CHAPTER 1

“INTRODUCTION TO
SMALL SCALE INDUSTRIES”

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 INTRODUCTION:
The growth of Small Scale Industries in our country has provided
opportunities for self employment to educated youth Small Scale Industries
are regarded as a power tool for balanced regional economic development. On
the basis of the recommendations of the Central Small Scale Industries
Advisory Board, the state level organizations have been set up in all states to
assist the Small Scale Industries with regard to for distribution of various
industrial raw materials by procuring the same from the main producers
against the allocation made by ministry of Steel, Coal etc., establishment of
industrial estates etc. Karnataka State Small Scale Industries Development
Corporation Limited is one such Organization established on29th April 1960
under the Companies Act 1956.
Industries play an important role in the economic development of any
nation. Without industries, economic development is impossible. Again, in a
backward & developing economy like India, industries are indispensable. That
is why; Dr. Sir. M. Visvesvarayya remarked “Industrialize or Perish”.
Development of industries is not only indispensable for India, but also
there is good scope for the development of industries in our country. India has
many favorable factors for the development of industries.
Small-Scale Industries, started in rural areas, can provide alternative
employment to agricultural labour & relieve the pressure on the agricultural
land. They can also provide work to the farm workers during the non-
agricultural season. & also Small-Scale Industries offer scope for the
development of the hidden talents of people.
Since Small-Scale Industries form an important component of our
Industrial Set up was decided to concentrate on the Small-Scale Industrial
sector in this study.

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 CHAPTER 2

“INDUSTRY PROFILE”

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 HISTORY OF THE CORPORATION

KSSIDC (then Mysore Small Industries Corporation) is rendering

services to the small sector in the State for more than 40 years. It is both
befitting and appropriate to look back over the years and trace some of the
important events that took place during the period. With a moderate beginning
by occupying a small rented building in the outskirts of Bangalore, the
Corporation moved to its own building in the Rajajinagar, Industrial Estate.
Until around 1960, the State Government’s efforts to encourage the
development of small-scale industries were being pursued by the Department
of Industries and Commerce as a part of the Department’s overall strategy for
a comprehensive industrial development. From 1960, MSIC, then KSSIDC,
took over the activities relating to the management and setting up of industrial
estates and distribution of raw materials and started to give a new orientation
to this aspect of development. The Corporation started with an initial share
capital of Rs.10lakhs, which were gradually stepped up. The State
Government’s contribution to the equity of the Corporation during the first 10
years was Rs.20lakhs. The paid up equity capital of the Company for the year
ended 31st March 2004 was Rs.2466.66 Lakhs.
THE CRITERION FOR SMALL UNITS
Criterion for small units: Investments in fixed assets in plant &
Machinery has been criterion to determine the scale of the industrial sector of
unit. It is pertinent that investment in other assets such as Administration
Building, Lands & other fixed assets is not taken in to account. The traditional
measurement of size by the number of employees is not adopted.

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 CLASSIFICATION OF INDUSTRIES:
 Tiny Industry: Tiny Scale industry is one in which the
investment in
Plant and machinery is less than Rs.25 Lakhs irrespective of
the location of the unit.
 Small Scale Industry: An industrial undertaking in which the
investment in fixed assets in plant and machinery whether
held on ownership terms or on lease or by hire purchase does
not exceed Rs.100 Lakhs.
 Medium & Large Scale Industry: An industrial unit which is not
classified as Tiny/Small Scale/Ancillary Industry shall be classified as
Medium/ Large Scale Industry.
ESTABLISHMENT AND MANAGEMENT OF INDUSTRIAL
ESTATES
The programme of establishment of industrial estates, which has been
carried out by the State Government involved in construction of industrial
sheds of various dimensions and providing them with essential amenities such
as roads, water supply, sewage line and electricity. The maintenance and
upkeep of the sheds also became a part of the responsibility of the
Corporation. Besides constructing and letting out the industrial sheds,
developed plots were also offered to the entrepreneurs to put up their own
factory sheds. The company also established exclusive and prominent
ancillary industrial estates in the vicinities of large and medium scale industry
to cater to their services to public sectors like BEL, ITI, HAL, NGEF, BHEL,
BEML, VISL and Mysore Lamps.

