BACKGROUND AND INCEPTION OF THE COMPANY

Western India Plywood ltd., is the largest integrated wood-processing complex in thecountry as well as in southern Asia. It was established in 1945 and it started manufacture of sawn timberland plywood on a modest scale with a few indigenous and lend lease machinery. Thefounder of Western India Plywood was Mr. A.K Kunhiman Haji, Later he handed over thecompany to his son in law Mr. A.K Kaderkutty Sahib, The Company made progress through theyears and expanded to its present status. The company grew over the next two decades into awell integrated wood processing unit with finely tuned skill in new product development andmanufacturing. Plywood manufacturing was stepped up steadily by addition of new machinery, mostlyimported. They also diversified from the production of the Tea-Chests and Commercial plywoodto manufacture of decorative plywood, block board, flush door, shuttering plywood, and aircraftplywood etc. The company also installed its synthetic resin unit in 1959 with a capacity of 200tones The hard board manufactured by the company found ready acceptance in the market so thatthe company decided on an expansion project in 1977 to increase the output of the hardboard to24700 tons per year. The expansion project was completed in 1980. Recently in 1990, thecompany added pre finished hard board and plywood to its impressive product range. A state ofart production line imported from Italy utilizes technology from the market leaders in the field ofU.V curable paints TREFFERT of Germany. Process employed in plant is totally environmentfriendly and does not involve any harmful emission. The company is the first in the country toput up a plant for irradiating wood in collaboration with Bhabha Atomic Centre Mumbai in orderto aggregate the lowgrade timber

WESTERN INDIA PLYWOODS LTD NATURE OF BUSINES

WIP is the fourth biggest plywood factory in Asia. The factory is situated in Kannurdistrict in Kerala state. WIP collects timber and firewood through import from Malaysia, Africa,Burma, Russia etc. and local purchase. Thus it is being processed at the factory and converts intovarious finished products such as different varieties of plywood, hardboard, furniture, wood flooretc. WIP exports 80% of total production to Germany, USA, Canada, Italy, Australia, Japan, Sweden, Middle East and Gulf Countries regularly. The rest of 20% is being through retailoutlets and Companys sales depots throughout the country WIP Ltd., the largest integratedwood processing complex in the country, was incorporated in 1945 immediately after secondworld war. The WIP is a widely held public ltd., company listed in cochin and Madras StockExchange. Thanks to the dynamism and vision of its founder managing director Mr. A KKADERKUTTY, who is the acknowledged doyen of the Indian wood working industry? WIPgrew over two decades into a well integrated wood processing unit with finally tuned skills innew product development and manufacture. Though its 60 years of existence, WIP has beensingularly

responsible for the most significant product innovations in the Indian plywood panelindustry. A HARDBOARD plant with an installed capacity of 12.5 tones was set up in 1959-60with West German technical collaboration. Today WIPs hardboard division is the market leaderin hardboards with state of the art production lines manufacturing over 120 tones today. WIPshardboard like its plywood products, commands a premium in the market, due to its intrinsicquality which is recognized by loyal customers.

WESTERN INDIA PLYWOODS LTD WIPS LIST OF FIRSTS IN THE COUNTRY

First to make irradiated wood First to make aircraft plywood

First to make synthetic resin adhesive bonded

plywood using hot pressing techniques.

First to make high pressure industrial laminates First to make quality hardboard way back in 1959-

60

First to manufacture Di Ally phthalate molding

powder

First to manufacture GI Plywood-GI sandwich

panel for anechoic chamber.

First to make pre-finished Plywoods and

hardboards using UV cured surface finishing techniques.

First to get ISO 9000 certification for hardboard and prefinished boards. The company has earned special appreciation from leading industries in the automotive sector, Footwear sector, ISRO, BARC, Indian Railways etc.

VISION, MISSION AND QUALITY POLICY

WESTERN INDIA PLYWOODS LTD VISION Continue to remain the best plywood panel corporation in India with a growth in allied
areas

MISSION
To provided utmost satisfaction to the consumer through best quality and customer care. To continusly upgrade the product through innovation and convergence of new technology and to produce the best quality product. To safe guard and enhance share holders value

To respect the dignify of all employees and together to become instrumental in the development of the country while protecting the environment. To utilizes the surpluses for the welfare of employees and the society at large.

QUALITY POLICY

WESTERN INDIA PLYWOODS LTD

Quality policy of WESTERN INDIA PLYWOODS LTD is to manufacture products as per national/international standard and make them available to customers as per requirement. WESTERN INDIA PLYWOODS LTD endeavor to upgrade the quality of its products and related services on a continual basis through regular improvement effort. A well defined quality management system has been implemented. This system is continuously revised to enhance its effectiveness and updated to meet changing needs.

