Project On Ginza Industries Surat

Ginza Industries Ltd.
CH-1- INDUSTRY PROFILE.
Navnirman Institute Of Management.
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1.1 INTRODUCTION: Indias Garment Industry is a well-organized enterprise and is
among the best in the world. It constitutes of designers, manufacturers, exporters, suppliers, stockiest, and wholesalers. Indian Garment Industry has carved out a niche in the global markets and earned a reputation for its durability, quality and beauty. Todays changing consumer preferences buying branded apparel and fashion accessories, major boom in retail industry, people shopping at department and discount stores, shopping malls, with rising disposable incomes, government policy focused on fasttrack textile export growth, and ambitious goals have created several investment opportunities in India.
Government has even made effort to include benefits for Garment
Industry. The annual plan for 2007-08 formulated by Indian government to promote the textile sector, includes schemes for attracting foreign direct investments, brand promotion through public-private partnership (PPP) for global acceptance of Indian brands, trade centres for facilitating business and image building, fashion hubs as a stable marketplace for Indian fashion, common compliance code for creating apparel standards for the benefit of buyers, and training centres for developing human resources.
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1.2 HISTORY: Indian sub continent is the second largest manufacturer of garments
after China being the global leader in garment production. India is known for its high quality garments for men and most of the garment manufacturers are in the Small and Medium scale industry. Indian men's clothing industry has been growing steadily over the past few years, this has been possible owing to the Indian male becoming more fashion conscious, and hence there is more consumption which has increased global demand of men's garments by the rest of the world. India Garment Industry has an advantage as it produces and exports
stylish garments for men at economical prices due to cheap labour rates. Today because of technological advancement and use of sophisticated machinery it has enabled the manufacturers to achieve better quality and well designed garments. Indias Garment Industry has been rapidly growing in last few years. Exports have been rising as there is an increase in orders from global buyers accompanied by a rise of investments in the garment sector of the country. From all over the world the Retailers are come to India traced by low production costs.
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1.3 EVOLUTION:
In southern Indias Tripura town, young girls are lured to work
in the garment industry with a promise of golden opportunity to earn their own dowry at the end of a three-year apprentice period. Garment industry of Tripura projects a turnover of Rs 10,000 core this year, down from Rs 11,000 core in 2006-07.
The Indian Garment industry is today modernized via an
exclusive scheme, which has set aside $5bn for investment in improvisation of machinery. International brands like the Levis, JC Penny, Wal-Mart, Gap, Marks & Spencer and other industry giants are sourcing more and more fabrics and garments from India.
According to a study China and India will be major gainers.
Where India could increase their share from present 3% to 8% in US Garment market.
The garment industry in India faces stiff competition from
countries such as Bangladesh, China and Vietnam. There is a pressure on the Indian garment industries to produce finished garments at lower costs to survive the cut-throat competition.
Garment Industry in India is looking at achieving an export
target of $25 billion.
The industry today would need an additional 1.5 million
people.
An investment of Rs. 35000 core in terms of related
infrastructure is required.
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1.3 MAJOR GLOBAL PLAYERS:-
Carolina Herrera Oscar de la Rental Calvin Klein Donna Karan Liz Claiborne Nicole Miller
1.4 MAJOR INDIAN PLAYERS:-
Pantaloon Retail India Ltd Shoppers Stop Tata Trent Globus stores Pvt Ltd Pirmayd Retail Ltd Arvind Brands Ltd Provogue India Ltd The Raymond Group
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1.5 CONTRIBUTION IN GDP :-
The Indian Garment Industry has an overwhelming presence in the
economic life of the country. Apart from providing one of the basic necessities of life, the Garment Industry also plays a pivotal role through its contribution to industrial output, employment generation, and the export earnings of the country. It contributes about 14 per cent to industrial production, 4 per cent to the GDP, and 16.63 per cent to the country's export earnings.
1.6 EMPLOYMENT GIVEN BY INDUSTRY:-
It would provide direct employment to over 35 million people by
2010, which includes a substantial number of people from less privileged sections of society. The textiles sector is the second largest provider of employment after agriculture. In 2006, Indias Garment industry employed 35 million people
including women and backward classes.
1.7 FUTURE TREND:-
The world of clothing is always changing, as new cultural influences
meet technological innovations. Researchers in scientific labs have been developing prototypes for fabrics that can serve functional purposes well beyond their traditional roles, for example, clothes that can automatically adjust their temperature, repel bullets, project images, and generate electricity.
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Company Profile.
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Ginza Industries Ltd. 2.1 INTRODUCTION:-
The year 1986 marked the inception of GINZA, since then Ginza
have gone to become one of the most sought brand for fashion fabrics, accessories and now having new focus on developing the same image in garment field as well.
After nearly two decades of intense and committed efforts, with its persistent belief in Quality and innovation is the only guarantee of customers satisfaction It has various product ranges. Ginzas all plants are backed up by 24X7 uninterrupted power supplies. Time to time Ginza revises its marketing strategies to become a successful player in the market.
Ginza offers the biggest range of garment fashion accessories in
hundreds of hues and designs. Each line of product from Ginza is an outcome of "Excellent Craftsmanship and innovation".
Equipped with latest machinery and expert technicians, Ginza has
managed to deliver quality products at competitive rates. It is this policy of quality and innovation that has helped Ginza in building long term relationships with best names in the industry as its customers.
Ginza has its own brand name Intense.
Ginza strike deep roots in the domestic branded garment market, and
its flag flies high in some of the most fashion and quality conscious markets in the world: Europe, USA, Middle East. In each of these markets
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Ginza have won the enduring confidence of buyers, leading to repeat orders time to time.v
Ginza has become perhaps the only company in the world, having
all the major activities of Ladies Undergarments in house, looking for a major share in Indian Ladies Innerwear Exports in next 3 years.
2.2 BOARD OF DIRECTORS:Mr. Ashok Sethia Founder, CMD & Marketing Department Mr. Manoj Sethia Joint MD
Mr. Arvind Sethia
Executive director
Mr. laxmipat banthia
Whole time director
Mr. maganmal baid
Whole time director
Mr. ajay agrawal
Whole time director
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Ginza Industries Ltd. 2.3 INFRASTRUCTURE: A state of art plant having machines from JUKI, SUNSTAR,
PEGASUS, and EASTMAN with customized molding, underwire, lamination, embossing & eye and hook facilities. This unit has a production capacity of around 1000 dozens per day and is being expanded to about 2000 dozens before this year end. This unit is compatible to meet all International Standards & 100% of the production is being exported to the U.S market at present. This unit is spread over a total area of approximately 80,000 sq. feet.
2.4 Goals of the Company:
As Ginza is new in the Garment sector the main objective of Ginza
is to expand its roots in the global market and domestic market as well.
To provide good quality and designer garments to the customers and
exapand its turnover from approx 20 crore to 25-30 crores.
2.4 ACHIEVEMENTS:
Ginza believes that quality is a dynamic and has to be integrated into
each of their processes so that the outcome is perfect. Due to this Ginza secured ISO 9000 certification in 2008.
Ginza also won the WRAP (Worldwide Responsible Accredited
Production) certification in December, 2009.
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Ginza Industries Ltd. 2.5 BANKERS.
Union Bank Of India State Bank Od India Bank Of India The Saraswat Co.Op. Bank Ltd The Hsbc Ltd Standard Chartered Bank Idbi Bank Ltd Allahbad Bank.
2.6 PLANTS:-
Yarn & tape unit Warp knitted fabric unit Torch on lace unit Garment unit Value addition unit Eye & hook unit Garment unit Raschel & warp knitted fabric unit Embroidery unit Process house Warehousing facilities
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Ginza Industries Ltd. 2.5 LOCATION :-
Head Office:
Kimatrai Building, 2nd Floor, 77/79 Road, Marine Lines, Mumbai: 400 002 Email: ginza@vsnl.com Website: www.ginzalimited.com Maharishi Karve
Surat Branch:
Plot No. A-15, 16, 17 Sardar Patel Road No.2, Udhana, Surat
Plant:
Plot No. 61, Road No. 4, parel Park, Sachin, Surat
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Ginza Industries Ltd. Organizational Chart.
Managing director
General Manager.
Human resource marketing Manager manager
finance
production
manager
manager
Assistant manager
assistant manager
Department In charge
HR officer
Clerk
Worker
Purchase officer
sales officer
advertisement manager
import & export manager
sales manager
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Ginza Industries Ltd. Know the company:
An ISO 9001 : 2000 certified company engaged in offering Raschel and Warp Knitted Fabrics and Laces, Cotton Braided Laces, Woven and Knitted Elastics, Embroidery Laces and Fabrics, Textured and Twisted Yarns, Eye & Hook, and Womens Fashion Wear, etc. Catering to the requirements of garment, textile and home furnishing industries, we, Ginza Industries Limited are offering distinct kind of Fabric, Garment and allied products to our customers. Started in the year 1986, we are reckoned as a top notch manufacturer, exporter and importer of Raschel and Warp Knitted Fabrics and Laces, Cotton Braided Laces, Woven and Knitted Elastics, Embroidery Laces and Fabrics, Textured and Twisted Yarns, Eye & Hook, and Womens Fashion Wear, etc. Manufactured using the best quality nylon and polyester, our collection is widely known for its soft texture, smooth finish, colour fastness, exclusive design and several more salient features. In addition, we also offer value added services On Net and Lace Fabrics with Prints, Flocking, Embossing, Shading, Pleating Crushing, Paper / Foil Printing and many more. Moreover, owing to our quality centric approach, innovative product features, we have acquired many clients like Wal Mart, Gel Mart, K-Mart and others. Excellent Craftsmanship and innovation has always been our motto. Hence, we have appointed an expert team of craftsmen, creative designers, experienced technicians and others, who have immense experience in the industry and hold relevant credentials. With the help of our state-of-the-art machinery and sound production unit, they manufacturer our range, which is confirmed as per International Quality Norms. Due to our team support, innovative collection, we have established a strong foothold in the domestic as well as international markets.
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Ginza Industries Ltd. SUCCESS STORY

