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Organisational study report at RIBCO Industries, Bhatkal

Chapter:1

INTRODUCTION

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Organisational study report at RIBCO Industries, Bhatkal

INTRODUCTION
The organization study helps the students to implement the theory knowledge that have thought in the class rooms as well to develop their personality. Exposure to industrial surroundings will gain then knowledge about the activities and functions of various departments in an organization and it helps them to understand solving of various problems in an organization. The study has been conducted in order to become familiar with the various aspects of the day to day operation of the firm. The project is done at RIBCO Industries as part of the MBA curriculum with the objective of understanding the working of the organization and the systems that are followed in the practical world. This report gives details of RIBCO and all the major departments at RIBCO. RIBCO Industry is one of the small scale unit that stood leading in pipe in UTTAR KANNADA District. They produce the good quality of PVC pipe which have a good demand in the market Limitations of the study 1. The study is limited only to RIBCO Industries, N.H 17 branch, BHATKAL. 2. There was time constraint. 3. The entire study is based on the information provided by various respondents at RIBCO Industries

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Organisational study report at RIBCO Industries, Bhatkal

1.1 INDUSTRY PROFILE


HISTORY OF PLASTIC INDUSTRY The first human-made plastic, called parkesine, was patented by Alexander Parkes, In Birmingham, UK in 1856.[11] It was unveiled at the 1862 Great International Exhibition in London.[12] The development of plastics has come from the use of natural plastic materials (e.g., chewing gum, shellac) to the use of chemically modified natural materials (e.g., rubber,nitrocellulose, collagen, galalite) and finally to completely synthetic molecules (e.g., bakelite, epoxy, polyvinyl chloride, polyethylene). In 1866, Parkes formed the Parkesine Company to mass produce the material. The company, however, failed due to poor product quality as Parkes tried to reduce costs. Parkesine's successors were Xylonite, produced by Daniel Spill (an associate of Parkes), and Celluloid from John Wesley Hyatt. Parkesine was made from cellulose treated with nitric acid and asolvent. The generic name of Parkesine is pyroxylin, or Celluloid. Parkesine is often synthetic ivory. The Parkesine company ceased trading in 1868. Pictures of Parkesine are held by the Plastics Historical Society of London. There is a plaque on the wall of the site of the Parkesine Works. PLASTIC INDUSTRIES IN INDIA Today plastics are an integral part of day to day life. Plastic industries has become an ideal medium for substituting traditional material like glass, metal, wood etc. so diverse has the application of plastic proved to be that the plastic industry has become one of the most dynamic and high potential factor in the world today. As far as commercialization of plastic is concerned, India has had a late start. The plastic industries in India operated in major capacity until 70s, when investment by the state sector improved the plastic industries also started to grow, but remain much below the prevailing demand level. The growth allied technology like extrusion, molding and recycling led to several undertaking like RIL, IPCL, GAIL, HALDIA etc. Setting of the large production facility in the state.

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Organisational study report at RIBCO Industries, Bhatkal


This led to boost in the investment as a result the opening of the economic in early 90s. But even today, per capita use of plastic in India is away below the world level. As per the lates statistic India has per capita consumption of 2.7kgs as compare to 9 kg in china and global per capita consumption of 16.7kg. We may these conclude that keeping in view the market condition there is the tremendous potential in the plastic industry, particularly in India it is still in its growing stage.

PVC A polyvinyl chloride (PVC) pipe is made from a plastic and vinyl combination material. The pipes are durable, hard to damage, and long lasting. PVC piping is most commonly used in water systems, underground wiring, and sewer lines. History of PVC PVC was first developed in 1925 when a BF Goodrich employee, Dr. Waldo Semon, attempted to invent a method for bonding metal and rubber. After blending materials together to create a strong and flexible material, Semon discovered PVC. Nonetheless, the product remained virtually useless for another decade. In the late 1930's, PVC was found to have great shock absorbing abilities. This discovery led to the creation of long lasting PVC tire treads, which were created with flexible forms of PVC. Two decades later, PVC pipe was invented. By heating the PVC material, a special machine called an EXTRULTER could be used to push the PVC into hollow pipes. This PVC pipe was extremely solid and virtually indestructible. Using PVC pipes for irrigation systems proved to be effective. PVC pipe has since been considered an affordable and reliable means for water piping. Due to the ability of PVC pipe to withstand extreme movement and bending, it is also increasingly used in earthquake prone areas. PVC pipe can withstand the rigorous shaking of the earth without experiencing any damage.

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Organisational study report at RIBCO Industries, Bhatkal


Current Scenario PVC or Polyvinyl Chloride must be one of the most widely used thermoplastic polymers in the world. In all manner of industries it is used for its high levels of durability and of course the price. It is in construction where PVC pipes and pipe fittings are used most extensively for the creation of plumbing systems. In terms of revenue generated, it is one of the most valuable products of the chemical industry. Around the world, over 50% of PVC manufactured is used in construction. As a building material, PVC is cheap durable and easy to assemble. In recent years, PVC has been replacing traditional building materials such as wood, concrete and clay in many areas.

