A

ON

Prepared By
Rupareliya Mahesh.R

Guided By
Pro.Dina Kanani

College
H.N.Shukla , Rajkot.

Submitted To
Saurashtra University Rajkot

COLLEGE

H.N,Shukla 2008-09 S.Y.B.B.A. SAURASHTRA UNIVERSITY, RAJKOT Pro.Dina Kanani

ACADEMIC YEAR SEMESTER SUBMITTED TO GUIDED BY -

PREFACE
With the turn of century expert knowledge and specialized technologies will become part of our day to day life, that will further increased the need of practical knowledge in educational to enter into actual world. B.B.A. is a two year full professional degree course. It is interesting to not that B.B.A. includes practical aspects of students as well as theoretical portion. This is what makes it different then other routine courses. In this course, we have special of practical training by Saurashtra University. The objective of practical training of B.B.A. is to develop among the student the awareness about the industrial environment and business practices. The project work undertaken is of KICH MARKETING PVT.LTD; Situated at Yogeswar Main Road, Atika, Dhebar Road (south), Rajkot-360 002 (India) manufacturing of Stainless Architectural Products. Engaged in

ACKNOWLEDGEMENT
I would to like to thanks Mr. DINESHBHAI HAPANI who had given permission to me for preparing project report and also given information and extra guidance in their field. I would like to express my feeling of gratitude to director of H.N.Shukla who had given me permission for preparing the report. I am extra guidance for the whole training programmed and I also express thanks to my parents and my friends for providing me necessary helps and deep encouragement. At last but not least I was also thankful to all the person of KICH MARKETING PVT.LTD. And especially thanks to staff member of the company for their help and guidance for preparation of this project report.

DECLARATION
I the undersigned RUPARELIYA MAHESH a student of B.B.A here by declare that the project work presented in this reports is my own work and has been carried out under the supervision on Lec.DINA KANANI OF H.N.SHUKLA RAJKOT. This work has not been previously submitted to any other university for any examination.

DATE: PLACE: RAJKOT

SIGNATURE (RUPARELIYA MAHESH)

INDEX
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SR. NO. 1. 2. 3. 4. 5. 6. 7. 8. 9.

PARTICULARS

PAGE NO.

GENERAL INFORMATION PRODUCTION DEPARTMENT MARKETING DEPARTMENT PERSONNEL DEPARTMENT FINANCE DEPARTMENT FUTURE PLANS SUGGESTIONS CONCLUSION BIBLIOGRAPHY

THE GENERAL INFORMATION

GENERAL INFORMATION
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SR. NO. 1. 2. 3. 3. 4. 5. 6. 7. 8.

PARTICULARS

PAGE NO.

INTRODUCTION PORTFOLIO AWARD & RECOGNITION SIZE OF UNIT FORMS OF ORGANISATION TIME KEEPING SYSTEM ORGANISATIONAL STRUCTURE ORGANISATIONAL CHART PLANT LOCATION

INTRODUCTION
8

KICH is the name that represents Premium Quality, Excellent Services and a Commitment for Life. KICH was born as a thought by Shri Chimanbhai Hapani, a born craftsman and an innovative industrialist from Rajkot (India). In 1992, the thought became a reality with the inception of KICH as an Export Oriented Unit when the First architectural hardware item was developed. The vision was to touch pinnacle of business and a determination to step into global market. The product was confirming best raw material-high grade AISI 316 Stainless Steel, highest technical standards and unique finish. The Success accelerated progress of KICH to its fullest capacity lead by Shri Chimanbhai Hapani & his three sons; Mr.Dinesh Hapani has specialised in overseas market while Mr.Nitin Hapani has excelled himself in manufacturing and product development. Today, Mr.Bharat Hapani efficiently runs the firm Kich Marketing Pvt.Ltd. with his vast experience and immense market knowledge. In 1998 Ms. Chetna Misty, an Interior Designer, under the able guidance of her husband Mr. Jagdish Mistry, a prominent Architect started their association with the KICH Group by providing marketing and before & after sales services of internationally acclaimed KICH products to domestic market under the banner of NEKI Corporation. The joint efforts from KICHNEKI rapidly developed a strong marketing network including highly skilled Marketing Executives; own Product Display Centers and a chain of Exclusive Dealers across the India.

Apart from achieving many designer and excellence award, KICH is proud of being the First to obtain highly prestigious

National Award for the Best Quality Products. Today, KICH is undisputed leader in developing and supplying Premium range Architectural Hardware products. KICH products are highly recommended by prominent Architects, Interior-Designers, and Construction Groups etc. for their prestigious projects all over the world. KICH is the preferred choice for residential clients as well as diverse Industrial Sectors covering Aviation, Education, Entertainment, Finance, Health Care, Hospitality, Information Technology, Media-Publication and many other Corporate Groups. The wide range of KICH products includes Mortice Handles, Mortice Locks and Pin Cylinders, Pull Handles, Door Hinges, Furniture Fittings, Handrail & Balustrade system, Bathroom accessories, etc. along with many more custom made products, developed from Anti-corrosive High Grade AISI 316 Stainless Steel.

PORTFOLIO
Name of the company KICH MARKETING PVT. LTD.

10

Address Tel. No. Chairman Director Date of Incorporation Bankers Auditors E-mail Website Weekly off Weekly hours Working Days Shifts Accounting Year Size of unit Mission & Vision

Yogeswar Main Road, Dhebar Road Rajkot-360002 (India) (0281)3290316 / 17 , 2368121 Fax: 91-281-2361602 Shri Chimanbhai Hapani Shri Bharatbhai Hapani, Shri Nitinbhai Hapani 17th August,2004 Corporation Bank Bhansali Associate-Rajkot sales@kichindia.com www.kichindia.com Monday 8 hours (ONE SHIFT) 300 days 8:30AM To 12:30PM 2:00PM To 8:00PM 1st April to 31st March Medium Scale Continues to serve you in your aspiration through our marketing team aptly supported by our dealer network all across the country.

Awards & recognition

11

NATIONAL AWARD FOR BEST QUALITY PRODUCTS

The Undisputed Leader for Quality Products

Shri Chimanbhai Hapani (Founder) receiving NATIONAL AWARD for BEST QUALITY from His Excellency, President of India, Dr. A.P.J. Abdul Kalam on 28-10-2005 at New Delhi. Global Presence - Our Hard Earned International Reputation
12

1.

FIRA Membership: Membership of FIRA (Furniture Industry Research Association U.K.) is a matter of pride for any such industry. Membership is given only after passing through the strict scrutiny and after passing through the stringent criteria. It is an achievement to have this highly honoured membership. It ensures the support of FIRA in terms of specialist technical information and guidelines on how to ensure product compliance. KICH takes additional pride to be the First Indian Supplier of hardware for the furniture industries, that has succeeded to be the member of FIRA.

2.

ISO 9001:2000 Certification Besides being the 'First' to achieve the membership of FIRA, KICH is also the FIRST to acquire ISO 9001: 2000 certification for manufacturing and supply of Architectural Products to Domestic and International market. The certification is done by a prominent German Agency.

13

3.

INDIA ENGINEERING CENTRE - Chicago (U.S.A.): Proudly, KICH is the only company supplying Architectural Hardware Products selected to showcase its products at permanent display centre of India Engineering CentreChicago (U.S.A.).

4.

