A Project Report

On
AMUL INDUSTRIES PVT.LTD.

Prepared By
sandeep s minsarya

Class
FY.B.B.A

Roll No.

Academic year
2008-09

Collage

smt.j.jkudliya A/C collage

Submitted To
Saurashtra University

Guide By
rashida mem
 PREFACE
This industrial visit from the practical study point
of view is very important for a B.B.A student as it
bridges the gap between the theoretical and practical
aspect. Hence every student has to take industrial
training in a business enterprise as per university
rule.

I have visited and get training on “AMUL

INDUSTRIES PVT.LTD”
I got all the information about various
departments namely production H.R.M, finance
department & marketing department of the
company. I try my to prepare project report.
 Acknowledgement
To acknowledge is very great way to show your
gratitude towards the persons who have contributed
in your success in one or other way.

My most profound thanks to my revered guide

''rasida medam'' whose generous and able guidance
has always been an unfailing source of inspiration
throughout my training period.

I am grateful to all those who have directly or

indirectly inspired me and helped me in my
successful accomplishment of this report.
 Declaration
I, minsarya sandeep s. the student of F.Y.B.B.A.
here by declare that the project work is my own
work and has been carried out under supervision of .
rashida medam, the j.j.kundaliya College, Rajkot.
the SAURASHTRA UNIVERSITY.

Date:

Place: -RAJKOT
 Index

Sr.No Contents Page No.

1 General Information 6
2 Production Department 14
3 Marketing Department 31
4 Finance Department 42
5 Personal Department 54
6 Future Plans 61
7 Suggestions 63
8 Conclusion 65
9 Bibliography 67
 General Information
Sr.No. Contents Page no.
1 History 8
 2 Size of organization 9
3 Form of the organization 10
4 Profile 11
5 Organization Chart 13

History
In the present era, the automobile industry has
taken a grater pace then as compared to times
before it also has a wider scope in this era with the
even-rising demand of automobiles.
 Adico spares industry a present company of
“AMUL INDUSTRIES”. Produces oil engine spare parts
that are used in automobiles. It is engaged in this
business since 1980.

The profits earned were reinvested every year

and as a result ten other a successful units were
established. Mr.Chandubhai Patel and Mr.Sureshbhai
Patel are the promotes of the first unit of AMUL
INDUATRY which was established in 1988, with the
initial capital of Rs.2 lakh.

“AMUL INDUSTRY” is striving hard to achieve

success and to meet the vising demand of
automobiles industries since last 1 year.

It has never been set back of their targets. They

have also diversified in producing many components
like ROCKER ARM, CRANCK SHAFT, CONNECTING
RODS etc.

Size of the organization

In India there are three types of industries
which are based on its investment.

Industry
 1 Small scale industry
2 Medium scale industry
3 Large scale industry

AMUL INDUSTRY is a large scale industry.

“AMUL INDUSTRY” was industry when it was

established & is situated in Aji estate in Rajkot. It is
located with 7000 sq ft. of land. It was established
under the partnership form of organization but
converted in private limited company.

Form Of The Organisation

Organization is co-ordinates efforts of the
different inducting working in an enter pries to
achieve its goal. The term organization is arrived
from the word the word organization which meant a
structure of body divided into parts. The different
parts of human body rerecording different activities.
Combine them selves into sound body structure. In
the same way organization in an enter price means
the integration and co-ordination of individual efforts
to achieve the chance goal of the business
enterprise.

Louis a Allen defines organization as “the

process of identifying & grouping the work delegating
responsibility and authority and establishing
relationship for the purpose of enabling people to
work most effectively together in accemphshiny
objectives.

Profile
Name of field : Amul Industries Pvt.Ltd

Office : Aji Industries Estate

Plot no. 332/333
 Rajkot – 360-003
Gujarat (INDIA)
Establishment : 1988

Chair name : Mr.Chandubhai Patel

M.D : Mr. Sureshbhai Patel

Auditors : Amul kalariuya& co.