PVC Pipe industry in India: With the promising economic growth, providing adequate infrastructure facilities to a populous country like India it is very important. Pipelines used in transportation of oil, gas and water are crucial in developing a nations infrastructure. Transportation through pipes is cheaper as faster as compared to traditional modes of transport like road and rail. PVC Pipes also have a long useful life of approximately 25-30 years. However the real estate boom is contributing heavily to the demand of PVC pipes. And the performance of SSIs (like RIBCO) which manufactures PVC pipes speak for itself. list of companies of the industry in India. Finolex Industries Ltd. Plastiblends India Limited AGA Group International Corporate Resource Group ACRY Plus Kay Kay Global Suppliers

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Organisational study report at RIBCO Industries, Bhatkal


1.2 COMPANY PROFILE INTRODUCTION OF THE COMPANY Ribco industry is one of the small scale unit that stood leading in pipe in UTTAR KANNADA District. It is PVC Pipe manufacturing Company which was purchased by Mr. S.A. Rehman from Mr. Yahya Damudi the closed unit which is located at Sarpankatta on N.H.17 which 5km away from Bhatkal town. This Company is registered under the register office located at Bangalore with proper article of association and memorandum of association prepared by them with the prior survey from Government. Ribco Industries occupied the area of 40 guntas on the agricultural land which was converted into non-agricultural. The produced by Ribco is used in agriculture industries and domestic use also. They produce the good quality of PVC pipe which have a good demand in the market. Apart from regular production the company engaged with contract manufacturing. Machinery and equipment owned by the unit can be clearly bifurcated into division. The success of the unit in the recent year has burned its finger in marketing network due to the heavy competition and loosing touch with dealer as well as market. The promoter is continuing as full time director, looking after day to day management of the unit emphasizing on the grabbing the share of of market with ethical practices. Establishment: An entrepreneur is the central figure in the world of the business. He is in charge of organization closely interconnected with the stages of economic development of a country. This industrialization of a country accelerator the evolution and the development of the business organization could satisfy all the demand of a growing national economy and they could systematically look after the ever expanding and elaborate modem industry and commercial activities. PVC pipes are hygienic, on corroding easy to lay and lighter to carry and easy to mend. There fore now a days PVC pipes is increasing many fields. To create the demand and fulfill the needs of the people in the north canara. Ribco had started their business by purchasing the sick unit

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Organisational study report at RIBCO Industries, Bhatkal


COMPANY PROFILE Name of the Company Regd. Office : Ribco Industries : N.H. 17 : Nawayath Colony : Bhatkal. Group of firms : Ribco : Ribco Industries : Ribco (Kundapura) : Ribco giri & co. Kumta : Ribco Trading co. Mangalore Nature of activity : Manufacturing of PVC pipe : Wholesaler : Retailer Proprietor Managing Director Production Manager : S.A. Rehman : S.M. Rumaize : S. Narayan Shanbhag

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Organisational study report at RIBCO Industries, Bhatkal


ORGANISATIONAL STRUCTURE Organization is the foundation upon which the whole structure of the management is build. It is the back bone of the management. Organization is concerned with building development and maintaining the structure of working relationship in order to accomplish the objective of the enterprise. The success or failure of an enterprise depends largely on the nature of the Organization. In a dynamic sense organization is a process welding together a frame position which can be used as a management tool for the most effective pursuit of a enterprise. Organization co-ordinates, unifies and concern itself with well planned of responsibilities to the individual executive and subordinate official supported by a rigid system of supervision, co-ordinates & controls in order to ensure the effective execution of the plans formulated by those in administrative authority. In Ribco administrative work is carried by the managing director. He commands the official and other to implement the policies. He takes the major decision regarding the activities to be carried out in the factory. As the administrative management is carried out by the managing director, the administrative management consists of both middle and lower management group. The managing director is head of all the department. He takes an active part in functioning of all the departments. The managers are head of each department and other staff follows them.

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Organisational study report at RIBCO Industries, Bhatkal


ORGANISATION STRUCTURE OF RIBCO INDUSTRIES CHAIRMAN S.A Rehman

MANAGING DIRECTOR

S. M. Rumaize

HR DEPARTMENT

ACCOUNTS & FINANCE DEPARTMENT

PRODUCTION DEPARTMENT

MARKETING DEPARTMENT

MANAGER

MANAGER

MANAGER

MANAGER

ACCOUNTS

CHIEF FINANCE OFFICER

SUPERVISOR

STAFF

CHIEF ACCOUNTANT

STAFF STAFF

STAFF

ASSISTANT

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Organisational study report at RIBCO Industries, Bhatkal

CORE VALUE OF THE COMPANY

CUSTOMER SATISFACTION: The company is dedicated in building a relationship with its customers, where they become partners in fulfilling its mission. The company strives to understand its customers needs and delivers product and services that fill and exceeds all their requirements.

COMMITMENT TO TOTAL QUALITY: They company is commitment to continuous improvements of all its activities. The company will supply product and services that confirm to the highest standard of design, manufacture, maintainability and fitness for use as desired by their customers.

COST AND TIME CONSCIOUSNESS: The company believes that its success depends on its ability to reduce the cost continuously and is shortening the delivery period of its products and services. It will achieve this by eliminating waste in all activities and continuously improving all process.

INNOVATING AND CREATIVITY: The company believes in striving for improvement in every activity involved in its. Business, by pursuing an encouraging risk taking, experimentation and learning, with a view to achieve excellence and competitiveness.

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Organisational study report at RIBCO Industries, Bhatkal

TRUST AND TEAM SPIRIT: The company believes in achieving harmony in work life through mutual trust, transparency, co operation and sense of belonging. It will strive for building empowered team to work towards achieving organization goals.

RESPECT FOR INDIVIDUAL: The company values its people. It treats other with dignity and respect and strives for individual growth and realization of every ones full potential.

INTEGRITY: It believes in a commitment to be honest, trust worth and fair in its dealings. It will practice self discipline and own responsibility for actions.

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Organisational study report at RIBCO Industries, Bhatkal

VISSION & MISSION

VISION To become a market leader in coastal belt of Karnataka.

MISSION

To obtain ISI certification. To produce best quality product. Be the best in business. To improve the sales. To purchase high capacity machines.