The Company has also established an exclusive Industrial Estate

under Dr. B.R.Ambedkar Birth Centenary Programme at Jigani Bangalore
District where 100 sheds have been constructed and 86 plots have been
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 formed with all infrastructures exclusively for SC & ST entrepreneurs. The
Allottees of these sheds are required to pay only 40% of its cost. The company
under VISHWA SHEDS SCHEME constructed 800 sheds all over the state for
the use of tiny units.
MARKETING ASSISTANCE TO SSI UNITS:
The Company with the objective of creating Market to SSI product
formulated a Sister Concern called KSIMC (Karnataka State Industrial
Marketing Corporation) with an investment of 35 Lakhs. Till date the
Company fared well in catering the needs of SSI units to market their
products. The Company with a view to strengthen the marketing of the SSI
units participated in the tenders floated by Government Under takings and
Other Public Sector undertaking on behalf of SSI Units.
POWERS AND DUTIES OF OFFICERS AND EMPLOYEES:
KSSIDC being a company, the highest authority in the company is its
Board of Directors and being a Government company all the directors are
nominated by Govt. of Karnataka. The Board of Directors constitutes the
Chairman, Managing Director, and other Directors are nominated by the
Government from time to time.
Powers of the Board:
The Board of the company exercises all the powers that the Board of a
company exercises subject to the restrictions in the Articles of Association
which lays down that certain powers is to be exercised only with the approval
of Government. There is also a clause in the Articles of Association that
Govt. will have the power to give directions to the Board. The main
restriction in the power of the Board is that all capital expenditure above Rs.50
lacks is subject to approval of Govt.
Powers of the Managing Director:
The decisions taken by the Board and the Committees of the Board are
implemented by the Managing Director who has the powers of management of
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 the unit and looks after the routine day-to-day issues and other administrative
matters.
Powers of Officers:
The Board has delegated routine restrictive administrative powers to the
departmental heads for day-to-day affairs of the functional areas. The officers
in the cadre of General Managers, Chief Managers, Superintendent Engineer,
Company Secretary, Deputy. Chief Managers exercise the same. However,
the overall administrative control of the corporation is vested with the
Managing Director.
Turning small dreams in to big successes KSSIDC
The perfect business climate
Karnataka one of the India’s top five industrialized states, has always
been in the forefront of industrialization. The drive for industrialization started
as early as in the first decades of 20th century under the visionary leadership of
Sir Mirza Ismail and Sir M. Visveswaraya the legendary Dewans of the
erstwhile Mysore State.
Today, Karnataka is one of the most preferred destinations for global
investments in high technology sectors like IT and Biotech, as well as in the
old economy industries like automobiles, steel, cement, garments, agro food
processing, etc.
Karnataka’s strength lies in its strong technological base, highly skilled
human resources, enlightened government policies and investor-friendly
business environment.
KSSIDC
A true friend of the small and medium entrepreneur KSSIDC has been
established to give a helping hand to the small and medium entrepreneurs of
the state to take the chant of industrialization to the grass root level. If you are
a small or medium entrepreneur with a viable business model, KSSIDC will

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 help you all the way right from providing land and industrial sheds, to
assisting with managerial and technical support, to sourcing of raw materials.
KSSIDC’s Services
 Establishment of Industrial Estates
 Construction of Industrial Sheds
 Development of Plots
 Engineering services for construction
 Sourcing of raw materials
 Management guidance to SSIs
 Business Centre’s
So far, KSSIDC has established 158 industrial estates in various parts of
the state& constructed 5600 Sheds & developed & 3615 Industrial Plots of
various dimensions in these industrial estates that cover an area of over 2500
acres. All these industrial estates are fully developed with all necessary
infrastructures like roads, electricity, water, telecommunications, drainage etc.
KSSIDC MANAGEMENT
The KSSIDC is managed by a team of 11 Directors on the Board
including one Chairman and the Managing Director. All these Directors on the
Board are appointed by Government only.
STRUCTURE OF THE COMPANY
The Company apart from Board of Directors and Managing Director
General Manager, Chief Managers including a Superintendent Engineer, who
constitute the core of the service management. The Company, apart from its
Head Office at Bangalore has Three Zonal Offices of which, one is situated at
Bangalore, another at Hubli and Third one at Mysore. The Company has
Eleven Division Offices headed by Deputy Chief Managers and 27 Raw
material Depots spread throughout the State of Karnataka. The total staff
strength of the company is 363.

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 The company has computerized most of its activities with a view to keep
up-dated information in all the spheres of small industries development. The
computer is being used mainly for processing pay rolls, financial accounts,
raw-material inventory accounting, and preparation of estimate, tender and
also to process the management information system to aid the management on
the day-to-day administration. The company is also making efforts for
simplifying the procedures and to de-centralize the powers so as to ensure that
the decisions are taken even at the field level.
BOARD STRUCTURE
State Government nominates all Directors.
Total numbers of Directors are eleven.
Official Directors : Nine Directors
Non-Official Directors : Two Directors
Quorum : Four Directors

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 Sl Name Sri/Smt Designation & Office Director
Address of Director Since
1 D.C.Gowrishankar Chairman KSSIDC Ltd. 30-09-2008
Bangalore
2 P.Ganeshan, I.A.S Managing Director 13-02-2009
KSSIDC Ltd.
3 B.S.Ramprasad, I.A.S Addl.Secretary to Govt. 31-07-2008
C&I Department
4 Dr.Vishal. R, I.A.S Deputy Secretary to 31-05-2008
Govt. Finance
Department
5 Dr.Rajkumar Khatri, Secretary to Govt. C & I 31-05-2006
I.A.S, Department Bangalore
6 Kaushik Mukherjee, Managing Director, 31-07-2008
I.A.S KSFC
7 T.Sham Bhat, I.A.S Chief Executive Officer 16-07-2008
& Executive Member ,
KIADB
8 N.L.Peshve Chief Engineer (C&B), 19-04-2008
Public Works
Department.
9 K.L.Rao Director, MSME 31-05-2008
Development Institute
10 H.V.S.Krishna President, Laghu Udyog 12-03-2007
Bharthi, Karnataka
11 Aravinda N Burji President KASSIA 18-08-2008

MCKINSEY 7-S MODEL OF ORGANIZATION STUDY:

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 The 7-S-Model is better known as McKinsey 7-S. This is because the two
persons who developed this model, Tom Peters and Robert Waterman, have
been consultants at McKinsey & Co at that time. Thy published their 7-S-
Model in their article “Structure Is Not Organization” (1980) and in their
books “The Art of Japanese Management” (1981) and “In Search of
Excellence” (1982). The model starts on the premise that an organization is
not just Structure, but consists of seven elements:
Those seven elements are distinguished in so called hard S’s and soft S’s. The
hard elements (green circles) are feasible and easy to identify. They can be
found in strategy statements, corporate plans, organizational charts and other
documentations.
The four soft S’s however, are hardly feasible. They are difficult to
describe since capabilities, values and elements of corporate culture are
continuously developing and changing. They are highly determined by the
people at work in the organization. Therefore it is much more difficult to plan
or to influence the characteristics of the soft elements. Although the soft
factors are below the surface, they can have a great impact of the hard
Structures, Strategies and Systems of the organization.
McKinsey 7S model involves seven interdependent factors which are
categorized as either "hard" or "soft" element

Hard Elements Soft Elements

Strategy Shared Values
Structure Skills
Systems Style
Staff

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 "Hard" elements are easier to define or identify and management can directly
influence them: These are strategy statements; organization charts and
reporting lines; and formal processes and IT systems.
"Soft" elements, on the other hand, can be more difficult to describe, and
are less tangible and more influenced by culture. However, these soft elements
are as important as the hard elements if the organization is going to be
successful. The way the model is presented in Figure 1 below depicts the
interdependency of the elements and indicates how a change in one affects all
the others.

