DECLARATION

This project report entitled "An Organization Study At Solve Plastic Products pvt Ltd,
punalur" is a bonafide work done by me under the guidance and supervision of Ms Blessy
Elizibath and submitted to Mahatma Gandhi University , Kottayam, is a practical
requirement of fulfillments of the degree of Master of Business Administration. The
empirical findings in this report are based on the data collected by myself. No part of this
project has been reproduced or copied from any report on the university.

ACKNOWLEDGEMENT
Words are always found inefficient in expressing thanks, gratitude and reverence. I would
like to thank those who have helped me immensely with their valuable suggestions,

1
comments, support and love for the successful completion of this project.
First of all, I express my deep gratitude to God almighty who guided me in the right to
make this project a success. At the very outset,
I wish to convey my sincere thanks to Mr sudheer,MD and Ms Bindhu,head of the
finance department ,Solve Plastic Products Pvt Ltd for her valuable and sincere help and
advice, which helped me to conduct this project work very successfully.I express my
deep scene of gratitude to Mr pradeep project guide of BALCO groupsand also thank all
the officers and staff of Solve Plastic Products Pvt for giving me valuable information
and assistance for completing my Organization Study successfully.
.
I would also like to thank my beloved parents and my friends for their external source of
encouragement, inspiration and moral support, without which it would have been almost
impossible to complete this project.

Sumith.s
Caarmel college
pathanamthitta

Table of Contents

Chapter Subject Page Number

Chapter-1 Introduction

2
 1.1 Objectives

1.2 Scope of study

1.3 Methodology

1.4 Limitations of the study

Profile

2.1 Industry Profile

Chapter-2
2.2 Company Profile

2.3 Product Profile

Department Analysis
3.1 purchase and production
department
3.2 Human resource department
Chapter-3
3.3 Finance department

3.4 marketing department

3.5 Quality Control Department

Chapter-4 SWOT Analysis

Chapter-5 Findings & Suggestions

Conclusion

Bibliography

Appendices

3
 CHAPTER-1
INTRODUCTION

4
 INTRODUCTION
The advent of globalization has brought itself many changes. Corporation across the
globe are finding this kind of business environment tough to operate. However as there is
as saying,’ every change is to have a two side effect’, the same happens with
globalization to. It has in a enormous opportunity. As a result, companies are always
willing to bring in efforts to become the leaders and thus enjoying their high market
share.

After the arrival of IT companies on global scenario, now the manufacturing companies
are following the same suit and growing globally at a fast rate. Quality is now one of the
prime fields of attention for the manufacturing companies. They believe in giving the
maximum possible quality and thus earning sound profit.

To study about an organization_ its working structure, human recourses, etc thus holds a
great significance as it helps one to clearly understand how complicated an organization
work so as to have a optimum use of the resources available.

Solve Plastic Products, the Flagship company of Balco Group started production in 1991
with assistance of Kerala Financial Corporation, Thiruvananthapuram and the State Bank
of Travancore. The Balco brand of electric conduits was launched and meticulous care
was taken to maintain the highest standards of quality. Balco conduits received ISI
registration soon after and the product was soon a market leader. With the enthusiasm of
the team the unit had the privilege to become the first unit in Kerala to get ISI for Electric
Conduits. More specifically its success has been aroused from its commitments towards
quality and consistency in business relations. These factors geared it up later to get the
approval of BIS with in a short span of time.

Under the same management another unit Solve Plastic Products Pvt Ltd was
incorporated in the year 1994 with an objective of tapping the abundant opportunities

5
prevailing in the PVC Water Pipe Sector. Cashing in on the need for high quality Pipes
for potable water Balco created a segment of its own based on its unmatched quality and
strength. With virgin raw materials and uncompromising quality standards the PVC water
Pipes and the unit has triggered predictable growth. The first commercial production had
started in the Financial Year 1995-96 with an average production capacity of 55 Tonnes
in a month. Fitted with an Extruder 52/18V made by Kolsite, Daman in association with
Kabra Extrusion Technik, Germany, this unit is capable of making Electric Conduit as
well as PVC Water Pipes having both ISI and Non ISI standards. The Company could get
ISO 9001/2000 certification from JAS-ANZ through Pheonix Progressive Certification
India Limited.

My one-month long Organization study in solve plastics products Pvt. LTD

(BALCO)gave me hand full of valuable experience, which really will help me in my
future ventures. I had clear study on the various departments namely: Quality
departments ,Production and purchase, Finance and Administration, and the marketing
department carry out their work and go in support to each other departments.

The major purpose of conduction of this study is to understand the functioning of the
organization and to focus on the performance aspect, both in the national & international
markets. This study is helps to gain practical
Knowledge about management & theoretical knowledge.

Objectives of the study

a. To have a general awareness of the functioning and management of the

organization.

6
 b. To understand the functioning of the company in terms of the department
created for carryout their daily transactions.

c. To analyze strength, weakness, opportunities & threats concerning the

company.

d. To know about the pipes industry & its future.

e. To learn about the history of the company & how it made its debut into the
pipe business.

Scope of the study

The organization study encompasses the entire functioning of the

organization which includes the nature of business it is involved in the , current
competition scenario the departmental segregation
Created for the implementation of plans & procedures , the current branches that is
controls &future expansion plans which includes both the national & international levels.