QUALITY OBJECTIVES

Suitable equipments and machinery for process control at all stages. Provision of adequate resources including raw materials and personnel to ensure constant product quality. Well defined process and product characteristics to enable monitoring analysis and continual improvement Communication of requirement of products including customers requirement, statutory/regulatory requirements as per aspect of QMS including policy and objective among all employees

PRODUCT PROFILE
The major product for which the company has been the leaders in quality since 1945 is justbecause of its finest quality products produced as per international standards. The products of thecompany are globally accepted. Over the last 50 years, through its close knit co-ordination ofvarious processing units, professional management and maximum utilization of facilitiesavailable, the company has made an indelible mark in the wood industry a mark of gloriousachievements

WIPWOOD Densified wood is used in the manufacturing of textile & jute mill accessories WIPLAM Densified wood is used in the manufacture of insulation components for transformers & switchgears WIPCHECK Densified compressed floor board, with both chequred and plain surfaces, building & chemical industries WIPROC Densified wood used in the manufacture of high precision jig formatting tools in aeronautical industry & neutron shields in reactors. WIPBEAR Densified wood used in the manufacturer of bearing and gears WIPCHEM Densified wood used in manufacture of filter plates used in dye and chemical industry and oil extraction mills WIPCOM Densified wood used in the manufacture of electrical insulation components like studs, nuts, cleats & other segments

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Densified Wood Products Plywood, Flush door, Block board

WESTERN INDIA PLYWOODS LTD

WIPRESS Rigid and high purity densified wood with excellent electrical and mechanical properties, for use in the transformer industry. ULTRACLICK Engineered wood flooring COMPREG SLATS. Used for railway coaches, paneling and as a building material. DENSIFIED MOULDED SEATS Used for railway coaches, auditoriums & restaurant. WESTINDPLY Decorative finished and commercial finished BWR and BWP grade plywoods,manufactured from selected species of

timber, water proof quality used for boat building,concrete shuttering, furniture, partitions, paneling etc. HARDBORDS Used extensively by automobile industries, fiber drum manufactures, shoe manufactures, photo frame backing, clock manufactures, school writing parts and also for partitions. FURNITURE All type of furniture including molded a knock down furniture 3 | Page

WESTERN INDIA PLYWOODS LTD HUMAN RESOURCES DEPARTMENT

An organization is a human grouping in which work is done for the accomplishment ofspecific goal or mission. The goal of a manufacturing concern might be to produce and supplythe goods and services to satisfy the demand of market. WIP LTD., aims at producing plywood, hardboard, and furniture to meet the demands ofboth national and international market. WIP LTD., is having the best governed Human ResourceDepartment, which is the heart and soul behind the success of the gigantic establishment.Managing Director is the head of the department followed by the factory executive who dealswith all the matters in the personnel department. He is assisted by the Personnel Officer andWelfare Officer.

JOB ANALYSIS

This is the process determining, by observation and study and reporting pertinentinformation relating to the nature of a specific job. It is the determination of the task whichcomprise the job and of the skills, knowledge, the and responsibilities required of the worker fora successful performance and which differentiates one job from all other.

J OB SUMMARY

Monitoring the works of timekeepers Processing of joining and separation of employees Process contacts and reemployment. Processing of disciplinary action

WESTERN INDIA PLYWOODS LTD JOB ACTIVITIES

Supervise and coordinate the daily work of

timekeepers.

Monitor and control the attendance recording to

eliminate chance of proxy

Verify for correctness the statutory documents

concerning attendance and other work recedes of employees. Verify documentation of leave of absence; overtime given, weekly off, compensatory off etc., verification as to conforining to norms laid down. Monitor the preparation of wage/salary statements for each month, ensuring incorporation of allowed deduction in respect of each employee. Advance intimation of personnel retiring for services and process the papers connected with the separation and payments of befits associated with the same.

Prepare appointment orders for fresh recruitments and the process the joining papers, including issue of identity cards and arranging for enrollment under PF, ESI etc.

JOB RESPONSIBILITY
Ensure recording and documentation of attendance of employees at all levels. Ensure maintenance of leave records, overtime records, weekly off, compensatory off records etc. Ensure monthly salary wages statements in time. Issue of appointment orders, conformation orders, separation orders etc for all categories of employees

WESTERN INDIA PLYWOODS LTD Ensure the disciplinary proceedings are followed up till the issue of punishment orders. JOB ENVIRONMENT
Reporting to factory executive/head of personnel functions; however keep rapport and liaison with section in chargers in all functional areas. Current informal ways of working ;practice of working on oral instructions and

getting such actions ratified in due course

Want of documentation by way of proper system

and procedures.

Habitual cases of absenteeism and in discipline. The slow pace of work among the staff, as a part of

past work practice.