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 Let's look at each of the elements specifically:
 Strategy: the plan devised to maintain and build competitive advantage
over the competition.
 Structure: the way the organization is structured and who reports to
whom.
 Systems: the daily activities and procedures that staff members engage in
to get the job done.
 Shared Values: called "super ordinate goals" when the model was first
developed, these are the core values of the company that are evidenced in
the corporate culture and the general work ethic.
 Style: the style of leadership adopted.
 Staff: the employees and their general capabilities.
 Skills: the actual skills and competencies of the employees working for
the company.

McKinsey 7S model with respect to KSSIDC

STRATEGY:
A strategy is the determination of the basic long term goals and objective
of an enterprise and the adoption of the course of action and allocation of
resources necessary for carrying out these goals.
The main strategy of KSSIDC is aimed to provide sustainable advantage to
the small-scale industries through their best service. KSSIDC has a customer
oriented approach that it could encourage small entrepreneurs entering the
field of business.
STRUCTURE:

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 The Company apart from Board of Directors and Managing Director
General Manager, Chief Managers including a Superintendent Engineer, who
constitute the core of the service management. The Company, apart from its
Head Office at Bangalore has Three Zonal Offices of which, one is situated at
Bangalore, another at Hubli and Third one at Mysore. The Company has
Eleven Division Offices headed by Deputy Chief Managers and 27 Raw
material Depots spread throughout the State of Karnataka. The total staff
strength of the company is 363.
SYSTEM:
Imparting training to the staff on various subjects organized through
KSPBE & other organization. Also organizing computer training programme
to needy staff based on request from the concerned officers of the KSSIDC
with the assistance of the Corporation department. Providing periodical
statistical information to the Government & to other inter-connected
departments.
SHARED VALUES:
The corporation’s principle objective is the promotion and development
of Small Scale Industries in the state. Construction and utilization of
infrastructure especially in backward areas procurement and marketing of raw
materials, technical support and assistance are means to reach the goals. A
concern for results, emphasis on quality and timely work and willingness to
understand problems of the entrepreneurs the staff creed and KSSIDC
constantly strive for this end.
STYLE:
In KSSIDC employees having dynamic & challenging behavior. The
targets are fixed in the beginning of the year and monitored according to the
scheme. The action plan is prepared at the commencement of the year i.e.
April of every year and work proceeds accordingly.

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 The style is neither strictly top down nor bottom up. It’s more of
transparent; any subordinate can interact with any superior at any time. The
decision making parameter is authoritative.
STAFF:
The functioning and activities of different departments and the personnel
have been aligned to achieve company’s business objectives by giving thrust
on rationalization of man power and focus on proper utilization. The
manpower strength as on 31st March 2008 was 372 of which 59 are women
employees. The proportion of SC/ST employees constituted 26.73%. Three
officers are on deputation from government of Karnataka and 12 officers/
officials have gone on deputation from the corporation to other organizations.
SKILLS:
The KSSIDC has personnel with a variety of skill. For different fields
they have personnel with different talents, skills and experience. It is a
participative democratic system so every decision is taken after discussion
with the personnel. Hence the personnel have good communication skills. The
company as a whole is very much skilled with the availability of intellectual
man power and resources.

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 CHAPTER 3

“ORGANIZATION STRUCTURE”

ADMINISTRATION:

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BIMS BANGALORE Page 17
 TECHNICAL SECTION:

CHIEF ENGINEER
(Vacant)

Supdt. Engineer

Steno

EE-I E.E.-II E.E.-III EE (Ele)

BNG Hubli Mysore

AEEs- AEEs- AEEs-

H.O. & Hubli, MYS,
PNY BGM, MNG
GLB

JE (SG)-Ele-
BNG/Hubli
JEs(SG)- JE (SG)- JEs (SG)-
BNG BGM MYS

J. E.- GLB

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 CHAPTER 4

“DEPARTMENTAL PROFILE”

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 All Departments
1. Industrial Estate Activities:
Information such as allotment of sheds / plots, issue of
notifications, bidding, auctioning, allotment, pricing policy, execution of sale
deeds, resumption of sheds / plots etc. including Co-ordination covering
LA/LC matters.
KSSIDC Constructs/ Develops Sheds and Plots for allotment SSI
entrepreneurs in various Industrial Estates:
Table showing the Dimension of sheds :
Type Size Total Area Plinth Area Open Space
Shed (In Meter) (In Sq. Meter) (In Sq. Meter) (In Sq. Meter)

A 21x43 903.00 500.00 403.00

B 21x26 546.00 264.00 282.00

C 21x18 378.00 171.00 207.00

D 13.5X18 243.00 95.00 148.00

SM 9.50X12.5 119.00 63.00 -

M 4.25X8.5 36.00 28.00 -

Apart from the above KSSIDC has also constructed Flatted Factories in
Peenya, KEONICS, and Rajajinagar.

