ACKNOWLEDGEMENT My grateful thanks are due to Prof. Dr. A.Mohamed Akbar, M.Sc, M.Phil, Ph.D, M.C.A, M.B.

A, CIDTT most honorable Principal of Indo American College, Cheyyar for his elderly advice and valuable

encouragement. I express my sense of gratitude to Prof. J.Ezhilarasi M.Com, M.Phil, M.B.A, Head of the Department of Corporate Secretaryship for giving me this opportunity to undergo the institutional training in AKCT Chidambaram Cotton Mills Pvt Limited. I am grateful for my guide Prof. R.Nirmala M.C.S, M.Phil for her continuous support and expert guidance for the successful completion of my project work. I sincerely express my gratitude to Prof. K.Srinivasan, M.C.S, M.Phil, M.B.A, Prof. E.Seeralan M.Com, M.Phil, Prof. S.Parthasarathy M.Com, M.Phil, Prof. U.Elangovan M.Com, M.Phil, Prof. S.Vijayan M.Com, M.Phil, for sparing their value time in doing my project work. I thank all other learned members of Commerce Department and Corporate Department for helping me to all their effort and encouragement. My sincere gratitude goes to AKCT Chidambaram Cotton Mill Pvt Limited, special officer of Arpakkam for providing me an opportunity of train in and learns about the practical aspects of the cotton mill during my training period. I thank all my family members and friends for their constant love and encouragement to complete my project work.

CHAPTER I INTRODUCTION MEANING OF INSTITUTIONAL TRAINING. Institutional training is the acquisition of knowledge, skills, and competencies as a result of the teaching of vocational or practical skills and knowledge that relate to specific useful competencies. Training has specific goals of improving one's capability, capacity, and performance. It forms the core of apprenticeships and provides the backbone of content at institutes of technology (also known as technical colleges or polytechnics). In addition to the basic training required for a trade, occupation or profession, observers of the labor-market[who?] recognize as of 2008 the need to continue training beyond initial qualifications: to maintain, upgrade and update skills throughout working life. People within many professions and occupations may refer to this sort of training as professional development. Every organization needs the services of trained persons for performing the activities in a systematic way. It is in this regard to some extent, training for the students of business courses in various functional areas become mandatory before entering in to the corporate jobs. No doubt, the employee training is required in every stage, very frequently. Since, the fast changing technological development makes the knowledge of employees obsolete. They require constant training to cope with the needs of corporate sector. They require constant training to cope with the needs of jobs. Definition of Training Michael J. Julius defines the term; Training is used here to Indicates only process by which the aptitudes, skills and abilities of employee to perform specific Jobs are increased. Training is the art of Increasing the knowledge and skills of an employee for doing a particular Job- Edwin B. Flipped.

Training is a learning process which seeks a relatively permanent change in behavior that occurs as a result of experience-S.P.Robbins. IMPORTANCE OF TRAINING: Increased Productivity Training improves the performance of employees. Increase skill and efficiency results in better quantity and quality of production. A trained worker will handle machines carefully and will use the materials in an economical way. Higher Employee Morale A trained worker derives happiness and job satisfaction from his work. He feels happily when his performance is up to the mark. This also gives him job security and ego satisfaction. The employees will properly look after a worker who performs well. All these factors will improve employees morale. Less Wastage Untrained worker my waste more materials, damage machines and equipments and may cause accidents. A trained worker will know the art of operating the machine properly. He will also use the materials and other equipment in a systematic way causing less wastage. The control of various wastes will substantially reduce the manufacturing cost. The amount spend on training the workers will prove an asset to the organizations. Reduce labourTurnover and Absenteeism Labour turnover and absenteeism are mainly due to job dissatisfaction. When a worker is properly trained he will take keen interest in his job and can derive satisfaction from it. A satisfied person may not like to leave his job and try at a new place. Training helps in reducing labour turn over and absenteeism by increasing job satisfaction among them.

Employee Development Training also helps in the development of employees. It first helps in locating talent in them and then developing it to the maximum. The adaptability of a worker will help him in working on new and improved jobs. If a worker learns fast then be able to develop his talent and improve his performance. Training gives him an opportunity to show his work also. Following types of training are generally in use: Advantages of Training Training help the new recruit develop a force on sharp methods and procedures. Organized training ensures expertise in performing a task and makes the experience of the seniors available to new recruits. Training ensures a certain level of the uniformity, speed and care in the execution of Job. Organized training programmers. Are less expensive than the usual process of learning Job. The trainer learns on the actual machines and equipment in use and in the true environment of his Job. So he gets a felling of the actual production conditions and requirements The trainer learns on the actual machines and equipment in use and in the true environment of his Job. So he gets a felling of the actual production conditions and requirements.

INTRODUCTION The Textile Industry in India has been a pioneer industry. India

Industrializations in other fields has mainly been achieved on the back of the resources generated by the textile industry. The textile industry contributes 4 per cent to the countrys GDP, 14 percent to industrial production and 8 percent to indirect tax revenue. It employees to 35 million persons the second largest after agriculture and accounts for 18 percent of industrial employment. In the global context India offers comparative advantage in the textile and apparel sector with its excellent raw material base, skilled manpower and cost competitiveness. The Indian textile Industry has already established it same in supplying high quality yarns and gray fabrics to the world market. However it is yet to make an impact in finished product. It only makes sense to go in for further value added products such as garments and leverage on the countys established name in these export markets. Naturally, many textile companies have announced plans to diversify into value-added businesses to target a higher realization and compete better in the export market. Three top priority Human needs are food, cloths and living place. In that cloths are manufactured from different raw materials. Those are classified as. . 1. NATYURAL FIBRE 2. ANIMAL FIBRE -Eg. Cotton ,jute ,line -Eg. silk, wool. -Eg. viscose (or) ray on -Eg. Polyester, nylon,