W ORKING HOURS
In WIP Ltd., there are three shifts of work. The production process starts on Monday and ends on Saturday 6.30 AM - 2.30 PM 2.30 PM - 10.30 PM 10.30 PM - 6. 30 AM

WESTERN INDIA PLYWOODS LTD

In WIP Ltd., the sources of recruitment includes both internal and external. Wheneverany vacancy occurs somebody from within the organization is upgraded, lie outside theorganization, which includes new entrants to the labor force, retired experienced persons etc.For the selection process a panel of interviewers interviews candidate. The apt candidate is thenselected for the job.

TRAINING
One year training is given to the new entrance. Training is restricted not restricted justfor a specific work but an overall training is given to workers so that they can fill in the post ofabsentee. This makes the worker more versatile. Stipend is given to the employees during thetraining period.

CLASSIFICATION OF WORKERS
In WIP Ltd., workers are classified as follows; 1. Permanent 2. Probationers 3. Substitutes 4. Temporary 5. Casual 6. Apprentice

T icket or Attendance Card:

WESTERN INDIA PLYWOODS LTD

Every workman shall be given a ticket or attendance card, free of cost, showing hisnumber or name, classification etc. Every workman shall punch his attendance card at thepunching machine and deliver up his card or ticket at the place provided in the time office before the commencement of each session of the shift in a day.

Entrance and exit

The workman shall not enter or leave the premises of the factory except by the gate or gates appointed for the purpose.

Leave and Holidays

1. Leave with wages will be allowed to workmen as provided for in the chapter of Factories Act. 2. Leave for sickness, maternity and accident will be allowed to the workmen as provided for in the Employees State Insurance Act. 3. National and festival Holidays with wages will be allowed to the workmen as provided for in the Kerala Establishment Act.

Wage and Salary administration

WESTERN INDIA PLYWOODS LTD

In WIP Ltd., the managers analyze and interpret the needs of the employees so thatreward can be individually designed to satisfy their needs. Here the workers are paid wages andthe staff officers managers etc are paid salary. The wage /salary system which WIP whichfollows is time rate system. Under this system workers are paid according to the work doneduring a certain period of time. He is paid at the settled rate as soon as the time contracted for isspent. The basic purpose of salary administration is to establish and maintain an equitable wageand salary structure.

Dis ciplinary Action

Any workman who is found guilty of misconducts is liable to be summarily dismissedwithout notice or compensation in lieu of notice or alternatively to be suspended for period notexceeding 4 days or to be fined up to 2% of his wages in a wage period in accordance with theprovisions of the Payment of Wages Act.

Wages and other dues, if any, due to workman whose service is terminated by way of dismissalor discharge or retrenchment shall be paid to the workman within 2 days of termination of hisservice.

trade union

WESTERN INDIA PLYWOODS LTD

Trade unions are an inevitable part of a modern industry set up. Trade union influence industrial democracy, morale, productivity. There are four trade unions in WIP Ltd. They are;

CITU (Affiliated to CPM) INTUC (Affiliated to Congress) AITUC (Affiliated to CPI) STU (Affiliated to Muslim League)

Retirement
Any workman who is declared mentally unfit or found to be on continued ill- health orreached the

age of 58 (fifty eight years) shall be retired from the service according to theGratuity Act.

Voluntary Retirement Scheme

To achieve the optimum level of manpower with the desirable average age mix as per the changing needs of the organization. To provide necessary manpower adjustments. To provide monetary benefits in terms of terminal benefits and voluntary retirement, compensation to the who opt for voluntary retirement.

Benefits

WESTERN INDIA PLYWOODS LTD

Statutory benefits including ESI, PF, Gratuity etc. are provided to all the employees.Besides that WIP Ltd., provides food at subsidized rate to the workers. Whenever any employeesmeet with any accident, all the expense in the course of treatment borne by the company.

Various acts followed by the company

1. The Companies Act 1956 2. The Factories Act, 1948

3. The Industrial Disputes Act, 1947 4. The Minimum wages Act, 1948 5. Payment of Wages Act, 1936 6. The Contracts Labor (Regulation & Abolition) Act, 1970 7. Employees State Insurance Act, 1948 Editions of the following statutory/regulatory requirements guide WIP

PERSONNEL AND WELFARE FUNCTIONS

Job Design Evaluation and Selection of Candidates. Placement. Induction, On-the job training Training and development Appraisal Increment, promotion

Welfare activity

The following welfare facilities are there in our Organization: E.S.I. Scheme. `Workers Canteen at subsidized rates. Staff Mess Co-operative Credit Society. Medical Re-imbursement for those not covered under E.S.I Ambulance Festival Advances Book Advance Staff Recreation Club

PRODUCTION PROCESS

Log yard
It is the place where the wood is kept. Following are the woods that are used:Welapine , Pali, Pashupali, Kalpine, Padapine, Mango, Badam, Silver, Neeli, Redcedar, White cedar, Swisspine etc.

