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ORGANIZATION STUDY

Table of Contents

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PARTICULARS
INTRODUCTION
COMPANY
PROFILE
PRODUCTS
PROFILE
ORGANIZATION
AL
STRUCTURE
SWOT
ANALYSIS

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ORGANIZATION STUDY

Introduction
Mysore Sales International Limited, it was established in the year
1966 by the Govt. of Karnataka to manage the marketing needs of the
growing industries of the state since then the company has grown from
strength, to emerge as a dynamic marketing force with national presence
and international reach.

MSIL as a subsidiary of KSIIDC (Karnataka State Industries Investment


Development Corporation) work as a marketing organization, found it easier
to take a product market it, sell and make a margin.

MSIL was established as a novel concept in the public sector, a


centralized marketing asset for various products of the state, with its
subsidiary advertising company marketing consultant & agencies limited,
MSIL provides comprehensive range of marketing and advertising services.

MSIL entered the consumer durable market throughout its hire purchase
scheme, MSIL home maker and with the MSIL tour and travels division it
started meeting the travel requirement of a large number of officials.

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MSIL began to extend its operations beyond marketing special projects
for the Government like the distribution of imported cement during
nationwide shortage and export white rice during a year of surplus,
manufacture and distribution of notebook for students, management of the
Bangalore Air Cargo Complex functioning as custodian for customs cargo.
It is the stole selling agent for the Karnataka state lotteries, it markets
note books & exercise books and stationary through the paper division. It is
the custodian of the Bangalore Air Cargo Complex and has a Tours & Travels
Division. It is also engaged in hire purchase business for the employees of
the Government, state PSUs boards, and authorities etc.

The manufacturing and distribution of books and school children and


the government of state lottery the management of Bangalore Air Cargo
Complex as custodian or customer cargo for the operation.

In the recent time MSIL has entered the customer durable market with
his higher purchase scheme MSIL homemaker and with the MSIL tools and
Travels. When there was need for distribution steaming the leaker
distribution in the state it was once again MSIL which route the occasion and
with its wide network it has carried out task effectively.

This is MSIL today and organization with is Asian Marketing. And the
export house of government of Karnataka.

The company also operates Mandara a showroom at Lavelle Road,


Bangalore for sale of sarees and other items. It operates 3 franchise shops

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for the sale of its products in Bangalore at KSRTC Bus Stand, Majestic & BMTC
stands at Majestic & Shivajinagar. It commenced chit funds business during
January 2005 and is also engaged in export of iron ore. It is also engaged on
signage works for the department of Tourism, Government of Karnataka and
Archaeological survey of India, Govt. of India. The company is an ISO
9001:2000 Certified Company.

Company Backgrounds :Company Name

Mysore Sales International Limited (MSIL)


Government Company

Company Status

Public Sector Undertaking (PSU)

Established

March 17, 1966

Branch Office

: Bangalore, Mumbai and Delhi

Address

: MSIL House
#36, Cunningham Road
Bangalore 560052

Phone

080-22264021

Fax

080-22256709

Authorized Share Capital :

Rs. 400 Lakhs

Subscribed and paid up


Share capital

Rs. 60 Lakhs

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Manpower

687 well-trained work force

No. of Division

No. of Branches

10

No. of Sales office

28

Reserve of surplus

Rs. 7127.83 Lakhs

Human Resources Management :Managing of men is an art and an essence of being a manager.
Thus the importance of personal management cannot be neglected it is a
nervous system of the business.
Human resources are key organizational assists since the
performance of the organization depends on the quality of employee effort
and hence on their ability and motivation. Human resource management is
essential for every company.
Human resource management is a management function that helps
manager to recruit, select, train and develop organization members. It is the
job of the manager to do whatever it is to ring out the most from the
employee i.e., select the best person or the job, explore his strength, train
him and find ways of motivating him.
Human resources management can also be started as a process of
improving molding, changing an developing the skills, knowledge, creative
ability aptitude values, commitment, etc. Based on present and future job
and organizational requirements.

Definition of Human Resource Management :-

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According to flippo, Human resource management is the planning,
organizing, directing, controlling of the procurement, development,
integration, compensation, maintenance and the production of human
resources to the end that individual organizational and societies, objectives
are accomplished.

Scope of Human Resource Management :The scope of human resources management is indeed vast. All the
major activities in the working life of a working individual-from the time of his
or her entry into an organization until he or she leaves, come under the
preview of human resource management specifically the activaties included
are

Human resources planning


Job analysis and design
Recruitment and selection
Orientation and placement
Training and development
Performance appraisal and job evaluation
Employee the executive remuneration
Motivation and communication
Welfares
Safety and health
Industrial relation

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Objectives of Human resources


management :The important or primary objectives of human resources
management is to ensure the availability of competent and willing work force
to an organization beyond this there are other objectives too.
1) Social objectives :To be ethically and socially responsible for the need and challenges of
society. While minimizing the negative impact of such demands upon the
organization.

2) Organizational objectives :To recognize the role of human resource management in bringing
about organizational effectiveness. Human resource management is
not an end itself; it is only a means to assist the organization with its
primary objectives. Simply stated, the department exists to serve the
best of the organization.

3) Functional objectives :-

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To maintain the departments contribution at a level appropriate to the
organization needs. Resources are wasted when human resources
management is either more or less sophisticated to suit the
organizations demands. The departments level of service must be
tailored to fit the organization it services.

4) Personal objectives :To assist employees in achieving their personal goals at least in so far
as these goals enhance the individuals contribution to organization. Personal
objectives of employees must be met if workers are to be maintained,
retained and motivated, otherwise employee performance and satisfaction
may leave the organization.