Banker : state bank of Saurashtra

Adviser : Mr. S.N. shah

Accounting year : April to march

Product : Automobile parts

(connecting roads, crankshaft, etc)

Weekly : Monday

Ph No : 91-0281-2387461
91-2081-2387898

Fax : 91-0281-387762

Email : amul_wesphil@usa.com

Web : WWW.AMULIND.COM.
ORGANISATION CHART
 Prodution Departnent

SR.NO PARTICULATR PAGE

NO.
 1 INTRODUCTION 16
2 ORGANIZATION CHART 17
3 PRODUCT PHOTOGRAPHES 18
4 PRODUCT 19
5 RAW MATERIAL 20
6 PRODUCTION PROCESS 21
7 PRODUCTION PLANNING 26
8 MACHINERY 28
9 QUALITY CONTROL 30

INTRODUCTION

Production department is a department which is

concerned with the production a step by step
conversion of raw-material into finished goods.
Production means creation of activities and it cover
all activities of procurement allocation and utilization
of resources such as labors, energy, matenais,
machinery to satisfy customer is needs. Production
does to inure producing goods but it is consumer’s
needs. In modern era the producers does not
produce the goods but to provide consurers needs
and satisfaction

“Production is a process by which goods and

services are created”

ORGANIZATION CHART
Board of directors

M.D
 Production Department

Production Manager

Engineer

Inspection Officer

Supervisors

PRODUCT PHOTORGRAPHES

CRANK SHAFT
 CRANK SHAFT

PRODUCT
Manager of this departments Mr. parag Solanki
“Amul Industries” produces Oil engine spare and
auto parts that are used in automobile. There are
about by this unit among them the main products
are:

4 Crank shaft
5 Rocker arm
6 Connection rod
7 Cam shaft Bride nozzle
8 Shifter shaft
9 Flydrolic rod
10 Arm knuckle
11 Arm.ETC
 RAW MATERALS

For manufacturing oil engine or auto parts the

basic raw material used are:

12 Carbon
13 Pig iron
14 Aioy steel
15 Casting
16 Oil lubricants & fuel

The above raw materials are used in

manufacturing process. There raw materials are
available from local market in Rajkot.
PRODUCTION PROCESS
Production process is as under

Raw materials

Cutting

Heat treatments

Hardness cheeking

Shot blasting

Machining
 Oiling & packing

Raw Material
The task of procurement of maternal is under
taken at the initial stage for the available sources.
This raw maternal received at the factory is tested
and checked for size physical proportion , cranks,
blowholes, surface, finish, chemical, empoison such
as carbon by phosphorus etc.

Cutting
Cutting Process is the second step involved in
the manufacturing process of auto parts the new
maternal received is not of recurred size & therefore
the cutting of the raw material is done according to
the size & design required for the products
demanded. “Amul” directiynpuchases the raw
material. Which have passed though the cutting
process & thus, save their time & energy?

Heat Treatment
 “Amul” does not under go the process of forging.
The unit directly purchases the goods from forging
unit & heat treatment compulsory to the goods
purchased

This treatment is done in controlled time &

temperature cognitions to give it some physicals
structure according to the panel and design available
amul buys the goods which have passed thorough
heat treatment thus, the work of unit become easy
for the next process.
Hardness checking
The raw maternal that are passed through heat
treatment are next sent for hardness checking due to
this process the product is enabled for long
survivival. “Amul” starts their process of production
by drawing hardness, checking of the goods, which
they have bought from the local dealers. The
checking is done on the sample of the whole unit the
sample checking is an selective method. Normally
very for rejections are found out them this product.

Shot Blasting
Even though the product has passed though
many process still it seems rough because it consists
of hard elements such as carbon and steel. So to
remove scales from the products they due shot
blasted and so they become smooth. “Amul” used
basic tools for the process of shot blasting of the
available raw matenal.

Machining
After removal of rough practices, the product
becomes smooth and it requires some size shape &
pattern which is given by machining process. It given
the final shape & size by furring etching, close,
shaping, milling etc different methods of machining
are used to make the product accurate. The
products are shaped finally. And are sent for
inspection to the next process.