Cross Cutting

The wood from the log yard is brought in for cross cutting. The long wood is cut intoblock of varying sizes ranging from 3 to 8 feet as required. Chain saw is used for cutting thelogs that works on a hydraulic system. BoilingIn order to make the hardwood soft and to remove its oil content, the block are boiled with the help of steam at a temperature ranging from 1200 C to 1800C. The wood is boiled for a minimum of 24 hours. The steam that is required is produced in boilers. WIP has 4 types of boilers. They are; 1. Saw dust boiler 2. Firewood Boiler 3. FBC (Fuel Bed Combusting) 4. IAEC (Industrial Agricultural and Engineering Corporation)

Peeling

After boiling, the logs are peeled with the help of the peeling machine. The output iscalled the veneer. Two kinds of veneers are obtained Face and core. Both of them have thesame quality, but the soft and smooth part is known as face and the hard and the rough is called

WESTERN INDIA PLYWOODS LTD

as core. The thickness of veneers ranges from 0.4 mm to 2.8mm. Sometimes the slicing machine is used instead of a peeler. This is mainly used in decorative plywoods.

Clipping
The next process is called clipping. Here the veneer produced from the peeler is passed through clipper. In clipping the veneer of the required length is cut.

Drying:
Drying is the next process. Drying process is conducted by considering time, steam, and thickness of wood. The machine used for this process is known as Dryad..

Edging & Joining

In this process of edging and joining, three two sides of veneers are cut and removed for avoiding damages. After this, the veneers are joined by using gum. GluingIn this section glue is applied over the core veneers, the glue spreading machine consists of 2 rollers rotating in opposite direction between which the glue is kept. The glues used are Urea formaldehyde, Areolyte, Melanine formaldehyde.

Assembling
In assembling the core veneers are places in between the face veneers. The adjacent veneers are placed in such a way that the gains are across each other. Minimum three plies

WESTERN INDIA PLYWOODS LTD

should be there in plywood. In this process, several boards are pressed in certain temperature. The main element that should be taken as important in this process are steam, thickness and time.

Conditioning
Conditioning is the process in which the pressed plys are treated with chemical water to

avoid termites and fungal attacks.

Trimming
In trimming the plywood is passed into the trimming machine for cutting the sides according to the sizes required.

Sanding
This is the process in which the trimmed surface of the plywood is smoothened and softened by using sandpaper or belt sender or drum sander.

Finishing
Finishing is the final step in the plywood production process. All the finishing works are done in this step. The boards are sealed and labeled and made ready for dispatch. The following are the important products produced with the help of plywood. Cold Water Resistant (CWR) Boiled Water Resistant (BWR) Boiled Water Proof (BWR) Warm Water Resistant (WWR) Warm Water Proof (WWP

WESTERN INDIA PLYWOODS LTD Aircraft plywood Marine Plywood Shuttering Plywood Fireproof Plywood Flush door plywood Inlay board High Density Plywood Medium Density Plywood Low Density Plywood Super Block Board COMPREG STATES
These are resin impregnated and compressed wood based laminates. T hey aremanufactured from selected veneers obtained from quality timber specious. The veneers areseasoned to optimum moisture content, treated, passed through evaporation chambers,

assembledin the required grain construction and pressed Under high pressure and temperature to produce the Compreg stats. Compreg stat is auniform homogenous material free from surface defects, checks, splits, discoloration, blisters,overlaps gaps etc. Compreg stats is a unique material having strength of metals, resistance ofnatural timber and the surface finish, stability and hardness of modern plastics. Both surfaceshave the uniform phenolic resin coating with excellent resistance against abrasive action.

HARDBOARD

WESTERN INDIA PLYWOODS LTD

Hardboard manufacturing involves a series of well-designed sequential process whichwith the intake of wooden pieces from one end and formation of Hardboard at the other endready for supply. Following are the various machinery and process involved:-

Chipping Machine for the formation of wooden chips:

These chips are transferred to the head tank for washing it using conveyor belts. Cleaning of chips:This is done using boiling water. It also provides sufficient softness for the chips. Passing through sieve does the separation of water from the chips.

Cyclone
Chips from the deliberating machine are transferred to a conical chamber called cyclone using steam.

Defibrator
The Defibrator used in the plant is the aspluent Defibrator. The moisture content in thechips is removed by increasing the temperature and the cleaned chips are converted into finepowder. After grinding it with two grinding wheels of which one is kept stationary while theother is rotating.

Pulp formation

WESTERN INDIA PLYWOODS LTD

The power form of wood is converted into pulp by adding sufficient quantity of waterand chemicals. The chemicals used are dilute sulphuric

acid, paraffin wax and certain resin. Thepulp is then pumped into board forming section.

