DETAILS OF EACH DEPARTMENT

MEANING

The process of departmentation of any enterprise consists of

defining and enumerating individual task, grouping and classification
of tasks, delegation of authority for their accomplishment of the
specification of authority relationship between managers.

DEFINITION

Department is one of the key factors of organization process. It

implies grouping of various activities based on separate units. It’s
worth to mention the definition of department quoted by know of
O’Donnell.

In tribology india limited the following departments are as

follows.
1. Research and development department
2. Sales and marketing department
3. Personnel and administration department
4. Finance and accounts department
5. Central quality cell department
6. Production department
7. Purchase and stores department
1. RESEARCH AND DEVELOPMENT DEPARTMENT

In this department newly manufactured products are

researched and process is done for further development.
Research and development structure
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 Executive director

Research Scholars Research Officers

Research fellows

Research scholars are engaged in the research work of the

product to make in better and modernized, research fellows help
them, in their works.

FUNCTIONS, ROLES AND RESPONSIBILITY

The tribology india limited ranked top among many other

industries. The main reason is their efforts which they had of
research fellows strive hard in shaping the product more advance.
They apply new techniques to develop and attain a great fame I the
field.

2. SALES AND MARKETING DEPARTMENT

Sales and marketing department looks over the selling of

goods that has been produced. Receipt of order from customer is
received and according to this receipt. The marketing department
provides the needed goods the function of this department.

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 Sales and marketing department structure

Production manager

Sales manger

Sales executive

Customer

The sales executives and representatives convey the feeling of

the customers to the sales manager and help in satisfying them with
the right quality in the product. The production manager directs the
production department in their activities.

FUNCTIONS, ROLES AND RESPONSIBILITY

This department attract the customer by giving them an

earnest service and earns their goodwill. Thus in tribology there is
many regular customers who were fully satisfied with the product.
Their product marketing executives are engaged in this sales and
service they maintain warm relationship with their customer by
explaining the quality of personnel and administration department.

3. PERSONNEL AND ADMINISTRATION DEPARTMENT

Personnel management is that part of management function

which is primarily concerned with the human relationship with an
organization.

Personnel and administration structure

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 Executive

Senior manager personnel director

Executive

Executive

The director delegates work to the manager and the manager

delegates work to assistant manager and through assistant the
works will be delegated to the staff.

FUNCTIONS, ROLES AND RESPONSIBILITY

Sometimes some decisions may taken by the officers from

various areas of different departments. In such cases, the officer can
take the decision under such a rules is framing man power policy.
Man power planning it means by planning for human resources for
example what the facilities arranged for workers, analyzing the
work.

They maintain the punctuality of the workers and staff of the

company. They also relate the public with the company by their
communicating skill. They maintain the attendance register, time
punching machine, and the record. This overtime worked by the
wage earners in the factory. Their work is very important to assist
the administration of office and also for the finance department to
calculate their total wages.

4. FINANCE AND ACCOUNTS DEPARTMENT

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 It deals with the financial matter in production, sales and
giving salaries, wages etc. accounts department deals branches and
accounts matter.

Account assistant manager

Cashies head office branch band and

Accounting Accounting other works

The accounts department is maintained by assistant manager

cashier has a great risk of dealing the branch accounts are verified
at the head office and a final balance sheet is prepared to ascertain
the true financial position of the company.

FUNCTION, ROLES AND RESPONSIBILITY

The accounts department maintains the financial dealing of the

company. It collects the information from its branches and includes
it with the main office and give the annual report of the company. In
tribology the turnover is increasing rapidly and net profits of the
company was 80% before taxation. The finance department also
maintains the day books, separate record for the income and
expenses are maintained.

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5. CENTRAL QUALITY CELL DEPARTMENT

The central quality department gives the suggestions like what

temperature should be used for heating metals and the structure of
materials.

Technical consultant

Incharge central quality

Deputy superintendent

Multiprocessor quality cell

Technical consultant Is in full charge of checking the quality of

the products. The deputy superintendent checks and supervisors
every section of the factory and assist them to produce more
quality. Multiprocessor helps in the process of checking the quality
control.

FUNCTIONS, ROLES AND RESPONSIBILITY

Tribology india limited is very careful in issuing quality

products. This is the main reason for their goodwill. It checks the
finished goods in the quality control cell.
6. PRODUCTION DEPARTMENT

In this department the metal rolls are coated using the surface
treatment, heat treatment and tribo coating for the further process

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used to improve the wear and scuttling resistance of ferrous
material.