Moreover the needs to conduct an organization study lies in the

fact that it provides an in – depth understanding of what company is all about & the
underlying factor of its existence.

7
METHODOLOGY

Both primary and secondary data are used in the study . The
study mainly based on the collection of primary data and secondary data through direct
interview with managers & all other employees.

Primary data
Primary data collected through direct observations of various functions in the
organization & through interactions with various departments heads & other employees
of the organization.

Secondary data
Secondary data were collected from official documents like their annual
reports, financial records , various other organization manuals, company profile etc &
from website .

8
LIMITATIONS OF STUDY

1, The study mainly depends on the secondary data.

2, Since there were time constraints, intricate details weren’t included.

3, Limited information in terms of undisclosed financial data due to lack of certification

by auditors , hence up to date information was not available.

9
 CHAPTER-2
INDUSTRY PROFILE

10
INDUSTRY PROFILE

WORLD SCENARIO

The pipe industry in India had its history dating back to late 1960’s. In Kerala PVC pipe
industry marked its presence from 70’s. At that time, it was really a tough job to market
the concept this new product. The industry also faced the shortage of raw materials as
there were only few companies like chemplast, PRC were manufacturing PVC resin
which is a important ingredient in pipe manufacturing.

Above all scarcity of pipe fitting in the market had created a great concern. so while
selling pipes it was liability of the company to provide market with the proportionate
volumes of PVC fitting.

In spite of all these challenges, PV pipes has established its own position in the market
due to its Durability, Affordable price, Ease in handling and hygienic nature. Over the
period, many other varieties of pipes like Polypropylene , Polyethylene, ACC, steel and
FRP were introduced in the market, but they were not good enough to replace PVC pipes

The number of plastic manufactures has declained in recent years, as a result

Of the spiraling number of mergers and acquisition. Acceleration consolidation amongst
plastic manufacturing is generally greater bargaining
Power of parties The replacement of traditional material is continued product developed
in the market forward. Assessing what will happen

11
Is 2009 considering that the U.S economy it believes that the most critical
Power of international crisis is over that the U.S economy is already
Showing signs of recovery, present P.V.C consumer indication of
Recovery in the 1st quarter of 2009. U.S P.V.C economy should show
Positive result in the second half of the year. Brazil is doing the situation
Of Argentina is also working.

Western Europe became the driving force behind the implementation of plastics in pipe
systems in pipe systems after the second world war. The availability of low cost ‘
Thermoplastics ‘ combained with an enoromous need for infrastructure replacement , led
to huge increase in the use of polymers.

Operating pipe market sectors currently are Hot & cold water pipes, Pressure pipes, &
non- pressure pipes.

Plastic pipes have a great future in a variety of sectors including.

• Plumbing
• Irrigation
• Portable drinking water
• Mining
• Oil & gas production
• Natural gas distribution
• Industrial chemicals

INDIAN SCNEARIO

12
 Poly vinyl chloride is the most important of all the commodity plastic
consumed in the country. Used in a variety of application substituting traditional
materials such as steel, glass, etc. The demand for
P.V.C was around 43600 tones in 2001- 2003 and is expected to rise to 445000 tones
in the following year.

Following the international market and varying level of production in P.V.C and
polymer prices in India had up to 7% to % 15 in six months up to the end of
September 2005. There were further changes in October
While this may be in keeping with the rising global oil and polymer prices, plastic
process came up with duty on imports. Petrochemicals are hydrocarbons derivatives
and are usually obtained from crude oil and natural gas. The product of crude oil
refining is preferred feedstock because of their lower cost availability and process
ability.

PVC is the single largest polymer produced in the domestic market accounting for
lower 26% of the total polymer market. The business has been badly affected mainly
due to absence of the government purchase policy due to change the priority on the
lack of adequate funds. A change in the government in some important states has
been responsible for the change priority. The higher incidence of government taxes
in some states like Maharashtra from the end of 1998 untill the end of 2000 has also
exerted additional resistance in the market price.

The excess capacity of about 1000 players in the PVC sector and very low value
also caused problem of qualities and business of non-standard products. Some of the
states have therefore initialized an action of demanding purchase from only those
players who have acquired ISO 9000 CERTIFICATION . On the other hand, plastic
market for several small sized players spread all over the country having almost
40% share of business are aggressively pushing products purely based on cost

13
without adherence only about 10 players with in the sales volume beyond 5-10kt of
pipes. The major players are.

o FINOLEX
o JAIN GROUP
o KISSAN GROUP
o MOWILEX
o NANDI PLASTIC
o ORISSA PLASTIC
o SUDHAKAR
o SUPREME INDUSTRIES

The major players possibly have almost 55% - 60% share of business. Increasingly 5
of these having almost 35% -40% share of business are located in western region
.The PVC sector has almost 40% share of the total PVC business . The growth of
PVC resin therefore is strongly linked to the growth of PVC pipes .The major driver
of PVC resign therefore is directly governed by the capability of the government by
to spend infrastructure development.