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 Table showing the Dimension of Developed Plots:
Plot Type Area In Sq.Meter
L 785.00
M 1045.00
N 2049.00
P 903.00
Q 546.00
R 378.00
S 243.00
Odd Size

NOTIFICATION FOR ALLOTMENT OF INDUSTRIAL STRAY

SHEDS/FLATS/GODOWNS:
Applications are invited from S.S.I. entrepreneurs for being
considered for allotment under BID SYSTEM of Industrial Stray Sheds, Flats
& Godowns available in the below mentioned Industrial Estates in Bangalore
District.
AREA
INDUSTRIAL ESTATE SHED NO. BASE PRICE
(In Sq.Meter)
VEERASANDRA 1st D-82 181.72 6,56,400
stage
VEERASANDRA 2nd C-10 382.81 18,61,600
Stage
C-11 382.81 18,61,600
C-14 382.81 18,61,600
BOMMASANDRA 1st SM-90 116.40 5,75,700
Stage
SM-91 117.20 5,77,700
BOMMASANDRA 2nd B-9 542.85 25,07,400
Stage
HOSKOTE B-61 639.00 16,53,100
C-15 410.39 7,48,400
C-26 410.39 8,85,700
SM-47 90.00 3,05,400
SM-48 90.00 3,00,100
SM-49 90.00 3,10,100

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 DODDABALLAPURA A-109 989.18 31,21,500
A-110 985.80 29,97,000
B-89 538.89 17,66,700
B-100 680.00 21,05,300
C-63 361.57 12,91,900
D-50 187.62 5,00,700
MAGADI D-3 258.37 2,91,100
RAMANAGARAM C-25 313.10 11,83,900
PEENYA III STAGE C-99 338.65 18,91,000
RAJAJINAGAR - G-17 22.14 2,82,200
(GODOWN)
G-29 & 30 52.73 6,44,200
G-61 29.13 3,48,200
G-98 22.19 2,82,700
DYAVASANDRA - G-19 56.51 2,89,700
(GODOWN)
G-20 38.02 2,25,800
G-22 38.02 2,25,800
G-25 38.02 2,25,800
G-26 38.02 2,25,800

II. INDUSTRIAL FLATS:

BASE PRICE
AREA PER FLAT
INDUSTRIAL ESTATE Flat No. PER FLAT
(IN Sq.Meter)

ELECTRONIC CITY BL-I: A- 112, 205, 160.00 14,16,200

206,
212, 308
(FLATTED SHEDS) BL-II: A-202, 160.00 15,93,200
BL-II: A-203, 160.00 16,21,200
BL-II: A-307,308, 310 160.00 14,16,200
BL-III: A-307, 314 160.00 14,16,200
BL-I: B-203,309, 128.00 11,30,300
BL-II: B-306 128.00 11,30,300
BL-III: B-202,302 128.00 11,30,300

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 BL-I: C-311 112.00 9,87,500
BL-II: C-111, 204, 304 112.00 9,87,500
PEENYA II STAGE F-2, 5, 6, 7, 8, 10, 11 301.49 27,44,200
& 12
PEENYA III STAGE FF-6 & 7 302.23 28,77,400
SF-10 & 11 302.23 28,77,400
RAJAJINAGAR GF-3, SF-3 47.18 10,54,700
FF-5 69.60 16,00,400

LAND ACQUISITION DETAILS:

Sl. No. Description Extent in Acres.
1 Total Acquisition (since Inception) 2844.00
2 Through KIADB 1930.00
3 Through Govt. & Other Agencies 913.00

FOR REGISTRATION OF LAND/SHED:

The concession of Stamp Duty exemption and reduction of
Registration Charges will be available for lease deeds, lease-cum-sale and
absolute sale deeds executed by industrial units in respect of industrial plots,
sheds, flats allotted by State Infrastructural Developmental Agencies viz.
KIADB, KSSIDC, KEONICS, KSIIDC etc. and industrial co-operatives.
Industrial workers housing tenements and residential plots developed by
KSSIDC, KIADB and KEONICS will also be eligible for concession of stamp
duty exemption and reduction of registration charges.
The concessions will be as under:

Zone Extent of exemption on Regn.Charges applicable

stamp duty
Tiny and Medium & Tiny and Medium & Large

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 Small Scale Large Scale Small Scale
Industry
Industry Industry Industry
A Nil Nil Normal Normal
B 100% 50% Re. 1.00 per 50% of normal charges
Rs. 1000

C&D 100% 100% Re. 1.00 per Re.1 per Rs.1000

Rs. 1000

TERMS & CONDITIONS:

1) Prices indicated are approximate / tentative and are likely to increase or
decrease depending upon the cost components / actual dimensions of plots /
bit of lands. As per the rules of the Corporation. If there 'is any excess area
available more than the notified area, cost will be applicable as per the rates
fixed by the Corporation.
2) The Prescribed Application Forms and supplementary Application Forms
in duplicate along with the copies of sketches of the Plots can be obtained free
of cost from the office of the Chief Manager (IEs)-Zone-I or from the
respective Offices of Deputy Chief Manager (IEs)- Bangalore- Urban/ Rural -
K.S.S.I.D.C. LTD., Industrial Estate, Rajajinagar, Bangalore - 560010 /
DCM(IES), Peenya Division, KSSIDC LTD., PEENYA-SECONDSTAGE
,BANGALORE-58 on any working day during the Office hours or can be
down loaded from our website www.kssidc.kar.nk.in.
3) The filled in Application ·Form along with the supplementary application
form should be submitted in duplicate accompanied by copies of the SSI
Registration Certificate issued by the Department of Industries & Commerce,
detailed Project Report, documents in support of Educational Qualification,
with Latest Photograph, Caste Certificate in case of SC/5f applicants along
with Earnest Money deposit of 5 % of the cost of the Shed/ Plot /