Ginza straddles the entire spectrum of feminine fashion with a range of fashion fabrics, accessories and garments. Their success in these areas has led them on to the world of their wide appeal brand.
Ginza began operations in 1990 in an industrial zone here in Surat, with Raschel and Wrap Knit. Equipped with state of the art machinery, this plant today has a production capacity of over 200 million meters per annum. This plant also hosts Ginzas in-house design studio. Brimming with creative energy, their young design team has helped Ginza create fine fabrics that have won the acclaim of the biggest buying houses in Europe and USA.
Catering to the finer aspects of design and craftsmanship, Ginza specializes in the production of stretch lace and tricot fabrics across floral, printed and mesh varieties. Today, Ginza enjoys the status of being Indias only producer of Jacquardtronic fabric, a fabric that caters to the distinct needs of the Indian customer.
With the launch of an Embroidery unit at Sachin, Ginza marked its foray into embellishment and detailing. Modern Swiss and Korean machines helped them to introduce Schiffli embroidery, delicate sequencing and cording techniques into our production efforts. The success of this unit helped us broaden our offering to include motifs, patchwork, sarees, laces, gupier fabrics and collars among others.
Their quest for backward integration led to the establishment of two more specialized units for the manufacture of elastic tape and yarn, as well as a unit that produces just lace braiding.
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As their products found wide overseas markets, they set up 100% Export oriented units for the manufacture of wrap knitted fabric, and eyes for brassieres-which brings them to one of Ginzas ambitious ventures. A forward integration project for the manufacture of high quality of ladies innerwear. Their inner wears are designed and produced to international standards at apparel park, Surat, are being sold under major American labels across stores in the USA since 2006.
This strong endorsement in overseas countries led them homewards to the vast Indian market. Sold under the brand name of SOIE, this marks their successful entry into the huge domestic market for branded under garments. The domestic launch of our inner garment line was made all the easier because of the customer recognition already established by their outer wear line which had been launched in 2008 under the INTENSE brand.
Even as they strike deep roots in the domestic branded garment, their flag flies high in of the most fashion and quality-conscious markets in the world: Europe, USA, and Middle East. In each of these markets they have won the enduring confidence of knowledgeable buyers, leading to repeat orders, time after time.
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MARKETING DEPARTMENT.
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ORGANITION OF MARKETING DEPARTMENT:
The marketing manager is responsible for coordinating & controlling of all the activities of the department with the help of competent executives. A marketing manager must be skilled in planning organization, coordinating & controlling all marketing operation. A marketing organization is like power station sending out energy which is devoted to selling & distribution on particular lines & there is a tremendous gape between the power-station & point where it reaches the consumer. Therefore there arises a great necessity of planning, organizing & controlling all sales efforts through a sound marketing organization to prevent wastage in distribution.
MARKETING MANAGER
Purchase officer
Sales officer
Import export manger
Sales manager
The head office of the marketing department of GINZA industries is at Mumbai as it is one of the main business center of India. This company doesnt face any marketing problem as it products on order basis. GINZA market is widely.
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The organization follows line & staff type of organization system. The main responsibility of this department is to determine the product to be produced to determine the selling cost & produces etc
MARKET SEGMENTATION & CONSUMER BEHAVIOR.

Model marketing is consumer oriented the primary object of marketing is to satisfy only when the company concentrate on limited number of well define group of consumer therefore primary task of marketing manager is to define & select target market. GINZA industries produce products on the order basis. GINZA has number of major customers from which customer from which they get order so; its task is to increase production with quality maintaining & consumer satisfaction. It has different types of group of customer which wants different products for the manufacturing. According to Webster consumer behavior is all psychological, social & physical behavior of potential customer as they become aware of evaluate purchase consume & tell other people about products & service. In GINZA have a fixed consumer which buy product from him. From these consumers they satisfy than they tell other in favor of its product & GINZA also get a new customer.
ii) Product Portfolio

The stunning range of fabrics and other products are highly acknowledged for their soft texture, smooth finish, color fastness, exclusive design and many other traits. We offer an attractive range that is as follows:
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Product Range.
Warp Knitted Fabrics 100% Nylon Warp Knitted Fabrics 100% Polyester Warp Knitted Fabrics Nylon Spandex Stretch Fabrics Nylon Spandex Power Nets Raschel Fabrics 100% Nylon Allover Fabrics Nylon/Spandex Fabrics Raschel Fabrics With Lurex Raschel Lurex Fabrics with Fall Plate Effects 100% Polyester Printed Net Fabrics
100% Nylon Raschel Fabrics Raschel Jacquardtronic with Fall Plate Effect Fabrics Fascination Fabrics
100% Nylon Fascination Fabrics Embroidery Fabrics
Nylon/Spandex Fascination Fabrics
Nylon/Polyester Fascination Fabrics
100% Cotton Embroidered Gupier Fabrics Fabrics 100% Nylon Net Embroidered Fabric Polyester/Cotton Embroidered Fabrics
Embroidered Fabrics with Sequence and Cording effects
Nylon Net/Lurex Embroidery Embroidered Sarees with Fabrics Sequence Work SE 38 Computerized Talam Fabrics
Talam Strolls Talam Suit Dupattas Talam Nylon/Spandex Fabrics Jacquard Fabrics Jacquard Allover Fabrics
Talam 100% Nylon Allovers Talam Sarees Torchan Lace
Talam Nylon/Polyester Allovers Talam Dupattas 100% Polyester Allover Fabrics
Jacquard Furnishing Fabrics
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In addition, we also offer following range of products: Laces:

Nylon/Spandex Raschel Laces 100% Nylon Net Embroidered Laces Jacquard Laces Nylon/Lurex Raschel Laces 100% Cotton Embroidered Laces Torchan Laces 100% Nylon Raschel Laces Gupier Laces Cotton Crochet Laces
Value Added Fabrics:

Embossed Fabrics TCF-288 Fabrics Frilled Fabrics Laminated Fabrics Fancy Fabrics
Elastics:

Shoulder Elastic Tape Shoe Elastic Frill Knitted Elastic Folding Elastic & Garment Elastic Knitted Elastic Jacquard Elastic Frill Elastic for Bra & Panties
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Plain Knitted Elastic Printed Elastic Plain Woven Elastic (Basic Tape)
Undergarments:

Designer Bra & Panties Sport Bra & Panties Padded Bras Foam Padded Bras
Garments:

Ladies high fashion garments Kurtis Designer Tops Skirts Ladies Nightwear's Ladies Beach wear
iii) PACKAGING.
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Packaging is the buyers first encounter with the product & is capable of turning the buyer on or off. While packaging the fabrics, the company uses quality-packaging materials like polythene sheets and others. This assists in ensuring the safely of the end products during the transits period. Our entire packaging process is conducted under the supervision of our experienced packaging personnel, Further; the company has association with various transportation and logistic agents, which helps us in smooth and prompt delivery of the range to the final destinations. This ensures the timely delivery of our consignments to the clients.
iv) PRICING STRATEGIES
Pricing is just not a number on a tag or an item. It represents the product in a very large way.
Pricing policy of the company usually stable, it does not keep on fluctuating with time and the price is decided after taking into consideration the price of its competitors. According to the company the price of the finished product is decided on the basis of the price of its raw material. Say for example if the demand of petroleum is increased or decreased then it consequently affects the price of the raw material and also the price at times depends on the demand of the product also The price of the company changes, when the yarn market is in boon period the price tend to be high and vice-versa. The Ginza Company follows this pricing policy, which is show here.
PRICE=COST+MAGIN+BRAND EQUITY
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This Criterion is called forward pricing. However, In Cutthroat Competition, Ginza has Adopted Backward pricing, I.E. First of all, they determine the Price at which it can be sold having deducted the required margin from the basis of which it achieves the cost. Then it strives to reach the determined cost. It assists the company in Effective cost control in reducing Wastage. In GINZA industries pricing is fixed with great concentration & care. The
manufacturing cost is the main determinant for fixing price. First of all cost is decided by costing department then board of director decided the price of the product with adding a profit. In deciding price of product they also consider discounts allowances.
.v) PRODUCT LIFE CYCLE
A companys positioning and strategy must change as the product, market, and competitors change over the product life cycle. To say that a product has a life cycle is to assert four things.
1. Products have a limited life. 2. Product sales pass through distinct stages, each posing different challenges, opportunities, and problems to the seller. 3. Profits rise and fall at different stages of the product life cycle. Product requires different marketing, financial, manufacturing, purchasing, and human recourse strategies in each life- cycle stage.
There are four stages of Product life cycle like:
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1. Introduction Stage: the stage where company introduce itself in the market. 2. Growth Stage: In this stage, a product of rapid market acceptance and substantial profit improvement. 3. Maturity Stage: In this stage, sales growth of product is slowdown, the product has achieved acceptance by most potential buyers. Profits stabilize or Decline because of increased competition.
4. Decline Stage: sales show a downward drift and profit erode.
Right now in Ginza Industries Ltd, their product with code 82004b is at its maturity stage.
VI) CHANNELS OF DISTRIBUTION AND INTEGRATED MARKETING
CHANNELS
CHANNEL DISTRIBUTION:
According to Mc. Mc.Carthy, any sequence of institution from the products to be the customer including one or any number of middlemen is called channel distribution Channel of distribution may be defined as the set of marketing institutions. The term channel of distribution is used to denote the middlemen engaged in moving goods from the place to production to the place of consumption. In the field of marketing channel of distribution initiate root or pathway through which goods flow producer to customer. The most common router used for bringing product in the market from producers to customer are as under.
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Manufacturer Manufacturer Manufacturer Manufacturer Manufacturer consumer whole seller retailer whole seller agent consumer consumer retailer whole seller consumer consumer
GINZA producing on the order basis so, it does not take any help from the middlemen or any selling or distribution agent. Hare, the product directly supplied to the customer. Thus the company has a very short channel of distribution.
GINZA INDUSRIES
CUSTOMER & PARTY
Marketing channels are independent organization; subsidiaries; and the

companies own sales employees in the market. These make the product available for the end customers. Selection of the correct marketing channel or channels is a crucial decision for a company, since the right channels can offer competitive advantage such as cost effectiveness, and because it is neither easy inexpensive to change channels. Ginza industries apply B2B marketing so large numbers of buyers are other organizations only.
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Types of marketing Activities.
Marketing can be done in different levels depending on how the customers the company wants to reach. The levels differ in factors like effectiveness, cost and have different purposes.
It includes following activities : Local Marketing

Refers to marketing programs tailored to find the needs and wants of Customers in a small and well-defined geographic region.
Individual customer marketing.