Inspection and checking

Once the final machining is completed every unit
of product is inspected with respect to the chemical
dimension hardness etc according to the different
size with respect to the prescribed drawings. Here
the inspector officers do this inspection.

Oiling & packing

 The last steep in every production process is
always of packing here the products are first oiled,
so that it may not rust and after oiling the parts they
are packed and then they are ready for dispatch. The
products are packing in wooden boxes.

Prodution planning

This is management function. Which plans

directs and controls material flow system in the plant
to achieve the target set by marketing with almost
economy & efficiency

There is important characteristic of the product.

Creation of activity
Addition by value

At the time of inquiry the buyer also provides

the design and drawings according to his
requirement these after drawing are studied and
there after if the engineer finds that the required
product can be produced from the available drawings
he will ask the production manager to produce few
sample. It the produces scampi’s are approved by
the buyer’s then order is taken and accordingly a
production pain is prepared.

The main 3 products of the “Amul “are

1 crank shaft
2 cam shaft
3 connecting rod

17 Crank shaft

Ø Material used
1 cast steel
2 forging
3 carbon

It is the main part of the engine it should be hard

because move weight is carried by it as it waits
indieppndihy in the crank with main being.

18 Cam shaft

Ø Maternal used
1 forged steel
2 casting

It is as big as crankshaft but its diameter is too

small generally moves with forge applied by
crankshaft though year. The location force it almost
half then crankshaft it has a gear on one hand which
a joined crank gear is small & can gear is double
then the crank gear.
 19 Connecting Rod

Ø Material used
1 forged steel
2 casting

Generally it is described as the once which canners

the two parts & engine
MACHINERY

In “AMUL” inductees they use different types of

machines such as

20 Flat machine
21 Cutting machine
22 Roiling machine
23 Washing machine
24 Oiling machine
25 Micro analysis machine
26 Driver machine
27 Crank pin girding
28 Connecting rod boarding
29 Surface grinding.
 CNC machine: -
Before the implement action of cnc department
the unit was unable to fulfill the demand the
rejection rate was so high that it has defected the
demand of the product before

“Amul” stated in cnc department they were

following the labor incentive technology due is which
there were of rejection in the production due human
errors. The production process was so slow that it
had to of the company been low because of the
payment to the labor and the high rejection rate.

At present “amul” industries is having types of

cnc machine for the production of the connecting
rod, they are

Horizontal cnc machine

Vertical cnc machine

 Quality control
Quality control in amul is taken by a team of 5
highly quality individuals for this use micro analysis
machine etc.

The main processed of quality control are as under

30 multi dimensional parameter checking

31 co-ordinate machine checking
32 surface checking
33 talyronal rounded checking
 MARKRTING DEPERTMENT

SR.NO PARTICULATR PAGE

NO.
1 INTRODUCTION 33
2 ORGANIZATION CHART 34
3 PRICING POLICY 35
4 CHANNELS OF DISTRIUTION 36
5 SALES PROMOTION 37
6 ADVERTISEMENT 38
7 MARKET SEGEMENT 39
8 COMPETITION 40
9 EXPORTS 41
 INTRODUCTION
A market consists of all potential customers
sharing a particular need of want that might be
willing & able to engage in exchange to satisfy need
or wants. Every organization has planned to achieve
some targets or goals each from is working with the
primary objective of the profit a company makes
money by satisfying customer needs “the customer
is the passport satisfaction is visa fir that.”
ORGANIZATION CHART

Marketing Department

Marketing sales manager

Chief Manager Sales

Research & development

Quality controller

Engineer

Sales assistant

Correspondences sale

Researcher
 PRICING POLICY
Pricing is very much strategic decisions in any
enterprise pricing governs the very feasibility of any
marketing programmer because it is the only
element in a marketing mix accounting for demand
and sales revenue price is the exchange value of the
product or service expressed in terms of money
prices is the amount charged for the product or
services expressed in terms of money prices is the
amount charged for the product or services including
delivery charges discount services and other items
are part of the conditions of the sale. To ultimate
consumer the price pays for a product or service
represents a sacrifice of purchasing power. Price is
also influence a brand name, packaging, product
benefits and services after sale, delivery charges,
and credit so on. Price is also determined by free
play of demand & supply in a free economy. It wills
also changing with the supply & demand conditions.