3. REGENERATED FIBER 4. SYNTAETC FIBRE polypropylene.

1. NATUURAL FIBRE: Are available from nature source. It is getting from plant location and cultivation

2. ANIMAL FIBRE: Are getting from animals sin is getting from cocoons and wool is getting from goat. 3. REGENERATED FIBRE: Areas getting from wood pulp cellulose wee condensed and man as cellulose fiber. 4.SYNTAETE FIBRE: Which is produced from Polly acetone by polymerization, we hare threadn our project at M/s AKCT CIDAMBARAM COTTON MILL, Thiruvannamalai. Where they are production 100% polyester. The are getting polyester Fiber from different part of India and marketing super fine quality of yarn such as 40s psf count and 80s psf count. Which is raw material for the wearing industry. This mill is satiated at 20 km away from Tiruvannamalai Town. It is providing job for scope in this remote area. Area of industry is 10 Acres, in that building occupied 1,37,770 area is 5 Area. The management is already well versed in spinning mills since last 40 years. In 2006 They have started this new mill at industrial batch ward area, the capital investment is Rs20 core, the capacity of mill in 33,600 spindles. In is employing 350 employing. The factory is working round the clock major department are HISTORY OF COMPANY No one knows exactly when he spinning and weaving of company began recent biological. Discoveries of the important of woven material on day notes dating from same 27000 Years ago indicate that people know how to weave even helper they do masticated plants and animals. The oldest actual fragment of cloths found this far is from archeological excavation at a Site in southern turkey called conference. This place white fabric, probably lien has been deled at About 7000 BC (Wilfred 1993) sandal

made from fibers that date from as early 6000 BC have been found in covers in miss out (Kuttuffetal 1998). People used fibers found in nature and hand processor to make fiber in to cloths. Even with limited technology skilled weavers, created a wide variety of fabrics. Some fabrics such as the simple plan home span cloth used daily, were sterilely utilization. Outer were elaborately paltered printed on dyed in other to settee the universal human need for beauty more complete social and political organization of people evolved. With the growth of cities, nations and empties campsites came improvement in technology and the development of international trade birth of which involved company. Chine silk was among the must priority items of commerce. Have long throughout that silk china first to reached quicken creek and Rome along a trade route called ``The silk Load`` The Romans also importuned from near by Egypt and from India. According to HERODUST man is a social being is he created by god with grace, awarding to him man is a Social Being he will fight for food and cloths man was civilized for cloths long ago. He has made the nature gift for his shelter with plant and animal. By man empower he has developed company into the satisfactions of common wish as hero dust is called the man is social being. DEVELOPMENT (OR) IMPROVEMENT (Or) CHANGE THE POLYESTER This company production in to have changed the base material of cotton production in to polyester production. We noticed while our 1 month project, 15 days earned a profit from cotton production and another 15 days they were changed the polyester production for more earn good profit then as much as previous profit and their employment. Its very easier method of production among most of the employers in this concern . May here after thus concern change only polyester production, that we observe during our project work.

MANAGEMENT The company is managed by a team of highly competent professional mangers undder the guidance and supervision of the managjng director the company has personal, officers to appointed a number of highly qualified and well epurchasaxperienced technical, production, purchase marketing, financial, administrating and day affairs of the company.

OBJECTIVES OF THE COMPANY 1) Various kinds and description on power loozing and looms and for bleaching

dyeing printing processing and mercerizing yarn and cloth. 2) To manufacture and deal in applicants accessirues and other material for use in any of the on one said or allied business. 3) To carry on the business of and dealers in water proof materials and fabrics matting or other cloth or goods of kinds whether limitation, robber or otther newky invented material. 4) To manufacture import, export and deal in agricultural products woods and timber semi manufacture and manufacture goods over and metals, machines electrical and mechanical goods spare and accessories loco motives automobiles aero places paints and varnished dyes and chemicals drug and machines, oils scope commutes hosiery articles. Stationery articles paper food stuffs, fruits, foals and implements radius and musical instruments grocery. 5) Articles and all other goods thing artioles and commodities of all varieties kinds and desolations. 6) To promote any other for the purposeof acquiring all or any or any property of this company or advancing directly or indirectly the objects or interesr there of and to take or other wise acquire nod held shares in any such company and to guarantee the payment of debenture of other issued by any such company.

7) To make accept endorse and issue cheques,promissory notesbills of changes handier and over negotiable and transferableinstruments, personal officeto look after the dey to day affairs of the company. BOARD OF DIRECTORS 1. Sri.AL. Chidambaram Chettiar 2. Sri.CT. Alagappa Chettiar 3. Smt. AL. Saradha Achi 4. Smt. C. Aparna Managing Directors AKCT CHIDAMBARM Auditor Mrs. Ananthnarayanan Banks State Bank Of India Guindy, Chennai. Register Office The registered office of the company is located in the heart of the city.

Tiruvannamalai. is given below.

The factory is also situated in the Registered Office premises. It

covers a very vast of around more than five acres. The correct postal of the company

1.Head Office Nungapakkam Chennai-6

Company Address AKCT-Chidambaram Cotton Mill (p) ltd., Arpakkam Road, Mangalam (post) Thiruvannamalai (Dist.,)

Management Functions

Planning

Controlling

Organisation

Directing

Staffing

(1)Planning Planning eliminates the tend nary to work at random. The basic nature of planning may be stated as follows.

