A Project Report On Summer Training at PIRAMYD FABRICS PVT. LTD.

Submitted by: 1. KHOKHANI NAVNEET .G 2. PATEL BHAVIK.S 3. RUPAVATIYA CHIRAG

Guided by: 1. Ms. Vaishli Madam 2. Miss varsha Madam 3. Miss Dilshad Madam 4. Mr. Rakesh Sir

Submitted to VIVEKANAND COLLEGE FOR BBA VEER NARMAD SOUTH GUJARAT UNIVERSITY SURAT Academic Year - 2010-2011

Declaration
Here by declare that this training report is prepared with my own efforts. This report has been prepared at PIRAMYD FABRICS PVT.LTD. during 01/04/2011 to 01/06/2011 with my skills and management tools and technique, which we learnt in collage. This report has not been previously submitted by any one to any university, for award of any other degree.

Date: Place: SURAT

1. KHOKHANI NAVNEET .G

2. PATEL BHAVIK.S 3.RUPAVATIYA CHIRAG

Acknowledgement
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I would like to thanks to Veer Narmad South Gujarat University to include this summer training in the curricular of B.B.A. program. I express my deep sense of gratitude to PIRAMYD FABRICS PVT. LTD. to allow me to do summer training and giving me their best to accomplish the same. I would also thank to all faculty members of college to help me greatly in preparation and guidance during the training. My special thanks to one and every faculty member in the dept for their suggestions.

I would like to thank with great pleasure on colleagues who helped me in successfully completed this project.

Date: Place: Surat

1. KHOKHANI NAVNEET .G 2. PATEL BHAVIK.S 3. RUPAVATIYA CHIRAG

Executive Summary

This project has been submitted to fulfill requirement of our college in BBA programme of the veer Narmad south Gujarat University. Our group has been visited to shri textile processors. And getting two month training from there .They provided us all the needed information and also gave suggestions about our work. They had shown us all kind of machinery, equipments and all departments. They permit us to take photographs. We had used both primary and secondary data for my research work. We ask them many questions about machinery and equipments and they fulfilled our demands.

INDEX OF REPORT
No.

Subject

Page no.

1. 2. 3. 4. 5. 6.

INDUSTRY PROFILE COMPANY PROFILE FINANCE DEPARTMRNT

5 9 18

HUMAN RESOURCE DEPARTMENT 42 PRODUCTION DEPARTMENT MARKETING DEPARTMENT BIBLIOGRAPHY Annexure 68 84 120 122

INDUSTRY PROFILE

The discovery of several spindles, and a piece of cotton stuck to a silver vase, revealed that the spinning and weaving of cotton was known to the Harrappans, nearly five thousand years ago. References to weaving are found in the Vedic literature on the method of spinning. The foundations of the Indian textile trade with other countries began as early as the second century BC. A hoard of block printed and resist-dyed fabrics, mainly of Gujrati origin, found in the tombs of Fostat, Egypt, are the proof of large scale Indian export of cotton textiles. In the 13th century, Indian silk was used as barter for spices from the western countries. Towards the end of the 17th century, the British East India Company had begun exports of Indian silks and various other cotton fabrics to other countries. These included the famous fine Muslin cloth of Bengal, Bihar and Orissa. Painted and printed cottons or chintz was extensively practiced between India, China, Java and the Philippines. l Before the introduction of mechanized means of spinning in the early 19th century, Indian cottons and silks were hand spun and hand woven, a highly popular fabric, called the khadi. Fabrics that use mill- spun yarn but which are hand-woven are known as handloom. Today cotton is an integral part of textiles in India. Nearly four million handlooms are engaged in weaving fabrics of nearly 23 different varieties of cotton.

India's textile sector is the second largest industry after agriculture. It provides employment to about 35 million people. The country's current share in the world textile trade is only 4%, according to the study done by the World Trade Organisation. The Indian government says that it can reach to 8% share by 2010. India is one of the leading producer of cotton, goatskin and cashmere wool. It ranks top in goatskin and third in cotton after China and United States. The fabric industry in India accounts for about 20% of total exports of the country and represent the largest net foreign exchange earner.

Size of India's Textile Industry

The textile industry in India covers a wide gamut of activities ranging from production of raw material like cotton, jute, silk and wool to providing high valueadded products such as fabrics and garments to consumers.

The industry uses a wide variety of fibres ranging from natural fibres like cotton, jute, silk and wool to man made fibres like polyester, viscose, acrylic and multiple blends of such fibres and filament yarn.

The textile industry plays a significant role in Indian economy by providing direct employment to an estimated 35 million people, by contributing 4 per cent of GDP and accounting for 35 per cent of gross export earnings. The textile sector contributes 14 per cent of the value-addition in the manufacturing sector.

Textile exports during the period of April-February 2003-2004 amounted to $11,698.5 million as against $11,142.2 million during the same period in the previous year, showing an increase of around 5 per cent.

Estimates say that the textile sector might achieve about 15 to 18 per cent growth this year following dismantling of MFA.

Exports from India to US and Europe

India's textile exports to the US have shown a good rise of 29.5% between January and June' 2005. Exports of pillow cases and bed sheets have registered a growth rate of 56.2% and 56.3% respectively. Products like towel and bed spread also figures northward by 19% and 12% respectively. According to Confederation of Indian Textile Industry (CITI), the rise in exports of these home textile fabrics are due to the large-scale use of wide-width looms. With the rise in the use of shuttleless looms and processing sector getting fresh impetus, the production of these home textile items are able to meet both the foreign as well as the domestic demands. There is a great demand of terry towel from European countries also. This is because of the shrinking base of the European textile manufacturers. The manufacturers are closing down their productions. A large part of the demand will be met by India, China and Pakistan.

Human Resource Chain in Indian Fabric Industry

The fiber producers - Those who produce the raw materials used in fabrics. The knitting mills and weavers - Those who make the fabric. 8

The dyers and finishers - Those who dye and finish the fabric. The designers - Those who design the garments or products. The contractors - Those who cut and sew the fabric. The manufacturers - Those who manufacturer the finished products. The retailers - Those who sell the products.

Fashion and textile designers Fashion designers commonly rely on textile designs to set their fashion collections apart from others. Armani, Nicole Miller, Lilly Pulitzer, the late Gianni Versace, and Emilio Pucci can be easily recognized by their signature print driven designs.

Sources and types Textiles can be made from many materials. These materials come from four main sources: animal (wool, silk), plant (cotton, flax, jute), mineral (asbestos, glass fibre), and synthetic (nylon, polyester, acrylic). In the past, all textiles were made from natural fibres, including plant, animal, and mineral sources. In the 20th century, these were supplemented by artificial fibres made from petroleum. Textiles are made in various strengths and degrees of durability, from the finest gossamer to the sturdiest canvas. The relative thickness of fibres in cloth is measured in deniers. Microfibre refers to fibres made of strands thinner than one denier.

INTRODUCTION Trust Not just a word, But the spirit that binds a satisfied customer and PIRAMYD TEXTILES. This tradition of trust has been kept intact by the growing consumer confidence 10

in the quality of PIRAMYD TEXTILES. Quality as a result of a solid organizational infrastructure, a deep marketing insight and a rich heritage of sound business values. Truly Piramyd, in spirit and performance, are our comprehensive range of fabrics, with a variety of different quality, sizes and colors, each of which is a result of continuous customer research and smart innovation. Piramyd textile, today one of the biggest brand names in the field of fancy shirting, suiting, dress materials and export fabrics. Mr. Mukesh Patel is the MD of the company and Mr. Nilesh Patel, Shailesh Patel are Vice Director of the company. It was established in 2000, on area spread in 6600 Sq. Mtrs. Out of which the Factory was in 5200 Sq. Mtrs. With small No. of machineries. Currently it is one of the largest textiles manufacturing plant in the Surat art silk city. Now a days they having all kind of latest machinery such as 40 Rapier machines, 46 water jet machines, 9 TFO, winding or warping machines, with 98 workers. Under the management of Mr. Mukesh Patel & Nilesh Patel Co. is growing annually by 200%. It has also opened 7 retail outlets in the name of Piramyd Fashion, handled by Sunil Patel. They also have planned to do expansion outside the boundary of Surat and further Country with latest machinery and to provide large scale of production with best quality to the markets. Piramyd textile manufactures a wide range of fancy shirting and dress materials and hence it has a very efficient and adequate machine.

HISTORY

Mr. T.K Patel & Mr. D.K.Patel, a visionary came to Surat from a village named Sadda situated in West Gujarat consisting of only 450 peoples, in 1986.Initially they have started his

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business with trading on a precious stone named Diamond, worked extremely hard and established a very good name in Diamond Industry. Later Mr. J.K.Patel came in Surat than they diversified his business in Construction, Cements and Marble, which enabled him to stay strong in the time of recession in Diamond Industry. In order to give utmost satisfaction to his customers, he also started a group of Co. that deals with Marbles and Cement. Through his latest diversification in Textiles Industry, on 11th Nov.2000, on the Holy day of Dusshera, in the city of Art Silk, Surat With a vision to provide a good quality of products and innovation. That time industry have only 68 machines with 36 workers and companys total value was near by 95 lakes. After entering in to the Piramyd Textile within 2 year they started PIRAMYD FASHION, which is finish fabrics shop and finish is the procedures after the gray fabrics and than the entire Companies were been named by Piramyd Group of Companies like Piramyd Marble, Piramyd Infra, Piramyd Fashion. Really they earn very big name in his all business and make good reputation in the Surat.