Raw material + carbon charges + distribution

expenses – prime cost.

12% of the prime cost is overheads that the

prime cost determined depends upon the production
cost & contain percentage of profits margins added
to it. Profit margin ranges in between 10% to 25%.
 Channels of distribution
Amul being an original equipment supplier does not
have a channel of distribution because its goods are
not sold in open market. Here auto parts are
manufactured and supplied to industries that are
engaged in the production of automobiles. Thus the
goods are directly supplied from manufacture to
manufacture. The channel chart can be as follows.

Company

Managing director

General Manager

Marketing manager

Company salesman

Customer
 Sales promotion
Sales are a mirror, which reflects the true
operational efficiency of the enterprise. Increased
sales mean better performance and an active
intelligent & effective marketing management.

Sales promotion is an effort to stimulate

consumers to purchase move & move of a particular
commodity. Sales promotion stimulates demand for
products. The main objective of sales promotion is to
effect spot buying by prospective consumers through
short term incentives, which are temporary & non –
recanting in nature.
 Advertisement

The company provides pamphlets to its

customers. And also gives advertisement in the
newspapers. Especially at time or religion festivals
like diwali, chailbale, institution also approach the
company & obtain contribution in the form of
advertisement.

In the services and magazine published by such

institute, the company also advertises its products
and participates on various trade fares especially
related to the automobiles product. “Amul industries”
also gave its advertisements in various industrial
books like Bulletin of Rajkot, chamber of commerce
and telephone directory etc.
 Market Segement
In India we have 3 main automobiles industries
of Mumbai, Calcutta and madras. Amul‘s list of
customers includes almost all automobiles grants in
India. The lists of customers are as follows.

34 Cummins India Ltd.

35 Megha field controller
36 L&T lob deeve Ltd.
37 Tata motors
38 Ashok Leyland Ltd.
39 Mahindra & Mahindra group
40 Simoson & co.
41 Swaraj engines
42 Kirlosker oil engines
43 Eichar tractors & motors
44 Hero motors
45 Greaves Ltd.
46 New Holland tractors Ltd.
47 Escorts tractors etc.

Among them 2 important customers one.

Mahindra & Mahindra (Mumbai)
Megha field controller (pune)
 Competitiors
The competitors of “an amul industry “is bhavani
co. then comes calex co. and kadvani co. and many
other local producers.

Looking at this increasing competition “amul

industry” has developed the strategy of quality
orientation one evidence of it is the iso-os certificate
that amul holds with easy.
 Exports
Amul industries exports in some countries. It
exports 30% of his total production.

“Amul industries” products are also exported to

oversees OEM’s like.

48 Ivelr-italy
49 Lambardini-italy
50 Fine-use
51 Sohn deerc-usa etc.

They are also exporting there products to move

them 20 countries in Europe & middle east countries
for heavy & medium commeraal vehicles as well as
compressors.
 PERSONNEL DEPARTMENT

SR.NO PARTICULATR PAGE

NO.
1 INTRODUCTION 44
2 ORGANIZATION CHART 45
3 RECERUITMENT & SELECTION 46
4 TRAINING & DEVELOMENT 48
5 WAGES & SALARY 49
6 PERSONNEL RECORDS 50
7 BENEFIT & SERVICES 52
8 TRADE UNION 53

INTRODUCTION
 Human resource department is recently
developed and mainly effected because the industry
is working from the co-ordinates of workers. Human
resource is concerned with helping the employees to
develop their skills and capabilities to the maximum
possible extent so that they may derive great
satisfactions from their job. It includes various
activities like recruitments, selection, inductions,
wage determinations promotion, employees training
etc

Organizaation Chart
 In a large organization there are separate
personnel department for the achievement of goals,
personnel department is one of the most important
parts in organization, and personnel manager also
has high status in the organization.

