AN INDUSTRIAL VISIT REPORT ON

AARVEE DENIMS & EXPORTS LTD.

Submitted To : B.W.T. I.B.A, Ashram Road, Ahmedabad.

Submitted By:

Name : Mehta

Parita K

Roll No. :1068 Class :

F.Y. B. B. A.

Divistion : A

PREFACE
This companys name is AARVEE DENIMS & EXPORTS LTD. Its Registered office is at Narol-Sarkhej Highway. In the year this organization established is 1988. The preparation of this project report is based on facts and findings noted during the industrial visit, information received from written and published documents and briefings by company executives. The scope of the project report is limited to an analysis of the company in light of its different departments. In spite of my best efforts there may be errors of omissions and commissions which may please be excused.

ACKNOWLEDGEMENT
Everyone can not be a champion but each can be a part of Champion Team. It is true for me and my project report. For making my report many persons helped me. First of all, I thanked to Shilpa mam our managing Director of BRAHMACHARI WADI TRUST INSTITUTE OF BUSINESS ADMINISTRATION who gave me such opportunity to prepare a project reports. I also thanked to Prof. Bhaumik Nayak & Pallavi mam who took me to the such huge company and also helped to visit it and getting information about it. I also thanked to everyone who helped me to prepare a Project Report of AARVEE DENIMS & EXPORTS LTD.

INDEX NO 1. 2. 3. 4. 5. 6. 7. 8. Index Introduction to organization Industry Information Production Department Marketing Department Human Resource Department Financial Department Conclusion and findings Bibiliography Page No. 5 11 14 25 32 35 38 40

CHAPTER-1
INTRODUCTION TO ORGANISATION

History of Company:Aarvee Denims & Exports Ltd. Is a leading global player in the textile industry. Being backed by experienced promoters the company is spreading its wings all over the globe at a very fast pace. Arora Group, which is involved in the marketing of denim for over 35 years and VB Group which has been involved in textile trade for over 50 years are the forces behind this dynamic organization. More than five decades of experience, well qualified human resources and state of the art production units have made us Indias SECOND LARGEST denim manufacturer.

Mr. Vinod P. Arora (CMD)

Mr. Ashish V. Shah (MD)

Mr. Kalpesh V. Shah (Director) Yet another dynamic entrepreneur hails from the VB Group, a well known name in textile trading since 55 years.

Who is known by his rich experience in Denim since Hails from the VB 1973 and the roaring success Group, the in Arora Group as the forerunners in textile marketing pioneers of Denim, is industry since 55 heading the Board as years. Chairman and Managing Director.

1) Board of Directors Mr. Vinod P. Arora (chairman and managing Director) Mr. Ashish V. Shah (Managing Director) Mr. Kalpesh V. Shah (Whole Time Director) Mr. Parmand T. Arora (Director) Mr. Rajesh P. Arora (Director) Mr. Sanjay S. Majmudar (Director) Mr. Ashok C. Gandhi (Director) Mr. Arvind D. Sandhavi (Director) Mr. Tilak Raj Kapoor (Director) Mr. Amol R. Dalal (Director) Mr. Rahul S. Chander (Investor Director) 7

2) Registered office:188/2, Ranipur village, Opp. CNI church, Narol, Ahmedabad Working Address:S. No. 215-217, Village Sari, Sarkhej Bavla Highway, Ta. Sanand, Dist. Ahmedabad. Working Place:191, Moje Shahvadi, Narol-Sarkhej Highway, Ahmedabad-382 405 Other branch office are at Delhi & Mumbai. 3) Plant Location:Spinning plant Located at: S. No. 215-217, Village Sari, Sarkhej Bavla Highway, Tal. Sanand, Dist. Ahmedabad. 8

Weaving plant Located at: 188/2, Ranipur village Opp. CNI church, Narol, Ahmedabad-382 405 In Ahmedabad this company located L/o Acres plant Companys first plant was near Narol. They have bigger plant near Bawla. 4) Product Catagories:Denim Fabrics Cotton Fabrics Denim Garments Cotton Garments 5) Swot Analysis:Strength of company:The company is second largest integrated denim manufacturer in India. The products are stand out from the rest in terms of quality and finishing. The company has done a huge investment. The company strong market in this competitive situation. Their products are well received in retail and bulk markets in India and foreign. Weakness of company:There are absence of highly qualified staff members in Aarvee denims. They consists only graduate employees. So that they have absence of highly qualified workers & 9

technical knowledge. The company do not give more and attractive advertisement of their product so there is limited scope of sale of the product. Opportunities of company:Their enterprise and flexible manufacturing process enable them to quickly adopt to the dynamism in the market trends. They offer the widest possible variety of weaves and widths thus saving their clients precious time and efforts of sourcing material from multiple sources. The company is Indias 2nd largest denim manufacturer. Threats of company:The company has various competitors in the market. So it has to put maximum efforts among them to stand in the competitive situation among its competitors.

