NRKR Textiles

SRI NRKR TEXTILES PVT LTD
IMPORTANCE OF AN ORGANISATION:
Organizational functioning is an important factor for any organization to achieve the desired
goals and objectives. This requires coordination at all levels to smooth functioning. This report
aims to understand the functions of NRKR TEXTILES PVT LTD relation to different
departments.
An organizational study is "the examination of how individuals construct organizational
structures, processes, and practices and how these, in turn, shape social relations and create
institutions that ultimately influences people". Organizational studies comprise different areas
that deal with the different aspects of the organizations, many of the approaches are functionalist
but critical research also provide alternative frame for understanding in the field.
An organization is a social arrangement which pursues collective goals, which control its own
performance, and which has a boundary separating it from its environment. Organization is the
association formed by a group of people who see that there are benefits available from working
together towards some common goal.
Organization studies are the study of individual and group dynamics in an organizational setting,
as well as the nature of organization themselves. Whenever people interact in organizations,
many factors come into play. Organizational studies attempt to understand and model these
factors. Organizational study is very essential for MBA graduates as its help us to connect
theory with practice.
Organizational study refers to the study of organization as a whole and getting adequate
knowledge with various departments in the organization. The study was carried out at SRI
NRKR TEXTILES PVT LTD, Rajahmundry, Andhra Pradesh. This study is based on the
different aspects and dimensions of different departments of the company.
ACHARYA BANGALORE B SCHOOL
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OBJECTIVE OF THE STUDY:
To familiarize with the different departments in the organization and their functioning.
To understand that how the key business processes and carried out in the organization.
To understand that how the key business processes are carried out in the organization.
To understand and appreciate relationship between management theory and practice.
SCOPE OF THE STUDY:

To study the performance of different departments.
To understand the working conditions in the organization.
To understand the market position of the company.
METHODOLOGY OF THE STUDY:
The information for the study has been obtained from primary & secondary data
Primary data
The primary data are obtained from the discussions and interviews with executives and
also through personal observation.
Secondary data
The secondary data are obtained from text books, magazines, annual reports and records
of the company and from websites.
LIMITATION OF THE STUDY:
The study is conducting on all the departments which are contained in the industry like (finance,
hr, and marketing) of NRKR TEXTILES. As human resource management is a complex process
involving aspects like man power planning, industrial relations etc. an exhaustive study could not
be made within the limited time period of four weeks.
EXECUTIVE SUMMARY:
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The Textile Sector in India ranks next to Agriculture. Textile is one of Indias Oldest industries
and has a formidable presence in the national economy in as much as it contributes to about 14
per cent of manufacturing value-addition, accounts for around one-third of our gross export
earnings and provides gainful employment to millions of people. The textile industry occupies a
unique place in our country. One of the earliest to come into existence in India, it accounts for
14% of the total Industrial production, contributes to nearly 30% of the total exports and is the
second largest employment generator after agriculture.
Textile Industry is providing one of the most basic needs of people and the holds importance;
maintaining sustained growth for improving quality of life. It has a unique position as a selfreliant industry, from the production of raw materials to the delivery of finished products, with
substantial value-addition at each stage of processing; it is a major contribution to the country's
economy.
This paper deals with Global Scenario, Indian Scenario of Textile Industry. Profile, structure and
functions involved in a company. It is a great opportunity for trainee to study the Organization
and learn functions involved and make sure to understand Theoretical concepts in Practical and
Practical concepts in Theory.
GLOBAL SCENARIO:
The Invention: English inventors in the 18th century began to automate textile cottage industry
processes including carding, spinning and weaving. James Hargreaves developed the Spinning
Jenny, a device which replaced eight hand spinners in one operation. Richard Arkwright
assembled these processes and started the first factory on the Derwent River in Cromford,
England in 1771.Following the American Revolution, several founding fathers felt
manufacturing should remain in England. Alexander Hamilton felt otherwise and wanted to
establish a model mill village in Paterson, New Jersey. His ideas were ahead of their time. The
"National Manufactory" went out of business in 1796. Samuel Slater of Rhode Island visited
several mills owned by Arkwright and associates, memorized the essential features and returned
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to the US. In 1792, he opened a yarn spinning mill in Pawtucket, Rhode Island, the first
successful automated yarn spinning in the US. In 1814, James Cabot Lowell of Boston built a
factory in Waltham, up the Charles River from Boston. Later, the Boston Associates built an
entire mill town on the Merrimack River, and later named it "Lowell" in memory of James Cabot
Lowell.
DEVELOPMENT IN TEXTILE INDUSTRY:
1793 - Eli Whitney and Hogden Holmes developed a simplified method of removing the cotton
lint from the seed. Whitneys, and especially Holmes' saw tooth gin, revolutionized the cotton
industry by dramatically increasing the productivity of cotton ginning.
In the early 1800s, cotton was raised in the southern United States and exported to mills in
England and the north. Leaders such as William Gregg of South Carolina advocated a homebased textile industry for the south but the time was not right. Northern mills resisted the growth
of mills outside New England. Textile machinery was built in New England and New Jersey and
imported from Europe. After the Civil War, the global scenario slowly replaced slaves with free
workers. The industry remained largely in the north until after the 1880s. Leaders such as Edwin
Michael Holt and family of Alamance Country, North Carolina built mills in large numbers
throughout the south as the 19th century closed.
Merchants contracted for goods through agents. The Cone family moved from Baltimore to
Greensboro and brokered sales. The Belk family bought goods from Cone to sell in the dry goods
stores. Merchants such as Marshall Fields of Chicago bought goods from mills through
intermediaries. Later, in order to better control supply, the Cones and the Fields built mills of
their own, e.g., cone mills and Fieldcrest Mills Machinery was imported from the north and from
Europe.
World War I and the naval blockade imposed by England on German shipping, and the use of U
boats by Germany to harass English vessels brought the 3 realization that the United States must
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be independent of England and Germany for machinery and dyestuffs. New companies emerged
to satisfy the war effort and remained strong for several decades following the war. World War II
once again emphasized the need for self-sufficiency. Following the war, however, imported
machinery and dyes, especially from Germany and Switzerland, once again supplemented and
eventually replaced domestic supply. American textile companies thrived with the use of
imported machinery and dyestuffs.
In the 1990s, a new world order began to replace the Made in the USA ideas. Buying from the
lowest cost producer drove many textile manufacturers out of the production side and into
imports. Manufacturing companies changed to marketing companies.
The textile industry is undergoing a major reorientation towards non-clothing applications of
textiles, known as technical textiles, which are growing roughly at twice rate of textiles for
clothing applications and now account for more than half of total textile production. The
processes involved in producing technical textiles require expensive equipments and skilled
workers and are, for the moment, concentrated in developed countries. Technical textiles have
many applications including bed sheets; filtration and abrasive materials; furniture and
healthcare upholstery; thermal protection and blood-absorbing materials; seatbelts; adhesive
tape, and multiple other specialized products and applications. The Indian Textile industry has
been undergoing a rapid transformation and is in the process of integrating with the world textile
trade and industry. This change is being driven by the progressive dismantling of the MFA and
the imperative of the recently signed General Agreement Trade & Tariff. In this bold, new
scenario, India has to move beyond its role of being a mere quota satisfying country.
LEADING MANUFACTURERS IN TEXTILE INDUSTRY:
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Most of the production happens in Asian countries. China and India are the leading
manufacturers in textile. Textile Industry has different sectors like Jute, yarn, apparel, clothing
and garments. Each country has its specification in respective sectors. Coming to India, India is
large manufacturer of yarn. China for silk yarn and so on. Below table gives information
regarding leading exporters & market share in world economy.
Leading Exporters & Market Share In World Economy

Country
Million Us$
Share
USA
4268.45
20.38
UK
1697.35
8.11
UAE
1623.76
7.75
Germany
1607.33
7.65
France
934.41
4.46
Italy
782.13
3.74
Spain
645.54
3.08
Netherlands
537.77
2.57
Bangladesh
508.85
2.83
China
440.51
2.10
Total (Top 10)
13046.11
62.30
World
20939.80
ROLE OF ASIAN COUNTRIES:

The Textile & Clothing trade in the global market is fast changing with the scaling up of uses of
textiles in diverse areas. Asian countries including India play a dominant role in the international
trade of the global market. China has the major share in textile and clothing trade in the
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international market etc. Both Bangladesh and Hong Kong have a significant share. However,
India is still on the back seat. It is reported that Asian counties export most of textile and apparel
to Europe and North America and USA etc.
Asian countries are gaining in textile trade due to lower costs compared to African, European and
South American countries. As per the Global Textile and Apparel Industry: Vision 2015, World
textile and apparel trade is expected to reach US$805bn by 2015 from US$650bn in 2010. At
present few countries like Bangladesh, Thailand, Cambodia, Sri Lanka, Pakistan contribute
major share in Forex earnings of their country from Textile and Clothing trade, though their
share in the world market is not very significant.
Asian countries are facing challenges in the global market due to volatility in price, rising input
cost, energy crisis and lack of marketing initiative/exposure etc. In addition, initiatives need to be
made in the area of Research and Development, Skill 5 Development and Capacity building of
the industry as a whole. Industry has to be in demand driven mode.
It is also noticed that tariff rate in few Asian countries are extremely high, which became a
barrier to scale up the share in the international market. At present a few Asian countries are
enjoying a special status in the global market as per WTO guidelines and able to retain share till
date. But this may not last long because of growing competition emerging from other countries.
Government of the concerned countries also facilitated the sector to grow by framing policy and
keeping provision of incentives/concessions to encourage for international marketing. However,
India is not enjoying such status and over the years. Indias contribution from textile & clothing
trade in countrys total forex earning shows a declining trend in the last decade. Govt. of India
has made a good no. of initiatives for capacity building, skill development, product
diversification and enhancing global share.
Important statistics and data on International Trade