An Amul industry follows the following chart

Board of directors

M.D

Personnel department

Personnel manager

Administrative officer

Assistant

Worker

RECERUITMENT & SELECTION

Recruitment:

Recruitment ordinarily means obtaining from

supplies but in the context of personnel management
it is an activity & discovering job seeks for the
present & future needs of the organization

In the words of fillip po “recruitment is the

process of searching for prospective employees and
stimulating them to apply for jobs in the
organization”

At amul industries, if any vacancy is found

especially at the lower level ion worker them
appoiment is sometimes done on recommendations
or reference from any influenced individual for any
office clerk or laboue.

For recruitment of skilled workers of personnel

at the middle lavel, level, first the past record of the
applications are referred that may by solved before
for future references and if any application is found
suitable he or she may be called for an interview.

Selection
 Workers are essential active & sensitive factor of
production therefore almost care should be taken in
their selection any carelessness at the time selection
may endanger the future prospects of the antapnce
selection of employees is the process of picking up to
most appetents & suitable candidates.

According to pale goder “selection is the process

in which candidates for employment are divided into
two categories, those who are to be offered
employment and those who are not.”

If any such records not there with the amul

industry personnel department, then advertisements
are given describing the job and kind the
qualification required for the job applications are
invited and then prospective person are called for
interview and after the interview the best candidate
is selected & put on the job

TRAINING & DEVELOPMENT

 The employee must have the theoretical &
practical knowledge & the work; he is required to
perform the theoretical knowledge can by gained in
educational instiuations but for the practical
knowledge training acquaint the employees. With the
real situations of the work and helps him in the
faultless compartment of the works.

According to jucius. “The team training is used

hear to indicate only process by which two aptitude
skill & obilties of employees to perform specific job,
one increased.”

Training need = job requirements present job skills

of employees.

Training can be broadly classified into two:

52 On the job training methods
53 Off the job training methods

Amul industries used both methods to certain

extends hare trainings is provided looking at the
following things

54 Training to new employees

55 Cleaning to old employees
56 General training

PROMOTION & TRANSFER

 A promotion is the upward advancement of an
employees in a unit some another job that demands
better solder, wages, better status more,
responsibility, more hours of work & better working
conditions. Here amul industries a Clark is promoted
to the poil of assistant and then the may be given
post of marketing manager.

The unit unstated promotion in combination of

manager seniority & merit basic whichever is suitable
with respect to job. The employees of amul
industries are transferred with the organization unit.

Transfer is not negatives team & is necessary

when the production changes & there is need for
worker etc.

WAGES & SALARY

 At amul industries wages are according to the
labor laws & salons are paid looking at 3 things

57 Fresh candidate
58 Experend holder
59 Education plus explains holder

It is main duty of the firm to pay reasonable

amount to the worker for there services. The wages
of labor depend upon the number; of units produced
by them the minimum wages paid to worker is 30
(per day)

In case of engineer the salary paid depends

upon the expenence and the number of years he
been worker in the unit the salary range for the
engineer is in between is 2000 p.m to 5000 p.m.

Every year there is an increases in the salary.

The following chart will make it clearer.
60 Works are (wages) minimum rs. 30 per day
61 Office & clerical staff (salary) minimum rs. 1000 to
5000 or more
62 Engineer (salary) minimum rs. 2000 to 5000 or more

PERSONNEL RECORDS
Amul industries maintains the following personnel
records
63 Dally personnel records: this register is maintained
to note daily presences and absence of employees to
find of worker days of a worker and calculate his
wages.

64 Register of employees: a record is also maintained

for the personal details of the employees like his
name, address, age, sex, etc.

65 Wages register: separate wages register is also

maintained so that production efficiency of each
worker can be known.

66 Salary register: this register is maintained to note

the salanes paid to the employees & vinous other
benefits & provident fund, analyzable to him.

BENEFIT & SERVICES

”Amul industries” given many type of services to
there employees they provide provident fund,
 insurance, medical help to there worker as well as
there family, they also provide entertainments to
their worker, wages & bonus on the festivals
education helps to worker children.