PRODUCT TESTING & CERTIFICATION: KICH is proud to have its various architectural products successfully tested and certified by world's leading organizations-Bodycote and Warrington APT lab against recognized mechanical and fire testing standards. Bodycote Testing Group is the world's largest and most respected provider of independent testing services, operating over 300 laboratories in 30 countries. The Group offers a very diverse range of material testing and advisory services to Construction sector and a wide range of industries i.e. Hospitality, Health care, Housing, Entertainment, Aerospace, Automotive etc. in the Europe, the Americas and the Middle East. Warringtonfire group is the world's leading independent fire testing, consultancy, research, fire engineering and Certification organization. It provides product testing in the field of Fire Protection convering comprehensive range of Architectural Hardware Products.

14

SIZE OF THE UNIT

Generally units can be classified in three groups on the basis of the investment in fixed assets. Units having investment of three crores of less than that in fixed assets is called small scale industry. Any unit having investment between three crores to five crores is called medium scale industry. Any unit having investment in fixed assets more than five crores is called large scale industry. KICH MARKETING PVT.LTD. is a medium scale industry as the investment in machinery is of four corers rupees.

15

FORMS OF THE ORGANIZATION

The following forms of organization carry on modern business. FORMS OF BUSINESS ORGANIZATION
______________________________________________________________ Private Enterprise Co-operative sector Public sector Sole Trade Co-operative Sector Government Dept. Partnership Co-operative Society Government Company Company Organization Statutory Corporation Private company Statutory Board Public Company

In India we have adopted the pattern of mixed economy where in we have two distinct sector private enterprise and public enterprise. Public enterprise means ownership and management of public and government i.e. Government Department, Semi Government etc. Private enterprise means ownership and management of control by individual of group of individual. PRIVATE ENTERPRISE Sole Trader Partnership Company Private Company KICH MARKETING PVT.LTD. is a private company.

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TIME KEEPING SYSTEM

Time keeping helps in keeping check over of obsentisium. It also helps in calculating wages and salary on the basis of attendance. Time keeping system helps in creating a discipline atmosphere by making employees regular at work. KICH MARKETING PVT.LTD. has a computerized punch card system. As the workers come they have punch the card so that time is noted. The card had all the details of the employees. For office employees 10:00 AM TO 7:30 PM (For marketing Department) 9:00 AM TO 7:00 PM (For Finance Department) One hour lunch break

For workers

8:30 AM TO 12:30 PM (First Shift) 2:00 PM TO 8:00 PM (Second Shift)

On Monday they are having a holiday what generally having in all industries.

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ORGANIZATIONAL STRUCTURE
The superior subordinate relationships are defined by organizational structure, which are formal documents that indicated the chain of command and the title that have been assigned to the managers and the other personnel. These structures indicate peoples location of positions in the hierarchy and their relationships within the formal organizations. They aid in determining which of the basic types of organizational authority structure a particular enterprise has adopted. Importance of organization can be related from few words said by richest man of one time is much? Take away my factories, land an all what I have but just leave my organization and in few years, I will be where I was. Organization is the process of so combining the work which individuals or groups have to perform with facilities necessary for its execution, that the duties so performed provided the best channels for efficient, systematic, positive and co ordination application of available efforts. With help of systematic organization of company can work more efficiently the organization makes the delegation of work so that the work becomes easier. It also makes the chain between the people. In this way everyone has to be relationship for the work. According to my observation line and staff organization is adopted. It means authority is in the hand of top level and responsibility rests with medium and lowers level. Authority flows from top to bottom and responsibility flows from bottom to top.

18

ORGANIZATION CHART
Managing Director Director

Marketing Department

Manufacturing Department Production Manager

Finance Department Accountant Head Assistant Accountant Staff

HR Department H.R. (Head)

MKT Manager ( H.O.) Marketing Admini. Staff

MKT Manager (Field head) Division Supervisor Regional Executive Employee

H.R. (Assistant)

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PLANT LOCATION
Every entrepreneur of a business unit must give full consideration to suitable location of this entrepreneur because location factors are crucial for profit maximization. An entrepreneur has to choose such type of location, which minimizes the company of production as well as distribution to a considerable extent. However actual choice of location is governed by. The location of unit is as under:-

KICH MARKETING PVT. LTD.

Yogeswar Main Rd, Atika, Dhebar rd. (south), Rajkot -2 GUJARAT, INDIA.

LAND

The company has acquired 30,000 sq. feet. Of land from industrial area (atika) Rajkot. And the land is more than adequate for proposed project. As the proposed project is in industrial area (atika) Rajkot location area all the infrastructure facilities such as power, water, communication service, roads etc. are easily available

NEARNESS TO MARKET

20

Nearness to the market is important for supplying goods to customers in a minimum period of time adjusting supply according to the changes in a demand and gaining control over the market. Nearness to the changes to the market reduces the costs of transportation finished goods to the market and enhances taking advantage of favorable prices and demand in the market. The producers survival capacity increases when the market is near the center of production. Rajkot city has many industries like Diesel Engines, Machine industries, etc. which offer ready existing market for companys products.

TRANSPORT FACILITIES

Transportation facilities with a good speed and capacity are needed for transporting laborers and establishing contacts in the market and controlling supply according to the changes in the demand. Rajkot is situated centrally in the Saurashtra region. Rajkot is well connected with almost major industrial cities by roads. For exports, KICH MARKETING PVT.LTD.trasport their product by road, by train, by air.
AVAILABILITY OF LABOUR

The importance of labour has not less ended in spite of mechanization. If the supply of laborers is not regular man hours and machine hours are lost. Surroundings the Rajkot region there are very large numbers of Diesel Engines, Machine Industries plants. So there is no depth of skilled and semi skilled workers.

21

THE PRODUCTION DEPARTMENT

PRODUCTION DEPARTMENT
22

SR. NO. 1. 2. 3. 4. 5. 6. 7. 8.

PARTICULARS

PAGE NO.

INTRODUCTION PRODUCTS PRODUCTION PROCESS PRODUCTION PLANNING RAW MATERIALS & ITS SOURCES STORAGE FACILITY RESERCH AND DEVELOPMENT QUALITY POLICY

INTRODUCTION
23

Production is the basic activity of all industrial units. Another activity revalue around this activity. The end product of the production activity is the creation of goods and services for the satisfaction of human wants. The production activity is nothing but the step-by-step conversion of one form of materials into another either chemically or mechanically. Production is considered as a heart of any company. Production involves the step-by-step conversion of one form of materials into another through chemical or mechanical processing to create or enhance the utility of the products. Production is the process by which goods and services are created.
INPUT PRODUCTION FUNCTION OUTPUT

MATERIAL LABOUR CAPITAL ENERGY INFORMATION RESOURCES

PRODUCTS SERVICES INFORMATION PRODUCT OR SERVICES

PRODUCTS

24

KICH MARKETING PVT.LTD. is producing architectural hardware product with a large variety. It manufacture closed die steel forged products as per the specifications in carbon, alloy and stainless steel and supply them in as treated, partially or fully machined condition. The products is a thing which is offered to the customers to satisfy their needs and wants product is most important and tangible component may raw materials for other company. The architectural hardware product of KICH MARKETING PVT.LTD. is raw material for residential, aviation, education, entertainment, healthcare, information technology, media publication. The products of the company are as follows.