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Organisational study report at RIBCO Industries, Bhatkal

Major Customers of RIBCO Our endeavors are always directed towards satisfying customers requirements in order to achieve their trust. We make sincere efforts to provide PVC pipes and pipe fittings as per quality standards. Along with this, we facilitate our customers with customized solution, easy payment option and on time delivery of consignment. To make sure that no discrepancy occurs during the time of delivery, we maintain effective communication with our buyers. Further, we consider clients complaints and immediately take necessary action. This helps us to form an amiable relation with our clients and receive bulk order from them. Some of the names of our esteemed customers are enlisted below: RNS Murdeshwar Chemtex engineering Dalal consultants & engineers Anfal groups Damudis

Competitors of RIBCO Saraswati pipe industries Krishna pipes Rainbow pipes (Manipal) Laxshmi Govindrao Industries

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Organisational study report at RIBCO Industries, Bhatkal

1.3 PRODUCT PROFILE


The following are the products which are manufactured by RIBCO industries at their factory. PVC Plastic pipe We offer PVC plastic Pipe that is fabricated using quality tested raw material. These PVC pipes are available in different sizes of outside diameter such as 20 mm, 25 mm, 32 mm, 40mm, 50 mm, 63 mm, 75 mm, 90 mm, 110 mm. Moreover, we also provide pipes in different quality given brand name as RIBCO & RUBY which comes in light grey & blue colors.

RIBCO BRAND

RUBY BRAND

RAHUL BRAND
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RIBSON BRAND

Organisational study report at RIBCO Industries, Bhatkal

RIBCO Plumbing Pipes

RIBCO Blue Threaded Pipes

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Organisational study report at RIBCO Industries, Bhatkal


PVC Rigid pipe We are engaged in offering our clients, a wide range of Rigid PVC Pipes that is designed at par with quality standards. Our range of pipes is manufactured using qualitative PVC compounds, and reduces frictional losses and scaling due to its smooth inner wall. Displaying chemical resistance to most acidic and alkaline solutions, these pipes are widely used in adverse environment. These PVC pipes are available in different sizes of outside diameter such as 20 mm, 25 mm, 32 mm, 40mm, 50 mm, 63 mm, 75 mm, 90 mm, 110 mm.

PVC Coated Flexible Pipe We have with us a range of PVC coated flexible pipes that are extensively used in varied industrial applications. These flexible pipes are available in PVC coating. These are offered by us in different lengths and diameters and can be customized as per the specifications of our clients. As we maintain stringent quality parameters, our PVC coated flexible pipes are extremely dimensionally accurate and highly durable.

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Organisational study report at RIBCO Industries, Bhatkal

PVS Suction Hose pipe Our clients can avail from us, an exhaustive range of PVC Suction Hose that is designed as per quality standards. These are manufactured using high grade material acquired from the reliable vendors of the market and are demanded by various industries and segments . Our range is widely used to achieve maximum suction & water supply, and is available in various sizes, dimensions and specifications.

COLUMN Pipe We are offering our clients, a comprehensive range of Column Pipes that is designed as per international quality standards. These are manufactured using high grade raw material sourced from the trustworthy vendors and are highly appreciated by our clients

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Organisational study report at RIBCO Industries, Bhatkal


around the globe. Our range of HDPE column pipes is available in standard options, and can also be customized as per the specifications detailed by our clients.

PVC Sockets & Bends The RIBCO offers comprehensive range of sockets and bends to their customers. They produces the sockets and bends for all the sizes and shapes.

PVC Bends

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Organisational study report at RIBCO Industries, Bhatkal

PVC Sockets Features of PVC Pipes:


Long Life Light Weight Non Corrosive Leak Proof Joints Cost Effective Easy to Install High Flow Rate Fire Resistant Good Aesthetics Insects/ Pest & Rodent Repellent Resistance to Acids & Various Chemicals Easy to Repair & Replace Durable & Strong Easy to Clean Resistant to UV Radiation Non Conductor Of Heat/ Electricity

Applications of PVC Pipes:


Agriculture/Irrigation Building Construction Portable Water Supply

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Organisational study report at RIBCO Industries, Bhatkal


Chemical Industries Tubewell Casing Etc. Dairy Industries Brewary Industries Effluents Disposal Telecommunication

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Organisational study report at RIBCO Industries, Bhatkal

1.4a RESEARCH METHODOLOGY


Objectives The study has been made in Ribco industry with the list of objectives, which are as follows:

To study the organizational structure of the industry. To study the production process of the industry. To analyze the operations of the organization. To understand the working of the various department. To fulfill the requirements of the university to submit the report. To relate theory with practice.

1.4b Scope This project aims at generating a practical awareness of the functions and management of RIBCO Industry. The study covers a general understanding of the organization its culture department and its business activities.

Methodology This part explains how various information about the organization was collected. The information was collected from the primary data and secondary data. Primary data: The information was collected from the observation and communicating with the personnel Secondary data: This information were obtained from the official document of the organisation such as various company records and the department manuals.
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Organisational study report at RIBCO Industries, Bhatkal

Chapter: 2

Functional areas

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Organisational study report at RIBCO Industries, Bhatkal

Functional areas
The following functional areas are carried out in RIBCO Industries. Production, Planning & Control Department Human resource management Department Finance & Account Department Marketing Department

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Organisational study report at RIBCO Industries, Bhatkal

2.1

PRODUCTION, PLANNING AND CONTROL DEPARTMENT


Production is considered to be crucial in any industrial organization. Production is

the process by which, raw materials and other inputs are converted into finished products. Among all the functional areas of management, production is considered crucial in any manufacturing organization. Production is the process by which raw materials, assemblies, sub assemblies and other inputs go into the making of finished products. Manufacturing is just understood as the process of providing only tangible and intangible goods where as production includes creation of both tangible and intangible services.

INPUT

CONVERSION

OUTPUT

It is the activity for fitting things done though people management represents that skill which direct, regulate and integrate human efforts in the discharge of all operation required for an enterprise. Popular speaking Management is taken to means the person who assumes function of management. But in reality it is functional concept and does not include the person who practices management. In short management may be regarded as the sum total of those activities which pertain to the laying down of certain plans, policies and purpose. For securing men, money, machines and materials needed for their achievement. Putting all of them in the operation checking their performance and providing material reward and mental satisfaction to the men engaged in the operation.