Board Forming Section

There are three sets of machines that are used in the plant. I Press II Press III Press The first and second presses are under the electrical pneumatic control and the third iscomputerized. The percentage of pulp in the mixture is above 20 % and the rest 80% of waterwhich is absorbed by suction box. It is then passed through the pulp roller press where boards having thickness 2.5 mm to 6mm are obtained which arecalled wet laps. The wet laps are then places over the sieve net and transferred to the press. Afterpressing for the required time, the board is taken out and is transferred to the edging andtrimming section. The cleaning of net is performed by a washer which uses a water jet ofpressure 300 Kg/cm3. The intake of wet lap feeding in to the press and then transferring it to theedging section is automatically

performed by the belt conveyor. Main difference betweenPlywood and Hardboard is that resin is not coated in hardboard as in the case of Plywood

FURNITURE
Furniture is another product which is produced in WIP. The furniture is used by usingdecorative woods like Teak, Mahagony, and Rosewood etc. The veneers are molded in variousshapes to make different types of furniture. All the furniture are long-lasting and are with bestquality. Along with this, the wastes of decorative veneers are used to make various handicraftsproducts. Inlay board is an example

PURCHASE DEPARTMEN T
The Western India Plywood Ltd., has welldeveloped and efficient purchase department,which deals with the purchasing of raw materials. Company usually makes three kinds ofpurchasing: Local Purchase. Direct Purchase. Purchase through Bank.

Company has broadly classified its purchase department into Timber purchase departmentand all other purchase departments. Other department does the buying of all other items otherthan wood i.e. timber. It is involved in purchasing of consumer product, spares, oils, acids,chemicals and other ancillary raw material used for manufacturing its products. Timber purchasing department deals only with the purchase of Timber. Timbers arepurchased through bank or direct purchasing. An intend will be received from the storesdepartment about the item to be purchased. The production manager should sign it. An enquirywill be made and following that the quotation will receive. Suitable quotations will be selectedand it will be sent to the production department mentioning the criteria of selection. Afterreceiving the quotation the purchase department will make order with specified conditions. If thegoods are sending through bank, intimation will receive from the bank that the goods are readyfor delivery. The money is paid as per the terms and conditions and the goods are delivered. Inthe case of direct purchasing money is directly paid to the supplier and the goods are received

PURCHASE PROCEDURE
Invites for quotation from various parties.

From the quotation the actual buyers will be identified based on price and quality.

Order for the goods.

Goods will be sent to the nearest parcel offices from there the customer company will collect the consignment.

Documentation through bank or direct supplier. Some time advance payment is also undertaken.

Emergency purchases can be authorized by MD/ED by passing the above step

MARKTNG DEPT

WESTERN INDIA PLYWOODS LTD

Marketing is the art of selling products. It is also defined as societal process by whichindividual and groups obtain what they need and want through

creating, offering and freelyexchanging products and services of value with others. Due to the high standard of quality maintained by the quality control department of thiscompany, the product of the company have found ready acceptance in markets both in India andabroad. The company has succeeded in arranging manufacturing programs on the basis if firmorders, which in regularly for all types of products. The plywood manufactured by the companyis being regularly used for manufactures of T.V cabinets, bus bodies, building constructions,railways, furniture industry etc. The hardboard is used for partition walls, false ceiling, furnitureindustry etc. The densified wood is being supplied to the electrical industries in various formsand also to the textile and chemical industries in the form of filter plates and as checkered boardsfor flooring in buses and railway coaches. The DAP and FRP compounds are being used by theelectronic and molding industries. The furniture manufactured by the company is being absorbedthe market in drawing rooms, bedrooms, schools, office etc. The products of the company arebeing exported West Germany, France, U.S.A Sweden, West Asia and South Asian countriesregularly.

MARKET SEGMENTAT TION

WESTERN INDIA PLYWOOD is wellestablished organization manufacturing highquality goods. Company believes in quality. In order to ensure the quality each batch of theproducts will undergo quality tests. Company has an efficient marketing strategy. The prices ofWIPs products are comparatively high, but of high quality. The company is targeted at the highincome as well as at the low-level income groups WIP is marketing more than 300 products. Products are segmented as

WESTERN INDIA PLYWOODS LTD

1. Domestic 2. Institutional 3. Automotive 4. Export

Brand and quality are the main marketing strategy followed by WIP.
The WIP has a unique product range that cannot be duplicated.

The WIP has gained 70% market share on Hardboard itself. WIP is the price leaders in hardboard marketing. Almost all Car Manufacturers like TATA, Ford, Toyota, Hyundai and Maruthi are the customers of WIP. Automotive segmentation is followed by WIP towards this car manufactures. The main sales promotion followed by WIP is direct contact by Architects,Builders etc. The WIP also issue national magazines as promotion tools. Marketing segmentationadopted by WIP is niche is DAP manufacturing WIP has got marketing leadership in the Worldafter Japan and America

SALES DEPT

WESTERN INDIA PLYWOODS LTD

WIP market their products through agencies and depots. They use sales representativealso. Their main promotion method is direct contact by Sales representatives to canvass govt.and railway.