Mortice Handles, Pull Handles, Door Hinges, Door Knobs, Cabinet Handles, Drawer & Cabinet Knobs, Mortice Locks & Pin Cylinders, Bathroom Accessories

Signages Escutcheons (Key Holes), Back Plates, Door Stopper, Floor & Wall Mounted Door Stops, Handrail &Balustrade System

The important factor of each and every industry is production process. It is a heart of any business in market. The

25

manufacturing involves machineries as well as manpower. The production is done on large scale. The layout of the plant has been designed in such a way so that all the manufacturing activities are under one roof. Such that the flow of material process at one stage automatically flows to next stage of processing thereby reducing manpower to handle the material from one place to another and avoid waiting time for the next process. Maintaining the quality standards through constant evaluation inspection and verification. KICH MARKETING PVT.LTD. also supplying architectural hardware product too many other companies with Mortice Handles, Pull Handles, Door Hinges, Door Knobs, Cabinet Handles, Drawer & Cabinet Knobs, Mortice Locks &Pin Cylinders, Signages, Escutcheons (Key Holes), Back Plates, Door Stopper, Floor & Wall Mounted Door Stops, Handrail &Balustrade System, Bathroom Accessories etc. in India and abroad.

Bathroom Accessories

26

Bathroom Accessories Products

Door Hardware Accessories

Mortice Handle

Pull Handle

Door Hardware

Furniture Fitting

Cabinet Handle

Drawer/Cabinet Knobs

Door Hinges

Handril and Bluster System

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Side Mounted Flat Side Bracket Railing Baluster System with System with Glass Glass

Top Mounted Round Baluster System with Glass

Door Concept Product

Floor Spring

Patch Fitting

Door Closer

Hydr. Hinges

Shower Higs.

Spider Fitting

Mortice Locks & Pin Cylinders

Door Hinges

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PRODUCTION PROCESS
For making any product the production department has to pass certain process like, to purchase raw materials and quality of raw materials as far as quality is concern KICH purchased high quality standard raw materials like AISI 316. The process of production is given as under: PULL HANDLE: Raw Materials AISI 316 STAINLESS STEEL

Cutting or Shaping Pipe Banding (Pipe or Bar Cutting)

Bush Fitting

Drilling, Screw fitting (Support to Bush) Buffing, Polishing, Design Logo Marking Packing So this is production process of pull handle. Now we look to cabinet handle process.
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CABINET HANDLE:

Raw Materials AISI 316 STAINLESS STEEL

Cutting or Shaping Road pressing Drilling process (Screw Fitting) Buffing (Satin & Glossy) Logo Marking Packing

So this is the production process of cabinet handle. After observing two process chart we can say that the different product needs some difference production process.

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PRODUCTION PLANNING

The objective of hating the manufacturing organization is to make products. Thus production is nucleus on the center of the entire business operations. Production planning comprises the planning. Routing, dispatching in the manufacturing process so that the movements of materials, performance of machines and operations of labour are directed and coordinated as to quality and time. Production planning is operation activity. It aims to make all necessary are arrangements so that the production targets as set in the production budget and master schedules are reached. According to Alford & Beatly, production planning is defined as The techniques of forecasting of picturing ahead every steep in along series of separate operations each step to be taken in the right place, of the right degree and at the right time and each operation to be done at the maximum efficiency.

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RAW MATERIALS & ITS SOURCES

The main raw materials for the manufacturing of architectural components consists of anti-corrosive high grade AISI 316 stainless steel while other manufacturers use 304 or 202 common steel grades. For the manufacturing purpose there are some other minerals uses like Carbon, Silicon, Manganese, Phosphorus, Sulphur, Chromium, Molybdenum (MOLY), and Nickel.

The company procures above mentioned raw materials from the various steel mills namely. JINDAL STEEL LTD. REAL STRIPE LTD.

METHOD OF PURCHASING There are some basic features of scientific purchasing of buying of raw materials namely: Right Quality Right Time Of Delivery Right Place Right Place Of Delivery Right Sources of Supply.

There are various methods of purchasing following by trader like forward purchasing in KICH MARKETING PVT.LTD. It is done on credit basis. The raw materials are mostly brought from India.
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STORAGE FACILITY
The storage of goods is connecting link between the shops of working places and production, control department materials parts work in progress etc. mover through the store just as money mover in to and out of the commercial banks. Principals functions of store are to act as a clearing house for goods being translated. KICH MARKETING PVT.LTD. have their own where house to storage the raw materials and finished goods. Storage facilities are available in the factories premises itself. MACHINERY: Machines uses in the factory are mainly obtained from India. KICH also use foreign machinery but they are not direct import from abroad but they are purchase by Indian distributor.

MANAGEMENT OF RESIDUE: In architectural product production there are not that much wastage produce after the whole process of production. As far as KICH is concern after the whole production process the wastage goes to resale

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RESEARCH AND DEVELOPMENT

Research is and activity, which is carried on for the further progress of the company. Due to research the new products are launched in the market. It is research because of which the customers enjoy a variety of products. In KICH MARKETING PVT.LTD. Research is done of the basis of drawing as per specification and they send it to the customer, if the customers give positive response then they produce or manufacture that type of product. Company has R&D division besides having in house Design Studio and Tool Room to innovative and Develop New Design Dies, Jigs & Fixtures. The industry is in continuous efforts to launch a new beneficial product for their customer. Their main objective is to find out recent market trend. So the target resonance for this research is retailed.

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QUALITY POLICY
KICH MARKETING PVT LTD. Is committed to Total Quality Management. Main focus of the company that excellence is linked with a total commitment to quality and service. KICH realize that success depends in reliability. And so KICH shall always endeavor to exceed your expectations.KICH believe that "Quality can not be defined, it can only be experienced" Example of Quality Things looking similar may be quite different inside!

As KICH products are manufactured only from the Highest Quality raw material with utmost meticulousness, a little higher cost is unavoidable, however considering:

High benefit/cost ratio. Lifetime trouble free functioning with zero maintenance cost Longer Life cycle cost analysis. Prompt Pre & After Sale services.

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THE MARKETING DEPARTMENT

36

MARKETING DEPARTMENT
SR. NO. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. PARTICULARS PAGE NO.

INTRODUCTION DEFINITION DEPARTMENT CHART MARKETING CONCEPT NEW PRODUCT DEVELOPMENT MARKET SEGMENT,TARGET,POSITION PRICING POLICY DISTRIBUTION CHANNEL ADVERTISEMENT MARKETING RESEARCH SYSTEM ESTEEMED CLIENT

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INTRODUCTION
Marketing means human activity that takes place in relation to market. Marketing means working with markets, which means attempting to ace to actualize potential exchange for the purpose of satisfying human needs and wants .Thus we turn to our definition of marketing as human activity directed at satisfying needs and wants through exchange processes. Exchange processes involve work. The seller has to search for buyers, identify their needs, design, appropriate them store and transport them negotiate, and so on. Such activities as product development, search, communication, distribution, pricing, and service, constitute core marketing activities. Although it is normal to think of marketing of the activities of seller buyers also carry out marketing activities. The housewife does her marketing that is, she search for the goods she needs at pries she is willing to pay. The purchasing agent who needs a commodity in short supply has to track down sellers and offer attractive terms. A sellers market is one in which the buyers is the more active marketer, and a buyer market is one in which the seller is the more active marketer In the early 1950s the growing supply of goods created a buyers market, and marketing became identify with sellers trying to find buyers.