STATE SCENARIO

There are many PVC pipe producers in Kerala. Today the PVC
pipe industry holds a key role among the small scale industries. About twenty P.V.C
pipes manufacturing companies are functioning in Kerala . So there is stiff
competition in the realm of PVC manufacturing , some well known branches are
available in the market are BALCO , HYCOUNT , SAKTHIMAN,
KELACHADRA, SUPREME ,PEARLBLACK, GOODWILL etc. There are two

14
types of PVC pipes –water pipes and electrical conduits. PVC pipes are more durable
than cast iron pipes

RBI had reduced the interest rate of housing loans through

HDFC . So the construction field will increase so that there will be a huge demand of
PVC pipes. The state Government with Japanese technology for drinking water and
development of wells in rural areas (Japanese project) will increase the demand of
PVC pipes.

The problem faced today is that most of the tenders of Kerala Government were
received by the producers of outside Kerala .Because of the price of the product
outside Kerala is less than that of state.

PVC pipes are more durable than cast iron pipes and asbestos pipes that is the reason
why the PVC pipes are commonly used. In kerala most of the water supply units are
supplying water through PVC pipes. The water authority is also converting asbestos
pipes into PVC pipes in step by step. The price of PVC pipes was increased to
average of seven percentages recently.

The replacement of asbestos of pipes into PVC pipes by the water authority is good
for growth of PVC pipes market in Kerala. So PVC pipes industries have a bright
future.

15
COMPANY PROFILE

SOLVE PLASTICS PRIVATE LIMITED, PUNALUR was a sole proprietary

concern started in 1989. Then it was registered as a small scale industry in the year
1995. The company produces high quality water pipes and electric conduits with
ISI. The company is situated in Punalur. Solve plastic products marketed under the
brand name Balco pipes.They are the leading manufactures of PVC pipes and
electric conduits in Kerala and owning the best market network in Kerala, Tamilnadu
, Karnataka.

The process control and R&D department have the expertise and most modern
sophisticated technology for the process inspection and testing of Balco PVC electric
conduits and water pipes. The entire range of products are manufactured under the
strict supervision of independent quality control department .The company ensures
total control of quality with continuous up-gradation in quality management systems
which resulted in the accreditation of ISO 9001 : 2000 certificate . The company has
an investment of Rs 50 lakhs in plant & machinery. Above 250 employees are
working in the organization by 3 shifts. Balco PVC pipes with ISI mark vary in sizes
of 20mm to 110 mm with pressure class
2.5kg/cm,4kg/cm,6kg/cm,8kg/cm,10kg/cm,12.5/cm.

Field of application of PVC pipes are portable water supplies, drainage, agriculture,
telecom, and electrical cable ducting . Balco pipes are recommended for all places
where safety and protection of people and building are considered to be important
.viz. houses, stations , oil refineries , factories , industries complexes, commercial
complexes ,power stations, trains ship, street tunnels, railway stations , airport
museum, telephone exchanges, conference halls ,hospitals, schools, military
installation ,defence shelters etc.

16
Products of the company
♦ PVC electric conduits
♦ PVC water pipes
♦ Solvent cement
♦ PVC bends

Market share of the company

Currently the market share of electrical conduits is 70% and the
market share of water pipe is 35%, solvent cement , and PVC bends are booming.
Solvent cement and PVC bends are new products of the company.

Competitors of the company

♦ Hycount
♦ V-guard
♦ Kelachandra
♦ Finolex
♦ Sakthiman
♦ Thomson
♦ Plumbers choice
♦ Pearl black
♦ Star
♦ Supreme

17
 Future of the company

The company is planning to increase the production capacity by

purchasing of new and high capacity machines to meet their demands. The company
is planning to start production unit for solvent mixing and filling and also they are
planning to produce PVC pipes.The company will provide good transportation
facilities to get available of their market demand.

Quality policy of the company

Solve plastics products pvt ltd committed to produce and supply PVC electric conduits,
unplasticized PVC pipes in conformity with the customer satisfaction by continuously
producing, and supplying products in conformity with customer needs . we are committed
to confirm to the requirement and continually improve the quality management system.

 Balco conduits have been approved by Kerala PWD,CPWD, RAILWAY, BSNL

etc.
 Balco PVC pipes met all the requirements as per IS 4985: 2000
 PVC conduits have hot stamping on every metre length to avoid duplication
 Balco electric conduits are its durability, lightweight, monotonic , non corrosive.
 Electric conduits are the first of its kind having ISI and ISO certification in
Kerala.

18
Objective of the company

• To maintain an effective quality management system with active involvement of

all employees.
• To ensure timely delivery of products in required quantity.
• To solve for continual involvement of quality
• To grow as a socially responsible organization.

19
ORGANISATION CHART

20
21
 chairman

Managing
director

Director

General
manger

Purchase Quality
Human
and Finance Marketing control
resource
production department department department
department
department

Marketing Manager of
Production Human Finance
manager quality
in charge resource manager control
manager
department

Senior
Plant in accountant
supervisor Assistant
charge
marketing
manager
Clerk
Clerk Lab
Marketing assistant
Supervisor
executives

clerk

22
Duties and responsibilities of chairman of the company

 Over all guidance of the company

 Decide on policy matters
 Presides over the board of directors meeting.