Senior Manager

Production manager building section maintain in charge

Assistant supervisor maintain in charge

Operator shifting incharge

maintain

The production supervisor is in charge of the department. He

directs the subordinates to check and guide the machine operators.
The person in charge of the workers guides them in the shift timing
of their work.

FUNCTIONS, ROLES AND RESPONSIBILITY

Tribology is involved in processing works like there plastic

coating, hardening and tempering, vacuum hardening of some
chemicals. This department is engaged in the processing work of the
given materials.

7. PURCHASE AND STORES DEPARTMENT

Stores and purchase department is otherwise known as

material department consists of stores section and purchase
section. This material, machinery etc of goods quality at a lower
price.
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 Material manager

Store purchase

Clerk assistant purchase engineer assistant technical

The material manager is in charge of this department he is

responsible of managing the stores and purchase division stores is
maintained by a clerk and a assistant to him. They prepare
statement of stock and maintain the stores ledger; purchase
department is assisted and guided by engineer Assistant technical
and non technicians.

FUNCTIONS, ROLES AND RESPONSIBILITY

The material manager is responsible for placing the orders for

the raw materials required for production. The stores assistant, clerk
submits the stock report. It includes the materials to be purchased
remaining stock and its value etc.

POLICY, WAGES, SALARY, RECRUITMENT

POLICY

Sometime some decisions may take to the company from

various areas and various departments that the time they cannot
take decisions uniformly so the government certified rules. It isa
small example for framing man power policy.
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 Man power planning for human resources for example what
facilities arranged for workers, analyzing the work, what type of the
machine can use for manufacturer and what type of method.

RECRUITMENT

Recruitment is nothing but appointment. Recruitment contains

various steps for appointment of employees.

The various steps area preliminary interview. Application

format, test, and final interview. After the tests the qualified officers
investigated such person can be appointed.

WAGES AND SALARY

Wages and salaries determined on the basis of jobs it is

different from person to person. It classified into various types which
are da, hra, ea, and cca.

Generally they will be taking careful decisions in their

recruitment.

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 RATIO ANALYSIS

Analysis and interpretation of financial statements with the

help of ratios is termed as ‘ratio analysis’. Ratio analysis involves
the process of computing, determining and presenting the
relationship of item or groups of items of financial statements. The
basic objectives of ratio analysis is to help management
interpretation of financial statements of enable it to perform the
management functions efficiently. Ratios can be defined as
“relationships expressed in quantitative terms, between figures
which have cause and effect relationships or which are connected
with each other in some manner or other”

NET PROFIT RATIO

This ratio is also called net profit to sales ratio. It is a measure

of management’s efficiency in operating the business successfully
from the owner’s point of view. It indicates the return on
shareholders investment. Higher the ratio better is the operational
efficiency of the business concern.

NET PROFIT RATIO=NET PROFIT/NET SALES *100

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 NET PROFIT RATIO

YEARS NET PROFIT NET SALES RATIO

2004-2005 1999214 66746128 2.99
2005-2006 1368868 83182781 1.64
2006-2007 372897 86388198 0.43
2007-2008 14272246 84918307 0.17
2008-2009 26736078 36085246 0.74

The above said table reveals that the net profit ratio of till.
From 2004-2005 to 2008-2009 is 2.99 to between 2.99 and 0.74 on
the basis of analysis. It is contributed that net profit ratio is sound.

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 CURRENT RATIO

The ratio of current assets to current liabilities is called

‘current ratio’. In order to measure the short term liquidity or
solvency of a concern, comparison of current assets and current
liabilities is inevitable. Current ratio indicates the ability of a concern
to meet its current obligations as and when they are due for
payment. The standard ratio is 2:1.

CURRENT RATIO=CURRENT ASSETS/CURRENT LIABILITIES

CURRENT RATIO

YEAR CURRENT CURRENT CURRENT

ASSETS LIABILITIES RATIO
2004-2005 27349140 25532226 1.07
2005-2006 29617891 31272314 0.94
2006-2007 32254160 27290893 1.18
2007-2008 28148707 51624732 0 .54
2008-2009 13206744 40699219 0.32

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SOURCES-SECONDARY DATA

The above said table reveals that the current ratio of till. From
2004-2005 to 2008-2009 is 1.07to between 1.07 and 0.32 where as
the ideal ratio of current ratio is 2:1. On the basis of analysis. It is
contributed that current assets is sound.