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DEFINITION OF MARKETING

Marketing is a human activity directed at satisfying needs and wants through exchange process Marketing is the performance of business activities that direct the flow of goods and services from products to consumer or user Marketing is getting the right goods and services to the right people at the right place at the right time at the right price with the right communication and promotion Marketing as the process of the planning and executing pricing promotion and distribution of idea goods and services to create exchanges that satisfy individual and organization objectives. - American Marketing association

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DEPARTMENT CHART
The organization marketing department MARKETING PVT. LTD. is as follows: MARKETING DEPARTMENT chart of KICH

Marketing Manager (H.O.) Marketing Admini. Staff

Marketing Manager (Field Head) Regional Executive

The above marketing department chart shows the chain of activities of marketing in KICH MARKETING PVT.LTD. Thus they have line type of channel in marketing department in which authority flows top to bottom. The marketing task of the company has been fully handled with the help of expert.

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MARKETING CONCEPT
Competing concept of marketing 1) The production concept 2) The product concept 3) The selling concept 4) The marketing concept 5) The holistic marketing concept
1)

The production concept

The production concept is one of the oldest concepts in business. It holds that consumers will prefer the products that are widely available and inexpensive. Managers of production oriented business concentrate on achieving high production efficiency, low costs, and mass distribution. This orientation makes sense in developing countries such as china where the largest PC manufacturer, Legend and domestic appliances giants Haier take advantage of the countrys huge inexpensive labor pool to dominate the market. It is also used when a company wants to expand the market. 2) The product concept. The product concept holds that consumers will favor those products that offer the most quality, performance, or innovative features, Managers in these organizations focus on making superior products and improving them over time. However, these managers are sometime caught up in a love affair with their products. They might commit the Better mousetrape.fallacy, believing that a better mousetrap will lead people to beat a path to their door. A new or improved product will not necessarily be successful unless the product is priced, advertised, and sold properly.

41

3) The selling concept. The selling concept holds that consumers and busineses, if left alone, will ordinarily not buy enough of the organizations products. The organization must, therefore, undertake an aggressive selling and promotion effort. The selling concept is epitomized in the thinking of Sergio zyman, cocacolas former vice president of marketing: The purpose of marketing is to sell more stuff to more people more often for money in order to make profit. 4) The marketing concept. The marketing concept emerged in the mid-1950s. Instead of a product-centered, make-and sell philosophy, business shifted to a customer-centered, sense-and-respond philosophy. Instead of hunting, marketing is gardening. The job is not to find the right customers for your products, but the right products for your customers. The marketing concept holds that the key to achieving organizational goal consist of the company being more effective than competitors in creating, delivering, and communicating superior customer value to its chosen target markets. 5) The holistic concept The holistic concept is based on development, design, and implementation of marketing programes, processes, and activities that recognizes their breath and interdependencies. Holistic marketing recognizes that everything matters with marketing and that a broad, integrated perspective is often necessary. Four components of holistic marketing are relationship marketing, integrated marketing, internal marketing, and social responsibility marketing.

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MARKET SEGMENTATION
SEGMENTING
Market segmentation is one of the steps that go into defining and targeting specific markets. It is the process of dividing a market into a distinct group of buyers that require different products or marketing mixes. A key factor to success in today's market place is finding subtle differences to give a business the marketing edge. Businesses that target specialty markets will promote its products and services more effectively than a business aiming at the "average" customer. Opportunities in marketing increase when segmented groups of clients and customers with varying needs and wants are recognized. Markets can be segmented or targeted using a variety of factor. Market can be segmented in to four categories, which is given as under: Demographical bases (age, family size, life cycle, occupation) Geographical bases (states, regions, countries. cities,neighbourhoods) Behavior bases (product knowledge, usage, attitudes, responses) Psychographic bases (lifestyle, values, personality. user status, usage rate)

The product of the company is architectural, so the company has segmented its market in above four category the total market has been divided into two zones. Marketing in Gujrat,M.P.,U.P,Rajsthan & North India by KICH MARKETING PVT.LTD. Marketing in Maharashtra,Goa,South & East India by NEKI Corporation.

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TARGETING
Targeting is the second stage of the segment "Target" position (STP) process. After the market has been separated into its segments, the marketer will select a segment or series of segments and 'target' it/them. Resources and effort will be targeted at the Single Level With Single Product The first is the single segment with a single product. In other word, the marketer targets a single product offering at a single segment in a market with many segments. For example, British Airway's Concorde is a high value product aimed specifically at business people and tourists willing to pay more for speed. One Product For All Segment Secondly the marketer could ignore the differences in the segments, and choose to aim a single product at all segments i.e. the whole market. This is typical in 'mass marketing' or where differentiation is less important than cost. An example of this is the approach taken by budget airlines. Multi Segment Approach Finally there is a multi-segment approach. Here a marketer will target a variety of different segments with a series of differentiated products. This is typical in the motor industry. Here there are a variety of products such as diesel, four-wheel-drive, sports saloons, and so on.

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POSITIONING
The third and final part of the SEGMENT - TARGET POSITION (STP) process is 'positioning.' Positioning is undoubtedly one of the simplest and most useful tools to marketers. After segmenting a market and then targeting a consumer, you would proceed to position a product within that market. Remember this important point. Positioning is all about 'perception'. As perception differs from person to person, so do the results of the positioning map e.g. what you perceive as quality, value for money, etc, is different to my perception. However, there will be similarities. Products or services are 'mapped' together on a 'positioning map'. This allows them to be compared and contrasted in relation to each other. This is the main strength of this tool. Marketers decide upon a competitive position which enables them to distinguish their own products from the offerings of their competition (hence the term positioning strategy). The term 'positioning' refers to the consumer's perception of a product or service in relation to its competitors. You need to ask yourself, what is the position of the product in the mind of the consumer? Trout and Ries suggest a six-step question framework for successful positioning: 1. What position do you currently own? 2. What position do you want to own? 3. Whom you have to defeat to own the position you want. 4. Do you have the resources to do it? 5. Can you persist until you get there? 6. Are your tactics supporting the positioning objective you set?

PRICING POLICY
45

Pricing policy and setting the price are the most important aspect of marketing mix. A company has to set up its price policy considering various factors such as demand, competition etc. but the most important factor affecting pricing is the supply of the raw material price. In fact it is the source of revenue, which the firm seeks to maximize. Again, it is the most important device which a firm can use to expand its market. Every company has its own pricing policy. During the determine the of the product price at that time you have to consider the following point. Determine primary and secondary market segments. Assess the product's availability and near substitutes Survey the market for competitive and similar products Examine market pricing and economics Calculate the internal cost structure and understand how pricing interacts with the offering. Test different price points if possible. Monitor the market and your competition continually to reassess pricing. There are various methods of determine pricing they are: Cost plus pricing method Marginal pricing method Going rate pricing method Customary pricing method So this is the various methods of determining pricing out of various methods KICH MARKETING PVT.LTD. uses cost plus pricing method

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DISTRIBUTION CHANNEL
Channel of distribution indicates the routes of path and was trough which goods or services flow and reach to customers. Distribution channel means the set marketing activities related to the movement or flow of goods and services from the primary produces to the ultimate consumer. The producer and the final customer are part of every channel. We will use the number of intermediary levels to designate the length of a channel.