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Organisational study report at RIBCO Industries, Bhatkal

Structure of Production Department

MANAGING DIRECTOR

MANAGER

SUPERVISOR

STAFF

The procedures used in the production system are as follows: Plant Location Layout of plant Production control Quality

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Organisational study report at RIBCO Industries, Bhatkal

PLANT LOCATION Plant location may be understood as the function of determining where the plant should be located for maximum operating economy and effectiveness. The selection of place for location a plant is one the problem, perhaps the most important, which is faced by an entrepreneur while launching a new enterprise. A selection on pure economic consideration will ensure an easy and regular supply of raw material, labour force, efficient plant layout, proper utilization of production capacity and reduce cost of production. An ideal location may not by itself, grantee success, but certainly contributes to the smooth and efficient working of an organization. An enterprise of a business unit give full due consideration for suitable location of its enterprises. Plant location decision is important strategic long term and non repetitive decision, poor location of plant result in high cost of production, difficulties in marketing and transformation dissatisfaction amount the employees and customers frequent disturbances in production and even competitive disadvantages.

LOCATION OF RIBCO INDUSTRY The Ribco industry is located on N.H 17 sarpankatte which is very near to Bhatkal town. The machinery is placed in the industry building constructed with latest stones; the building has enough space for storage for raw materials as well as finished product. The building has been surrounded by a compound wall covering the area of one acre of land. The land where the industry has been established was the agricultural land which was converted to non agricultural land construction. Power: It is one of the useful needs of the industry which helps the organization to maintain its productivity. For power Ribco industries sanctioned independent

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Organisational study report at RIBCO Industries, Bhatkal


transformer of 90 kv. The unit is also having a generator of 110 kv to ensure continuity of production even at the time of power failure.

Water: Water is also useful substance which is necessary for the daily use. As the company is of PVC pipes producer it is one of the it is one of the basic needs. Here water it is cool the produced pipes for which the pipes are hardened, In Ribco there is no problem of water they have sufficient water in the pen well in their own campus. Fuel: In Ribco they use diesel in their generator. They have the generator of high capacity that 110 kv for which the fuel is consumed more then 10 liters diesel for one hour. Transport Facilities: The need of transport arises as their raw material has to be bought to process as well as the finished goods are to be transported from factory to the market. The transport cost has a major effect on product cost. The region is well served by transport facilities as it has been located on the N.H.17 Bhatkal. Well connected by road & rail.

PLANT LAYOUT: A Plant layout refers to the systematic arrangement of machinery, equipment and other industrial facilities such as receiving and shipping departments, tool rooms, maintenance rooms and employee amenities for the purpose of achieving the quickest and smoothest production at the least cost. PLANT LAYOUT OF RIBCO INDUSTRIES

EXTRULTER

HIGH SPEED MIXTURE

WATER TANK TANKAA

POWER GENERATOR

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Organisational study report at RIBCO Industries, Bhatkal

VACCUM TANK

CHILLING MACHINE

TRACTION

CUTTING MACHINE

TILTER

Power generator : It generates electric power consuming diesel. whenever there is shortage of electric power, generator is utilized thus helps thus it helps to continue without affecting the production capacity. Water tank : Water tank is made up of four walls where the water is stored and the water level is maintained with the help of air compressor. Traction : It is the machine which operates in constant speed by pulling the pipes from the cooling tank High speed mixture: This is the mixture where the raw materials are feeded and allowed to mixed on a proper predetermined base at the of temperature of 110.c. Chilling: This is the machine where the water is cooled to required temperature. The cooled water is then used to harden the pipes. EXTRULTER: This is the main machine which is build with closed loop variable delivery pumps, pressure pipes which are electronically controlled through microprocessor control panel to deliver the wastage during processing cycle.

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Organisational study report at RIBCO Industries, Bhatkal


Vaccum tank: A Vaccum tank is the tank which freezes the hot pipes and gives the required size. It is the tanks which is packed and have rubber cork on both the side. Cutting Machine: This is the machine which is used to cut the pipes to the required length as per the demand. Tilter: This is the small machine which is used to make coupling shape pipes edge as per the need and requirement.

Raw materials used to produce PVC pipes. Resin Tbls Dbls Ls Cs Td Sa WAX M B black (master batch) Epoxy oil Cc (calcium carbonate) (tri basic lead sulphate) (di basic lead sterate) (lead sterate) (calcium state) (titanium dioxide) (stearic acid)

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Organisational study report at RIBCO Industries, Bhatkal

Steps involved in Manufacturing of PVC pipes:

RAW MATERIALS The manufacturing process of PVC pipes followed by Ribco industries is divided into following steps: Step1: In this step the raw materials are weighted i.e Polyvinyl Chloride 25kg, calcium carbonate, one patch stabilizer, titanium dioxide, stalic acid & color. According to co. formulation here the chemical weightment is done according to different quality.

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Organisational study report at RIBCO Industries, Bhatkal

Raw Material Weightment Step 2: The raw materials are filled in the mixer as per the requirement. The raw material is mixed in high speed mixture at a temperature of 110.c this process will take approximately 15 minutes for mixing the raw material properly. Once the raw material is mixed as desired then id will automatically processed.

Mixing of raw Material Step 3: The extrutler is heated for two hours before the mixed raw material is feeded in the hot hopper. Once the extrutler is heated for two hours then tha raw material which is mixed and coled properly is feeded in the hopper where they feed minimum 23kg of raw material. This is the main machine where the raw material is melted and it takes the shape of the pipe passing through the dye zone in the pipes which is not hard after
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Organisational study report at RIBCO Industries, Bhatkal


coming out of the extrutler the pipeswill pass through Vacuum tank.