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 LIQUID RATIO OR ACID TEST RATIO

This is the ratio of liquid assets and liquid liabilities. The liquid
assets are the assets that are converted into cash and include cash
balances, bills receivables, debtors and short term investments.
Inventory and prepaid expenses are not, including in liquid ratio.
Liquid liability includes all liability except bank overdraft. The ideal
ratio is 05:1.

LIQUID RATIO= LIQUID ASSETS/LIQUID LIABILITIES

LIQUID RATIO

YEARS LIQUID CURRENT LIQUID RATIO

ASSETS LIABILITIES
2004-2005 23367476 25532226 0.92
2005-2006 25339902 31272314 0.81
2006-2007 29239626 27290893 1.07
2007-2008 26451934 51624732 0.51
2008-2009 12201697 40699219 0.30

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SOURCES- SECONDARY DATA

The above said table reveals that the liquid ratio of tic. From
2004-2005to 2008-2009 is .92 to between .92 and .30 where as the
ideal ratio of liquid ratio is 1:1on the basis of analysis. It is
contributed that liquid ratio is sound.

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 ABSOLUTE LIQUID RATIO OR
CASH POSITION RATIO

This ratio is also called as super quick ratio. This is a variation

of quick ratio. This rtio is calculated when liquidity is highly
restricted in terms of cash and cash equivalents. This ratio measures
liquidity in terms of cash and near cash items and short term current
liabilities. Cash position ratio is calculated with the help of the
following formula.

ABSOLUTE LIQUID RATIO=CASH AND BANK

BALANCES+MARKETABLE SECURITIES/CURRENT LIABILITIES

ABSOLUTE LIQUID RATIO

YEAR LIQUID RATIO CURRENT RATIO

LIABILITIES
2004-2005 1547912 25532226 0.06
2005-2006 3839373 31272314 0.12
2006-2007 5167112 27290893 0.18
2007-2008 3573374 51624732 0.06
2008-2009 2418083 40699219 0.06

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SOURCES-SECONDARY DATA

The above said table reveals that the cash position ratio of till. From
2004-2005 to 2008-2009 is0.06 to between 0.065 and 0.06. where
as the ideal ratio of absolute liquid ratio is 0.5:1 on the basis of
analysis. It is contributed that absolute liquid ratio is unsound.

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 FIXED ASSET RATIO

The ratio establishes the relationship between fixed assets and

long term funds. The objectives of calculating the ratio Is to
ascertain the proportion of long term funds invested infixed assets.
The ratio is calculated as given below.

FIXED ASSETS RATIO : FIXED ASSETS / LONG – TERM FUNDS

FIXED ASSETS RATIO

YEAR FIXED ASSETS LONG TERM RATIO

FUNDS
2004-2005 134895623 121701792 1.11
2005-2006 137386368 117193049 1.17
2006-2007 130170993 112164700 1.16
2007-2008 123780326 109375833 1.13
2008-2009 1170688323 101821554 1.15

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SOURCES- SECONDARY DATA

The above said table reveals that the fixed assets ratio of till.
From 2004-2005 to 2008-2009 s 1.11 to between 1.11 and 1.115 on
the basis of analysis. It is contributed that fixed assests ratio s
unsound.

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 DEBT EQUITY RATIO

The ratio is ascertained to determine long term solvency

position of a company. Debt equity ratio is also called “external
internal equity ratio”. The ratio is calculated to measure the relative
portion of outsiders fund and shareholders funds invested in the
company.

DEBT EQUITY RATIO =

LONG TERM DEBTS/SHAREHOLDERS FUND

DEBT EQUITY RATIO

YEAR LONG TERM SHAREHOLDER RATIO

DEBTS S FUND
2004-2005 14055995 107645797 0.13
2005-2006 9547252 107645797 0.08
2006-2007 4518903 107645797 0.04
2007-2008 1730036 107645797 0.02
2008-2009 949867 100871687 0.009

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SOURCES - SECONDARY DATA

The above said table reveals that the debt equity ratio of tilI.
From 2004-2005to 2008-2009 is .13 to between .13 and .009 on the
basis of analysis. It is contributed that debt equity ratio I sound.