ADVERTISING
47

Advertising is a form of mass communication. The marketing has been defined as any paid form of non personal presentation and promotion of ideas, goods and services by an identified sponsor. Population of product is the basic aim of the advertising activity Before the advertise the question arise in everybody mind that why we are advertise? Why advertise?
The following may be good reasons why a business is advertising:

To create awareness, customer interest or desire To boost sales (moving the demand curve to the right) To build brand loyalty (or to maintain it at the existing level) To launch a new product To change customer attitudes perhaps trying to move a product more upmarket or to dispel some widely held perceptions about the product To support the activities of the distribution channel (e.g. supporting a pull strategy) To build the company or brand image To reminds and reassure customers To offset competitor advertising businesses may defend market share by responding to competitors campaigns with their own advertising

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 To boost public standing: companies can boost their public standing with advertisements that link them with generally approved campaigns such as care for the environment To support the sales force advertising can make the job of the sales force easier and more effective by attracting leads from potential customers and perhaps motivate them by boosting the profile of the business

Advertising- media There is a huge variety of media available through which a business can conduct an advertising campaign. What are the main types of media and what considerations should a business make in choosing between them? Before committing an advertising budget it is necessary to carry out marketing research on: - Potential customers - Their reading habits, television-watching habits - How many times the advertisers wish the potential customers to see an advertisement - How great a percentage of the market they wish to reach, etc.

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These elements all need to be considered and balanced to plan a campaign that will effectively reach its target audience at a reasonable cost. A useful distinction can be made between published media and visual/aural media. Published media include: National newspaper Sunday newspaper Local and regional newspaper Consumer magazine Specialist magazine Trade and professional press Internet Visual and aural media include: Television Radio Cinema Bill board Transport Direct mailing

As far as advertising is concern KICH MARKETING PVT.LTD.advertise their product both way through published media and visual and aural. In terms of published media local newspaper, customer magazine, Specialist magazine while through aural media they are use only direct mailing.

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NEW PRODUCT DEVELOPMENT

A company can add new products through acquisition or development. The acquisition route can take three forms. The company can buy other companies, it can acquire patents from other companies, or it can buy a license or franchise from another companies. Swiss food giant Nestle increased its presence in North America via its acquisition of such diverse brands as carnation, hills brothers, Stouffers, Ralston Purina, dreyers ice cream, and chef America The development route can take two forms. The company can develop new products in its own laboratories, or it can contact with independent researchers or new product development firms to develop specific new products.

Following six categories of new products identify:

1) 2) 3)

4)

5) 6)

New-to-the-world products: - New product that create an entirely new market. New product lines: - New product that allowed a company to enter an established market for the first time. Additions to existing product lines:- New product that supplement established product lines (package sizes, flavors, and so on). Improvement and revisions of existing products:- New products that provide improved performance or greater perceived value and replace existing products. Repositioning: - Existing products that are targeted to new market or market segments. Cost reductions: - New product that provide similar performance at lower cost.

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New product development decision process Idea generation Idea screening Concept development and testing Marketing strategy development Business analysis Product development Market testing Commercialization For the purpose new product development KICH have their own product design studio and tool room to innovate and develop new design dies, jigs & fixtures.

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PRODUCT LIFE CYCLE

A new product progresses through a sequence of stages from introduction to growth, maturity, and decline. This sequence is known as the product life cycle and is associated with changes in the marketing situation, thus impacting the marketing strategy and the marketing mix. The product revenue and profits can be plotted as a function of the life-cycle stages as shown in the graph below:
Product Life Cycle Diagram

Introduction Stage In the introduction stage, the firm seeks to build product awareness and develop a market for the product. The impact on the marketing mix is as follows:

Product branding and quality level is established and intellectual property protection such as patents and trademarks are obtained. Pricing may be low penetration pricing to build market share rapidly, or high skim pricing to recover development costs.

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Distribution is selective until consumers show acceptance of the product. Promotion is aimed at innovators and early adopters. Marketing communications seeks to build product awareness and to educate potential consumers about the product.

Growth Stage In the growth stage, the firm seeks to build brand preference and increase market share.

Product quality is maintained and additional features and support services may be added. Pricing is maintained as the firm enjoys increasing demand with little competition. Distribution channels are added as demand increases and customers accept the product. Promotion is aimed at a broader audience.

Maturity Stage At maturity, the strong growth in sales diminishes. Competition may appear with similar products. The primary objective at this point is to defend market share while maximizing profit.

Product features may be enhanced to differentiate the product from that of competitors. Pricing may be lower because of the new competition. Distribution becomes more intensive and incentives may be offered to encourage preference over competing products. Promotion emphasizes product differentiation.

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Decline Stage As sales decline, the firm has several options:

Maintain the product, possibly rejuvenating it by adding new features and finding new uses. Harvest the product - reduce costs and continue to offer it, possibly to a loyal niche segment. Discontinue the product, liquidating remaining inventory or selling it to another firm that is willing to continue the product.

So these are the various stages of product life cycle every company have to pass one by one stage. KICH MARKETING PVT.LTD.is now growth stage

MARKETING RESEARCH
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Marketing research as the systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company. Marketing research is now about a $16.5 billion industry globally, according to ESOMAR, the world association of opinion and market research professionals. A company can obtain marketing research in a number of ways. Most large companies have their own marketing research departments, which often play crucial roles within the organization. Marketing research is not limited to large companies with big budgets and marketing research departments. At much smaller companies, marketing research is often carried out by everyone in the company and by customers, too. Companies normally budget marketing research at 1 to 2 percent of company sales. A large percentage of that is spent on the service of outside firms.

The Marketing research Process.

1. Define the problem. Never conduct research for things that you would 'like' to know. Make sure that you really 'need' to know something. The problem then becomes the focus of the research. For example, why are sales falling in particular region? 2. How will you collect the data that you will analyze to solve your problem? Do we conduct a telephone survey, or do we arrange a focus group? The methods of data collection will be discussed in more detail later. 3. Select a sampling method. Do we us a random sample, stratified sample, or cluster sample? 4. How will we analyze any data collected? What software will we use? What degree of accuracy is required? 5. Decide upon a budget and a timeframe.
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6. Go back and speak to the managers or clients requesting the research. Make sure that you agree on the problem! If you gain approval, then move on to step seven. 7. Go ahead and collect the data. 7. Conduct the analysis of the data. 8. Check for errors. It is not uncommon to find errors in sampling, data collection method, or analytic mistakes. 9. Write your final report. This will contain charts, tables, and diagrams that will communicate the results of the research, and hopefully lead to a solution to your problem. Watch out for errors in interpretation.