It is marketing done on a one to one basis where each individual Customers requirement are individually addressed. Marketing in different levels can be done with different methods. Examples of marketing methods are :
Personal discussions, telephone communication and Email. Letters, Prospects, Pamphlets and catalogs. Homepages Sponsoring Exhibitions Direct marketing Public relations
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There are four different types of marketing which the methods above can be sorted into. Direct and personal marketing :
It is selling discussions between the salesman and the customer. It Can also be service and advice from the selling company, oration and personnel selling.
Direct and impersonal marketing :

It is direct advertising with written information.
Indirect and personal marketing :

It is a link which is handled by actors between the Manufacturer and customers.
Indirect and impersonal marketing :

It is the media advertising from news papers, articles, Television and radio.
In Ginza Industries Direct and Personal marketing is done, as they wont advertise themselves at any public platform at large. They personally meet the customer and share the details about the product.
Different Threats :
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Threat of new entrants :
The entry of new competition into a market often leads to price pressure more intensive competition and reduced profits for the other competitions in the market. The principal impediments which tend to prevent new competitors attempting to enter the market.
Threats from segment competitions :
Common methods for improving ones position in the market are: Price, competition, advertising, intensified, introduction of new products, improving customer service and offering strong product warranties. The intensity of the competition depending on number of competition; trademark identity; consumer demand variety of available products, inflexible costs etc.
Threats of substitute products :
There are two ways treat the pressure from compensation products; develop a strategy that stops for other products and accept the product like a factor on the market. The threats from compensation products are that it costs to change supplier, the customers unwilling to change supplier and price performance from the competitor.
At present there are no competitors for Ginza Industries, as they are maintaining the monopoly in the market. But there are some companies that are going to start up with the production work in near future that can threat monopoly of the company.
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Different Factors. Internal Factors :
Every business needs to evaluate its internal strengths and weaknesses. The company does not need to eliminate all weakness, and a question that should be considered whether is they should repair its weakness or consider those weaknesses might actually be converted to advantages.
External Factors :
Opportunities refer to future possibilities in existing and potential new markets. For examples, the company may create direct marketing opportunities by establishing a presence on the Internet; do a better job of making information about its products and services available to customers; introducing new precuts and services; for particular markets or customers and improving the delivery time for its products and services.
Market Promotion:
In the word of Masson & Ruth. Promotion consists of those activities that are designed to bring a company goods & service to the favorable attention of customers Its time gone when the customers were innocent & not so informed of products availability. They were buying what they offered. However, todays customer is not like that, rather they are most intelligent & educated who know everything about the product. They also have lot of choice. Sales promotion is a new trend in business units. It covers all marketing activities like advertising, publicity that stimulates consumer purchasing & dealer effectiveness. In short , sale promotion are bridge or a connecting link covering the gap between advertising & personal salesmanship.
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The main objectives of sale promotion are. Providing information Increase in sales Reducing cost GINZA industries produce products on order basis. By this way they increase the quality of product. By increasing in quality or reasonable price they get a new orders from new customers. Advertising is nothing but a pair of non personnel presentation of idea, goods of service by an sponsor. In the present day, advertising has become an inseparable part of the business. However the form of advertisement may different from business to business. GINZA has need for the advertisement. GINZA has advertise their product in magazine, news pepper, sales promotion, diaries etc They spend in advertisement is depended their net profit.
Marketing Research And Activity:

The marketing manager has to take various decisions regarding the different activities of marketing. The correct decision can be the outcome of the analysis of the punctual data. In modern marketing system management does not produce what it can the sell but it puts the goods in the market whatever is desired or required by the consumer. Marketing research by relevant facts can aid considerably to the executives to raise the level of performance . Marketing research may be defined as the application of scientific method to the solution of marketing problem. Marketing research is any systematic attempt to get information useful in moving market problems. In , GINZA they also follow the marketing research procedure. marketing research team visit all industry sectors & study the needs & desire. They try to introduce new facility every time.
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Production management.
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Ginza Industries Ltd. Production management:

Production management is the deals with the production of goods & service that people buy and use everyday this production management function enables the organization management to achieve its good through efficient acquisitions and utilization of resources like land , labor , capital, raw material ,machine
Production is one of the main stages of an enterprise without which a manufacturer cant survive. It converts the raw material into semi-finished goods and then converts into finished goods. According to Buffa, Production management deals with decision making regarding production of goods & services at the minimum cost according to demand of customers through the management process of planning, directing, and controlling.
Production Planning:
Ginza is a company that produced textile products. Before producing product Company plans a schedule on a yearly base, monthly bases & it goes very deeply by preparing a weekly schedule.
For preparing this schedule they consider the following points.
The lead of the product. The preparation time of the product. The demand of the product in market.
According to these points they use to plan the schedule and give the order to produce the product.
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Responsibility of the production manager:
The responsibility of the production manager in to the Ginza Company is as follows. To control the cost of the production. To motivate workers for maximum efforts. To fulfill demand of the customer. To plan production schedule. To avoid defective goods. To maintain enough semis finish goods as well as finish goods. To decide on way of handling and re handling.
Operation management:
operation management refers to the planning , organizing, directing , and controlling of input like land, labor etc into desired output to good and service so as make the goals of the organization in accordance with they overall strategy
Production:
Production means any activities process which adds to the GDP of nation or economy here economy cover all three sectors namely mfg agriculture and service
Introduction:
Production is a process of converting input into output i.e. raw material is converts into finish good. In relation to physical goods, production means manufacturing an object using various input like raw material, power, labour. In relation to services, production means discharge of any function which has got some utility.
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Both knitting is a continuous process. While it is continuous process the production in bulky size. In dyeing house they have laboratory for checking the raw materials and fabric. They also use bills of materials
In Ginza industry they produce the seasonal wise production like autumn winter, spring summer, high summer they using fabric according their requirement or seasonal production.
Raw Material House.:

It is available in large scale. Its also near to fabric checking machine so , that the raw material testing can be easily. Our company have many type of fabric like georgette, chiffon, cotton, modal voile, modal satin, santoone, viscose twill, cotton lyena etc. materials are purches bye the company like mandhana cotton mill, arvind mill, wels pun, madhuva coats, vardhman.
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Ring and slide:
Is also available in different size like 15mm, 12mm, 16mm, 8mm..
Eye and hook:
Ginza's foray into the global markets demanded the establishment of an exclusive unit to cater to export needs . this unit came into being as a result.
Our state of the art eye & hook unit , established in October 2007, has a production capacity significantly.
With the commissioning of this plant the entire manufacturing process for ladies brassieres is now completed in-house by Ginza.
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Set up under the technical supervision of a renowned overseas domain expert, this unit
provides quality that can be benchmarked to the world's best.
Is also available in different size like 18mm, 30mm and 40mm. Lace:
TORCHON LACE BRAIDING UNIT
Our Torchon Lace Braiding Unit is located in palghar, on the out skirts of greater Mumbai.
this facility has 13000 spindles and produces a wide range of Crochot, Torchon, BobbinLaces & Fabrics with capacity of 15million meters per annum.
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This facility is built on area of 35000 sq feet and features top of the line equipment from Takeda Mayer, Japan and Come.
Threads:
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Elastic:
ELASTIC TAPE AND YARN UNIT

Located in the pictiresque sea-side town of Daman, the elasticape unit of Ginza meets almost all of our in house requirements. We use state of the art machinery from global leaders: Comez, Omm, Britenbach,EPIS, KY, Jakob muller to produce a range of elastc tapeds knitted and woven, velvet ribbons and fancy crocheted fabrics. This uint has a production capacity of 150 million meters per annum.o
Daman is also the location for our yarn unit. conceived as a backward integration project that would give us enormous cost and quality leverage, this unit is powered by machines from Barmeg lshikawa and Muratta machines of German & japan make. This unit produces 3 million kgs. of nylon, polyester, crimped & filament yarn per annum.
Its also available in different type and different size and different color
Machine shope Navnirman Institute Of Management.

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In machine shop the semi finished goods are given a finishing touch. In this department small semi finishing goods like the cutting part of the fabric are given a finishing touch. In this department used the different type of the machine according their requirement .
Fabric checking:
Cutting department: Navnirman Institute Of Management.

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In this department cutting of raw material is done different size and shape so, as to available the production unit their requirement of the raw material for the cutting purpose cutter machine are used. a person is employed for this that cuts the fabric in different and require shape. In cutting department total worker is 10.
Straight knife machine:
Band knife machine:
Heating process: Navnirman Institute Of Management.

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Under this process the raw materials are heated to give a desire shape.
Band knife machine:
Stitching department Navnirman Institute Of Management.

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In stitching department all worker are stitching the different part of the garment or undergarment. It is the target based for example one worker produce the 40 pcs per day. One worker gives only one operation. In stitching department in garment section total machine is 100 and worker are 78 other machine are extra when any machine is not work that time it using. In undergarment the total machine is 150 and worker are 130 and 20 machine is extra machine.
Single needle machine: Navnirman Institute Of Management.

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There are 74 machine .capacity is depends upon the machine, style and ability of the worker.
Flat lock machine:
There are 2 machine are available.
Zig zag machine: Navnirman Institute Of Management.
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There are 2 machines.
Over lock machine:
Chain stitch machine: Navnirman Institute Of Management.
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Checking department
Here the all product are checking properly if any product are damage its going in wastage section. All workers try to minimum waste of the material.
Finishing and packaging:

All products are complete then the finishing the product they using the different type of machine like kaaj machine, button machine, steam iron mac hine, checking table and then after finely the product is packing. In finishing department the total worker are 48 and checking table is 2 and worker is 4 who check the final product. Kaaj machine is 2 and stem iron machine is 3.
Checking table: Navnirman Institute Of Management.

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Dispatching:
Dispatching is actually authorizing or assigning the work to be done at different work centers by listing all the job available to a work center in their priority sequence & giving the due dates for each. It is done by issuing job orders, job cards and material issue to the foreman. it is implementation of planning.
Function of dispatching:
1. Providing for movement of raw materials from stores to first operation machine & between all different operation 2.collecting tools from the tools stores & issuing them to the worker or the machine.
Materials handling: Navnirman Institute Of Management.

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Material handling can be defined as storage reservation & controlled movement of different materials in any from (raw material, finish goods, stores & spares, supplies, packing, wastage by product) from one place to another place starting from receiving through storage production packing up to final shipment material handling utilizes proper scientific method technique & equipment so that time & space utility is created at the lowest possible cost
Equipment is use for the material handling:
In Ginza industry use the equipment areas under Elevators Trolley Industrial vehicles Etc
Materials receipt procedure: Navnirman Institute Of Management.

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Material receipt procedure of all industries will be different. All industries mean different fields. Procedure of receipt will follow which is as under.
When material will come to the company, the deliveryman will come with invoice and challan in which quality & quantity of material will have mentioned
The deliveryman will contact to the production manager. The production manager will sign the challan and gives gate pass to deliveryman. The supervisor will check the material quality, quantity and weight. If quality, quantity and weight will have according to order, then it enters in, If material will be accepted, the delivery challan, excise invoice, bill of material which includes freight, sales tax, excise tax etc. will be signed by manager.
Material issue procedure:
Procedure of issue will be followed which is as under:

As soon as company that will be department head receives order , the supervisor will be informing to deliver the said order Supervision will prepare challan in which name of customer, details of package no. weight, quantity etc.is given
Plant layout: Navnirman Institute Of Management.