Country
Bangladesh
Iran
Turkey
Textile
25%
120%
24.50%
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Malaysia
Indonesia
Pakistan
Vietnam
Cambodia
China
India
Sri Lanka
Thailand
9%
9.20%
35%
9.70%
5.50%
9.50%
29.60%
3.60%
7.90%
INDIAN SCENARIO:
Indian textile enjoys a rich heritage and the origin of textiles in India traces back to the Indus
valley Civilization where people used homespun cotton for weaving their clothes. Rig-Veda, the
earliest of the Veda contains the literary information about textiles and it refers to weaving.
Ramayana and Mahabharata, the eminent Indian epics depict the existence of wide variety of
fabrics in ancient India. These epics refer both to rich and stylized garment worn by the
aristocrats and ordinary simple clothes worn by the common people. The contemporary Indian
textile not only effects the splendid past but also cater to the requirements of the modern times.
The history of textiles in India dates back to the use of mordant dyes and printing blocks around
3000 BC. The diversity of fibers found in India, intricate weaving on its state-of-art manual
looms and its organic dyes attracted buyers from all over the world for centuries. India saw the
building up of textile capabilities, diversification of its product base, and its emergence, once
again, as an important global player. The Indian Textiles Industry has an overwhelming presence
in the economic life of the country. Apart from providing one of the basic necessities of life, the
textiles industry also plays a pivotal role through its contribution to industrial output,
employment generation, and the export earnings of the country. It contributes about 14 per cent
to industrial production, 4 per cent to the GDP, and 17 per cent to 8 the country's export earnings.
It would provide direct employment to over 35 million people by 2010, which includes a
substantial number of people from less privileged sections of society.
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In India, weaving and yarn making was started four thousand years ago. Industrial revolution
was started in 18th century. At the same time all the industries were developed. In India, textile
industry was started by British in late 18th century with large machinery and technology. Indian
textile and garment makers target 15- 20% growth in FY14.
Structure of Textile Industry in India
Mills, power looms and handlooms constitute three independent sectors of the Indian textile
industry. The mill sector is organized, mechanized and modernized production of yarn whereas
the power loom and handloom sectors have remained technologically backward and stagnant.
Almost all the spun yarn made in India come from the organized sector, reflecting the highly
capital intensive nature of yarn spinning.
The power loom industry produces a wide variety of cloth, both grey as well as processed.
Production of cloth as well as generation of employment has been rapidly increasing in the
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power loom sector. There are 22.38 lakh power looms in the country as on 31st December, 2009
distributed over approximately 5.03 lakh units. This is about 60.39 percent of the total looms in
the world. The power loom sector contributes about 62 percent of the total cloth production of
the country, and provides employment to about 55.95 lakh persons during the year 2008-09. As
an economic activity, handloom is the 2nd largest employment provider next only to agriculture.
The sector with 60.40 percent about 35 lakh handlooms provides employment to 65 lakh persons,
of which 60.40 percent are women and 35 percent belong to minority section of the society.
The textiles sector is the second largest provider of employment after agriculture. Thus, the
growth and all round development of this industry has a direct bearing on the improvement of the
economy of the nation. The Indian textiles and apparel industry has an unbalanced structure,
95% of the industry is the unorganized and only 5 % is the organized. Sector consolidation
process in certain segments, to take advantage of economies of scale is necessary. This will
generate more employment, as smaller operations affect cost and competitiveness. The textile
industry is mainly a labour intensive industry as it provides livelihood to the huge population,
mainly consists of unskilled workers, and thus plays a pivotal role in the development of any
economy. As this particular industry also comes under the basic necessities of human beings, it
impacts a lot to the society as a whole.
There has been increase in demand of textile products in last few decades globally, mainly due
to rapidly changing social and economic structure of the countries worldwide. In past few years,
especially after the removal the trade related tariffs and non-tariff barriers in 2005, Asian
countries such as India, China, Hongkong and Japan have emerged as major players in this
particular industry, Indian textile industry contributes about 14% to industrial production, 4% to
the country's gross domestic product (GDP) and 16.63% to export earnings. Nearly 40% of the
textiles produced in the country is exported and the textiles sector is the biggest employment
generator after agriculture. The sector is expected to generate 12 million new jobs by 2012. The
sector targets US$ 6 billion foreign direct investment (FDI) by 2015 to be invested in green field
units in textiles machinery, fabric and garment manufacturing, as well as technical textiles.
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India has made inroads into the markets of its key competitors which include Asian countries
such as Sri Lanka, Bangladesh, Vietnam and Cambodia. The Indian textile and apparel industry
is taking a new course by entering the Chinese market. Most of the top global apparel retailers,
such as JC Penny, Nautica, Docker and 10 Target, have their sourcing network in India. Indian
textiles and apparel exports, which is worth US$ 22 billion, is expected to register a four-fold
increase to touch US$ 90 to 100 billion in the next 25 years.
INDUSTRY & MARKET ANALYSIS
The Textile Industry occupies a vital place in the Indian economy and contributes substantially to
its exports earnings. Textiles exports represent nearly 30 per cent of the country's total exports. It
has a high weight age of over 20 per cent in the National production. It provides direct
employment to over 15 million persons in the mill, power loom and handloom sectors. India is
the worlds second largest producer of textiles after China. It is the worlds third largest producer
of cotton-after China and the USA-and the second largest cotton consumer after China. The
textile industry in India is one of the oldest manufacturing sectors in the country and is currently
largest sector.
The textile industry encompasses a range of industrial units, which use a wide variety of natural
and synthetic fiber to produce fabrics. The textile industry can be broadly classified into two
categories, the organized mill sector and the unorganized mill sector. Considering the
significance and contribution of textile sector in national economy, initiative and efforts are
being made to take urgent and adequate steps to attract investment and encourage wide spread
development and growth in this sector.
It is the single largest employer in the industrial sector employing about 38 million people. If
employment in allied sectors like ginning, agriculture, pressing, cotton trade, jute, etc. are added
then the total employment is estimated at 93 million. The net foreign exchange earnings in this
sector are one of the highest and, together with carpet and handicrafts, account for over 37
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percent of total export earnings at over US $ 10 billion. Textiles, alone, account for about 25
percent of Indias total earnings.
Indias textile industry since its beginning continues to be predominantly cotton based with about
65 percent of fabric consumption in the country being accounted for by cotton. The industry is
highly localized in Ahmadabad and Bombay in the western part of the country though other
centers exist including Kanpur, Calcutta, Indore, Coimbatore, and Sholapur.
The Indian textile industry is one the largest and oldest sectors in the country and among the
most important in the economy in terms of output, investment and employment. The sector
employs nearly 35 million people and after agriculture, is the secondhighest employer in the
country. Its importance is underlined by the fact that it accounts for around 4% of Gross
Domestic Product, 14% of industrial production, 9% of excise collections, 18% of employment
in the industrial sector, and 16% of the countrys total exports earnings. With direct linkages to
the rural economy and the agriculture sector, it has been estimated that one of every six
households in the country depends on this sector, either directly or indirectly, for its livelihood.
A strong raw material production base, a vast pool of skilled and unskilled personnel, cheap
labor, good export potential and low import content are some of the salient features of the Indian
textile industry. This is a traditional, robust, well established. The global textile and clothing
industry is estimated to be worth about US$ 4,395bn and currently global trade in textiles and
clothing stands at around US$ 360bn. The US market is the largest, estimated to be growing at
5% per year, and in combination with the EU nations, accounts for 64% of clothing
consumption.
The Indian textile industry is valued at US$ 36bn with exports totaling US$ 17bn in 2005-2006.
At the global level, Indias textile exports account for just 4.72% of global textile and clothing
exports. The export basket includes a wide range of items including cotton yarn and fabrics,
manmade yarn and fabrics, wool and silk fabrics, madeups and a variety of garments. Quota
constraints and shortcomings in producing valueadded fabrics and garments and the absence of
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contemporary design facilities are some of the challenges that have impacted textile exports from
India. Indias presence in the international market is significant in the areas of fabrics and yarn.
Industry enjoying considerable demand in the domestic as well as global markets.
INDIA'S POSITION IN GLOBAL TEXTILES AND CLOTHING INDUSTRY:
India's position in the World Textiles Economy Second largest producer of
raw cotton.
Third largest producer of cotton yarn.