Enquiries are made through tenders. The main tool used to catch the governmentorders is by the lowest quotation. The main advantage received from the govt. is 95% ready cash payment. Generally theWIP gives 15 to 20 days are credit for parties. Even though timber world is facing crisis, theWIP is able to with stand by marketing variety of products like plywood items (Fire Resistant,Marine Wood, Densified Wood, DAP, Hardboard, Furniture) The main sales promotion method used by WIP is direct contact. The WIP has manydealers throughout India. WIP also conduct exhibitions and issue international magazines. TheWIP outstand for their quality. This quality of product is maintained by laboratory testing.Every batch of product will go to testing for identifying glue failure and other defects. Even though the timber world is facing scarcity, the WIP withstand with decorative boardwood. The WIP has achieved ISI certification for their products. The regular customers of WIPare India Railway, Toyota, Hyundai, Fibre Drum Manufacturers, Shoe heals, Jolly board is theonly competitor of the WIP in Hardboard. So Hardboard manufacturing is mainly profitable asfar as WIP is concerned.

CENTRAL EXICE DEPT

Central excise is a tax levied by the central govt. on the manufacture or production of anyproduct. Excise duty is due at the time of production and is paid at the time of clearance. Beforecentral excise duty can be imposed on any article it must satisfy to the basic conditions: 1. The articles should be goods 2. It should have come into existence as a result of manufacture The rate of duty of tariff value in relation to any excisable goods shall be the rate of tariffsin force on that date when such goods are removed from the factory. For the manufacture of anyproduct the company should attain a Registration Certificate, for which an application is givendeclaring what is to be manufactured. Based on this application the Registration Certificate isissued, which is equivalent to license. After receiving this certificate the company startsmanufacturing. Payments are made according to the classification of goods. WIPs product comes underChapter 44 i.e. wood and article of wood. According to chapter 44.08 excise duty charged onplywood is 16%.No duty is charged for export as a result of a relaxation provided by them forthe

promotion. The payment of duty is on fortnightly basis by 20th day for the fortnight and byfifth day of succeeding month for the 2nd fortnight except for the month of March. In order to avoid double taxation CENVAT (Central Excise Value Added Tax) credit is used

R& D DEPT

WESTERN INDIA PLYWOODS LTD

The WIP has an in-house R&D Department approved by the Department of Science andTechnology and Council of Scientific and Industrial Research. (CSIR) It has the requiredanalytical, conditioning and testing facilities for product or process evaluation, rigid quality control and new technology analysis. The testing equipment available consists of the standardmachines for conducting physical, mechanical and electrical test of all kinds. They include aweather-o-meter in which the extreme weather conditions of the world can be simulated in

anaccelerated manner in order to arrive at quick inferences. Sophisticated analytical equipmentslike the Spectro-Photometer, Gas Chromatograph, Kari Fischer, Titration equipment, TorqueRemoter, and Permeable gel. Chromatograph is available in the testing lab of WIPs R&Ddivision for accurate analysis of raw material and finished products. The products developed andmodified by the R & D division include DAP (DiAllyl Phthalate) moudling powder and fiberglass reinforced plastic, sheet moulding compound (SMC) which find use in the manufacture ofthe sophisticated products required in highly specialized electrical and electronic applications.SMC can also be overlaid on Plywood and Hardboard. The manufacture of DAP molding hasbeen achieved for the first time in South East Asia in the WIP. This has put India on the road toself-reliance in the material of strategic importance. WIP had conducted conversion of non-durable species of timber like Cheru, Bunati etc.into stable and durable wood polymer composites by radiation with gamma rays with the activeassistance of Bhaba Atomic Research Center, Trombay. It is one of the greatest achievementsof WIPs R&D Department. But recently it is not followed by WIP. WIPs R&D Scientists havedeveloped weather

proof, marine and fire retardant, grades of Hardboard.

Material Testing lab

WIP possesses a full-fledged material testing lab which is monitored by its government recognized R&D division. The lab is equipped to perform various physical mechanical and

WESTERN INDIA PLYWOODS LTD

electrical test specified in the IS specification. Every day random samples drawn from panels produced in WIPs plants are tested for conformance to the relevant IS specifications The integrity and quality of WIPs testing division can be gauged by the fact thatrepresentative samples drawn from material to be supplied to the Indian Railways, Defense andother government organizations are tested its own material testing lab under the supervision ofofficials deputed by the respective Inspection Agencies..

EXIM DEPT

Purpose

WESTERN INDIA PLYWOODS LTD

To popularize the products to the international level. Export carries out as per the export policy of govt. of India and responsibilities lies on the hands of the Import / Export Executive.

Procedure
Quotations are sending along with the product details. In some cases samples are sent.Once the price is approved of, the customer opens the letter of credit that contains detailsregarding value, quantity, destination of supply, specification, etc once the order is confirmedand placed; the product is not sent to the production department and production requirements.Once the cargo is ready, it is taken to the nearest port for shipment. In Western India Plywoods there is an arrangement called house stuffing where in thefactory brings the container from the port to the companies work. The clearing agents carry outall the customer formalities in order to get the clearance. This includes getting back AR4 fromthe customs after the shipment for submission to the

central excise. Once the shipment is effectedand the bill of loading is obtained the document for the buyers are negotiated through the WIPsbank. Once the cargo reaches the destination the customers retrieve the original documents fromtheir banks. The payment is then made accordingly.