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Plant layout is the physical arrangement of machine, equipment and other facilities like receiving, shipping tool rooms, maintenance room, inspection, cabin, stators etc.
Type of plant layout
Product layout
In this type of layout they machine & facility are arranged according the sequcance of production required by a particular product so for each product there will be separate line of machines or equipment
Product layout
Raw materials Checking department Cutting department Cut-part department Stitching department Checking department Finishing department Final checking Packing Finish goods stores
Process layout: Navnirman Institute Of Management.

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In this layout all the machines or facilities performing similar type of operation or function are group Together in the same area or section or department thus all casting are
made at one place or section know as foundry turning is done in a turning section where all lathe machine are group in one machine welding machine will be there and drilling section all drilling machine will be there. Process layout
Selection of fabric
Section of design
Prepare the sample
Garment presentation
Garment selection procedure
Lunching the garment
Promotion activity
Oder feeding
Production process
Product Name: Navnirman Institute Of Management.

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Laces Net fabric Raschel fabric Eye & hook Elastics Leggings Trousers Jackets Casual shirt Dress Kurti Tops Tunics
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HUMAN RESOURCE DEPARTMENT.
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HUMAN RESOURCE MANAGEMENT is a management function that helps the manager to recruit, select, train and develop member for an organization. HRM is concerned with the people dimensions in the organization. Organization is not just bricks, motors, machines or inventories. They are people. It is the people who staff and manage the organization. human resource management, in the sense of getting things done through people. Its an essential part of every managers responsibility, but many organizations find it advantageous to establish a specialist division to provide an expert service dedicated to ensure that the human resource function is performed efficiently. Human resource management is a management function that helps the managers recruit, select, train and develops members for an organization. HRM is a concerned with the people dimensions in an organization. It is also concerned with hiring, motivating and maintaining people in an organization. It focuses on people in organization. A formal definition of HRM is as follows: HRM is the planning, organising, directing and controling of the procurement, develpoment, compensation, integration, maintenance and separation of human resources to the end that individual, organiztional and social objectives are accomplished.
Human resource department
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Managing director
General Manager
Assistance manager
Senior executive
Executive officer
Accountant
Assistance
Staff
Scope Of HRM.
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The scope of HRM is indeed vast. All major activities in the working life of a workerfrom the time of his or her entry into an organization until he or she leaves- come under the purview of HRM. Specifically, the activities included are:
Nature of HRM Employee hiring Prospects of HRM Industrial relation Employees maintenance Employee motivation Employee and excutive remuneration
Activities Of Personnel Department.

Human resource department is one of the very important part for any unit. Because it maintains the relationsip between the workers and their owners and also helps it in maintaining proper atmosphere in the company. The main aim of HRM is to recruit and select themost eligible peson for a particular job. Once a person is selected then it does not mean that the job of HRM is done, infect their job starts there itself. After the selection of the employees for that particular job the human resource managers have to give the best remuneration to the employees and also have to motivate to his employees to work harder and also in an efficient way. The most important part of HR department is the maintenance of relationship. The relationship is being primary and the activities involved in HR department is like recruitment abd selection, human resource planning, trainning and dvelopment, promotion and transfer, giving performance appraisal, formation of wages and salary structure, employee welfare schemes, maintenance of human resource audit, hierarchy structure maintenance, maintaining Absenteesim rate and employees turnover rate.
Recruitment And Selection.
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Recruitment.
In a simple words recruitment can be defined and understood as the process of searching for and obtaining applicant for the right jobs, from among whom the right people can be selected.
k. Aswathappa defined recruitment as it is the process of finding and attracting capable applicants for employement
recruitment is a process to disover the sources of man power to meet the requirements of the staffing schedule and the employ effective measures for attracting that man power in adequate numbers to facilitate effective selection of an efficient work in force.
Recruitment Of Lower Level Employees.

In this firm there is no formal recruitment process adopted for lower level of employees. The only source of recruitment for them is on the gate and preseent employees. They tell their present employees about the requirement and they inform their relatives and then hire the employees . for some technical people, they inform the contractors and after that they are responsible for the recruitment of the employees.
Recruitment Of Higher Level Employees.

For recruiting higher level of employees, a formal process is adopted. First of all a recruitment planning is done. They decide about the number and type of people required. They, then look for the sources from where they can get their propable employees. The most important source of recruitment for the company is campus interview and advertising. The other sources are personal contacts, employees reference, etc. then all the application screened and qualified applications are selected for further processess.
Selection:
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In a simple word selection can be defined and understood as the process of picking individuals with requisite qualifications and competence to fill job in the organization. k. Ashwathapa defined selection as it is the process of differentiating between applicants in order to identify those greater likelihood of succcess in a job.
Selection means choosing an eligible candidate from all the applicants. Selection oF Process In The Company.
After the recruitment had been completed the selection procedure starts. The first step in recruitment process is interview.
Preliminary Interview. :
An interview is held after having been received the application of the candidates. In addition to filling up the application blank, the candidate is also supposed to pass through the color blindness test, color recognition test, remembrance of quality test.
Final Interview.:
The candidate is called for final interview after having passed the various tests. In the interview, aptitude, intelligence, background and adaptabilityof the job is scrutinized properly. Successful in the interview are sent for physical examination. A candidate matched with physical criteria is placed on the job suited to him.
Educational Criteria For Employees.
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For Labours:No educational background is required. They should have skills and experience for the job wages is given in accordance with the daily wage system.
For Temporary Staff Of Supervisory level:The candidate should have minimum qualification to suit the requirement of the job. Generally, science graduates or diploma in engineering field are recruited.
For Permanent Staff Of Managerial Level:Engineers possessing textile, mechanical or production degrees are employed to respective jobs.
Human Resource Planning.
As in the Ginza Industries the nature of workers is very fluctuating and there is number of job opportunities to the workers so there is very immediate changes in the position of the workers in the industry so there is no need of maintaining Human Resource Planning.
Training And Development.
Successful candidates placed on the jobs need trainning to perform their duties effectively. Every organization needs educated, experienced and trained personnel to handle the activities. Trainning is a process of learning programmed behaviour. It is an application of knowledge. It attempts to improve the behaviour of the people on the current job. It gives people an awareness of the rules and procedure to guide their behaviour.
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Training is any attempt to improve current or future employee performance by increasing an employees ability to perform through learning. It is very necessaryfor the company to train their personnel or workers to perform the activities. It simply means teaching the employee, the entire skill of performing that particular job. The company adopts various methods for training their employees. Ginza Industries selects those employees who have sufficient knowledge and/ or experience for the position to which they are assigned. Thus they are not required to learn the basic operation of production, but instead how those operations are carried out in firm, in its own secular way. Thus the firm does not have to spend precious time and resources for the training. If training is required for a particular emploee, the head of the particular department trains him. He is assigned work which can help him get used to environment. The contractors handle the training of labourers. The contractors hand them over the experienced man to tain the labour because it helps in reducing scrap and avoid accidents.
Training Programs.
The HR department organises training progamme for the employee within and outside the company based on the performance of the individual. The department organizes training to over come the limitations. It organizes seminars at training centres at the learning skill department.
Objectives:
To increase the productivity and creativity of an individual To enable the employee to update their knowledge, increase the level of performance.
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To create an environment of we feeling and enhance the accountability of the people. Bring the desired change in the organizational culture and management processes through in Calculation of desired values, beliefs and mindsets in consonance with the organizational needs. Base on performance review and organizational studies conceptualize, design and develop the existing competencies, professionals skills and learning techniques for higher level of proficiency and realization of their potential. In Ginza Industries, training programmers is done throughout the year. Training is provided for both internal and external employees. It is not only for employees it is also providing for the fresher and to those who are not in the organization. For providing training, companies hire faculty from inside as well as outside the organization. The training should be important for all the employees at all the levels of the organization.
Job Description And Specification.

In job description, it includes about how the job is to be done. In this textile business the job can easily being learn as the most of the work is done by the machine only the worker has to learn that how the machine can be operated but, Ginza Industries is using
advanced technology so there are many different machines is there in the firm. Training is given to the worker that how machine is operated.
JOB ANALYSIS = JOB DESCRIPTION+JOB SPECIFICATION
Promotion And Transfer.
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Promotion:
If the employee benefits the firm with higher and better performance then he is promoted to a better position in the organization hierarchy e.g. worker may be promoted to the post of supervisor, which would not only increase his status but also authority and pay scale. This helps the employees to work harder and perform better in order to get a promotion. This keeps competition among the employees and in order to achieve their targets.
Transfer:
K. Ashwathapa defines transfer as a transfer involves a change in the job of an employee without a change in responsibility or remuneration.
There are two types of transfers followed by the company: (1) INTRA:
Under this transfers are done internally among the different businesses run by Ginza Industries, such as from one unit to another.
(2) INTERNAL:
Here, the transfers are done between its plants such as from quality supervisor to material supervisor, etc.
Reasons Of Transfer.
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Requirement:The company makes transfers if there is any requirement from one business to another or one plant to another.
Employees Need:-
If the employee approaches, the management for transfer then they are shifted as per the feasibility.
Performance Appraisal.
Aparty from given training, selection and promotion to the employees, it is required that he should be evaluated for his performance.it is also described as a merit ranking in which individual is ranked as better or worse in comparison to others. Performance appraisal is the part of all other staffing process, like recruitment, selection placement and induction. It is considered to be the most significanttool for an organization. It is highly useful in making decisions regarding personal aspects such as promotions. Performance appraisal is the systematic evaluation of the individual with respects to his or her performance on the job and his or her potential for development. The company does not follow the process of preformance appraisal on a large scale, but managers do have interactions with the employees regarding their performance in the given time. These few interactions keep the employees motivated and help them perform better.The performance of the employees are checked and noted, so that difficulties are sorted out.
In Ginza Industries, performance appraisal is done yearly. So as to motivate employees and to guide them to put right amount of effort at the right place Wages And Salary Structure.
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Employee compensation is a vital part of human resource management. Wages, salaries and other form of employee compensation constitute a very large component of operating costs. One of the biggest factors affecting industrial relation is the salary or wage the compensation an employee receives for a fair days of work. No organization can expect to attract and retain qualified and motivated employees unless it pays them a fair compensation. Employee compensation can be classified into two categories:
1. Basic or primary compensation (basic pay) 2. Supplementary compensation (incentive and variable payment)
Methods of Wage Payment:
There are two types of wage system. They are as follows:
1. Time wage system 2. Piece wage system
In Ginza Industries both methods are adopted. For paying the salary of lower level of worker, time wage system is used. They are paid on daily wage basis according to their attendence records. The minimum wage is rs 100/day for any worker in the organization.
For the employees involved in collection of grey and dispatching of final goods to the party, piece wage system is adopted. Their wage is calculated according to the metres of grey they collect from the party and again dispatch the final goods. For higher level of employees fixed salary is given at the end of the month or within the first week of fore coming month.
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It is to be said that for all the employees wages and salary is at the end of the month only perspective of level or method of wage payment. But the calculation of wages made on the basis of method of payment adopted.
Employee Relation And Welfare.