Third largest producer of cellulosic fiber/yarn.
Second largest producer of silk.
Fifth largest producer of synthetic fiber/yarn.
Largest producer of jute
India is the largest exporter of yarn in the international market and has a share
of 25% in world cotton yarn exports India accounts for 12% of the worlds production of textile
fibers and yarn In terms of spindle age, the Indian textile industry is ranked second, after China,
and accounts for 23% of the worlds spindle capacity around 6% of global rotor capacity is in
India. The country has the highest loom capacity, including handlooms, with a share of 61% in
world loom age.
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2.5
1.5
2.46
1
1.92
1.5
0.5
0.56
0.24
0
Spinning
Weaving
Processing
Garmenting
others
INDIAN TEXTILE CLUSTERS:

In India, there are three regions, South, Central and North regions. Tamilnadu, Karnataka and
Andhra Pradesh belong to South region. Maharashtra, Madhya Pradesh and Gujarat are belongs
to Central region, and Delhi, Haryana, Rajasthan and Punjab belongs to North region. West
Bengal and Orissa also contributes to the nation growth.
Top Textile companies Vardhaman Group
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Nahar
Arvind mills
Shanmugvel
Madura
Suryalakshmi Group
Ramalinga Group
Lakshmi Group
TOP COMPANIES IN INDIA BY MARKET CAPITAL:
Textiles composite Mills

Company Name
Nahar
Maha ShreeUmaid
Mafatlal Ind
Ruby Mills
Lakshmi Mills
JCT
Raisaheb Mills
Market (Rs. cr)

215.91
206.06
157.42
127.07
117.89
82.44
40.91
Textiles - spinning - cotton blended

Company Name
Phoenix Mills
Vardhman Text
Forbes Gokak
Trident
Rajapalayam
Ambika Cotton
Binny
Indo Count
DCM
Market (Rs. cr)

2,940.36
2,290.83
673.18
460.04
175.55
165.06
160.36
139.27
120.87
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Morarjee Text
Ginni Filaments
MARAL OVERSEAS
INDIAS TEXTILE EXPORTS:
92.47
80.54
80.53
Indias textile and clothing industry is one of the main stays of the national economy. It is also
one of the largest contributing sectors of Indias exports worldwide. The vision statement for the
textile industry for the 11th five year plan (2007-2012), inter-alia, envisages India securing 97%
share in the global textiles trade by2012. At current prices the Indian textiles industry is pegged
at US$ 55 billon, 64% of which services domestic demand. The textile exports basket consist of
cotton, wool, silk, jute, handicraft, coir man-made fiber textiles etc. Further, the export basket
consists of variety of items: cotton yarn and fabrics, wool and silk fabrics, man-made yarn and
fabrics, etc., of which man-made textiles and silk showed the highest growth rate.
KEY PLAYERS IN THE INDUSTRY:
In India, most of the companies are giant companies. All the companies are operating their
products and services internationally. Some of them are in the field of production of yarn and
some of them are in Clothing, and some companies export their products to foreign countries.
Their turnover is of minimum INR 100 million.
ARVIND MILLS:
About the company- The Arvind Mills was set up with the pioneering effort of the Lalbhai
brothers in 1931. With the best of technology and business acumen, Arvind has become a true
Indian multinational, having chosen to invest strategically, where demand has been high and
quality required has been superlative. Today, The Arvind Mills Limited is the flagship company
of Rs.20 billion (US$ 500 million) Lalbhai Group.
Arvind Mills has set the pace for changing global customer demands for textiles and has focused
its attention on select core products. Such a focus has enabled the company to play a dominant
role in the global textile arena. With its presence across the textile value chain, the company
endeavors to be a one-stop shop for leading garment brands.
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Fore vision and Technology has brought Arvind to be one of the top three producers of Denim in
the world, and on its way becoming the Global Textile Conglomerate. Arvind is already making
its presence felt in Shirtings, Knits and 15 Khakis fabrics apart from being all set to create
ripples in the ready to wear Garments world over.
Products and Services- They are in to the business of Denim, garments fabrics. Textiles include
yarn, jute, handmade fabric and apparel. Products offered by Arvind Company are denim, fabric
and garments. They sale their products through different countries with different brand names
and with different pricing strategies.
Services includes international operations and domestic operations. Store includes Arrow, Flying
machine, US polo are the brands of Arvind. Stores are megamart, they sale through factory
outlets, Brand showrooms like US polo, Arrow, Arvind and flying machine.
Market share- With market share of over 13%, Arvind is the largest player in domestic market
in India.
Market growth- Company has growth rate upwards. Company has turnover of Rs 1200 crore in
the current year as the company is growing at a rate of 50 per cent
Key strategies- following are the key strategies
Products are having premium quality, and they market only in hypermarket.
They charge Premium prices on products and best suits for loyal
customers.
Promotion done through television, Internet and Ads.
Distribution channel includes dealers, direct showrooms, factory outlays, Retail
showrooms.
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BACKGROUND OF THE ORGANIZATION

It was in the year 1964 Mr. Nukala Rama Koteswara Rao started operations in NRKR Textiles,
with 6,000 spindles to manufacture world class cotton and blended yarns. It was a giant group
divided into four units which was located in Guntur , Rajahmundry, Chebrolu, Salem.
NRKR Textiles and spinning mill is headquartered at Guntur, AndhraPradesh. NRKR Textiles
have evolved leaps and bound over the years as they have reached milestones after milestones
therefore evolving to be known as pioneers in Textile Industry. Indeed they have woven a
remarkable success story together.
Founder Sri. Nukala Rama Koteswara Rao vision made a leading cotton ginner in the state and
the style of procurement is heard even today in the cotton farming community especially for
generosity towards the farmer. Seeing the need for Transporting processed cotton to long
distances, Sri. NRKR established and ran the first cotton pressing factory in the state.
Sri. Nukala Rama Koteswara Rao added the spinning vertical in 1991 by acquiring a mill in
Salem, Tamilnadu. His efficiency to run an industry made him take up very big and established
Spinning mills in India on lease basis until he setup his own 25,000 spindle mill in Rajahmundry
( Unit-1) followed by Chebrole.
GEOGRAPHICAL LOCATIONS:
NRKR textiles is extended to 4 units which were located in different parts of the country.
Guntur (Andhra Pradesh)
Rajahmundry (Andhra Pradesh)
Chebrolu (Andhra Pradesh)
Salem (Tamilnadu)
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INFRASTRUCTURE:
Today the company houses more than 500 employees and is a key player in the Global Market
they have been contributing earnestly to the growing textile industry. With an aggregated
capacity of 100000 spindles geared up with 100 cotton gins, NRKR Textiles is in the process of
adding 35000 spindles and 100 Air jet looms to its existing capacity. And so, with state of the art
Infrastructure, we have been passionately performing to meet the huge requirement each day.
At NRKR Textiles, Annual quantity of production is 14000 tons of yarn and 55000 tons of raw
cotton for its own consumption and sales. Also, they are proud to declare that they gin and spin
with MCU-5 Variety of cotton which has a span length of 32 mm and is considered the longest
available cotton varieties in India.
OUTSTANDING TEAM:
The Team at NRKR Textiles has worked rigorously over the years to the best of their abilities
and at NRKR textiles owe there amazing success to the outstanding team work. The team
comprises of individuals who are not only experienced but vastly knowledgeable, as the core
team is made up of high profile qualified professionals.
GLOBAL CONTRIBUTORS:
At NRKR Textiles, they are proud and privileged to export there products to countries namely
China, Bangladesh, South Korea, Vietnam, Taiwan, Belgium, Italy, Turkey, Dubai and Latin
America. They have had the good fortune of sharing a good relationship with all the reputed
brands across the world and we wish to continue our valuable contribution.
The company has touched turnover of 100 million USD in the last Fiscal year and this feat would
not have been possible without the people involved. NRKR company today has also passed the
ISO 9001:2000 quality management systems and is a STAR EXPORT House recognized by the
Government of India.
QUALITY:
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The quality of products which they offer is areas they specialize in, as there professionals bring
to the table invaluable skills and proficiency. They believe in being quality-centric and
knowledge-driven which has earned them reputation over the years. They infuse in there
customers/clients trust and in turn they invest in company confidence. And so, at company
customers are rest assured, for they believe in nothing but the best.
NRKR Textiles is ISO certified and is often conferred certification for best practices,
commitment to quality, environmental protection and strong customer relations, and this has
been the cornerstone of NRKR Textiles success.
The manufacturing facilities have the latest quality Analysis and assurance labs manned by
professionals. NRKR always uses the high quality raw cotton mainly MCU-5, known for their
superiority in terms of fineness and good feel suitable strength to weave in high speed shuttle
less air jet looms. Extra long staple varieties like Pima, Giza and Suvin can be used for specific
requirements upon special orders to make special yarns.
With equipments like HVI, AFIS, UT-5, Uster Quantum Classimate tester, Bale Management and
RKM Tester, etc, quality parameters are ensured by sophisticated quality testing.
The company has a long reputation for Quality, Performance and Innovation. Quality of final
product is determined with quality of raw material. Quality of final product is determined with
quality of raw material. At NRKR, we take meticulous care always.
MANUFACTURING FACILITIES:
The factory enjoys state of the art facilities with advanced technology and contemporary
machines meeting International standards. Modern Blow Rooms of International standards are
installed with Automatic Bale Pluckers, Mixers and Jassi Vision shield contamination clearers
ensuring gentle operation of opening and cleaning at various stages in the process of yarn
manufacturing.
We house the best machine which is capable of making better quality yarns which are produced
by employing new generation machines in carding systems like Truetzschler TC 53 Cards, LC
333 Cards, LD2 Draw Frames and LR9-AXI Ring Frames linked with Schlafhorst AC-5 and
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Muratec 21-C Cone Winders where objectionable yarn faults and foreign fibers are effectively
cleared with Loefe Zenit-F and Polypropylene clearers.
At NRKR Textiles, they Ensure That they Stay Updated And they Do It By Constantly
Upgrading To A Superior Technology.
Blow Room Equipment from TRUTZSCHLER