Extrutler Step 4: Vacuum tank is the tank which is packed and has rubber cork on both the side from where the pipe is to be passed. The tank has water in it which is partially filled, where the shape is adapted as per the requirement in the Vaccum tank. Once the pipe gets the final shape it has to be hardened so it is passed through the cooling tank where the cold water is circulated here the pipes are hardened by cooling into tough solid.

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Organisational study report at RIBCO Industries, Bhatkal

Vaccum Tank Step 5: When the pipes are hardened it is moved forward with the traction. It is the machine which runs in constant speed by pulling the pipes from the cooling tank it is continuous process with the other machine moves which bring the pipes forward to the next division. When the pipe is moved forward and when it reaches 20 feet length then the cuter cuts pipes. Cutting can be done as per the requirement. Normally all produced pipes of 20 feet length will be cut only after reaching in the tilter.

Pipe Cutting Machine Step 6:


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Organisational study report at RIBCO Industries, Bhatkal


The pipe in the stand are bought to the tilter machine where one end of the pipe is enlarged as per as the requirement to get the fixed into the other pipe of the same size. Which help the pipes to get jointed easily.

Tilter Machine

Step 7: After completing the cutting pipes are brought for batching where the labeling and grading is done, and then batches of produce are shifted to go down as per sizes in a bundle.

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Organisational study report at RIBCO Industries, Bhatkal

Scrap: In Ribco the percentage of wastage is very low. The scrap if any will be in the following stages: Break down of Machines Power Failure Changing of Days At Beginning Stage

The scrap of PVC has 80% of the PVC pipes value where they are getting good consideration for their scarp they are sending their scrap to Mangalore or Bangalore who need those scrap for their production. Those industries consider the scrap as their raw material.

Varieties of pipes produce: The pipes are produce on the base of the size is outer diameter and the pressure it can withstand the following in the chart of Varieties of pipes produce in Ribco industries
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Organisational study report at RIBCO Industries, Bhatkal

Size of pipe in mm

Pressure it can withstand

Standard weight of each pipe

Total no of pipe per hour

Production per day

20 25 32 40 50 63 75 90 110

10 10 10 6 6 4 4 4 4

.600 .900 1.40 1.5 1.8 2.3 3.4 4.1 7.2

117 77 50 47 38 30 20 17 10

2808 1848 1200 1128 9112 720 480 408 240

Total annual production: T.A.P=150kg X 20 Hrs X 300 Days 900000kg/annum

INSPECTION AND QUALITY ASSURANCE IN RIBCO Internal rejection rework: The reason for internal rejection of the items are as follows: Workers mistake in handling the items during the process as a result product is rejected. Items is rejected even for a scratch. Items not cut as per size.
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Organisational study report at RIBCO Industries, Bhatkal


Variation in thickness. Periodic maintenance of machine is done. The products which is being rejected while inspection is considered as a scrap. QUALITY POLICY . Ribco Industry private limited enhances customer satisfaction by supplying quality product on time through continuous improvement of process in the organization. Hence controlling quality is an essential activity. Ribco industries manufacture the PVC pipes of two qualities which is called first grade (1st grade) and second grade (2nd grade). The 1st grade product is branded as the Ribco brand and the 2nd grade product is branded as Ruby brand the two qualities are produced by adopting the different formulas in the raw material.

The detail about the raw material used in the production is as follows Raw Ribco Ruby Brand Ribsun Brand Rahul Brand Regal Brand Blue Trd Plumbing Upvc

Materials Brand

Resin

25.000

25.000

25.000

25.000

25.000

25.000

25.000

25.000

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Organisational study report at RIBCO Industries, Bhatkal


CC OP TD SA MB 8.000 0.700 0.120 0.050 0.050 8.000 0.800 0.100 0.050 0.100 10.000 1.000 0.100 0.100 0.100 10.000 1.000 0.100 0.100 0.100 10.000 1.000 0.100 0.100 0.100 6.000 0.700 0.050 0.050 0.020 6.000 0.700 0.050 0.050 0.020 4.000 0.650 0.300 0.050 0.005

WEIGHT SHEET OF RIBCO INDUSTRIES RIBCO RUBY RIBSUN RAHUL REGAL BLUE TRD 20mm 25mm 32mm 0.700 0.900 1.500 0.650 0.850 1.450 0.600 0.800 1.300 0.525 0.750 1.100 0.500 0.700 1.000 1.200 1.650 2.450 1.000 1.450 2.000 1.400 1.700 2.750 PLUMBING UPVC

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40mm 50mm 63mm 75mm 90mm 110mm 110/2.5 63/6kg 75/6kg 90/6kg 110/6kg 140mm 160mm 1.600 2.300 2.750 3.750 5.000 7.200 5.000 3.600 5.000 7.500 10.000 14.000 17.000 10.000 14.000 12.00 8.000 10.000 7.500 9.000 1.450 2.100 2.600 3.600 4.800 6.850 4.100 1.400 2.000 2.500 3.500 4.500 6.400 1.300 1.750 2.300 3.100 4.000 5.750 1.150 1.600 2.000 2.800 3.700 5.350 3.250 4.600 5.400 2.900 4.000 3.600 4.600 6.000

Depend upon the quality and price requirement in the market they have varied calcium carbonate and as well as weight of the pipes in different qualities with different weights PURCHASE PROCUREMENT: In the Ribco there is no separate department for the purchasing activities as it is a small scale unit with the less human resources in it. Its an unit where al the works are carried out by machines and the human activity is less utilized. Hence the purchase activity is carried out by the Mohammed Rumaize. He verifies the stock of the raw materials and if there is a need of the raw material for processing than as per the need he contacts of his raw material in Bangalore by telephone. Fax or telex. Many time they had personally went and given order of raw material. Once the order of the raw material is, placed the officials inform their main office and will reach with the specified time mentioned in the order once the raw material ordered had reached to the D D in the same office where they had placed the order.
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Organisational study report at RIBCO Industries, Bhatkal


WORK INSTRUCTIONS For Safety: Check periodicity of fire extinguisher for effective use. Thoroughly clean machine after use. Only authorized persons should carry out maintenance of machine. Clean the work place at the end of shift. Safety appliances provided are Safety instruction First Aid box Fire Extinguisher

FOR TOOL VERIFICATION: Check the tool with drawing number and name. Check physical condition-damages, bend, sharpness, etc. Cleaning of tools. Take out the component and check for dimensions.