Sources of Data - Primary and Secondary

There are two main sources of data - primary and secondary. Primary research is conducted from scratch. It is original and collected to solve the problem in hand. Secondary research, also known as desk research, already exists since it has been collected for other purposes. Primary - Marketing Research. Primary marketing research is collected for the first time. It is original and collected for a specific purpose, or to solve a specific problem. It is expensive, and time consuming, but is more focused than secondary research. There are many ways to conduct primary research. We consider some of them: 1. Interviews 2. Mystery shopping 3. Focus groups 4. Projective techniques 5. Product tests
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6. Diaries 7. Omnibus Studies Secondary - Marketing Research. Secondary marketing research, or desk research, already exist in one form or another. It is relatively cheap, and can be conducted quite quickly .However, it tends to have been collected for reasons other than for the problem or objective at hand. So it may be untargeted, and difficult to use to make comparisons (e.g. financial data gather on Australian pensions will be different to data on Italian pensions). There are a number of such sources available to the marketer, and the following are ways of secondary market research. 1. Trade associations 2. National and local press Industry magazines 3. National/international governments 4. Websites 5. Informal contacts 6. Trade directories 7. Published company accounts 8. Business libraries 9. Professional institutes and organizations 10. Omnibus surveys 11. Previously gathered marketing research 12. Census data 13. Public records

ESTEEMED CLIENT

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59

THE PERSONNEL DEPARTMENT

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PERSONNEL DEPARTMENT
SR. NO. 1 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. PARTICULRS INTRODUCTION ORGANISATION OF PERSONNERL DEPARTMENT FUNCTION OF PERSONNEL MANAGEMENT MANPOWER PLANNING RECRUITMENT SELECTION TRAINNING & DEVELOPMENT JOB DESCRIPTION PROMOTION WAGE & SALARY ADMINISTRATION BENEFITS & SERVICES PERFORMANCE APPRISAL TRADE UNIOUS PROVIDENT FUND SCHEME PAGE NO.

INTRODUCTION
The success or failure of an organization depends on materials, machines and equipment but on the efficiency of the personnel to put their best efforts for an efficient performance of their job. To achieve the basic objective of an organization, efficient and effective use of the people at work is essential.
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Personnel management is the general management of people at work. Personnel management is a function of the general management with the objective of ensuring that every employee makes his fullest contribution to the achievement of the objective of business. The objective of personnel management is to achieve maximum individual development, desirable work atmosphere and interpersonal relations. This essence of personnel management is the understanding of people at work and or the basic of these knowledge formulating personnel policies of the enterprise. The management of men is challenging task because of the dynamic nature of the people. NO two people are similar in mental abilities, traditions, sentiments and behavior. Personnel management in that part of the management which is primarily concerned with the human relationships within an organization. The personnel function is concerned with the procurement, development, compensation, integration and maintenance of the personnel for the purpose of contributing towards accomplishment of that organization major goal of objectives. The success of the business depends on the brains. Personnel in the company. The company should have efficient and sufficient manpower that have the path towards success.

ORGANIZATION OF PERSONNEL DEPARTMENT

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An organization is a group of individuals who coordinate into different levels of authority and segments of specifications for the purpose of achieving the goals and objectives of the organization. The organization is the process of identifying and for up the work to be performed, defining and delegating responsibility and authority and establishing relationship for the purpose of enabling people to work most effectively together in establishing of objectives. The internal organization structure of personnel

department varies widely in different, companies depending upon their size. As in small companies personnel functions are discharged but in large company where personnel activities are generally of a complex nature separate department is organized for the purpose.

FUNCTIONS OF PERSONNEL MANAGEMEMNT

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Function of Personnel Management

Managerial Function

Operational function

Planning Organizing Directing Controlling

Procurement of Personnel Development of Personnel Compensation to Personnel Employees Benefit Maintains Industrial Relation Record Keeping Personnel Planning Evaluation

MANPOWER PLANNING OR HUMAN RESOURCES PLANNING

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Manpower planning means developing and determining objective policies and programs to Develop and utilize the existing manpower in the desired direction to achieve organizational objectives i.e. appointing right man on the right job at the right time. An executive manpower planning programmed can be defined as an appraisal of an organizations ability to perpetuate itself with respect to its management as a determination of measures necessary to provide the essential executive talent.

There are generally two types of HRP SHORT TERM HUMAN RESOURCES PLANNING LONG TERM HUMAN RESOURCES PLANNING SHORT TERM HRP Short term HRP is made for short period, say for one year. Short term plans are concerned with specific projects and programmers existing personnel can hardly match completely the requirement of a job. Thus in short term manpower planning, the basic problem is to match the existing individuals and filling current vacancies as a best one can do with available manpower.

LONG TERM HRP Long term HRP is made for long period, say for five to six years. An organization has flexible of matching its human

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resources and jobs by taking action which have long run inspect i.e. recruiting employees.

Doing this thing does in KICH MARKETING PVT. LTD. Manpower planning in a very systematic way they utilize human resources as max possible way. Company has also three and six months probation period.

RECRUITMENT

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Once the manpower requirement has been determined recruitment is the next logical step in staffing process. Recruitment is the process of identifying the sources for prospective candidates and to stimulate them to apply for the jobs. Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the organization. TWO SOURCES OF RECRUITMENT Internal sources:Internal source include personnel already on the pay roll of the organization. Whenever any vacancy arises, somebody from within the organization may be looked into. External source:External sources of recruitment refer to prospective candidates outside the enterprise. They usually include new entrants to the labour force the unemployed and people in other organization seeking a charge. KICH MARKETING PVT.LTD. Fills up its vacancies through promotion of people available in the organization and through the selection of people from outside that is through advertisement in newspaper, through job fair,colleges,placement agency, advertisement, through website like Naukari.com,Timesjob.com

SELECTION
Selection is the second step in the process of procurement of people. It is the process of choosing the individual

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who possesses the necessary skills, abilities and personality to successfully fill specific job as in the organization. It is a negative process then recruitment because a person either gets a job or not. Selection is the process of choosing best alternative out of number of alternative. In KICH MARKETING PVT.LTD. selection procedure is undertaken in following way. 1. SCREEING APPLICANTS First of all personnel manager will check all the information contained application from the concern in order to ensure that whether it meets the standards or not. If it meets then the suitable candidate is called for the further selection process that is interview. 2. INTERVIEW Here an effort is made by the personnel manager to get overall information of the candidate like candidate work experience, candidate further planning etc.

3. APPROVAL On the basis of above steps suitable candidate is selected and are asked to be present on specified date. Procedure for Personnel Selection
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A. Scrutiny of Application form B. Preliminary Interview C. Application Blank D. Employment Tests a. Trade test b. Psychological i. ii. iii. iv. v. vi. Aptitude test Intelligence test Interest test Knowledge test Projective test Personality test

E. Employment interviews F. Reference Check G. Medical Examination H. Final Selection

TRAINING AND DEVELOPMENT

Training is short term process utilizing a systematic and organized procedure by which non managerial personnel learn technical knowledge and skills for definite purpose. Development is a long term education process utilizing a systematic and organized

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procedure by which managerial personnel can learn conceptual and theoretical knowledge for general purpose. Training is the act of increasing the knowledge and skills of an employee for dong particular job. By training the employees acquire new manipulating skills, technical knowledge etc, Thus increasing the knowledge and skills of the employee for better performance on job. In KICH MARKETING PVT.LTD. Training is given in two ways, which are as under: On the job training method Off the job training method In KICH MARKETING PVT.LTD. Training is given to every one including to management because they understand that training is must for the employees that in new or old. Company organized 7 days orientation programme and on the job training for office employees. For new and old employees on the job training is also given. To improve production skill regular lecture also taken by the management and also outside guest lecture arranged by the management.

JOB DESCRIPTION
Job Description is an important document, which provided organizational information, and functional information like location, structure, and authority, what the work is etc, job

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description is necessary of employee after the employment of one candidate. A Job Description enables the manager to frame suitable questions to be asked during an interview. Job Description also helps Top Executives especially when they jointly discuss one anothers responsibilities over lapping and conclusion of the duty and responsibility descriptions. A Job Description becomes a vehicle for organization to change and improvement. The information covers Working conditions Nature of job About superior when he get order and guidance. About subordinates to whom he has to control. Job Description is present in KICH MARKETING PVT.LTD. Where by the heads of various departments and the clerks are smart and intelligent enough to know and learn the work and experience also.

