both physical verification and air test. They have many qualities like uniformity in size; skim free, stainless, non-stickiness etc… The B Grade glove doesn’t have all qualities like in the case of A Grade gloves. They have minor defects like minute holes or so. The remaining gloves rejected for dirt, oil stains, skim etc… they form the Rejections. ? Reporting: By reporting it means that all the details of stock, the number of pieces inspected, the amount of A, B and Rejections, employee details i. e. hat they did and their functioning. The reports are sent directly to the Director on the daily and on monthly basis. ? Sales: The inspected and classified goods are put in proper sacks and forwarded for sales and the details of the quantities alone are dealt with by this section. SYSTEMS DEPARTMENT: Managers have always had sources of information; the MIS provides them with a system of information. Thus it is a powerful method for aiding managers in solving problems and decision making. Modern management has become more system oriented and more sophisticated in management techniques. Information has to be planned and made available at appropriate times.
It ties the planning and control by managers to operational systems of implementation. The combined result of all these is the MIS. The purpose of MIS is to raise the managers from the level of piecemeal spotty information, intuitive guesswork and isolated problem solving to the level of system insights, system information, sophisticated data processing and systems problem solving. Safecare Rubber Products Pvt Ltd. uses a very simple system of information most suited to its requirements and information required and with regard to degree of operations and size of the firm. Tally is used to store accounting data and Excel is used for generating further information and reporting. The
MIS department is a single individual run, in the firm and serves almost all the purpose of a standard MIS. Use of Management Information System (MIS) in Safecare Rubber Products Pvt Ltd: ? An MIS provides Directors with information and support for effective decision making, and provides feedback on daily operations ? Output, or Reports, are usually generated through accumulation of transaction processing data ? Used for generating monthly reports both numerical and written. ? Conducting cost comparisons and cost benefit analysis Characteristics of a Management Information System in Safecare Rubber Products Pvt Ltd: ? Provides reports with fixed and standard formats Hard copy and Soft copy reports ? Uses internal data stored in the computer system ? End users can develop custom reports ? Provides support to Directors as they work to achieve the goals ? Enables Directors to compare results to established company goals and identify problem areas and opportunities for improvement PURCHASE DEPARTMENT The administration manager is in charge of the purchase department. Purchasing is centralized and it includes of raw materials in the form of latex, chemicals etc… Former or moulds are imported and certain chemicals that are imported include Beveloide, Terric etc… which are imported from Consultrade Malaysia.
Latex is produced mainly fromn local suppliers which include St Mary’s Pala, Kottayam, Chancellor Trade Links, etc… Outside state chemical suppliers to Safecare Rubber Products Pvt Ltd include Sterling Chemicals in Gujarat and Progressive Polymers in Mumbai. The local chemical suppliers include Associate Chemicals, Surya Industrial Chemicals, Southern Minerals & Metals, Industrial Reagents & Chemicals etc… all from Cochin itself. Other major purchase includes that of Furnace oil which is supplied from BPCL. Objectives of Purchase Department ? Enquiring price details of offers put up by different suppliers with regard to raw materials. ? Sample checking as in the case of a new supplier and quality has to be ensured in the case of same. Proper assessment of viability of price and credit facilities offered by the suppliers ? Preparing purchase order clearly mentioning the a. Payment terms and conditions b. Quantity required c. Price of the material d. Date of supply ? Inspection and physical verification of goods received ? As the company operates in CSEZ purchase returns has to be made with reference and with the permission of proper authorities. STORES DEPARTMENT The stores department uses a stores ledger to maintain stores details with regards to both price and quantity in store. The receipts and issues of materials are recorded on a daily basis in a stock register which includes details like ? Quantity ? Price ? Name of supplier
On receipt a Goods Received Note (GNR) is prepared and on issue of materials a Materials Issue Voucher is prepared and recorded. The materials are issued on First Come First Serve basis i. e. FIFO method is employed in Safecare Rubber Products Pvt Ltd. A credit of production is charged to the books as expenses. Another major responsibility is to prepare monthly reports with details of material movement. MARKETING DEPARTMENT Safeshield India Pvt Ltd is the Marketing division of Safecare Rubber Products Pvt Ltd. The marketing department is headed by Director of Safecare who is charge of both Marketing and Finance. Figure: Marketing Department Structure The Director is in charge of marketing department and under him he has three subordinates.