Records maintained
Filing system; separate file is opened against each enquiry. All correspondence and relative shipping documents are filed separately for ready as well as future reference. Register that contains details regarding all exports affected is also maintained

WESTERN INDIA PLYWOODS LTD

FINANCE DEPARTMENT
The Finance Department is the heart of any company. The general Manager of financeheads this Department. The responsibility for maintaining the accounts and exercisingfinancial control is vested with the Finance Manager. The finance department has directinteraction with all other departments since all the payments and collections are maid through

WESTERN INDIA PLYWOODS LTD

here. This Department follows a written form of communication. All Department payments and receipts are finally reported to the Finance Department. WIP follow double accounting system and also maintain four types of journals. They are; 1. Cash payment book (CPB) 2. Bank payment book (BPB) 3. Cash receipt book (CRB) 4. Bank receipt book (BRB) For these four types of journals, a sub ledger is prepared. This sub ledger is classified into three; a. Accounts Receivable Books (ARB) b. Accounts Payable Book (APB) c. Personal Ledger (PL)

At the end of every month the sum total of the sub ledgers are transferred to the main ledgers. Then there should have the equality in the amount of the sub ledger and main ledger.The next accounting procedure is preparing the trial balance. At the end ofevery financial year, profit and loss account and Balance Sheet is prepares, from which financialposition of WIP is noticed

Sources of Fund
The main sources of funds are;

Internal sources:The main internal sources of fund of WIP are income generated from sales.

WESTERN INDIA PLYWOODS LTD

Reserves are the sources of fund other than income from sales. Current losses are adjusted by these reserves.

External Sources:The main external source of fund is term loan form bank and financial institutions like SBI, Canara Bank, Punjab National Bank, IFCI etc. Share Capital.

WIP is a widely held Public Limited Company. Recently company issue authorizedshares 13, 00, 00,000 from which 8, 48, 00,000 are subscribed capital. Company also adopt rightissues (during crisis premium is given to shares), bonus shares (when company isundercapitalized) Company issues preference shares to ICICI, HDFC like financial institutions.These preference shares are redeemed. Equity share capital is major source of finance followedby the Company. Previous year 24% dividend was given to the share holders. But now thecompany is unable to pay dividend to the share holders because of the lack of operating profit.

Bankers
The WIP has mainly 7 banks. SBT State Bank of TRAVANCORE UBI (Urban Bank Of India)

IB (Indian Bank) SYB (Syndicate Bank) SBI (State Bank of India) CB (Canara Bank) IOB (Indian Overseas Bank

TQM
WIP Ltd. has separate department for total quality management and is well known for itsquality throughout the world it has recognition of ISO 9001-2000 for one of best andstandardized production system in the world. ISO provides a lot of standard for the qualityassurance.

WESTERN INDIA PLYWOODS LTD

WIP has both internal and external auditing system. Internal auditing is done every sixmonth by the concerned department head. External auditing is conducted mainly by the externalcertifying body. They received all the procedure and document which includes. Quality manual

Work instruction
The requirement satisfied by the WIP in order to get ISO certification is the following.

Quality manual Control quality

Resource management Product realization Measurement analysis and improvement In order to assure the quality sec. technique like

control chart are used and the mainly used chart employed by the WIP Ltd. are X chart and R Chart. The plan capacity utilization. Plant stoppage analysis break down analysis are done using bar chart The main reasons for plant stoppage are Mechanical break down Electrical break down Blockage of Pulp Blockage of chip Shortage of fuel

WESTERN INDIA PLYWOODS LTD Shortage of timber

The non conformance of both process and product are Analyzed by the mean of the cause and effect diagram and the corresponding corrective /preventive action are taken

Quality Policy
To manufacture product as per national or international standards. We made them available as per the customer requirement. WIP endeavor to upgrade the quality of its product related service on a continuous basis through regular improvement efforts. A will defined quality management system has been implemented. This system is continuously reviewed to enhance its effectiveness and update to meet the changing need.

Quality objective
Suitable equipment and machinery for process control at all stage.Provision of adequateresource including raw material & personnel to ensure consistent product quality will defineprocess and product characteristics to enable monitoring analysis and continual improvement.Communication of requirement of product including customer requirement statutory, regulatoryrequirement aspect of quality management system includes policy and objectives among allemployees.