PROMOTION

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Promotion is the advancement of an employee to better in terms of responsibilities more prestige or starts, greater skill, higher grade and salary and increased privileges also. Promotion involves a change from one job to another that is better in terms of status and responsibilities. THERE ARE TWO TYPES OF PROMOTION JOB PROMOTION: - In terms of placement at higher level. PAY PROMOTION: - In terms of increase in salary.
THERE ARE TWO BASES ON WHICH PROMOTION IS GIVEN

ON THE BASES OF SENIORITY. ON THE BASES OF MERITS. In KICH MARKETING PVT.LTD. Promotion is given on the basis of performance. Company considering attitude towards the work and their higher authority, Behaviour during the work, communication skill, convincing power, innovative skill. The manager takes all promotion decision. First ask for all reports of the employees from the personnel department. After that they analyze that reports and make decision that will be promoted and also fixation of authority and responsibilities. And than promotion letter is send to the employee, departmental head and the personnel department.

WAGE AND SALARY ADMINISTRATION

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Wages are the payments made to the employees as compensation for the services rendered by them to an enterprise. Wage and Salary administration is essentially the application of a systematic approach to the problem of ensuring those employees are paid in logical, equitable and fair manner. A Wage is the remuneration. It refers to the hourly paid for the service of labour in production, periodically to an employee of workers. Salary refers top the weekly of monthly rates paid to clerical administrative and professional employee. Wage and Salary Administration refers to the establishment and implementation of sound policies and practices of employees compensation. The basic purpose of Wage and Salary administration is to establish and maintain and equitable Wage and Salary structure. In KICH MARKETING PVT.LTD. Organization managerial staff gets a monetary salary of more than Rs. 4000.per month. Moreover the operative laborer also gets a monetary Salary of Rs. 105 per day. (Unskilled worker).Company gives the salary on the basis of skill.

BENEFITS AND SERVICES

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BENEFITS: Generally the companies provide benefits in two terms that is monetary and non-monetary. Those benefit which are supplied by an employer for the benefits of an employee and which are not in the form of wages, salary and time rated payments. KICH MARKETING PVT.LTD. Is also providing benefit schemes to their employees, which are listed below. OVER TIME BENEFITS If the employees produce more than the target production then they get extra benefits. TRAVELLING ALLOWANCE Generally, company does not providing traveling facilities to their office staff and labour.But as far as marketing department is Concern Company provide vehicles on the basis of performance. (Like car, bike and moped) UNIFORM FACILITY The company is providing uniform facility to the employees. Various departments have various dresses. like office staff and production department.

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 SAFETY MEASURES FACILITY Company provides gloves, goggles, apron, industrial safety shoes, ear ask etc. to the employees so that physically they are protected while working in the factory. CANTEEN FACILITY The company is providing basic canteen facilities to all the employees at regular interval. MEDICAL SERVICES The company provides medical service like aid to the employees. In serious cases they are taken to the hospital. Company also organized medical check up camp for employee.

PERFORMANCE APPRAISAL
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Employee appraisal is an important to manpower development because it reveals strengths and weaknesses of an employee and a development plant can be prepared for each employee. Development of a person based on appraisal of his performance leads to improved job performance. The appraised employee can qualify himself for higher responsibilities, more rewarding assignment and promotion. Performance appraisal is systematic evaluation of eh individual with respect to his performance on the job and his potential for development. The immediate superior in charge of such performance appraisal. The managerial appraisal should measure both performances in achieving goals and plan as well as performance as employee in all managerial function such as planning, directing, controlling, organizing and leading, The main purpose of performance appraisal is: Evaluation of performance of work assigned. Determining suitability for promotion or transfer, Make employee aware of their key performance area. In KICH MARKETING PVT.LTD. The performance appraisal is done on the base of work and quality of the work and time taken for the work. KICH MARKETING PVT.LTD. First established the standards for the performance for example 10 units produced per hours than that is the standard and the appraisal is done how many unit is produced in how much time and what is the quality is there.

PROVIDENT FUND SCHEME

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PF scheme is a king of saving. Any company having more that 50 employees can join this scheme. This is statutory scheme meant for welfare of the employees. In India it was started in 1962 and applied in all the industry. It is necessary for every company to give PF scheme to its permanent employees. The company is providing Provident Fund Schemes to their permanent employees. In practice the company cuts 12% from their (employees) basic salary and they (owner) add the same amount and the amount are credited to the respective employees account.

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THE FINANCE DEPARTMENT

FINANCE DEPARTMENT
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NO.

PARTICULARS
INTRODUCTION FINANCIAL PLANNING CAPITAL BUDGETING MANAGEMENT OF FIXED ASSETS MANAGEMENT OF WORKING CAPITAL ACCOUTING POLICIES MANAGEMENT OF RECIVABLES RATIO ANALYSIS TREND IN LAST FIVE YEARS

PAGE NO.

1. 2. 3. 4. 5. 6. 7. 8. 9.

INTRODUCTION

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Finance is lifeblood of business economy. It provides basis to all business activities. Without finance neither any business can be started nor successfully run. Provision of sufficient funds at the required time is the key success of a business. The term finance can be defined as the management of the flows of money through an organization, whether it will be a corporation, school, bank or government agency. Finance may be defined as that administrative area or set of administrative function in an which relate with the arrangement of cash and credit so that the organization may have the means to carry out its objectives as satisfactory as possible. Finance department provides Bass for the company. No company can run without sufficient finance. Finance is the essence of any business, it is known as A life blood of a business. Finance is required not only at the time of establishment but also at the time of expansion, modernization, diversification and replacement of assets. Every company should be able to manage its finance efficiently and then only a company can prosper. Financial Management includes the activities of raising funds proper utilization of funds deciding up on the terms and conditions, period of borrowings. Financial management is that managerial activity which is concerned with planning and controlling of the firms financial resources. We cannot imagine a business without finance because it is the control point of al activities.

FINANCIAL PLANNING

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Finance is like lubricating all to any firm and planning is the key to the success of financial manager. Financial planning is the act of deciding in advance the quantity of capital required and its form. No business whether small or large, can be successful until and unless it prepare sound financial plan. The planning process is an internal part of the job of financial manager. If the planning is prepared carefully and accurately than the company is found to get success in its field. In brief, to plan, judge and provide for future cash inflow and cash outflow is the financial planning. Planning is deciding in advance what is to be done, that is a plan is a projected course of action. Financial planning pertains only to the function of finance and includes the determination of the firms financial objectives financial policies and financial procedures. Financial planning is necessary for the smooth running of the business. KICH MARKETING PVT. LTD. Financial mangers make financial planning according to the eager of sale of requirement and divided in two ways. Long term financial planning Short term financial planning Long term mainly concern with long term project purchase of machine, building, land and furniture etc. short term mainly concern to day to day functions etc. i.e. working planning.

KICH MARKETING PVT.LTD. has framed a very promising financial plan prepared in light of future trends. KICH MARKETING PVT.LTD. has considered following critical elements.
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I. II. III. IV. V. VI. VII. VIII. IX.