Welfare measures
67 Uniform
68 Industnal shoes
69 Safety equipment
70 Company icons
71 Welfare funds

TRADE UNION
Trade union or labor union is a continuous &
voluntary or association of the salary earnests or
wages earnests in amul industries there are only 400
worker so that then debit reasonable demand of
workers one dully considered & fulfilled by the
management to amul industries thus, industries
relations in the unit are very intimate & warm.
SR.NO PARTICULATR PAGE
NO.
 1 INTRODUCTION 56
2 ORGANIZATION STRUCTURE 57
3 FINANCIAL PLANNING 58
4 CAPITAL STRUCTURE 59
5 TAX & DUTION 60

INTRODUCTION

Today Finance is considered as the “life

blood of the business” without finance no business
activity is possible. So for and organization it is must
have a large amount of finance and for this it should
have finance department
 In each and every company there are many
important and necessary departments. Each and
every successful company or the failure company or
the failure company does not depends on any
materials and machines but they are depends on the
skill of the personnel employed in organization.
Management of the people is the one of the main
function of the personnel department. There are
also the main functions except the management

Personnel management is people’s management

at work. Thus management of people is a very
important and challenging job for organization. The
functions which are described as above are usually
performed by the personnel manager.

Organization Structure
The organizational structure of amul industries is
as follows

Finance department

Finance manager
 Administrative officers

Chief Account

Accountant

Clerical staff

Financial Planning

Financial planning is an intercultural process,

which decides in advance the capitalization & capital
structure of the enterprise. It covers following
activities.

72 estimating the firms finial requirement

 73 determining the sources from which the funds
are to be collected
74 determine the use of funds

The requirement is based upon the sales of

business & its future development is of to
considered with requirement of finance financial
requirement will cover the requirement of fixed
assets, working capital, expansion of intently as the
payment of dined & interest to invertors.

The planning problems are the most crucial

point for financial manager at the for executives in
amul industries under the interaction of board of
director plans for financial requirements are
prepared the firm adopts long term as well as term
plans as per the financial requirement. It has also
borrowed capital in from of loans, deposits, which
consist of long from debt

Capital Structure
Capitalization means total according value of the
capital regularly employed in the business. For all
practical purpose of computing estimating &
producing the present value of the firm.

Total percentage again total liability

Capital 47.62%
Reserves 02.56%
Owned capital 50.16%
Loans 49.82%

Total capital = owned capital + borrowed capital

= 50.18 % + 49.82%

= 100%

Tax & duties

Amul industries pay fax regularly they pay 8%
tax from their net profit.

Other information
 Financial year of amul industries is ending on 31
march every year.

Handling procedure a cumbersome or fine

consuming at “amul inducting” the accounting is
dong through computers double entry system is used
for company & operators appointed & a separate
department is there for computer.
 Suggestions
It is suggestion of amul industries to go for
move exports amul industries does not carts and
export. Programmers all the export is done from the
“Adico company” the unit should export its products
to other countries by it self. It should make all its to
promote export through govt. quotas which is
provided by the govt. for this tube of industries.

Amul industries should contrive with the

research & the developmement activities & they to
give more economical products at competitive price
& facilities. The unit should develop a separate
research department.
 Conclusion
In India the new govt. policy of idealization,
privatization and globalization has generated and
growth prospectus of automobile industry. Today
India has entered into global market in export to
auto parts. Amul industries is one of the leading
companies producing different types of auto parts of
plus a dominant role in the India industrial economy.

The from of the company organization is the

most suitable to amul industries in producing auto
parts, as it requires good technology capital & skill.
The company is deally located & all requirement are
early fulfilled.

The financial position of the company is very is

very strong.
 It has shown remarkable progress in a very
shots period & contains the same.

In the end, I convert my best wished to amul

industries to carry out their future, carry out their
future plans successfully & progress more & more.
 Future Planning
Amul industries is planning to expand their
business and also planning to expand their exports in
to different countries.
 BIBLOGRAPHY
Web site: - www.amulind.com

Modern business of management

Marketing management

Finance management