1. PROFILE OF COMPANY

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Company Name: Business Type: Product/Service (We Sell): Address:

PIRAMYD FABRICS PVT LTD Manufacturer, Trading Company, Distributor/Wholesaler

SUITTING, NET, SHIRTING GARY FABRICS,FOIL,FANCY SUITTING C-4 &5 SAGAR IND.EST. OEM Service Offered Buyer Label

Factory Information Contract Manufacturing: Offer

Trust Pass Profile Trust Pass serves to provide transparency regarding the identity and legitimacy of your trading partners on Alibaba.com. Only companies that have completed an Authentication and Verification procedure conducted by a third-party credit-reporting agency have a Trust Pass Profile. Contact Details Company Name Piramyd Fabrics Pvt. Ltd Company Address: C-4/5 Sager Ind. Estate, Vasta Devi Rd, Katargam City/State or Province: Surat/Gujarat Country/Region: India Zip/Postal Code: 395004 Telephone Number: +91-261-2530772 Fax Number: Contact Person Position: Mr. ShaileshMangukiya Department: Founder Person Mobile: +91 9879598632 / 9374714840 Website:: http://www.piramydgroup.com 13

Company Info Piramyd Fabrics Pvt. Ltd Incorporated in the year 2000, we Piramyd Fabrics Pvt. Ltd. Are a well established company which is continuously engaged in manufacturing and exporting of wide range of fabrics, garments and home furnishing items. Our supreme fabric quality and unmatched array of colors and fabrics, we are geared to meet the challenge of the textile industry. We are growing significantly under the guidance of Mr. ShaileshMangukiya who understands the needs and requirements of various clients in the textile industry. Textile Fabrics Products: Known for the fine quality of fabrics, the different types of products that we offer have gained wider acceptance in the national as well as global arena. Available in various colors, these products meet the needs of various clients in the global arena. Polyester Fabrics Suiting TR Fabrics Suiting Corduroy Fabrics Suiting Mono Fabrics Suiting Jute Fabrics Opera Fabrics Table Linen Fabric

Quality Assured: Quality for us has always been of prime importance to us and we have always been concerned about the same. We bring for our clients our wide collection of textile fabrics that are known for their superior quality. The usage of high quality fabrics is an essential factor in maintaining our quality. 14

Customer Satisfaction: We believe in offering total satisfaction to our customer. We have lay supreme importance on quality of fabrics by adopting an integrated work approach and testing our range on well defined quality parameters. We are known as a customer oriented team that is engaged in manufacturing and exporting of fabrics and yarns. We can easily understand the clients expectations and the requirements. Our Infrastructural Facilities Designing and manufacturing a wide range of textile fabrics and garments, we have set up our production units. We possess four units for efficient production of different products. Well equipped and advanced, the units are spread in wide area. The segregation of the entire unit in 10 departments facilitates smooth production. We have a large number of machines at our unit that include: Clientele With our broad base of clients, we have attached a strong position for ourselves in the textile industry. Our cost effective rates, marketing strategies, timely delivery ability and customized products assist us to meet our clients needs and demands. Over the years, we have not only satisfied a large number of clients in various countries like: US UK Australia and many more Timely Delivery Fabrics Customized Solution 15 Looms Stitching machines Interlocking machines Power looms Embroidery machines CNC machines

Our Strength:

Strength and Durability of Fabrics Manufacturing Unit Various Clients Qualitative Products Supreme Quality

MISSION: To provide best and latest trend of outfits range to its customers and satisfy them. To complete its tender as for before the given time. To provide best quality products to the customers at the best rates. To be well equipped and updated with the latest technological knowhow in the market. To make own process house. 16

VISION: To become Indias number one manufacturing company. PIRAMYD aim to start its own range of clothes, which will be launched in its own stares. It also wants to build a brand name PIRAMYD which is known by the local customers.

ACTIVITY OF THE COMPANY The company primarily engaged in the manufacture of fancy suiting, shirting, dress materials and certain intermediate products, which are made predominantly out of polyester yarns, Piramyd has been continues to be the initiate of many new textile varieties woven and processed in Surat. The majority of the companys products are been dyed of printed synthetic textiles sold as either dress material or shirting. The company has been developed a range of different fabrics constructions using, microfilament yarns. The companys leads in varied and improved fabrics construction and the emphasis it place on design, together with are modern and efficient plants are fundamental to its future success. The concern operates in a highly fragment market where no individual manufacture has a significant market share. It is also leading in textile manufacturing company undertaking all processes of yarn preparation to the retailing of dress materials, fancy shirting and suiting. The firm is in the process of constructing a new plant to manufacture polyester yarn, one of its principal raw materials. The company also has a small engineering division, which assembles a limited range of textile manufacturing machines.

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FINANCE DEPARTMENT
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 INTRODUCTION OF FINANCE DEPARTMENT DEFINITION OF FINANCE IMPORTANCE OF FINANCE FUNCTION OF FINANCE CAPITAL STRUCTURE OF COMPANY (A)SOURCES OF LONG TERM FINANCE (B) SOURCES OF SHORT TERM FINANCE INTRODUCTION OF WORKING CAPITAL MANAGEMENT CASH MANAGEMENT INVENTORY MANAGEMENT SOURCES OF WORKING CAPITAL MANAGEMENT FINANCIAL STATEMENT P&L A/C BALANCE SHEET RATIO CALCULATION

Introduction of Finance

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Financial management is an area of financial decision making, harmonizing individual motives and enterprise goals. Blood is important part of human beings. And money is blood for sound business. Money is the life-blood at modern business. Money is required to purchase expensive machinery, and day-to-day expenses on raw materials, labor, and operational and administrative needs at business, execution at expansion. PIRAMYD FABRICS is one of the smallest company in the INDIA. So finance is most important part of it. In the PIRAMYD FABRICS Company, there are separate department of Accounting Department & Financial Department. The Companys financial position in the textile industry is very strong so that we said that the companys finance department is very strong. Hear show the structure of finance department.

Whole time Director (Finance, Legal, Administration, Tax)

General Manager (Finance)

Executive Manager

Company Secretary

Legal Matters

Tax Consultant

Function of Finance

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It may be difficult to separate the finance functions from production, marketing and other function but the function themselves can be readily identified. They are fourth type of financial function. 1. Investment decision 2. Financing decision 3. Dividend decision 4. Liquidity decision 1. Investment decision:-There is broad agreement that correct cut-off rate or the required rate of return on investment is the opportunity cost of capital. The opportunity cost of capital is the expected rate of return that an investment could earn by investment his or her money in financial assets of equivalent risk. 2. Financing decision:-Financing decision is the second important function to be performed by the financial manger.broaldy he or she must decide when, where from and how to acquire funds to meet the firm investment need. The mix of debt and equity is kwon as the firms capital structure. 3. Dividend decision:-dividend decision is the third major financial decision. The financial manager must decide whether the firm should distribute all profits, or retain them. The proportion of profit distributed as dividend is called the dividend-payout ratio and the retained portion of profits is known as the retention ratio. 4. Liquidity decision:-investment in current assets affects the firms profitability and liquidity. Current assets management that affects firm liquidity is yet another important finance function. Current assets should be managed efficiently for safeguarding the firm against the risk of liquiditt.

CAPITAL STRUCTRE OF COMPANY

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Sources of Funds
There are two types of sources of working capital, like Long term And Short term fund, which show here: 1) Long term Fund a. Issue of share b. Loan c. Debenture f. Commercial Paper 2) Short term Fund: A. Internal 1. Depreciation 2. Taxation Provision 3. Accrued Expenses A. Eternal 1. Trade credit 2. Credit paper 3. Raw material 4. Debaters 5. Security of Employees 6. Loans from Directors

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As we early seen that PIRAMYD FABRICS Company is financially strong so it can easily get both types of funds. The PIRAMYD FABRICS Company also uses this source of WC for their production. The company use these sources to gain fund, which is following hear. Debtors Raw material 1. Debtors: The company uses these sours of the working capital. The company gets long fund for its customer. The company sells its product to customer for one month credit. 2. Raw material: The company sells its raw material, which is not use in the fabrics and get lot of fund for its Working capital.

Finance and Investment

During the year under review, the company raised funds by way of term loans from banks to part finance the ongoing projects.

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The company also prepared the redemption proceeds of Rs.45 crores to the debenture holder of 9.15% Non-convertible debentures. The company is taking advantage of interest subsidy under Technology Up gradation Fund(TUF) provided by central government.

Tight budgetary control on all key operational performance indicators and review of working capital is being exercised to ensure effective utilization of funds. The company manages its investments prudently by temporary deployment of cash surplus in predominantly debt and liquid money market instruments. An adequate safety margin is always maintained to help meet unexpected resource requirements without disrupting operations.