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Organisational study report at RIBCO Industries, Bhatkal

2.2 HUMAN RESOURCES MANAGEMENT DEPARMENT Human resources management means employing people, developing their resources, utilizing, maintaining and compensating their services in tune with the job and organizational requirement with a view organization, individual and the society. Human resource is the assets of the any organization. Therefore managing the human resources is the most important function of the organization. So it is very essential for organization to operate separate department for human resources. RIBCO has a separate human resource management department which is headed by Managing Director followed by HR manager. This department is mainly responsible for human resource function of the company for resulting in timely action for maintaining smooth industrial relation leading to employees morale and productivity. to contribute to the goals of the

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Organisational study report at RIBCO Industries, Bhatkal


Structure of Human Resource Management Department

MANAGING DIRECTOR

HR MANAGER

STAFFS

Practice of HRM in RIBCO: # Recruitment & selection Recruitment is the process of searching for prospective employees and stimulating them to apply for job in the organization. Selection is the process of differentiating between applicants in order to identify and hire those with greater probability of success in the job.

Managers are selected from within the organization and people on promotion. The basis for promotion is purely based on performance. Interview applicants. Liaison with sources of labour supply.

# Training and Development:


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Organisational study report at RIBCO Industries, Bhatkal


It refers to the imparting of specific skills, abilities and knowledge to an employee to improve current or future employee performance. Training is mostly provided to unskilled workers. Training is provided for 2-3 days. Training is provided on observational basis

# Remuneration and Incentives: Remuneration is the compensation and employee receives in return to his contribution to the organization. Incentives are the monetary benefits paid to the works in recognition of their outstanding performance. Basic pay Rent Allowance Variable Dearness Allowance

# Employee Safety and Health: It is the protection of workers from the danger of industrial accidents there by maintaining both the physical and the mental health of the worker. # Benefits for the employees Rent allowance for Managers. Uniform is provided for the workers. Free Accommodation facility for workers. Provident Funds and Employee State Insurance (ESI) are provided. Mesh guards are provided for works. Accident relief for the workers. First aid provided in each department.

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Organisational study report at RIBCO Industries, Bhatkal

RIBCO WORK PLACE VIOLENCE GUIDELINES Purpose and Objective: To provide a safe work place for all employees. To establish effective process for identifying, preventing and handling violence in the workplace. To create awareness of actions that can reduce the likelihood of violence that escalates into violence behaviour. To create accountability and responsibility for these actions.

Definitions: Work place violence:

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Organisational study report at RIBCO Industries, Bhatkal


Any direct or implied threat, intentional act that would arouse fear, hostility and intimidation in other person for his personal safety. Threat: It is any action taken or intent communicated to place another individual under the apprehension of violence. Responsibilities: Employees: Each employee is responsible for maintain a safe working environment, should promptly report any threat of act or violence in the workplace and cooperate the companys investigation of threat or acts of violence in the work place.

Supervisors/Managers: They are responsible for reporting all incidents of violence or threats in the workplace to the security, which then notifies the HR manager so that appropriate action can be taken. They also assess the need for additional training of employees in understanding potential warning signs.

Confidentiality and no Retaliation: Confidentiality will be observed any time information is given concerning threats or acts of violence in the workplace. Information will be share only on need to know basis. In addition, retaliation against anyone reporting threats or acts of violence is strictly prohibited. Discipline: Any employee, who commits acts of violence in the workplace, engages in threats or other intimidating conduct in the workplace will be subject to discipline up to and including discharge.
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Organisational study report at RIBCO Industries, Bhatkal

2.3 FINANCE & ACCOUNTS DEPARTMENT Finance addresses the ways in which individuals, business entities and other organizations allocate and use monetary resources over time. The RIBCO has an efficient finance and accounts department. it involves monitoring the function of other department.

Structure of Finance & Accounts Department

MANAGING DIRECTOR

MANAGER
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Organisational study report at RIBCO Industries, Bhatkal

ACCOUNTS

CHIEF FINANCE OFFICER

CHIEF ACCOUNTANT

STAFF

ASSISTANT

Objective
Manage the funds. Accounting of bills. Statutory compliance Reporting

Function:
# Accounting:
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Organisational study report at RIBCO Industries, Bhatkal


Accounts payable

# Taxation:
Sales tax Income tax

# Reporting:
P&L Balance Sheet

Sources of Capital: Subscriptions from promoters Bank loans Profits

Significant Accounting Policies: Every organization practices its own accounting policies. The following accounting policies in the RIBCO. # Fixed Assets: Fixed assets are stated at cost of acquisition or construction cost less depreciation. All cost relating to the acquisition and installation of fixed assets are capitalized.
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Organisational study report at RIBCO Industries, Bhatkal


# Investments: All investments are valued at cost. # Inventories: Raw materials, work-in-progress and stock are valued at cost on weighted average method. Finished goods valued at cost.

# Sales: Sales are recognizing upon delivery of the goods. # Depreciation: Depreciation of fixed assets has been provided as per the rates prescribed in scheduled XIV of the Companies Act of 1956. Depreciation is calculated under the Written Down Value Method. # Accounting Period: Accounting periods of the company starts on 1st April and ends on 31st of March every year.

