A

Micro-Project Report on
“Medium Scale Industry”

Partial Fulfilments of the Requirement for the Diploma in Computer Engineering,

By
1). Pathare Sandesh. [2014660159]
2). Pimparkar Harshal. [2014660121]
3). Kalamkar Onkar. [2114660143]

Guided by
Prof.Bachakar.R.R

Shree Samarth Academy’s

Shree Samarth Polytechnic
Mhasane Phata, Ahmednagar
Maharashtra State Board of Technical Education
(2022-2023)

Shree Samarth Academy`s

Shree Samarth Polytechnic
 Department Of Computer Engineering

CERTIFICATE
This is to Certify that the Project work Entitled

“Medium Scale Industry”

Is
Submitted By
1) Pathare Sandesh [2014660159]
2) Pimparkar Harshal. [2014660121]
3) Kalamkar Onkar. [2114660143]

In the partial fulfillment of diploma in Computer Engineering Has been Satisfactory carried out Under
may guidance as per the requirement of Maharashtra State Board of Technical Education, Mumbai
During The Academic Year 2022-2023

Date :-
Place:-
 GUID HOD PRINCIPAL
(Prof. Bachakar.R.R) (Prof.Chaure.S.M) (Prof.Kulkarni.D.A)

Acknowledgement

An endeavor over long period can be successful Only with

advice and guidance of may Well- wishers.
My sincere thanks to the management and Prof.Kulkarni. D.
A Sir principal of Shree Samarth Polytechnic, Mhasane Phata
Ahmednagar for providing me the Opportunityto conduct My project
work.
I am highly indebted to Prof. Chaure.S.M Sir Head Of
Department Of Computer For his Assistance And Constant Source Of
Encouragement. I wish to Express My Profound And Deep Sense Of
Gratitude Of Prof. Bachakar.R.R Sir Project Coordinator For sparing
Her Valuable Time To Extent Help In Very Step Of My Project Work.
I Would Also Like To Thank The Staff Of Computer
Department For The Generous Guidance.
Last But Not The Least We Would Like To Thank Our Friends
And For Their Help In Every Way For The Success Of This Project
Report.

Name Of Student. Signature.

1.Pathare Sandesh Ankush ........................

2.Kalamkar Onkar Balasaheb .........................

3.Pimparkar Harshal Mandlik ..........................

 Micro project proposal
“Medium scale industry ”

1.0 Brief introduction

Small scale industries are important because it helps in increasing Employment and
economic development of India. It improves the growth of the Country by increasing urban and rural
growth. Role of Small and medium scale Enterprises are to help the government in increasing
infrastructures and Manufacturing industries, reducing issues like pollution, slums. Poverty, and
many Development acts. Small scale manufacturing industries and cottage industries play a Very
important role in the economic development of India. If any amount of capital is Invested in small
scale industries it will help in reducing unemployment in India and Increasing self-employment. The
industry is a sector in which the production of Goods is a segment of the economy. Let us learn more
about the importance of Small Scale industries and how SSI helps in developing the country.

Importance of Small Scale Industries:-

1. Partner in nation building: Education, good health, etc. Are most important for a Country to
flourish exponentially. As SSIS provide numerous job opportunities to Various classes of
people, they are not only paying them their salaries but also Enabling them to improve their
lifestyle, sending their children to schools to gain Education who will become partners in the
nation building in time to come and Providing them with good and hygienic food.

2. Customized Products: Instead of generic products already present in the Market, you want
to provide some sort of customized products to your Customers, then small players can
come to your rescues.

3. Employment to local people: MNCs and big corporates usually recruit highly Effective and
skilled manpower from all over the world as they want to achieve Greater numbers.
However, SSIS recruit more and more local people as they want To build relations instead of
just generating numbers.

4. Creation of jobs: In the modern era where larger corporates and MNCs are Moving more
and more towards automation and mechanization, SSIs which still Cannot afford such high-
end technologies, seek to recruit more and more people Into their labour intensive
industries.
5.Discipline into the industry:
Some big players have even setup an altogether different department Just for the
customer care. Even conglomerates are aware that if they start Ignoring customers and merely focus
on maximising profits, then those Customers will ultimately shift to smaller players present in the
industry.