Working Capital Management Analysis

Particular CA Inventors Sundry Debtors Cash Bank Balance 21,755.11 6747.31 7,287.86 25 18,575.89 10,790.29 7,616.56 13,002.59 6,474.15 1,941.83 2010-11 2009-10 2008-09

Loan & Advance Total CL Sundry Creditors Interest Accrued Proposed of Tax Proposed Dividend Other Liabilities Total Net Working Capital

9,914.39 56,073.42 10,083.76 408.26 97.61 574.36 4,696.61 15,860.60 40,212.82

10,329.64 52,418.31 6,570.18 147.75 2,396.86 574.36 855.89 10,545.04 41,873.27

12,452.78 33,871.35 3,930.71 216.08 1,581.83 574.36 538.8 6,841.78 27,029.57

Interpretation: Hear we show that Net WC of the company increasing every year but 2008-09 year's Net W.C is decreasing the previous year because of the company suffer in the resection time in this particular year .

Interpretation: Hear we show that Net WC of the company increasing every year but 2008-09 year's Net W.C is decreasing the previous year because of the company suffer in the resection time in these particular year

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Cash flow

Particular Profit before tax Net cash flow-operating activity Net cash used in investing activity Net cash used in fin. Activity Net inc/dec in cash and equivalent Cash and equivalent begin of year Cash and equivalent end of year

2009-10 69.99 167.16 -209.66 39.21 -3.29 76.17 72.88

2008-09 68.74 100.85 -92.40 48.30 56.75 19.42 76.17

2007-08 50.09 79.64 -81.10 -7.56 -9.02 28.44 19.42

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MANAGEMENT OF CASH

Cash is the important current assets for the operations of the business. Cash is the basic input needed to keep the business running on a continuous basis, it is also the ultimate output expected to be realized by selling the service or product manufactured by the firm. The firm should keep sufficient cash, neither more nor less. Cash shortage will disrupt the firms manufacturing operations while excessive cash will simply remain idle, without contributing anything towards the firms profitability. Thus, a major function of the financial manager is to maintain a sound cash position.

Motives for holding cash 1. Transaction motive The transaction motive requires a firm to hold cash to conduct its business in the ordinary course. The firm needs cash primarily to make payments for purchases, wages and salaries, other operating expenses, taxes, dividends etc. The need to hold cash would not arise if there were perfect synchronization between cash receipts and cash payments. For transaction purpose, firms nay invest its cash in marketable securities. Usually, the firm will purchase securities whose maturity corresponds with some anticipated payments, such as dividends, or taxes in the future.

2. Precautionary motive The precautionary motive is the need to hold cash to meet contingencies in the future. It provides a cushion or buffer to withstand some unexpected emergency. The precautionary amount of cash depends upon the predictability of cash flows. If cash flows can be predicted with accuracy, less cash will be maintained for an emergency. The amount of precautionary cash is also influenced by the firms ability to borrow at short notice when the need arises. Stronger the ability of the firm to borrow at short notice less the need for precautionary balance. 28

3. Speculative motive The speculative motive relates to the holding of cash for investing in profit-making opportunities as and when hey arises. The opportunity to make profit may arise when his security prices change. The firm will hold cash, when it is expected that interest rates will arise and security prices will fall. Securities can be purchased when the interest rate is expected to fall, the firm will benefit by the subsequent fall n interest rates an increase in security prices. 4. Compensating Motive Banks provide differed types of services like clearance of cheque, transfer of fund etc. against a nominal fee or commission. Generally, clients (firms) are required to maintain a minimum cash balance at the bank which cannot be utilized by then for compensating balance.

Cash Collection Instruments in India The main instruments of collection used in India are: (I) Cheque, (ii) Drafts, (iii) Documentary Bills, (iv) Trade Bills, and (v) Letter of Credit.

Inventory Management

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For many business firms Inventory is one of the visible and tangible of doing business. Raw materials, work in process and finished goods all represent various form of inventory. In simple words, inventory refers to stocks of good necessary to do business. In the PIRAMYD FABRICS Company, the Production manager & Finance manger both are take decision about inventory separately.

Annular Profit & loss Account of the last three year

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Particular Income Sales & job Charges Excise Duty Income from Financial Operation Other Income Total Expenditure Consumption of RS Increase/(Decrease) in stock Purchases Mfg. & Other Expenses Total

2008-09 1,51,341.92 12,010.53 124.73 662.77 1,64,139.95 99,296.16 3,337.47 4,558.21 23,638.14 1,30,829.98

2009-10 1,82,338.89 14,711.19 106.00 1,278.79 1,69,012.49 1,23,242.83 4,440.31 4,447.02 27,446.88 1,50,696.42 18,316.07 5,702.01 12,614.06 5,740.12 6,873.94 760.03 2,058.54 55.00 4,000.37 5,852.44 9,852.81

2010-11 1,38,475.35 5,314.52 9.00 696.66 1,33,866.49 93,031.96 829.01 1,099.62 24,382.86 1,17,685.43 16,181.06 4,698.15 11,482.91 4,483.60 6,999.31 762.15 1,233.69 45.00 4,958.47 8,975.84 13,934.31

Profit before Financial Charges, 15,915.53 Depreciation & Tax Less: F.Charges Profit before Dep. & Tax Less: Depreciation Net Profit Before Tax Less: Provision for Tax 5,149.26 10,766.27 5,757.05 5,009.22 783.00 1,860.25 Net Profit after Tax Add: Balance B/F Balance for Appropriation 40.00 2,325.97 4,318.44 6,644.41

Balance Sheet for the last three year

Particulars Sources of funds Total share capital Equity share capital Share application money Preference share capital Reserves Revaluation reserves Net worth Secured loans Un secured loans Total debt 2008-09 38.29 38.29 0.00 0.00 358.97 0.00 392.26 679.87 122.28 802.15 2009-10 38.29 38.29 0.00 0.00 396.83 0.00 435.12 838.09 65.88 903.97 2010-11 38.29 38.29 0.00 0.00 452.00 0.00 490.29 948.57 79.35 1,027.92

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Total liabilities Application of fund Gross block Less. Depreciation Net block Capital work in progress Investments Inventories Sundry debtors Cash and bank balance Total current assets Loans and advanced Fixed deposits Total CA, Loans & Advances Differed credit Current liabilities Provision Total CL & Provision Net current assets Miscellaneous Expenses Total assets Contingent liabilities Book value(Rs)

1,194.41 1.128.88 444.07 684.81 103.53 78.08 185.76 107.90 21.75 315.41 157.82 54.41 527.64 0.00 169.54 30.69 200.03 327.41 0.46 1,194.39 278.53 12.44

1,339.09 1.338.64 488.18 850.46 138.38 51.58 217.55 67.47 12.50 297.52 204.37 60.38 562.27 0.00 225.04 38.76 263.80 298.47 0.20 1,339.09 26.72 113.64

1,518.21 1,503.64 556.07 947.57 195.05 76.61 365.36 126.87 10.04 502.27 223.02 24.77 750.06 0.00 395.11 56.03 451.14 298.92 0.07 1,518.22 348.04 128.04

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Ratio Analysis

A ratio refers to the establishments of relationship between any two inter-related variables. Ratio analysis stands for the process of determining and presenting the relationship of items and groups of items in the financial statements. Here represent the Piramyd fabrics Ltd. Data analysis.

1. Gross Profit Ratio: - This ratio establishes the relationship between gross profit on sales and net sales. Gross Profit Ratio: Gross Profit * 100 Net Sales Year 2010-11 2009-10 2008-09 Net Profit 16,181.06 18,316.07 15,915.53 Gross Profit 1,38,475.35 1,82,338.89 1,51,341.92 Ratio (%) 11.70% 10.05% 10.52%

Interpretation: - Gross Profit of the company is increasing day by day. It is increase to 11.70% in 2010-11 as compare to 2009-10 ratios is decreases as compare the 2008-09 i.e. 0.47% Because of the market is down in these times 2. Net Profit Ratio: -These ratios establish the relationship between the amount of net profit or net income and the amount of sales revenue. Net Profit Ratio: - Net Profit * 100 Net Sales

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Year 2009-10 2008-09 2007-08

Net Profit 4,958.47 4,000.37 2,325.97

Net sales 1,38,475.35 1,82,338.89 1,51,341.92

Ratio (%) 3.58% 3.58 % 1.54%

Interpretation: - The Net Profit of the company is increase in current year as compare to previous year these show the companys high profitability.

3. Return on Assets Ratio: - It shows the relation between the net profit & total Assets. It also shows how much contribution is gain to use total Assets. Return on Assets Ratio: - Net Profit * 100 Total Assets Year 2010-11 2009-10 2008-09 Net Profit 4,958.47 4,000.37 2,325.97 Total Assets 1,54,957.06 1,31,252.32 1,04,494.34 Ratio (%) 3.20% 3.05% 2.22%

Interpretation: -

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The Companys current year return on asset is increase as compare to next yare like 0.15%. And we also called companys return is increase year to year because the contribution of the total asset is increase year to year.