Carding Equipment from TRUTZSCHLER & LMW
Combers from LMW & REITER
Ring Frames and Draw Frames from REITER & LMW
Waste Collection Machinery from LUWA
Auto Comers from SCHLAFHORST & MURATECH
Yarn Conditioners from XORELLA
Testing and Quality Control Equipment from ZELLWEGER USTER
VISION
To be the biggest and largest player globally in the textile industry.
MISSION
Our mission is to provide world-class top-quality product to the global market therefore setting a
supreme benchmark. With superior technology and constant innovation, we wish to leverage the
standards of production and quality.
CORPORATE GOAL:
NRKR has a target of INR 100 crore turn over by 2014. It is trying to achieve a dominant
position in export of yarn. Manufactures a world class blended yarn of export quality.
PRODUCT & SERVICE MIX:
Two decades ago, use of 100% cotton yarn was high. Now-a-days, most of the companies are
manufacturing blended yarn. It is different combinations of Cotton, Polyester and Viscose.
According to requirement, they make different types of yarns.
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Most important types of yarns are PC (Polyester, Cotton), PV (Polyester,Viscose) and PY

(Polyester yarn). The combination of PC is 50-50, PV is 65-35 and PY is 96-4 percentage
respectively. Manufactured yarn goes to western countries. USA and Europe countries are clients
for this yarn. Depending on requirement, they manufacture different counts of yarns. The count
ranges from 15s count to 40s count and used for cloth and sewing and weaving.
Products- First they purchase raw material from companies and suppliers in large quantity.
Depending on orders they get from other companies, manufactures products.
Details of product specifications have given below.
PC (polyester-Cotton) (50-50)
PV (Polyester-Viscose) (65-35)
PY (Polyester Yarn) (96-4)
The output of this firm is only yarn. But size of yarn is different. It depends on
our requirement. Various counts of yarn are
15s PV, 30s PV
26s Pc, 30s PC
30s PY, 21s PY & 20s PY
Services- Company has customers all over the world. Most of the yarn manufactured is of export
quality. So they offer high quality of services to foreign companies on conditions. More services
of company are International operations and Indian operations are very less because of
competition.
TARGET MARKETS:
The consumers a company wants to sell its products and services to, and to whom it directs its
marketing efforts. Identifying the target market is an essential step in the development of a
marketing plan. A target market can be separated from the market as a whole by geography,
buying power and demographics, as well as by psychographics.
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Not all products and services are meant for all types of consumers. In fact, companies may tweak
certain aspects of a product, such as the amount of sugar in a soft drink, so that it is more likely
to be purchased by consumers with varying tastes. Creating the target market may require the use
of limited product roll-outs and focus groups, allowing product managers to get a feel for which
aspects of the product are the strongest.
Most of the yarn produced in spinning mill has export quality. So they target only on foreign
markets. Those markets are USA and EUROPE countries. The yarn produced is of premium
quality and gives a good quality of cloth after weaving. Those markets are hyper markets and can
afford to pay a premium on different types of yarn.
In Global market, Asian countries have well reputation for their quality of yarn and clothes. 72%
of yarn from Asian countries exports to western countries. Because quality of cotton cropped in
Asian has good quality. Viscose and Polyester also have demand in Global market. Textile
industry was highly developed in south and north regions in the world. In Europe, cotton is not a
major agriculture product. So they import yarn to weave cloth. Advance Technology and skilled
labour, low cost for manufacturing yarn are the reasons to quote the lower price for products. So
the production is increasing.
These reasons influence company to export products to foreign where the cost of yarns high.
NRKR textile Mills markets products within India and more than 20 countries Israel, Panama,
Egypt, Bangladesh, Sri Lanka, Indonesia, Mauritius, Singapore, the UK, Guatemala, Syria,
Taiwan, Turkey and the USA.
At NRKR textiles, this engagement with large and prominent brands represents the cornerstone
of its strategy. Over the years, the Company has selected to work with prominent international
brands like VF Corporation, Levis, Wal-Mart, Perry Ellis, Jones International, M&S, C&A,
ASDA, George, Next, Miss Sixty, Mango, Otto, Carrefour and Sainsbury, among others. The
advantage of working with these large, prominent and demanding clients is that competition at
this level is relatively limited on account of the high quality standards required.
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Besides, the space is marked by capability- led competition over price-based differentiation; the
business is marked by the ability to introduce high-end innovation and solutions as opposed to
mere product delivery. The result of this strategy was evident in a challenging 2012-13: the
Companys average yarn realizations strengthened 8.91% even as average denim realizations
decreased 4.07% due to volatile market conditions. Validating the point that strong customer
relationships represent an effective insulation from market volatility.
THE BALANCED SCORE CARD APPROACH:
A framework that translates an organization's strategy into a set of objectives and measures and
aligns the organization to them through its planning and control processes. Nine out of 10
organizations fail to execute their strategies. Research has shown that 70% of organizations that
use a formal process to manage strategy out-perform their peers by:
Growing Revenue
Gaining Customer Loyalty
Strengthening Employee Commitment
Optimizing Resource Allocation
Reducing Cycle Times
Managing Risk
All these are reasons for the Organization to become a good Organization. This can be analyzed
very well by Balance Score Card Approach. It has given below.
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FINANCIAL:
Objectives - To generate revenue of 10% more than the previous year and so on. Company tries
to become financially strong to get the things done on time.
Measures- It can be measured through increasing the sales and services. If there is a reduction in
the internal process such as rework, scraps, etc. which will help the organization to earn more on
their financials and good income.
Targets- Targets are to increase the sales of the company, expand the services of the
organization. Reduce as much as possible in the manufacturing process such as scraps, wastages,
etc. Make the required budgeting using the budgeting control techniques.
Initiatives- If new technology is implemented it will help the organization to reduce the cost per
product produced, use of man power and methods which use to control them, i.e. few enterprise
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level initiatives, if implemented would also help the organization to grow in their financials.
Increasing the distribution network would also help the organization to grow.
INTERNAL BUSINESS PROCESS:
Objectives- To implement a 100% EOU setup. Reduce defects to minimum which will help in
reducing the scraps, wastages, and rework. It is to meet international quality standards.
Measures- To identify suppliers & reduce rework.
Targets- To implement the international process of doing things will help in achieving the
international standards and the quality of the goods, help in reducing scraps, rework, etc.
Initiatives- To search for the world class suppliers, huge supply network, importing of good
quality machinery for enhancing the growth.
LEARNING AND GROWTH:
Objectives- To become the market leader in exports o f yarn in next 5 years.
Measures- Own experience of the employees from or with fellow employees will help them to
grow in the organization & to grow in the organization hierarchy.
Targets- Quality assurance department of the organization will help them to manufacture good
quality of yarn.
Initiatives- It can be achieved through expanding distribution of the goods, connecting to new
buyers in the market and manufacturing the goods through fixed international standards.
CUSTOMER:
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Objectives- 100% customer satisfaction.

Measures- Through proper market research, through feedback form, customer response can be
recorded and can be looked upon.
Targets- To achieve customer satisfaction, to give proper quality of products and to serve after
sales and service. It is to manufacture a premium quality of world class yarn.
Initiatives- Market research, Feedback form can be used to get the proper idea about the
customers. On time delivery of the goods as per the deadline allotted.
ORGANIZATION STRUCTURE AN INTRODUCTION

Organization design is not simply about mapping out an Organizational structure, but also about
how the organization is aligned with all other aspects, functions, processes and strategies within
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the business. When looking at organization design, the context within which the business exists
must be taken into consideration.
An organization is a person or group of people intentionally organized to accomplish an overall,
common goal or set of goals. Organizations are social entities that are goal-directed, designed as
deliberately structured and co-ordinate activities systems, and linked to the external environment.
On the basis of relationship, an organization may of two typesformal and informal.
Formal organization refers to the structure of well-defined jobs, each bearing a definite measure
of authority, responsibility and accountability. Informal organization refers to the relationship
between people in the organization based on personal attitudes, emotions and prejudices, likes
and dislikes.
There are five common forms of organization structureLine, Functional, Line and Staff,
Committee and matrix organization.
LINE ORGANIZATION:
In this, there is a chain of authority which flows from upward to down word.
Advantages- Main advantages of this form of organization are:
Simple
Fixed responsibility
Flexibility
Prompt decision
Unified control
Well-defined authority
Fixed channel of promotions
Disadvantages- The system claims the following disadvantages:
Unitary administration
Overloading with work
Lack of specialization
Lack of communication
Succession problem
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Absence of conceptual thinking

Favorites
No co-ordination.
FUNCTIONAL ORGANIZATION:
In this form of organization all activities in the organization are grouped according to the basic
functions, i.e., production, finance, marketing, headed by a specialist. The size of each
department varies according to business needs. For example, most manufacturing organizations
have a large production department compared to the size of other functions. Some organizations
merge sales and marketing. The general point is that such a structure allows employees with
specialist skills to deploy these to their best abilities.
Functional organizational structures work best when the organization or business unit is selfcontained, such as a small company or an autonomous unit, such as a subsidiary company. The
downside of this type of structure is the easy development of a silo mentality, by which issues
escalate rather than enabling lateral communication to be brought to bear in order to solve
problems.
Advantages- Main advantages of this form are:
Specialization
Large-scale production
Improved efficiency
Flexibility
Better industrial relations
Separation of mental and physical functions.
Disadvantages- Following are the disadvantages of this form of organization:
Multiplicity of authority
Indiscipline
Shifting of responsibility
Lack of co-ordination
Impracticable
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Delay in decision making.