Functions of Human resource


management :The human resources management programmed of each
organization is unique. It is true that personal activities differ from but
certain broad functions encompassing all organizations and be enlisted. The
functions of human resources management can be broadly classified into two
categories.

1) Managerial function :-

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Managerial function involves planning, organization, directing,
coordinating and controlling. All these functions influences the
operative function.

2) Operative function :The operative functions of human resource managements are related
to specific activities. Viz-employment, development, compensation and
relations. These functions have to be performed in injuction with
managerial functions.

Company Profile
History :Commenced operations in 1966, as a centralised marketing unit for a few
State-owned industrial units.
From 1967 to 1989 marketing of all products of KS&DL all over the country.
From 1969 to 2007 MSIL was the sole selling agency for the Marketing and
distribution of Karnataka State Lottery tickets.
During the 70s MSIL handled special projects such as the distribution of
imported cement and export of rice.
During seventies MSIL also handled the sales of agricultural implements
produced at KIMCO.

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During the 80s the company was marketing Asian Power Capacitors
manufactured by Asian Electronics, Nashik.

In order to facilitate the student community especially in rural areas with


quality notebooks at a reasonable price, Government of Karnataka has
entrusted MSIL with the responsibility of manufacture and distribution of
notebooks. Today Vidya & Lekhak brands of notebooks are extremely
popular.
Since early 80s to May 2008 MSIL has served as Custodian / Administrators
of the Bangalore Air Cargo Complex
In 1989, MSIL entered the consumer durables market with the hire purchase
scheme for government employees MSIL Homemaker.
For a brief period MSIL also operated a retail showroom for silk products by
the name of Mandara.
MSIL also had an exclusive showroom for sale of imported furniture.
From 1989 to 2003 MSIL was the sole distributor of Indian Made Foreign
Liquor (IMFL) in Karnataka.
1990 MSIL ventured into the travel sector with MSIL Tours & Travels
In 1992, MSIL was a pioneer in introducing solar water heating system with
the brand name MSIL Hot spring.
In 1992, MSIL was a pioneer in introducing solar water heating system with
the brand name MSIL Hot spring.
In Sept 2002, established another Joint venture with HAL and CONCOR as
partners to handle Air Cargo Operations.
In 2005, to protect the interests of the small investors, MSIL launched its
own Chit Fund scheme.
In joint venture with M/s. MSIL also entered in to used car market.

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Subsequent to the ban of Arrack in the state, to ensure that the Quality
liquor is available to public at MRP, Govt. has allotted about 400 retail liquor
outlets to MSIL last year to be opened across the state.

The Government of Karnataka, a pioneer in industrial promotion and


growth felt the need of an organization to manage the marketing needs. To
manage the marketing needs of growing industries in the state, a unique
concept of marketing enterprise in the public sector was born in March 1966,
in Bangalore Sales International Limited.
Since then MSIL has grown from a humble trading house to vibrant multi
products, multi dimensional marketing and export house, offering a wide
range of products and services.
The changing consumer profit has molded the activities of these
business houses, marketing it, entered new and challenging fields. There by
diversifying its operations and broadening its horizons. The company now
with a national presence has crossed an annual turnover of Rs. 1921.05
Crores. And, is one of the very few public escort undertakings to earn
substantial continuously.
Looking back in the late 60s MSIL was a novel concept in the public
sector a centralized marketing unit for the numerous state owned industries
with its in house advertising agency, marketing consultants and agencies
limited. It provided a comprehensive range of marketing and advertisements
and advertisements services, giving it unique place among the public sector
undertaking in India.
In the 80s, MSIL entered the consumer durable market through its hirepurchase scheme MSIL Homemaker. And, with the MSIL Tours & Travels
Division, It started meeting the travel requirements of a large number of
officials. The early 90s saw MSIL streamline the distribution of Indian Made
Foreign Liquor (IMFL) in the State. Today, when the world has entered a new

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ORGANIZATION STUDY
millennium, MSIL is unabatedly forging ahead with fresh zeal, banking on its
expertise to manage the dynamics of change.
In recent times MSIL had paradigm shift to the consumer durable
market with its hire purchase scheme-MSIL homemaker and with the MSIL
Tours and Travels, it has started meeting the travel requirements of the
public also. When there was a need for stream lining the liquor distribution in
the state, it was again MSIL which rose to the occasion and with its wide
network, it has carried out the task effectively.
The corporate office of the MSIL is at Bangalore with 4 branch offices
at Bangalore, Chennai, Delhi and Mumbai. The company also has 24 depots
within the state and 20 depots all over the country.

o Looking Back
MSIL was established as a novel concept in the public sector a
centralized marketing unit for various products of the State. With
its subsidiary company Marketing Consultants & Agencies Ltd.,
provides a comprehensive range of marketing and advertising
services.
During the late 70s having established its capabilities, MSIL
began to extend its operations beyond marketing in managing
special projects for the government. Like the distribution of
imported cement during nation-wide shortage and export of

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ORGANIZATION STUDY
white rice during a year of surplus. Manufacture and Distribution
of notebooks for students, management of the Bangalore Air
Cargo Complex functioning as custodians for customs cargo.
Each one of these activities required a new kind of expertise as
well as infrastructure. And, MSIL managed each activity with
dedication.
In the 80s MSIL entered the customer durable market through its
hire-purchase scheme MSIL Homemaker. And, with the MSIL
Tours & Travels Division, it started meeting the travel
requirements of a large number of officials.
The early 90s saw MSIL streamline the distribution of Indian
Made Foreign Liquor (IMFL) in the State.
Today, when the world has entered a new millennium, MSIL is
unabatedly forging ahead with fresh zeal, banking on its
expertise to manage the dynamics of change.