4. Return on equity ratio: it show the relationship between the net profit & total equity which represents how much equity is obtain by the company on the net profit. Return on equity ratio= Net Profit * 100 Total Equity

Year 2009-10 2008-09 2007-08

Net Profit 4,958.47 4,000.37 2,325.97

Total equity 43,491.79 39,179.34 35,802.96

Ratio (%) 11.40 10.21 6.50

Interpretation: the company total equity is invest in current year and the finished the financial year in 31st march at the time company the company find out the invested equity is the equity as a totally get in by this diff. Between total equity and balance sheet is both are same so company get the result is not profit no loss.

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5. Current ratio= the current ratio establishes the relationship between the current assets & current liabilities. Current ratio: - Current Assets Current liabilities Year 2010-11 2009-10 2008-09 Current Assets 56,073.42 52,418.31 33,871.35 Current Lia. 11,984.62 7,476.21 7,028.73 Ratio (%) 4.68 7.01 4.82

6. Quick ratio: Quick ratio establishes the relationship between quick assets and current liabilities. Generally, a quick ratio of 1:1 is considered to represent satisfactory current financial Position. Quick Ratio: Current Assets - Inventories Current liabilities Year 2010-11 2009-10 2008-09 CA - Inventory 34,318.31 33,842.42 20,868.76 CL B.O.D 11,984.62 7,476.21 7,028.73 Ratio (%) 2.86 2.53 2.97

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Interpretation: In last three year the quick ratio is between 2.86 to 2.70 which was higher than 1:1 and it is satisfactory. These show the companys ability to meet its current obligation.

7. Assets turnover ratio: - Net Sales Total Assets Year 2009-10 2008-09 2007-08 Net Sales 1,38,475.35 1,82,338.89 1,51,341.92 Total Assets 1,54,957.06 1,31,252.32 1,04,494.34 Ratio (%) 1.89 1.39 1.45

Interpretation: Total asset turnover ratio was last three years is increase 1.16 to 1.89, which shows the companys strong situation.

8. Debt equity ratio: - Long term Debt Equity 37

Year 2010-11 2009-10 2008-09

Long term debt 90,397.23 80,214.80 69,491.45

Total equity 43,491.79 39,179.34 35,802.96

Ratio (%) 2.07 2.04 1.94

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HR DEPARTMENT
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 Hr vision of company Hr mission Hr management activates Human resource planning Recruitment & selection training &Development promotion &transfer policy performance appraisal wages,salary,payroll system of company industrial relation & its activities

Organization Structure of HR Department:

Owner

40
General Manager

HR Manager (Administer)

Master

Clerk

Peon

41

Introduction Definition Human resource management is a management process of procurement, development, compensation, integration and maintenance and reproduction of human resource in organization so that the goals of an organization so that the goals of an organization are achieved in an effective and efficient manner.

Vision To attain organization excellence by developing and aspiring the true potential of companys human capital and providing opportunities for growth, well being and enrichment. Mission of human resource management:The department has set up following mission statement as guidelines for their department To achieve collection spirit for to cover competence environment. To upgrade quality of work life of employees

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HR MISSION:-

The department has set up following mission statement as guidelines for for their department. To achieve collection spirit for to cover competence environment. To upgrade Quality of work life of employees To be among the top Key players in the recruitment vertical. Realizing leadership positions in all the areas of operations. Actively involved in the development of human resource. Offering highly effective, efficient & value added service to delight our clients. Making lives of people involved more meaningful, interesting, exciting and Comfortable by helping them meet their self actualization needs and other social needs.

HR MANAGEMENT ACTIVITIES:43

1. Organization planning 2. Human Resource planning a. b. c. Job Analysis Job Description Job Specification

3. Acquisition of human resource 4. Managing Performance 5. Motivational activities 6. Training & Development Activities 7. Compensation and Benefits 8. Health and Safety Provision 9. Organization Development 10. Encouraging participation in management 11. Grievance procedure etc.

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HR MANAGEMENT ACTIVITIES

Definition of HR: HRM is a series of integrated decision that form the employment relationship; their quality contributes to the ability of the employees to achieve their objectives. HRM is a management is the planning, organizing, directing & controlling of the procurement, development, compensation, integration, maintains & separation of HR to the end that individual, organization, & social objectives are accomplished.

Activities of personnel department: HRM department helps managers to recruits, selection and train and develop members for the company. HRM is concern with the peoples dimension in employees as well as organization effectiveness. The main activities of HRM department are to recruitment, selection, and training and develop members for an organization. The function, which are used by HRM department in the Piramyd fabrics Pvt. Ltd. is below here, organization. HRM refers to set of

programs function and activities designed and carry out in order to maximize. Both

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(1) (2)

Managerial function Operative function

Managerial function (a) Planning: Planning is the process of deciding the goals & formulating policies & programmers to achieve the goals. Planning involves forecasting & research. Planning helps to face successfully the changes that are likely to take place in future. It preparing human resource budget. (b) Organizing: Organizing is the process of allocating tasks among the member of the group, establishing authority responsibility relationships among them & integrating their activities towards the common objectives. Organizing is the framework through which management directs controls & co ordinates the efforts of people.

(c) Directing: Directing is the process of motivating, activating, leading & supervising people. Directing includes all those activities by which a manager influences the action of subordinates. Directing is the heart of the mgmt process. Directing also helps in building sound individual & human relation in the organization.

(d) Controlling: It implies checking, verifying & regulating to ensure that everything occurs in conformity with the plans adopted & the inductions issued. Such monitoring helps to minimize the gap between desired result & actual performance. 46

(2)

Operative function: -

There are five functions in the Operative function but Piramyd fabrics Pvt. Ltd. uses only three functions in their industry, which are below here: (a) Procurement Function: Procurement function is concerned with securing & employing the right kind & proper number of people required accomplishing the organizational objectives. Piramyd fabrics Pvt. Ltd. consists of the only five activities in the procurement function: (1) (2) (3) (4) (5) Job Analysis Human Resource Planning Recruitment Selection Placement

(a) Development Function: Human Resource development is the process of improving the knowledge, skills, aptitudes & values of employees so that they can perform the present & futures jobs more effectively. Piramyd fabrics Pvt. Ltd. consists of the only three activities in the development function: Performance Appraisal Training Executive Development (a) Compensation Function: Compensation function is refers to providing & fair remuneration to employees for their contribution to the attainment of organizational objectives.

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Piramyd fabrics Pvt. Ltd. consists of the only three activities in the compensation function: Job Evaluation Wage & Salary Administration Bonus So, there are three types of function, which are use by Piramyd fabrics Pvt. Ltd. H.R. department

1. Human Resource Planning

Meaning of HRP: -

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HRP is the process of forecasting a firms future demand for supply of the right type of people in the right number. HRP is also known as manpower planning, personnel planning or employment planning. HRP is the process of getting the right number of qualified people into the right job at the right time. It is the system matching supply & demand of manpower.

Definition of HRP: HRP includes the estimation of how many qualified people are necessary to carry out the assigned activities, how many people will be available, & what, if anything, must be done to ensure that personnel demand at the appropriate point in the future. HRP translates the orgns objectives & plans into the number of workers needed to meet those objectives. Time duration of HRP in the PIRAMYD FABRICS Pvt. Ltd. Short Term Plan : 1 year Process of the HRP in the piramyd fabrics Pvt. Ltd.

Human resource planning process is important to making effective planning for personnel. The steps taken by Piramyd Fabrics Pvt. Ltd. is describing below:

HUMAN RESOURCE PLANNING PROCESS:49

Objectives of Human Resource Planning

Estimating the Future Organizational OR Forecasting the Manpower Requirements

Auditing Human Resources

Job Analysis

Developing a Human Resource Plan

1. First they analysis the organizational plan it means see deeply future plan of the various department or organization. Select the Organizations objectives & policies and done work in HRP by employment. 2. Then after they forecast demand of manpower required in future they think which type of manpower demand is required is arise & which department and how much personnel is required .then they find sources of manpower. And they also find how HR needs and supply forecast. 50

3. Once the demand is decided then they forecast the supply of the manpower it means best sources is available to recruit the employee. Then they match the demand and supply of manpower. 4. Evaluation & Control is the final phase in the HRP process. The HR plan should include budgets, targets & standards. It should also clarify responsibilities implementation & Control which will enable achievements to be monitored against the plan.

Surplus: Reduced hours Shortages:

Recruitment

In this planning following points they take into consideration for its HR planning:
When HR needs arises. Which type of manpower is required in future? Source of required manpower available for the organization in future. Is any diversification is done in the organization in short term OR in long term.

Recruitment
Recruitment is a process to discover the sources of manpower to meet the Recruitment of the staffing schedule and to employ effective measures for attracting that manpower in adequate to facilitate effective selection of an efficient working force. Recruitment is process of and attracting capable application for employment. The process begins with when new recruits are sought and ends when their application are submitted. The result is pools of applicants from which new employees are selected .piramyd dose not have a 51

systematic recruitment procedure for recruiting shop floor worker, master sometime and sometime dont fall in procedure of recruitment and selection. Only other manager and employees fall in the recruitment process, which is also done when Equipments Company might recruit people by referring to internal sources only.

Recruitment process of the company

Estimating number and type of people needed Considering sources of recruitment

Activation of recruitment resources Evaluating and controlling the recruitment process that is selection of best possible candidates, without incurring many expenses

Selection
Selection means choosing an eligible candidate from all the application. Selection is the process of differencing between application in order to identify and tire those with a greater likely hood of success in a job.