(2)Organising

It is goal-oriented It is an intelleetual activity It is the primaru function of management It is all pervasive i.e., present at all levels It is a continuous process It is forward looking

Man , Machines Matrtials and money are the resources necessary for any organization. Organization is also concerned with the grouping of the activities of the enterprise into various types. Ex. Production marketing and soon (3)Staffing The staffing functions of management is concerned with the performance of the following activities Estabsishment of standards Measurement of acuter performance Marketing a comparison between the actual performance and the standars Finding out deviation and making corrective actions

(4)Directing The directing functions is conecrned with the following activities a business enterprise. Undertaking Supervision Issuing orders and instructions (Pertaining to work) Leadership to guide employee

(5) Controlling It planning is looding ahead. Controlling is looking bacd, control enables a business enterprise. Estabkushment if Standardss Measurement of acuter performance Marketing a ccomparison between the actual performance and the stranded Finding out deviation and making corrective actions

Organizaationl StrUCTURE. PERSONNEL DEPARTMENT The personnel department of this is responsible for over all performance of staff and workers. Their intelligende and skill is very much essential for the efficient performance of production and official word under the personal officer there are three shift time keepers and ond head time keeper. This department is responsible for a complying with the rules as per the factories Act payment of wages act provident fund act,emploees states insurance and gratuity act etc.,

The mill has employed about staff 8 fitters, supervisor 15 workers 350,staff 18, select after undergoing several tests only persons who has successfully under gone these are selected. The personnel officer is responsible for granting leave to the employees. He is akey person who helps in establishing mangment. EMPLOEES PROVIDENT FUND All the emploees and workers of the coompany are covered under the employees provident fund scheme emergency, electric set up rain fallin this way the fund to be used. The scheme only use in permanent workers the company only help payment to the workers 10% provident fund scheme to be used in this company. LEAVE AND HOLIDAY Every wirders is entitled to take one day leave for 20 working days of a worker for a minimum of 240 days in a year ne will be eligible 9 days leave with wages. CASUAL LEVEL An employees shall be entitled to casual leave up to a maximum of 4 days as per the settlement data in each calender year. Casual leave may be taken on the sicknees ground without a medical certificate, casual leave is intended to meet special or unforeseen, circumstances for which the provision can not be made by exact rule. FESTIVAL HOLIDAY The mail will not be functioning are festival hikiday. NATIONAL HOLIDAYS Republic day, Independence Day, May Day, and Gandhi Jayanthi are National Holidays. for 9 days due to the national and festival

holidays as per the act pongal, Aadifestival, Tamil new year, Deepavali and Ayutha pooja

ALLOWANCE The management provides many allowances and facilities considerable welfare measures to promote the interest of the workers the will gives the following allowances. Dearnessallowance Leave travel concession Production incentives House rent allowance Gratuity Bonus

Bonus and Ex gratia are paid to the workers for Deepavali minimum 8.33% thats month salary maximum 35% Bonus was given by the management to workers. WELFARE MEASURES CANTEEN The canteen comes under the personnel department the company is having a certain run by a contractor food, staffs are provided in a subsidized rate along with varieties rice, tea, bun, vada, and bijou at regular intervals and banana. The rate per tea taken is bops and etc. REST SHED The company having a rest shed to enable worker take rest during the intrevals or prior to attending shifts. DEATH RELIEF FUND Death relief fund is set up for providing finance help to the nominee or legal heir of the diseased labors. The management contributes Rs.2,500 as death relief Fund to the employees those who died which in service. CO-OPERATIVES STORES

There is a separate co-operative stores for the employees of the mail employees cooperatives store is there for the employees who purchase all kinds of house hold articules and cloths at cheaper rate. PRODUCTION INCENTIVES The management gives incentives to the workers. It achieving production of more than their standards in the departments. Preparatory Spinning Winding

MEDICAL FACILITY The employees are getting medical facilities at first aid, and managalam hospital PENSION FUND 10% foun allotted by management employees pension fund. In this fund 12% interred to be allotted by management to workers pension scheme only apply to 1 year under the benefited. The company also contributes to disablement benefit to the workers. If the employees dies this fund is given to his nominee. TIME OFFICE The over all control of the time office is vested center head timekeeper. He has ESI and other return Assistant timekeeper functions under him. He is in change of preparation of wage bill muster roll. The service record consists of date of appointment address details about the family rate of wages resignation punishments leaves particulars etc and any punishments or notice served to any employee are recorded in the service register of the employees. PAYSLIPS

The company issued 3 pay slip namely 1 pay slip for the administrative and office staffs pay slips 11 for the oils and masteries pay slip pay slip and report we should consider the payment. Personnel Department forworkers and labour to prepare a

Bord of Director

Managing Director

Factory Manager

Assistant Factory Manager

Personnel Officer

Head Timekeeper

Assistant Timekeeper

Security

PURCHASE DEPARTMENT In AKCT Chidambram Cotton Mill polyester Fibxe considered as purchase department. This department concerned with the purchase of polyestor fibre different stations. The main function of this department is to purchase good quality or raw material.

The usual work of this department is supply order, receipt: checking and recording of suppliers invoice and delivery notes maintained of purchase journal and ledger cheeking and certification for payment of suppliers bill etc. In addition to raw material the mill busies stores material such as machine store etc., The purchase machine spends objectives of purchase department to purchase the sound quality of material at minimum cost. THERE ARE TWO TYPES OF ORGANISATION FORCASH PURCHASE MATERIALS 1. Centralized purchase organisation 2. Decentralized purchase organisation CENTRALISED PURCHASE ORGANISATION Centralized purchase organisation means purchasing untions lives with a single persons. DECENTRALISED PURCHASE ORGANISATION Dechentralised purchaes means theauthority to purchase is delegated to various persons depending upon the nature of goods cost and time general manager is the deciding authority for the purchase of very constlier items. Therr copies of purchase order is prepared one is thesupplier, the other one is filed in the supplier file maintained by the mill and the third one is for the godown keepeer. Contracts regarding the purchase of polyester are singned by managing Director and Frctpry Manager. OBJECTIVES OF PURCGASE DEPARTMENT To procure the needed materials at a competitive price of the rught quality, in the right quantity and at the right time. To maintain continuity of supply to ensure production schedule at minimum inventory investment.