Duties and responsibilties of managing director

 Formulate quality policy and objectives

 Presides over the management review meeting
 Assigns duties and responsibilities of supervisory staff.
 Appoints management representatives.

Duties and responsibility of director

 Assisting managing director in day to day affairs of the company

 Overall supervision of purchase and marketing activities

Duties and responsibility of general manager

 Overall day to day management of the company

 Identifies the training needs of staffs
 Overall in charge of marketing department
 Assisting managing director and director in formulating objectives.

23
Departments / functional areas

The organization is made up of various departments. Departmentalization is the grouping

together of similar or logically related activities. There are several bases of
departmentalization. This departmentalization is usually shown on an organizational
chart. Different forms of departmentalization are departmentalization by functions, by
products, by region, customers, process, or a combination of any of them.

Departments of the company

Production and quality control department

Human resource department

Marketing department

Purchase department

Finance and administration

24
 PRODUCT PROFILE

Solve plastic products limited produces two types of PVC pipes under the
name of BALCO.

PRODUCT AND ITS FEATURES

1. BALCO PVC Water pipes

BALCO PVC pipes with ISI mark vary in sizes of 20 mm to 110mm with
pressure class 2.5 kg/ cm, 4 kg/cm, 6kg/cm, 8kg/cm,10 kg/cm,12.5 kg/cm and for
plumping pipes of 20mm to 50 mm.

Two types water pipes

1, Threaded water pipes (15mm – 40 mm)

2, Pasting water pipes (20 mm – 110 mm)

25
 Advantages of BALCO PVC Pipes

a. BALCO PVC water pipes are met with the requirements as per IS. 4985:
2000
b. Manufactured from virgin row materials
c. Offer entire range of plain and socket end class 1,2,3,4,5,6 and plumbing
pipes
d. No bacterial growth inside the pipe due to presence of light.
e. BALCO PVC pipes have been proved to maintain the natural purity of the
lead content of these pipes is much less than the limit prescribed by the
Bureau of Indian Standards.
f. Resistance to corrosion.
g. High impact strength at normal temperature and at low temperature.
h. High thermal stability.
i. High strength to weight and ratio
j. Excellent Tensile strength.

FIELD OF APPLICATION

Portable water suppliers , drainage , agriculture , and Telecom cable ducting etc.

2, BALCO PVC ELECTRIC CONDUITS

BALCO PVC conduits, the first of its kind having both ISI and ISO
certification in Kerala, have been approved by Kerala PWD, CPWD Railway,
BSNL etc.

a. Highly durable, light weight, monotonic and non – corrosive.

26
 b. Easy installation and the long lasting nature of PVC conduits avoid
periodical maintenance
c. Can bend at any angle thus to avid the expense for the fittings like
bends elbows etc.
d. Manufactured from high impact resistant PVC which is specially
formulated to meet superior standards.
e. Hot stamping on every meter length so as to avoid duplication
f. Electric conduit produced in three sizes ‘ Light , Medium, Heavy ‘.

SIZE LIGHT MEDIUM HEAVY

16 MM   X
20 MM   
25 MM   
32 MM   
40 MM   
50 MM   
63 MM  X X

FIELD OF APPLICATION

BALCO conduits are recommended for use in all places where satisfy and
protection of people and building are considered to be important viz. hospitals,
factories, airports, schools, hotels, house holds etc.

3, BALCO SOLVENT CEMENTS and BENDS

BALCO SOLVENT CEMENT is the most effective solution for

joining of PVC pipes , electric conduits and fittings . It is fast and easy to use

27
and ensures water tight joints. BALCO solvent cement offers the minimum
hydrostatic bursting strength of 2.8 mpa after hrs curing time. BALCO solvent
cement is packed in specially designed and eco- friendly tin containers of 100
ml and 250 ml sizes.

Bend

Bends are another product of solve plastics Pvt Ltd.

These bends are manufactured as to a sub product of the electric conduits.
Which can be used to join these electric conduits manufactured from the firm
there only few employs in this section. They manufacture about 1300 bends per
day. There is a huge market of these products as there are only a few
competitors in this field

28
 CHAPTER 3
DEPARTMENT STUDY

29
 DEPARTMENT STUDY

Departments and their functions

The company is having a well – defined organization structure.

There are five departments in the company. There is a high degree of
departmentalization in solve plastic products pvt ltd. The departmentalization
helps in the specialization of work in each field. It helps in better planning and
control. Each department consist of different employees who carry out their
specific works. There is no cross function and thus and the communication
flow happens according to this specific structure.

Departments

o Purchase departments & Production department

o Quality control department

o Marketing department

o Human resource department

o Finance and administration

30
PURCHASE AND PRODUCTION
DEPARTMENT

31
 CHAIRMAN

MANAGING DIRECTOR

DIRECTOR

GENERAL MANAGER

PURCHASE MANAGER

PLANT INCHARGE

SUPERVISOR

ELECTRICIAN OPERATOR

32
FUNCTIONS OF PURCHASE DEPARTMET

PURCHASE
Suppliers order DEPARTMENT

GOODS RCEIVING
DEPARTMENT
Received

Production
Department Stores department

PURCHASE DEPARTMENT

Purchasing is a managerial activity which goes beyond the simple act of buying and
includes the planning and policy activites covering a wide range of related and
complimentory activities . This includes research and development strategies required
for the proper selection of sources from which those materials may be bought , the
follow up to ensure proper delivery the development of proper procedures ,methods and
firms to enable the purchase department to carry out the established policies etc.