The Secretary is in charge of answering all customer queries and carrying out all paper works and communications. The commercial manager is responsible for the exporting and shipping functions. Development in product, brand, package etc… forms the responsibility of the General Manager. Features: ? Value Addition ? Removing powder content i. e. calcium carbonate powder ? Removing excess protein content ? For this gloves are chlorinated i. e. gloves are washed in water mixed chlorine and dried on both sides. Calcium Carbonate content must be as less as . 2mg/ glove i. e. in confirmation to the standard viz ASTMD3577 for surgical gloves and ASTMD3578 for examination gloves. ? Branding The brands are two in kind i. e. one for customers and the other for Safeshield. ARMOUR for surgical gloves and SAFEGLOVE for examination gloves are the regular brands for the company. For customers the firm brands in customer brand name and major customers are Europe, Latin America and Africa. In Africa major customers are in Tanzania, Kenya and Uganda. Safeshield produces and markets on the behalf of US Global in the brand name UB CARE to these nations and on completion of production the gloves are directly exported by Safeshield to these nations. ? In Europe major buyers include IMERS in Holland, where they export gloves to Sudan in the brand name Holden Medicals.
CSCP in France is another major buyer which procured gloves for French Colonies in Africa. For Latin America ADAR Medicals, an US based firm which is regarded as one major customer for Safecare purchases gloves for Venezuela. Moserbaer too is a major customer for the firm especially powder free gloves. ? Certification ? The firm enjoys CE, ISO 9000-2001 and US TUV certification (for US) which are very essential for procuring export rights for foreign nations. For World Bank tenders it is a must to have ISO 9000-2001 certification (In African countries the World Bank is sponsoring import of gloves). ? In most of the cases shipping and exporting functions are carried by Safeshield for Safecare. Conducting regular internal auditions and management review meetings so as to keep things up to date. STRATEGIES ? The business attracts customers online as they use a website which is basically a B2B Portal and the details are available online and moreover when a search is made the marketing head has made sure the name of the company appears on the first page of Yahoo and Google search pages. ? Prompt correspondence to queries that too within 24 hours. ? Irrespective of chances the firm sends samples and even overseas samples are sent to customers and the expenses are met out of the marketing budget. ? Reassurance is given to customers i. e. n case of product failure the company replaces or compensates the loss. ? Prompt supply and delivery as the schedules are pre-planned well before three months FINANCE DEPARTMENT Safeshield India Pvt Ltd is the marketing division of Safecare Rubber Products Pvt Ltd. The marketing department is headed by Director of Safecare who is charge of both Finance and Marketing departments. Functions ? Fund Management ? Preparing cash flow statements i. e. both cash and fund flow schedules are prepared. Two months schedule of cash flows and a five day cash outflow statement with regard to raw materials, latex, chemicals, furnace oil, etc… as listed out by the operations manager. Reduction in cost and expenses ? Proper cash management ? Profitability statement, balance sheet, budgets etc… are prepared every month. 3. Analytical Reflection SWOT ANALYSIS STRENGTHS: ? Products are of high quality: Products are of high quality as they are subject to strict quality control measures imposed by both the customers and SEZ authorities. ? Morale of employees is very high Morale of employees is very high especially in the middle level management ? Financial level of the company is sound The financial analysis made during the study reveals the financial soundness of the firm ? The firm enjoys CE, ISO 9000-2001 and US TUV certification Timely completion of all work orders and prompt delivery ? Experienced Directors and middle level managers. WEAKNESSES: Analysing the various strengths of Safecare Rubber Products Pvt Ltd, the following problems were noticed which need focused attention. ? High employee turnover in production The human resource requirement for production is less but the firm finds it difficult to find workers for its production especially in the stripping section. Most of the firm employees are North Indian workers for stripping as the rewards are pretty low and the employment of North Indians especially Bihari’s the firm has done away with employee turnover for the time being. ? Lack of technological up-gradation