Mode of payments:

Cash transactions Bank transactions (Cheque, demand drafts etc )

Credit period:

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Organisational study report at RIBCO Industries, Bhatkal


From suppliers-45 days To customers-30 days FINANCE DEPARTMENT OF RIBCO INDUSTRY Ribco is a small business unit which is owned by the sole proprietor by name Mr. S.A.Rahman. He has invested Rs 63,25,000 in the beginning to start the business of manufacturing PVC pipes the following details as follows:

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Organisational study report at RIBCO Industries, Bhatkal


Practice of capital requires Moulding machine 6,00,000 Mixing machine 3,50,000 Generator 2,50,000 Chillin paral board 15,00,000 Building 1,00,000 Land 25,000 Tools Bank loan 35,00,000 Amounts (Rs) 22,00,000 Source of finance Subscription promoters Amount (Rs)

from 28,25000

TOTAL

63,25,000

63,25,000

The proprietor has invested Rs 28, 25,000 and the remaining 35, 00,000 was loan taken to commence the industry which has been paid, and the annual turnover is 100, 00,000(one crore).
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Organisational study report at RIBCO Industries, Bhatkal


ACCOUNT DEPARTMENT OF RIBCO A systematic record of the daily events of the business leading to a presentation of a complete financial picket at the end of the year is termed as accounting. The finance Manager looks after all the accounting procedures. Besides him, there is a chief accountant and his assistants in this section. Accounting year of the company starts on the 1st of APR and ends on the 31st of MAR every year. In RIBCO PVT LTD, the following two statements are prepared: Statement of Earnings (Profit and Loss account) Statement of Financial Position (Balance Sheet)

Profit and Loss Account: It is an account, which shows the net profit or net loss of the business for a particular trading period. Net Profit or Net Loss is profit earned or loss suffered after charging for all business expenditure (including depreciation and provisions)and is available to the shareholders in case of profit only. Balance Sheet: It is a sheet containing the real and personal account (Balance of Assets and Liabilities) of a business. It is prepared with the object of ascertaining the financial position or soundness of a business as on a particular date. The balance sheet is merely a statement and not an account. The balance sheets prepared as on a particular date and not for a particular period. Thus, it indicates the true financial position only on that particular date.

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Organisational study report at RIBCO Industries, Bhatkal

2.4 MARKETING DEPARTMENT Responsible for market surveys and business plans to enhance sales of RBCO products in the market. The department is also responsible for establishment of distributor network in the market Approach to marketing at Ribco industry is different as customer are usually known and order are of large size of value. With the rapid urbanization and increase in the integration facility in the rural areas the demand of good PVC pipe is even increasing. However, our district has not a single PVC pipe manufacturing unit, which will cater the needs of these manners. Presently all PVC pipe are being either imported from outside the state or from neighboring districts. Presently the demand of the local buyers and also sister concern of Ribco are more than 50% of the present capacity. In addition there are more than 225 retail shops in our district considering the huge demand even the proposed units production will fall short of demand. The rate will not only be competitive but also lucrative. So also within the radius of two hundred km there are big towns like Shimoga, Hubli, Goa, and Dharwad where in the demand is very high. So marketing of PVC pipes is not a tough job for Ribco as they approach to marketing at Ribco industry is different as customer are usually known and order are large size of value.

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Organisational study report at RIBCO Industries, Bhatkal


Structure of Marketing Department MANAGING DIRECTOR

MARKETING MANAGER

STAFFS

Functions of Marketing Department: Sales Direct selling Through dealers and retailers.

Sales promotion

Sending catalogues, brochures etc directly to the company. Trade discount- 8% Cash discount- 4%

Advertisement Industrial directories websites Hoardings

Market planning

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Organisational study report at RIBCO Industries, Bhatkal


Target set for every year 120% of sales made in the previous year. The sales forecast is based on past trends, seasonal expectation, as well as projected sales of client. Marketing strategies adopted by RIBCO. Preparation of Marketing plan (short term & long term). Delivering the product in time. Customization Analyzing the competition and making adjustment accordingly. Attending customers complaints. Sales promotion DISTRIBUTION CHANNEL: A distribution channel performs the work of moving goods from producers to consumers. It overcomes the time, place, and possession gaps that separate goods and services from those who need or want them. Members of the distribution channels perform a number of key functions. The gather information about potential and current customers, competitors, and other actors and forces in the marketing environment. They develop and disseminate persuasive communications to stimulate purchasing. They reach agreements on price and other terms so that transfer of ownership or possession can be affected. They place orders with manufacturers. They acquire the funds to finance inventories at different levels in the distribution channels. The assume risks connected with carrying out channel work. They provide for the successive storage and movement of physical products.

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Organisational study report at RIBCO Industries, Bhatkal

DISTRIBUTION CHANNEL AT RIBCO

DIRECT CUSTOMER

Showrooms

CONTRACTOR

RIBCO

INDUSTRIES

Direct customer

WHOLESELLER

Direct customer

Direct customer

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Organisational study report at RIBCO Industries, Bhatkal

RIBCO-SHOWROOMS-DIRECT CUSTOMER: PVC pipes are manufactured and kept in their showroom to meet the direct demand of the customer where the customer can touch and feel the product. RIBCO-CONTRACTOR-DIRECT CUSTOMER: PVC pipes manufactured are purchased by contractor which in term transfers to the consumer. RIBCO-INDUSTRIES-DIRECT CUSTOMER: PVC pipes are manufactured based on the demand of the industries and those industries meet the demands of potential customer. RIBCO-WHOLESELLER-DIRECT CUSTOMER: PVC pipes manufactured are sold to the wholeseller on cash and credit basis and those wholesaler sells the product to the customer.

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Organisational study report at RIBCO Industries, Bhatkal

RESEARCH AND DEVELOPMENT OBJECTIVES: To improve the existing product. New product development. Process improvement. Cost reduction exercise New methods of production development. Inventory reduction service.