33
The purchase department of Solve Plastic Products pvt ltd, acts according to the needs of
the production department and in consultation with the accounts department for the
release of funds.

Objectives of the purchase department

1. To pay reasonably low prices for the best products obtainable.

2. To keep inventories low, ie, it should be maintained at a level consisted to that of
production requirements.
3. To develop satisfactory sources of supply and maintained good relation with
them.
4. To secure good vender performance including prompt deliveries and acceptable
quality.
5. To locate new material sources for smooth production.
6. To achieve high degree of co-operation and co-ordination with the other
departments in the organization.
7. To develop good procedures together with adequate controls systems to check on
the departments activities.

The purchase manager deals with the entire functioning of the purchase department.

In a Solve plastic products pvt ltd the functioning of this department is a

commendable one. Its activities are aligned with the requirements of the production
department . The main raw material used for production are Resin (95%) and chemicals
(5%) . The main suppliers of these materials are Finolex and Reliance.

34
 The purchase department divided into three

•RAW MATERIALS STORES

•ENGINEERING STORE
•FINISHED GOODS STORE.

Solve plastic products pvt ltd produce its materials with the selected supplers & finalize
upon a price after negotiation . This price is termed as basic purchase price on which
additions and deductions are made to arrive at the material cost.

Once the requisite material received storing, which is also an impotant function has to be
looked upon for this proper stores management is necessary. So as to handle the material
effectively and efficiently.

35
PRODUCTION DEPARTMENT

36
 Structure of production department

PRODUCTION MANAGER

PLANT IN CHARGE

SUPERVISOR

ELECTRICIAN OPERATOR

This department is the backbone of the company and more number of employees work in
this department. The production manager heads the production department , he is
assisted by plant in charge , supervisor ,electrician, operator etc. A manager assisted by
the plant in charge , heads the department. The supervisors then assist the plant in charge.
Under him come the operators and the electricians . Operators are provided with the
helpers to carry out the work smoothly.

37
Objectives of production department

Production is an organized activity in a manufacturing organization. Each

organized activity must spell out its objectives so that its existence can be justified on the
basis of the degree of attainment of these objectives. Solve plastic products pvt ltd
production dept set certain important objectives as follows.

1. Maximum production with high quality and

quantity.
2. Ensure time delivery of products
3. To strive for continual improvement
4. Ensure proper implementation of manufacturing
process.

Production is carried out in three shifts. Five employees are required to operate a
machine. The operator and the helpers contribute the vital section, as they are the core.
The operator is required to have the knowledge in operating the sophisticated machine.
Fault can lead to great loss. They are also liable in noticing the quality of pipes
produced. The helpers and operators are answerable if any complaints rise in the
products.

38
PRODUCTION PROCESS

39
Mixing raw
material

Hooper

DIER and Molding

HEATING SIZER diesel
injection
machine

Hall off

Cutting and
printing

Finished
goods

40
Raw materials used for production of PVC pipes

 PVC RESIN
 STABILIZERS
 COLOURS
 LUBRICANTS
 FILLERS
 CALCIUM CARBONATE

Raw materials used for solvent cement

 PVC RESIN
 CYCLOHEXANONE
 TERA HYDRO FURAN

The main suppliers of the raw materials are Reliance chemplast, DCW, Finolex.
The production process of PVC pipes is called Extrusion the process is fully
automated. The first process of Extrusion is mixing of raw materials like PVC resin and
other ingredients are heated at 110 degree Celsius and mixed in the mixing unit.

Then the mixed compound is cooled to 40 degree Celsius , then it is sewed by the
sewing machine to avoid foreign particle. Sewed compound is send to Hooper and then
to barrel . Then the compound is moved through die and mantile to make the shape of
pipes of different size. Then the pipe is dipped in water tank cool and then it is vacuum
sizing to create pressure balance.

41
Caterpillar is used to increase or decrease the speed of the output. If we increase the
speed of the caterpillar production speed also increase . Cutter is used to cut the length of
pipe as 3 meter in case of conduits and 5 meter in case of water pipes. Stenciling, it is the
process of putting brand name and logo of pipes to avoid duplication . pipes are packed in
the bundles of 30pipes for 63 mm pipes and to100 for mm pipes.

Production capacity

The production capacity of the factory is 6 tone / day.

Records of production department

• Log sheet
• Processing parameter
• Inprocess inspection

42
HUMAN RESOURCE DEPARTMENT

43
 Structure of Human resource department

H.R MANAGER

SUPERVISOR

CLERK

EMPLOYEE
SECURITY

44
 Human resource is regarded as the only dynamic factor of production , other
factor of production remains dormant without involvement of human factor. So this
department play significant role in human resource management. Administrative
management in the recruitment, selection development, utilization and accommodation of
human resource are handled by the organization.