LINE AND STAFF ORGANIZATION:
In this form of organization the structure is basically that of line organization but functional
experts are appointed to advise the line authority in their respective field.
Advantages- following are the advantages of this firm
Advantages of the line and the functional organizations
Specialization
Sound decisions
Disadvantages- following are the disadvantages of the firm
Conflicts between the line and the staff executives

Advice of the staff executives is ignored
No demarcation of authority
Lack of responsibility
Uneconomical.
COMMITTEE ORGANIZATION:
Committee is a group of individuals formed permanently or temporarily for a particular purpose
through free interchange of ideas.
Advantages- following are the advantages of the firm
Pooling of ideas
Co-ordination
Motivation through participation
Representation of interest groups
Easy communication
No concentration of power
A tool of management for development.
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Disadvantages- following are the disadvantages of the firm
Slow decisions
Divided responsibility
Minority tyranny
Other abuses.
PROJECT OR MATRIX ORGANIZATION:

In it authority flows vertically within functional departments. A matrix structure is one which
sets out to reconcile the competing demands of customers and the need for a strong bureaucratic
and efficient functional presence.
This type of structure is commonly observed in organizations which are highly project-based for
example, civil engineering companies. Obviously, there are greater tensions between the
requirements of different projects and functions, but the idea is to enable employees to locate
themselves within a strongly multi-project environment.
Advantages-
It emphasizes multiple inter-dependence among various functions, horizontal
relationships and operational flexibility.

Disadvantages- It is of a temporary nature.
THE PRESENT ORGANIZATION STRUCTURE:

Company has 8 directors. Two of them are managing directors. A typical Organization structure
of NRKR TEXTILES has shown here. The Organization has vice-president as Head. Next to
him, General Manager and Asst General Manager are there. AGM is HR in this organization.
Vice-President is common for two Mills. He also holds purchasing department. GM maintains
unit-II in the Mill. AGM and HR, both have hold by one person.
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Each department has HOD. They monitor functions involved in their department. Next to HOD,
a person In-charge takes care of work and it also has person to maintain persons.
In production department, there are 3 departments. They are preparatory, spinning and postspinning. Each department has one production and one maintenance head. Production heads
takes care of production or processing. Maintenance heads takes care of operation and
functioning of machinery.
Quality control department has a manager. He directs all the staff and technicians in laboratory.
Under this department a lab has been maintaining by manager for the quality checking of yarn
manufactured. Mill has two labs in two units. A team of 25 members are working in two
laboratories.
Maintenance department handles machinery. Staff involved in maintenance department works for
full day in shift basis, because machinery has to run continuously. They check machines for
every two hours. Electrical department is very much important in this Mill. Any power problems
make production go down. To avoid leakage of power, short-circuit and similar problems, they
also work continuously.
THE PRESENT ORGANIZATION STRUCTURE:
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NR
V
O
G
IM
F
C
F
E
I
C
E
KR spinning mills presents only in India. Head office of NRKR spinning mills located in Guntur.
All operations are doing from their only. Their units are in Tamilnadu and in Andhra Pradesh.
REVIEW OF THE EXISTING ORGANIZATION STRUCTURE

A review of Organization structure and its performance is done through the principles of
management.
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PRINCIPLES OF MANAGEMENT:
Division of work- Work should be divided among individuals and groups to ensure that effort
and attention are focused on special portions of the task. Fayol presented work specialization as
the best way to use the human resources of the organization. In SCML, work divided into
categories. Each of them work individually. Groups will be formed according to requirement.
Authority- Managers must be able to give orders. Authority gives them this right. Note that
responsibility arises wherever authority is exercised. In the factory, there are managers give order
to supervisors regarding quantity and quality of production and supervisors give order to
workers.
Discipline- Employees must obey and respect the rules that govern the organization. Good
discipline is the result of effective leadership, a clear understanding between management and
workers regarding the organization's rules, and the judicious use of penalties for infractions of
the rules. Coming to discipline, workers in the Organization are well, though they are not well
educated.
Unity of command- Every employee should receive orders from only one superior. There are
different stages in production, so only one representative of each stage gives commands to
workers.
Unity of direction- Each group of organisational activities that have the same objective should
be directed by one manager using one plan. Most experienced employees are working in the
Organization for more than 20 years. So they have good respect towards each other. They follow
the objective directed by manager.
Subordination of individual interests to the general interest- The interests of any one
employee or group of employees should not take precedence over the interests of the
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organization as a whole. They take the information from all the employees, and make decisions
on their interests as a whole.
Remuneration- Workers must be paid a fair wage for their services. Workers are getting good
salary. But supervisors are not getting enough salary.
Centralization- Centralization refers to the degree to which subordinates are involved in
decision making. Whether decision making is centralized (to management) or decentralized (to
subordinates) is a question of proper proportion. The task is to find the optimum degree of
centralization for each situation. Decision making is centralized in most of the situations. Only
few situations like welfare of workers decision making process involves subordinates.
Scalar chain- The line of authority from top management to the lowest ranks represents the
scalar chain. Communications should follow this chain. However, if following the chain creates
delays, cross-communications can be allowed if agreed to by all parties and superiors are kept
informed. Cross communication takes place in the Organization.
Order- This principle is concerned with systematic arrangement of men, machine, material etc.
there should be specific place for every employee in organization. Systematic Order is there in
the Organization.
Equity- Managers should be kind and fair to their subordinates. Yes, managers are kind enough
and fair to the subordinates.
Stability of tenure of personnel- High employee turnover is inefficient. Management should
provide orderly personnel planning and ensure that replacements are available to fill vacancies.
Replacements are not available.
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Initiative- Employees who are allowed to originate and carry out plans will exert high levels of
effort. Employees in the Organization have no chance to originate and carry out the plans.
Esprit de corps- Promoting team spirit will build harmony and unity within the organization. It
doesnt happens in the Organization.
PURCHASING FUNCTION:
Materials purchased - with specifications: The firm is involved in manufacturing and

processing of cotton, polyester and viscose fibres into PC, PV and polyester yarn with fully
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equipped Machinery and advance technology. NRKR Spinning Mills purchases cotton, viscose
and polyester bales. They purchase tones of cotton, polyester and viscose at a time.
Suppliers of materials: NRKR purchases material from different Suppliers. They purchase
Cotton from Adilabad, Andhra Pradesh, Viscose from Karnataka, and Polyester from Reliance
India limited, Surat, Gujarat respectively.
Supplier selection procedure: The firm has following criteria to select the suppliers of
materials. They are:
They should be able to deliver the raw material in time and in large quantity at
a time.
They carry material from suppliers to the Mill as per the requirement and orders given by
the Head Office and Factory.
Company gives contract to some contractors.
Purchasing schedule: The firm purchases the raw material from the large suppliers in huge
quantity. The main and important reason behind this is Textile Industry is the big Industry in
India. No. of competitors are there. If there is delay in placing an order, we wont be getting
material when require. Good quality of material goes to some other manufacturer in the same
field. Cotton comes in the month of January. Polyester and Viscose purchases as they required.
Customers need different types of yarns as per their requirements. So they purchase and
manufacture on the basis of order taken by company.
Purchasing decision - steps involved and people involved:

While purchasing raw material, decision taken by head office and staff. The purchasing decision
involves following steps:
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Some are engaged in offering a wide range of Raw Cotton which is available in the
market at highly competitive prices.
The factory manager along with his assistant undergoes the testing of the cotton bales by
keenly checking the cotton bales as they have the idea of verities of cotton because of
their experience.
The acceptance of cotton, viscose and polyester is done if the quality of material is 100%
and if its below then they are rejected.
The cotton, viscose and polyester should be dried enough for further process and in rainy
season, discount is given by suppliers as those materials contain water in higher quantity
when compared to that of other seasons.
Terms and conditions for suppliers:
The following are the terms and conditions applied for the suppliers of cotton Order Once you
have selected one of our products, you have to select the size(s) that you wish to order. The
selected product can then be transferred to your shop/company.
Then you have to enter your shipping address and contact information.
After placing an order, you will receive an e-mail from us confirming that we have
received your order. Please note that this does not mean that your order has been
accepted. Your order constitutes an offer to purchase the selected products on the basis of
these terms and conditions. All orders are subject to acceptance by us, and we will
confirm such acceptance by sending you an email that confirms that the products have
been shipped - the Shipment Confirmation.
The purchase will only relate to those products which we have confirmed in the Shipment
Confirmation. We will not be obliged to supply any other products which may have been
part of your order until the shipment of such products has been confirmed in a separate
shipment confirmation.
Your purchase will be fulfilled by the delivery date set out in the Shipment Confirmation.
If the Shipment Confirmation does not specify any date, then we expect to deliver within
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7 days of the date of the Shipment Confirmation, unless there are exceptional
circumstances.
A contract takes place between supplier and company for some years. Payment- Payment
can be done by,
By credit & debit cards - Accept all major credit and debit cards. Please note payment is
taken at point of sale in rupee at your bank providers. Orders can be placed via website
using a credit card where billing and delivery address match. This is to protect you from
the increased threat from Internet and Credit Card fraud.
Payment can also be done in cash check and DD.
Inspection of purchased material:
As there are not many raw materials purchased, but it goes into inspection. Inspection is done by
the factory manager of Quality Assurance department by himself at the time of purchasing of raw
material along with his assistant who helps him in identifying the quality of cotton, viscose and
polyester at the time of purchasing.
WAREHOUSING & INVENTORY MANAGEMENT FUNCTION (MATERIALS):