To ensure the production of goods of bbetteer quality at a competitive price by procuring materials that best suit the product and the purpose fir which they they are intended.

To suggest better substitutes to materials which are currently being used with a view to lower the cost and maintttain quality of the products. To render assistanec in standardization, variety reduction, value analsis, make or buy decisions and other cost reduction programmers. To create goodwill and enhance the compny`s reputation for being fair and maintaining integrity through its dealings with the suppliers. To enable the company to maintain competitive position and earn a fair return on its investment. Locating, slecting and developing qualified surces of supply. To assist in fixing portable price and delivery schedule etc.

CONSUMPTION AND MIXING BOOK Daily consumption of polyester is recorded in this books. In this amount of

polyester received is entered according to its puality and entries are made for every lot and sent to the production floor. Before the cotton stable fiber is sent to the production floor the mixing of cotton is record from this book. We can easily know the stock of the raw materials. Purchase department

Board of director Chairman Managing Director Factory Manager Labour

Store Department The Stores department consists of one storekeeper assistant storekeeper an store boy. The stores is located near by plant. In the store they keep spare part for various machines is the mill items such as different thpes of oils diesel and grace are maintained is this departments. In there is any shortage of any particular item he has to call for quotation from the different supplies and place order after getting permission from the management to identity the spare parts. He has given different code number for diffetent parts He responsible for any loss of theft.

Records maintained by stores department material requisition slip

To receive the spare parts the stores department receives material requisition slip the following is the specimen of material requisition slip the following is the specimen of material requisition slip.

Spare and stores: The order important materials are spare and stores which are necessary for production process. The stores keeper takes the responsibility to purchase all stores and spare items. He is under the control of factory manager. The following producer is followed for the purchase of spare parts and stores materials.

Gettung purchase indent frim Departments Exploring the sources of supply Preparation and placing of purchase order. Receiving and inspecting of materials Passing bill for payment

Recorder Book: Soon after the purchase requisition is received from any department order are placed to the supplies of there is no stock the order placed are recorded is this book. Daily Receipt In this book all arrival for of goods entered in this book the date and time of arrivals is maintained.

Bin Card Bin card is a record movement of materials manager each kinds of stock in respect of daily transactions, which is attached to cach bin or selff or any other from of containers it shows daily receipts issues and balanec and minimum quantity on hand. The card also shows maximum and maximum re-order levels. It is an essential record kept in stores for the following purposes 1. Exact position of materials is known as manager each receipt and issue. 2. Information pertaining to stock levels and the quantity balance on hand is immediately known. 3. Code numbeers and full description of the materials given. 4. It serves as a check of stock ledger and helps in physical verification of stores

Store Ledger: In the stores ledger all the item along with the invoice value ate recorded and discount of any given the suppliers is also. Filter is the given respnsibility to got the required things form the stores with the absent of mill manager. The spare parts purchase may be against ready cash credit for a period of month and it depends up on the suppliers.

When bin cards do not show any details of infirmation, stores ledger is an alternative and an esential record to the kept in stores. Also when the stores office is situated at a distanece. It is maintaines. Nearly 11 Department depend upon the store for their operation to be carried act. They are listed below. 1. Blow Room 2. Carding 3. Drawing 4. Speed Frame 5. Spinning (or) Ring Frame 6. Cone Winding 7. Cone Backing 8. Work ship 9. Power house 10. Generators

Fitter is the given responsibility to get the required things from the stores with the abscond factory manager. The spare parts purchased may be against ready cash (or) credit for a period of month and it depends up on the suppliers.

QUALITY CONTROL In the textile industry selection raw materials plays a vital fole one day of department of department is to test the raw material samples and finished yarn simplex. This department consists of four staffs who are responsible for maintain the quality of the yarn samples are taken from different machine daily and basted in the laboratory and give report to the mill manager about the various rangers in tha laboratory and give report to the mill manager about the various rangers in the

manufactures for the yarn. This department is responsible for the testing of the finishing products also. The quality controller is respoonsible for submitted a periodical report to mill manager. According to the suggestions given by the quality controller correction takes place and count variation, strength, single yarn strength evens of slivers and rowing trust of yarn, yarn appearance hairiness color etc. Theses an lour staff working in this department. The account department is one of the main areas the mill is concentrating because the mill have very good name in the market as well as international market for the yarn manufacture by mill if any fault turning the tests. The entire lot is checked and then only dispatched to customers.

OBJECTIVES OF QUALITY CONTROL 1. To asses the quality of raw materials, semi-finished goods and finished precuts at various stages of production process. 2. To ensure whether the product conforms to the pre-determined staandards and specification and whether if satisfies the needs of the customers. 3. If the quality of the product deviates from the specifications, if should be possible to locate the reason for deviations and take necessary remedial steps for theat the deviations do nor recure. 4. To suggest suitable improvements in the quality or standard of goods produced withouth much increase or no incriease or no increase in the cost of production. 5. To develop quality consciousness in the various sections of the manufacturing unit. 6. To assess the various techniques of quality control, method and process of production and suggest improvement in them to be more effective.