Financial Pattern and Condition Assents position and technological changes Earning capacity and market condition Policy for administration of capital Advance programming for financial resources Capacity to generate internal funds Position of financial control system Capital market analysis Prospects of growth and allocation for contingencies

CAPITAL BUDGETING

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Capital budgeting decisions pertain to fixed long term assets which by definition refer to assess which are in operation and yields a return, over a period of time usually exceeding 1 year. The objective of capital budgeting is to rank various investments opportunities according to the prospective earnings they will yields. The most important aspects of capital budgeting process are identification, evaluation, authorization and control. The effect of investment decision extend in to the future and have to be endured for a longer period than the consequences of the current operating expenditure thus budgeting decisions are the most important decisions. KICH MARKETING PVT.LTD. would compare the expenses of the previous before budgeting and then calculates capital budget.

MANAGEMENT OF FIXED ASSETS

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The management of fixed assets rewards to the purpose of management of fixed assets for more utilization. There are some fixed assets in the business. Fixed assets are the permanent investment done by the company. There should be a systematic utilization of this asset it depends up on the management how efficiently the fixed assets are managed for the interest of a business. This assess cannot be converted in to cash very easily. There is a risk in value of fixed assets because of their long life. Fixed assets can be divided into two parts that is: Tangible Assets Building, Plants, Machineries etc. Intangible Assets Goodwill, Patents etc.

MANAGEMENT OF WORKING CAPITAL

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Working capital indicates circular of flow of cash (cash flow cycle) i.e. a short of a revolving fund starting with cash used to pay for the raw materials, labour and operating expenses and when finished products are ready for sale, the cash is recovered through sale of these goods (on cash or on credit). Thus, we have a circular cash flow from cash to inventories to receivables and back to cash. There are two concepts of working capital. NET WORKING CAPITAL: - It represents the excess of total current assets over total current liabilities. It is quantitative concept indicating the soundness of current financial position. GROSS WORKING CAPITAL: - It is equal to the sum of current assets only and it may represent both owned capital as well as own capital. The concept of gross capital is a financial concept whereas that of net concepts is an accounting concept. Working capital management is concerned with the problems the arise in attempting to manage the current assets, the current liabilities and interrelationship that exists between them. The goal of working capital management is to manage the firms current assets and liabilities in such a way that a satisfactory level of working capital is maintained. The interaction between currents assets and current liabilities is the main theme of working capital management. Net Working Capital = Current Assets Current Liabilities Sales Total Current Assets 31-03-2006

Working Capital Turnover Ratio =

PARTICUALRS 31-03-2007 Inventories Sundry Debtors Cash & Bank

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MANAGEMENT OF RECEIVABLES
The term Receivables is defined as debt. Owned to the firm by customers revising from sale of goods or services in the ordinary course of business. When firm sales well on credit it creates account receivables management is caused trade credit management. Receivables are considered as an essential marketing too, acting as a bridge for the movement of goods through production and distribution stages to customer. Receivables or book debt has two characteristics. It involves an element of risks It is based on economic value i.e. goods and services passed on to buyer have economic value and cash will be received in future by seller. The financial management, in managing the receivables is concerned with maintaining the receivables at the optimum level and reviews the credit policy and procedure accordingly. Debtors Turnover Ratio = Total Sales Debtors

RATIO ANALYSIS
A ratio is an arithmetical relationship between two figures Financial Ratio analysis is a study of ratios between various

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items of group of items in Financial Statement. Ratio is classified from different point of view as under. On the Basis of Financial Statement A. P & L account B. Balance Sheet Ratio C. Combine Ratio View Point of Management A. Profitability Ratio B. Activity or Turnover Ratio C. Financial Ratio Liquidity Ratio Position Ratio Leverage Ratio In KICH MARKETING PVT. LTD. Prepared ratio on basis of management view point. GROSS PROFIT RATIO The gross profit ratio reflects the efficiency with which management products both unit of product. This ratio indicated the average spread between the cost of goods sold and revenue. It shows the percentage by which the selling price can fall and the percentage by which costs of goods sold can increases before gross profits can be nullified. The ratio of gross profit of KICH MARKETING PVT. LTD. is as under.

Gross Profit Ratio

Gross Profit Sales

100

NET PROFIT RATIO

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Net Profit Ratio established a relationship between net profit and sales and indicated management efficiency in manufacturing administering g and selling the product. This is the over all measure of the firms ability to turn each rupee sales in to net profit. This ratio indicates the firms capacity to which stands adverse economic conditions. The Net Profit Ratio of KICH MARKETING PVT. LTD. is as under. Net Profit Ratio = Net Profit 100 Sales

CURRENT RATIO An important test by which the financial health of a company can with reasonable reliability be judge in the concept of current ratio. The current ratio, a very popular financial ratio, measures the ability of the firm to meet its current liabilities; current assets get converted into cash in the operational cycles of the firm and provide the funds needed to pay current liabilities. The current ratio of the. is KICH MARKETING PVT. LTD calculated as under. Current Ratio = Current Assets Current Liabilities

LIQUID RATIO The ratio is also known as Quick Ratio or Acid Test Ratio. This ratio established a relationship between quick or liquid assets and current liabilities. An asset is liquid if it can be converted in to cash immediately or reasonably soon of value. Cash is the most liquid assets. This ratio indicated how for the company should have enough resources to pay current obligation on demand. The liquid ratio of KICH MARKETING PVT.LTD. is as under. Liquid Ratio = Liquid Assets
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Liquid Liabilities

TREND IN LAST FIVE YEARS

PROFIT YEAR 2002-2003 2003-2004 2004-2005 2005-2006 2006-2007 PROFIT

SALES YEAR 2002-2003 2003-2004 2004-2005 2005-2006 2006-2007 SALES

FUTURE PLANS
Since the company has started its journey 16 years ago but still business through modification, diversification and development. Future plan is very much essentials for the success of business unit course of action to achieve the specific goal.
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Company is going to established big plant in vavdi village Rajkot for the purpose of meet the customer demand and production. The company is trying to make continue expansion in international market and to serve new innovative product to the world.

SUGGESTIONS
The production capacity should be utilized 100% They should advertise more, so that sales of the company can increases than present.

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 Company has to take part in trade fair for the purpose of advertise and brand awareness. The spaces among the machines is less so the chances of accident very high.

To provide sound proof instrument for the production department employee like ear mask.

The department of production is separate so sometimes co operation among the department is lacking. To arrange parking facilities for outside people. Wastage of the production process is pure steel so company should think about reproduction in company own units.

CONCLUSION
India is a developing country and it has adopting free economy. So it is an opportunity for every domestic company to

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upgrade its technology and other process in order to stand in modern market, which has cut throat competition. KICH MARKETING PVT.LTD. Has also taken the opportunities of free economy and company takes opportunity in architectural product market. KICH MARKETING PVT.LTD. was not started on very high basis but due to the efforts of the executives and directors it has earned a good reputation in the industrial level. It earns valuable foreign exchange for India through its exports and has maintained good relation with outsiders and employees. Here the best and efficient employees are appointed so that effective results can be achieved. I would like to give my best wishes to company so that they may doing splendid success and a glorious achievement in nearest future.

BIBLIOGRAPHY
Website :- www.kichindia.com Marketing Department :- Philip Kotler

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Personnel Department :- Mr. M.M. Verma & R.K. Agrawals Production Department :- Mr. M.M. Verma & R.K. Agrawals Finance Department :- Sherlekar & Sherlekar

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