10

CHAPTER-2
INDUSTRY INFORMATION

11

1) Size of the Industry:The Indian textile Industry is one of the oldest and most significant industries in the company. This is evident from the fact that the textile industry accounts for around 4% of the gross domestic product, 14% of industrial production and 16% of the countrys total exports earnings. Infact it is the largest foreign exchange earning sector in the country. Moreover it provides employment to over 35 million people. With direct linkages to the rural economy and the agriculture sector, it is estimated that one out of every six house holds in the country depends on this sector, either directly or indirectly, for its livelihood. The Indian textile industry is one of the oldest and most significant industries in the country. The Indian textile Industry is estimated to be around U.S.&52 billion and is likely to reach US & 115 billion by 2012. The domestic market is likely to increase from US & 34.6 billion to US & 60 billion by 2012. Indias textile exports have short up from US & 18.71 billion in 2006-07 to US & 20.25 billion in 2007-08, registering a growth of over 8%. 2) Competitive Situation:In this period, modern techniques, electronics and innovation have led to a competitive, low-price textile industry offering almost any type of cloth or design a person could desire. With its low cost labour base, china has come to dominate the global textile industry.

12

3) Major players:India has overtaken the Us to become the worlds Second largest cotton producing country, after china, as per a study by International service for the Acquisition of Agri-biotech application. BT cotton was a major factor contributing to higher rate of production. India is the fifth largest producer of synthetic yarn. India accounts for 12% worlds production of textile fibers and yarn. India is the largest producer of jute in the world. India is the largest exporter of yarn in the international market and has a share of 25% in world cotton yarn exports. Interms of spindleage, the Indian textile Industry is ranked 2nd, after china, and accounts of 23% of the worlds spindle capacity. The country has largest loom capacity, including handlooms with a share of 61% in world. It is the second largest producer to silk and the only country to produce all four varieties of silkmulberry, tusar, eri and muga.

13

CHAPTER-3

PRODUCTION MANAGEMENT

14

1) Process of Production:Entire production department is devided into various department like Spinning Department Yanning Department

Weaving Department Dying & Sizing Department Finishing Department Packaging Department

15

Spinning Department:The production process of any textile starts with spinning process. Here the row cotton is converted into string. For this purpose company is having various blow-rooms. This blow rooms will perform the cleaning function. Initially the row cotton is put on roller to make it thin than it is transfer to blow rooms.

Blow rooms =

Intially the blow-room will extract the dust particles from cotton then it is send to filter machine where the small wist particles and unuseful cotton is send to the machine that carry wastage. Here dust controlling and dust separation is done. After the cotton gets clean and ready to use for further processing it is put in carding machine. Here the cotton is beaten to help it open more. Company has eight different carding processing lines. Culting =

Ones the cotton gets beaten and clean from both the sides the culting process take place. It includes for stages. 1. Opening 2. Cleaning 3. Drafting & Paralism 4. Shiven Here, the cotton will get further clean and it will open more than to ensure the proper texture of cotton paralism and shiven process is done. 16

 After paralism the cotton is transfer to frames where it will be separated into two face that is 1. Normal spinning. 2. Ring spinning. 1) Normal Spinning:The normal spinning process is pass through following phrases. Opening Ward spinning Spinning Rollers Drafting Paralism Reduced speed rollers Twisting Winding Controlling Bobbin flyers

17

2) Ring spinning:Ring spinning process is done to give special texture to the cloth which is followed as under. Ring spinners Simplex Speed frames Rollers Winding Spindle Bobins In this both the process that is normal spinning and ring spinning the cotton is clean to ensure proper shade. It is open so that it gets thin it is rolled so that it can easily converted into thin layers. It is drafted so that easy string formation is ensured. After this both process material is ready to transfer in yanning department.

18

Yanning department:In yanning department the cotton is converted and processed to get in the form of string than it will be rolled on bobbins. Wropping = Wropping process is also known as the first stage of cloth. Here the strings which are rolled on bobbins is process on winding beams. Here the bobbins are rolled at more than 300 RPM speed to ensure that none of the layer of the strings get over lap so that it can facilitated in weaving process. Looming = In looming process Bobins of string are put on looms so that it can be struch and strength to the cloth. Inspection = Here each loom of strings is inspected to ensure no damage in the strings or looms. If any damage is found than it will be removed and classified into the different damage category decided by the company.