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Selection process of the company

Mostly, selection will be done with regard to references i.e. when the company requires skilled or unskilled workers, a notice is put on the notice board so that they can see it and brings the workers to whom they kwon. Advertisement will be also given in the newspapers; government employment exchange will be also one of major sources of recruitment. Interview will hold after having been received the application of the candidates. In addition to filling up the application blank, the candidates is also supposed to pass through the color blindness test, color recognition test, design observation test. The candidate is called for final interview after having passed the various tests. In the interview aptitude, intelligence background and adaptability of job is scrutinized properly.

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TRAINING
Training makes the employees aware about the nitty-gritty of their jobs and the work environment in which they are supposed to work. Training is a process of increasing the knowledge and skill for doing a particular job.It is organization by which people learn knowledge and skill for definite purpose. The basic purpose of training is to fill the gap between job requirement and present knowledge level of employee. Piramyd company dose mot conducts any training programmers because in this type of industries there no need of special programme.hera training is provided during the working period. They period training to their workers only for fifth days before finally appoint for work. And for the upper level like managers they gives them seven days training to be aware them to the company.

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Promotion and Transfer policy: Promotion and Transfer are activities, which are done for an adjustment in the size of work force. The Promotion and Transfer policy of SHREE LABDHI PRINTS is as follows:

1. PROMOTION : Piramyd fabrics is one of the private sector of Piramyd fabrics does not have any fixed policy of promotion. But generally, merit basis promotion is given to its employees are promoted by considered their past experience and effective performance. From the point of view of organization efficiency and maximum utilization of talent, merit seems to be the logical basis of promotion.

2. TRANSFER:
In case of transfer, every employee of the company has to be always ready for transfer. Transfer is giving as per requirement of company at any time. Every employee is liable to transfer from one Department to another.

Bonus: also gives bonus to their employees as per the Bonus Act 1965 by

A Piramyd fabric

government of India. Minimum 8.33 % and maximum 20 % of wages and salary are allowing as bonus in the organization. Piramyd fabrics gives 20 % of wages and salary as bonus to their employees.

LEAVE NOTICE: -

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If the person is more absent not given intimation to management. Then after management given notice to him about his/her absent and make clarification of causes. If he/she is not given certificate clarification to management given and notice. After 3 notice, then he/she separated from the company.

6. Performance Appraisal: Meaning of Performance Appraisal: -

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Performance Appraisal is the process of obtaining, analyzing and recording information about the relative worth of an employee. Performance Appraisal and Merit rating are used synonymously.

Definition of Performance Appraisal: According to flippo, Performance Appraisal is the systematic, periodic and an impartial rating of an employees excellence in matters pertaining to his/her present job and potential for a better job. It is the process of obtaining, analyzing and recording information about the relative worth of an employee.

Advantages of Performance Appraisal of companys point of view are as follows. To effect promotion performance. To confirm the services of probationary employee upon the completion of the probation period satisfactory. To check training and development needs of employee. To decide upon the pay-raise where regular pay scale have not fixed. based on components based on competence and

To decide upon the pay-raise where regular

pay scale have not fixed.

To let the employee know where they stand as far as there performance is concerned and to help them with constrictive guidance for the purpose of there development. To improve communication Performance Appraisal can used to determine whether human resource program such as selection, training and transfers have been effective or not. criticism and

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Essential of Performance Appraisal system in the PIRAMYD FABRICS Pvt. Ltd. are below here: Clear objectives. Standardization training Job relatedness Feedback and participation Individual differences Review and appeal In this way Performance Appraisal system is very useful to company.

Process of the Performance Appraisal in the PIRAMYD FABRICS Pvt. Ltd. There are five types of the Recruitment process uses in the PIRAMYD FABRICS Pvt. Ltd., which are below here;

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WAGE AND SALARY ADMINISTRATION:

In wage and salary administration, salary is paid on monthly basis and wages may be paid on daily or hourly basis according to work done. One of the biggest factors affecting industrial relations is the salary or wage the compensation an employee receives for a fair days work. SHREE LABDHI PRINTS paid salary on a month the wages and salary paid by the personnel departments according to the position or the post of employees in the organization. Basic salary + Allowances + Commotion = Total salary. In piramyd fabrics the payroll system is fundamentally strong. In the Payroll system other main things are Basis and Commotion Organization should given a basic and Commotion as per Minimum Wage Government Act.

PAYMENT OF SALARY:
Company is paying the salary on the basis of government rules and regulations. Basic salary is paid on the basis of the employees skills and ability. Company paying a salary before the 5th day of the month. 1. EMPLOYEES RECORDS Personnel Records : -

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At pyramid fabrics records are maintained employee wise in the files. There is a separate file for employee right from his application for job, till his resignation. The different documents maintained are

Bio-data Appointment letter Promotion letter

All the other information relating the employee during his job. 2. Overtime Register : All the employees shall obey to work on overtime basis as and when required and he/she shall be entitled to overtime payment such as per the Factory Act, 1948 3. Wage Register : Wage register is prepared by the company as per company act, 1948.

PAYROLL SYSTEM: Pay roll system is the fundamental system of all the organization. Its importance is like

the wheel of the motorcycle. Every organization should have fundamentally strong pay roll system. If the fundamental structure of organization strong, the entire person should satisfy with the job. After all person concern with the money.

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Employee Welfare: Meaning of Employee Welfare: According to the Arthur James Todd, Employee Welfare means anything done for the comfort and improvement, intellectual or social of the employees over and above the wages paid, which is not a necessity of the industry. According to the Oxford dictionary employee welfare or labour welfare means the efforts to make life worth living for workmen.

Welfare Activities Welfare activities means those activities which are do always in favor of employees. It means the special extra facilities given to employees from company. As it is PIRAMYD FABRICS Pvt. Ltd. provides such kind of facilities to employees which are as follow, Provide good condition of equipment and also provide better

environment for work Company provides individual changing room, store room, rest room etc. First aid box provided to all department. Safety devices like helmet, glows, safety shoot are FABRICS Pvt. Ltd. in production area units Traveling allowance and dearness allowances are provided to every provided by PIRAMYD

employees and executive. 61

There are two type of welfare activates of the company 1. Intramural 2. Extra mural 1. Intra mural : - This services are provided within the establishment These include washing & bathing facilities, rest room, uniform, medical aid , recreation facilities. 2. Extra mural: These services are provided outside the establishment. these include housing accommodation , transport , maturity benefits , sports field, holiday home, etc. PIRAMYD FABRICS use only Intramural Welfare Services.

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Organization Structure & All Activities:-

M.D.

DIRECTOR

MANAGER

ASSISTANCE MANAGER

SUPERVISOR

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DEFINITION & MEANING OF PRODUCTION

Production is the process of converting the raw materials and/or other inputs into the products for further production or finished goods or services so that the utility of inputs is created or enhanced and the needs of the consumers are satisfied.

From the above definition we can say that the production department covers all the activity start from purchase of raw materials or semi raw materials & process over them & convert in final goods for sale. It includes an effective utilization of the materials as well as all other sources of inputs & get maximum out puts. In production department quality is main aim. So the employees provide the more attention on the quality of the products. They try to maintain the quality of the products by using new machineries & new technologies. It is responsibilities of production department to satisfy the customers needs & give satisfaction to them.

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RAW MATERIAL PURCHASE POLICY: Piramyd fabrics Textile having raw material as a grey, chemicals & colures. They purchase the grey cloth from Surat451 Textile market, New Textile market, raghukur market, etc. After completing job work it will be delivered to concerned customers in the given time period. It includes gray checking for weaving drawbacks and length & width. Marketing on the cloth according to batch, and is got redy for the dyeing process. The clothes comes from market or manufacture store in storeroom. And here a men called Zabarmen give parties name, meter f particular taka, and also give lot number in numerical serial number Ex.,6 taka are comes from market of global silk mills. Then they give short name of the party. Such GBL is called global. Global: GBL Lot no: 145 Meters: 125

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Material Handling: -

Material handling involves movement of material, either mechanical or manually either in batches or one by one within the plan movement can be horizontal, vertical or combination of the two. Material movement in any factory inevitable from start to finish. It begins from procurement of raw material and ends at the marketing of finished goods. Because of the material handling is carrying cost, the best material handling is no handling

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Process of manufacturing: Different techniques, such as weaving, printing, dying, shrouding, packing etc. are used in the production process. Yarn is chief raw material of the company. It is not manufactured at the plant of Vareli but is manufactured for looms at Jolwa. Process of production can be described as below: Obtaining the raw material Storing raw material Twisting the yarn Texturizing or crimping the yarn Draw warping Sizing Weaving Dying & printing

Following process of the company is explained below: 1. Obtaining the raw material:

The raw material consumed by the company is Parcel Oriented Yarn (POY). The yarn is procured from both internal & external sources. a) Internal Sources: Internal source of the company comprise the manufacturing plant of

Jolwa and material purchase from Surat Textile Mills (STM), which is under the PIRAMYD FABRICS Group of Company. Vareli plant also acquires raw material from Surat Textile Mills. b) External Sources: in the peak season, if the internal sources are unable to meet the demand, the company also procures material from external sources like Modern, Indo-Rama, and Reliance etc. 1. Storing the Raw Material:

All the raw material needed by the various departments is purchased together and maintained in the storage area called Dump Store from where any department can access the required amount of raw material.