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 Flat(refundable in case of non allotment &adjustable towards cost of Shed
/Plot / Flat in case of allotment and subject to forfeiture in case of failure to
accept the allotment of the Shed/ Plot/Flat ) PLUS scrutiny fee of
RS.562.00(inclusive of taxes & non refundable) by way of Demand Draft
drawn in favour of KSSIDC Limited payable at Bangalore. In case of SC/ST
applicants and women entrepreneurs the Scrutiny fee is Rs.225.00 (inclusive
of taxes & non refundable). Applicants shall enclose all the relevant
supporting documents in support of the information furnished in the
application & in supplementary application.
4) In case of existing units, documents like Audited Balance sheets (for 2
years)
& LT. Returns (for 3 Years) or PMT issued by DIC, or Vat Registration
Certificate etc.are to be famished.
5) The filled in application form with all enclosures may be submitted on
Or before 5.30 PM on 31.03.09 at the Office of Chief Manager (IEs) Zone-
At the respective Offices of Deputy Chief Manager (IEs)- Bangalore Urban
/ Rural - K.S.S.I.D.C. LTD., Industrial Estate, Rajajinagar, Bangalore -
560 010 / DCM (IES), Peenya Division, KSSIDC LTD., PEENYA-SECOND
STAGE, BANGALORE-58.
6) Allotment of Shed / Plot /Flat is on "AS IS WHERE IS BASIS", 99%
Of the allotment price of the plot is to be paid within 45 days from the date of
Communication of the allotment. In case of sheds / Flats, the allottee will
have the option of either payment of 99% of the shed / Flat price in one
Lump sum with usual six years lease period or the payment with EMI's spread
Over the lease period of six years.
7) Pre-qualification of application to determine eligibility will be followed
& the applicants eligible as per pre-qualification criteria will be considered
for allotment.
8) 15% of the Plot / Shed /Flats will be allotted to SC, 3% to ST and 2%
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 to Nomadic Tribes applicants, 3% for specially enabled persons with overall
30% representation to the Women Entrepreneurs.
9) Applicants belonging to SC and ST category are eligible for a subsidy
amount of 40% of the Shed / Plot price subject to maximum of Rs. 2.00
Lakhs. In case of allotment more than one Shed / Plot to the same applicant
Subsidy will be limited to 40% of the total price of the allotted Shed / Plot
subject to maximum limit of Rs.2.00 Lakhs.
10) An applicant may apply for one or more than one Shed / Plot / Flat
& in such cases, separate EMDs are to be paid for each Shed / Plot. / Flat.
11) Applications in the prescribed format without requisite enclosures and
EMD are liable to be rejected.
12) Allottees shall construct the industrial work shed / factory building
Within a maximum period of 2 years from the date of taking the possession
ofthe plot and after getting approval of plans from the competent authority. In
case of sheds, Industry shall start within one year from the date of
Possession.
13) Sale deed of Shed / Plot will be issued only after completion of
Minimum required lease period of 2 years and functioning of the unit and
Fulfillment of other terms and conditions indicated in the allotment letter &
the Lease cum Sale Agreement.
14) In case of non-starting of the Industry within the stipulated period
allotment of the shed will be cancelled and the amount paid will be forfeited.
Likewise, the allotment of plot will also be cancelled and the amount paid will
be forfeited if the allottee fails to construct the building and start the' Industry
within the stipulated time.

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 2. Commercial Department:
Identifying Market Demand for supply of Industrial Raw Materials,
procurement of industrial Raw Materials and its Geographical distribution to
the Zonal Offices, identifying the end users for issue of Raw materials,
invoicing, supply chain management, pricing, offering discounts, publication
of cinematic films, finalizing tenders for transportation etc. Entrepreneurial
Guidance Cell subsidy for Iron and Steel disbursement and allotment / Iron
and Steel to SSI units, demand survey of Iron and Steel, placing indent and
requirement before the ministry of steel.
In the Commercial Department they perform the activities of sale of raw
materials.
The Commercial Department structure as shown in following chart,

General Manager
(PR/Coml)

Chief Manager

Deputy Chief Manager

Manager

Assistant
Managers

Group- III
(Junior Assistants)

Group- IV
(Senior Assistants)

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 PROCUREMENT AND DISTRIBUTION OF RAW MATERIALS
(A) PROCUREMENT
 Raw materials like Iron and Steel are procured from Steel Authority of
India, Tata Iron and Steel Co., Rastriya Ispat Nigam Ltd., and Jindal
South West.
 Government of India allocates the quantity of Steel once in a year to
KSSIDC with Rs.550/- rebate per month.
 Items like MS Angles, MS Channels, MS plates, HR Sheets , CR Sheets,
GP Sheets, Joists, MS Rounds, TMT Bars (Thermo Mechanically Treated
for extra high strength) etc.
B. DISTRIBUTION
 KSSIDC has established 23 outlets for distribution of raw materials
throughout the State.
 One big stockyard with railway siding facility in Bangalore.
 Materials will be stock transferred to all the 23 depots from stockyard.
 Needy SSI units purchase the materials from the nearest outlet.
 KSSIDC has also allotted lands in strategic locations adjoining

State/National highways for establishing Petroleum Product outlets

On long lease basis.