Vision, Mission and Quality Policy


Vision
To remain customer focused always by constantly
providing tangible
and measurable value for money in terms of the
product services
To be global leader in marketing industry
Mission

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The mission of MSIL is to be leader in the Marketing and
Distribution
of the products and is committed to engage in improving
continuously,
rapidly forever and will strive to give its customer
outstanding at
competitive price to act as an effective marketing force
and providing
customer satisfaction.

Quality Policy
Honoring every commitment.
Providing prompt Quality in all its products and
services.

Motivation and involving every one in the


organization.

Participation towards continuous improvements.

About MSIL :

M.S.I.L is a premier Government of Karnataka Marketing Organization


dealing with various products & services.
A unique public sector enterprise of the Government of Karnataka.

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Distinction of having earned profits consistency for nearly four


decades.
Established in 1966 as a trading house.
Now has a wide network of offices all over Karnataka as well as same
important locations in the country.

Keeping pace with the winds of rapid industrialization that are sweeping
Karnataka, MSIL is today resting on a strong footing of excellent performance
coupled with deep rooted trust and confidence amongst its clientele.
Mysore Sales International Limited, popularly known as MSIL, is a
marketing organization formed in 1966 to meet the marketing needs of
Karnataka. Since then, the company has grown from, strength to strength, to
emerge as a dynamic marketing force with a national presence and
international reacg.
A keen sense of business acumen, trade experience, managerial
effectiveness and credibility are a few of the hallmarks of this marketing
giant. And, its ability to manage a diverse
range of products and services through innovative marketing strategies is
the secret of its success. In a business where the prime motivator is people,
MSIL has developed flexibility in its thinking and management, enabling it to
tackle every fresh challenge with an innovative approach. To stay in rhythm
with the changing tastes and values.

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ORGANIZATION STUDY
MSIL is a premier Government of Karnataka Marketing
Organizations
dealing with various products & services like Chit Fund,
Paper Divison,
Tours and Travels, Beverage Liquor, Industrial Products
and Consumer
products.

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ORGANIZATION STUDY
Branches Of MSIL
Company :-

CITY

ADDRESS

MSIL 1st Floor,


Mujawar Arcade
Belgau Mujawar Compound
m
P B Road, Nehru Nagar
Belgaum 10

TELEPHONE /
FAX
08312474682

MSIL No. 718/1 & 1A


Davanag Chandan Complex
ere
Mandipet, Davanagere 01

Delhi

New Delhi C-4, 2nd Floor


State Emporia Complex
Baba Karak Singh Marg
New Delhi 110 001

08192-233493

Ph:
23363863
Ph:
23633864
Fax:
23340862
Off:
23340862

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011011011011-

ORGANIZATION STUDY
Res:
23914368
MSIL Asian Plaza,
Gulbar 3rd Floor Thimmapuri Circle,
ga
Main Road
Gulbarga 585 102

Hubli

011-

08472250323

MSIL No.CTS477/1k-2,
R.R Mahalakshmi,
(0836)
Mansion 3rd Floor, Desai 2358581
Circle, Pinto Road, Hubli
580 020

MSIL No. 407 & 408


Mangal Mahindra Arcade 3rd Floor,
ore
Kuumal Ranga Rao Road,
Mangalore 575 003

08242495669

By Manager
Ph:
022Mumba Arun Chambers (Near A.C 23521304
i
Market)
Fax:
022Tardeo Main Road
23521304
Mumbai 400 034
Telefax No:
022-22181658
Show Room Tardeo World Fax:
022Trade
22181658
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Centre

Depot Details :MSIL Paper Godown


Block No. 6D, 1st Phase,
Bangal Peenya Industrial Area,
080ore
New Ingersollrand Road
23724803
Bangalore 560 058
MSIL Paper Godown
C/o
Shri
Suresh
Bijapur Gachinakatti
08352-262731
Gachinakatti Colony,
BLDE Road
Bijapur 586 103

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MSIL Paper Godown
C/o Davanagere Maganur
Davanag Basappa & Sons, No.604,
ere
Sri
ShivakumaraSwamy
Nagar, Channagiri Road,
Davanagere 577 005
MSIL Paper Godown
Gulbar C/o Suresh G Nandyal,
ga
Guruling Industries,
MSK Mill Road,
Gulbarga 585 101

08192 - 262731

08472
456668

MSIL Paper Depot


C/o Central Ware Housing
Hubli
(0836)
Corporation
Hebballi
2271965
(Left)
Road,
Srinagar
Cross
Tajnagar,
Hubli 580 031
MSIL Paper Godown
Mangalo Zahir Hostel Complex,
0824-2429247
re
Nireshwalya
Road,
Bunder,

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Mangalore 575 001
MSIL Paper Godown
Mysor C/o Karnataka State
Ware
Housing
Corporation,
Near Bamboo Bazaar,
New Sayyaji Rao Road,
Mysore 570 021

0821 - 249756

Growth of the MSIL Company :

MSIL was established as a novel concept in the public sector, a


centralized marketing asset for various products of the state, with its
subsidiary advertising company marketing consultant & agencies
limited, MSIL provides a comprehensive range of marketing and
advertising services.