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2.

Testing the Yarn:

Parcel oriented yarn is either twisted, according to the requirements of material consumed in production. Process of testing: machine. The winding of yarn is done on the winding machine. b) Twisting machine: the POY wound on the bobbins is then tittled on the twisting machine. On which the yarn is twisted. In this process, first the yarn is passed through spindles on which the yarn is twisted in both the opposite directions One for one twisting machine: in this machine, the yarn is twisted once for revolution. Two for one twisting machine: in this machine, there are two twisters per one revolution. Now days, TFOs are more widely used as they are quicker and offer a better quality. Fancy Twister: the yarn before twisting is not very strong and breaks easily. It is twisted in order to increase its strength. Due to twisting, quality improves and hence production also increases. 4. Crimping or Texturizing of POY: the POY is accessed from the dump store to the crimping or texturizing section to texturizing it. Denier is unit for measurement of POY. Those 9000 units of yarn are hanker and weighted in Gms, are called one denier. It is decreased after crimping. Process of Crimping: Firstly, POY is put on machine in a specific amount. The place is called CRILL where it is put. After the first delivery, the yarn is heated. Then it is passed through cooling plate. After that, the yarn is passed through spindle assembly. Thereafter, it is passed through boiler and at all it is taken up. This is what the crimping to Texturizing process is. There are two ways for punching the yarn. I. Raito-punched or bound II.Crime-not punched Types of crimping machine: Friction type Magnetic type Friction type machine is superior to magnetic one. Yarn is made bulky after crimping. 69

a) Winding on bobbins: firstly POY is wound on bobbins, which are twisted on the twisting

This process increases smoothness of material. It makes difference in dyeing. The cloth gets dull finished after weaving. 5. Draw warping: The POY is put directly on the Machine from dump stove to draw warped process. Its the fully automatic system from the warping system. The process of drawing heat setting and intermingling is carried out. It is given tension and then wound on beam. 6. Sizing: Sizing is process of saving of yarn. The raw material for sizing is accessed either from dump store, warp raw section or from Texturizing department. A beam is made at the beginning is the process on this department. Warp yarn i.e. Vertical threads are made. 1. Warping 2. Chemical processes: yarn is passed through a chemical called polyvinyl alcohol to find and acidize shining. 3. Waxing: - where the yarn is waxed. 4. Sizing: - sizing is made in this process which involves many chemicals as well as heading of cobbling processes. 5. Beaming: - yarn is wound on a bean after sizing. Sizing which mean saving of yarn is necessary because of regular wear and tear.

7. Weaving: After making the process of twisting camping, sizing or drawing warp, the yarn is rent to the weaving department. In gray cloth is manufactured through the process of weaving in this process one thread is horizontal and other is vertical. Horizontal thread is called weft and the vertical thread is called warp. There are various types of looms on which the cloth is woven: 1. Semi-automatic looms 2. Water Jet looms 3. Fully automatic looms

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It is notable that the production of grey cloth is 70000-mts/ day and it increases every year.

8) Dyeing & Printing: This is the lent step of the process of production department in the company.

Process: The Jet dyeing process is widely used for dying the grey cloth. It is dyed printed according to the requirement of design and colors. 1. First of all the Grey cloth is washed and dyed, whichever color is necessitated. The company dyes 9000 mts of cloth daily. 2. The second step involves putting the dyed cloth in the drum washer to give crepe and georgette crease effect along with washing the stains. The super wash machine is used for finishing and washing white color material. Salvage or machine is cutting of border the cloth. outing

used for border

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Plant layout:-

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It may be defined as the process of setting production activities in motion through the release of work orders and instruction in accordance with previously planned schedules. There are many types of plant layout but Company follows the process layout, which shows below.

PARKING FOR TWO & FOUR VEHICAL

PRODUCTION DEPARTMENT

QUALITY DEPARTMENT

SPACE FOR THE TRANSPORATION

ADMINISTRATION DEPARTMENS INVENTORIES OF SEMI, RAW MATERIALS

Packing

SHO P

FINISHED GOODS WAREHOUSE

CANTEEN

Quality Control

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 1. 2. 3. 4. 5.

Quality policy of PIRAMYD FABRICS PLANT: To satisfy customer need and expectation.

Striving for continuous improvements through implementation of ISO 9001:2000. Establishing, Communicating and reviewing measurable quality objections. Developing and improving employee skills through effective training. Maintaining safe working practices.

Quality Control System: In the PIRAMYD FABRICS there is a separate quality control department this

department is besides of the production department. They check the quality of the R.M. and Finished goods both. Their quality policy is to satisfy the customer at maximum level. The company has appointed many engineers who always take care about quality. Quality control process of R.M. & Finished goods: To make the POY the major R.M. is POY chip and spin-finished oil. In PIRAMYD FABRICS they always check the quality of this both. If they found any dab quality then they will keep it aside. They also safely load the material in to the machine. Once the POY made they also check the quality of it. They check the quality of the entire POY bobbin. They take the sample from the each and every bobbin and then they make the sample cloth from it. Then they dyed and print that cloth. And if there is any mistake they tell to production manager to solve it. If the quality is good then put the symbol of OK tested and then packs that material. They also check the denier and also the filament of the POY. The checking of denier is done with the help of the machine called Rap Reel Machine. And the checking of filament is done by computerized system Quality control for work in progress goods: In PIRAMYD FABRICS they have also the system of checking the quality of goods when it is in progress, the exports keep on their eye on the every activity of the machine. They check the every activity of machine. They have the computerized system in 74

which they can easily know in which machine the problem is occurs. And then they solved it.

STORAGE DEPARTMENT:
It is an extremely important cost that ever appears in accounting record. Components of this cost may be observed in several ways e.g. , in a profit making concern, sales lost as a result of stock out, or, there may be additional costs resulting from back ordering. Another component may be loss of goodwill due to delay in supply of finished goods. Sometimes, in production system, a part shortage may cause idle labour on a production line of subsequent incremental 75

labour cost to perform operation out of sequence, usually at a higher than normal cost. Such type of costs may also be considered as a shortage cost. Industrial or institutional storage of material is also systematic & well documented. Because of this reason following expenses are incurred in storage of material.

CONTROL OF WASTAGE:

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Waste can be defined as any resource rendered useless i.e. any material which does not have utility is waste. In Piramyd fabrics Textile there is the waste in production process. This is classified into two parts: 1. Avoidable waste. 2. Unavoidable waste. Avoidable wastes play a very important role in production management. A firm who can gets control on its wastage than there is increase in its profit. In textile firm, avoidable waste is while we are wrapping the string on the scope we have to take care otherwise it wraps on here and there on the scope. It is the wastage of string. This cost is avoidable should be minimize or avoided. Unavoidable waste, in these types of waste there is no control of production management on it. The firm must has to face this waste.

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In the textile field who is manufacturing the cloths while production process the role is wrapping on the bim through the wrapping machine. All the role are not empty after the string are wraps on bim some role contain a string are not used further because it is very less so production manager should not control this type of waste.

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MARKETING DEPARTMENT

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 MARKETING EVIRONMENT STP CBB/OBB

MARKETING MIX (a)Product (b)Price (c)Place (d)Promotion

Competitive analysis

MAEKETING ORGANIZATION STRUCTURE OF DEPARTMENT

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INTRODUCTION ACCORDING TO PROF.PHILIP KOTLER Marketing is a societal process by which individuals and groups obtain what they need and want through creating offering and freely exchanging products and services of value with others. Marketing is the process of planning and exchange the conception pricings, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organization goods.

1. Marketing environment (Competition): -

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There are some points which are uses in PIRAMYD FABRICS is below here in the Marketing environment (Competition). 1. 2. 3. 4. Concept of Target:There is annual turn-over is 3 ton per day (1080 ton per year). Profit target of the company is 20% of sales. Concept of target Concept of channel Concept of competition Concept of public

Concept of Channel:There are 3 types of Marketing Channel. 1. Communication Channel: Through this channel company deliver & receive message from target market. The Companys Communication channel includes News papers, local , postures, local transportation etc.

2. Distribution Channel:Through this channel company displays sell & deliver the physical product to the buyer. Company includes CNF (super stockiest), Distributor, Shop keepers etc.

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3. Service Channel:Through this channel company carry out transactions with potential buyer. This channel includes Agent Godown delivery, Warehouses, Transportation companies, Insurance Company etc.