CONSIGNMENT AGENCY UNDER RAW MATERIALS ACTIVITY

This Corporation has been appointed as the ‘Consignment Agent’
for Karnataka for the products manufactured by Kerala State Bamboo
Corporation Limited, Kerala under the brand name “BAMBOOPLY”.
Bamboo Plywood is made out of Bamboo Mats and Siler Oak Sheets. Bamboo
Plywood is water-resistant, heat resistant, termite proof, and economical, long
lasting, fire retardant, artistic and eco-friendly. It is ideally suited for

BIMS BANGALORE Page 28

 partitions, false ceiling, furniture, shutters, and bus seat backings and for
concrete shuttering. This plywood’s are also ideally suited for veneering and
for storage of food grains.
Bamboo is a fast growing grass, which is naturally available in abundance in
the forests of South India. Bamboo fibers are stronger than traditional
plywood and consequently cheaper than conventional plywood of equal
thickness.
Bamboo plywood has natural weaving pattern and looks elegant
which makes them versatile in use. Bamboo Plywood of different thicknesses
and sizes will be marketed through our Raw-material outlets.
KSSIDC IS OF CONSIGNMENT AGENT IN KARNATAKA FOR THE
PRODUCTS OF KERALA STATE BAMBOO CORPORATION
LIMITED MANUFACTURERS BAMBOO BOARD FACTORY:
Decorative laminations from the Strongest Natural Bamboo Fibre.
Water & Heat Resistant, Termite Proof, matchless in strength, Durable,
Elegant, Eco-friendly, wood, Substitute Material.

BIMS BANGALORE Page 29

 MULTIPURPOSE USES
False ceiling, Partition, Panelling, Table, Tea poy Top, Interior Decoration,
Auto Body Building etc.,
PRICE LIST

Feet: 6’ x 3’ 6 ‘x 4’ 8’ x 4’
Meter: (1.83x0.92) (1.83 x 1.22 ) (2.44 x 1.22 )

Sl. Thickness Rate per Rate per RATE PER SHEET (In Rs)
N0 Sq.Meter. Sq.Feet. 6’x3’ 6’x4’ 8’x4’
(In Rs) (In Rs)
1 3 mm 172.20 16.00 288.00 384.00 512.00
2 4 mm 199.10 18.50 333.00 444.00 592.00
3 6 mm 274.40 25.50 459.00 612.00 816.00
4 9 mm 387.40 36.00 648.00 864.00 1152.00
5 12 mm 473.40 44.00 792.00 1056.00 1408.00

1) The rates are net Ex-Factory, excluding taxes.

2) The rates are subject to change from time to time.

The company has also established 27 Raw-material depots

throughout the State to cater the needs of SSI units. The is company is
currently handling Industrial Raw Materials like Iron & Steel, Pig Iron,
Paraffin Wax, Coal & Coke, IPCL products. The industrial Raw Materials are
produced from main Steel producers namely SAIL, TISCO, IISCO, VSP, &
coal India ltd.
The KSSIDC is also acting as a acting as a consignee to distribute
IPCL Products marked by Reliance India ltd to cater the needs of SSI units at
Bangalore, Hubli & Mangalore.
The KSSIDC is also distributing the raw materials required by
Government Departments. & KSSIDC has also established centralized
Stockyard with Railway siding facility at Channasandra Stockyard is capable

BIMS BANGALORE Page 30

 of handling more than 1,00,000 Mts. Of Iron & Steel Materials including
Coal & Coke.
The ministry of coal Government of India has announced New
Coal Distribution Policy for the benefit of Small & Medium Industries to
procure their requirement of Coal through a State Nominated Agency.
Under the above Scheme the Government of Karnataka has an s
nominated KSSIDC as State Agency for distribution of Coal to Small &
Medium Industries in the State those requirements is below 4200 tonnes per
Annum. Accordingly, KSSIDC entered with Fuel Agreement with M/s Western
Coal Fids Limited Nagpur, Maharashtra & lifting the Coal & distributed to the
Registered Small & Medium Industries in the State.

KSSIDC is also initiating to distributable receipt of Indian Oil

Corporation Limited (IOCL) products like Plastic Granules, Packed Bitumen, &
Paraffin Wax, etc.

3. Engineering Department:
Inviting Tenders for construction activities awardal of
tenders. Contractor’s management, infrastructural development in Industrial
Estates, maintenance of Civil Works, building management and all functions
relating to Engineering Department and Electrical works.
NOTICE INVITING QUOTATIONS
(For Quality Control Services)
1. KSSIDC intends to take up massive construction activity at various
places in the State. The works taken up are WBM roads, Metalling,
Asphalting to the roads in Industrial Estates, Drainage works, Construction of
sheds, M.S. Buildings, Common Facility Centre’s, Formation of new
Industrial estates, Residential layouts under Kayakanagara Yojana etc.

BIMS BANGALORE Page 31

 2. KSSIDC intends to appoint Third Party Quality Control/Quality
Auditing Agencies for the above said works. The details of proposed works
are at Annexure-‘A’.
3. Interested agencies may quote their lowest rates for the quality
auditing of the above works either in lump sum / on percentage basis. The
terms and conditions are indicated below:
TERMS & CONDITIONS
TERMS & CONDITIONS FOR QUALITY CONTROL/QUALITY
AUDITING SERVICES FOR KSSIDC WORKS.
1. The quality control audit shall be carried out on the
following lines under the guidelines of tender
specifications outlined in addition to relevant Indian
Standard Code of Practice:

Buildings:
A minimum of 3 visits will be carried for quality inspection under the
following stages:
After excavation for foundation- for inspection of soil and confirmation of
type of foundation recommended.
b) Prior to casting of plinth slab/beam.
c) Prior to slab concreting. For inspection of shuttering and reinforcement
fabrication.During finishing works in progress for verification of quality of
construction, &overall examination of building, etc.
Roads
Inspection of pre-site conditions before work is taken up, after formation of
roads for inspection of type of soil and sub-base.
Inspection of WBM road formation, metal collection and metalling process.