2.0 Aim of the Micro-Project:

1) To Understand The Concept Of Small Scale Industry.
2) To Understand The How To Problem Face By Small Scale Industry.
3) Understand The Principles Which Are Follow By Small Scale Industry

3.0 Action Plan:

Sr.no Detail of activity Start Date Finish Date Name of team member

1. Topic search 5/03/2023 10/03/2023 Pathare Sandesh

Kalamkar onkar
2. Project proposal 10/03/2023 20/03/2023 Pimparkar Harshal
creation Pathare Sandesh

3. Detail information 20/03/2023 25/03/2023 Pathare Sandesh

gathering for project Kalamkar onkar
4. Select industry 25/03/2023 05/04/2023 Pathare Sandesh
Kalamkar onkar
5. Project correctness 05/04/2023 15/04/2023 Pimparkar Harshal
Kalamkar onkar
6. Project report 15/04/2023 25/04/2023 Pathare Sandesh
correctness Kalamkar onkar
7. Final presentation 25/04/2023 25/04/2023 Pimparkar Harshal
Pathare Sandesh

 
 

Micro-Project Report
“Medium Scale Industry”

1.0Brief Description:
Small scale industries (SSIs) also known as MSMEs are defined & categorized by the Micro,
Small & Medium Enterprises Development Act, 2006. The act categorizes different scale of
Industries on the basis of investment in plant & machinery in case of manufacturing
Industries and on the basis of investment in equipment in case of service sector industries.

2.0 Aim of Micro project:

1) Study of management principles to applied to small scale industry.
3.0 Course Outcomes Integrated:
1) Use basic management principle to execute daily activities.
2) Use principle of directing & controlling for implementing the plan.
3) Apply principles Of safety management in all activities.
4) Understand various provision of industrial act

4.0Actual Procedure Followed

 Problems faced by Small Scale Industries:-

1.Poor capacity utilization
In many of the Small Scale Industries, the capacity utilization is not even 50% of the
installed Capacity. Nearly half of the machinery remains idle. Capital is unnecessarily locked
up and Idle machinery also occupies space and needs to be serviced resulting in increased
costs.
1.Incompetent management
Many Small Scale Industries are run in an incompetent manner by poorly qualified
Entrepreneurs without much skill or experience. Very little thought has gone into matters
Such as demand, production level and techniques, financial availability, plant location,
Futureprospects etc.According to one official study, the major reason for SSI sickness is
deficiency in project Management i... inexperience of promoters in the basic processes of
production. Cash flow Etc.
3. Inadequate Finance

Many Small Scale Industries face the problem of scarcity of funds. They are not
able to Access the domestic capital market to raise resources. They are also not able to tap
foreign Markets by issuing ADR’s (American Depository Receipts) GDR’s (Global Depository
Receipts) etc because of their small capital base. Banks and financial institutions require
Various procedures and formalities to be completed.

4.Raw material shortages

Raw materials are not available at the required quantity and quality. Since demand
for raw Materials is more than the supply, the prices of raw materials are quite high which
pushes Up the cost. Scarcity of raw materials results in idle capacity, low production,
inability to Meet demand and loss of customers.

5.Lack of marketing support

Small Scale Industries lack market knowledge with regard to competitors,
consumer Preferences, market trends. Since their production volume is small and cannot
meet Demand for large quantities their market is very restricted. Now with the process of
Liberalization and globalization they are facing competition from local industries as well as
Foreign competitors who sell better quality products at lower prices.

6.Problem of working capital

Many Small Scale Industries face the problem of inadequate working capital. Due
to lack of Market knowledge their production exceeds demand, and capital gets locked in
unsold Stock. They do not have enough funds to meet operational expenses and run the
business

7.Problems in Export
They lack knowledge about the export procedures, demand patterns, product
preferences, International currency rates and foreign buyer behavior. Small Scale Industries
are not able To Penetrate foreign markets because of their poor quality and lack of cost
competitiveness. In Countries like Taiwan, Japan etc. Products produced by Small Scale
Industries are exported To many foreign countries.
  Advantages of Small Scale Production:-
1.Close Supervision:

The small producer can himself supervise the minutest details of the business. Nobody is
Allowed to spoil machinery or waste materials. The master’s eye is everywhere. There can
Be no fraud or idleness. He will exercise utmost economy to achieve the aim of maximum
Profits.