ISO certification
The main objective of International organization for of standardization is to produce and published international standards. The WIP Ltd is an ISO certified company the ISO 1994 certification was awarded to thecompany. In 1996 for the quality management system of the hard board and Wiplac prefinishedboard has been re certified. In May 1999 for another three years and the company has also received the same certification for its plywood, classified wood, flush loan and block boards. The next recertification of ISO-9001-2000 was done by M/s. Bureau Vertias quality International (BVQI) and thecertificate of manufacturing and sale of hard board, WIPLAC, prefinished board, plywood, blockboard flush door, and densified wood product was issued for a period of three year 25.05.2002

WESTERN INDIA PLYWOODS LTD SWOT ANALYSIS

SWOT stands for Strength, Weakness, Opportunities and Threats. Strengths andWeakness are the internal factors of the

company where as Opportunities and Threats areexternal factors. SWOT Analysis is the tool for auditing an organization and its environment. Itis the first stage as planning and helps marketers to focus on key issues have been identified, they

WESTERN INDIA PLYWOODS LTD

feed into marketing objectives. It can be used in conjunction with other tools as audit and analysis.

STRENGTH

The company has been maintaining a high quality for its products and as its products arewell accepted in the market by quality conscious customers, it does not anticipate anymarketing problem. They are considered to be the The Leaders in Quality Since 1945.

The company has a well established R&D unit, one of the best kinds in the wood based industry.

The company is duly equipped to develop new products to meet the requirements of the market.

The products of WIP are certified by ISO. WEAKNESS

There is an acute shortage of good raw materials which has forced the company toimport a substantial portion of its main raw material viz. timber, which has also seen aconsiderable increase in price.

Lack of good distribution network as compared to the competitors

WESTERN INDIA PLYWOODS LTD

Promotion of competitors is better to that of WIP. The Company concentrates only on Industrial Market.

The price of WIPs products is high as compared to its competitors.

OPPORTUNITIES

The company is a leading supplier to Railways, Defense, Automobile, Electrical, Transport, Civil Aviation and other industries.

Several products have been developed for the specific requirements of the Automobile,Transport and communication sectors such as Densified wood etc. and these productswhich have technological advantages over competitive products.

The Company diversified from the production of chest and commercial plywood tomanufacture Decorative Plywood, Block Boards, Shuttering Plywood and Aircraftplywood.

The products of the Company are being exported to Germany, France, U.S.A, Sweden, West Asia and South Asian countries.

THREATS

The high power tariff and increasing cost of furnace oil and other petroleum products and chemicals.

There are many medium scale and small scale plywood industries. They fix low price for their products

WESTERN INDIA PLYWOODS LTD

In some product ranges, imported items are available at lower cost than is currently produced in India.

In general, the working of the company has been adversely affected by the effects of Globalization

WESTERN INDIA PLYWOODS LTD

In some product ranges, imported items are available at lower cost than is currently produced in India.

In general, the working of the company has been adversely affected by the effects of Globalization.

FINDINGS

Because of the increasing demand, now the company has changed their distribution system in order to reach more parts of the state. Due to the high standard of quality maintained by the company, its production costs are relatively high so that company facing a serious problem and wants to reduce the price The companys various operations on raw material performed in sequence and the machines are placed along the product flow line. Because of this, the companys products get completed in lesser time and also have a smooth and continuous work flow. The company gets 25% of the profit from the exporting. Company concentrate all over the market. Still the company is not computerized fully. The company maintaining 0 % wastage. Promotional expense is very less. WIP focus on quality

SUGGESTIONS
It is desirable to launch an advertising campaign to attract more customers It is advisable to maintain and efficient market intelligence system and

advice mgt of the changing needs of the market. The company may introduce more measures such as fencing of machineries, which will protect the workers from accidents. 1 | Page

WESTERN INDIA PLYWOODS LTD The company may prepare budgets for each activity which will provide it a
better control and coordination mechanism. This will aid in reduction of production costs. The company can save time and cost through the computerization. The company have to follow more safety measures because there is a risk of fire in the factory layout

CONCLUSION

Western India plywood ltd., the second largest wood processing industry in South EastAsia, as a bright future in this field. During the running period since 1945, the co. achievedvarious milestones. The high-end production technology of WIP is well acknowledged amongthe wood processing industries in India. The WIP Ltd., achieved 100% utilization of raw materials due to its integrated productionsystem. Therefore, it would be apt to call WIP Ltd., a company with a conscience . WIP Ltd.,stands for superior product performance and provides value for money to its customers. It isbacked by WIPs commitment to harness the latest technology in wood processing industry andcontinuously upgrade its processes and machinery. Due to the high quality maintained, thecompany has found a ready market both India and abroad. The company does not aim atcompeting with the local manufactures but wants a main player in the plywood export. Now the company is producing more quantity is hardboards than plywood, because of thedevelopment of technology. Presently the company is operating in loss- the major cause beingglobalization. Another reason is the pricing policy of the company. The price level of theproducts is higher as compare that of other

companies manufacturing similar products. Thecompany should try to create brand awareness in the local market by advertising in medias andconducting exclusive exhibitions etc