7. To reduce the wastage of raw materials, men and machines during the process of production.

QUALITY ASSURANCE DEPARTMENT What are the workers of quality Maintain Accuracy in product Environment profession The good to market process

TYPES OF POLYESTER FIBER 1.Indo Ramo 1Den X 44 mm Fibre 2.Reliance 1 Den X 44mm Fibre 3.Present running Bombay Dyeing 1 Denier X 44 mm Fibre

COUNT DECLATION 40s 45s 50s

60s 62s 65s 76s 80s

RUNNING COUNT 50s Polyester fubre 60s Polyester fubre 62s polyester fubre

TOAL QUALITY MANAGEMENT Quality is everybodys concern. Also where, it is a kind of policing captivity, busy monitoring quality of production and compelling to achieve the required quality. There are three fundamental elements of total quality Process People Management

Process Look after the processes and the product looks after itself a saying in japan. As the saying goes, the processes are the most vital elements to achieve quality product. People

People run machines, people maintain machines and equipment. It should be inculcated in to their minds that quality is every bodys concern. Management They should be trained and enducated in problem solving. It is seid quality begins with education and ends with education.

FINANCE AND ACCOUNTS DEPARTMENT * Financae and Accounts department This department is controlled by assistant general manageral manager. The finance department has the officers. The work of the department is the look after the affairs of the company. This department conducts various studies and gives in the from of different ratios this department advices the marketing department regarding the credit period to be given to customer and various discount which can be giver for promote payment are cash discoun. The mill has got loan from industrial development Bank of India (SBI) State Bank India Chennai. The financial department look after the loan affairs of the company. The office manager is the head of the Accounts department under the office manager comes the accounts officer accountants cashier clerks spe and

office boy etc., The office manager is reasonable for over all administration of the office the department. Record day to day the mill maintain to through computers. The look maintained by the department are cash look bank look, purchase journal sales journal purchase ledger sales ledger. CASH BOOK The cash book is maintained by the cashier till the cash transaction which occur in the mill are recorded in the cash book under different cash. PURCHASE JOURNAL The purchase invoices are entered with date name of the party till number quantity value and differentiating whether is be longs to stores or raw materials. SALES JOURNAL The sales invoices are entered with date name of the party till number quantity total values. The sales invoices for the sales of yarn and of waste. Raw material also entered her. CASH MANAGEMENT IN COMPANY The company focuses on the following aspect of cash planning and control. It prepared budget for one month and one month and submit to the management. MAINTAINS OF ACCOUNTS The company follows a mercantile system of accounts. It prepares and maintaina proper accounts as per rules and regulatioon of the company act 1956. The surplus fund of the company are invested fully on current and fixed assets.

ANALYSIS OF PROFITABILITY The profitability ratio are calculated to measures the over are efficiency of the business generally profitability radio are calculate either in relation to sales. DEBTORS LEDGER All the party who are dealing with this company in connection which purchase of yarn and waste appear in this debtors ledger.

CREDITOR LEDGER This ledger gives details pertaining to credit purchase of cotton storage processing and also the commission to selling agents. GENERAL LEDGER This ledger deals with all nominal expenses incomes and others details of stock and cleary about the liabilities of the concern. It is the basis for the preparation of profit and loss account and balance sheet. BANK BOOK The state bank of India of the mill the Bank pass book contains date particular if it is chequee to whom it was received chequce number or receipt number ledger folio and debit and credit and credit balance are recorded every month the bank look compared with the pass look of the company. purpose. The bank reconciliation statement is also prepared for this

MARKETING DEPARTMENT

*The essence of marketing is an exchange or transaction intended to satisfy human needs or wants. That is marketing is a human activity disserted at satisfying needs and wants, through an exchange process. The aim of marketing is to make sales in order to earn reasonable profit for the producer. *That performance of business activities that direct the flow of goods and services from the producer to the consumer or user. * The department deals with the marketing of various counts of yarn manufactured by the mill the marketing department is controlled by the assistant factoeoy manager under him there are sales staff. The company has branch of Bombay and Pondichery the mill sells directly or through the brancers and consignment agents. *The mil also export its yarn to foreign countries like Bombay Calcutta, Combamtore etc., This is done through merchant exporters or some time directly mill sells directly to the customer in the local market the duty of the manager is to abouot market and give report to the management. The staff keep close watch on the competitions price credit period allowed by the discount any given and it also has the conveys the customers regarding the quality of the years supplied to the customer, under him there are two to three officers. * In AKCT Chidambaram cotton mill yarn department refers to marketing department yarn is the final product produced and sold. IMPORTANCE OF MARKETING TO THE SOCIETY 1.Marketing is a connecting link between the consumer and the producer. 2. Marketing helps in increasing the living standard of people 3. Marketing helps to increases the nation income 4. Marketing creates modern cultivations 5. Marketing remove the imbalances of supply by transferring the surplus to defieit areas, through letter transport facilities

6. Marketing includes all activities in the creation of utilities form place, time and possession. THE MILL ADOPTS 5 PROCETURE FOR SALES 1. TNGST Sales 2. Consignment Sales 3. C.S.T. Sales 4. Branch Sales 5. Direct Export TNGST Sales Tamil Nadu General sales means with in tamil nadu mostly at Chennai consignment sales. The mill appoints consignment agents in up country centers of sell their yarn on consignment basis the mill enters into a consignment agreement with the consignment agent through a broker. They also enter into altripartibe agreement with the consignment agent and the brokers. As and when the agreement was entered the mill arranges to dispatch their yarn to up country centers with documents such as from no 26 from 20 advice letter, centers exercise, grate pass etc., The yarn is moved as property of the mill and is also received as a proper by of the company by the consignment agent either directly or through the brokers.