Marketing Environment

The marketing environment surrounds and impacts upon the organization. There are three key perspectives on the marketing environment, namely the 'macroenvironment,' and the 'micro-environment'.
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1. Cultural 2. Economical 3. Political 5. Legal 6 . Te c h n o l o g y These factors are always changing. They are beyond the control of the company management. Management cannot ignore these factors. In the fabrics factory there are two types of environment which are as follows: 1. Micro Environment: 2. Macro Environment: 3. Internal Environment: Micro Environment This environment influences the organization directly. It includes suppliers that deal directly or indirectly, consumers and customers, and other local stakeholders. Micro tends to suggest small, but this can be misleading. In this context, micro describes the relationship between firms and the driving forces that control this relationship. It is a more local relationship, and the firm may exercise a degree of influence. A. Supplier B. Customer C. Competitor

Macro Environment

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This includes all factors that can influence and organization, but that are out of their direct control. A company does not generally influence any laws. It is continuously changing, and the company needs to be flexible to adapt. There may be aggressive competition and rivalry in a market. Globalization means that there is always the threat of substitute products and new entrants. The wider environment is also ever changing, and the marketer needs to compensate for changes in culture, politics, economics and technology. A. Political Environment: The political arena has a huge influence upon the regulation of businesses, and the spending power of consumers and other businesses.

B. Economical Environment: Marketers need to consider the state of a trading economy in the short and longterms. This is especially true when planning for international marketing. In the fabrics factory there are no international marketing, so it is not affect on them. C. Technological: Every new technology is a force for creative destruction. bike hurt the business of bicycle. Television hurt the business of redio,news paper. Internal Environment. All factors that are internal to the organization are known as the 'internal environment'. They are generally audited by applying the 'Five Ms' which are Men, Money, Machinery, Materials and Markets. The internal environment is as important for managing change as the external. As marketers we call the process of managing internal change 'internal marketing.'

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2) CBB/OBB(CONSUMAR BUYING BEHAVIOR OR ORGANIZATION BUYING BEHAVIOR)

Definition: Consumers buying behavior may be defined as the acts of in of individuals in obtaining and using a product or service including the decision process that precede and determine these acts

Consumer buying decision process

1.Problem Recognition:The buying process starts when the buyers recognize a problem or need. The need can be internal or external stimuli. To satisfy that need buyer will decide to purchase the product. Some time marketer may come forward to consumer and realize the need of that product.

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2. Information search:In this stage after deciding the product consumer the product consumer will start gathering information after passing through this stage consumer is updated with some knowledge about the various brands or companies and products.

3. Evaluation of alternatives
On single process is used by consumer to take final decision about the brand. Consumer will have two to three or more alternative to evaluate and select the brand

4. Purchase decision
Many time consumers may want to formally evaluate each product and companies. Thats why they take some mental shortcuts to evaluate the company. Consumers are not necessarily adopt any one of the model but may go for more than one model in deciding the product.

5. Post purchase satisfaction

The marketer job does not end up with the purchase marketer must observe three things. a) post purchase satisfaction b) post purchase action c) post purchase use and disposal

The Marketing Mix

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Product

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Introduction

According to Philip kotler a product means set of attributes in the form of physical product or services and ideas offered to the consumer for the satisfaction of his need product can be any of the form: physical, goods,services,experiences,event,places,information and ideas.

Cationic Suitings

We have for our clients our range of ladies wear that enhance the beauty of ladies of all age groups. These ladies wear available with us are known for their finish and designs. Proper stitching and interlocking of these ladies wear collection adds to their popularity in the garment industry. The ladies wear collections available with us are:

Cotton T-Shirts

Formal Shirts

Designer Sarees

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Salwar Kameez

Embroidered Kurtis

Fashion Tops

Cotton Shirts

We design and manufacture a collection of exclusively cotton shirts. Designed by keeping a tab on the latest fashion trends, we have an enticing collection of shirts. These shirts are known for their designs, cuts and colours. Each and every shirts that we designs and manufacture are made from high quality cotton. We have both traditional and modern types of apparels.

Dyed Fabrics

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Our ranges of dyed fabrics are known for their premium quality and the usage of high quality dyes. These fabrics are colours fast and do not fade even on repeated wash. Our dyed fabrics are used for designing and manufacturing various types of apparels like ladies kurtis, salwar suits, and gents kurtas and for various other apparels for men and women. We offer these dyed fabrics in a large variety of colours.

Embroidered Fabrics

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Awe inspiring in designs and elegant, the embroidered fabrics that we have are known for their complex designs and colour combinations. These fabrics are skin friendly and known for their uniform weaving. Our embroidered fabrics are embroidered in various traditional designs, patterns and motifs that are carved with high quality threads. Our embroidery fabrics are used for making different types of ladies apparels like suits, skirts, and sarees. The embroidery fabrics offered by us are:

Chain Embroidered Fabrics

Cotton Embroidered Fabrics

Metal Embroidered Fabrics

Hand Embroidered Fabrics

Thread Embroidered Fabrics

Glass Embroidered Fabrics

Organza Embroidered Fabrics

Dupion Embroidered Fabrics

Taffeta Embroidered Fabrics

Aari Embroidered Fabrics

Crewel Embroidered Fabrics

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Acrylic Embroidered Fabrics

Gray Fabrics

Presenting a large collection of fabrics, we also have grey fabrics. Offered in different shades, these products are come in different densities of fabric. Manufactured by our skilled artisans and weavers, these grey fabrics are used in the making various types of garments as well as home furnishing items.

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Mens Wear

Bringing an all exclusive collection for men, we keep our focus on the offering them in designs and colors that match the tastes of men. These mens wear that we have come in various types of fabrics that can suits all types of occasions. Our collection includes formal wear, traditional wear, casual wear, sportswear and inner wear for men. The men's wear collection comprises of:

Short Shirts

Knitted Shirts

Fancy T-Shirts

Formal Trousers

Embroidered Kurtas

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Knitted Pyjama

Wedding Suits

Embroidered Sherwani

Designer Sports Jackets

Pnp Corduroy Fabrics

High quality yarn is used in manufacturing various types of corduroy. These products are available in a large variety of colours, designs, prints and fabrics. This corduroy is easy to wash and dry. The colour fast fabrics keep these corduroys new for a longer time.

11"corduroy

14"corduroy

ribless corduroy

Polyester Suitings

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Most vibrant and smooth, we have for our clients a wide range of suitings fabrics. These fabrics are available in a wide variety of colours and designs. From printed ones to plain, our suitings fabrics come in varied designs and textures. The fabrics that are woven, dyed and printed at our unit are skin friendly as well as color fast.

Printed Fabrics

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The exclusive ranges of printed fabrics that we have are available in a variety of prints. The range varies from floral prints, abstract to block prints and many more. These printed fabrics are available in a enlarge of designs, colours combinations. Soft in touch, these printed fabrics are color fast and skin friendly. The printed fabrics include:

Chiffon Printed Fabrics

Cotton Printed Fabrics

Silk Printed Fabrics

Synthetic Printed Fabrics

Weaving Yarn

Avail from us, our wide range of weaving yarns that are long continuous length of interlocked fibers. These yarns are used for the production of textiles or fabrics. These yarns are available in a variety of colors and quality. The different types of yarns available with us are:

Silk Yarn Cotton Yarn 97

Polyester Yarn

Product Mix Meaning of product mix:A product mix (also called product assortment) is the set of all product lines and items that a particular seller offers for sale to buyers An organization with several product lines has a product mix. In other words, product mix is the composite of products offered for sale by a firm. It is collection of products manufactured or distributed by a firm. Product Mix has three main characteristics:1. 2. 3. Width Depth Consistency

Width of the product mix is concerned with the number of product lines marketed by piramyd fabrics. Width and smaller number of product lines narrower is the product mix Product life cycle (PLC)

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Every product has a life. Some product live short while others live long. Ultimately whether product is short lived or long its sales declines. During its whole life a product passes through different a stage which is known as a life cycle of product. A product life cycle means a typical pattern of development of life time sales of a product. A product life cycle can be defined as a history of lifetime sales of a product from the stage of its introduction to the stage of its decline. A product life cycle begins with introduction of the product in the market and ends with decline in its sales.

The stages of PLC are given below; Introduction stage Growth stage Maturity stage Declining stage Product of PIRAMY FABRICS is passing from maturity stage. The policy which they have adopted in maturity stage is to earn equal by using less recourse.

3. Packaging & Labeling: Meaning of Packaging:Packaging means, The wrapping of goods before they are transported or stored or delivered to a consumer. In the other hand, packaging is the sub-division of the packaging function of marketing. Packaging has been defined as, An activities which is concerned with protection, economy, convenience and promotional considerations. 99

We can define packaging as: all the activities of designing and producing the container is called the package The packaging has three levels, they are following: Labeling Meaning of Labeling:Label is a part of product, which carries verbal information about the product or the seller. It may be a part of a package, or it may be a tag attached directly to the product. Label may be small slip or a printed statement. Primary package Secondary package Shipping package

PRICE
Meaning of Price:It includes price, trade discount, cash discount, credit terms, and collection policy. The price is determined normally after considering production cost, distribution cost, quality, rivals price & government controls. Piramyd Textile, they believe that if the customer wants a good quality of products they do not think about the prices. Piramyd has achieved a brand name as possible as fast in Indian market. The Piramyd products are comparatively average price more than other companies because Piramyd believes that to provide best quality with best services to the customers. Piramyd has main target to attract middle level, semi middle level customers. Pricing decision can be made on the basis of following formulas:1. Cost price + Margin = Selling price. 2. Selling price Margin = Cost Price The above two formulas the most practically used formula is:-

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Cost price + Margin = selling price

Margin:The percentage share of the various intermediaries in the final simple fan product has been evaluated on the retail price as below: Final Price: 160 Retailer margin:30-40% Wholesaler: 10% Brokerage:- 2% Manufacturer profit:- 10-15% Cost of production: 90 Rs. PRICES OF THE PIRAMYD TEXTILE Piramyd having Price range of the fabrics between 60 Rs. to 125 Rs. and prices depend on the qualities of the fabrics and fall fill of the fabrics, in which Piramyd is well known amongst the customers. Price of the products will be adequate and customers will not find it difficult to purchase it. Discounts will there in off and regular season but its depending on payment condition and bulk quantity.