The machinery in production requires up-gradation as it is a decade or more old and subject depreciation. ? Under utilization Underutilization of plant capacity a whole production line remains idle and the present production is carried out by a single production line. OPPORTUNITIES There are unlimited opportunities for the growth of this firm ? Widespread demand for the product ? Efficiency of workers can be enhanced ? Plant capacity can be utilized to full as one entire production line remains idle ? Negotiations to expand the export market THREATS ? Competition from domestic companies with strong export bases ? Chemicals like Ammonia, calcium carbonates etc… are harmful to the plant employees and workers in the production plant As the production is done using only one production line keeping an entire production line idle the firm may fail to grab onto any opportunity in the form of a hike in demand, a massive order… or the failure of the operating production line can cause delay in meeting present demands and completion of work on time. 4. CONCLUSION Objectives and Goal of the Firm The company enjoys a market share of 12% and wants to increase it far ahead. Firms like KANNAM LATEX in Nagercoil which is the market leader; PRIMUS, SANTRIA, NEWLIFE etc… are the major competitors and other firms like ASMA RUBBER, JANCO POLYMERS and NIRACLE GLOVES etc… Safecare currently enjoys seventh position in all India market and aims to attain Fourth position, behind KANNAM LATEX, PRIMUS and NEWLIFE in terms of business volume. Limitations ? Time is the main limiting factor in this study.
The study is conducted for 27 days within a short time. ? The company personnel do not reveal the trade secrets and confidential information’s like financial and marketing etc. ? This work is primarily intended to fulfil the requirement of university course outline which stipulates summer training of four weeks period in a business organization. Hence a detailed and in depth study is beyond the scope of training. ? It is probable that primary data collected suffers from personal bias of respondents. ? This organizational study only depends on secondary data from company personnel, journals and internet etc… there is chance for detailed study only by a research. There is no choice for finding the problems, markets etc… because there is no research activities carried out. 5. APPENDIX Reference: ? http://www. safeshield. com ? http://www. csez. com[pic] ———————– DIRECTOR TECHNICAL DIRECTOR ADMINISTRATION DIRECTOR FINANCE / MARKETING MANAGER PRODUCTION / FOREMAN MANAGER ADMINISTRATION CLERICAL STAFF OFFICE STAFF INSPECTION LABORATORY PRODUCTION SENIOR LAB CHEMIST SUPERVISORS SUPERVISORS SUPERVISORS SUPERVISORS SUPERVISORS SUPERVISORS LAB ASSITANTS LAB ASSITANTS LAB ASSITANTS 14 WORKERS 29 WORKERS PRODUCTION SUPERVISORS SUPERVISORS SUPERVISORS SUPERVISORS COAGULAM TANK- DOPE TANK WASHING CASTS LATEX TANK DOPE OVEN
GELLING OVEN BEDDING AREA LEACHING TANK OVEN BAKING TUMBLING AND COOLING STRIPPING CALCIUM CARBONATE DIPPING ULTRASONIC TANK HOT WATER TANK NITRIC TANK LEACHING NO. 1 ACID TANK ONLINE QC TESTING LEACHING NO. 2 STERILIZATION PACKING INSPECTION TUMBLING STRIPPING WET POWDER CURING OVEN BEADING LATEX GELLING OVEN LATEX DIPPING COAGULANT DRY OVEN COAGULANT DIPPING FRYING DRYING OVEN WASHING TANK NO. 2 WASHING TANK NO. 1 LABORATORY LAB ASSITANT LAB ASSITANT LAB ASSITANT SENIOR LAB CHEMIST INSPECTION EMPLOYEE 28 EMPLOYEE 4 EMPLOYEE 3 EMPLOYEE 2 EMPLOYEE 29 EMPLOYEE 1 SUPERVISORS SUPERVISORS DIRECTOR OF MARKETING SECRETARY COMMERCIAL MANAGER GENERAL MANAGER
Cite this Organization Structure Essay
Organization Structure Essay. (2017, Feb 11). Retrieved from https://graduateway.com/organization-structure-2/