THE MINIMUM RATE AT WHICH THE YARN IS TO BE SOLD As soon as the yarn is received by the consignment agent be sells. The same in the market on the account of the mill subject to the conditions. Imposed by the mill. The agent is paid a commissions at 1% on the mill. The day to day sales of the company are recoreded first in the sales dey book. CST Sales Centeral sales tax (CST) i.e., sales outside tamil nadu sales from the mill to kanpur and other parts of the converted by CST. DIRECT EXPORT The mill sells goods exporting England, Srilank directly on the basis of the letter of credit order recevied from the parties aboard. The same type of concession of merchant exports are enjoyed by the mill for the Direct Export. The day to day sales of the company are recorded first in the sales day book the following is the specimen of sales day book.

TABLE 7- 1 SALES DAY BOOK Date Bills No Sales Tax Bags Net WT\Bag NetRate Weight Amount Company Aim

1. To maintain the highest quality standards for production 2. To provide the best customer service for ever 3. To help and enhance competitiveness in the retail market palce MAINTENANCE DEPARTMENT Machine building and other service facilities are subject to deterioration due to their use and exposure to environmental conditions process of deterioration, if left unchecked, culminate in rending these facilities unserviceable and bring them to standstill, industry,therefore, has no choice but to attend stop them from time from time to time the repair and recondition them so as to length an their and physically possible. TYPES OF MAINTENANCE Maintenance Systems | | ------------------------------------------------------------------------------------------| Planned maintenance maintenance 1.preventive maintenance maintenance 2.corrective maintenance 1.preventive maintenance (a) Running maintenance (b)shutdown maintenance 1.emergency unplanned life to the extant it is economically

2.corrective maintenance (a)breakdown maintenance ( b)shutdown maintenance PLANNED MAINTENANCE * Plannded maintenance represents and advancement over the above mantioned types

of maintenance. * plannded maintenance visualize the work contain in a future job determine the best

method to the adopted and skill required for it is execution (1)PREVENTIVE MAINTENANCE * Preventive maintenance consist of routine action taken in planned manner to prevent

breakdown. Lubrication ensures long and safe working of the equipment without mishaps. * Inspection facilities detection of faclt in on equipment so that repair and replacemen

may be undertaken before the fault assumes the preparation and shape of a break down. PREVENTIVE MAINTENANCE ACTIVITIES 1.Direct activities activities (a) Cleaning of th equipment (b) Lubrication replacement (c) Programmed replacement BREAK DOWN MAINTENANCE Break down maintenance refers to the repair work taken after the failure of machine or equipment. For example; a machine tops working because the belt gets torn. Replacement of the torn belt in a case of break down maintenance. Breakdown maintenance it involves mainly the repair of effective equipment. (a) Condition monitoring (b) Failure statistics (c) Adjustment to limit wear 2. Indirec t

CORRECTIVE MAINTENANCE ACTIVITIES | Planned activities (a) Normal repairs repairs (b) Programmed replacement (c) Large storing action (Over value) (d) Modifications for reduce maintenance requirements EMERGENCY MAINTENANCE Emergency maintenance is carried and when unexpected; breas down acquire in machinery. The reporting of break down the diagnosis of failures, allocation of repair work to special maintenace staff, getting spare and quick attendance of failure comes under the organization the planning emergency maintenance. Non planned activities (a) Break down

MACHINERY MAINTENANCE ORGANIZATION OF MAINTENANCE DEPARTMENT IN A TEXTILE For an efficient maintenance programmed in textile mill it should be respirator from production management. A qualified person in textile with an engineering background or qualified mechanical engineering with good experience in textiles can be put exclusively in charge of maintenance. Textile mill consist of more than, 33,600 spindle and two fitters are provided in preparatory and spinning. Because of large number of machine under maintenance

operation at a time. More skilled operatives like assistant fitter. Fitter helper, grinder etc., to make the maintenance operation effective. A total of persons are working. Mechical supervisor and clerk for record keeping will assist the maintenance engineer. TABLE 5-5 MAINTENANCE SCHEDULE MACHINE Blow Room Talerance (+\-) 1. Line Chute food Pre opening machine -1 1.Cleaning and greasing days 2.Third bar palishing days MIXING BALE OPENER -1 1. General 2. Cleaning and greasing days 3. Grid bar polishing days 4. Gear motor oil change days MIXING BALE OPENER -2 1. General cleaning days 7 days 2 4 month 12 1 month 3 7 days 1 month 2 days 3 1 month 3 20 days 2 MONTHS DAYS

2. Cleaning and greasing days 3. Grid bar polishing days 4. Gear motor oil change 12days CONVEYOR BELT 1. General cleaning days 2. Cleaning and guide vall days

1 month 1 month

3 3 4 month

7days 1 month

2 3

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Profitabiliy Ratio a. Gross Profit Ratio This ratio is also known as Gross Margin or Trading Margin Ratio. Gross Profit is the result of the relationship between Prices, sales volume and costs. A change in gross margin can be brought about by changes in any of these factors.

Formula: Gross Profit Ratio = Gross Profit X 100 Net sales Table No. 4.1.a Showing the Result of Gross Pross Ratio (Rs. In Lakhs) Particulars Gross Profit Net Sales Results (in %) 2009-2010 69053994 312980472 22.1% 2010-2011 99758269 326391475 30.6%

Interpretation:

Gross Profit Ratio for the year 2009-2010 is 22.1% ,when compared to previous year, but in 2010-2011 the gross profit is 30.6%. It indicate the more sales.

b. Net Profit Ratio This ratio is also called Net Margin. These measure the relationship between net profit and sales of a firm. The ratio of net profit (after interest and essentially expresses the cost price effectiveness of the operation. Formula: taxes) to sales

Net Profit Ratio = Net Profit After Tax X 100 Net Sales Table No. 4.1.b Showing the Result of Net Profit Ratio (Rs. Particulars Net Profit after tax Net Sales Results (in %) Interpretation: Net Profit Ratio for the year 2010 2011 1.56% when compared with previous year. The result shows the decreasing trend. The company should concentrated more on its sales to increase the ratio. 2008-2009 6969861 312980472 2.22% 2009-2010 5098151 326391475 1.56% Lakhs) In

c.Return on Shareholders Fund This ratio determines the profitability from share holders point of view. The Net Profit here is Net Income after payment of interest and tax and it includes not non operating income also. The term share holders funds include equity share capital, preference share capital and all reserves and profit belonging of share holder.