Lobour is the basic power to run a business. Without the help and mutual understanding either of the management and labour cannot perform. In any production unit, the labourersdo work and the management ensures that the labourers are provided with the congenial atmosphere to work. It maintains healthy relationship with its employees and the smployees are also made to understand that they are working not for themselves but for the family. All the employees are treated like a family member and the employees also keep aside their personal gains and work for the betterment of the organization by devoting their mind fully towards the work that they have been assigned.
The employees have essay access to the management and they are free to draw the attention of the management towards any of their grievances.
In spite of all the precautions taken by the management to maintain healthy relationships with the labourers there are few cases in which labourers arenegatively motivated by trade union of the industries. These union leaders then approach the company for settlement, etc.but these sorts of cases are rare.
Ginza Industries had given the welfare policy to the member of origination and their workers. Welfare policy indicates welfare and gives benefit according to the situation. It includes the INSURANCE POLICY ,leaving, mediclaim, bonus etc.
Insurance.:-
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The company pays the insurance premium of 100000/- per year for whole staff member.
Leaving:The company also permits 12 days leaves in a year to each worker and if the worker have any difficulty then it will permit the extra leave. Otherwise the company will cut the salary.
Mediclaim:The company takes the whole responsibility of paying medical expenses if the worker is injured during working hours.
Bonus:-
The company declare bonus on DIWALI and the increment of salary is about 5%. It declares bonus to the top management a full month salary as a bonus.
Abseentism Rate.
The quantitative data cannot be determined but the rate of absenteeism is very high in this industry Because the workers can get an easy job in any other industry and also at a marginal difference in the salary so they have the power to choose the industry as per their convenience and they are also not abided by any law or contract so they are free to do the job in any industry they like so we cant measure any exact rate of absenteeism. But the rate of supervisors is low as compared to workers.
Employee Turnover. As in our company Ginza Industries these criteria cannot be fulfilled so it is not included in our project report. This is authenticated by our manager below.
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Finance Department
Analysis OF Financial Statement OF Ginza Industry Navnirman Institute Of Management.

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Ginza Industries Ltd. Ternd Analysis
The trend analysis is a technique of studying several financial statements over a series of years. In this analysis the trend percentages are calculated for each item by taking the figure of that item for the base year taken as 100. Generally the first year is taken as a base year. The analyst is able to see the trend of figures, whether moving upward or downward. In brief, the procedure for calculating trends is as: One year is taken as a base year which is generally is the first year or last year. Trend percentages are calculated in relation to base year .
TREND PERCENTAGE ANALYSIS OF BALANCE SHEET
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200 9 201 0 (%) 201 0 201 1 (%)
20082009 Assets:Current assets Cash Debtors Stock Other current assets Loans and advances Total current assets Fixed assets Deprecia tion Net block Total assets Liabilities Current liabilities Provision s Total current
20092010
20102011
7,696,254.6 14,428,435. 23,256,851. 187. 3 96 15 47 214,344,414 257,999,205 316,171,398 120. .38 .38 .93 37 444,238,725 454,908,877 101. 439,489,563 .00 .00 08 27,037,576. 41 5,946,615.4 9 694,514,423 .91 1,589,068,3 17.84 502,868,542 .60 1,086,199,7 75.60 1,780,714,1 99.51 39,412,726. 145. 84 77 9,110,522.7 123,569,898 153. 9 .88 20 765,189,615 .97 1,626,997,2 81.76 622,509,428 .81 1,004,487,8 52.92 1,769,677,4 68.92 917,907,025 .96 1,827,875,4 75.94 729,613,739 .02 1,098,261,7 36.02 2,016,168,7 61.98 110. 17 102. 39 123. 79 92.4 8 99.3 8
161. 19 122. 55 102. 4
135. 63 119. 96 112. 35 117. 21 109. 34 113. 93 207. 85 111. 97 192. 68

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97,046,495. 121,470,906 252,474,170 125. 84 .47 .61 17 22,823,000. 25,555,000. 103. 22,098,000 00 00 28 119,144,495 144,293,906 278,029,170 121. .84 .47 .61 11

Liabilities Long term funds:Equity share capital Securities premium Reserves Total Secured loans Unsecure d loans Total liabilities
88,831,060 60,639,432. 22 375,151,517 .30 524,622,009 .52 1,136,947,6 94.15 0.00 1,780,714,1 99.51
88,831,060. 00 45,730,822. 83 418,571,378 .96 553,133,261 .79 1,064,750,3 00.66 7,500,000.0 0 1,769,677,4 68.92
88,831,060. 00 79,399,248. 83 544,461,975 .09 712,692,283 .92 962,992,414 .45 62,454,893. 00 2,016,168,7 61.98
100. 00 75.4 1 111. 57 105. 43 93.6 4
100. 00 173. 62 130. 08 128. 85 90.4 4
99.3 8
113. 93
Interpretation: After examining the above mentioned statement of trend percentage the following items are made clear: There is increase in current assets and current liabilities are also increasing but more than current assets. The trend percent of current assets was increased by 9.79 % from year 2010 to 2011. The increase in fixed assets is financed by share capital. The fixed assets were increased by 9.96 %. Thus the advantage of trading on equity has been taken. On increasing fixed assets depreciation also increasing.
Trend Percentage Analysis OF Profit And Loss. Navnirman Institute Of Management.
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YEAR Sales gross profit operating expenses net operating profit (G.P - O.P) (ADD)othe r expenses (MINUS)o ther expenses NPBT (MINUS)t ax NPAT 2008 - 2009 1,278,592,11 9.69 245,964,798 114,565,222. 51 131,399,575. 49 2009 - 2010 2010 - 2011 1,588,104,99 1,907,927,81 6.85 8.75 336,734,429. 389,144,347. 63 32 78,318,926.7 92,298,000.8 3 3 25,841,550.2 296,846,346. 9 49 2010( %) 124.2 0 136.9 68.36 2011( %) 120.1 4 115.5 6 117.5 6 148.7 1
19.66 123.0 9 127.1 4 511.9 5 153.3 3 529.8 3
4,347,381.85 112,053,420. 25 23,693,537 1,125,000.00 22,568,537.0 9
5,351,118.73 1,699,305.43 142,466,527. 153,620,816. 59 70 121,300,094. 145,524,835. 04 22 1,725,000.00 7,383,122.00 119,575,094. 138,141,713. 04 22
31.76 107.4 0 119.9 7 428.0 1 115.5 2
Interpretation:
In this year there is increase in sales as well as profit. The figure of 2005 when compared with 2004 reveals that the sales have come down by 4.6 %. However, the gross profit has come down by 21.34 %. The operating expenses was increased therefore net operating profit was also increased.
Common Size Financial Statement.
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Differences in firm size may confound cross sectional and time series analyses. To overcome this problem, common size statements are used.
A common size balance sheet expresses each item on the balance sheet as a percentage of total assets.
A common size income statement expresses each income statement category as a percentage of total sales revenues
YEAR
2008 2009 1,278,592,1 19.69
20082009( %)
2009 2010 1,588,104,9 96.85
2009 2010( %)
2010 2011 1,907,927,8 18.75
2010 2011( %)
Sales gross profit operating expenses net operating profit (G.P O.P) (ADD)ot her expenses
100
100
100
245,964,79 336,734,42 8 19.23 9.63 114,565,22 2.51 78,318,926. 73
21.2
389,144,34 7.32 20.39 92,298,000. 83
8.96
4.93
4.83
131,399,57 25,841,550. 5. 49 10.27 29
0.01
296,846,34 6.49 15.55
4,347,381.8 5
0.34
5,351,118.7 3
0.33
1,699,305.4 3
0.08
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(MINUS) other expenses
112,053,42 0.25
8.76
142,466,52 7.59 121,300,09 4.04
8.97
153,620,81 6.70 145,524,83 5.22
8.05
NPBT (MINUS) tax NPAT
23,693,537 1,125,000.0 0 22,568,537. 09
1.85
7.63
7.62
1,725,000.0 0.08 0 119,575,09 1.76 4.04
7,383,122.0 0.1 0 138,141,71 7.52 3.22
0.38 7.24
Interpretation:
The sale and gross profit have increased in comparative figures in 2009-2010 as compared to 2008-2009. But the percentage of gross profit to sales has gone down in 2010-2011. Operating expenses have gone down by 4.03% from 2008-2009 to 20092010 and it almost remained same in 2010-2011 in percentage. Net profit have increased from 2008-2009 to 2009-2010 by 5.67 % and almost remained same in 2010-2011 in percentage.
COMMON SIZE STATEMENT OF BALANCE SHEET
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2009 Assets:Current assets Cash Debtors Stock Other current assets Loans and advances Total current assets Fixed assets Depreci ation Net block Total assets Liabilities Current liabilities Provision s Total current liabilities Long term funds:Equity 7,696,254.6 3 214,344,414 .38 439,489,563 27,037,576. 41 5,946,615.4 9 0.4 3 12. 04 24. 68 1.5 2 0.3 3 14,428,435. 96 257,999,205 .38 444,238,725 .00 39,412,726. 84 9,110,522.7 9 0.8 23,256,851. 1 15 14. 316,171,398 57 .93 25. 454,908,877 1 .00 2.2 2 0.5 123,569,898 1 .88 1.1 5 15. 68 22. 56 6.1 2 % 2010 % 2011 %
694,514,423 .91 39 1,589,068,3 89. 17.84 24 502,868,542 28. .60 24 1,086,199,7 60. 75.60 99 1,780,714,1 99.51 100 97,046,495. 84 22,098,000 119,144,495 .84 5.4 5 1.2 4 6.6 9
765,189,615 43. .97 27 1,626,997,2 91. 81.76 93 622,509,428 35. .81 17 1,004,487,8 56. 52.92 76 1,769,677,4 68.92 100 121,470,906 .47 22,823,000. 00 144,293,906 .47
917,907,025 45. .96 52 1,827,875,4 90. 75.94 66 729,613,739 36. .02 18 1,098,261,7 54. 36.02 47 2,016,168,7 61.98 100 12. 52 1.2 6 13. 78
6.8 252,474,170 6 .61 1.2 25,555,000. 8 00 8.1 278,029,170 5 .61
88,831,060
3.4
88,831,060.
5.0
88,831,060.
4.4
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share capital Securities Premium Reserves Total Secured loans Unsecure d loans Total liabilities 00 60,639,432. 22 375,151,517 .30 524,622,009 .52 1,136,947,6 94.15 4.9 9 21. 06 29. 46 63. 85 1 00 79,399,248. 3.9 83 3 544,461,975 .09 27 712,692,283 35. .92 34 962,992,414 47. .45 76 62,454,893. 3.0 00 9 2,016,168,7 61.98 100
0.00 0 1,780,714,1 99.51 100
45,730,822. 2.5 83 8 418,571,378 23. .96 65 553,133,261 31. .79 25 1,064,750,3 60. 00.66 16 7,500,000.0 0.4 0 2 1,769,677,4 68.92 100
Interpretation:
The company is not suffering from shortage of working capital. The Percentage of current liabilities is less than the percentage of current assets. A close look at the balance sheet shows that investments in fixed asset have been increasing. Share capital figure remained constant however their %age to n e t w o r t h h a s increased from 3.4 % to 4.4 %. Some amount of the secured loans has been paid off. Reserves of company was increased came 21.06 % to 27 % from the year 2009 to 2011.
Receivable management
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Ginza Industries Ltd. MONITORING RECEIVABLES:
a. Efficient billing system:

Billing is necessary. Billing represents a fundamental component of healthy customer relations; it serves as a reminder to the customer of his or her responsibility and obligation. Here India Motor Parts & Accessories Limited mailing invoices on a timely basis promotes quicker payment. According to the company, Customers should be billed at least once a month for their purchases. Bimonthly billing encourages even faster payment. A detailed billing statement presented in a simple format provides the customer with key information that can be easily understood. Include the following, if applicable, on a billing statement: product purchased, quantity, color, description, date order received, date order completed, billing date, billing rate, time spent on the job, job specifications, prior balance, prior payments and amount due. An enclosed envelope is customer friendly and prompts return payment.
b. Aging of receivables method:

The aging of accounts receivable directs management's attention to accounts that are slow to pay. It is also useful in determining the balance amount needed in the account Allowance for Doubtful Accounts.
The aging of accounts receivable report is typically generated by sorting unpaid sales invoices in the subsidiary ledgerfirst by customer and then by the date of the sales invoices. If a company sells merchandise (or provides services) and allows customers to pay 60 days later, this report will indicate how much of its accounts receivable is past due.
c. Objectives of maintaining receivables:

The main objectives of credit sales and maintaining receivables are as under:
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1. To increase the sales: It is quite natural that the policy of credit sales attracts more customers for purchasing. Those who do not have money at present for purchasing are also induced to purchase with the expectation of making payment from its sales proceeds. In short, credit sales increases sales volume. 2. Competition: In order to survive in competition every enterprise has to adopt the strategy of following the footsteps of competitors. If a company ignoring the liberal credit policy of competitors insists on cash sales, it cannot survive long. 3. Increase in profit: The ultimate aim of credit sales is to increase profit by increasing sales volume through proper credit policy. Profit can be optimized by adopting optimum credit policy. Here credit sales are accepted as a marketing tool to boost up sales and profit.
d. Terms of payments:
1. Cash terms: It means the condition of making payment against delivery of goods or payment of price in advance. Generally cash payment is insisted upon when the goods are to be manufactured as per order the doubtful credit worthiness of particular customers also inspires the company for cash terms.
2.
Open credit policy: It is also known as open account policy. In open credit
policy seller and the buyer come to agreement about credit period, cash discount, period of cash discount, etc. According to these agreement goods is sold to the buyer in required quantity as and when needed by the customers. Both parties are expected to abide by the credit term.
3. Consignment: In some cases goods is sold through del credor. The owner of the goods sends it to the del credor as consignment. The del credor does not
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receives the ownership rights. When it is sold he pays a price after deducting his commission. Unsold goods are returned to its real owner.
4. Bills of exchange: In this method the seller sells the goods, prepares bill of exchange, the buyer accepts it and sends it back to the seller. For the seller it is bills receivable and for the buyer it is bill payable.
The use of bill of exchange has the following three advantages:

A documentary proof of the debt of the buyer is created. Cost of credit is reduced to some extent. Negotiable instruments come into existence.
5. Letter of credit: In case of import from foreign country the exporter insists on letter of credit issued by the banker of importer. Letter of credit is certificate regarding the credit standing of the importer issued by its banker on the basis of the certificate the exporter dispatches the goods to the importer. Documents of title to goods are sent to the bank. 6.
Valuation and Pricing Of Stock.
The Company use FiFo (First In First Out) method for stock Valuation since the company started and the company follows it regularly without changing the method to LIFO. Company uses this method because of the products which the company deals like fabrics
Introduction To Working Capital.
Page 78

Working capital management is concerned with the problems arise in Attempting to manage the current assets, the current liabilities and the inter relationship that exist between them. The term current assets refers to those Assets which in ordinary course of business can be, or, will be, turned in to cash within one year without undergoing a diminution in value and without disrupting the operation of the firm. The major current assets are cash, Marketable securities account receivable and inventory. Current liabilities ware those liabilities which intended at there inception to be paid in ordinary course of business, within a year, out of the current assets or earnings of the concern. The basic current liabilities are account payable, bill payable, bank over-draft, and outstanding expenses. The goal of working capital management is to manage the firms current assets and current liabilities in such way that the satisfactory level of working capital is mentioned. The current should be large enough to cover its current liabilities. in order to ensure a reasonable margin of the safety.
Definition:1. According to Guttmann & DouglasExcess of current assets over current liabilities
2. According to Park & Glad son The excess of current assets of a business (i.e. cash, accounts Receivables, inventories) over current items owned to employees and others (Such as salaries & wages payable, accounts payable, taxes owned to Government)
Need Of Working Capital Management.
Page 79

The need for working capital gross or current assets cannot be over emphasized. As already observed, the objective of financial decision making is to maximize the shareholders wealth. To achieve this, it is necessary to generate sufficient Profits can be earned will naturally depend upon the magnitude of the sales Among other things but sales cannot convert into cash. There is a need for Working capital in the form of current assets to deal with the problem arising Out of lack of immediate realization of cash against goods sold. Therefore Sufficient working capital is necessary to sustain sales activity. Then the company has to spend some amount for labor and factory overhead to convert the raw material in work in progress, and ultimately finished goods. These finished goods convert in to sales on credit basis in the form of sundry debtors. Sundry debtors are converting into cash after expiry of credit period. Thus some amount of cash is blocked in raw materials, WIP, finished goods, and sundry debtors and day to day cash requirements. However some part of current assets may be financed by the current liabilities also. The amount required to be invested in this current assets is always higher than the funds available from current liabilities. This is the precise reason why the needs for working capital arise
Gross working capital and Net working capital Navnirman Institute Of Management.
Page 80
There are two concepts of working capital management
1. Gross working capital

Gross working capital refers to the firms investment I current assets. Current assets are the assets which can be convert in to cash within year includes cash, short term securities, debtors, bills receivable and inventory.
2. Net working capital

Net working capital refers to the difference between current assets and current liabilities. Current liabilities are those claims of outsiders which are expected to mature for payment within an accounting year and include creditors, bills payable and outstanding expenses. Net working capital can be positive or
Type of working capital

The operating cycle creates the need for current assets (working capital). However the need does not come to an end after the cycle is completed to Explain this continuing need of current assets a destination should be drawn Between permanent and temporary working capital.
1) Permanent working capital

The need for current assets arises, as already observed, because of the cash Cycle. To carry on business certain minimum level of working capital is Necessary on continues and uninterrupted basis. For all practical purpose, this Requirement will have to be met permanent as with other fixed assets. This Requirement refers to as permanent or fixed working capital
Page 81
2) Temporary working capital

Any amount over and above the permanent level of working capital is Temporary, fluctuating or variable, working capital. This portion of the required working capital is needed to meet fluctuation in demand consequent upon changes in production and sales as result of seasonal changes
(A)ESTIMATION OFCURRENT ASSETS: (a)Cash and bank balance (b)Inventories (c)Sundry debtors (d)Other current assets (e)Loans and advances Total current assets (B)ESTIMATION OF CURRENT LIABILITIES: (a)Current liabilities (b)Provisions Total current liabilities NET WORKING CAPITAL MANAGEMENT(A-B)
2008-2009 7,696,254.63
2009-2010 14,428,435.96
2010-2011 23,256,851.15
439,489,563.00 444,238,725.00 454,908,877.00 214,344,414.38 257,999,205.35 316,171,398.93 27,037,576.41 5,946,615.49 39,412,726.84 9,110,522.79 _ 123,569,898.88
694,514,423.91 765,189,615.97 917,907,025.96 _ 97,046,495.84 22,098,000.00 _ _
121,470,906.47 252,474,170.61 22,823,000.00 25,555,000.00
119,144,495.84 144,293,906.47 278,029,170.61 575,369,928.07 6,208,95709.5 639,877,855.35
RATIO ANALYSIS Navnirman Institute Of Management.

Page 82
RATIO ANALYSIS-OVERVIEW
Ratios:
1. Provide a method of standardization 2. More important - provide a profile of firms economic characteristics and Competitive strategies. Although extremely valuable as analytical tools, financial ratios also have Limitations. They can serve as screening devices, indicate areas of Potential strength or weakness, and reveal matters that need further Investigation. Should be used in combinations with other elements of financial Analysis. There is no one definitive set of key ratios; there is no uniform definition For all ratios; and there is no standard that should be met for each ratio. There are no "rules of thumb" that apply to the interpretation of financial Ratios. The main object of all the business concerns is to earn profit. Profit is the measurement of the efficiency of the business. Equity shareholders of the company are mainly interested in the profit ability of the company. Profitability ratios include the following:
1. Gross profit ratio. 2. Net profit ratio. 3. Operating ratio. 4. Expense ratio. 1. Gross profit ratio:
Page 83

It is a ratio expressing relationship between gross profits earned to net sales.
Gross Profit Gross Profit Ratio = ------------------- * 100 Net Sales
YEAR Gross profit ratio = Gross profit/ Net sales 100
2009
245,964,798.80 1,278,592,119.69 100
19.23
2010
336,734,429.63 1,588,104,996.85 100
21.20
2011
389,144,347.32 1,907,927,818.75 100
20.39
Page 84
percentage
21.5 21 20.5 20 19.5 19 18.5 18 2009 2010 2011 percentage
Interpretation: here we can see that the gross profit ratio in 2010 increased by 1.97%.
It shows the efficiency of the firm but in 2011 the gross profit ratio is decreased by 0.81% so we can conclude that in this year the company lost its ability of controlling the cost of its inventory and manufacturing products.
Page 85