Human factor is largely the most important factor in any

organization . It is very important that the persons employed in an organization may be
employed in an organization may be developed and utilized in an efficient manner.

FUNCTIONS OF HR DEPARTMENT

1) Human resource planning : The Board of Directors , MD, General

Manager and HR manager will decide the number of employees required their
qualification, post method of recruitment , remuneration etc.

2) Recruitment and placement: The HR department take action for filling

up vacancies that are normally arises in the organization. Recruitment is made
through news paper advertisement followed by scrutiny and interview. After the
scrutiny of application elgible candidates are selected for the interview. After
the interview selected
Candidates are placed as right man for the right job.

45
3) Training: Induction training will be given to the employees in order to
acquaint with new situation and employment .Training is given according to the
training need of each employee. This method is called Training Need Assessment
of employees .It is an evaluation of employees skills competencies, abilities
attitudes, morale etc.
4) Performance Appraisal : The HR department makes performance appraisal
of employees . It is the evaluation of employees skills and capabilities and actual
performance with standard performance with stated standards deviations if any
corrective measures are taken . Criteria for attributes for performance appraisal
are job knowledge, productivity, attendance , integrity, commitment.
5)
6) Health and safety measures : Management of the company has provided
necessary infrastructure to achieve the requirements of products in terms of
building work space associated utilities, process equipments and supporting
services. Employees state insurance and also accident compensation is provided
by the company.
7) Workers participation : Employees will give their suggestion regarding
work schedules , working hours and decisions relating to their job to the top
management.

8) Employee Grievance : HR Manager arrange weekly meeting with the

different employees representing different department. HR personnel are
responsible for the handling complaints, disputes with in the group and with top
management

9) Personnel Records and audits :

 It includes maintenance of personnel records

 Seniority list of employees

46
 Wage and Salary administration
 Attendance management and leave administration
 Other related functions.

FINANCE DEPARTMENT

47
Finance department

Structure of finance department

COMPUTER OPERATOR

FINANCE MANAGER

SENIOR OFFICER

CLERK

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CASHIER COMPUTER OPERATOR

Finance is one of the foundations of business it is the life blood of the business. Finance
is used to start the business expand and day to day functioning of business. The finance
department is in charge of preparing statements and carry out analysis. This department
controls all the financial activities. It includes rising and allotting of funds for various
activities like paying of salary, Keeping the sales details, verifying it etc.

A manager who directly controls both the senior accountant and security
heads the department. Under the senior accountant come the receptionist , Computer
operator , clerk and the cashier.

At solve plastic products pvt ltd , there is an effient finance department. Its main activity
is to maintain the inflow and outflow of funds, there by maintaining proper financial
functioning . The finance manager, who is the head of finance department determines
and allocate funds for various departments and avoid wastage of funds.

Finance department is considered as the back borne of the organization . The company
has dynamic finance department which records all financial transactions in a systematic
manner and carries the company towards success. monthly evaluation is done . T he bill

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of various departments such as production , marketing , administration, quality are
entered into register. Then the bill are send to the respective department for his approval
and the approval bills come to the accounts department for payment . Once the bill is
received are proper in all respect then the bills are entered into the system . The other
cash payments made are to be approved by the proper authority.

Objectives of finance department

1. To provide a frame work for optimum financial decision making
which is concerned with designing a method of operating the
internal investment and financing of the firm.
2. To make dividend based decisions
3. To tap the right sources for raising the funds.
4. To develop a policies for achieving the target of the company.
5. To make appropriate decisions relating to the short term and long
term funds.

Key operations of financial department

1 Management of firms asset structure

a. Managers the liquid assets.

b. Determining the capital budget.
c. Establishing the credit policy
d. Controlling the level of investments.

2 Financial analysis, planning and control with

a. Assessing the financial performance

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 b. Forecasting the financial structure
c. Estimating the financial future

3 Management of firms financial structure

a. Establishing debt – equity ratio
b. Determining the dividend policy
c. Negotiating and developing relations with suppliers of capital.

FUNCTIONS OF FINANCE DEPARTMENT

 Determination of financial objectives

 Designing the capital structure
 Determining source of funds
 Maintaining liquidity
 Forecasting and estimating of short term and long term capital requirement.
 Maintaining relations with Banks and financial institution.

Accounts department
Accounting function is necessary input for the finance function ie, accounting is the sub
function of finance. Accounting generates information relating to the operations of the
firm. The end product of accounting consist of financial statements like balance sheet,
profit and loss account, fund flow and cash flow statements.

In Solve plastic products pvt ltd accounting department is a part of finance dept.
Finance manager Mrs. Bindhu who is the head of the accounts department record all
transactions which is further used for summarizing and analysis.

Objectives of accounts
• Provide information for planning ,controlling and decision making.
• To prepare suitable budget for increasing the profit of the firm.

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 • To prepare proper records of all transactions of business
• To help in ascertaining the financial position of business.
• To support the long term and short term decisions made by the company.

RESULTS

Proper cash mgt is done by the finance department of Balco. All decisions of the
organization are taken by consulting the finance department. Sources of raising funds are
determined by the finance department, Balco has sound financial position.