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 PROPRIETARY RATIO

This ratio compares the shareholders fund or owners and total

tangible assets. In other words, this ratio express the relationship
between the proprietor’s funds and the total tangible asset. This
ratio shows the general soundness of the company. It is of particular
interest to the creditors of the company as it helps them to ascertain
the shareholders fund in the total assets of the business. A high ratio
indicates safety to the creditors and a low ratio shows greater risk
to the creditors. The standard ratio 1:3

PROPRIETORY RATIO=
SHAREHOLDER FUND/TOTAL TANGIBLE ASSETS

PROPRIETARY RATIO

YEARS SHAREHOLDER TANGIBLE RATIO

S FUND ASSETS
2004-2005 107645797 27349140 3.94
2005-2006 107645797 29617891 3.63
2006-2007 107645797 32254160 3.34
2007-2008 107645797 28148707 3.82
2008-2009 100871687 13206744 7.64

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 The above said table reveals that the proprietary ratio of till.
From 2004-2005 to 2008-2009 is 3.94 to between 3.94 and 7.64 on
the basis of analysis. It is contributed that proprietary ratio is sound.

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 FIXED ASSETS TURNOVER RATIO

This ratio determines efficiency of utilization of fixed assets

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

FIXED ASSETS TURNOVER RATIO =

NET SALES/FIXED ASSETS (NET)

FIXED ASSETS TURNOVER RATIO

YEARS NET SALES FIXED ASSETS RATIO

2004-2005 66746128 134895623 0.49
2005-2006 83182781 137386368 0.60
2006-2007 86388198 130170993 0.66
2007-2008 84918307 123780326 0.68
2008-2009 36085246 117068323 0.31

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SOURCES- SECONDARY DATA

The above said table reveals that the fixed assets turnover
ratio of till. From 2004-2005 to 2008-2009 is 0.49 to between 0.49
and 0.31 on the basis of analysis. It is contributed that fixed assets
turnover ratio is unsound.

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 RETURN ON TOTAL ASSETS

Return on total assets is to find out how effectively the funds

pooled together have been used hence, it will be proper to include
the interest inn computing the ratio is computed to know the
productivity of the total assets.

RETURN ON TOTAL ASSETS =

NET PROFIT AFTER TAX/TOTAL ASSETS *100

RETURN ON TOTAL ASSETS

YEAR NET PROFIT TOTAL RATIO

AFTER TAX ASSETS
2004-2005 1999214 162244763 1.23
2005-2006 1368868 167004259 0.82
2006-2007 372897 162425153 0.23
2007-2008 14272246 151929033 9.39
2008-2009 26736078 130275067 0.21

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SOURCES-SECONDARY DATA

The above said table reveals that the return on total assets
ratio of till. From 2004-2005 to 2008-2009 is 1.23 to between 1.23
and 021 on the basis of analysis. It I contributed that return on total
assets ratio is sound.

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 THEORY IN RELATION TO PRACTICE

The institutional training is a wonderful opportunity given to

the students of the b.com (c.s). this training period of one month in
the company helped the students to put their theoretical knowledge
inn practice.

The company has its security office in the entrance of the

company and they are maintaining a register. Every staff should
sign before entering and after leaving the company. The staffs
provide refreshment twice a day. They have been provided with
proper canteen facility.

There are several departments in the company like production

department, marketing department, account department and sales,
personnel and administration department, purchase and store
department.

Every department functions in effective and efficient manner.

Director delegates the authority to departmental manager assigned
their jobs their respective staff.

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 CONCLUSION

Institutional training is a best and wonderful opportunity given

to every student of b.com (c.s). this training will give practical
knowledge to the students which in turns help the students to meet
their future with more confidence.

I have gained knowledge practically through this institutional

training in tribology India limited. Every staffs in the company
guided are in good and respected manner. They helped a lot to
gather the information about the company. They gave me more
details about the company and about their administration and
management.

All the staffs are very supportive for me to collect all the
required data about the company. Tribology India limited group
made a small beginning in the year 19840 but now it’s plays a
prominent role through our India.

All the department of the company are working in a well co-

ordinate manner and the company is able to run in profits. The
training helped me to gain knowledge in the company’s affairs. My
training in the organization proves to be very fruitful and useful to
me.

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 BIBLIOGRAPHY

1. C.B. Gupta-business management

2. N.D. Kapoor-company law

3. T.S. Reddy and Y. Hariprasad Reddy-cost and management

accounting

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