1. Net profit ratio:
The ratio is valuable for the purpose of ascertaining the overall profitability if business and shows the operating efficiency of the business.
Net Profit Net Profit Ratio = ------------------- * 100 Net Sales YEAR 2009 Net profit ratio = Net profit/ Net sales 100 (72,795,251.75) 1,278,592,119.69 100 % (5.69)
2010
17,907,724.38 1,588,104,996.85 100
1.13
2011
146,521,559.86 1,907,927,818.75 100
7.68
Page 86
2009 -39% 2011 53% 2010 8%
Interpretation: In the year 2009, a company is having net loss a 5.69 % that means company is unable to pay all the expenses of the firm but in the next year increasing trend of net profit shows that it is able to pay all the expenses of the firm including taxes, interest and depreciation.
Page 87

3. Operating ratio:
It is a ratio showing relationship between cost of goods sold plus operating expenses and net sales. It shows the overall efficiency of the firm.
cost of good sold + Operating Expenses Operating Ratio = --------------------------------------------------- * 100 sales revenue
YEAR
Operating ratio = COGS + Operating Expenses / Net sales 100
2009
[{1,032,627,320.89 + 226,618,642.76} 1,278,592,119.69] 100
98.48
2010
[{1,251,370,567.22 + 188,074,685.52} 1,588,104,996] 100
90.63
Page 88
percentage
100 98 96 94 92 90 88 86 2009 2010 percentage
Interpretation: The operating ratio is decrease by 7.85 %. It shows that a company has
good overall operating efficiency incorporating all the expenses of ordinary daily business activity so it is more profitable.
Page 89

5. Expense ratio: a. Administrative Expense Ratio
For the purpose of ascertaining relationship between operating expense and net sales, expense ratio are computed.
YEAR 2008 2009 2010
Administrative Expense Ratio = Administrative Expenses / Net Sales 100 33,542,824.32 1,097,348,091.96 100 80,495,996.48 1,278,592,119.69 100 51,053,332.30 1,588,104,996.85 100
% 3.06 62.95 3.21
percentage
70 60 50 40 30 20 10 0 2008 2009 2010 percentage
Page 90

b.Selling Expense Ratio.
YEAR
Selling Expense Ratio = Selling Expenses / Net Sales 100
2008
18,399,924.71 1,097,348,091.96 100
1.67
2009
34,069,226.03 1,278,592,119.69 100
2.65
2010
27,285,594.43 1,588,104,996.85 100
1.71
percentage
3 2.5 2 1.5 1 0.5 0 2008 2009 2010
percentage
Page 91
Ginza Industries Ltd. c.Financial Expense Ratio.
YEAR
Financial Expense Ratio = Financial Expenses / Net Sales 100
2008
82,356,448.66 1,097,348,096 100
7.50
2009
92,329,279.70 1,278,592,119.69 100
7.22
2010
109,755,758.79 1,588,104,996.85 100
6.91
2011
92,298,000 1,907,927,818.75 100
4.8
percentage
8 7 6 5 4 3 2 1 0 2008 2009 2010 2011 percentage
Page 92
Ginza Industries Ltd. (B) Liquidity ratio:

1. Current ratio:
Creditors extending credit to its customer or making a short-term bank loan are interested in more than a companys leverage. They want to know whether the customer will be able to lay its hand on the cash to repay. The current ratio is a financial ratio that measures whether or not a firm has enough resources to pay its debts over the next 12 months. It is important to note that a very high ratio of current assets to current liabilities may be indicative of slack management practices, as it might signal excessive inventories for the current requirement & poor credit management in terms of overextended accounts receivable. At the same time, the firm may not be making full use of its current borrowing capacity.Although there is no hard & fast rule, conventionally, a current ratio of 2:1 isconsidered satisfactory. The logical underlying the conventional rule is that even with a drop out of 50% in the value of current assets, a firm can meet its obligations.
current assets Current Ratio = -------------------------curent liabilities YEAR 2009 2010 Current Ratio = Current Assets / Current Liabilities 694,514,423.91 / 119,144,495.84 765,189,615.97 / 144,293,906.47 5.83 5.30
2011
917,907,025.96 / 278,029,170.61
3.30
Page 93
percentage
7 6 5 4 3 2 1 0 2009 2010 2011 percentage
Interpretation: Current ratio indicates the working capital position. The satisfactory ratio is 2:1 but company is showing good working capital position as their current ratio in 2009 and 2010 approx. 5:1. In 2011 the ratio is 3.30:1 showing less ratio then previous 2 years company should take corrective action to increase it.
Page 94

2. Liquid ratio:
A variant of current ratio is the liquid ratio or quick ratio which is designed to show the amount of cash available to meet the immediate payments. It indicates the liquidity position of the firm
Liquidity Assets Liquidity Ratio = -----------------------Liquid Liabilities
YEAR
Liquid Ratio = Liquid Assets / Liquid Liabilities
2009
255,024,860.91 / 119,144,495.84
2.14
2010
320950890.97 / 144,293,906.47
2.22
2011
462,998,148.96 / 278,029,170.61
1.67
Page 95
percentage
2.5 2
1.5 percentage 1
0.5
0 2009 2010 2011
Interpretation: The satisfactory ratio is 1:1. According to this we can conclude that GINZA industry is having very good liquidity position.
Page 96

(1) Proprietary ratio:
This ratio shows the relationship between shareholders fund and total assets. The result clearly shows the share of owners in the total assets of the company. When the proprietary ratio is substracted from one, the resultant figure represents the share of outsiders claim on the assets of the company.
shareholder fund Propritory Ratio = -------------------------total assets
YEAR 2009 2010
Proprietary Ratio = Proprietors Funds / Total Real Assets 463,982,577.30 1,780,714,199.51 100 507,402,438.96 1769677468.92 100
% 26.05 28.67
2011
633,293,035.09 2,016,168,161.98 100
31.41
Page 97
percentage
35 30 25 20 15 10 5 0 2009 2010 2011 percentage
Interpretation: The increasing rate of proprietary ratio shows that the financial
position of the GINZA industry is stronger, as it signifies that the proprietors have provided larger funds to purchase the assets.
Page 98

(2) Debt-Equity ratios:
This ratio shows the proportion of external and internal equities i.e. proportion of funds provides by long term creditors and that provided by share holders.
YEAR
Debt-Equity Ratio = Long term Liabilities / Owners funds 100
2009
2010
7,500,000 507,402,438.96 100
1.48
2011
62,454,893 633,293,035.09 100
9.86
percentage
12 10 8 6 4 2 0 2010 2011
percentage
Interpretation: An increasing ratio indicates that outside creditors have a larger claim
than the owners of the business.
Page 99

(2) Long term funds to fixed assets ratio: Normally, the fixed assets f business must be purchased out of fixed capital only, which includes share capital, reserves and long term liabilities. This ratio, therefore, shows the relationship between fixed capital and fixed assets the ratio must be 1:1 or more i.e. the fixed capital must be more than fixed assets or must at least be equal to fixed assets.
YEAR
Long term funds To Fixed Assets = Long Term funds / Fixed Assets 100
2009
1,136,947,694.15 1,589,068,317.84 100
71.50
2010
1,072,250,300.66 1,626,997,281.76 100
65.90
2011
1,025,447,307.45 1,827,875,475.94 100
56.10
Page 100
percentage
80 70 60 50 40 30 20 10 0 2009 2010 2011 percentage
Interpretation: A decreasing rate shows that fixed capital is also decreasing in comparison to fixed assets. The reason behind this decrease rate is that company is using short term forms in purchasing assets.
Page 101

(4) Return on capital employed:
It is the index of the profitability if the business and its obtained by comparing net profit with capital employed. The term employed includes share capital, reserves and long term loans.
YEAR
Return On capital Employed = Net Profit(Before Interest and Tax) / Capital Employed 100
2009
43,417,728.50 463,982,577.30 100
9.36
2010
142,578,418.17 507,402,438.96 100
28.09
2011
269,239,714.38 633,293,035.09 100
42.51
percentage
45 40 35 30 25 20 15 10 5 0 2009 2010 2011 percentage
Page 102

(5)Return on shareholders: It shows what percent of profit is earned on the capital invested by ordinary shareholders. This ratio is an indicator of the earning capicity of the capital employed in the business. This ratio reflects the overall efficiency with which capital is used. Return on Shareholders Funds = Net Profit / Shareholders Funds 100
YEAR
Return On Shareholders Funds = Net Profit / Shareholders Funds 100
2009
727,952,51.75 463,982,577.30 100
15.68
2010
17,907,724.38 507,402,438.96 100
3.52
2011
146,521,559.86 633,293,035.09 100
23.13
Page 103
25
percentage
15.68
23.13
20
15
10
3.52
0 2009 2010 percentage 2011
Interpretation: The profitability decreased from 2009 to 2010 by 11.56 % but in 2011 the shareholders got more return in comparison to 2009.
(C) Activity (turnover):
Activity Ratio:These ratios are calculated on the basis of cost of sales or sales, therefore, these ratios are also called as Turnover Ratio. These ratios indicate how efficiently the capital is being used to obtain sales; how efficiently the fixed assets are being used to obtain sales; and how efficiently the working capital and stock is being used to obtain sales.
Page 104
(1) Inventory turnover ratio:
Inventory turnover ratio indicates the efficiency of the firm in producing and Selling its products. It is calculated by dividing the cost of goods sold by average Inventory:
The average inventory is the average of opening and closing balance of Inventory in a manufacturing company like Ginza inventory of finished goods is Used to calculate inventory turnover ratio.
Cost of goods sold Stock Turnover Ratio = -------------------------average inventory
YEAR
Stock Turnover Ratio = Cost Of Goods Sold / Average Stock
2009
245,964,798.80 328,172,722.50 100
0.75
2010
336,734,429.63 344,971,204 100
0.98
2011
389,144,347.32 322,260,351 100
1.20
Page 105
percentage
1.4 1.2 1 0.8 0.6 0.4 0.2 0 2009 2010 2011 percentage
Interpretation: A higher inventory turnover ratio is better than a lower inventory turnover ratio. A higher ratio implies good inventory management and an indication of under investment lower inventory turnover ratio indication of excessive inventory and over investment in inventory.
Page 106
(2) Total assets turnover ratio:

The amounts invested in business are invested in all assets jointly and sales are affected through them to on profit
YEAR
Total Assets Turnover = Sales / Total Assets
2009
1,278,592,119.69 1,780,714,199.51 100
71.80
2010
1,588,104,996.85 1,769,677,468.92 100
89.73
2011
1,907,927,818.75 2,016,168,761.98 100
94.63
100 90 80 70 60 50 40 30 20 10 0 2009
percentage
percentage
2010
2011
Page 107