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MARKETING DEPARTMENT

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 Structure of marketing department

MARKETING MANAGER

ASSISTNT MARKETING
MANAGER

MARKETING EXICUTIVE

DEALERS DEALERS

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 Marketing department is headed by the marketing manager, under him there are
assistant manager, marketing executives and dealers. Marketing occupies a very
significant place in business and is the nerve center of all human activities. Production of
goods has no meaning unless they are exchanged for money or money’s worth. Thus for
further production, goods should be moved from th producers to the ultimate consumers.
This movement of goods involves a series of hurdles which can be solved only through
marketing.

According to the American Marketing Association , “Marketing may be

defined as the performance of business activities that direct the flow of goods from
producer to consumer or user.

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MARKETING FUNCTIONS

MARKE
TING
FUNCTI
ONS

FUNCTIONS OF
FUCTIONS OF FACILITATING
PHYSICAL
EXCHANGE FUNCTIONS
SUPPLY

Buying Storage
Market
and Transpo and Financi Risk Standar
selling informat
assembl rtation warehou ng taking dization
ion
ing se

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Objectives of marketing department
1. To create new customers and make the existing ones satified.
2. To build goodwill through image building activities.
3. To focus on four P’s of marketing ie, price ,place ,product , promotion.
4. To be the first to feel the pulse of the customer and produce goods which will
satisfy their requirements.
5. To maintain customer loyalty through after sales, service, promotional offers etc.

The head of the department, managers of the marketing activities

of the firm. He regularly keeps a check on the dealings of the various branches that he is
entitled to manage, based on the branch report. The marketing manager can take the
decision based on.

• Sales forecasting
• Sales proceeds follow up
• Complaint handling
• Promotion decisions

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Marketing research

The marketing department of the company is always in touch with

market trends, new demands of customers , methods to attract new customers, retain
the customers.

Targeting and positioning

Balco pipes are recommended or targeted for all places where safety and protection
of people and buildings are considered to be important viz, houses ,factories, oil
refineries, trains, ships, house holds ,airport ,railway stations, telephone exchanges
etc.

Distribution strategy

Water pipes and electric conduits are distributed to the dealers of electric shops and
plumping shops. To market the product, the company has marketing executives to

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 collect orders and supply the goods on demand . Company has two branches one at
Cochin other at Kozhicode. Branches are used to distribute pipes and conduits to
market products at northern, central and southern districts of kerala. Commission is
given to dealers a quarterly and annually. Company has its own delivery vans to
supply their product dealers all over the state.

Segmenting

Balco pipes are positioned to a premium and high quality segment. So the price of the
pipes is comparatively high than the other brand . Quality oriented customers are the real
customers of the company.

Pricing strategy

Price policy of the company set as a premium. It is because of high quality products.
There fore, its price is considerably higher than competitor’s price.

Price structure of electric conduits ranging from Rs 9.08 to 98.39

Electric conduits size are the following

16mm, 20mm,25mm,32mm,40mm,63mm

Price structure of water pipes ranging Rs13.11 to 463.68 (20mm to 110mm)

Promotional activities

Since pipe is an industrial product it need not require high amount of

advertisement is not necessary. Companies advertising policy is to attract customers
to their retail shop , for that they will build hoardings of Balco pipes near to that shop.
Some times the company gives sponsor advertisement to some organization and
meeting. Company is giving commission to dealers and marketing executives who
achieve their target in time. Solve plastic products is marketing their products under

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the brand name Balco pipes with a caption of 100% Reliability , this shows the
positioning of their products with consistency in quality.

Result

Solve plastic product pvt ltd has its success in effective marketing through direct
sales, for that its utilizes the marketing executives effectively.

Solve plastic products have narrow distribution channel.

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QUALITY CONTROL DEPARTMENT

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Structure of quality control department

Director

General
manager

Quality
control
department

Lab Clerk
assistant

Quality control department

To maintain an effective maintaining system with the active involvement of all
employees. With the active involvement of all employees with increasing sales by 5%
in a year and customer satisfaction level not less than 80% in the financial year 2009-
2010.

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 To ensure timely delivery of material in required quantity with maximum permissible
delay for 2 days. To strike for continual improvement of quality with rejection at final
stage will not be more than 55 and customer complaint will not be more than 2/ year.

Quality policy

Solve plastic products pvt ltd is committed to produce and supply PVC pipes in
conformity with customer requirements , we shall ensure customer satisfaction by
continually improve the quality management system. The quality control dept is the
key department in solve plastic products pvt ltd .The quality controller takes control
of quantity aspects of production. The functions of quality department are.

1. Check the incoming raw material.

2. Check the quantity of final products.

Quality department holds great significance in the company. The controller who holds a
related degree in this field heads the quality department. The lab assistant and the store
keeper assist the quality controller. This department keeps a close look in the production
process happening in the company. Pipes are selected and then tested for the prescribed
quality.

BALCO products confirm to the stipulated IS / WHO standards and

has the IS/ ISO 9001 2000 certification to its credit. These make us understand how
important the quality department is for this company. The pipe is tested every now and
then; they look for the weight, uniform surface, flexibility, length thickness, etc. If any of
the said property varies from the standard mentioned format, the pipe is disposed as
waste.