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ORGANIZATION STUDY

In the late 60s MSIL was merely a centralized marketing unit for the

numerous state owned industries but by the late 70s, the company
had long got over teething problems and proved its capabilities. MSILs
flexibility and adoptability helped it develop the necessary and
infrastructure for the different projects.
During the late 1970s having established capabilities, MSIL began to
extent its operations beyond marketing in managing special projects
for the government, like the distribution of imported cement during a
nationwide shortage and export of surplus white rice. The company
was also entrusted with the responsibility of manufacture and
distribution of quality notebooks to students, at reasonable prices.
In the 1990s MSIL has entered the consumer durable market with his
higher purchase scheme MSIL homemaker and with the MSIL Tours and
Travels division it started meeting the travel requirements of a large
number of a large number of officials.
What resulted was the Vidya and Lekhak Notebooks, brand names in
their own right and popular not only in Karnataka but also in the
neighboring states. The company was also asked by the Indian
customs to manage the Bangalore Air Cargo Complex, functioning as
custodians for air cargo. Each one of the activities required a new kind
of expertise as well as infrastructure and MSIL managed each quality
with dedication.
In the 1990s MSIL entered the consumer durables market through its
hire-purchase scheme, MSIL Homemaker which was basically intended
to facilities the government salaried class. MSIL then ventured into the
travel sector with the MSIL Tours and Travels, to help meet the growing
travel requirements of government officials.

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The early 90s streamline the distribution of Indian Made Foreign

Liquor (IMEF) in the state. The companys wide and well entrenched
network took over the distribution effortlessly and effectively.
Today, MSIL turnover has crossed Rs. 1900 Crores with a gross profit
of Rs. 43 Crores.

Mission of The Company :To look forward and adapt to the times, to offer every consumer the best
quality at the most affordable price.

Vision of The Company :Concern for the consumer


OR
To be a global leader in marketing industry

Future Plan of The Company :The future plan of the company is to diversity the organization into various
fields like introducing a chit fund in the organization and to improve the
performance of the organization.

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Status : Earning profits since inception
Well-built up reserves
No trade union problems
Moderate equity base
Concurrent revenue yielding operations
Diversified activities
Manpower of The Organizations : MSIL is very established in India. Its head office is at Bangalore.
The total numbers of employee working at MSIL are 257.
Number of employees working at head office are 105.
Number of employee working at the branch office are 152.

Employees Are Classified Into Two Groups :Group A:-

General Manager & Deputy General Manager.


Manager & Deputy Manager.
Assistant Manager.

Group B:-

Supervisors.

Group C:-

Assistants, Clerks, etc.

Group D:-

Attenders, Peons, Drivers & Cleaners.

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Departmentation:Departmentation refers to the normal structure of the
organization composed of various departments, managerial position and the
relationship composed of various departments, managerial position and the
relationship to each other. It is efficient and effective grouping of the jobs
into meaningful work units to cooperate numerous jobs all for expeditions
accomplishment of the organization is objective.
MSIL has adopted an effective way of Departmentation for the smooth and
effective functioning of the organization.

The Various Departments of MSIL Company:

Administration Department

Personnel / Human Resource Department


Finance and Accounts Department
Estate Department
Security Department
Marketing and Sales Department

1. Administration Department :

The department is concerned with administrative function like


handling of paper works involving data capture, information retrieval
processing and recording data.
Payment of telephone bills.

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Maintenance and upkeep of offices equipments like our conditions,


telephones, compactor.

This departments also gives importance to the cleanliness of the


entire office premises by keeping in neat and clean.

2. Personnel / Human Resource Departments : MSIL always ensures that people looking for the company are always
physically and normally fit and complete.
It develops / involves politics and procedures and communicates to its
employees.

It takes care of salary / wages preparation maintenance of attendance,


leave and personnel.

This department ensures the security and salary of the organization by


interfacing the security department.

3. Finance and Accounts Departments : It manages the finance of the company like raising capital, loan etc.

The A/C function records all the financial


maintenance, power A/C of income expenses.

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transactions

and

ORGANIZATION STUDY

It also takes care of all payroll. Preparation on 2 processing of same for


the employees of the organization every month.

This departments provides the relevant infinities to the auditors in


preparation of annual balance sheet profit and account etc.

It provides the organization with statistical dates by calculation


various financial ratios.

It has its brands all over the major functional divisions of thee
organization.

4. Estate Departments :The estate department of MSIL is responsible for overall


maintenance of the use of space. The maximizes productivity and
effectives may be advised at minimum cost it also sees to the payment
of the office premises with good interior decoration and lighting
comfortable seating etc.

5. Security Departments :The department of MSIL insures the physical security of the
organizational assets, it also sees to the safe custody of goods at various
go downs stores and departments located at different places.
The departments ensures the observes of safety precautions /
measures to avoid accidents shifts timings for the security personnel is

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planned and organized by this department. If required round the clock
security is also organized by this departsmen.

6. Marketing / Sales Departments :These departments of MSIL culture the need of the customers
function such as marketing research, advertisements, sales promotions
and corporate communication as part of the department, this
department is the core department of entire organization.

Objectives of MSIL Company :-

The main objectives of the company as per the memorandum and Articles of
Association are as follows :1. To carry all kinds of agency business.

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2. To carry its guarantee and indemnity business relating to any
products / manufacturing.
3. To buy, sell, import, manipulate, prepare for market and delay in
merchandise of all kinds and generally, factories, manufacturing and
carry on business as merchants for imports and exports.
4. To establish offices, go-downs, showrooms, exhibitions, art galleries,
factories, manufacturing and trading centers in any part of the world.
5. To act as agents, brokers and trustees for any person or company.
6. To promote commerce in relation to trustees for any person or
company.
7.

To carry on the business of manufactures and of dealers in leather


dresses, counters, tanners makers of leather goods.

8. To carry on the business of leasing and the hire purchase financing.

9. To acquire and take over the existing business manufactures and


dealers in leather goods carried on under the name and styles of the
Mysore Chromic Tanning Limited, Bangalore.
10.
To take over the existing shipping business
carried on under the name and style of Karnataka Shipping
Corporation Limited, Bangalore and Carry on the business of shipping.
11.
To carry on the business of man power
exports
recruitment
agents,
placement
services,
personnel
management and management consultants, HRD consultants and
other activities.