BIMS BANGALORE Page 32

 Inspection of pre-road condition, material collection, inspection of asphalting
process.After completion of WBM road/asphalting road for inspection and
verification.
Culverts / CD works / Drainage
After excavation of foundation - for inspection of soil and confirmation of
type of foundation recommended.
Prior to casting of slab for culvert / CD works and casting of PCC / SSM
works in drains.During finishing works in progress for verification of quality
of works, overall examination of finishing works in culverts / CD works and
drainage.
PARTICIPATION IN EXHIBITIONS
The Company up to 1980 participated in a large number of National and
International exhibition as a part of dissemination of information as well as to
create Marketing Outlets for the products of SSI units. Participation in the
International Exhibition has resulted in securing substantial export order by
the SSI units. With this expertise the Company looks forward to help Export
Units to obtain their orders.
The Company up to 1980 participated in a large number of
National and International exhibition as a part of dissemination of information
as well as to create Marketing Outlets for the products of SSI units.
Participation in the International Exhibition has resulted in securing
substantial export order by the SSI units. With this expertise the Company
looks forward to help Export Units to obtain their orders.
OTHER ACITIVITIES:
The Company as a nodal agency for Co-Ordination with
Indian Standard Institution set up a laboratory at Peenya Industrial Estate for
ensuring the quality of the products manufactured in the State. This laboratory
provides modern testing facilities for types of products manufactured in
Engineering, Chemical, Electrical, Electronics and other similar areas. This
BIMS BANGALORE Page 33
 project with an investment of Rs. 100 Lakhs. Is financed by the State Govt.,
KSSIDC, KSFC, KSIIDC, NGEF, MML and IDBI. Further, the cost of
standardization and licensing fee will also be kept to minimum since the
laboratory will work on no profit basis. Likewise National Institute of Design
have come forward to associate with KSSIDC in setting up a branch of the
National Institute of Design at Industrial Estate, Rajajinagar and is extending
its services for the benefit of the small scale industry in improving the product
design and allied matter. Necessary infrastructure facility has been provided
by KSSIDC to this center.
Company has also provided the accommodation to National Productivity
Council for maintenance and service center at Peenya for the benefit of the
Small Scale Industries.
ENTERPRENEURAL DEVELOPMENT PROGRAMME.

The Company is extending necessary assistance for

organizing Entrepreneurial Development Programmes in various parts of the
State in association with TECKSOK and other commercial banks with a view
to identify the talents and to improve the quality of Entrepreneurial skill
amongst the educated youth.
SCOPE OF WORK :
KSSIDC requires support services and expertise for:
(1) Identification of lands suitable for establishment of Gems & Jewellary
Parks, Apparel Parks, Comprehensive Industrial Estates, and Housing
establishment for industrial workers. Establishment of functional industrial
estates throughout the State.
(2) To set up permanent industrial exhibition and convention centers in and
around Bangalore.
(3) Marketing vacant properties throughout the State of Karnataka.
(4) Identification of ideal locations and suitable lands for establishing
projects of the Corporation.
BIMS BANGALORE Page 34
 (5) Preparation of Project reports for the various projects detailed in (1) to
(4) above.
(6) Negotiations with Banks / Financial Institutions for arranging finance
and for completion of the projects of the Corporation.
(7) Negotiations with statutory and other agencies for implementation of the
projects.
(8) Evaluating tenders from construction agencies and preparing a detailed
report for the consideration of the Managing Director.
(9) Arranging for joint ventures with land owners / investors.
(10) Undertake to prepare necessary plans and obtain approved plans from the
concerned Agencies like local bodies and also ensure that the requirement of
pollution control and other statutory bodies are also met. Apart from this, they
should make necessary applications and follow up and obtain clearances from
the Govt. of India Organizations, Departments, as well as Excise and CBDT
etc., for clearances wherever required and ensure the projects fit into the tax
planning claims and benefits provided under I.T. / Excise Acts.

BIMS BANGALORE Page 35

4. Administration:

Information ccerning manpower, recruitment, termination, promotion,

disciplinary proceedings, transfers, the entire spectrum of human resource
management, Land acquisition matters, interface with Government agencies,
welfare activities of employees and all other information related to human
resources and Administration matters, including liaison with KIADB.
Maintenance of land records of industrial estates and its management.
Providing Securing Guards.

Administration Department Chart

BIMS BANGALORE Page 36

 ACTIVITIES OF PERSONNEL DEPARTMENT :
 Monitoring the Man Power of KSSIDC and Developing of staff to the
various Sections/Branches/Divisions.
 Imparting training to the staff on various subjects organized through
KSPBE and other Organization. An organizing computer training programme
to needy staff based on request from the concerned officers of the KSSIDC
with the assistance of Corporation Department.
 Appointment of Security Agencies to deploy Security Personnel to
various Industrial estates depending up on requirement.
 Various Staff Welfare Measures under HRD.
 Initiation of Disciplinary proceedings against erring Officers/Officials.
 Providing periodical statistical information to the Government and to the
other inter-connected departments.
Statistical Information of Officers/Officials working in Head Office and
Branch Offices, KSSIDC as on 21-10-2008
SL No of Employees working TOTA
NO. LOCATIONS L
ADM TECHNICAL
N
1 Head Office 178 16 194
(In & around Bangalore)
2 Branch Offices 127 24 151
3 Deputation to other 5 11 16
Boards/Corporations/OOD
4 Deputation from other 2 0 02
department to KSSIDC
5 Deputation from 17
TOTAL 312 51 380