Formula

Return on Shareholders Funds = Net Profit after interest Shareholders fund Table No. 4.1.c. Showing the result of Net Profit Ratio (Rs. In Lakhs) Particulars Net Profit 2009-2010 after 8119861 75851535 0.10% 2010-2011 6237800 80678692 0.07%

interest and tax Shareholders funds Results (in %) Interpretation: The Return on Shareholders Funds Ratio for 2010 2011 is 0.07%, but in 2009 2010 is 0.10%. The results show the decreasing trend. This indicates the lower position for the shareholders point of view.

d.Earnings Per Share

This ratio highlight the overall success of the concern from owners point of view and it is helpful in determining market price of equity shares. The ratio is

calculated by dividing the net profit after tax and preference dividend by number of Equity shares. Formula Earning per Share = Net Profit after Tax and Preference Dividend Equity no of Equity Share

Table No. 4.1.d Showing the Result of Earnings per Share (Rs. In Lakhs) Particulars 2009-2010 2010-2011 30628692 2500000 12.3%

Net Profit after tax and 25801535 Preference Dividend No of Equity Share Results (in %) Interpretation: 2500000 10.3%

Earnings Per Share ratio for the year 2010-2011 is 12.3%, and 2009-2010 is 10.3%. The result shows the increasing trend compared to the previous year. To increase the ratio the company should concentrate more on its turnover the profit.

2. Turnover Ratios a. Fixed Asset Turnover Ratio

This ratio determine efficiency of utilization of fixed assets and profitability of a business concern. Higher the ratio more is the efficiency in utilization of fixed assets. A lower ratio is the indication of under utilization of fixed assets.

Formula:

Fixed Asset Turnover Ratio = Cost of Sales Net Fixed Assets Table No.4.2.a. Showing the Result of Fixed Asset Turnover Ratio

Particulars Cost of sales Net Fixed Assets Results (intimes)

2009-2010 243926478 282905223 0.86

2010-2011 226633206 252925567 0.89

Interpretation: The Fixed Asset Turnover Ratio for the year 2010-2011 is 0.89 times, compared previous year 2009-2010 is 0.86 times. The company should concentrate to increase the utilization of fixed asset to increase the ratio.

b.Owned Capital Turnover Ratio Owned capital turnover ratio is higher. The ratio indicates in effective usage of capital. It is calculated by established the relationship between costs of sales with the share holders funds invested in the business Formula: Sales Owned Capital turnover Ratio = Shareholders Fund Table No. 4.2.b Showing the Results of Owned Capital Turnover Ratio (Rs in Lakhs) Particulars Sales Shareholders Funds Results times) Interpretation: The Owned Capital Turnover Ratio for the year 2010-2011 is 4.04times and when compared to previous year 2009-2010 is 4.13 times. Current year decrease indicates the efficient utilization of capital. (in no. 4.13 4.04 2009-2010 312980472 75851535 2010-2011 326391475 80678692

The Owned Capital Turnover Ratio x- Axis: Years Y-Axis: Result in Times

Result in Times
9 8

8.17

7
6 5 4 Result in Times

3
2 1 0 2008-2009 2009-2010

1.29

Graph No. 4.2.b Showing the Results of Owned Capital Turnover Ratio

c. Working Capital Turnover Ratio Working Capital Turnover Ratio measure the effective utilization of working capital. It also measures the smooth running of business or otherwise. The ratio established relationship between cost of sales and working capital. Formula Sales Working capital turnover ratio = Net working capital

Table.4.2.c Showing the Results of Working Capital Turnover Ratio

Particulars Sales

2009-2010 312980472

2010-2011 326291475 195178364 1.7

Net Working Capital 120811970 Results times) Interpretation: (in no. 2.6

Working Capital Turnover Ratio for the year 2010-2011 is 1.7 times, and 2009-10 is 2.6 times. The results shows decreasing trend. Working capital turnover Ratio has decreased this is due to changes in current liabilities. The sales are higher in comparison to working capital indicates over trading of the concern.

Working Capital Turnover Ratio x- Axis: Years Y-Axis: Result in Times

Result In Times
7.95 8 7

6
5 4 3 2 1 0 2008-2009 2009-2010 1.31 Result In Times

Graph.4.2.c Showing the Results of Working Capital Turnover Ratio

d. Capital Turnover Ratio Managerial efficiency is also calculated by established the relationship between costs of sales with the amount the amount of capital invested in the Business. Formula: Sales Capital Turnover Ratio = Capital employee Table 4. 3. d. Should the Result of Capital Turnover Ratio

Particulars Sales Capital Employed Results times) (in

2009-2010 312980472 260701158

2010-2011 326391475 29262942 11.1

no. 1.20

Interpretation: The Capital Turnover Ratio for the year 2010-2011 is 11.1 times and when compared with the previous year 2009-2010 is 1.20 times.The results show the increasing trend. The company should increase the sales to increase the ratio.