Interpretation: The increasing rate of total assets turnover ratios shows that company has a capacity to sell more and as such its profitability is more.
Bibliography.
Books. Marketing Management Marketing Management By Philip Kotler. EditionPage Nos. 3,298,315-334,471-495,471-484 Human Resource Management. Human Resource Management text And Cases. By- K. Aswathappa. Edition-6th
Page 108

Page Nos. 11-15,21-23,96-111,123-136,.144-148,170-183, 196-198, 220,247-262. Site.
http://www.ginzalimited.com/products.htm http://ginzalimited.tradeindia.com/company-profile.html http://ginzalimited.tradeindia.com/ http://www.cim.co.uk/resources/understandingmarket/definitionmkting.aspx
Other.
Magazines, Pamphlets, Notes..
Annexure. 4.1 Profit & Loss Account

1-Apr-2009 to 31-Mar-2010 Year ended 31.03.2010 (Rs.) (Rs.) year ended 31.03.2009
Income
Sales 1,278,592,199.69 Increase\decrease in stock 1,588,104,996.85
(16,771,656.oo) 50,368,619.00
Page 109

Other income 5,351,118.73 4,347,381,.85 1.576,684,459.58
TOTAL
1,333,308,120.54
EXPENDITURE
Raw materials 971,430,120.97 857,758,010. 16,067,461.86
Store & spares 16,575,045.78 Payments to and provisions for employees 109,481,564.47 Power & fuel
142,466,527.59
82,585,265.10 77,578,399.28 22,049,535.70
Processing , colouring ,& hand printing & cutting charges 21,602,870.10 Administrative & other expenses
51,053,332.30 55,976,781.74 27,265,594.43 34,069,226.03 109,755,758.79 112,053,420.25 121,188,203.46 92,329.279.70 1,543,861,800.20
Selling and distribution expenses
Interest
Depreciation
TOTAL
1,377,424,597.55 Less: deferred revenue expenditure 4,159,560.00 Profit before taxation & exceptional item (48,276,037.01) Less: exceptional item 24,591,214.74
4,159,560.00
28,663,099.38
10,755,375.00
Page 110

Profit before taxation (72,795,251.75) Less: provision for current taxation Less: provision 1,125,000.oo for fringe 17,907,724,38
725,000.00 benefit tax
Less: provision for deferred tax liability (19,690,427.07) Profit after taxation (54,229,427.68) Add: items Balance b\f from previous year 367,076,341.98 Less: income tax payment Balance carried to balance sheet 312,846,517.30Basic and diluted earnings per share (6.10)
(24,363,425.39)
41,546,149.77
1,873,711.89 312,846,517.30
356,266,517.30 4.68
4.2 BALANCE SHEET

1-Apr-2009 to 31-Mar-2010
Sources of funds 1.shareholders funds a)share capital b)reserves & surplus 463,982,577.30 2.loan funds a)secured loans b)unsecured loans 1,136,947,694.15 3.deferred tax liabilities 1,064,750,300.66 7.500,000.00 1,O72,250,300.66 1,136,947,694.15 0.00 88,831,060.00 418,571,378.96 507,402,438.96 88,831,0 60.00 375,151,517.30 31.03.2010 31.03.2009
57,452,988.54 81,816,413.93
Page 111

TOTAL 1,682,746,685.30 Application of funds 1.fixed assets a) gross block b) less: depreciation c)net block d)capital work in progress 1,626,997,281.76 622,509,428.81 1,004,487,852,.95 2,575,744.00 1,086,199,775.60 1,007,063,596.95 1,589,068,317.84 502,868,542.24 1,086,199,775.60 1,637,105,728.16
2. investments
827,300.00 8,698,300.00
3. current assets , loans & advances a)inventories b)sundry debtors c)cash current assets d)other current assets e)loans and advances 444,238,725.00 257,999,205.38 14,428,435.96 39,412,726.84 9,110,522.79 765,189,615.97 less: current liabilities & provisions Current liabilities Provisions 121,470,906.47 22,823,000.00 144,293,906.47 Net current assets 575,369,928.07 4. Miscellaneous expenditure (to the extent not Written Off or adjusted) 620,895,709.50 97,046,495.84 22,098,000.00 119,144,495.84 439,489,563.00 214,344,414.38 7,696,254.63 27,638,724.98 5,345,448.92 694,514,423.91
Page 112

Deferred revenue expenditure 8,319,121.71 12,478,681.71 1,637,105,728.16
TOTAL 1,682,746,685.38
4.3 Profit & Loss Account

1-Apr-2010 to 31-Mar-2011
Year ended 31.03.2011 31.03.2010 (Rs.) (Rs.)
year ended
Income
Sales 1,33,22,35,082.85 Increase\decrease in stock 1 ,90,79,27,818.75
(2,86,50,050.00) (1,67,71,656.00)
Page 113

Other income 16,99,305.43 53,51,118.73 1,880,977,074.18
TOTAL
1,32,08,14,545.58
EXPENDITURE
Raw materials 1,05,49,15,820.23 71,55,60,206.97 43,52,17,600.45 34,56,47,276.98 9,22,98,000.83 10,97,55,758.79 12,16,03,939.12 12,11,88,203.46 1,70,40,35,360.63
Manufacturing & other expenses
Interest
Depreciation
TOTAL
1,29,21,51,446.20 Profit before taxation & exceptional item 2,86,63,099.38 Less: exceptional item 1,07,55,375.00 Add: excess dep provided in earlier years written back 15,47,316.90 Add: prior period items 3,26,394.99 Profit before taxation 1,97,81,436.27 Less: provision for taxation 7,25,000.00 Less: provision for deferred tax liability (2,43,63,425.39) : income tax for earlier years Add: MAT credit entitlement
17,69,41,713.55
4,51,61,168.69
1,44,76,014.00
2,65,001.00
14,65,21,559.86
2,37,05,000.00
2,73,83,122.00
10,35,213,73 3,14,92,372.00
0.00 0.00
Page 114

Profit after taxation 4,34,19,861.66 Balance b\f from previous year 31,28,46,378,96 Balance carried to balance sheet 35,62,66,378.96 Basic and diluted earnings per share 4.89 12,58,90,596.13
35,62,66,378.96
48,21,56,975,09
14.17
4.4 BALANCE SHEET

1-Apr-2010 to 31-Mar-2011
Sources of funds 1.shareholders funds a)share capital b)reserves & surplus 50,74,02,438.96 2.loan funds a)secured loans b)unsecured loans 1,07,22,50,300.66 3.deferred tax liabilities 96,29,92,414.45 6,24,54,893.00 1,02,54,47,307.45 1,06,47,50,300.66 75,00,000.00 88,831,060.00 54,44,61,975.09 63,32,93,035.09 88,831,0 60.00 41,85,71,378.96 31.03.2011 31.03.2010
8,48,36,110.54 5,74,52,988.54 1,74,35,76,453.08
TOTAL 1,63,71,05,728.16
Page 115
Application of funds 1.fixed assets a) gross block b) less: depreciation c) net block d)capital work in progress 1,82,78,75,475.94 72,96,13,739.92 1,09,82,61,736.02 4,50,000.00 1,00,70,63,596.95 1,09,87,11,736.02 1,62,69,97,281.76 62,25,09,428.81 1,00,44,87,852.95 25,75,744.00
2. investments
8,27,300.00 8,27,300.00
3. current assets , loans & advances a) Inventories b) Sundry debtors c) Cash & bank balance d) loans and advances 45, 49, 08,877.00 31, 61, 71,398.93 2,32,56,851.15 12,35,69,898.88 91,79,07,025.96 Less: current liabilities & provisions Current liabilities Provisions 252,474,170.61 25,555,000.00 27,80,29,170.61 Net current assets 62,08,95,709.50 4. Miscellaneous expenditure (to the extent not Written Off or adjusted) 63,98,77,855.35 12,14,70,906.47 2,28,23,000.00 14,42,93,906.97 44,42,38,725.00 25,79,99,205.38 1,44,28,435,96 4,85,23,249.63 76,51,89,615.97
Page 116

Deferred revenue expenditure 41,59,561,71 83,19,121.71 1,74,35,76,435.08
TOTAL 1,63,71,05,728.16
Page 117

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Ginza Industries Ltd.

CH-1- INDUSTRY PROFILE.

Navnirman Institute Of Management.

Ginza Industries Ltd.

Government has even made effort to include benefits for Garment

Navnirman Institute Of Management.

Ginza Industries Ltd.

Navnirman Institute Of Management.

Ginza Industries Ltd.

In southern Indias Tripura town, young girls are lured to work

The Indian Garment industry is today modernized via an

According to a study China and India will be major gainers.

The garment industry in India faces stiff competition from

Garment Industry in India is looking at achieving an export

target of $25 billion.

The industry today would need an additional 1.5 million

An investment of Rs. 35000 core in terms of related

Navnirman Institute Of Management.

Ginza Industries Ltd.

1.4 MAJOR INDIAN PLAYERS:-

Navnirman Institute Of Management.

Ginza Industries Ltd.

The Indian Garment Industry has an overwhelming presence in the

1.6 EMPLOYMENT GIVEN BY INDUSTRY:-

It would provide direct employment to over 35 million people by

including women and backward classes.

1.7 FUTURE TREND:-

The world of clothing is always changing, as new cultural influences

Navnirman Institute Of Management.

Ginza Industries Ltd.

Navnirman Institute Of Management.

Ginza Industries Ltd. 2.1 INTRODUCTION:-

Ginza offers the biggest range of garment fashion accessories in

Equipped with latest machinery and expert technicians, Ginza has

Ginza has its own brand name Intense.

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Ginza Industries Ltd.

Mr. Arvind Sethia

Mr. laxmipat banthia

Whole time director

Mr. maganmal baid

Whole time director

Mr. ajay agrawal

Whole time director

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2.4 Goals of the Company:

As Ginza is new in the Garment sector the main objective of Ginza

To provide good quality and designer garments to the customers and

exapand its turnover from approx 20 crore to 25-30 crores.

Ginza believes that quality is a dynamic and has to be integrated into

Ginza also won the WRAP (Worldwide Responsible Accredited

Production) certification in December, 2009.

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Ginza Industries Ltd. 2.5 BANKERS.

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Ginza Industries Ltd. 2.5 LOCATION :-

Plot No. 61, Road No. 4, parel Park, Sachin, Surat

Navnirman Institute Of Management.

Ginza Industries Ltd. Organizational Chart.

Human resource marketing Manager manager

import & export manager

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Ginza Industries Ltd. Know the company:

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