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Organisational study report at RIBCO Industries, Bhatkal


Technical support to production department and management in general.

Breakthroughs of R&D in RIBCO Industry: Machines at present require less power, less space & less supervision. The machines rate of production has increased from 40 kg/hrs to 70kg/hrs. The scrap is eliminated almost 90%. The R & D has come out with a compound which when mixed with coal tar increase the binding capacity of the road to almost 50%. This development has led the organization in the new field, with no competition yet.

Chapter: 3
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Organisational study report at RIBCO Industries, Bhatkal

SWOT ANALYSIS

SWOT ANANYSIS
The overall evaluation of a companys strengths, weakness, opportunities, & threats is called Swot Analysis .

STRENGTHS: Price: The products produced by the RIBCO are priced reasonably and according to the quality.

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Organisational study report at RIBCO Industries, Bhatkal


Quality: Ribco produces best quality at the lowest rate to cater the basic needs of Potential customers. High profit margin to traders: Ribco offers high profit margin to the traders by offering good prices, trade discount, cash discount on cash payments and other offers. Door delivery to customer: Ribco products are delivered at the door step of the customer.

WEAKNESS: Plant layout problem: All the equipments are ideally arranged in the line for specialized sequence task but when any machine breakdown then whole production process will be blocked. The mixing is arranged in different rooms and hence the raw materials are wasted when it is brought to feed in the EXTRULTER. High cost : The process is fully automated hence the machine required to perform the task are costly, in turn takes long time to recover the amount invested as fixed cost. Problem of traction: In Ribco there is a manual traction machine where the men have to change the size of
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the traction as per the day requirement is loaded in the EXTRULTER during the production. During that period it happens that the first few feet of the pipe produced will not be as the size and will be considered as scrap. Power problem: Since the unit is power intensive, continues power supply is must. Power leads to sudden block. Being an SSI unit Ribco is facing this problem because it is located in a rural area. To overcome this problem a heavy generator of 110kva was installed but operating plants in generator leads to high cost. Transportation: Getting the raw material is more costly. As the supplier is located far away, this in turn increases the transportation cost.

OPPORTUNITIES: Larger market of Karnataka can be explored: Ribco industry is more ever concentrating on the northern part of Karnataka hence they have the opportunity to explore other half also. Diversification in similar products: RIBCO has an opportunity to increase their product range in similar product like PVC sheets, PVC tanks etc Application of MIS: Management information system department which will integrate the other department and will help the industry to face the competition effectively and innovate new products into the market.
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Organisational study report at RIBCO Industries, Bhatkal

THREATS: Competition: The Ribco industry is enjoying larger share in the northern Karnataka but it failed to capture the southern Karnataka market due the competition it facing there from other players. Hence it has to take greater care of its customer and give more and more attractive offers to attract more customers and to avoid competition. Maintain or improve the level of Quality: The challenge faced by the industry is how maintain the quality with continuous improvement in the product. Higher cost: The firm has to consider the capital required to implement new technology i.e., machine. Where in huge investment is required which will lead to higher cost.
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Chapter: 8
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Organisational study report at RIBCO Industries, Bhatkal

FINDINGS, SUGGESTIONS AND CONCLUSION

FINDINGS
The prime aim of RIBCO Industries is to satisfy its customer by delivering quality products at a reasonable rate.
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Organisational study report at RIBCO Industries, Bhatkal


The company is maintaining a good employer-employee relationship. The company considers total quality management is the best way for the growth and expansion of its business. The product of the RIBCO Industries is being priced less, which enables the company to survive in the competition. This can be perceived as the companys aim to cater the needs of all classes of the society. No much opportunity for the female employee

SUGGESTIONS
Based on the study conducted by me at Ribco industries, I here would like to give the following suggestions: Plant layout:

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Organisational study report at RIBCO Industries, Bhatkal


A good plant layout results in comfort, convenience, appearance, safety, efficiency and profitability. The Ribco plant is not as good as it was supposed to be. It has to be arranged properly. So I suggest them to change the present layout as it will automatically benefit the production process.

Concentrate on un-explored market: Ribco industries are the well established industry. But its business is generated largely from northern Karnataka. The other half is still un-explored. Ribco industry has to look forward to expand their business to other parts like small towns where there is a demand for PVC pipes.

Implementation of MIS: Ribco industries are not having an independent computerized department which can integrate the other entire department. Hence I suggest it will be good for the company if they introduce MIS for effective performance.

Company should concentrate on Advertising & Sales Promotional activities The companys promotion for its product has to increase. The advertising as well as print media should be used to promote the companys product to capture the larger market share. The company should practice various sales promotion activities to increase the sale.

CONCLUSIONS

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Organisational study report at RIBCO Industries, Bhatkal


The overall organization study at Ribco industries was very interesting in which I got to know the working of all the departments, I am satisfied with the co-operation provided by the concern department. The success of the Ribco industries in manufacturing PVC pipes is remarkable which is because of the companys initiative and effort of the man power of high caliber that the company has employed. They have also fulfilled all the requirements of the employee for processing well in advance by keeping good relationship with them. So the people in the company are fully satisfied with management. The company has the excellent future plan with they will spread their business in the neighboring state too. The small scale play a vital role in the economy, so more concentration should be made upon the development of such industries. Being a rural area Ribco industry is improving its growth day by day. The demand for pvc pipes are increasing day by day due to fast growing infrastructure. Hence there is a scope for good quality products with cheaper rate. So Ribco industry should take steps for the same.

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Chapter: 9

BIBLIOGRPHY

BIBLIOGRAPHY

Production and Operation Management


K. Ashwathappa
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K. Shribhara Bhat

Marketing Management
Philip Kotler

Rural Marketing
N.V. Badi R.V. Badi

Human Resource Management


K.Ashwathappa

Financial Management
Prasanna Chandra

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