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12.
To carry on the business of dealers
importers and exporters of all kind of perishable items / agriculture and
processed food products.

Board of Directors at MSIL


Company :-

SL NO
Phone

NAME

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Official Address

ORGANIZATION STUDY
1

Shri M.L. Anilkumar


Off: 080-22255414

Mysore Sales Intenational Limited

Chairman
080-22280634

MSIL HOUSE NO.36

Cunningham Road
chairmanmsil@msilonline.com
Bangalore 560 052
2

Dr. G.C. Prakash, IAS


Off: 080-22255414

Mysore Sales International Limited

Managing Director

MSIL HOUSE NO.36

080-22267424
Cunningham Road
Bangalore 560 052
3
Smt K Ratna Prabha, IAS
Off: 080-22252443
Director

Additional Chef Security to Govt.


Commerce & Industries

080-2225987(fax)
Vikasa Soudha
Dr. B. R. Amberdkar Road
Bangalore 560 001

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4
Off: 22258131

Shri Naveen Raj Singh, IAS

Director

Managing Director

Karnataka State Industrial &


Development Corporation LTD,
Khanija Bhavan, 4th Floor, East Wing,
49 Race Course Road,
Bangalore 560 001

5
Shri Gaurav Gupta, IAS
Off: 22386796
Director
Fax: 22389909

Commissioner for Industrial


Development & Director of
Industries & Commerce,
Khanija Bhavan, Race Course Road,
Bangalore 560 001

6
Shri S.R. Umashanker, IAS
Off: 222517722

Secretary to Govt. (Expenditure)


NO. 260, 2

nd

Floor, Vidhana Soudha

Fax: 22353122
Bangalore 560 001

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Network of MSIL :MSIL has a good strong presence, the MSIL marketing network
consists of

MSIL

Branch Office
Sales Office

Head Office

The head office of MSIL is situated in Bangalore and Its official addresses is
:->

MSIL House 36, Cunningham Road,


Bangalore 560 052.

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List of The Items Company Deals With :Liquor, Books, Schoolbags, Papers, Solar Water and Vidya & Lekhak Note
Books.

Products & Services :The company operating divisions are:

Chit Fund
Paper Division
Tours and Travels
Beverage Liquor
Industrial Products
Consumer Products

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1. Chit Fund :-

BENFITS OF CHIT
In-built provision for borrowing at a short notice by bidding successfully
Being able to save in Installments
Having decided to join chit, deferring other avoidable expenditure, if necessary
Convenience and abscence of stringent formalities

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Chit Fund forms a very popular method of saving and borrowing
MSIL being a prestigious PSU, ensures 100% safety, reliability and transparency in
operations
MSIL ensures safety of the subscribers investment
Chits provide for an assured sum during a crisis
Chits provide easy availability of hard cash

MSIL started Chit Fund Business in the year 2005 with an intention to bring
social control over Chit Fund Business so as to protect the public from being
exploited by unregistered/unorganized chit operators.

The schemes under MSIL Chits are designed to cater all income groups and
all segments of the society. The main objective of the company is to provide
need based financial plans to its customers. Recognizing the growing need of
consumers for safe investment and easy access to their money, MSIL has set
up the chit funds division and launched its own chit funds under the brand
name MSIL money tree.

Transperency in Chit Operations : Chit is a financial product which blends the advantages of both
investment and borrowing.
Concept: Under a Chit, a group of persons join together to contribute
specific sum of money periodically (monthly contribution is most
common). The individual/institution who/that has undertaken the
responsibility of the organizing and conducting the Chit and assumes
the associated responsibilities and risks is called Foreman. The other
persons who contribute the money periodically are known as
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Subscribers. The money paid by all the subscribers every month or in
any periodical interval will be pooled together which is called as Chit
Value and all the subscribers have right to bid for the chit amount by
means of open auction conducted for the purpose. The subscribers
who are willing for bidding the chit amount have to be prepared to
forego a portion of the total amount to which he is otherwise eligible
for and that portion is known as the 'Discount'. The maximum bidding
percentage will be 40% of the Chit value and minimum is 5% of the
chit value which is Foremans commission. This foregone amount by
the subscriber is utilized to distribute among all the subscribers of the
chit group in proportion to their tickets in the form of 'Dividend', after
deducting 5% of the Chit value towards Forman's Commission. The
successful bidder is called as Prized Subscriber. The money which the
prized subscriber is eligible for minus the discount forgone is called
prize money which will be disbursed to the prized subscriber after
he/she produces the adequate security for the future liability as per the
Company norms. This process is being repeated every month and
every month there will be one prized subscriber. The prized subscriber
has to continue paying the installments till the termination of the chit.
(Security Norms)
Those members who do not want to bid and want to just contribute to
the chit till the end can do so. When there are no bidders for any
particular auction, one of the non-prized subscribers will be picked as
Successful Bidder through lucky draw. The monthly dividends accrued
for the whole duration of the chit are the returns on investment for the
monthly deposit made to their accounts.
In case of MSIL Chits, MSIL is the Foreman
Chit Groups with different denomination and value will be started
from time to time as per the demand from the public.
The number of subscribers in each group will be equal to duration of
the Chit. For ex: 40 months chit will have 40 subscribers

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2. Paper Division :-

For over three decades MSIL has been successful by fulfilling the
personnel demand of the students for quality notebooks at affordable
price with its well known brands of VIDYA & LEKHAK which have
become the Brand Leaders. Apart from the students notebooks,
drawing and graph books, we have range of school and office
stationery including computer stationery.