BIMS BANGALORE Page 37

 N o. of O ffic ers/ O ffic ials on roll as on 0 1 .0 2 .2 0 0 9
S l. C adre ON S l. C adre ON
N o. R O L L N o. ROLL
1 G e n e r a l M a n a ge r 3 G R A D E -III
H E ADS O F DE PA R T M E NT 1 7 J u n i or E n gi n e e r (C i vi- l )
2 C h i e f M a n a ge r (A d m n .) 4 1 8 S e n i or A s s i s ta n t 83
3 S u pd t . E n gi n e e r 1 1 9 S te n ogr a ph e r 7
T ot al: 5 2 0 S e n i or T r a c e r 2
G R A D E -I S E N I O R 2 1 J u n i or A s s i s ta n t 54
4 D y.C h i e f M a n a ge r (A d m n . )1 2 2 2 H e a d T ypi s t 3
5 E xe c u ti ve E n gi n e e r (C i vi l ) 2 2 3 S e n i or T ypi s t 10
6 E xe c u ti ve E n gi n e e r (E l e c l .)1 24 T ypi s t -
T ot al: 1 5 2 5 S e l e ct i o n G r . D r i ve r 3
G R A D E -I J U N I O R 2 6 S e n i o r D ri ve r 10
7 A s s t. E xe c u ti ve E n gi n e e r - I (C i2vi0l ) 2 7 D r i ve r 1
8 A s s t. E xe c u ti ve E n gi n e e r - I I (C i4vi l) T ot al: 1 7 3
9 A s s t.E x e c u ti ve E n gi n e e r - I (E l
1 e c l ) G R A D E -IV
10 A s s t.E xe c u ti ve E n gi n e e r - I I (E le1c l ) 2 8 S e l . G r a de . A t t e n d e r 4
1 1 M a n a ge r (A d m n .) 18 2 9 S e n io r A t t e n d e r / S u pe rn u m er a r y S r . A t t r2. 2
1 2 P . S . t o M .D . 1 30 E lectr ician 1
T ot al: 4 5 3 1 A t t e n d e r 39
G R A D E -II 32 P eon 1
1 3 A s s t . M a n a ge r 37 T ot al: 6 7
1 4 S e n i or S t e n o 6 G R A N D T O T A3L6 3
1 5 J u n i or E n gi n e e r (S pl.gr a de )(C i1vi0l)
1 6 J u n i or E n gi n e e r (S pl.gr a de )- E l e2c l.
T ot al: 5 5

BIMS BANGALORE Page 38

BIMS BANGALORE Page 39
BENEFITS TO THE STAFF MEDICAL FACILITIES
 Rs.3000/- per annum to meet out-patient medical expenses @ Rs.1,500/-
for every six months on production self certificate.
 Rs.3000/- per annum to meet expenditure on diagnostic tests as Out-
patient expenses against production of bills from the recognized hospitals.
 Spectacles re-imbursement of Rs.300/- for three times during service.
 Reimbursement of In-patient expenditure at all recognized hospitals for
self & dependents. The recognized hospitals list includes WOCKHARDT,
MANIPAL, MALLYA, NARAYANA HRUDAYALAYA, HOSMAT, Etc.,
as per the norms of the Company.
 Staff Benevolent Fund Trust (SBF) is in existence in which the
management is contributing Rs.30, 000/- p.a.to the trust for the purpose of
interest free Bridge loan to the medical treatment. Employee’s contribution is
at Rs.5/- per employee per month. In case of death while in service a sum of
Rs.10, 000/- will be given by SBF Trust to the legal heirs.
THE NEED & REQUIREMENT:
KSSIDC desires to appoint consultants to provide guidance for
commissioning various projects of the Corporation detailed as above. The
consultant should possess an in-depth knowledge in identifying the lands
required for the projects and arranging the finance required for the projects at
a reasonable rate of interest. The consultants are required to be involved in
the projects from the project preparation stage till the completion of the
projects including marketing of the properties developed. The consultant
should have necessary infrastructure, expertise and human resources required
for the said purpose. (Consultant should have technical skills, knowledge, and
qualified staff in the technical fields pertaining to the project for preparation
of Project Reports and monitoring projects, which are going to be undertaken
by the Corporation). Thorough understanding of the geographical location
and the ability to liaison with other Government departments / agencies and
others is a basic and primary requirement.
5. Public Relations:
Maintain of stock
BIMS BANGALORE register’s and stock information
Page 40
Release of notifications,
Deputy Chief Manager paper advertisement,
Group- III procurement and maintenance
Manager
Assistant Group- IV
(C.A) purchase
of vehicles, (Junior
of all types of Assistants)
stationeries and Office furniture’s,
Managers (Senior Assistants)
CONCLUSION:
Karnataka is a developing State marching towards its development in
order to push our Karnataka to developed State so that development of Small
Scale Industries is much more essential. Then only possible to see over all
balanced development of our State.

Fully tap the potential of the Small Scale Sector to encourage the
establishment of new tiny & Small Scale industries, particularly in the rural
areas, to effective utilization of available resources in a efficient manner.

Last but certainly not the least as we know India is suffering from the
problem of over-population can be solved in two ways, viz.
 By checking the growth of the population.
 By improving the economic development of the country.
Improvement of the economy is synonymous with industrial development.
So, Industrial development is one of the means of controlling the problem of
over population of our country.

In such a scenario KSSIDC contributes vital role in development of our state

right from providing land & Industrial Sheds, to assisting with managerial &
technical support, to sourcing of raw materials. & creating interest to the
entrepreneurs to start up new kind & highly advanced industrial activities &
also creating more number of employment opportunities to new entrepreneurs.

BIMS BANGALORE Page 41

BIBLIOGRAPHY
www.kssidc.kar.nic.in
www.google.com
Annual report
Journals
Broachers

BIMS BANGALORE Page 42