The Capital Turnover Ratio x- Axis: Years Y-Axis: Result in Times

Result in Times

1.29

2008-2009 2009-2010

8.15

Graph No. 4.2.d Showing Result of Capital Turnover Ratio

3. Solvency Ratio a. Current Ratio The Current Ratio of a firm measures its short-term solvency that is its ability to meet short-term obligations. As a measure of short-term/current financial Liquidity, it indicates the rupee of current assets available for each rupee of current liability/obligation, thus, current ratio in a way, is a measure of margin of safety to the creditors. The ideal norm for current ratio is 2:1. Formula Current Assets Current Ratio = Current Liabilities Table No. 4.3.a Showing the Results of Current Ratio

Particulars Current Assets Current Liabilities Results Proportion) Interpretation:

2009-2010 98607905 22204065

2010-2011 161490340 33688024 4.8

(in 4.4

The Current Ratio for the year 2010-11 is 4.8 times. When compared with previous year 2009-2010 is 4.4 times .The result shows the increasing trend. When compared to ideal position it is satisfactory to creditors and not satisfactory to the management. So the management should concentrate in current assets

The Current Ratio x- Axis: Years Y-Axis: Result in proportion

Result in Proportion
2.6
2.5 2.4 2.3 2008-2009 2.2 2.1 2 1.9 2008-2009 2009-2010 2.1

2.5

2009-2010

Graph No. 4.3.a Showing the Results of Current Ratio

b. Liquid Ratio The Liquidity ratio measures the ability of a firm to meet its short-term obligation and reflect the short term financial strength / solvency of a firm, A proper balance between the two contradictory requirements, that is liquidity and profitability is required for efficient financial management. The ideal norm for Liquid Ratio is 1:1

Formula: Quick Assets [or] Liquid Assets Liquid Ratio = Current Liabilities Table No. 4.3. b Showing the Result of Liquid Ratio

Particulars Quick Assets Current Liabilities Results Proportion) Interpretation:

2009-2010 98189505 22204065

2010-2011 159789306 33688024 4.7

(in 4.4

The Liquid Ratio for the year 2010-11 is 4.7 times. When compared with the previous year 2009-2010 is 4.4 times. The result shows the increasing trend.

The Liquid Ratio x- Axis: Years Y-Axis: Result in proportion

Result in Proportion
0.18 0.18 0.175 0.17 0.165 0.16 0.155 0.15 0.145 0.14 0.135 2008-2009 2009-2010 0.15 Result in Proportion

Graph No. 4.3. b Showing the Result of Liquid Ratio

c. Fixed Assets Ratio

The ratio establishes the relationship between fixed assets and long-term funds. The objects of calculating this ratio is to ascertain the portion of long=term funds invested fixed assets. The ideal norm for Fixed Assets Ratio is 0.67:1

Formula: Fixed Assets Fixed Assets Ratio = Long-term Funds Table No. 4.3.c Showing the Result of Fixed Assets Ratio

Particulars Fixed Assets Long-Term Funds Results Proportion) Interpretation:

2009-2010 184297318 30851535

2010-2011 164140626 35678692 4.6

(in 5.9

The Fixed Assets Ratio for the year 2010-11 is 4.6 times when compared 2009-10 is 5.9 times. It indicates the decrease in trend in fixed assets and long-term funds.

Fixed Assets Ratio

x- Axis: Years Y-Axis: Result in proportion

Result in Proportion
0.51 0.505 0.5 0.495 0.49 0.485 0.48 0.475 0.47 0.465 2008-2009 2009-2010 0.48 0.51 2008-2009 2009-2010

Graph No. 4.3.c Showing the Result of Fixed Assets Ratio

d.Debt-Equity Ratio This ratio reflects the relative claims of creditors and shareholders against the assets of the firm. This ratio is ascertained to determine long-term solvency position of a company. The ideal norm for Debt-Equity Ratio is 1:1. Formula: Total Long-term Debt Debt- Equity Ratio = Shareholders Funds

Table No. 4.3.d Showing the Result of Debt-Equity Ratio

Particulars Total Debt Shareholder Funds Results Proportion) Interpretation: Long

2008-2009 Term 102573303 75851535

2009-2010 80393469 80678692 0.9

(in 1.4

The Debt-Equity Ratio for the year 2010-12011 is 0.9 times. When compared with the previous year 2009-2010 is 1.4 times. The result shows decreasing trend. The management should concentrate more to decrease the ratio by increasing the long-term debts of the concern.

The Debt-Equity Ratio x- Axis: Years Y-Axis: Result in proportion

Result in Proportion

3.14

3.14

2008-2009 2009-2010

Graph No. 4.3.d Showing the Result of Debt-Equity Ratio

SUGGESTION Very happy to ruggest the following points which may help the productivity and this increase the profit of the company. At present the comapny AKCT CHIDAMBARAM COTTON MILL (P) LID., Has no comapny secretary only the Factory Manager acts as the secretary the company may appoint secretary as poissible to decrease the work load of the FM and this increase the concentration in the most important secretarial department. The company earned a good profit for the last some years. The company has also earned good will in the yarn production and also among the private. It is we humble suggestion that the company can go for a public use to increase their spindelage and thus the profit of the company can be increased.

CONCLUSION Finally indeed this short of training gave me the good knowledge about the process and woeking condition of the factory I get on opportunity to know the entire process and unit operation that plays in the factory which will be very helpful I get a change to work in any factory. AKCT CIDAMBARAM COTTON MILL (P) LTP., for the production sets on excellent example for other organization here maintenance of records and filed keeping the time up satisfaction the incoming material all the above buyer a seller relationship are harmonious. I once again express my thanks to all technical staff and workers who have rinsed their co-operation knowledge to know the process involved in the factory.