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MSIL supervises manufacturing and distribution of Vidya and Lekhak
products. The manufacturing process has socio-economic implications
as it has given Employment opportunity to a large number of skilled
laborers. Distribution is effected not only through retail outlets and
depots but also directly to schools, colleges and co-operative societies.
Vidya notebooks are available in the States of Karnataka and
Tamilnadu.
MSIL association with the students community dates back to 1977
when the company was entrusted with the responsibility of distributing
subsidized notebooks.
A special marketing programmer was conceptualized and the brand
Lekhak was born subsequently.
The Vidya notebooks have carried on this tradition of quality at
reasonable prices and have also emerged as the brand leader in
current scenario. Apart from notebooks Vidya caters to other students
requirements like drawing book, graph book, geometry box, color
pencils, crayons and range of colorful school bags in various sizes with
attractive designs. The school bags are manufactured by over 100
small scale industries which has created employment to a large
number of skilled labors.

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3. Tours and Travels Division :-

MSIL as a part of diversification effort, MSIL Tours and Travels Division


was commissioned during the year 1992. Division could get stock of
ticket from Indian Airlines as a gesture of good will in spite of the fact

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that Division was not recognized by IATA (International Air Transport
Association). Division has been getting major support from Socretariat
of Government of Karnataka, State Public Undertakings, Governors
office etc.
Subsequently, MSIL Tours and Travels Division could get the IATA
recognition during the year 2001.
MSIL has been promoting package tours fairs abroad, the division also acts
as an agent for Karnataka Tourism by taking on the bookings of ITDC, KSTDC
and jungle LODGES and Resorts.

4. Beverage Liquor :-

For the period upto 20th July 2015, the company has opened 401
outlets across the State out of 463 outlets sanctioned by the
Government.

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Each outlet is provided with uniform set of furniture/storage racks,
signage board and Invertors. Out of 401 outlets, four outlets in
Bangalore located at Lavelle Road, Rajajinagar, Shivananda Circle and
Hanumanthanagar have been designed as Boutique Shops.

5. Industrial Products :To encourage the use of renewable sources of energy, the
Companys Industrial Products Division took up the marketing of MSIL
Hot Spring Solar Water Heaters and Lighting Systems.

The Industrial Products are :a)


b)
c)
d)
e)

Solar Water Heater


Led Lights
Cables
Global Energy saver
Water Purifier

a) Solar Water Heater :-

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MSIL-IPD is marketing HOTSPRING Solar water heaters which caters


to
Domestic Sector (100-400 LPD)
Non-Domestic Sector (500 LPD & above)
MSIL has installed more than 1.5 Million Litres of Solar Water Heaters
MSIL HOTSPRING SOLAR WATER HEATERS

PSN 09 Puf Insulation with Stainless steel cladding


(NALSUN)
100 LPD

200LPD

300LPD

400LPD

500LPD

PSS -09 Puf Insulation with Stainless steel cladding


(SOLCHROME)

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ORGANIZATION STUDY
100 LPD

200LPD

300LPD

400LPD

500LPD

RSN 09 Rockwool Insulation with Stainless steel cladding


(NALSUN)
100 LPD

200LPD

300LPD

400LPD

500LPD

RSS 09 Rockwool Insulation with Stainless steel cladding


(SOLCHROME)
100 LPD

200LPD

300LPD

400LPD

500LPD

22171.0
0

36248.0
0

52788.0
0

68413.0
0

73903.0
0

Apart from Above variant ETC Models, Solar Water Heaters fitted with Copper
Tank, Solar Water Heaters fitted with Heat Exchanger for Special
Applications, Solar Water Heater with Pressurised Tanks etc are also
available.

b) LED Lights :-

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Eco- Friendly Lights as Led lighting does not produce any
ultraviolet (UV) light. Ultraviolet rays are harmful for skin and
eyes. They are made from non-toxic materials and can be
recycled LED Lights give high illumination, and are durable &
energy efficient as they use 90% less energy than regular lights.
More safer than Bulbs as they stay cool and pose less of a fire
hazard unlike Halogen and incandescent lights which are hot
enough to cause fire, and they frequently do.
There is no waiting for led light bulbs to warm up, led bulbs are
not affected by frequent on-off switching. It lights up instantly at
full brightness, even in the coldest weather.
LEDs are sturdy bulbs as Durable plastic bulbs are less likely to
break than traditional glass bulbs.
Now lets see, How it saves Money?
Mainly two reasons why LED bulbs save money:
The first reason is because they use less energy. It is this reason
that accounts for most of the cost savings of LED lighting.
The second reason is a result that follows from the fact that the
LED bulbs last longer. Due to the longer life of LED lights the
frequency of replacements is much lower. This saves on new
fixture purchases and costly maintenance.
When comparing cost, both energy savings and replacement
savings should be taken into account.
LED Lights are also cost effective as although LEDs are
expensive, the cost is recouped over time and in battery savings.
Most consumers do not recognize the lower cost due to the
comparatively high purchase price of LED bulbs.. However, the
lower energy use and longer life of the LED bulbs must be
considered to get a fair comparison.

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To understand better, we can study 10 years comparison chart
showing number of replacements against different light sources.

TYPES
LIGHT

OF

AVERAGE
HOURS

LIFE

NUMBER
OF TIMES
REPLACE
D IN 10
YEARS

LED
Lighting

50,000 hrs ( 10
years)

Buy Once

Fluorescent
/ CFLs

6- 8,000 hrs( 1
year)

Buy 8-10
Times

Incandesce
nt

1000 hrs (Less


than 6 months)

Buy
20
Times

c) Cables :MSIL market LT cables with insulation of XLPE, PVC (FRLS, Fr,
HR, ZERO Halogen & PE).
These are manufactured under different BIS licenses to
following specifications.