19

Weaving department:Yarns and looms allowed shifted to weaving division. This weaving process is perform in following ways. Yarns Oxilliary Oxiliary needles Main needle Sub needle Beating Cloth In weaving process the looms or yarns which contains strings are attach to the warping machine which contains needles. This needles are used to beat and weave strings to convert it into the cloth. There are total 60 wraping machine company has and each machine is moved on 900 RPM speed each machine can produced to 257 m. cloth per day.

20

Dying and sizing:Ones the cloth get ready in weavin department it is shifted to dying and sizing department. Here the colouring process and sizing process of the cloth is undertaken. Dying = According to the needs of customer or according to the companies production plan the cloth will get coloured. To colour the cloth various types of chemicals, water, lykra is mixed together than the cloth is passed through various lines. Company has 14 different dying lines to colour the cloth. Sizing = In sizing process the cloth is cut from both the sides to remove the unnecessary strings than it is moved to finishing process where the cloth is passed through heating and shaving process. During heating process the cloth will get smoothen further and it will also burn extra and unnecessary particals of cottons and cloth where as during shaving process the micro strings is removed to provide shining and attractive texture to the cloth. Inspection = After finishing process the cloth is ready to send to the customer but before that it is inspected to analysis the damage or defects in the cloth. If any defect or damage is found than it will be classified into different level of defect. 21

For ex. Zero defect = Export material 1,2,3 defect = domestic material More than 3 defect = The cloth will Be remove and will not Be send to the customer or market. Packaging = After the inspection stage the material without defect is ready to send to the market or customer before that proper and suitable packaging is done. For exports material double layer packaging is used to protect the cloth from any further damage where as at the domestic level the one level packaging is used because the handling of finished product is lase domestic market. 2) Type of Row material :The basic row-material is cotton. The cotton is mainly purchase from Gujarat and Rajsthan. 3) Equipment and Machinery : Spinning = For spinning the company is use the following machinery. Trutzschler Blow room Cards and draw Frames Latest Schlafhorst Autocoro and Autoconers Zinser Ring frames
Dying & Sizing =

22

For dying & sizing they use the following machinery Sucker Muller slasher Range Weaving = Tsudakoma Latest Airjet High speed looms. Garmenting = Juki Reece

Eastman

SCHLAFORST SE _ 12 TSUDAKOMA ZAX-N-9100 Dryer Washing Drum

Tumble

Open end Machine Weaving Machine

4)

Utility : Water = They have their own borewell. They are using daily 5.5 to 6 lakh
23

Letre water. They have boiler which capacity is 6 tone. Transportation = They dont have their own transportation vechile. They are using transport as required by the customer. Ware house = They have two warehouse 1. Narol Sarkhej Highway 2. Bawla They warehouse capacity is more than 3 lakh meter Electricity = They get electricity from Torrent power. They use 28 kilo vote of electricity per day. Pollution Controll Majors :-

5)

They have basically two main type of pollution. 1. Water Pollution 2. Solid base pollution 1. Water pollution:24

Company is having a system where before eliminating water by some chemical process cotton mix less dangerous. In future company wants to install effluent treatment plan to reduce the water pollution. 2. Solid base pollution :They have waste of the unuseful cotton, paricles of the clothes. They sell this waste to the scrab dealer.

25

CHAPTER-4
MARKETING MANAGEMENT

26

1) Definition of Marketing Management :Marketing can be defined as a Sociter process where the group or individual obtain what they need or want by exchanging something in return. 2) Marketing mix :Marketing mix is a tool or technique to design marketing strategies. This concept was developed by Mcearthy. Marketing mix consist of 4ps. 1. Product 2. Price 3. Place 4. Promotion Now we will study the marketing activities of organization in detail with the help of 4ps. 1 Product = There are two main product of the company. (i) Cotton Fabric (ii) Denim Fabric In cotton they have two different products. (i) Cotton Garment

(ii)

Cotton Fabric

27

In Fabric they have two different product. (i) Denim Fabric

(ii)

Denim Garment

2.

Price =

Prize is anything that customer pays in return customer get product. Factors affecting prizes at Aarvee denim = 1. Row material 2. Government Policy 3. Competition 4. Organizational Policy 5. Demand 6. Production cost Reliance, Arvind and Aasima are the national competitors of Aarvee denims. Lee, Liwise are the international competitors of Aarvee denims. 3. Place = Place related decision involves distribution of the product.