Qualities of fabrics 6 wells Corduroy 8 wells corduroy

Prices (Rs) 120 120

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11 wells corduroy Bsy with emboss series Catonic fabrics

115 80-105 60-80

Objectives of pricing

Earning reasonable rate of return on investment Market penetration Price stability To maintain or improve market share To cope-up with competition Market skimming Profit maximizing objectives

Method of pricing

Cost oriented method Demand and supply balancing pricing Competition oriented pricing Customer oriented pricing

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PLACE
Introduction: Place or marketing channels are sets of interdependent organizations involved in the process of making a product or service available for use or consumption. A marketing channel system is the particular set of marketing channels established by a firm. Decision about the marketing channels are crucial decisions from management because it will always add some cost to a product. According to above definitions a channel of distribution consists of different intermediaries concerned with operations of distribution of good or services. They make the products or service available to the consumer at different places. Which are the areas where the major customers of garden are located?

The total customers of PIRAMYD can be classified in two groups. 1. 2. Organized group. Unorganized group. CUSTOMERS OF THE PIRAMYD

The organized group consists of the sector of business segment and other business houses and those who purchase the goods and yarns for further processing. The unorganized group consists of the retail and wholesalers who are 8.40% in purchase. irregular
INDORE DELHI MAHARASHTRA GUJARAT 39.00% OTHERS 12.60% 12.00%

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28.00%

The major customers of Piramyd are located in Gujarat and Maharashtra the percentage cover 39% and 28% and also the Piramyd sales its products in Delhi, Indoor, Kolkatta etc.

Levels of channels of distribution Producers do not sell their goods directly to the final user, between them stands a set of intermediaries performing a variety of functions. These intermediaries constitute a marketing channel also called a trade channel or distribution channel. Channel level: The produce and the final customer are part of every channel. We use number of intermediary levels to designate the length of a channel. SHRIMOTI is not producer or intermediary because it get raw materials from the parties for dying and returns it to the same party. It does not purchase or sale any product. It just provides one type of service. There are 4 types of channel levels which are given below: Zero level channel:- It consists of manufacturing selling directly to the final customer. One level channel:- A one level channel contains one selling intermediary such as a retailer. Two level channel:- A two level channel contains two intermediaries. 104

Three level channel:- A three level channel contains of three intermediaries. In a consumer market, there are typically a wholesaler, semi-wholesaler and retailer.

CHANNEL OF DISTRIBUTION IN THE PIRAMYD:A channel of distribution or marketing channel is the structure of intra company organization units and dealers, wholesalers and retailers through which a commodity products or service is marketed. A channel is the line through which a product flows on its way to the customer. A channel of distribution is a path traced in the direct or indirect transfer of ownership of a product, as it is a line of distribution. Piramyd gives his products to the wholesalers, and retailers. The company also gives the authorized retail shop, sometimes company directly sales the product in the market. The company proposes to expand its market network by establishment of additional own outlets in the premier cities of India.

Cost Price

Godown Manufacturing margin Wholesaling Wholesaling margin

Semi Wholesaling

Retail Selling Retail margin

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Retail Selling

Price

Consumer

HOW THE COMPANY APPROCH TO THE DEALERS OR DISTRIBUTERS:-

Distributors or Dealers:The company has many its distribution in all over the company these distributors mainly sell the material to the retailer or wholesalers. It has good distributors for selling the product dealer or distributors, direct sell the material through general shop. Depots:The distributors are given the materials from these depots. The Piramyd have its own depots in city. Depots are transferring the materials to retailers and wholesalers ultimate to the consumers. It also transfers the material to company shop, authorized retail shop, and authorized retail counter and general shop. Spot sales or direct sells:Piramyd are also sold on the spot on the premises of the company knows the demand of particular product in the market through the channel of distribution and also knows that in which place and which products are used by the customers, so companys getting many orders through the channel of distribution policies.

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STURCTURE OF THE DISTRIBUTION CHANNEL

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Comp. Outlets General outlets outlets

Authorized Depots Warehouse Customer Retailer Wholeseller

dealers

This is a pipeline in which selling material by wholesalers to retailer and through ultimate consumer or user. Piramyd textile has different distribution in India

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PROMOTION
SALES PROMOTION Sales promotion is a procedure to promote or increase the sales through some marketing activities. It also involves activities like advertising for products or offering discount etc. these are the main promotion tools. Bulk selling (Whole selling) Partial selling (Semi whole selling) Single piece selling (Retailing)

Piramyd offers variety of discounts. If the buyer gives order in bulk quantity, above 1000 mtrs. in any fabrics than they gives 3 to 5Rs. discount in price and if buyers gives payment in advance with bulk quantity than they gives 7-10 Rs. discount in original price. They promote their sales by the mouth publicity. They are also advertising their products through newspaper. Thus the company will go many activities in order to promote their sales. Recently, seeing the scope of e-commerce the company have been lunched websites for the sales promotion. Promotion of the product can be done through:1) 2) 3) Advertising. Publicity. Schemes.

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Sales promotional activities are not regular activities. These are purely temporary and are performed at certain time such as display, free samples, exhibitions, demonstrations etc. it makes advertising and personal selling more effective. It encourages dealers, distributors and consumers. It helps to sell products in imperfect market. 1) Advertisement consists:Audio, Radio, Visual 2) Publicity consist News paper (Daily) 3) Scheme consist Premium, Price off, coupons, free gifts, 1+1 free Now see the various kind of schemes that have been already launched in market by Piramyd.

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COMPETITIVE ANALYSIS
There are some points which are uses in PIRAMYD FABRICS is below here in the Marketing environment (Competition). 1. Concept of target 2. Concept of channel 3. Concept of competition 4. Concept of public Concept of Target:Profit target of the company is 20% of sales.

Concept of Channel:There are 3 types of Marketing Channel. 1. Communication Channel: Through this channel company deliver & receive message from target market. The Companys Communication channel includes News papers, Radio, local TV channel, postures, local transportation etc.

2. Distribution Channel:Through this channel company displays sell & deliver the physical product to the buyer. Company includes CNF (super stockiest), Distributor, Shop keepers etc. 3. Service Channel:Through this channel company carry out transactions with potential buyer. This channel includes Agent Godown delivery, Warehouses, Transportation companies, Insurance Company etc.

Concept of Competition :111

It includes all the actual & potential rival offering & substitute of their product a buyer might be consider. The company may be of monopoly, total competitive or oligopoly. E.g. There are many fabrics brands against Piramyd fabrics as like remand, raj fabrics, and other brands.

Concept of Public :Population outside the Company within the nation. From which company can identify their potential buyer, current users, decision makers and general public.

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QUESTIONNAIRE
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Personal Information of customer: 1) Name:.. 2) Address: . .. . 3) Age: 4) Occupation:.. 5) Contact No:.. 6) E-mail: .. Questions: 1) Are you aware of Piramyd Textiles? [ ] yes [ ] no 2) From where did you know about Piramyd Textiles? [ [ ] TV Advertisement ] News Paper [ [ ] Reference ] Others [ [ ] Taiwan ] Super blez

3) From following what would you like to purchase? [ ] Corduroy [ ] Spark [ ] jute [ ] Opera [ ] Texido [ ] Wool [ ] Flora [ ] Catonic [ ] Thaisilk 4) Which material would you like to purchase? [ ] Polyster [ ] Cotton [ [

] Silk ] Others

5) Have you ever been used/familiar with Piramyd Textiles product ? [ ] yes [ ] no If yes, Since.. 6) Which kind of product would you like to prefer? [ ] Seasonal [ ] Others

If others, specify 7) How do you rate Piramyd Textiles products? Excellent Average Good Poor [ [ [ [ ] ] ] ] 114

Very poor

8) Can Piramyd Textile fulfill the needs of customer better as their commitment? [ ] yes [ ] no 9) Are you satisfied with Piramyd Textile ? [ ] yes [ ] no 10) How do you find Piramyd Textile is better than others? [ ] Personal view [ ] Friend Opinion [ ] Market Demand [ ] Value Of money [ ] Other, Specify. 11) Would you recommend our products to your friends? [ ] yes [ ] no If yes, Why. 12) Would you like to purchase our products in future? [ ] yes [ ] no If yes, why 13) Suggestions are welcome for betterment of the company.

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Various materials, information and experience, which have been given by Mr. Mukesh Patel and Nilesh Patel at Piramyd.

MARKETING MANAGEMENT:EDITION: Millennium (Tenth) AUTHOR : Philip kotler PUBLISHER: Prentice Hall of India Pvt. Ltd.

WEBSITES:www.piramydtextiles.com WWW.PIRAMYDGROUP.COM

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