IS 694:1990
IS 7098 (PART 1):1988
IS 1554 (PART 1):1988
IS 14255 (PART 1)
UL Approved Appliance Wire Material Style No. 1007,
1032, 2464, 2129
Fire Survival Cable as per BS 6887:1994

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PVC & FRLS SINGLE CORE WIRES :SBEE CABLES under the supervision of qualified and experienced
technocrats who are well versed with modern manufacturing techniques. PVC
insulated SBEE CABLES conforming to IS: 694 1990, carry the prestigious
ISI mark and are sheathed.
Unsheathed Copper & Aluminum Cables have a wide ranges of
applications in Industries, Agriculture, Machine Tools and Control Panel,
Buildings and in all types of electrical power distribution.

PVC INSULATED POWER & CONTROL CABLES :SBEE PVC insulated & sheathed cables offered with cooper & aluminum
conductors unarmoured and armoured with galvanized steel wire/strip.
These cables are suitable for heavy-duty power control and
instrumentation application in power generation utilities, industrial
distribution, chemical & fertilizer industries & mining installation.

XLPE INSULATED POWER & CONTROL CABLES :SBEE manufactured Cross Linked Polyethylene Cable ie. XLPE Cable to
overcome the susceptibility of PILC Cables to ingress of moisture. These

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cables combine the advantages of PILC and PVC Cables, and totally
eliminating their demerits.
XLPE cables command an immediate acceptance in view of excellent
thermal, mechanical and electrical properties. Aerial Bunched Cables (ABC).
Aerial Brunched Cables, 1100 volt Grade are used for distribution
power to individual consumers by utility service providers like electricity
boards. Electricity distributing authorities. The cable is kept supported on
poles. The line is tapped intermittently from any required position which
enables to be used in urban as well as rural areas alike.

Aerial Bunched Cables (ABC) :Aerial Brunched Cables, 1100 volt Grade are used for distribution
power to individual consumers by utility service providers like electricity
boards. Electricity distributing authorities. The cable is kept supported on
poles. The line is tapped intermittently from any required position which
enables to be used in urban as well as rural areas alike.

ZERO HALOGEN FIRE RETARDANT WIRES :SBEE manufactures wide range of ZERO HALOGEN FLAME RETARDANT
(ZHFR) wires, these wires are superior & safer alternative to conventional
wires which are made of PVC. ZHFR insulated wires are filled with hydrated
fillers which release water during fire, which is deterent for fire & will not
propogate.

SIGNAL CABLES :-

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In 500 voltage grade, these cables are used for the local inter
connection of used for the local inter connection of ground, sea, airborne
instruments and micro processors.

UL WIRES & CABLES :SBEE is proud to have reached major milestone to its already glowing track
record. The company has been awarded product approval by prestigious
Underwriters Laboratory Inc, USA. For the following styles ie 1007, 1015,
1032, 1569, 2129 & 2464 for appliance writing materials.
The product certification is but one more guarantee that MSIL clientele
can be rest assured of total satisfaction on quality. This product is also
certified for CANADA.

1. Consumer Products : The Division has an Alliance with HCL for supply of
Computers.
Division also supplies Cables and Wires to Govt. Depts and
PSUs in tie up with M/s. S.Bee Cables India Ltd, Bangalore.

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The division is also in to Used Car Market in tie up with M/s.
Oltey Cars Pvt. Ltd.
a) Mustard Oil :Mustard oil has a strong sinus-irritating aroma, a hot nutty
taste, and is often used for cooking in Utter Pradesh, Gujarat,
Orissa, Bengal, Bihar, Jharkhand, Chathisgarh, Assam and other
areas of India and Bangladesh.
In North India, it is mainly used in frying fritters. In Bengal, it is
the traditionally preferred oil for cooking. The oil makes up about
30% - 34% of the mustard seeds. It can be produced from Black
Mustard (Brassica Nigra), Brown Indian Mustard (Brassica
Juncea), and White Mustard (Brassica Hirta) though production
from Brown Indian Mustard is mostly undertaken as it yields
higher pungency suited to the Indian Palate.
Mustard oil has about 60% monounsaturated fatty acids of which
42% erucic acid and 12% olecic acid, it has 21% polyunsaturates
of which 6% is the omega-3 alpha-linolenic acid and 15% omega6 linolenic acid and it has 12% saturated fats.
Mustard seeds, like all seeds of the Brassica family, including
canola (rapeseed) and turnip, have high levels of omega-3 (611%) and are a common, cheap, mass-produced source of plantbased (therefore, vegetarian) omega-3 fatty acids. Other than
rapeseed and mustard oils, there are few other common sources
of plant based omega03 in Western and Indian diets. Especially
when omega-6 intake is kept low, humans can convert the plant
omega-3 into one of the fish omega-3s, eicosapentaenoic acid, in
limited amounts, a useful source for vegetarians.
In India, mustard oil is often heated almost to smoking before it
is used for cooking; this may be an attempt to reduce the strong
smell and taste. However, high heat can damage the omega-3 in
the oil, reducing its unique role in health. In Western Counties,
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the oil is often sold For External Use Only in stores catering to
Indian Immigrants. Indians also use mustard oil for rubdowns and
ayurvedic massages as it is said to improve blood circulation,
muscular development and skin texture owing to the oils
antibacterial qualities. The oil is also said to improve male virility
and sexual libido.
Health Benefits : Vitamin E (anti oxidant, radiant skin, good for heart)
Natural anti oxidants (slows ageing, prevents illness &
diseases)
High amount of mono-unsaturated fatty acids (good for
heart)
Good ratio of polyunasaturated fatty acids (good for heart)

Export :MSIL has been engaged in the export of Sandal Wood Oil, Soaps, Spices,
Coffee, Rice, Garments and Other items over a period of time. Now with the

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business prospects of export of Iron Ore from India to China MSIL is involved
in the export of the same. Consequently 41000 MTs pf Calibrated Iron Ore
valued at Rs. 1085.68 lakhs was exported to China.
MSIL has plans to continue the export of Iron Ore. For the purchase of Iron
Ore fines and Calibrated forms the company will be tying up with suppliers
from Karnataka.