There is a separate section for maintenance of raw material. A person called supervisor is a head
of that section. He records all the details of raw material from the time when it comes.
How much material is used per day

How much material is of waste quality
How much quantity of material is wasted.
How much material is leftover.
What kind of material needed i.e. cotton, viscose and polyester has to be purchased and
stored in warehouse.
This material burns very quickly. So they keep it away from fire.
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Warehousing receipt and Issue register format:

When material stored in warehouse, receipt and issue register format from warehouse to
production department is maintained and submitted by the supervisor.
Material Handling Function:
List of material involved- In this mill, so many materials are handled by workers. First they use
large cans for storing sliver which comes as output in carding, drawing and roving.
Bobbins, doffs and cones are used in spinning, auto comer and in packaging.
UV lamp is also used to cross check the final cones.
Weighing machines are used to measure the weight of each cone.
Material handling techniques
They handle material very carefully in Mill. Trolleys are used to carry and move material from
one place to another place. Weighing and measuring devices of material- Following are the
weighing and measuring devices of material. They are:
For weighing bales, truck weighing machine which has the capacity of 10 tons.
For finished product, another weighing machine with capacity in kg is there which is
used after completion cones.
Logistics for material handling within the firm
In the firm after every stage of processing the materials are taken from one place to another place
by cans, trolleys which is set up in such a way that gives the convenience to carry on further
process and saves time and energy. Every can and trolley has wheels so that it makes easy to
work.
Risks involved in material handling
Care is taken in such a way in material handling that there is risk in material handling. As the
weather is so supportive that even workers dont feel restless very soon. Working conditions are
made so favorable and the firm is worker oriented. Workers cant speak in a Mill because sound
from machinery comes very heavily.
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Format of stock register, Format of warehouse inspection record- There is format of warehouse
inspection record as the firm does maintain warehouse because there is stage where the stock of
material stored in the firm. There is format of stock register maintained as the bales which are
bought from the suppliers on as per requirement. The quantity which is bought by the firm is
standardized and immediately undergoes processing after bought. All the formats are written and
not printed, they use a book for keeping details.
How are the machinery & equipment maintained?
Internal parts of machinery used in factory are timely checked by Maintenance department head
of each section. Every section has one maintenance head and production head.
What kind of maintenance is implemented?
As cotton manufacturing firm needs to keep its environment clean, hygienic and fire free, it
adopts following method to keep it clean and fire free. In cotton manufacturing unit, waste
material is very less. They take it away from the unit.
Who does the maintenance?
Maintenance is done by factory maintenance department. He has the responsibility to be in the
factory whole day and check the parts of machines periodically and take care if machines are in
good condition or not. Any minute problem which come into his notice is immediately solves for
not making delay in the further product ion process.
What are the steps taken to increase productivity?
The following are the steps adopted to increase productivity. They are
Best quality of raw material is used.

Fully digitalized and automated machinery has been working for more than a decade.
A new unit has started.
Mill runs for 24 hours and 7 days to hit the target.
What are the steps taken to conserve energy / fuel?

The following are the steps taken to conserve energy / fuel. They are Overcapacity of production
has not taken in processing which leads to over consumption of energy at a time. Machinery get
heat, they maintain RH to control the room temperature. So that machinery works continuously.
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What steps are taken to minimize wastes, scraps / rework?

The following are the steps taken to minimize wastes. They are:
Continuous monitoring is done to check if there is any problem in any of the machines
and even in conveyer belts.
Wastage is very less in yarn manufacturing, but disturbance happens from machinery.
Processing is a very delicate work yarn production. Wastage comes at every stage.
Wastage which comes from machines while processing takes into a cover and send it
back to the store room.
There workers make this scrap/wastage into no. of pieces and mix it and again send it to
blow room.
Format of Job Card, Format of maintenance record- There is no as such format of job card or
format of maintenance record is maintained in the firm. As maintenance of the machines and
cleanliness of the firm is done on daily basis, the firm was never in the need of keeping
maintenance record.
PRODUCTION FUNCTION:
Production Process:
In production process, PC, PV and PY are produced in different quantity. Different types of
machines for different types of yarn manufacturing. Output is measured in kg.
PC sliver is produced by machines is 32 kg/hour
PV sliver is produced by machines is 48.5 kg/hour
PY sliver is produced by machines is 58 kg/hour
Each type has different rpm, because 100% cotton is very weak compared to blended yarns. So
the different in production happens.
Production process involves 9 steps. They are
Mixing
Blow room
Carding
Drawing
Simplex (Roving)
Spinning (Ring frame)
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Auto coner
Cone winding
Packing
Each step mentioned above is explained below in detail.
MixingThis is the first step in manufacturing of yarn in Mill. In this stage first we open bales of cotton,
viscose and/or polyester as per our requirement. A machine called Bale Pluker is used in mixing.
First we need to keep bales as open. Put them in sequence order and opens bale by suction
process. Combination of 3 raw materials gives 3 different outputs.
Blow RoomUpon arrival at the mill the cotton bales are opened and loosened. This helps separate and clean
the cotton before it is fed into carding machines. Typically, mills select bale mixes with the
properties needed to produce yarn for a specific end use. Processing begins when the bales to be
mixed are brought to the opening room, where bagging and ties are removed. Layers of cotton
are removed from the bales by hand and placed in feeders. The aim is to begin the sequential
production process by converting the compacted layers of baled cotton into small, light, fluffy
tufts that will facilitate the removal of foreign matter. This initial process is referred to as
opening. The cleaning machines in mills perform the functions of opening and first level
cleaning. Dust and impurities are removed and blending takes place.
CardingThe card is the most important machine in the yarn manufacturing process. It performs secondand final- level cleaning. The card successively work small clumps and tufts of fibers into a high
degree of separation or openness, remove a very high percentage of trash and other foreign
matter, collect the fibers into a rope- like form called a sliver and deliver this sliver in a
container for use in the subsequent process.
Drawing & CombingACHARYA BANGALORE B SCHOOL
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Drawing is the first process in yarn manufacturing that employs roller drafting. Drafting occurs
when a sliver is fed into a system of paired rollers moving at different speeds. Drawing
straightens the fibers in the sliver by drafting to make more of the fibers parallel to the axis of the
sliver. Drawing also produces a sliver that is more uniform in weight per unit of length and helps
to achieve greater blending capabilities. Weight per unit length of a finisher-drawing sliver is too
high to permit drafting into yarn on conventional ring-spinning systems. Combing upgrades
the raw material by removing the short fibers. Combed yarn is more uniform has greater shine
smoother and pure.
RovingThe roving process reduces the weight of the sliver to a suitable size for spinning into yarn and
inserting twist, which maintains the integrity of the draft strands. The product is now called
roving, which is packaged on a bobbin.
Spinning/Ring FrameSpinning is the single most costly step in converting cotton fibers to yarn. Bobbins of roving a
re placed onto holders that allow the roving to feed freely into the drafting roller of the ringspinning frame. Following the drafting zone, the yarn passes through a traveler onto a spinning
bobbin. The spindle holding this bobbin rotates at high speed, causing the yarn to balloon as
twist is imparted. The lengths of yarn on the bobbins are too short for use in subsequent
processes and are doffed into spinning boxes and delivered to the next process, which may be
spooling or winding. Once the yarn is spun, the manufacturer prepares a correct package. The
type of package depends on whether the yarn will be used for weaving or knitting. Winding,
spooling, twisting and quelling are considered preparatory steps for weaving and knitting yarn.
In general, the product of spooling will be used as warp yarns (the yarns that run lengthwise in
woven fabric) and the product of winding will be used as filling yarns, or weft yarns (the yarns
that run across the fabric).
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AutoconerIn this stage, all bobbins are put in order, a drum is used to rotate paper cone with yarn. No. of
bobbins come together and gives one big cone of 2.4 kg. Those empty bobbins go by a conveyer
belt. When breakage of thread takes place auto coner machine automatically adds two parts.
Cone Winding- Here any failed and loose cones are used to wind again to the new cone.
TFO- It means two for one. Two yarns are used to wind to a cone at a time. Yarn becomes strong
and gives more life. They produce different sizes of yarn. It is measured in counts.
A list shows output of production