28

Important variables that include place are 1. Coverage 2. Channel 3. Location 4. Transport (i) Coverage = Coverage means the area in which company selling its product. Aarvee denim has wide coverage area. Their companys product is available in more than 20 countries. (ii) Channel = Channel means intermediate which helps the company to make its product available to the final consume.

O-level channel

Manufacture r Manufacture r Manufacture r

1 level channel

Manufacture r Manufacture r

Whole seller
2 level channel

Whole seller

Ret ail

Manufacture r

29

Aarvee denim is using all the three channels. In certain market company is selling their product in whole seller. Domestic market = Company has their owned Retail stores. Company has having more than 16 stores in Gujarat. There are 3 or 4 stores in Ahmedabad. International = In International market company is using level-1 channel. 1 Level channel Manufacture r Agent Manufacture r

(iii)

Location = Company has having their 16 stores companys product are available in Indian and foreign market. (iv) Transport = In India company is using domestic market means road transport and In outside company is using air & water transport. 4. Promotion =

Promotion is an act of increasing products sales by attracting the consumers by attracting the existing as well as new consumers.

30

 Promotion mix = (i) Advertising (ii) Sales Promotion (iii) Public Relation (iv) Publicity (i) Advertising = Advertising is non personal and paid form of products exposer to the final consumer. For Advertising they use Print media (newspapers, magazines), outdoor media (holdings) (ii) Sales Promotion = Sales promotion is an effort to increase the sale of product. In short time period by offering some benefits to the customers. Company is using various sales promotion activities to its final consumer such as at the time of Diwali company has offered flat 25% discount or on regular basis company retail outlets offer buy 1 get 3 free as promotional offer. (iii) Public Relation = Public Relation is companys initiative to maintain and strengthen relation with customers, shareholders, suppliers etc. To maintain the relationship with the customers company is regularly informing about schemes and offers to their regular customers. With a view to maintain relationship with their shareholders and distributors company send various informative letters and prospectus on frequent basis.

31

(iv)

Publicity = Company is not involve in any publicity related act (As per information given by companys executive)

32

CHAPTER-5

HUMAN RESOURCES MANAGEMENT

33

1) Total numbers of employee :Company has 300 permanent employees at Narol Sarkhej plant. Company also hire some of the contract worker on daily wage system. The workers are working in two shifts in the company. (i) Morning 8:00 to evening 8:00 (ii) Evening 8:00 to Morning 8:00 30 people are working in different section in the company like Ginning, spinning, weaving, packaging. 2) Sources of Recruitment :There are two sources of recruitment. (i) Internal (Bottom level) (ii) External (Top level, Middle level) In external they use newspapers, campus, placement & engineering etc. 3) Selection of Process :Receipt of application Primary interview Selection Test Final interview Physical test Appointment

34

4) Training :There are two types of training method in the company. (i) On the job (ii) Of the job On the Job = On the job means training is provided when a worker is actually working. (ii) Of the Job = The company is use seminar method and Role play method in the method of the job. Of the Job are applied in top & middle level. 5) Safety :The masks are provided to the workers of the company so that any polluted air is not effect the worker. The gum shoes is provided so that any worker can work easily on sleeper way. Company provides Insurance I.C.I.S. The company also provides group Insurance to the workers. The company gives the workers canteen facility. The company also gives the workers uniforms. (i)

35

CHAPTER-6

FINANCIAL DEPARTMENT

36

37

38

CHAPTER-7

CONCLUSION AND FINDINGS

39

Conclusion and Findings = The training of Aarvee Denims & Exports LTD was memorable experience. I am fortunate to get to opportunity to know about the working and functioning of the company. The management had a positive attitude towards us and they tried best to provide us with proper guidance and complete information. I saw each and every unit completely. The unit people were very heritable and this encouraged working. And they have a good manpower for a work. The supervision unit co-ordination is simply versatile which a result of bright future is. There is co-ordination between workers and the unit because of its effective management increasing turn over and high quality of its product. So, after observing such matter. I can say that the company has best delight, bright future for coming year.

40

CHAPTER-8

BIBILIOGRAPHY

41

 Books :1. Principles & Practices of management - L.M. Prasad. 2. Marketing Management -Philip Kotler Newspaper :Business Standard Website :1. www.Aarvee-denims.com 2. www.Google.com

42

43