Over the years, MSIL has successfully exported Sandalwood oil, Soaps,
Spices, Coffee, Rice, Garments and Many other commodities.

MSIL exported 41,000 MTs of calibrated Iron Ore worth.

US $2.48 million to China.

In view of the difficulties and other market players being there, it is not
pursued seriously.

Profit Making PSU of Karnataka :

A Concern For Student Note Book


Invest Safely, Borrow Easily
International and Domestic Tours
Hot Spring Solar Water Heaters

Awards Received by The MSIL :In 2003, MSIL received the RATHNA award.
Infrastructure Facilities :-

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1. Company has provided restroom for each individual department for
both male and female employees.
2. Company has arranged for drinking water facilities in each floor as
each floor contains separate departments.
3. As education is becoming costly company has made change in
education allowance as per present/current scenario.
4. Allowance has provided to the employee can be based on their
interaction between various departments.
5. Company has appointed welfare officer to solve all their employees
problems.
6. Company has provided a resistor space in each department.

Organizational structure of MSIL


Company :Central College, Bangalore University, Bangalore
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ORGANIZATION STUDY
Chairma
n BOARD OF
MANAGING
DIRECTORS
DIRECTOR
CHIT
FUND
DIVISI
ON

MANAGE

DEPUTY
MANAGE
R
ASSISTAN
T
MANAGER
STAFF
(S6, S5,
S4, S3,
S2 AND
S1)

PAPER
DIVISO
N
GENERA
L
MANAG
DEPUTY
MANAG
ER

TOURS
AND
TRAVELS
DIVISION
DEPUTY
GENERAL
MANAGER

BEVERA
GE
DIVISIO
N
GENERA
L

I.P.D
CHEF
GENERAL
MANAGE

STAFF

MANAGER

MANAG
ER

STAFF

STAFF

(S6,
S5,
S4,
S3,
S2

(S6, S5,
S4, S3,
S2 AND
S1)

ASSISTAN
T
MANAGE

(S6,
S5,
S4,
S3, S2

C.P.D
GENERAL
MANAGE
R
STAFF
(S6,
S5, S4,
S3, S2,
AND

PROJECT
DIVISION
DEPUTY
GENERA
L
MANAGE

HRD
DEPUTY
GENERA
L
MANAG
STAFF

STAFF
(S6,
S5, S4,
S3, S2
AND

(S6,
S5,
S4,
S3,
S2

STAFF
(S6, S5,
S4, S3,
S2 AND
S1)

Area of Operation :The area of MSIL is NATIONAL and it has main sub branches in 2 places of
New Delhi and Mumbai.

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F&A
GENERA
L
MANAG
ER (GM)
Dy.
GENERAL
MANAGER
ASSISTANT
MANAGER

STAFF
(S6, S5,
S4, S3,
S2 AND
S1)

ORGANIZATION STUDY
New Delhi :MSILs New Delhi was established in the year 1996 to cater the needs of
Northern States comprising Delhi, Uttar Pradesh, Rajasthan, Haryana, Punjab,
Himachal Pradesh and Jammu & Kashmir.
The Branch established at Delhi, Jaipur, Rohtak, Dehradun, Kanpur &
Ghazibad. The branch established a well knitted distribution network
comprising 130 redistribution stockiest spread over length and breadth of
North Indian States. Through these stockiest networks, the branch is serving
more than 30,000 retail outlets.

Mumbai :Mumbai branch was started in the year 1996 when parent company was
incorporated under the companys act 1956. Hence, this is one of the
prestigious branches started along with the company and completed 49
years in the marketing activities in the Western region spreading to the
states of Maharashtra, Madhya Pradesh and Gujarat.
The branch is dealing with the marketing consumer products, Industrial
products, Karnataka lottery tickets, Silk & Handicraft items, Servicing liaison
work for Government of Karnataka and various Government of Karnataka
over the years.

SWOT Analysis :-

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The SWOT analysis is an extremely useful for undertaking and decision
making for all sorts of situations in business and organization, SWOT is an
acronym for strengths, weakness, opportunities and threats.

Strategic Analysis :Internal Factors:

1. Strength
2. Weakness

External Factors:

1. Opportunities
2. Threats

Internal Factors :1). Strength : Established and trusted brand name with its presence in the market for
more than 50 years.
One among very few Government of Karnataka undertakings making
profits continuously.
Involved in marketing of diversified products.
Experienced manpower to overcome any challenges.
Expertise to undertake marketing of any product with its experienced
and skillful employees.

2). Weakness : Lacks systematic approach to marketing existing products.

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Lacks in optimum utilization of available manpower.
No practice of conducting training to employees on knowledge up
gradation or on any specific subject.
Employees need to be trained on personally development and
customer orientation regularly.
No system of recognizing and motivating deserving employees.
Decision making on important aspects is very slow.
More paper work and e-communication has not been implemented
effectively.
It has to wait for government approval for every major project.
No recruitment and promotion policy in place.

External Factors :1). Opportunities :-

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Being in market for more than 50years, can take up any new product
for marketing.

Existing strong network makes things easier to enter any new


business.

Scope to make Paperless Office through computerization.

2). Threats : Government may withdraw retail liquor outlets business at any point of
time which is major contributor of revenue.
With more than 50% of the employees are due for retirement in next
few years.
Company may face severe problem of manpower with requisite
expertise.

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