26s PC
30s PC
30s PY
21s PY
20s PY
15s PV
30 PV
747 kg/day
605 kg/day
800 kg/day
1300 kg/day
1365 kg/day
1680 kg/day
740 kg/day
Efficiency of machinery is 96.5%.
Technology adopted - Indian or foreign:

Technology adopted for manufacturing of yarn is Foreign. Hence this firm is very old and the
technology adopted by them is also foreign.
Up gradation in technology being used:
Technology is used since the beginning of Mill. Recently they constructed new manufacturing
unit beside the old unit. In new unit they are using automated machinery and have the capacity to
maintain self temperature.
Details of Machinery and Equipment used in the firm:
Page 45
The following are the details of Machinery and Equipments used in the firm:
Mixing
Bale Plucker
Blow Room
Mbo (Lb3/2), Unimix
Carding
Lmw Lc-333 (4), Lc-300av3 (23), Lmw Lc-300a & Trutzschler Dk-850
Drawing
Breaker Ld-2, Ld 0/6 (6); Finisher D-40, Lrsb851 (8)
Simplex
Lf-1400a (10, 120 Spindles), Lf-4200
Spinning
Lr 6/S (864 Spindles, 28), Lr-9axl (1200 Spindles, 36)
Auto Coner
Muratec-21c (16)
SALES & DISTRIBUTION FUNCTION:

Sales function is not there in the Organization. This function is maintained by Head Office
located in GUNTUR Andhra Pradesh. Orders come from other companies, customers of NRKR.
Distribution of stock done by the factory to the customer companies through logistics. They
export products to western countries and small quantity of products distribute to companies in
India.
Pricing, Promotion and Distribution Logistics:
Pricing
Pricing of yarn is done after testing it according to the quality. Samples are also send to quality
assurance board operated auctions and reserve price is given and after bidding it is sold.
Promotion
Heavy promotion is not done but NRKR TEXTILES PVT LTD is bid Company. Yarn is made
aware by hosting it through seminars to states like Gujarat, Maharashtra, and Punjab.
Distribution
Page 46
Distribution of yarn is done through dealers who are spread over Gujarat, Maharashtra, and
Punjab, Calcutta and Delhi.
Logistics
Transportation for distribution of cotton and blended yarn is done with lorry transport like VRL
logistics, SRM and commercial cargo movers pvt ltd.
Branding
The firm does not spend a lot in branding but does a little. First step to building a brand is
engaging the customer on their level. The second step is to establish a relationship. Many small
tea shops do an excellent job of this. The third step is what separates experiences from brands,
and thats the ability to replicate the experience. Most tea shops are their own brand, and the only
way to replicate the experience is to return to the shop.
Market research and after sales services:
Market research is given priority as its a yarn business. Here the quality is given importance as a
yarn business person knows that the best quality will automatically attract new customers with
reasonable price. Yarn has to be used for making clothes. So the best quality of yarn go for
further processing. Research and Service after sales is not much important.
Page 47
MARKETING FUNCTION:
Every Marketing Manager has the same work. The main motive is to promote the brand or the
product by doing various advertisement campaigns to increase sales of the company and also
make sure that the product satisfies the need of the customer.
In a textile company it won't be any different. The MM needs to understand the needs of the
retailers and the wholesalers and also he needs to understand the pricing and promoting strategies
of his competitors. And accordingly he will do his promotional activities. If needed he will even
have to map new towns and cities to see if he can promote his product there.
Textile companies usually provide raw materials (unfinished product) to its buyers. And the
buyers are actually not the real consumers. These buyers will then take these products and make
a new product like shirt, pant etc. And then they will sell it to the market. So the main job of the
Marketing Manager (MM) of NRKR Textile Company is to identify potential buyers who will
further process their material for better product.
Page 48
HUMAN RESOURCES FUNCTION:

Mission- The Mission of Human Resource Department is To recruit, develop, and manage the
human resources for outstanding performance.
Role of Human Resource Department:
Providing HR related consultancy and advisory services to line managers given that every
manager is a human resource manager.
The HR department manages the employment contract by:
Ensuring the conditions of a contract are fulfilled i.e. offer, acceptance and
consideration.
Ensuring principles of natural justice are adhered to. i.e. One can only be disciplined if
he/she breeches a regulation, policy etc. One should be allowed to defend himself, no
person should judge in his own cause.
Ensuring terms and conditions of service are in place and followed.
To terminate service, due notice is given or payment in lieu of notice is made.
When HR department faces legal challenges, it consults the Legal Department.
Nature of Human Resource Management:
Have moved from Personnel Management to Human Resource Management. HRM is the
acquisition of people with requisite knowledge, skills, Attitude and competencies and managing
them in a manner that leads to the achievement of organizational goals.
Page 49
Human Resource Strategy:

Take into account corporate strategy. Derive a strategy that provides human resource needed to
corporate strategy.
Organization Strategy:
Strategic management has four elements: goal setting, strategy formulation, strategy
implementation and strategy control. Strategy direction i.e. corporate vision, strategic goals,
strategy. Policy Human Resource strategy is a central philosophy of the way that people
in the organization should be managed. y is a guideline for decision making. It requires
consistent and mutually reinforcing policies in all areas of human
resource management. It usually involves descriptions of required employee behavior and
sometimes of the culture of the organization. Human Resource strategy themes currently centre
around quality, customer orientation, flexibility, commitment, involvement, leadership, team
working and continuous learning.
Human Resource Planning:
Determine the HR needed in an organization.
Assess the HR that is in the organization.
Determine the shortfall in HR.
Make a plan for covering the HR shortfall.
Human Resource planning activities are all interdependent & continuous.
It deals with people; therefore planners need to plan for what is acceptable and
feasible.
The plans cover areas such as people supply, utilization, communications, training and
development.
It also covers performance, appraisal, organization, rewards, employee relations and
many others.
Page 50
The HR policies:
The firm has maintained excellent Human resource. It has not taken too many or too less human
resource. Their work is well organized and everyone is expected to do their work timely without
interference in others works. Factory manager is well responsible person who takes care of every
little thing and ensure the free ongoing of work. The firm is completely worker oriented. Huge
work force is involved around 2000 workers for this work in the Mill. Firm has two HRs. Senior
HR for unit-I and Worker welfare HR for unit-II.
Recruitment & Selection procedure:
The firm has no as such recruitment or selection procedure because employees are already
appointed and organization always doesnt need employees as the work is already organized.
Only the workers recruitment is done frequently which is handled by labor welfare HR. Training
department head appoints female and male workers for factory work and explains them their
duties and responsibilities.
Training & Development initiatives:
Training to the new workers is given by the training department head for 10 to 15 days. This is
the best method adopted according to the factory manager as one could explain their work in an
effective way. The development of the works of new worker is kept in notice by training
department head of Mill. Initially work given to the workers is very less. Then gradually after
knowing their caliber to work in that conditions they are assigned their level of works and wages
are given them accordingly.
Performance Appraisal method:
Performance of workers is crucial thing which an organization should take into consideration
which results to the encouragement of worker and make them more work oriented. The
performance of each worker and rewards them by giving them extra pay. There is a record
maintained by the manager as well as factory manager about the performance of employees and
Page 51
constant notice is kept on those employees who could work the least. They are encouraged by
giving easier task and bounding time limit to them.
Compensation and reward system:

The minimum salary for workers depends upon the type of work. Different sections have
different type of work as workers undergo for work for 8 hours per shift. Any male worker taking
up the difficult task in the factory requires his extra energy. Most of them are involved in
maintenance and production process. Their designation in the Mill is Supervisor. They rewarded
by paying extra and encouraging them to work effectively. OT (Over Time) duty time depends on
another person. If they do overtime duty, compensation also depends on duration of time they
spend on duty.
Transfers / Promotions / Penal actions:
Transfer of work from one worker to another is done in case of leave of the worker, in case the
worker is not comfortable in that particular working condition. Because the firm is mould up in
such a way that the work has to be done in an organized manner (at the right time at the right
place). There is no greater scope of promotion to this organization as the workers are appointed
by taking into consideration their caliber and vacancy in the organization. No higher penal
actions are taken into practice in an organization.
Format of all documents, such as leave application, resume, appointment order,
memo, appraisal form etc
Firm have few documents. In any such cases, these documents are to be prepared on the white
sheet of paper and submitted to his/her supervisor. There is no need for any resume in the factory
as only physical ability of the worker is seen. Only accountant managers qualification is always
asked. There is no as such appraisal form prepared in the firm. Only performance is periodically
checked by the managers and reward is given to those who perform extraordinarily as an
encouragement.
Page 52
FINANCE / ACCOUNTING FUNCTION:

Accounting Practice:
The following are the accounting practices carried on in the firm. They are:
Raw material purchase account. It contains types of material purchased.