2.Nature of Demand:
The small producer has an advantage over the large producer, when the demand is either
Small or is constantly changing. He has thus a sphere of his own where he has an advantage
Over the large scale producer.

3.More Employment:
In the face of large scale unemployment existing in the country, the development of cottage
And small scale industries is of great help to create more employment opportunities. Small
Scale production is more labour-intensive.

4.Need of small Capital:

The small scale production can be started with small capital. Where there is shortage of
Capital, the small scale industries are of great advantage for the development of industries.

 Disadvantages of Small Scale Production:

1.High Cost of Production:
The cost of production per unit increases because there is a high cost of labour, a very little
Scope for division of labour and lesser use of machinery.
2. Wastage of By-products:
In the small scale production, it is not possible to make economic use of the by-products, as
in the large scale production. By-products of the small producers generally go waste.
3. Less Use of Machines:
In the small scale production, there is less scope for the use of machines. As a result,
theseFirms cannot take advantages of the use of the machinery.
4.Lack of Division of Labour:
In the small scale industries, the size of production is small, and there is lack of division of
Labour and less profits to the entrepreneurs.
5.Difficulty in Getting Loans:
It cannot enjoy the financial economies. Funds are either not available and if available, they
have to pay higher rate of interest.

 Small scale industries ideas:-

There are many districts within our country which are backward due to poor health, lack of
education, lack of awareness, poor rate of growth & development, etc. Myriad of villagers,
farmers & labourers are dying each year from the burden of debt, which they are unable to
repay due to unavailability of work & jobs.
1.Primary Processing units:
They want already processed, ie. Graded & sorted crops according to their needs. In such
cases, small farmers who cannot afford to set up a grading & sorting plant sell their crops at
lower prices.
2.Job work for larger companies:
Once a company reaches at a stage where it has pan- country customers, then the such
companies start strategizing their production methods to reduce costs and increase overall
returns on capital in the long-term.Scope
3. Organic products industry:
With the increased use of fertilizers and pesticides all over the world, quality of products as
Well as quality of soil is eroding day by day. Many countries Have started to abolish fruits &
Vegetables, clothes, etc, which aren’t organic.
The objectives of the small scale industries are:

• To create more employment opportunities.

• To help develop the rural and less developed regions of the economy.
• To reduce regional imbalances. To ensure optimum utilisation of unexploited Resources of
the country.
• . To improve the standard of living of people.

Aims and Objectives:-

1.To aid, counsel, assist, finance, protect and promote the interests of theSmall
ScaleIndustries in the State.
2.To undertake and provide Marketing facilities to Small Scale Industrial Units In the State.
3.To undertake procurement and sale of various raw materials whether Imported or
Indigenous for supply to the Small Scale Industrial Units.

5.0 Actual Resources Used:

Sr. Name of resources Specification QTY Remark

no
1. Google Search engine 1 -
2. Microsoft world Application 1 -
6.0 Outputs of the Micro-Projects:
This Are the Small Scale companies in pune where management are follow

1.Aarushi Specialty Chemicals Private Ltd.

Plot No 4,Shreeprasad Shyam Sundar Society
Navi Peth, Pune-411030
Phone no.: 020 24331381

2.Ador Cooperheat Ltd.

Pune Plot no. 53
Block F-2 Pimpri, Pune-411018
Phone no.: 020 27476009

3.Air Control India Private Ltd.

In Pune 1st Floor Adams Court,
Baner Road Baner,
Pune-411045
Teacher Evaluation Sheet

Name of the Student:. …………………………………………........................

Enrollment No:. ………………………………………………...................

Name of Program:. ……………………………………………......................

Semester:. ………………………………………………………............

Course Title:. …………………………………………………..................

Code:. ..........………………………………………………………….

Title of the Micro-Project:. ...................……………………………………..............