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 There is also a rule that in the process of production if the workers
doubt if the workers doubt the pipe is having some fault it should be immediately noticed
to the quality check department, only after their inspection the pipes produced shall be
send for sale.

IS 9537 is the quality standard for Balco PVC electric conduits.

Quality checking Standards for electric conduits

1. Dimensions
2. Visual appearance
3. Bending at room temperature
4. Collapse test
5. Compression test
6. Resistance to heat
7. Electrical strength
8. Insulation resistance
9. Insulation resistance
10. Impact strength
11. Bending at low temperature

IS 4985 – 2000 is the quality standard for Balco PVC pipes

Quality checking standards for PVC water pipes

1. Dimensions
2. Visual appearance
3. opacity

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4. Effect on water
5. Reversion
6. Vicat softening temperature
7. Density
8. Sulphated ash content
9. Resistance to external blows at Celsius
10. Internal hydro static pressure test.

Functions of quality department

 Inspection of raw material

BALCO’s image lies in its quality of the goods produced so,

the inspection take place from very beginning ie, from the stage of raw material take
place so as to ensure the quality of the materials have the inspection take place about
compounding mixing etc.

 Inspection after weighing and mixing

 Inspection after cooling, the inspection such as water pipe is free
from.

a. Scratches
b. Blows
c. Burns
d. Bends etc.

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SWOT ANALYSIS

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 SWOT ANALYSIS
SWOT ANALYSIS is an important aid for the management when it comes making
critical decisions . Swot is an acronym for strength, weakness, opportunities shows
the positive aspects where as the weakness and threats represent negative aspects that
the company should be important in the future for the organization. Every successful
firms success lies how it implements the outcomes of SWOT analysis. A company
and its performance can be analyzed in many aspects . one of the best possible way is
the method of SWOT Analysis.

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Strength

♦ Goodwill of the firm

♦ BIS , ISI and other certifications
♦ High brand value
♦ Good quality management
♦ Since products have received national and international quality
accreditations, the customers can always bank on durability.
♦ Balco maintains a good relationship with their dealers there by helping
them cope with the competition , to a certan extent.
♦ Balco provides fairly good after sales service to customers, there by
ensuring the loyalty towards the products.

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 WEAKNESS

♦ Lack of good human resource department

♦ High attrition rate
♦ Company following traditional method of production process.
♦ The machineries are quite costly and the maintenance involves huge
amount.
♦ Once the machine is break down it takes long time for next run, it will
affect the production.
♦ When the non availability of raw material impede the production process .
♦ Quality control requires a huge investment in time and manpower, this
involves a considerable dead time before the products are approved for
marketing.

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OPPURTUNITIES

♦ The company has suffient capital to invest in expansion

programme.
♦ The investment boom in industrial and infrastructure section
♦ After the usage of Automatic injection moulding machine used at
Solve plastic products pvt ltd enable the company to produce large
amount goods with good quality.
♦ The investment boom in industrial and infrastructure section

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THREATS

♦ Increasing the competition from other pipe manufactures.

♦ Shortage of skilled workers
♦ Increasing the price of raw materials
♦ Shortage of skilled workers
♦ Inflation

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 Hence a Swot analysis helps the organization in understanding its
position with regard to the internal and external environments. It helps
the firms to analyze its positive aspects there by helping to it capitalize
its strength and diminish the negative aspects. Which could retard the
possibilities of growth.

FINDINGS AND SUGGESTION

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Findings

1. Pipe industry is booming

2. Largest electric conduit manufacturing unit in south India.
3. The department follows open door policy in setting grievances.
4. All departments work related to the finance department.
5. proper cash management is the function of finance department.
6. Since the company is ISO certified. The raw material used should have
the required quality.
7. Inventory control and warehousing are the major function of
production department.
8. Due to its success in the local market, its brand image will help it to
acquire the international market.
9. The company bears good relation with the employees , customers,
dealers and suppliers making them good entry to deal with.
10. Excess demand for the products.

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Suggestions
1. Give proper training to the employees based on new technologies.
2. Increasing the effiency of HR department
3. Solving the grievances of employees
4. Give proper incentives to the employees
5. Adopte new technologies for production
6. Automation could be introduced in printing, thus reducing the labour.
7. Reduce the shortage of raw material
8. Start a new plant for production
9. They should make proper speculations before entering into a totally new market.
10. Appoint new skilled staffs for the organization especially management
professionals for the growth of the enterprise.
11. The buying behavior of the customers should be studied ie, try to understand
what makes the customers buy a particular product.
12. For meeting the competition increasing the production capacity
13. Introduce labour welfare policies after consulting with the employees.

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CONCLUSION

The study undertaken at solve plastic pvt ltd punalur. For a period of one month was
of great experience for me. I was able to get an idea of the general functioning and the
performance of solve plastic pvt ltd punalur. I have got an idea of what actually, solve
plastic pvt ltd punalur. This study is focused on the various activities of an
organization and the company chosen for this purpose is Solve plastic products pvt ltd
From this organization study I was gained a lot of knowledge and information about
the entire organization functions. This organization study is very much helpful and
acts a guiding force for my future career.

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 Bibliography

Book resources

Company profile
Annual report

Web resources

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WWW. Balcogroup.com
WWW.google.com

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