Production account. It contains types of product manufactured.
Sales account. It involves types of products sold.
Financial accounting which is maintained by accountant manager in the firm.
Book Keeping:
Bookkeeping, in business, is the recording of financial transactions, and is part of the process of
accounting. Transactions include purchases, sales, receipts and payments by an individual or
organization. The accountant creates reports from the recorded financial transactions recorded by
the bookkeeper and files forms with government agencies. There are some common methods of
bookkeeping such as the single-entry bookkeeping system and the double-entry bookkeeping
system. But while these systems may be seen as "real" bookkeeping, any process that involves
the recording of financial transactions is a bookkeeping process. There are separate and
particular books maintained in the firm. They are also known as registers are maintained on
yearly basis where purchase and sale records from the firm is maintained and kept in the office of
the firm itself. Managing director and other directors go through those registers whenever they
feel like going through it. Separate books for raw material purchased, sales, payments and
receipts and transport to and from Mill etc.
Various heads of accounts:
The following are the various heads of accounts in the firm. They are as follows:
Purchasing register
Process register
Page 53
Material handling register

Quality register
Store register
Dispatched register
PPD books register
ECS books register
Budgetary technique:
Three types of budgets are being prepared by the accountant at a given period of time. They are
as follows.
Preparing and revising budgets.
Use of budget for short-term target setting
Monitoring, budgets should be constantly monitored in order to compare budgeted costs
with actual costs, as well as to identify and explain the root cause of variances.
Control measures
Reliability- Every business should understand the importance of accurate, error
Working Capital Requirement:
There is always a need for working capital in order to run the day to day activities of an
organization. Though it has enough capital to fulfil the requirements of day to day activities firm
prefers to take capital from the bank every year in the beginning of financial year.
Costing, Internal Auditing:
Costing and auditing is done by the Auditors M/s. Brahmayya & Co, audit in the firm and he
follows the same method which has been implemented in the beginning. The methods used for
costing is confidential. Internal auditing is done by internal audit.
Preparation of financial statement:
Preparation of financial statement is done by accountant in the firm he prepares the following by
taking the registers as a source. He prepares profit and loss account, trading account and then
balance sheet of yearly basis which is then scrutinized by managing director on yearly basis.
Enterprise level initiatives implemented by the firm
Page 54
NRKR Textile mills started in 1964. Since from the date, the management is initializing methods
one after another. The manufacturing unit is away from the city and any village, so for the
welfare of workers and employees of company they built quarters for them.
QUALITY FUNCTION:
Quality policy, Quality certifications received- Quality is given high importance in the
manufacturing of yarn as it goes to foreign. To not to compromise on the quality the firm
immediately send the sliver and yarn for testing, is done by technicians in Quality assurance
department of factory under supervision of quality assurance manager. He then decides on the
quality and grade the yarn accordingly.
NRKR has received so many certificates from domestic and International Organizations.
ISO 9001 2008

ISO 14001-2004
ORGANIC CERTIFICATE 2010 to 2011
GOTS CERTIFICATE 2011 to 2012
ENVIRONMENT CLEARANCE LETTER FROM TAMILNADU GOVT
Techniques adopted to ensure quality:

The following are the techniques adopted by the firm to ensure the high quality of yarn. They
are:
Care is taken that sliver from carding and drawing has to have a single sliver.
Testing is done in each hour by collecting samples of sliver and yarn at each stage.
Quality checking is compulsory in Cotton mill, because fibers in sliver have to be in
parallel and have strength and elongation.
Different counts of yarns have different thickness, so thickness, length and twist has to be
measured.
Page 55
SWOT ANALYSIS:
SWOT analysis is a structured planning method used to evaluate Strength, Weakness,
Opportunity and Threat involved in a business or project. It can be carried out for product, place
Industry and firm. It involves specifying the objective of the business or project and identifying
the internal and external factors that are favorable and unfavorable to achieving that objective.
Strengths- Characteristics of the business that give it an advantage over others
Abundant raw material
Low cost skilled labour
Presence across the value chain
Growing domestic market
Strong backward integration
Top ten largest yarn manufacturers as well as the largest area under cultivation
Increasing presence across entire value chain
Cheap and skilled manpower
Sharp reduction in borrowing costs.
Recent Government efforts to promote the Industry.
Truly vertically integrated from raw material to finished products.
Steadily diversified its raw material base to include man-made fibers such as
Polyester, viscose, acrylic, polypropylene etc. as well as other natural fiber.
Flexible in terms of production quantity and lead time.
Weakness- Characteristics that place the business at a disadvantage relative to others
Effect of historical government policies

Cost competitiveness
Tech obsolescence.
Caters mainly to the low-end class.
Low level of training.
Delay in delivering the goods at the right time.
Lack of economies of scale and advance processing capabilities.
Opportunities- Elements that business could exploit to its advantage
Page 56
Huge demand for value added goods in all major countries.

Relocation from high cost economies.
Large and relatively untapped domestic market
Large Indian expatriate community. Hence there is large demand for Indian Garments.
Rate of import duties is minimal.
Bilateral Agreements on Avoidance of Double Taxation and Prevention of fiscal Evasion
with respect to taxes on income and capital has further opened

The Opportunity for higher export for the garment sector.
Extensive commercial interactions have greatly helped in laying the foundation
Threats- Elements in the environment that could cause trouble for the business.
Domination of large firms in the Industry, Threats from the new entrants
Not well educated labours, half the machines are not upgraded.
One machine gives only one type of yarn. If requirement is high, takes more time to
produce a specific type of yarn.
OBSERVATIONS;
Textile Industry is the second largest Industry in India. India produces cotton and as well
as yarn. It is one of the big companies in India.
Company has senior most work forces who are working since from beginning and
maintaining the same quality of work.
Most of the labour in company is illiterate and non-technical. Though they are not well
educated, work done by them is of good quality.
This study gives idea about how to maintain functions in the company & how to deal
with employees in a company and make sure them to work.
Page 57
To grow in the Industry; work continuously with a particular objective, goal, vision,
mission and Target.
RECOMMENDATIONS:
Company has to recruit employees who are technically good at respective work.
Workers should have minimum technical knowledge.
Quarters and Premises in the factory is to be maintained good.
Company has to follow various methodologies in HR department.
New Employees has to be employed as it boost the production function.
LEARNING OUTCOMES:
I learnt Functions of various departments involved in the Organization.

I learnt even with Illiterate people a company can run its functions.
I learnt how to get work done by workers in the Organization.
Production process, Marketing and Sales and Services are the most important in any
Industry.
Quality function has significant impact on the Sales of Goods and Services.
CONCLUSION:
Organization study makes a trainee to understand the Global Scenario, Indian Scenario of
Industry and its Profile. Textile Industry is second largest in India. Most of the labours are
working in this Industry.
Coming to the Organization, it is one of the largest company in yarn manufacturing
sector. It plays a major role in yarn exports.
Functions like Production, Quality, Material handling are very well in the Organization.
Sales & Distribution, Marketing functions are handled by Head office of the company.
Organization structure is good and it is maintained by senior officers in the Organization.
Productivity of the Organization is good.
Page 58
Text Books & Reference Books

Philip Kotler, Kevin Lane Keller, Abraham Koshy, Mithileshwar Jha, Marketing
Management, 14th Edition, Pearson Education Inc., New Delhi Journals, Magazines &
Newspapers.
Web sites
http://nrkrtextiles.com
http://articles.economictimes.indiatimes.com/keyword/cotton-yarn
http://www.cipd.co.uk/NR/rdonlyres/8C5DA6D7-99B5-41F2-859AE2DF80539C5C/
0/978184398132_sc.pdf
http://www.consumerpsychologist.com/dist_Channel_Structure.html
http://www.equitymaster.com/research-
it/sector-
info/textiles/Textiles-Sector-
Report.asp
http://www.fibre2fashion.com/members/world-best-textile-yarncompanies. asp
Page 59
Analysis-
http://www.hbs.edu/faculty/Publication%20Files/10-074.pdf
http://www.kellogg.northwestern.edu/faculty/chopra/htm/research/deliverynetwork.pdf
http://www.legalpundits.com/Content_folder/THETEXTILEINDUSTRYREPORT29 0710.pdf
http://www.scorpioncomputerservices.com/quality-assur.html
http://www.shareyouressays.com/116352/10- important- functions-of material handling notes
http://www.slideshare.net/fullscreen/Gstheproud007/pest-analysis-of-textileindustry/7
http://invention.smithsonian.org/centerpieces/whole_cloth/u2ei/u2materials/eitessay.html
Page 60

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SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

OBJECTIVE OF THE STUDY:

SCOPE OF THE STUDY:

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

DEVELOPMENT IN TEXTILE INDUSTRY:

SRI NRKR TEXTILES PVT LTD

LEADING MANUFACTURERS IN TEXTILE INDUSTRY:

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

Leading Exporters & Market Share In World Economy

Total (Top 10)

ROLE OF ASIAN COUNTRIES:

SRI NRKR TEXTILES PVT LTD

Important statistics and data on International Trade

SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

Structure of Textile Industry in India

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

Third largest producer of cotton yarn.

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

INDIAN TEXTILE CLUSTERS:

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

TOP COMPANIES IN INDIA BY MARKET CAPITAL:

Textiles composite Mills

Market (Rs. cr)

Textiles - spinning - cotton blended

ACHARYA BANGALORE B SCHOOL

Market (Rs. cr)

SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

BACKGROUND OF THE ORGANIZATION

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

SRI NRKR TEXTILES PVT LTD

Blow Room Equipment from TRUTZSCHLER

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

Most important types of yarns are PC (Polyester, Cotton), PV (Polyester,Viscose) and PY

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD

ACHARYA BANGALORE B SCHOOL

SRI NRKR TEXTILES PVT LTD